2021 THIRD QUARTER EARNINGS CONFERENCE CALL
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FORWARD LOOKING DISCLOSURE
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.
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NON-GAAP MEASURES 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. Reconciliations of non-GAAP measures to corresponding GAAP measures are attached hereto in the Appendix of this presentation.
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THIRD QUARTER HIGHLIGHTS
1,563K | $3,292M | $1,436M |
Volume | Revenue | Op. Income |
Operating Income | Operating Ratio | Earnings Per Share |
$1,436M | |
$1,141M | |
26% Increase | |
Q3 20 | Q3 21 |
56.9% | 56.4% |
50 bps Decrease | |
Q3 20 | Q3 21 |
$0.43
$0.32
34% Increase
Q3 20 | Q3 21 |
2 0 2 1 T H I R D Q U A R T E R E A R N I N G S C O N F E R E N C E C A L L | 4 |
THIRD QUARTER REVENUE HIGHLIGHTS
Broad-Based Revenue Gains More Than Offset
Automotive Weakness
Chemicals increased due to higher shipments of plastics, sand, waste and other core chemicals, partially offset by lower shipments of crude oil
Agricultural & Food Products increased as growth in food and consumer was partially offset by lower export grain and ethanol shipments
Minerals increased as a result of higher shipments of aggregates, cement, lime and limestone
Automotive decreased due to lower North American vehicle production, which continues to be impacted by shortages of semi-conductors
Forest Products increased primarily due to higher shipments of pulpboard, woodpulp and building products
Metals and Equipment increased as growth across the metals markets was partially offset by reduced equipment shipments
Fertilizers increased as long-haul fertilizer shipments were offset by declines in short-haul phosphate shipments
Intermodal increased due to higher international shipments from strong demand, inventory replenishments and rail volume growth from East Coast ports
Coal increased due to higher shipments across international export, domestic utility, and steel and industrial coal
Other Revenue increased due to higher intermodal storage and equipment usage revenue as well as higher demurrage and affiliate revenue
Q3 Revenue Up 24% Year Over Year
Chemicals | 10% | ||||
Ag & Food Products | 2% | ||||
Minerals | 13% | ||||
Automotive | (23%) | ||||
Forest Products | 11% | ||||
Metals & Equip | |||||
30% | |||||
Fertilizers | 14% | ||||
Intermodal | |||||
14% | |||||
Coal | 39% | ||||
Other | |||||
152% | |||||
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CSX Corporation published this content on 20 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 October 2021 20:11:17 UTC.