Canadian Pacific Railway is targeting domestic intermodal as one of the two biggest drivers of growth for the company in the coming years. The railroad said it has already gained market share though new services.
Canadian Pacific Railway
Canadian Pacific Railway is one of the two Canadian rail giants, with 2012 net income of C$484 million on revenue of C$5.695 billion. The transcontinental railroad’s network encompasses 14,700 miles of track in six Canadian provinces and 13 U.S. states; it has approximately 16,100 employees.
In 2012, activist investor William Ackman’s victory in a proxy fight for control of CP triggered a major restructuring of North America’s most underperforming major railroad. Under the helm of railroading legend Hunter E. Harrison, CP is on track to become a leaner and fiercer competitor to larger archrival Canadian National Railway.
For 2013, the company expects revenue growth in the high single digits and an operating ratio in the low 70s. In the third quarter of 2013, its net profit rose 48 percent year-over-year to C$324 million on revenue of C$1.5 billion, up 6 percent year-over-year from the same period in 2012; its operating ratio for the quarter improved to 65.9 percent.
Press Releases
03 Jan 2014
Canadian Pacific Railway will sell the western end of its Dakota, Minnesota and Eastern line to Genesee & Wyoming for $210 million, the latest effort by the former to boost profitability by cutting non-core assets.
12 Nov 2013
U.S.-based major railroads’ profit growth surged back in the third quarter, as resilient pricing and increased operational efficiencies overcame a 2.8 percent drop in total volume hauled compared to the same period last year.
23 Oct 2013
Canadian Pacific reported its net income in the third quarter of 2013 was C$324 million, jumping 48 percent year-over-year.
08 Aug 2013
U.S. Development Group and Gibson Energy have partnered to expand USDG’s crude-by-rail development to Canada, in turn boosting transportation optionality for Gibson’s Hardisty Terminals customers in Alberta.
07 Aug 2013
U.S.-based major railroads’ total profit growth slowed dramatically in the second quarter, as Norfolk Southern Railway and Kansas City Southern Railway saw double-digit declines in earnings gains on a year-over-year basis.
24 Jul 2013
Canadian Pacific reported its profit in the second quarter of 2013 was C$252 million (about US$245 million), spiking 145 percent from C$103 million in the second quarter of 2012.
11 Jul 2013
K+S Potash Canada and Canadian Pacific have signed a long-term, volume-based contract for the transportation of potash products from K+S’s Legacy site.
20 Jun 2013
Canadian Pacific has hired Robert Johnson as vice president of U.S. operations.
20 Jun 2013
Canadian Pacific has launched a new intermodal service between Toronto and Calgary, Alberta, that is 20 hours faster than previous schedules.
14 May 2013
Anyone with doubts of the U.S. Class I railroad industry’s pricing power and improved efficiency, should look at the major carriers’ first quarter financials.
08 May 2013
Following a higher than expected 2013 cash flow projection, Canadian Pacific will move some capital spending projects originally planned for 2014 into this year.
