Canadian Pacific Kansas City (CPKC) announced its second-quarter results, including revenues of $3.2 billion, diluted earnings per share (“EPS”) of $1.42 and core adjusted combined diluted EPS1 of $0.83.
This quarter we made history by completing our transformational combination to create the first single-line transnational railroad linking Canada, the United States and Mexico,” said Keith Creel, CPKC President and Chief Executive Officer. “By uniting the outstanding railroaders at Canadian Pacific and Kansas City Southern to form our new CPKC family, we already are changing the freight rail industry, redrawing the map and delivering on the many benefits of our combined network.”
Second quarter 2023 results2
- Reported operating ratio (OR) increased by 970 basis points to 70.3 percent from 60.6 percent in Q2 2022
- Core adjusted combined OR1 increased 430 basis points to 64.6 percent from 60.3 percent in Q2 2022
- Reported diluted EPS increased to $1.42 from $0.82 in Q2 2022 due to the net impact of the derecognition of the investment in Kansas City Southern (KCS) upon consolidation
- Core adjusted combined diluted EPS1 decreased to $0.83 from $0.95 in Q2 2022
- Federal Railroad Administration-reportable train accident frequency declined 32 percent to 0.76 from 1.11 in Q2 2022
“Despite the challenging results, we still expect to deliver mid-single-digit Core adjusted combined diluted EPS1 growth in 2023,” Creel added. “The long-term growth opportunities for this franchise are unique and undeniable. With our CPKC advantage, we are extending our reach for our customers, introducing new service offerings to the marketplace and creating new competition in North American supply chains.”
-via Press Release