2 Industrial Services Stocks Offering Guidance After Earnings
CSX Corporation (NYSE:CSX) reported its results for the third quarter. Net income for CSX Corporation rose to $464 million (43 cents per share) vs. $414 million (36 cents per share) in the same quarter a year earlier. This marks a rise of 12.1% from the year earlier quarter. Revenue rose 11.1% to $2.96 billion from the year earlier quarter. CSX fell short of the mean analyst estimate of 44 cents per share. Analysts were expecting revenue of $2.98 billion.
“Even as the economy moderated, CSX delivered strong financial results while investing in additional resources to strengthen customer service,” said Michael J. Ward, chairman, president and chief executive officer. “This helped position our business, our customers and our communities for growth in the near- and long-term.”
Competitors to Watch: Norfolk Southern Corp. (NYSE:NSC), Union Pacific Corporation (NYSE:UNP), Kansas City Southern (NYSE:KSU), Genesee & Wyoming Inc. (NYSE:GWR), Providence & Worcester Railroad Co. (NASDAQ:PWX), Burlington Northern Santa Fe, LLC (BNI), Canadian National Railway (NYSE:CNI), Canadian Pacific Railway Ltd. (NYSE:CP), and Pioneer Railcorp (PRRR).
Waste Connections Inc. (NYSE:WCN) reported its results for the third quarter. Net income for the waste management company rose to $46.3 million (41 cents per share) vs. $41 million (35 cents per share) in the same quarter a year earlier. This marks a rise of 13% from the year earlier quarter. Revenue rose 16.8% to $404 million from the year earlier quarter. WCN reported adjusted net income of 42 cents per share. By that measure, the company beat the mean estimate of 40 cents per share. Analysts were expecting revenue of $399.2 million.
“We once again exceeded the upper end of our revenue and margin expectations due primarily to continuing strength in pricing, special waste activity and recycling commodity values. The percentage year-over-year increase in adjusted operating income before depreciation and amortization again surpassed revenue growth in the third quarter despite an approximate 35% increase in fuel expense, and adjusted EPS increased 20% over the prior year period,” said Ronald J. Mittelstaedt, Chairman and Chief Executive Officer. “Our strong operating performance, free cash flow generation and capital position enabled us to increase our dividend 20%, while retaining ample flexibility to fund our growth strategy and continuing share repurchases.”
Competitors to Watch: Waste Management, Inc. (NYSE:WM), Republic Services, Inc. (NYSE:RSG), Casella Waste Systems Inc. (NASDAQ:CWST), WCA Waste Corporation (NASDAQ:WCAA), Perma-Fix Environmental Services, Inc. (NASDAQ:PESI), IESI BFC Ltd (NYSE:BIN), Avalon Holdings Corp. (AMEX:AWX), Industrial Services of America, Inc. (NASDAQ:IDSA), Stericycle, Inc. (NASDAQ:SRCL), and GreenGold Ray Energies, Inc. (GRYE).