- Whole neighborhoods razed by Oklahoma tornado that killed 24 |
- Analysis: Some Republicans see new scandal in Sebelius fundraising
- Convicted U.S. killer Arias would join tiny death row group
- Drop in U.S. underground water levels has accelerated -USGS
- Israel fires back at Syria after gunshots at its troops
CSX profit up as autos, intermodal offset coal
(Reuters) - CSX Corp (CSX.N) reported higher quarterly profit and said revenue and volume were little changed from a year ago as increases in consumer goods segments helped offset a drop in utility coal shipping.
Higher automobile, export coal and intermodal shipments partially made up for the dip in domestic coal shipments, which was triggered by low natural gas prices, the company said on Tuesday.
Intermodal refers to the shipment of goods -- from appliances to electronics -- in containers that can be shifted from one form of transportation to another.
CSX remains on track for earnings growth for the full year, even with ongoing softness in demand from domestic utilities for coal, the company said in a statement.
"Once you strip out coal, total volumes are up 4.1 percent," said Logan Purk, an Edward Jones analyst in St. Louis. "There's healthy growth in the portfolio, and that's fueled by intermodal and automotive for the most part."
Revenue fell 14 percent in the coal segment while rising 10 percent in intermodal and 34 percent in automotive shipping.
"Coal could be close to reaching that bottoming point where the worst is behind us," said Purk.
CSX is set to hold a conference call with analysts on Wednesday before the market opens.
Jacksonville, Florida-based CSX said net income rose to $512 million, or 49 cents per share, in the second quarter from $506 million, or 46 cents per share, a year before.
The average forecast from Wall Street analysts was 47 cents, according to Thomson Reuters I/B/E/S.
Quarterly operating revenue for the No. 2 publicly held U.S. railroad operator was steady at about $3.01 billion in the quarter.
CSX shares rose about 1 percent, to $23, in after-hours trading.
Earlier on Tuesday, the fourth-largest railroad company, Kansas City Southern (KSU.N), reported higher profit but said a bigger-than-expected coal-shipping slump weighed down quarterly revenue. It warned that its full-year revenue growth would be lower than earlier estimated.
(Reporting by Lynn Adler; editing by Carol Bishopric and Ciro Scotti)
- Tweet this
- Share this
- Digg this