Hinrichs: CSX achieved 'strong' Q2 results

CSX yesterday reported second-quarter 2024 net earnings of $963 million and operating income of $1.45 billion, compared to $984 million and $1.47 billion, respectively, in the same period a year ago.

The Class I posted diluted earnings per share of 49 cents for the quarter, which was flat in Q2 2023. CSX’s total volume for the quarter rose 2% to 1.58 million units. Operating income rose 8% compared to Q1 2024’s level.

“CSX remained focused on efficiently serving our customers over the second quarter, allowing us to deliver strong sequential increases in volume, operating income, margin and earnings per share,” said President and CEO Joe Hinrichs in a press release. “I am proud of our railroad’s performance, including our team’s effective response to the disruptions at the Port of Baltimore. As we continue to execute through shifting markets, CSX is well-positioned to achieve solid year-over-year margin expansion over the remainder of 2024.”

In a call with analysts, Hinrichs described the period as a “strong quarter.”

Q2 revenue totaled $3.7 billion, which was flat year over year as the “positive effects” of merchandise pricing gains and growth in intermodal and merchandise volume were offset by declines in export coal prices, a reduction in other revenue and lower fuel surcharge, CSX officials said.

CSX’s operating margin was 39.1% for the quarter, declining 50 basis points year-over-year but increasing 280 basis points sequentially.

The company “narrowly beat” Q2 profit estimates, helped by higher shipment volume and robust pricing, Reuters reported.