CSX Corp. (NASDAQ: CSX) reported fiscal third-quarter financial results after markets closed on Wednesday. With macroeconomic and energy headwinds taking their toll on markets, CSX delivered results consistent with what analysts were expecting.
The company said that it had $0.48 in earnings per share (EPS) on $2.71 billion in revenue. Thomson Reuters has consensus estimates that called for $0.45 in EPS and $2.69 billion in revenue. The same period from last year had $0.52 in EPS and $2.94 billion in revenue.
Revenue for the quarter declined 8%, consistent with volume declines of 8% overall, including coal volume declines of 21%. At the same time, expenses improved 7% in the quarter, primarily driven by $112 million of efficiency gains and $53 million of volume-related cost reductions.
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.
Michael J. Ward, board chair and chief executive, commented:
CSX continues to drive strong cost performance and efficiency in this dynamic market environment while meeting or exceeding customer expectations. Our financial results demonstrate CSX’s ability to deliver value for shareholders and customers in the current business climate as we position the company to maximize opportunities in 2017 and beyond.
Shares of CSX closed Wednesday down 0.9% at $30.21, with a consensus analyst price target of $31.00 and a 52-week trading range of $21.33 to $31.31. Following the release of the earnings report, the stock was up 2.4% at $30.92 in the after-hours trading session.
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