CSX Corporation's (CSX) Q1 2022 Earnings Call Transcript

For the period ending March 31, 2022

April 20, 2022 4:30 p.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good afternoon. My name is Emma, and I will be your conference operator today. At this time, I would like to welcome everyone to the Q1 2022 CSX Corporation Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks, there will be a question-answer session.

Thank you. Matthew Korn, CSX Head of Investor Relations. You may begin your conference.

Matthew Korn - Head of IIR

Thank you, Emma. Good afternoon, everyone and welcome. Joining me on today’s call are Jim Foote, President and Chief Executive Officer; Kevin Boone, Executive Vice President, Sales and Marketing; Jamie Boychuk, Executive Vice President of Operations; and Sean Pelkey, Executive Vice President and Chief Financial Officer. In our presentation, you will find our forward-looking disclosure on slide two, followed by our non-GAAP disclosure on slide three.

And with that, it’s my pleasure to introduce our President and Chief Executive Officer, Jim Foote. Jim?

Jim Foote - President and CEO

Great. Thank you, Matthew, and thank you to everyone for again joining us on our call today. I will begin by expressing my thanks to all of CSX employees, who continue to put in tremendous efforts to serve our customers effectively and above all safely.

I’d also like to welcome today, Steve Fortune, who’s with us in the room here today in Jacksonville. Steve serves in a newly created role of Executive Vice President and Chief Digital and Technology Officer, and will focus on harnessing transformative technologies to further growth and enable continued efficiency across the business. His experience leading technology organizations at a global industrial company will be very helpful as we continue to transform CSX.

Now moving to the quarter, we are pleased with our results this quarter, though we are not yet satisfied with our service performance. The effects of COVID and severe weather across much of our network clearly led to a tough start to the year. But as we moved into March, operating conditions began to gradually improve and we do see indications that this momentum is continuing.

For over a year, we have communicated to you that the key to rebuilding our service to pre-pandemic levels is to hire more trained and engine service employees. I am pleased to say that our efforts there are progressing well and our active T&E count has moved steadily higher this year. The people and resources that we are putting in place today will allow us to provide reliable, efficient service to an expanding number of customers.