Canadian Pacific Kansas City said fourth-quarter revenues increased to $3.9 billion from $3.8 billion a year ago, as diluted earnings per share increased to $1.28 from $1.10 in the same quarter in 2023.
The Calgary, Ontario-based company (NASDAQ: CP) said after markets closed that its operating ratio decreased by 210 basis points to 59.7% from 61.8% y/y.
“Our team finished our first full year as a combined company strong, with volume growth, improved safety performance, and solid operational execution that allowed CPKC to deliver industry-leading earnings growth in 2024,” said Keith Creel, CPKC president and chief executive, in an earnings release.
Full-year 2024 operating ratio decreased by 60 basis points to 64.4 from 65 in 2023. Diluted earnings per share was $3.98 from $4.21 y/y.
“Looking forward to 2025, we expect another year of strong earnings growth consistent with CPKC’s multi-year guidance provided at our 2023 Investor Day,” Creel said.
The company in 2024 forecast mid-single-digit volume growth as measured in revenue ton miles, and capital expenditures of $2.9 billion, with the increase compared to 2024 driven by a higher expected U.S.-dollar-to-Canadian-dollar conversion rate.
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