CSX Corporation (NYSE:CSX) shares were set to open lower on Friday after the transportation company posted revenue that fell short of expectations after the closing bell on Thursday.
The Jacksonville, Florida-based company said lower fuel prices, reduced supplemental revenue, a decline in export coal benchmark prices, and a decrease in intermodal volumes more than offset the effects of volume growth in coal and merchandise and solid gains in merchandise pricing.
Revenue fell 3% to $3.7 billion for the three months to June 30, 2023, below the $4.74 billion consensus estimate of analysts, according to Refinitiv data.
Earnings per share were $0.49, down from $0.54 a year earlier, but in line with estimates.
“The ONE CSX team continued to build momentum this quarter as our merchandise and coal businesses continued to demonstrate significant volume gains,” President and CEO Joe Hinrichs said in a statement.
“Though intermodal activity remains challenged, our strong service performance distinguishes us in the marketplace and is attracting shippers to our network. We look forward to meeting the opportunities ahead in the second half of the year and over the long term as we position CSX for sustainable, profitable growth.”
The company’s shares were down 4% at $32.38 ahead of the market open.
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