CSX Corporation announced its third-quarter 2024 financial results, reporting operating income of $1.35 billion, a 7% increase from $1.27 billion in the prior year period. Net earnings reached $894 million, or $0.46 per diluted share, up 8% from $828 million, or $0.41 per diluted share, in the same period last year. Total volume for the quarter increased by 3% to 1.59 million units, while total revenue rose 1% year-over-year to $3.62 billion.
Despite the year-over-year growth, CSX's reported earnings per share of $0.46 missed analysts' average estimate of $0.48 per share, and revenue of $3.62 billion fell short of the $3.67 billion forecast. CEO Joe Hinrichs acknowledged that the company faced significant challenges from recent hurricanes, which impacted operations. The operating margin for the quarter was 37.4%, an improvement of 180 basis points from a year ago.
Looking ahead to the fourth quarter, management indicated that merchandise volume is expected to benefit from new business wins and market stability. However, domestic coal demand is projected to remain challenged due to low natural gas prices and weak U.S. steel and industrial markets, although international demand for coal is solid. Intermodal revenue growth is anticipated to slow year-over-year, with modest improvements expected in domestic momentum.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.