We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CSX Q4 Earnings & Revenues Lag Estimates, Decrease Year Over Year
Read MoreHide Full Article
CSX Corporation (CSX - Free Report) reported disappointing fourth-quarter 2024 results, wherein both earnings and revenues lagged the Zacks Consensus Estimate.Quarterly earnings per share of 42 cents fell short of the Zacks Consensus Estimate by a penny and decreased 6.6% on a year-over-year basis on the back of lower revenues.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
Total revenues of $3.53 million missed the Zacks Consensus Estimate of $3.58 million and declined 3.8% year over year. The downside was owing to lower fuel recovery and lower coal revenue, which includes the impact of lower global benchmark rates and hurricane impacts in 2024. This was partially offset by higher pricing and volume in merchandise and higher intermodal volume.
Fourth-quarter operating income decreased 16% year over year to $1.11 billion. Total expenses were up 3% year over year to $2.43 billion. Overall volumes increased 1% year over year.
Merchandise revenues improved 0.4% year over year to $2.19 billion in the reported quarter, lower than our estimate of $2.24 billion. Merchandise volumes rose 0.3% year over year to $650 million. Segmental revenue per unit increased 0.1% year over year.
Intermodal revenues decreased 5% year over year to $526 million, lower than our estimate of $531.2 million. Segmental volumes increased 4% while revenue per unit decreased 8% year over year.
Coal revenues fell 20% year over year to $499 million in the reported quarter, lower than our estimate of $529.7 million. Coal volumes decreased 7% year over year. Segmental revenue per unit fell 14% year over year.
Trucking revenues totaled $194 million, down 5% year over year. Other revenues grew 6% year over year to $129 million in the reported quarter.
Liquidity
CSX exited the fourth quarter of 2024 with cash and cash equivalents of $933 million compared with $1.64 billion at the end of the prior quarter. Long-term debt totaled $17.89 billion compared with $18.53 billion at the end of the prior quarter.
CSX generated $1.38 billion of cash from operating activities in the reported quarter.
2025 Guidance of CSX
For 2025, CSX expects total volume growth in the low to mid-single digit. Intermodal and Merchandise momentum is expected to be supported by conversions and industrial development, while coal volumes are expected to be lower due to facility shutdowns and mine production issues.
Full-year revenues are likely to be affected by lower coal benchmarks, diesel prices and volume mix, especially in the first half of the year.
CSX will continue to focus on efficiency initiatives and labor productivity, with hurricane recovery and the Howard Street Tunnel project expected to impact operating income.
Capital expenditures are expected to be roughly flat year over year, excluding hurricane rebuild spending.
CSX’ disappointing price performance is not limited to the post-fourth-quarter earnings release. Over the past six months, shares of CSX have gained 0.2%, underperforming the 2.7% rise of the industry it belongs to.
Six-Month Price Comparison
Image Source: Zacks Investment Research
Q4 Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported fourth-quarter 2024 earnings (excluding 56 cents from non-recurring items) of $1.85 per share, which surpassed the Zacks Consensus Estimate of $1.76. Earnings increased 44.5% on a year-over-year basis due to low fuel costs.
DAL’srevenues of $15.56 billion surpassed the Zacks Consensus Estimate of $14.99 billion and increased 9.4% on a year-over-year basis, driven by strong holiday travel demand. Adjusted operating revenues (excluding third-party refinery sales) totaled $14.44 billion, up 5.7% year over year. Passenger revenues, which accounted for 82.4% of total revenues, increased 5% year over year at $12.82 billion.
J.B. Hunt Transport Services (JBHT - Free Report) reported fourth-quarter 2024 earnings per share of $1.53, which fell short of the Zacks Consensus Estimate of $1.62. However, the bottom line increased 4.1% on a year-over-year basis.
JBHT’s total operating revenues of $3.15 billion narrowly beat the Zacks Consensus Estimate of $3.13 billion but declined 4.8% year over year. The decline was mainly due to lower fuel surcharge revenues and yield pressure in its Intermodal segment.
