Based in Jacksonville, FL, CSX Corporation (CSX - Free Report) is one of the leading transportation suppliers in the United States.
The company has a decent track record with respect to earnings, having outpaced the Zacks Consensus Estimate in three of the last four quarters. The average earnings beat is 8.4%.
Zacks Rank: Currently, CSX has a Zacks Rank #4 (Sell) but that could change following the company’s earnings report which was just released.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: CSX’s earnings of 51 cents per share were in line with the Zacks Consensus Estimate. Earnings improved 6.3% from the year ago figure due to reduced expenses.
Revenue: Operating revenues came in at $2,743 million, short of the Zacks Consensus Estimate of $2,769.4 million. Revenues improved 1% from the year-ago figure due to pricing gains.
Key Stats to Note: Operating ratio (operating expenses as a percentage of revenues) improved 90 basis points to 68.1% on a reported basis. The company is implementing the Precision Scheduled Railroading strategy to improve efficiencies. Driven by improved efficiencies, CSX expects the bottom line to expand between 20% and 25% in 2017 on a year-over-year basis. Operating ratio in the high end of mid-60s is expected in 2017. The company expects free cash flow before dividends (excluding restructuring costs) of around $1.5 billion in 2017.
Stock Price: The revenue miss disappointed investors. Consequently, shares of the company were down in pre-market trading at the time of writing.
Check back later for our full write up on this CSX earnings report later!
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