CSX Corp. Announces 3rd Quarter Earnings
Rail and intermodal carrier CSX Corp. (NYSE: CSX – $26.10) – the first of the big railroads to report quarterly results – announced third-quarter net earnings of $463 million, or $0.46 per share, up from $455 million, or $0.44 per share, in the same period last year. This performance was supported by strong operating results and higher revenues equal to $3 billion. Revenue increases resulted from higher volume and pricing gains in merchandise and intermodal which offset continued declines in coal revenue. Analysts were expecting earnings of $0.43 a share on revenue of $2.95 billion. The company now expects full-year 2013 earnings per share to be slightly up from 2012 levels of $1.74 to about $1.80. I believe that CSX will benefit from a gradual economic recovery given its strong east coast market presence and its efficient ability to transport basic materials, autos and coal to customers by rail and expanding intermodal routes.