As a result of dropped shipments and fewer fuel surcharges collected, railroad company CSX has reported a 20 percent fall in its second-quarter profit, with revenue and margins having declined. Nonetheless, the results still surpassed the Wall Street expectations, as the company cut costs by 27 percent.

The Jacksonville, Florida-based company said on Monday that it earnings for the second quarter stood at $308 million, or 78 cents per share; as against the year-before figures of $385 million, or 93 cents per share. Excluding charges - mostly those pertaining to its now-sold money-losing Greenbrier resort - the earnings from continuing operations were 72 cents per share, compared to last year's 95 cents per share.

According to Thomson Reuters, the analysts had anticipated a profit of 62 cents per share, with revenue being $2.27 billion.

During the quarter, the shipping volume of CSX - the third ranking US railroad by revenue - dropped 21 percent, while the industry-wide drop stood at 22 percent. Generally, railroad shipping volumes are considered to be a critical economic indicator, due to the fact that a number of consumer and manufactured goods are transported on the tracks.

Commenting on CSX's recently posted results, CEO Michael Ward said: "While the economy continues to significantly impact our business, there are some signs that we may be seeing the bottom in many markets."