CSX quarterly profit increases 43pc on rising intermodal volume

JACKSONVILLE's eastern American railway, CSX, reported a 43 per cent increase in third quarter net profit to US$414 million, attributing the rise to growing intermodal traffic.

Third quarter operating profit was up 39 per cent to $825 million drawn on $2.7 billion in revenue, an increase of 16 per cent. This augmented second quarter results in which revenue increased 31 per cent and again up on last year's 26 per cent sales increase.

There was 19 per cent rise in intermodal volume to 574,000 units, but lower prices retarded revenues to a six per cent increase in the quarter at $318 million.

The railway said that intermodal revenue gains during the quarter were driven by volume growth. International volume increased due to new business, US inventory replenishments and early holiday shipping. Domestic volume continued to grow, led by truckload conversions and expanded transcontinental service offerings.
(Source:www.schednet.com)