CSX profit slipped as the railroad scrambled to respond to Baltimore bridge collapse


CSX railroad’s second-quarter profit slipped 2% — even though the volume of its shipments was up by that same rate — as it scrambled to respond to the Baltimore bridge collapse in March that disrupted coal exports.

CSX said Monday that it earned $963 million, or 49 cents per share, in the second quarter. That’s down from last year’s $984 million, or 49 cents per share.

But the results beat the 48 cents per share that analysts surveyed by FactSet Research predicted.

“I am proud of our railroad’s performance, including our team’s effective response to the disruptions at the Port of Baltimore,” CSX CEO Joe Hinrichs said.

Baltimore is the nation’s No. 2 coal export port, so the bridge collapse that closed the port caused significant disruptions. But CSX and its competitor in the east, Norfolk Southern, quickly worked to reroute shipments to other ports.

The railroad’s revenue was flat at $3.7 billion, which was slightly ahead of the Wall Street predictions

Expenses were slightly higher at $2.25 billion as labor costs crept up again.

CSX, which is based in Jacksonville, Florida, is one of the nation’s largest railroads serving the eastern United States.

Its shares were up about 3% in extended trading after reporting its quarterly results.

Leave a Reply

Your email address will not be published. Required fields are marked *