Canadian Pacific posts record Q2 earnings

Canadian Pacific yesterday reported second-quarter net income soared 46 percent to CA$480 million, or CA$3.27 per diluted share, and revenue increased 13 percent to CA$1.64 billion compared with the same quarter last year.

The Class I's record-setting second-quarter earnings were driven in part by increased shipments of grain, coal, potash, energy products and metals.

"This quarter's impressive results demonstrate the power of precision railroading," said President and Chief Executive Officer Keith Creel in a press release. "Strong volumes across many of our key business segments, combined with disciplined cost control, produced record operating income and earnings for the quarter."

The Class I posted adjusted earnings per share rose 35 percent to CA$2.77 per diluted share.

Additionally, CP reported its operating ratio during the quarter improved to a Q2 record of 58.7 percent from 62 percent a year ago. Operating income climbed 23 percent to CA$679 million — also a Q2 record — while adjusted income jumped 30 percent to CA$407 million compared with last year's second quarter.

"We are off to a strong start in 2017 and remain confident that our team of committed railroaders will continue to safely and efficiently deliver results for our customers and shareholders in the second half of the year and beyond," Creel said.