CALGARY — Canadian Pacific Railway Ltd. announced its second-quarter 2011 results with reported net income of $128.0 million and diluted earnings per share of 75 cents.
Revenue and expense results were unfavourably impacted by extensive flooding.
“Throughout the second quarter we experienced difficult operating conditions as a result of widespread and prolonged flooding along our right of way. We had almost 90 separate outages during the quarter and our engineering team worked as swiftly as possible to bring the track back,” stated Fred Green, CP President and Chief Executive Officer. “We rerouted and detoured traffic over other railways and incurred significantly higher operating costs to ensure delivery of our customers’ shipments. Repairs are now complete and service levels are returning to normal.”
Second quarter results compared to a year earlier:
- Total revenues were $1.3 billion, an increase of $30.3 million
- Operating expenses were $1.0 billion, an increase of $73.9 million
- Average fuel price increased 37 per cent to $3.50 U.S. dollars per U.S. gallon
- Operating income was $230.5 million, a decrease of $43.6 million
- Net income was $128.0 million, a decrease of $38.6 million
- Diluted earnings per share were $0.75 per share, a decline of $0.23 per share
