1. CSX Railroad’s 4Q Profit Slips On Weak Coal Demand
[US Market News] TradingReview360.com: We search to deliver you the very latest news
from all over the world. The post below is of interest to those needing the latest US Market
News.
Read on to learn more:
OMAHA, Neb. (AP) – Railroad operator CSX Corp. said continued weak coal demand
contributed to a 3 percent decline in fourth-quarter net income. The results still beat Wall Street
expectations as other sectors improved.
The Jacksonville, Fla.-based railroad on Tuesday reported net income of $443 million, or 43
cents per share, in the last three months of 2012. That’s down from $457 million, or 43 cents
per share, in the previous year’s quarter.
CSX said its revenue declined 2 percent to $2.9 billion from $2.95 billion a year earlier. It says
declines in coal shipments more than offset gains in intermodal and merchandise shipments.
Analysts surveyed by FactSet expected CSX to report earnings of 39 cents per share on
revenue of $2.84 billion.
CSX stock was trading up 1.6 percent, or 34 cents, at $21.15 in after-hours trading Tuesday
after losing 10 cents in the regular trading session.
The weak coal demand that began with last year’s mild winter and cheap natural gas prices
continued to create challenges for CSX in the quarter.
Coal revenue fell 18 percent to $747 million in the fourth quarter. The increases in automotive,
intermodal and crude oil shipments weren’t quite enough to offset coal’s decline.
CSX Chairman, CEO and president Michael Ward praised the results.
“CSX continues to demonstrate the underlying strength of its business model, the ability to
respond quickly to significant events in the marketplace, and a steadfast focus on creating
substantial shareholder value over the long term,” Ward said.
The other major freight railroad in the eastern United States, Norfolk Southern Corp., also
reported dealing with coal challenges. Norfolk Southern said its fourth-quarter profit fell 14
percent to $413 million, or $1.30 per share, because its coal revenue dropped 23 percent.
That’s down from $480 million, or $1.42 per share, a year earlier.
For all of 2012, CSX reported net income of $1.86 billion, or $1.79 per share, on $11.8 billion
revenue. That’s 2 percent higher than the previous year’s $1.82 billion net income, or $1.67
per share, on $11.7 billion revenue.
1/2

2. CSX operates over 21,000 miles of track in 23 eastern states and two Canadian provinces. CSX
will hold a conference call with investors Wednesday morning.
Union Pacific Corp., the biggest railroad in the U.S., will release its fourth-quarter results on
Thursday.
___
Follow Josh Funk online at www.twitter.com/funkwrite
___
Online:
CSX Corp.: www.csx.com
Check out the original source here.
We trust that you felt the above post was of value. Please feel free to share this article.
Keeping up with the Market News from worldwide is very important for investors and traders
alike. Whether it is political, social or economic modifications which could influence your
financial investments in the brief, moderate or long term, it’s good to be in the know.
We intend to bring you the most up to date news as it breaks, so you are ahead of the majority
of investors and traders .
http://tradingreview360.com
2/2
Powered by TCPDF (www.tcpdf.org)