Canadian Pacific reports Q2 2021 results

(Source: Canadian Pacific Railway press release, July 28, 2021)

CALGARY Canadian Pacific Railway Limited today announced second-quarter operating results, including record Q2 revenues of $2.05 billion, an operating ratio ("OR") of 60.1 percent, record Q2 adjusted OR of 55.3 percent, record diluted earnings per share ("EPS") of $1.86 and record adjusted diluted EPS of $1.03.

"Our industry-leading team of railroaders delivered another record quarter. I am particularly proud of our all-time record safety performance made possible by the collective efforts of the over 12,000-strong CP family," said Keith Creel, CP President and Chief Executive Officer. "The robust base demand environment coupled with our unique growth opportunities has CP extremely well positioned as we head into the second half of the year."

Second Quarter Highlights:

Revenues increased by 15 percent to a Q2 record $2.05 billion, from $1.79 billion last year
Reported diluted EPS was $1.86, a 100 percent increase from $0.93 last year
Adjusted diluted EPS was $1.03, a 27 percent increase from $0.81 last year
Reported OR, which includes Kansas City Southern ("KCS") acquisition-related costs, increased by 310 basis points to 60.1 percent from 57.0 percent.
Adjusted OR, which excludes the KCS acquisition-related costs, improved 170 basis points to a Q2 record 55.3 percent
Federal Railroad Administration ("FRA")-reportable personal injuries declined 34 percent to a record-low 0.77 from 1.16 in Q2 2020, and FRA-reportable train accident frequency decreased 70 percent versus Q2 2020 to a record-low 0.36 from 1.19 [1]

"We remain confident in our full-year guidance of double-digit adjusted diluted EPS growth relative to 2020's adjusted diluted EPS of $3.53," added Creel. "Our ability to deliver sustainable, profitable growth has never been stronger."

CP's second-quarter results reflect the five-for-one share split of the outstanding Common Shares that was approved by shareholders on April 21, 2021. All outstanding Common Shares and per share amounts have been retrospectively adjusted to reflect the share split.

Thursday, July 29, 2021
bentley@ble-t.org

http://www.ble-t.org/pr/news/headline.asp?id=72227

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