CSX reported Q4 2024 operating income of $1.11 billion, down 16%. Full-year net income declined 5% to $3.47 billion.
Quiver AI Summary
CSX Corp. reported a decline in fourth quarter 2024 operating income, totaling $1.11 billion, down from $1.32 billion the previous year, with net income also decreasing from $882 million to $733 million, or $0.38 per diluted share. The quarterly results included a non-cash goodwill impairment charge of $108 million. Despite a slight increase in total volume to 1.58 million units, revenue for the quarter decreased by 4% to $3.54 billion. For the full year, operating income was $5.25 billion, down 5% year-over-year, with net income at $3.47 billion compared to $3.67 billion in 2023. Adjusted figures showed minor improvements, with adjusted operating income at $1.21 billion for the quarter and $5.35 billion for the year. CEO Joe Hinrichs noted the company's resilience amid challenges, emphasizing a continued focus on safety and efficiency moving forward. The company plans to discuss these results in a conference call with investors later today.
Potential Positives
- Total volume of 1.58 million units for the fourth quarter was 1% higher compared to the fourth quarter of 2023, indicating a slight growth in business activity.
- Adjusted operating income for the fourth quarter was $1.21 billion, which demonstrates resilience in operational performance despite the goodwill impairment charge.
- CSX maintained a strong adjusted operating margin of 34.3% for the quarter, reflecting effective cost management and pricing strategies.
- Full year adjusted earnings per share were $1.83, only slightly below the previous year's $1.82, indicating stable profitability in a challenging environment.
Potential Negatives
- Fourth quarter operating income decreased to $1.11 billion from $1.32 billion in the prior year, indicating a significant decline in profitability.
- The company recorded a pre-tax, non-cash goodwill impairment charge of $108 million, which is a substantial negative factor affecting net income.
- Full-year operating income decreased by 5% compared to the previous year, which could signal ongoing challenges in maintaining profitability.
FAQ
What were CSX's fourth quarter 2024 operating income results?
CSX reported fourth quarter 2024 operating income of $1.11 billion, down from $1.32 billion in the previous year.
How did CSX's net income for 2024 compare to 2023?
CSX's net income for 2024 was $3.47 billion, a decrease from $3.67 billion in 2023.
What impacted CSX's financial results in Q4 2024?
The financial results were affected by a $108 million goodwill impairment charge.
What was CSX's operating margin for full year 2024?
CSX's operating margin for the full year 2024 was 36.1%.
How can I listen to the CSX conference call?
The conference call can be accessed by dialing 1-888-510-2008 for U.S. callers or 1-646-960-0306 for international callers.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$CSX Insider Trading Activity
$CSX insiders have traded $CSX stock on the open market 2 times in the past 6 months. Of those trades, 0 have been purchases and 2 have been sales.
Here’s a breakdown of recent trading of $CSX stock by insiders over the last 6 months:
- NATHAN D GOLDMAN (EVP & CLO) has made 0 purchases and 2 sales selling 118,588 shares for an estimated $4,197,315.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$CSX Hedge Fund Activity
We have seen 698 institutional investors add shares of $CSX stock to their portfolio, and 687 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- PRICE T ROWE ASSOCIATES INC /MD/ removed 10,992,102 shares (-15.9%) from their portfolio in Q3 2024, for an estimated $379,557,282
- JPMORGAN CHASE & CO added 7,035,585 shares (+8.4%) to their portfolio in Q3 2024, for an estimated $242,938,750
- COHEN & STEERS, INC. added 5,947,423 shares (+2859.0%) to their portfolio in Q3 2024, for an estimated $205,364,516
- ADAGE CAPITAL PARTNERS GP, L.L.C. removed 5,819,072 shares (-75.9%) from their portfolio in Q3 2024, for an estimated $200,932,556
- ARROWSTREET CAPITAL, LIMITED PARTNERSHIP added 5,472,797 shares (+146.0%) to their portfolio in Q3 2024, for an estimated $188,975,680
- NEUBERGER BERMAN GROUP LLC removed 5,407,825 shares (-30.1%) from their portfolio in Q3 2024, for an estimated $186,732,197
- VIKING GLOBAL INVESTORS LP added 4,613,203 shares (+97.4%) to their portfolio in Q3 2024, for an estimated $159,293,899
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
JACKSONVILLE, Fla., Jan. 23, 2025 (GLOBE NEWSWIRE) -- CSX Corp. (NASDAQ: CSX) today announced fourth quarter 2024 operating income of $1.11 billion compared to $1.32 billion in the prior year period. Net income was $733 million, or $0.38 per diluted share, compared to $882 million, or $0.45 per diluted share, in the same period last year. Results for the fourth quarter include a pre-tax, non-cash goodwill impairment charge of $108 million. Total volume of 1.58 million units for the quarter was 1% higher compared to fourth quarter 2023.
For the full year 2024, CSX operating income of $5.25 billion was down 5% from the previous year. Net income for the year was $3.47 billion, or $1.79 per share, compared to $3.67 billion, or $1.82 per share, in 2023.
Adjusted for the goodwill impairment charge, operating income was $1.21 billion for the quarter and $5.35 billion for the year. Adjusted net income was $815 million, or $0.42 per diluted share, for the quarter and $3.55 billion, or $1.83 per diluted share, for the full year.
“While 2024 had its challenges, I am proud of how the ONE CSX team responded. We managed through substantial impacts from major hurricanes and the Key Bridge outage early in the year and remained focused on delivering industry-leading customer satisfaction,” said Joe Hinrichs, president and chief executive officer. “We will remain disciplined in delivering safety, service, and operating efficiency performance as we invest in the strength and capabilities of our network this year, and we look forward to delivering on the profitable growth opportunities ahead of us.”
