The Class 1 railway’s earnings per share for the quarter surpassed analyst expectations, reaching $0.48 per share, but were still lower than the $0.52 per share for the third quarter of 2015.
CSX Corporation said Wednesday its net earnings for the third quarter of 2016 totaled $455 million, a 10 percent decline from the third quarter of 2015.
The Jacksonville, Fla.-based Class 1 railway’s earnings per share (EPS) surpassed analyst expectations, reaching $0.48 per share for the third quarter, but the result was still down from $0.52 per share for the third quarter of 2015. On average, analysts expected CSX’s EPS for the third quarter of this year to total $0.45 per share, Reuters said.
Meanwhile, CSX’s revenues for the quarter tumbled 8 percent year-over-year to $2.7 billion, consistent with an 8 percent decline in overall volumes, including a 21 percent drop in coal volumes.
However, the railway managed to decrease total expenses 7 percent year-over-year to $1.9 billion, primarily driven by efficiency gains of $112 million and volumes related cost reductions of $53 million.
CSX’s operating ratio for the quarter totaled 69 percent compared to 68.3 percent for the third quarter of 2015.
“While the U.S. dollar strength and low global commodity prices persisted in the quarter, CSX is positioning itself to maximize shareholder value by leveraging network improvements, technology enhancements and superior service to capture growth opportunities and achieve a mid-60s operating ratio longer term,” CSX said.
CSX said Wednesday in its latest update regarding the aftermath of Hurricane Matthew that it has resumed normal train operations to Savannah, Ga.; Charleston, S.C.; and Portsmouth, Va. The railway also said Wednesday it anticipated the main line from Hamlet, S.C. to Charleston, S.C. would be back in service that night.
The railway also issued a restoration schedule Wednesday, which said:
• Columbia, S.C. to Charleston, S.C. branch lines are anticipated to be back in service by Friday evening;
• The W&W sub line is expected to be back in service by Saturday evening;
• The Wilmington sub line has experienced washout conditions along several sections of the track and CSX anticipates it will be seven to ten days for repairs to be completed;
• The north end of the Andrews sub line between Andrews, S.C. and Dillon, S.C. is expected to be operational in a week to 10 days;
• The Pennyroyal, S.C. and Georgetown, S.C. areas are still being evaluated with the repair timetable still to be determined;
• The Tarboro and Parmele sub lines are still being evaluated with the repair timetable still to be determined;
• And the Fort Bragg spur’s repairs are expected to be completed in seven to 10 days.
CSX’s Q3 net earnings, revenues drop amid lower volumes
