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CSX Posts Soft Q4, Cautious 2026 Outlook as Shares Rise After Hours

Guidance points to low single-digit revenue growth for 2026 following the withdrawal of 2027 targets.

Overview

  • Fourth-quarter revenue was $3.51 billion, down 1% year over year, with operating income of $1.11 billion and net earnings of $720 million, or $0.39 per share.
  • Results included about $50 million in severance and technology rationalization costs that reduced EPS by roughly $0.02.
  • CSX missed Street estimates with EPS of $0.39 versus $0.42 expected and revenue of $3.51 billion versus $3.54 billion, yet shares climbed about 5.8% in extended trading.
  • For full-year 2025, revenue totaled $14.09 billion with operating income of $4.52 billion, or $4.69 billion on an adjusted basis excluding a $164 million Q3 goodwill impairment.
  • Management cited subdued industrial demand and highlighted productivity and cost-control efforts, noting operational gains from completed infrastructure work that lifted average train speed to 19.6 mph with 87% on-time delivery.