Canadian Pacific Railway Ltd. saw revenue and profits dip in its first quarter as a weak grain harvest, a harsh winter and a work stoppage took their toll.
CEO Keith Creel says last year's drought devastated grain volumes, while frigid weather early in 2022 and a two-day strike in March brought down revenue by six per cent and earnings by two per cent year over year.
Revenue from grain shipments — typically the railroad operator's biggest money maker — tumbled 20 per cent, putting it below intermodal traffic.
Total net income slipped to $590 million in the quarter ended March 31, compared with $602 million in the same period in 2021.
First-quarter revenues fell to $1.84 billion from $1.96 billion last year.
Diluted earnings per share plunged to 63 cents from 90 cents a year earlier, well below analyst estimates of 73 cents per share, according to financial data firm Refinitiv.
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