Yahoo Finance CSX Q2 Earnings & Revenues Miss on Soft Intermodal Revenues
CSX Corporation CSX reported second-quarter 2019 earnings of $1.08 per share, missing the Zacks Consensus Estimate of $1.11. However, earnings increased 6.9% year over year. Meanwhile, total revenues of $3,061 million lagged the Zacks Consensus Estimate of $3,142.7 million and also dipped 1.3% year over year. Results were affected by disappointing performance of the intermodal segment.
The lower-than-expected results displeased investors. Consequently, the stock declined more than 6% in after-hours trading on Jul 16.
Second-quarter operating income inched up 2% year over year to $1,305 million. Operating ratio (operating expenses as a percentage of revenues) improved to 57.4% from 58.6% in the prior-year quarter with total expenses decreasing 3% from the year-ago period.
CSX Corporation Price, Consensus and EPS Surprise
CSX Corporation price-consensus-eps-surprise-chart | CSX Corporation Quote
Segmental Performance
Merchandise revenues climbed 2% year over year to $1,944 million in the quarter under review. Also, merchandise volumes inched up 1% year over year.
Coal revenues slid 2% year over year to $557 million in the reported quarter. However, coal volumes grew 2% year over year.
Intermodal revenues declined 11% year over year to $436 million. Volumes also contracted 10% on a year-over-year basis.
Other revenues grossed $124 million, down 9% year over year.
Liquidity & Share Buyback
This Zacks Rank #4 (Sell) company exited the second quarter with cash and cash equivalents of $853 million compared with $858 million at the end of last December. Long-term debt totaled $15,522 million compared with $14,739 million at 2018 end. As of Jun 30, 2019, net cash provided by operating activities was $2,267 million compared with $2,009 million in the year-earlier period. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Investors interested in the broader Transportation sector are keenly awaiting second-quarter 2019 earnings reports from key players like Union Pacific Corporation UNP, Norfolk Southern Corporation NSC and United Parcel Service UPS. While Union Pacific will report second-quarter earnings on Jul 18, Norfolk Southern and UPS will announce the same on Jul 24.
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