CN Rail Boosts Full-Year Outlook as Customers Navigate Tariffs

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomePMN BusinessCN Rail Boosts Full-Year Outlook as Customers Navigate TariffsCanadian National Railway Co. revised its financial outlook upward for the full year as the company manages to weather US tariff turbulence and the Canadian economy holds steady.Author of the article: You can save this article by registering for free here. Or sign-in if you have an account.(Bloomberg) — Canadian National Railway Co. revised its financial outlook upward for the full year as the company manages to weather US tariff turbulence and the Canadian economy holds steady.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an Account“Our customers have become very adept at managing the situation, and we’ve been there to support them along the way as they’ve changed some of their supply chains,” Chief Commercial Officer Janet Drysdale told analysts during a conference call Friday. Canada’s largest railway had assumed flat revenue per ton-mile at the beginning of the year. It’s now raising its expectations for growth to the low-single digits and foresees higher profits.US President Donald Trump’s tariffs have weighed on Canadians’ sentiment over the past year and a new threat of 50% levies on certain goods starting Aug. 19 is adding fresh uncertainty. But the economy is showing some resilience, with all signs pointing to a rebound in the second quarter.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againCN reported financial results that beat analyst estimates for the second quarter. Revenue and adjusted diluted earnings per share both soared 11% to C$4.8 billion ($3.4 billion) and C$2.08, respectively, compared to the same period last year.Sales for all product categories rose, even for forest products that were hit by severe levies last year. Grain and fertilizers and petroleum and chemicals were especially strong during the quarter.The company said the period benefited from greater productivity, fuel efficiency and commercial execution. “The gains we are delivering are structural and enduring, supporting value creation well beyond the quarter,” Chief Operating Officer Patrick Whitehead told analysts.CN’s operating ratio — a key gauge of railway efficiency that measures expenses as a percentage of revenue — ticked higher from last year to 62.5%.The railway’s shares were down 0.5% in Toronto to C$182.84 as of 11:23 a.m.“Risks remain from volatile economic conditions, global trade tensions and geopolitical conflicts, along with weaker international intermodal imports and ongoing pressure in forest products,” Bloomberg Intelligence analyst Lee A. Klaskow said in a note.CN announced earlier this week two agreements with Union Pacific Corp., which seeks to merge with Norfolk Southern Corp., to expand operating rights for both railroads and alleviate competitive regulatory concerns related to the deal.“These agreements are strategic and they bring long-term benefits,” Chief Executive Officer Tracy Robinson told analysts. “They structurally enhance and extend our network by giving us direct and very competitive access to important markets in Kansas City and Mexico.”This advertisement has not loaded yet.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.