Fourth Quarter Financia
l Highlights
1
, 2
Revenue totaled $3.54 billion for the quarter, decreasing 4% year-over-year, as declines in fuel surcharge and coal revenue offset the effects of higher pricing and volume in merchandise and volume growth in intermodal.
Operating income was $1.11 billion, including a goodwill impairment charge of $108 million, and adjusted operating income was $1.21 billion. CSX’s operating margin was 31.3% for the quarter, and adjusted operating margin was 34.3%.
EPS of $0.38 and adjusted EPS of $0.42, which compared to earnings of $0.45 per share the prior year quarter.
Full Year 2024 Financia
l Highlights
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, 2
Revenue totaled $14.54 billion in 2024, decreasing 1% year-over-year.
Operating income was $5.25 billion, including a goodwill impairment charge, and adjusted operating income was $5.35 billion. CSX’s operating margin was 36.1% for the full year, and adjusted operating margin was 36.8%.
EPS of $1.79 and adjusted EPS of $1.83, which compared to earnings of $1.82 per share in the prior year.
CSX executives will conduct a conference call with the investment community this afternoon, January 23, at 4:30 p.m. Eastern Time. Investors, media and the public may listen to the conference call by dialing 1-888-510-2008. For callers outside the U.S., dial 1-646-960-0306. Participants should dial in 10 minutes prior to the call and enter in 3368220 as the passcode.
In conjunction with the call, a live webcast will be accessible and presentation materials will be posted on the company's website at
http://investors.csx.com
. Following theearnings call a webcast replay of the presentation will be archived on the company website.
This earnings announcement, as well as additional detailed financial information, is contained in the CSX Quarterly Financial Report available through the company’s website at
http://investors.csx.com
and on Form 8-K with the Securities and Exchange Commission.
1
Year-over-year comparisons for operating income and earnings per share utilize revised financial results for past periods, as described in the notes of our quarterly financial report.
2
See the Non-GAAP Measures section of the quarterly financial report for non-GAAP reconciliations and additional information.
About CSX and its Disclosures
CSX, based in Jacksonville, Florida, is a premier transportation company. It provides rail, intermodal and rail-to-truck transload services and solutions to customers across a broad array of markets, including energy, industrial, construction, agricultural, and consumer products. For nearly 200 years, CSX has played a critical role in the nation's economic expansion and industrial development. Its network connects every major metropolitan area in the eastern United States, where nearly two-thirds of the nation's population resides. It also links more than 240 short-line railroads and more than 70 ocean, river and lake ports with major population centers and farming towns alike.
This announcement, as well as additional financial information, is available on the company's website at
http://investors.csx.com
. CSX also uses social media channels to communicate information about the company. Although social media channels are not intended to be the primary method of disclosure for material information, it is possible that certain information CSX posts on social media could be deemed to be material. Therefore, we encourage investors, the media, and others interested in the company to review the information we post on X, formerly known as Twitter, (
http://twitter.com/CSX
) and on Facebook (
http://www.facebook.com/OfficialCSX
). The social media channels used by CSX may be updated from time to time. More information about CSX Corporation and its subsidiaries is available at
www.csx.com
.
Non-GAAP Disclosure
CSX reports its financial results in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). CSX also uses certain non-GAAP measures that fall within the meaning of Securities and Exchange Commission Regulation G and Regulation S-K Item 10(e), which may provide users of the financial information with additional meaningful comparison to prior reported results. Non-GAAP measures do not have standardized definitions and are not defined by U.S. GAAP. Therefore, CSX’s non-GAAP measures are unlikely to be comparable to similar measures presented by other companies. The presentation of these non-GAAP measures should not be considered in isolation from, as a substitute for, or as superior to the financial information presented in accordance with GAAP.
Forward-looking Statements
This information and other statements by the company may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to, among other items: projections and estimates of earnings, revenues, margins, volumes, rates, cost-savings, expenses, taxes, liquidity, capital expenditures, dividends, share repurchases or other financial items, statements of management's plans, strategies and objectives for future operations, and management's expectations as to future performance and operations and the time by which objectives will be achieved, statements concerning proposed new services, and statements regarding future economic, industry or market conditions or performance. Forward-looking statements are typically identified by words or phrases such as “will,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate,” “preliminary” and similar expressions. Forward-looking statements speak only as of the date they are made, and the company undertakes no obligation to update or revise any forward-looking statement. If the company updates any forward-looking statement, no inference should be drawn that the company will make additional updates with respect to that statement or any other forward-looking statements.
Forward-looking statements are subject to a number of risks and uncertainties, and actual performance or results could differ materially from that anticipated by any forward-looking statements. Factors that may cause actual results to differ materially from those contemplated by any forward-looking statements include, among others: (i) the company's success in implementing its financial and operational initiatives; (ii) changes in domestic or international economic, political or business conditions, including those affecting the transportation industry (such as the impact of industry competition, conditions, performance and consolidation); (iii) legislative or regulatory changes; (iv) the inherent business risks associated with safety and security; (v) the outcome of claims and litigation involving or affecting the company; (vi) natural events such as severe weather conditions or pandemic health crises; and (vii) the inherent uncertainty associated with projecting economic and business conditions.
Other important assumptions and factors that could cause actual results to differ materially from those in the forward-looking statements are specified in the company's SEC reports, accessible on the SEC's website at www.sec.gov and the company's website at
www.csx.com
.
Contact:
Matthew Korn, CFA, Investor Relations
904-366-4515
Bryan Tucker, Corporate Communications
855-955-6397
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