Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
CSX Corp., profitability ratios
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | CSX Corp. operating profit margin ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | CSX Corp. net profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022 not reaching 2020 level. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | CSX Corp. ROE improved from 2020 to 2021 and from 2021 to 2022. |
| ROA | A profitability ratio calculated as net income divided by total assets. | CSX Corp. ROA improved from 2020 to 2021 and from 2021 to 2022. |
Operating Profit Margin
CSX Corp., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | 6,023) | 5,594) | 4,362) | 4,965) | 4,869) | |
| Revenue | 14,853) | 12,522) | 10,583) | 11,937) | 12,250) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 40.55% | 44.67% | 41.22% | 41.59% | 39.75% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| FedEx Corp. | 6.68% | 6.98% | 3.49% | 6.41% | 7.44% | |
| Uber Technologies Inc. | -5.75% | -21.97% | -43.66% | -60.76% | — | |
| Union Pacific Corp. | 39.87% | 42.83% | 40.11% | 39.40% | — | |
| United Parcel Service Inc. | 13.05% | 13.17% | 9.08% | 10.52% | — | |
| Operating Profit Margin, Sector | ||||||
| Transportation | 10.94% | 10.96% | 7.08% | 6.80% | — | |
| Operating Profit Margin, Industry | ||||||
| Industrials | 9.38% | 9.86% | 4.69% | 9.74% | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
Operating profit margin = 100 × Operating income ÷ Revenue
= 100 × 6,023 ÷ 14,853 = 40.55%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | CSX Corp. operating profit margin ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022. |
Net Profit Margin
CSX Corp., net profit margin calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net earnings | 4,166) | 3,781) | 2,765) | 3,331) | 3,309) | |
| Revenue | 14,853) | 12,522) | 10,583) | 11,937) | 12,250) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 28.05% | 30.19% | 26.13% | 27.90% | 27.01% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| FedEx Corp. | 4.09% | 6.23% | 1.86% | 0.77% | 6.99% | |
| Uber Technologies Inc. | -28.68% | -2.84% | -60.76% | -60.13% | — | |
| Union Pacific Corp. | 28.13% | 29.92% | 27.38% | 27.27% | — | |
| United Parcel Service Inc. | 11.51% | 13.25% | 1.59% | 5.99% | — | |
| Net Profit Margin, Sector | ||||||
| Transportation | 5.28% | 10.95% | 0.66% | 1.33% | — | |
| Net Profit Margin, Industry | ||||||
| Industrials | 5.38% | 6.53% | 1.71% | 4.12% | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
Net profit margin = 100 × Net earnings ÷ Revenue
= 100 × 4,166 ÷ 14,853 = 28.05%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | CSX Corp. net profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022 not reaching 2020 level. |
Return on Equity (ROE)
CSX Corp., ROE calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net earnings | 4,166) | 3,781) | 2,765) | 3,331) | 3,309) | |
| Shareholders’ equity, attributable to CSX | 12,615) | 13,490) | 13,101) | 11,848) | 12,563) | |
| Profitability Ratio | ||||||
| ROE1 | 33.02% | 28.03% | 21.11% | 28.11% | 26.34% | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| FedEx Corp. | 15.34% | 21.64% | 7.03% | 3.04% | 23.55% | |
| Uber Technologies Inc. | -124.54% | -3.43% | -55.18% | -59.94% | — | |
| Union Pacific Corp. | 57.54% | 46.06% | 31.54% | 32.65% | — | |
| United Parcel Service Inc. | 58.36% | 90.44% | 204.41% | 135.90% | — | |
| ROE, Sector | ||||||
| Transportation | 20.60% | 36.02% | 2.51% | 4.49% | — | |
| ROE, Industry | ||||||
| Industrials | 15.87% | 16.89% | 4.68% | 14.46% | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
ROE = 100 × Net earnings ÷ Shareholders’ equity, attributable to CSX
= 100 × 4,166 ÷ 12,615 = 33.02%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | CSX Corp. ROE improved from 2020 to 2021 and from 2021 to 2022. |
Return on Assets (ROA)
CSX Corp., ROA calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net earnings | 4,166) | 3,781) | 2,765) | 3,331) | 3,309) | |
| Total assets | 41,912) | 40,531) | 39,793) | 38,257) | 36,729) | |
| Profitability Ratio | ||||||
| ROA1 | 9.94% | 9.33% | 6.95% | 8.71% | 9.01% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| FedEx Corp. | 4.45% | 6.32% | 1.75% | 0.99% | 8.74% | |
| Uber Technologies Inc. | -28.47% | -1.28% | -20.35% | -26.78% | — | |
| Union Pacific Corp. | 10.69% | 10.27% | 8.57% | 9.60% | — | |
| United Parcel Service Inc. | 16.24% | 18.57% | 2.15% | 7.67% | — | |
| ROA, Sector | ||||||
| Transportation | 5.20% | 9.49% | 0.52% | 1.16% | — | |
| ROA, Industry | ||||||
| Industrials | 3.57% | 3.95% | 0.89% | 2.57% | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
ROA = 100 × Net earnings ÷ Total assets
= 100 × 4,166 ÷ 41,912 = 9.94%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | CSX Corp. ROA improved from 2020 to 2021 and from 2021 to 2022. |