Wednesday, January 29, 2014

CP 4Q, full year set numerous records

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Canadian Pacific said it set numerous records for both its fourth quarter and full-year 2013, and offered guidance suggesting continued improvement in 2014.

Calgary, Alberta-based CP Wednesday, Jan. 29, 2014 reported fourth-quarter earnings of C$82 million, or 42 Canadian cents per diluted share, compared with C$15 million, or 8 Canadian cents per share, in the fourth quarter of 2012, and a record.

CP's fourth-quarter operating ratio also set a record, at 65.9% an 890 basis point improvement, the company said.

Revenue for the quarter was C$1.6 billion, up 7% from the fourth quarter of 2012 and setting another quarterly record.

CP said its full-year 2013 results included adjusted net income of C$1.1 billion, or C$6.42 per diluted share, up 48% from 2012, on revenue of C$6.1 billion, up 8% from 2102 and yet another company record. CP's operating ratio for 2013 was 69.9%, up 710 basis points and, again, "an all-time record."

"Once again, Canadian Pacific and its outstanding team of railroaders delivered solid results this quarter, closing a historic year with record-setting operational and financial performance," said CP President and CEO E. Hunter Harrison

"This journey is far from complete," Harrison added. "Riding this positive momentum, I fully anticipate that 2014 will be another year of solid returns for our shareholders." CP expects earnings per share to rise 30% above 2013 levels, on expected revenue growth of 6% to 7%, and also expects to achieve an "operating ratio of 65% or lower."