v3.26.3
Segment Reporting and Significant Expenses
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting and Significant Expenses Segment Reporting and Significant Expenses
The Company has two operating segments: rail and trucking. Although the Company provides a breakdown of revenue by line of business, the overall financial and operational performance of the railroad is analyzed as one operating segment due to the integrated nature of the rail network. The Rail column in the table below includes the activities of all CSX entities other than the trucking company, Quality Carriers, and also includes the Company's equity in the net income of equity method investments. As the trucking segment is not material for separate disclosure as a reportable segment, the results of these operations are included as a reconciliation to the Company's consolidated results in the tables below.

The Company's chief operating decision maker ("CODM") is its CEO. The CODM reviews information presented on a consolidated basis, accompanied by supplemental information about the trucking segment separately, for purposes of allocating resources and evaluating financial performance. The Company has determined that operating income is the key measure of segment profit or loss as this measure is the focus of the CODM in developing financial plans, including resource allocation, and evaluating actual financial performance against plan. The CODM regularly reviews operating results broken out by significant expense.
NOTE 11.    Segment Reporting and Significant Expenses, continued

The table below presents information about the Company's significant expenses and the required reportable segment reconciliations for the quarters ended September 30, 2026, and September 30, 2025.

Third Quarters
20262025
(Dollars in Millions)RailReconciliation to ConsolidatedRailReconciliation to Consolidated
Revenue (a)
$3,790 $3,380 
Reconciliation of Revenue
Trucking Revenue (a)
230215
Elimination of intersegment revenues(3)(8)
Total Consolidated Revenue$4,017 $3,587 
Expense (b)
Labor and Fringe$782 $758 
Purchased Services and Other548624
Depreciation and Amortization398408
Fuel
Locomotive384237
Non-Locomotive3323
Equipment and Other Rents8780
Gain on Property Disposition(11)(6)
Segment Operating Income$1,569 $1,256 
Reconciliation of Operating Income
Trucking Expenses (b)
229384
Elimination of intersegment expenses(3)(8)
Total Consolidated Operating Income$1,570 $1,087 
Interest Expense(207)(210)
Other Income - Net2121
Earnings Before Income Taxes$1,384 $898 
NOTE 11.    Segment Reporting and Significant Expenses, continued

The table below presents information about the Company's significant expenses and the required reportable segment reconciliations for the nine months ended September 30, 2026, and September 30, 2025.
Nine Months
20262025
(Dollars in Millions)RailReconciliation to ConsolidatedRailReconciliation to Consolidated
Revenue (a)
$10,779 $9,964 
Reconciliation of Revenue
Trucking Revenue (a)
664641
Elimination of intersegment revenues(9)(21)
Total Consolidated Revenue$11,434 $10,584 
Expense (b)
Labor and Fringe$2,327 $2,268 
Purchased Services and Other1,6301,893
Depreciation and Amortization1,1931,228
Fuel
Locomotive1,014688
Non-Locomotive9675
Equipment and Other Rents258252
Gain on Property Disposition(57)(11)
Segment Operating Income$4,318 $3,571 
Reconciliation of Operating Income
Trucking Expenses (b)
653801
Elimination of intersegment expenses(9)(21)
Total Consolidated Operating Income$4,329 $3,411 
Interest Expense(631)(631)
Other Income - Net6969
Earnings Before Income Taxes$3,767 $2,849 

(a) Trucking revenue is comprised of revenue from Quality Carriers. Rail revenue represents revenue attributed to all CSX entities other than the trucking company, Quality Carriers.

(b) Trucking expenses include labor and fringe, purchased services and other, depreciation and amortization, fuel, equipment and other rents, and gains/losses on property dispositions from the operations of Quality Carriers. Rail expenses represent expenses attributable to all CSX entities other than the trucking company, Quality Carriers. Trucking expenses for the three and nine months ended September 30, 2025, include a $164 million impairment charge of Quality Carrier's goodwill. For more information related to the 2025 impairment, see CSX's most recent annual report on Form 10-K.
NOTE 11.    Segment Reporting and Significant Expenses, continued
Capital expenditures made by the rail segment were $581 million and $717 million, for the third quarters 2026 and 2025, respectively, and $1,679 million and $2,173 million, for the nine months ended September 30, 2026, and September 30, 2025, respectively. The total of the rail segment's reportable assets was $45.0 billion and $43.5 billion as of September 30, 2026, and December 31, 2025, respectively, out of total consolidated assets of $45.2 billion and $43.7 billion for the respective periods. The remaining non-rail assets are comprised of assets held by the trucking operating segment.