CSX net earnings soar in 2017

The Jacksonville, Fla.-based Class I railway posted net earnings of $5.4 billion for 2017 on revenues of $11.4 billion.    Jacksonville, Fla.-based Class I railway CSX posted net earnings of $5.4 billion for 2017, a sharp increase from $1.7 billion for 2016.
   Revenues for the year ticked up 3 percent from 2016 to $11.4 billion.
   CSX posted fourth quarter 2017 net earnings of $4.1 billion, compared to the $458 million earned in the fourth quarter of 2016.
   Fourth quarter 2017 net earnings included a $3.6 billion net tax reform benefit resulting from the Tax Cuts and Jobs Act of 2017 and a $10 million net restructuring charge, the railway said. The restructuring charge included the reduction of 950 employees within its management workforce as part of its “involuntary separation program with enhanced benefits to further its strategic objectives,” said CSX.
   Excluding these two items, said CSX, fourth quarter 2017 adjusted net earnings stood at $573 million, or $0.64 per share.
   Revenues for the fourth quarter of 2017 decreased 6 percent year-over-year to $2.8 million, primarily due to the $178 million impact of an extra fiscal week in 2016.
   Meanwhile, fourth quarter 2017 expenses tumbled 14 percent year-over-year.
   “CSX’s performance continued to strengthen in the fourth quarter, building upon the scheduled railroading model that was instituted by Hunter Harrison,” said James Foote, president and chief executive officer since former CEO Hunter Harrison’s passing in December. “I’m excited about the progress we are making and am confident we have the right team in place to achieve our goal of becoming the best railroad in North America.
   “CSX’s team of dedicated railroaders remains focused on creating value for our customers and our shareholders through operational excellence and the continued execution of our new operating plan,” Foote said. “We look forward to improving the quality of service for our customers and growing our business.”