CALGARY — Canadian Pacific Railway Ltd. saw revenue and profits dip in its first quarter as a weak grain harvest, a harsh winter and a work stoppage took their toll.
CEO Keith Creel says last year's drought devastated grain volumes, while frigid weather early in 2022 and a two-day strike in March brought down revenue by six per cent and earnings by two per cent year over year.
Revenue from grain shipments — typically the railroad operator's biggest money maker — tumbled 20 per cent, putting it below intermodal traffic.
Total net income slipped to $590 million in the quarter ended March 31, compared with $602 million in the same period in 2021.
First-quarter revenues fell to $1.84 billion from $1.96 billion last year.
Diluted earnings per share plunged to 63 cents from 90 cents a year earlier, well below analyst estimates of 73 cents per share, according to financial data firm Refinitiv.
This report by The Canadian Press was first published April 27, 2022.
Companies in this story: (TSX:CP)
The Canadian Press
