CSX says weak coal, crude oil demand will slow the railroad's profit growth this year

MarketsAssociated Press

CSX says faltering demand for coal and crude oil will slow profit growth this year and the railroad plans to lay off roughly 1 percent of its workers to adjust.

Railroad executives said Wednesday that CSX is improving its efficiency and raising prices, but it will be difficult to deliver results near the upper end of their forecast for mid-to-high single-digit earnings per share growth in 2015.

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CSX predicted relatively flat third-quarter profit with slower volume and continued weak energy demand.

The Jacksonville, Florida, company this week reported second-quarter profit of $553 million, up from $529 million, last year.

Revenue fell 6 percent to $3.06 billion.