In the second quarter, the company's freight revenue increased by about 28 per cent over the same period a year ago.
There is a train in the city.
The photo was taken by Azin Ghaffari.
Despite an increase in revenue, Canadian Pacific Railway reported a dip in profits.
According to an update on July 28, the second largest railroad in the country increased revenue by seven per cent year over year due to increased sales of potash.
The company's net income fell to $765 million in the second quarter, from $1.25 billion in the same period a year ago. The earnings per share were lower. The company's core adjusted earnings per share was down eight per cent. The impact of the $845-million termination fee received by the company in the second quarter of 2021 is not included in the metric. The Wall Street Journal reported that analysts were expecting 92 cents.
The deal to buy KCS resulted in the issuance of 268.6 million new common shares by the company. The profits were not as high as last year.
The first railroad to run from Canada through the United States to Mexico is still being reviewed by a U.S. Regulator. The public hearing on the transaction will take place in late September. The board is expected to make a decision by the beginning of next year, according to the chief executive.
Creel said that they were on the verge of getting approval.
The railroad's sales of grain in the quarter decreased by 17 per cent. Canadian National Railway Co. has suffered through a drop in Canadian shipments this year due to the extreme dry spell in the Prairies.
The new crop is expected to be more than 70 million metric, according to the chief marketing officer of Canadian Pacific.
The crop may come off later than usual because of a wet spring, which could push the revenue boost from grain shipments to the fourth quarter.
In the second quarter, the freight revenue from potash increased by about 28 per cent over the same period a year ago. The price of potash in Canada has gone up due to the conflict in Ukraine.
The company said revenue from intermodal freight rose by 29 per cent.
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