Canadian National Railway Co. is lowering its earnings forecast for the year on the heels of falling profits and revenue last quarter. CN rail trains are shown at the CN MacMillan Yard in Vaughan, Ont., on Monday, June 20, 2022. THE CANADIAN PRESS/Nathan Denette
MONTREAL – Canadian National Railway Co. is lowering its earnings forecast for the year after falling profits and revenue last quarter and a sluggish economic environment.
Canada’s largest railway says it now expects flat to slightly negative adjusted diluted earnings in 2023, instead of the mid-single-digit growth it predicted three months ago.
CN reports net income fell by 12 per cent year over year to $1.17 billion in the quarter ended June 30.
It says revenues in its second quarter dropped seven per cent to $4.06 billion from $4.34 billion in the same period a year earlier.
On an adjusted basis, diluted earnings per share fell nine per cent to $1.76 from $1.93 the year before.
CN says lower consumer demand as well as disruptions caused by wildfires reduced freight service, particularly for containers, crude oil, grain exports and forest products.
This report by The Canadian Press was first published July 25, 2023.
Companies in this story: (TSX:CNR)
