CSX Rallies as Profit Tops Estimates to Lead Off Rail Earnings
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CSX Corp. jumped in early U.S. trading after getting railroad earnings reports off to a good start with a second-quarter profit that exceeded analysts’ estimates in the midst of a slump in cargo.
The results after the end of trading Tuesday gave investors a glimpse at how railroads are managing an industrywide freight decline by raising rates, repurchasing stock and paring costs with measures including layoffs. CSX, the largest carrier in the eastern U.S., benefited from lower fuel prices and expense cuts.