JBHT’s fourth-quarter 2024 operating revenues of $2.78 billion, excluding fuel surcharge revenue, decreased 2% from the year-ago reported quarter. Total operating income for the reported quarter increased 2% year over year to $207 million.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CSX Q4 Earnings & Revenues Lag Estimates, Decrease Year Over Year
CSX Corporation (CSX - Free Report) reported disappointing fourth-quarter 2024 results, wherein both earnings and revenues lagged the Zacks Consensus Estimate.Quarterly earnings per share of 42 cents fell short of the Zacks Consensus Estimate by a penny and decreased 6.6% on a year-over-year basis on the back of lower revenues.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
Total revenues of $3.53 million missed the Zacks Consensus Estimate of $3.58 million and declined 3.8% year over year. The downside was owing to lower fuel recovery and lower coal revenue, which includes the impact of lower global benchmark rates and hurricane impacts in 2024. This was partially offset by higher pricing and volume in merchandise and higher intermodal volume.
Fourth-quarter operating income decreased 16% year over year to $1.11 billion. Total expenses were up 3% year over year to $2.43 billion. Overall volumes increased 1% year over year.
CSX Corporation Price, Consensus and EPS Surprise
CSX Corporation price-consensus-eps-surprise-chart | CSX Corporation Quote
Q4 Segmental Performance of CSX
Merchandise revenues improved 0.4% year over year to $2.19 billion in the reported quarter, lower than our estimate of $2.24 billion. Merchandise volumes rose 0.3% year over year to $650 million. Segmental revenue per unit increased 0.1% year over year.
Intermodal revenues decreased 5% year over year to $526 million, lower than our estimate of $531.2 million. Segmental volumes increased 4% while revenue per unit decreased 8% year over year.
Coal revenues fell 20% year over year to $499 million in the reported quarter, lower than our estimate of $529.7 million. Coal volumes decreased 7% year over year. Segmental revenue per unit fell 14% year over year.
Trucking revenues totaled $194 million, down 5% year over year. Other revenues grew 6% year over year to $129 million in the reported quarter.
Liquidity
CSX exited the fourth quarter of 2024 with cash and cash equivalents of $933 million compared with $1.64 billion at the end of the prior quarter. Long-term debt totaled $17.89 billion compared with $18.53 billion at the end of the prior quarter.
CSX generated $1.38 billion of cash from operating activities in the reported quarter.
2025 Guidance of CSX
For 2025, CSX expects total volume growth in the low to mid-single digit. Intermodal and Merchandise momentum is expected to be supported by conversions and industrial development, while coal volumes are expected to be lower due to facility shutdowns and mine production issues.
Full-year revenues are likely to be affected by lower coal benchmarks, diesel prices and volume mix, especially in the first half of the year.
CSX will continue to focus on efficiency initiatives and labor productivity, with hurricane recovery and the Howard Street Tunnel project expected to impact operating income.
Capital expenditures are expected to be roughly flat year over year, excluding hurricane rebuild spending.
Zacks Rank & Price Performance
Currently, CSX carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CSX’ disappointing price performance is not limited to the post-fourth-quarter earnings release. Over the past six months, shares of CSX have gained 0.2%, underperforming the 2.7% rise of the industry it belongs to.
Six-Month Price Comparison
Image Source: Zacks Investment Research
Q4 Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported fourth-quarter 2024 earnings (excluding 56 cents from non-recurring items) of $1.85 per share, which surpassed the Zacks Consensus Estimate of $1.76. Earnings increased 44.5% on a year-over-year basis due to low fuel costs.
DAL’srevenues of $15.56 billion surpassed the Zacks Consensus Estimate of $14.99 billion and increased 9.4% on a year-over-year basis, driven by strong holiday travel demand. Adjusted operating revenues (excluding third-party refinery sales) totaled $14.44 billion, up 5.7% year over year. Passenger revenues, which accounted for 82.4% of total revenues, increased 5% year over year at $12.82 billion.
J.B. Hunt Transport Services (JBHT - Free Report) reported fourth-quarter 2024 earnings per share of $1.53, which fell short of the Zacks Consensus Estimate of $1.62. However, the bottom line increased 4.1% on a year-over-year basis.
JBHT’s total operating revenues of $3.15 billion narrowly beat the Zacks Consensus Estimate of $3.13 billion but declined 4.8% year over year. The decline was mainly due to lower fuel surcharge revenues and yield pressure in its Intermodal segment.
JBHT’s fourth-quarter 2024 operating revenues of $2.78 billion, excluding fuel surcharge revenue, decreased 2% from the year-ago reported quarter. Total operating income for the reported quarter increased 2% year over year to $207 million.