logo-loader
viewCanadian National Railway Company

CN Rail reports better-than-expected 4Q earnings

The company said net income rose to C$1.09 billion in the three months ended December 31, 2018 up from C$897 million a year earlier

railyard
CN Rail earned C$1.49 per share, beating analysts’ average estimate of C$1.47

Canadian National Railway Co (TSE:CNR, NYSE:CNI) reported better-than-expected fourth-quarter profits on Tuesday, as the railroad shipped higher volumes of both crude and grains.

The Montreal-based company reported its adjusted net income rose to C$1.09 billion in the three months ended December 31, up from C$897 million a year earlier.

The railroad said it earned C$1.49 per share, beating analysts’ average estimates of C$1.47.

Fourth-quarter revenue jumped nearly 16% to C$3.81 billion from C$3.29 billion.

"I'm very pleased with our fourth quarter results and the strong finish to 2018," said J.J. Ruest, president and CEO of CN Rail in a statement. "With approximately C$1.3 billion of revenue growth in the final three quarters of the year, CN regained its position of strength and demonstrated again its ability to grow at low incremental cost. 2019 will be a year of building on this momentum."

On Tuesday, the railway approved an 18% increase to its quarterly cash dividend and announced a stock buyback of up to 22 million shares.

"We are focused on operational productivity and services that resonate with customers," said Ruest. "In 2019, our record capital program of $3.9 billion will be focused on investing in the renewal of a more efficient and reliable locomotive fleet, adding network capacity to accommodate our solid pipeline of growth in diverse markets and bringing technology to our precision scheduled railroading."

Shares of CN rail were down 0.05% at C$110.43 on Tuesday. 

Quick facts: Canadian National Railway Company

Price: 103.25 CAD

TSX:CNR
Market: TSX
Market Cap: $73.52 billion
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Prime Meridian Resources sees exciting future ahead with Red...

Prime Meridian Resource Corp (CVE: PMR) CEO Brian Leeners joined Steve Darling from Proactive Vancouver to discuss the mining exploration company that is working two different sites including the Red Hot Red lake mining area.  Leeners told Proactive about the work being done there and he...

1 day, 9 hours ago

2 min read