CPKC Reports Strong Q1 2025 Results Despite Market Uncertainty
Canadian Pacific Kansas City (CPKC) announced solid financial results for the first quarter of 2025, with revenue, profits, and volumes all showing healthy growth. The company generated C$3.8 billion in revenue, an 8% increase compared to the same period last year. Operating income rose 15% to C$1.3 billion, and net income climbed 17% to C$910 million, reflecting a strong start to the year.
The company posted diluted earnings per share of C$0.97, with core adjusted diluted EPS reaching $1.06. Its operating ratio improved to 65.3%, down from 67.4% a year ago, indicating better efficiency and cost management.
President and CEO Keith Creel credited the team for delivering these results amid ongoing market turbulence and macroeconomic challenges. “Our talented team of world-class railroaders executed our precision scheduled operating plan, moving solid freight demand safely and efficiently,” Creel said. “These first-quarter results demonstrate the strength and resilience of our unmatched North American network.”
Volumes measured in revenue ton-miles increased by 4%, underscoring steady demand in the region. However, given the evolving trade policies and the rising risk of a potential recession, Creel emphasized caution. “While we remain focused on controlling what we can, the increasing trade policy uncertainty prompts us to revise our earnings guidance for 2025,” he explained.
The company now expects its core adjusted diluted EPS to grow between 10% and 14% over 2024, compared to the previous outlook. This revised guidance reflects the ongoing trade and tariff uncertainties that could impact future performance, but CPKC remains committed to providing premium service, developing innovative customer solutions, and strengthening North American trade.
