CSX Corporation (NASDAQ:CSX) reported weaker-than-expected results for its second quarter on Tuesday.
The Jacksonville, Florida-based announced second quarter 2019 net earnings of $870 million, or $1.08 per share, versus $877 million, or $1.01 per share in the same period last year (an earnings per share increase of 7%).
CSX’s operating ratio set a company second quarter record of 57.4%, improved from 58.6% in the prior year.
"I am extremely proud of our dedicated CSX employees for once again achieving new record levels of efficiency this quarter, while also driving a significant improvement in safety," said CEO James M. Foote.
"These results reflect the strength of our operating model, and combined with continued improvements in our best-in-class customer service, represent significant progress toward our goal of being the best run railroad in North America."
Revenue for the second quarter declined by 1% over the prior year to $3.06 billion, as Merchandise growth was offset by Intermodal weakness.
Expenses decreased 3% year over year to $1.76 billion, driven by continued efficiency gains and volume-related savings.
This combination yielded operating income growth of 2% for the quarter to $1.31 billion compared to $1.28 billion in the same period last year.
CSX provides rail, intermodal and rail-to-truck transload services and solutions to customers across a broad array of markets, including energy, industrial, construction, agricultural, and consumer products.
Shares in CSX plummeted $6.48, or 8.2%, to $73.07 early in Wednesday’s session.
