(Calgary) Canadian Pacific Railway saw its revenues and profits decline in the first quarter, as a poor grain harvest, harsh winter conditions and a work stoppage affected its operations.
Posted yesterday at 5:18 p.m.
Chief executive Keith Creel says last year’s drought devastated grain volumes, while wintry weather in early 2022 and a two-day strike in March pushed revenue down 6% and profits of 2% compared to the same period last year.
Revenue from grain deliveries, usually the railroad’s biggest source of revenue, plummeted 20%, putting that category below intermodal.
Net profit slipped to 590 million for the quarter ended March 31, compared to 602 million for the same period in 2021.
First-quarter revenue fell to $1.84 billion from $1.96 billion a year ago.
Earnings per share dipped to 63 cents from 90 cents in the first quarter last year. Analysts on average had expected a profit of 73 cents per share, according to forecasts compiled by financial data firm Refinitiv.