CPKC CEO cites ‘challenging’ quarterly results following railway merger
By The Canadian Press on July 27, 2023.
CALGARY – Canadian Pacific Kansas City Ltd. says its first quarter following a major merger was a tough one, as wildfires and falling container demand plagued operations across the rail sector. CP reports total revenues of $3.17 billion in the quarter ended June 30, compared with $2.20 billion a year earlier – well before the marriage of North America’s two smallest Class 1 railways in April. The Calgary-based railway operator says net income reached $1.33 billion in its second quarter versus $765 million the year before. It says diluted earnings notched $1.42 per share, above the 82 cents per share of the same period in 2022. Chief executive Keith Creel says the results are challenging, but that long-term growth opportunities are evident given the greater reach of the merged outfit. CP’s US$31-billion purchase of Kansas City Southern – the continent’s first big railway merger in more than two decades – created the only railway stretching from Canada through to the U.S. and Mexico. This report by The Canadian Press was first published July 27, 2023. Companies in this story: (TSX:CP) 9-8
