(Source: Canadian Pacific Railway press release, April 20, 2012)
CALGARY, Alberta — Canadian Pacific Railway Limited announced its first-quarter 2012 results today with reported net income of $142 million, an increase of $108 million, or 318%, from the same period in 2011, and diluted earnings per share of $0.82, an increase of $0.62, or 310%, from the same period in 2011.
Fred Green, President & Chief Executive Officer, said, “Our record operating metrics are driving enhanced financial results, as evidenced by a strong first quarter performance. By aggressively executing on the Multi-Year Plan, CP delivered an increase in revenues of $213 million and an improvement in operating ratio of 1,050 bps during the quarter.”
“We have improved operating momentum, we are delivering excellent service and we have a stronger, more resilient rail network. This quarter, we generated an 18% year-over-year increase in freight revenues. Looking ahead, we are confident we can continue to deliver improvements in our operating metrics and financial performance and further growth in shareholder value.”
FIRST-QUARTER 2012 RESULTS COMPARED WITH FIRST-QUARTER 2011
• Total revenues were $1.4 billion, an increase of $213 million
• Operating expenses were $1.1 billion, an increase of $48 million
• Average fuel price increased 12% to $3.50 U.S. dollars per U.S. gallon
• Operating income was $274 million, an increase of $165 million
• Operating ratio was 80.1%, an improvement of 1,050 basis points
• Net income was $142 million, an increase of $108 million
• Diluted earnings per share were $0.82 per share, an increase of $0.62 per share
MULTI-YEAR PLAN
“CP’s Multi-Year Plan is specifically designed to unlock the potential of this franchise and enable profitable growth and efficiency. During the first-quarter, CP continued to successfully execute on all three pillars of the Multi-Year Plan, driving volume growth, expanding network capacity to safely and efficiently support higher volumes and controlling costs. The CP Board and management team is confident in the Company’s Plan and its goal of delivering a 70% to 72% operating ratio for 2014, and an operating ratio of between 68.5% to 70.5% for 2016,” said Fred Green.
CONFERENCE CALL INFORMATION
CP will discuss its results with analysts in a conference call beginning at 11:00 a.m. Eastern time (9:00 a.m. Mountain time) on April 20, 2012.
Toronto/International participants dial in number: (647) 427-7450
Operator assisted toll free dial in number: 1-888-231-8191
Callers should dial in 10 minutes prior to the call.
WEBCAST
For those with Internet access we encourage you to listen via CP’s website at www.cpr.ca. To access the webcast and the presentation material, click on “Invest In CP” tab.
A replay of the conference call will be available by phone through May 18, 2012 at (416) 849-0833 or toll free 1-855-859-2056, passcode 63620027. A webcast of the presentation and an audio file will be available at www.cpr.ca under “Invest In CP” tab.
MORE INFORMATION
• Q1 2012 Earnings Release and Financial Report