CSX Corp. (CSX) said Tuesday its second-quarter profit chugged ahead 2 percent as the economy continued to improve, so the railroad is investing an additional $100 million in its network.
The Jacksonville, Florida-based company said its net income improved to $529 million, or 53 cents per share, from $521 million, or 51 cents per share, in the same period last year.
The average estimate of analysts surveyed by Zacks Investment Research was for profit of 52 cents per share.
The freight railroad said revenue improved 7 percent to $3.24 billion from $3.05 billion last year as it hauled 8 percent more carloads of freight. Analysts expected $3.25 billion, according to Zacks.
CSX Chairman, President and CEO Michael Ward said the railroad is increasing its capital spending plan to $2.4 billion for the year because of the improving economy. CSX also plans to hire additional workers.
CSX affirmed its prediction for modest profit growth this year and double-digit profit growth in 2015 and beyond.