CSX Corp. (NASDAQ:CSX)

The financial data over the five-year period reveals fluctuations in both current assets and adjusted current assets. Initially, from 2018 to 2019, there is a noticeable increase in current assets, rising from 2,565 million USD to 3,278 million USD, which represents a significant growth.

In 2020, current assets increase further to 4,441 million USD, marking the peak within the observed timeframe. However, this trend reverses in 2021 when current assets decline to 3,873 million USD. The subsequent year, 2022, displays relative stability with current assets slightly decreasing to 3,849 million USD compared to the prior year.

The pattern for adjusted current assets closely mirrors that of current assets, indicating consistency in both measures. Adjusted current assets rise from 2,591 million USD in 2018 to 3,308 million USD in 2019, followed by a peak in 2020 at 4,469 million USD. Thereafter, they drop to 3,901 million USD in 2021 and show a marginal decrease to 3,882 million USD in 2022.

Trend Summary

There was a strong growth in current and adjusted current assets between 2018 and 2020, with an increase exceeding 70% over this two-year span.

After 2020, both metrics experienced a decline and then plateaued between 2021 and 2022.

The similarity in values between current assets and adjusted current assets suggests that adjustments applied are minor and do not materially affect the overall asset levels.

Overall, the data indicates that the company expanded its liquid asset base substantially up to 2020 but encountered conditions leading to a contraction and stabilization in the following two years. This could reflect changes in operational requirements, liquidity management strategies, or external economic factors affecting asset composition and availability.

The analysis of the financial data over the five-year period reveals a consistent upward trend in both total assets and adjusted total assets. The total assets increased from 36,729 million US dollars at the end of 2018 to 41,912 million US dollars by the end of 2022. This demonstrates a steady growth in the company's asset base, indicating potential expansion or acquisition activities.

Similarly, the adjusted total assets show a parallel increase, starting at 37,058 million US dollars in 2018 and reaching 41,945 million US dollars in 2022. The close alignment between total assets and adjusted total assets throughout the period suggests stable accounting practices or adjustments that do not significantly alter the asset valuation.

The year-over-year growth rates for both metrics appear to moderate slightly after 2020 but remain positive, reflecting a sustained investment in or accumulation of assets. Overall, the data indicates a positive asset growth trajectory without notable volatility or decline.

Total Assets

Increased steadily from 36,729 million US dollars in 2018 to 41,912 million US dollars in 2022.

Adjusted Total Assets

Paralleled total assets growth closely, rising from 37,058 million US dollars in 2018 to 41,945 million US dollars in 2022.

Trend Analysis

Consistent growth suggests effective asset management and possible expansion efforts, with adjustments maintaining a stable relationship with reported total assets.

The financial data indicates an upward trend in both total liabilities and adjusted total liabilities over the five-year period from December 31, 2018, to December 31, 2022.

Total liabilities

Total liabilities increased consistently each year, rising from $24,149 million at the end of 2018 to $29,287 million by the end of 2022. This represents an overall increase of approximately 21.4% over the period. The growth was relatively steady, with incremental increases ranging between $250 million and $950 million annually. This suggests a moderate expansion in the company’s obligations or financing activities during this timeframe.

Adjusted total liabilities

Adjusted total liabilities also showed a consistent upward trend, growing from $17,762 million in 2018 to $21,718 million in 2022. This represents an increase of about 22.2%, slightly outpacing the growth rate of total liabilities. The increases each year were relatively stable, with the largest single-year gain occurring between 2021 and 2022. The adjusted figure likely reflects a refined measure of liabilities, eliminating certain items to provide a view of core obligations, and its steady rise may indicate increasing operational or financial commitments.

Comparative insights

The gap between total liabilities and adjusted total liabilities remained relatively consistent over the period, indicating that the adjustments applied to total liabilities were proportionally stable. Both metrics growing at similar rates suggests that any factors excluded in the adjusted liabilities also increased in line with the overall liabilities.

The financial data reflects the trends in shareholders' equity of the company over a five-year period from 2018 to 2022. Both the reported shareholders' equity attributable to CSX and the adjusted total shareholders' equity are provided in millions of US dollars.

Shareholders' Equity, Attributable to CSX

This metric exhibited a slight fluctuation over the years. Starting at approximately $12,563 million in 2018, it experienced a decrease in 2019 to about $11,848 million. Subsequently, it increased to $13,101 million in 2020 and peaked at $13,490 million in 2021. However, in 2022, it declined again to $12,615 million. Overall, the trend shows moderate volatility with a net increase from 2019 to 2021 followed by a reduction in the final year.

