Analyst Note
| Matthew Young, CFA |Eastern Class-I railroad CSX’ first-quarter revenue grew a healthy 21% year over year on core-yield improvement, higher fuel surcharges and accessorial, and the addition of Quality Carriers. Growth exceeded our expected run rate on solid total-yield gains (up 24% including fuel and spiking export-coal benchmark pricing). Despite lackluster volume trends of late, CSX’s pricing power continues to enjoy tailwinds from tight capacity across transportation modes.