The latest earnings results exceeded forecasts by the company and analysts. The railroad said in April that it expected quarterly profits to be $1.44 per share. Analysts polled by Thomson Financial forecast a profit of $1.62 per share.

The railroad's quarterly revenue of $4.05 billion fell just shy of analysts' prediction of $4.07 billion. Still, the 2007 figure is up 3 percent from $3.9 billion in the second quarter of 2006.

Continental

Continental Airlines Inc. said profits rose 15 percent in the second quarter as it carried more passengers and increased revenue on its trans-Atlantic flights.

While the strong summer traffic helped Continental beat higher fuel and labor costs, the airline warned that costs will rise in the third quarter.

Houston-based Continental said it earned $228 million, or $2.03 per share, compared with $198 million, or $1.84 per share, a year earlier. This quarter's earnings per share included a charge of 7 cents a share for a settlement related to pilots' pensions.

Analysts surveyed by Thomson Financial had expected the company to earn $1.84 per share.

Revenue rose 5.8 percent, to $3.71 billion. That was an increase over $3.51 billion a year earlier, and nearly in line with analysts' prediction of $3.72 billion.

Harley-Davidson

Second-quarter profits increased 19 percent at Harley-Davidson Inc. as international sales grew by double digits and the performance of its namesake motorcycle unit improved.

The Milwaukee-based firm said net income for the period ended July 1 increased to $290.5 million, or $1.14 per share, from $243.4 million, or 91 cents per share, during the same period a year earlier.

Revenue for the quarter grew 17 percent from $1.38 billion to $1.62 billion.

UnitedHealth

UnitedHealth Group Inc. said second-quarter profits rose 22 percent, beating analyst expectations and prompting it to raise its guidance, although revenue fell a little short of Wall Street expectations.

UnitedHealth said it earned $1.2 billion, or 87 cents per share, during the quarter that ended June 30, up from $981 million, or 70 cents per share, during the same period last year. Revenue of $18.93 billion rose 5.9 percent from $17.86 billion a year ago.

---

Contributing: Bloomberg News; The Associated Press