CSX Profit Jumps to $877 Million
CSX Corp. reported second-quarter net earnings of $877 million, or $1.01 a share, a rise of 72% from net earnings of $501 million, or 55 cents a share, in the same period a year ago.
Revenues for the Jacksonville, Fla.-based railroad rose 6% to $3.1 billion from $2.9 billion a year ago. The company’s operating ratio fell to a quarterly record 58.6% from 67.4%, CSX reported. Operating expenses fell 20% from $2 billion to $1.8 billion.
CSX saw volume growth in most markets. Its total volume rose 2% to 1.6 million units, with revenues per unit growing 4% to $1,885 from $1,810.
The intermodal division had volume of 735,000 units, up 2% from 718,000 a year ago. Revenues rose 7% to $569 million from $530 million. Revenue per unit rose 7% to $667 from $624.
The domestic side of the intermodal division saw volume decline “slightly as rationalization of low density lanes in late 2017 more than offset growth with existing customers due to tightening truck capacity,” CSX reported.
Intermodal’s international side had higher volumes “driven by new customers and strong performance with existing customers,” according to CSX.
The entire merchandise division had volume of 689,000 units, down from 694,000 units. Revenue for the division rose 6% to $1.9 billion from $1.8 billion. Revenue per unit rose 7% to $2,768 from $2,591.
The coal division reported volume of 222,000 units, up 7% from 208,000 units. Revenue for the division rose 7% to $569 million from $530 million. Revenue per unit was nearly flat, rising to $2,563 from $2,548.