Adjusted Total Shareholders’ Equity

This measure consistently remained higher than the reported equity, indicating the inclusion of additional adjustments in its calculation. Starting at $19,296 million in 2018, it demonstrated a slight decline to $18,854 million in 2019. Thereafter, it showed a steady increase through 2020 and 2021 reaching $20,306 million and $20,911 million respectively. In 2022, a marginal decrease to $20,227 million was observed. The adjusted equity reflects more stability and a generally upward trajectory despite the small dips in 2019 and 2022.

The overall analysis suggests that while the underlying shareholders' equity attributable to the company exhibited some year-to-year fluctuations, it remained relatively stable over the period when considering annual changes. The adjusted total shareholders' equity indicated a more consistent growth pattern, though it also showed minor decreases in certain years. This could imply that underlying adjustments incorporated into the adjusted equity help smoothen short-term volatility and provide a broader perspective on the company's equity position.

The financial data reveals several important trends in the company’s capital structure from 2018 through 2022. Both reported and adjusted figures show a general increase over the period, but with some fluctuations that warrant attention.

Total Reported Debt

This metric rose consistently from US$14,757 million in 2018 to US$18,047 million in 2022. Although there was a slight decline in 2021 compared to 2020, the overall trend indicates a gradual increase in the company’s leverage.

Shareholders’ Equity, Attributable to CSX

Shareholders’ equity experienced a decline initially, dropping from US$12,563 million in 2018 to US$11,848 million in 2019. It then recovered, reaching a peak of US$13,490 million in 2021 before falling back to US$12,615 million in 2022. This points to some volatility in equity, potentially influenced by retained earnings or accounting adjustments.

Total Reported Capital

The total reported capital, which sums debt and shareholders’ equity, increased modestly over the period, moving from US$27,320 million in 2018 to US$30,662 million in 2022. This suggests that the company is gradually expanding its overall financing base.

Adjusted Total Debt

The adjusted total debt figures are consistently higher than the reported debt, suggesting the inclusion of additional liabilities or adjustments for off-balance sheet items. Adjusted total debt rose from US$15,060 million in 2018 to US$18,604 million in 2022, following a pattern parallel to reported debt but at a consistently elevated level.

Adjusted Total Shareholders’ Equity

Adjusted equity also shows an initial decline from US$19,296 million in 2018 to US$18,854 million in 2019, then grows to US$20,911 million in 2021 before retreating slightly to US$20,227 million in 2022. The adjusted equity is significantly higher than the reported equity, which may reflect the capitalization of intangible assets or other balance sheet adjustments.

Adjusted Total Capital

The adjusted total capital demonstrates steady growth over the years, rising from US$34,356 million in 2018 to US$38,831 million in 2022. This steady increase reflects the company's growing financial base when considering these adjustments.

Overall, the company shows a moderate increase in both debt and total capital, with equity exhibiting some volatility but generally recovering after an initial dip. The adjustments consistently increase the reported values, highlighting the importance of considering these figures for a complete understanding of the company's financial position. The upward trends in debt and capital may indicate ongoing investments or expansion efforts, and the equity fluctuations suggest the company has faced varying profitability or capital management results during this timeframe.

Net Earnings

The net earnings exhibit a fluctuating but overall upward trend over the five-year period. Beginning at 3,309 million USD in 2018, the figure shows a slight increase to 3,331 million USD in 2019. In 2020, there is a noticeable decrease to 2,765 million USD, suggesting a potential impact from external or internal adverse factors during that year. Following this decline, net earnings recover substantially in 2021, reaching 3,781 million USD, and continue to rise in 2022 to 4,166 million USD, surpassing the levels achieved at the start of the period.

Adjusted Net Earnings

Adjusted net earnings follow a similar pattern to net earnings, with more pronounced variations. Starting from 3,413 million USD in 2018, there is a steady increase to 3,594 million USD in 2019. The figure decreases to 3,020 million USD in 2020, reflecting the challenges encountered that year. However, adjusted net earnings demonstrate a strong rebound in 2021, significantly increasing to 4,138 million USD, and further increasing in 2022 to 4,308 million USD. The adjustment appears to accentuate the recovery and growth trends observed in net earnings, indicating improved underlying profitability or the exclusion of non-recurring items.

Overall Insight

Both net earnings and adjusted net earnings experienced a dip in 2020, followed by a robust recovery and consistent growth through 2022. The adjusted figures suggest that the company’s core earnings power has strengthened over time. The data indicates effective management responses to challenges and improving operational performance in recent years.