CSX Corp. (CSX) - Get Report shares jumped in extended trading on Tuesday, July 17, after the rail-based transportation services company beat earnings and revenue estimates and topped its operating ratio target.
The Jacksonville, Fla.-based company reported second-quarter net earnings of $877 million, or $1.01 per share, which beat analysts' expectations of 87 cents per share. Revenue of $3.1 billion topped forecasts calling for $3 billion, according to FactSet.
Importantly, CSX's operating ratio, which measures operating expenses as a percentage of revenue, set "an all-time company quarterly record" of 58.6%, an improvement from 67.4% a year prior. The company is targeting full-year operating ratio of 60% by 2020.
"I expect continued improvement in our safety, service and financial performance," James Foote, CEO of CSX, said in a statement. "While we remain in the early stages of the transformation I am more confident this exceptional team can deliver on our long-term outlook."
Shares of CSX rose 3.2% to $66.49 in after-hours trading. The stock closed at $64.44, up 0.7%.
"Two words sum up everything -- great performance," Foote said during a conference call with analysts.