CSX’s Top Line To Decline In Q2?

CSX Stock (NYSE: CSX
CSX
) will report its Q2 2023 results on Thursday, July 20. We expect the company’s revenues to come in at $3.7 billion, aligning with the consensus estimate. This would mark a year-over-year decline of about 3%. Earnings will likely come in at about $0.49 per share, in line with the consensus estimate. See our interactive dashboard analysis on CSX Earnings Preview for more details on how the company’s revenues and earnings will likely trend for the quarter. So, what are some of the trends that are likely to drive CSX results?

CSX should benefit from robust coal and merchandise freight demand. However, with fuel prices cooling off, it will likely weigh on overall fuel surcharges and average revenue per carload. The total volume of carloads is also expected to see a marginal decline compared to the prior-year quarter. Looking at Q1’23, CSX’s revenues of $3.7 billion reflected a 9% y-o-y growth, led by a 9% rise in average revenue per unit, while its total volume of carloads was down 1%.