CSX reported fourth-quarter earnings that exceeded analysts' expectations. Its revenue, however, fell short of estimates.
The freight railroad company’s earnings for the quarter came in at 99 cents a share, compared to the 97 cents a share expected by analysts surveyed by FactSet. The figure is also -2% lower from the year-ago quarter.
Revenue declined -8.2% year-over-year to $2.89 billion in the quarter, while analysts polled by FactSet had estimated $2.92 billion.
According to an SEC filing by CSX, domestic coal declined mainly due to lower shipments of utility coal against continued competition from natural gas. It also mentioned that export coal declined due to lower international shipments of both thermal and metallurgical coal as global benchmark prices fell.
President and Chief Executive James Foote said in a statement that the company’s expenses got reduced 9% from a year earlier, on the back of efficiency gains and volume-related savings. "[Our] employees stepped up to produce efficiencies during tough economic conditions," said Foote.