30 October 2007
Grain Helps Boost CPR's Q3
A 5.5 percent jump in grain revenue through increased traffic
helped Canadian Pacific Railway (CPR) improve its third-quarter net by 34 percent, the company announced
Monday.
CPR reported net income of $218.6 million on $1.19 billion in revenue for the quarter ending 30 Sep 2007, up from $163.8
million on $1.15 billion in its year-earlier Q3.
The railway also saw increases of seven percent in its coal and intermodal freight revenue, offset by a 20.9 percent decrease in forest
product revenue, and a four percent drop from the sulphur and fertilizer sector.
CPR posted Q3 grain revenues of $237.8 million, up from $225.3 million in the year-earlier period. The railway moved
100,900 carloads of grain in the quarter, up five percent from 96,200 in its 2006 Q3, for revenue per carload of $2,357, up 0.6
percent.
"We delivered these results in the face of a strengthening Canadian dollar and increasing fuel costs," said CPR CEO Fred
Green in a release. The company posted a 15 percent increase in fuel expenses, due primarily to increased refining margins, it said.
Equipment rental costs also rose 12 percent, due in part to the added locomotives needed to move more freight, the company reported.
Overall, it hauled 687,400 carloads of freight in its Q3, up 6.2 percent.
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