CSX Keeps Chugging

The rail operator's earnings and revenue beat forecasts.
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Rail giant

CSX

(CSX) - Get Report

said Tuesday that its third-quarter profit more than doubled, aided by an insurance gain, higher volumes and improved pricing.

The company's earnings jumped to $328 million, or 71 cents a share, up from $164 million, or 36 cents a share, a year earlier.

Excluding a gain related to insurance recoveries from Hurricane Katrina, earnings were 54 cents a share, above the Thomson First Call mean analyst estimate of 51 cents.

Revenue rose to $2.42 billion from $2.13 billion, topping analysts' forecast of $2.37 billion.

"Improved service, growing volumes and continued strong pricing drove our strong third quarter financial results," said Michael Ward, chairman and CEO, in a press release.

The company said yields in its surface transportation business rose 12%, with improvements across all markets. Volume rose about 2%, led by strength in agriculture, coal and intermodal volumes, which more than offset softness in phosphates and fertilizers, automotive and forest products, CSX said.

Shares advanced $1.01, or 2.9%, to $36.24 in after-hours trading.