RailAmerica profit off 10 percent on housing slowdown

(Reuters circulated the following article on October 31.)

CHICAGO -- U.S. short-line railroad operator RailAmerica Inc. on Tuesday said quarterly net profit fell 10 percent as the slowdown in the U.S. housing market resulted in fewer lumber shipments.

The Boca Raton, Florida-based company reported third-quarter net income of $6.9 million, or 18 cents a share, down from $7.7 million, or 20 cents a share, a year earlier.

While sales rose 12 percent to $117.3 million, the company said lumber carloads fell 12 percent.

Stripping out the effects of discontinued operations, RailAmerica said it earned 18 cents a share, down from 19 cents last year. On that basis, Wall Street analysts had, on average, predicted earnings of 21 cents a share, according to Reuters Estimates.

From BLET Site