Cost controlhelped Canadian Pacific Railway Ltd report a fourth-quarter 2009 profit thatafter special items amounted to 94 Canadian cents a share, beating Wall Streetexpectations of 88 cents The Wall Street estimate is based on an analyst pollby Thomson Reuters.
In a downmarket, CP shares were running fractionally higher Thursday morning.
"Earningswere driven by a strong performance in operations that improved the overalloperating ratio despite an appreciating Canadian dollar, a higher price of oil,and fuel surcharge lag," said Macquarie Capital analyst Avi Dalfen in anote quoted by Reuters.
CP said netincome in the fourth-quarter was C$194 million, a 3% increase fourth-quarter2008.
Total fourthquarter revenues were C$1.1 billion, down 16 %; operating expenses were C$853million, down 17 %; operating income decreased 12% to C$269 million ; andthe operating ratio improved 120basis points to 76.0%.
"We havecome through an extraordinary year of economic challenges and we met these withfocused productivity initiatives that have delivered sustainableimprovements," said Fred Green, President and CEO. "Markets remainuncertain and we will continue to drive efficiency while delivering a reliableservice. We are positioned with assets and resources to respond to changes inour customers' demand."