Canadian Pacific Kansas City Limited Stock Price, News & Analysis

Canadian Pacific Kansas City (CP) reported strong Q4 2024 financial results with revenues of $3.9 billion, up 3% from Q4 2023. The company achieved a reported operating ratio of 59.7%, improving by 210 basis points year-over-year, while core adjusted combined OR decreased to 57.1%.

Q4 diluted EPS increased to $1.28 from $1.10 in Q4 2023, with core adjusted combined diluted EPS rising 9% to $1.29. Safety metrics showed improvement with FRA-reportable personal injury frequency decreasing to 0.84 from 1.13.

For full-year 2024, CPKC's reported OR improved to 64.4%, while core adjusted combined diluted EPS grew 11% to $4.25. The company maintained its position as industry leader with the lowest FRA-reportable train accident frequency among Class 1 railroads. Management expects strong earnings growth in 2025, aligned with their multi-year guidance.

Canadian Pacific Kansas City (CP) has announced its latest quarterly dividend declaration. The company's Board of Directors has approved a dividend payment of $0.19 per share on outstanding Common Shares. The dividend will be paid on April 28, 2025, to shareholders who are recorded as holders at the close of business on March 28, 2025. The dividend qualifies as an 'eligible' dividend under the Income Tax Act (Canada) and similar provincial/territorial legislation.

Canadian Pacific Kansas City (CP) has announced reaching a tentative four-year collective agreement with the Teamsters Canada Rail Conference Maintenance of Way Employees Division (TCRC-MWED), which represents approximately 2,300 engineering service employees across Canada.

The agreement, announced on January 28, 2025, marks a significant development in labor relations for the railroad company. CPKC CEO Keith Creel emphasized that the agreement benefits railroaders and their families while enabling the company to continue serving customers and contributing to the Canadian economy efficiently. The specific details of the agreement will remain confidential until ratification.

Canadian Pacific Kansas City (CP) has announced reaching a tentative four-year collective agreement with Unifor, representing approximately 1,200 mechanical employees in Canada. The agreement covers mechanics, labourers, diesel service attendants, and mechanical support staff.

CPKC's President and CEO Keith Creel emphasized the collaborative nature of the negotiations, highlighting the agreement's benefits for employees and their families while maintaining customer service and supporting the Canadian economy. The specific details of the agreement remain undisclosed pending ratification.

Canadian Pacific Kansas City (CP) has announced it will release its fourth-quarter and full-year 2024 financial and operating results after market close on January 29, 2025. The company will host a conference call with the financial community at 4:30 p.m. ET (2:30 p.m. MT) on the same day.

Investors can access the call through the following numbers: 800-343-4849 (Canada and U.S.) or 203-518-9848 (International), using Conference ID: CPKCQ424. A webcast and presentation materials will be available in the Investors section of CPKC's website. A replay of the call will be accessible through February 5, 2025, via phone at 800-839-3516 (Canada/U.S.) or 402-220-7238 (International).

CPKC's 2024 Holiday Train campaign successfully raised over $1.75 million and collected more than 130,000 pounds of food for local food banks during its four-week journey across North America. The program featured 166 live music shows across seven provinces and 13 states, marking its first-ever stop in Atlantic Canada at Saint John, N.B. Since its inception in 1999, the Holiday Train has raised over $26.1 million and collected over 5.4 million pounds of food. Additionally, the CPKC Holiday Express train raised over $108,000 for food banks in Louisiana, Texas, and Mississippi. The company also operated the Tren Navideño in Mexico, visiting nine communities.

Canadian Pacific Kansas City (CPKC) has completed construction of a new international railway bridge span connecting Laredo, Texas, to Nuevo Laredo, Tamaulipas. The US$100 million project, named the Patrick J. Ottensmeyer International Railway Bridge, more than doubles CPKC's capacity at North America's largest international trade port of entry.

The new 1,170-foot bridge features a ballasted deck plate girder design with six reinforced concrete piers, positioned 35 feet from the existing track bridge. The expansion includes 4,500 feet of new track and enhanced security features, including a VACIS X-ray inspection system and surveillance cameras. The project, which began in late 2022, aims to accommodate growing U.S.-Mexico trade through the only railroad crossing at this border point.

CPKC and Americold Realty Trust announced plans to explore co-development opportunities in Mexico, expanding their strategic collaboration in temperature-controlled logistics across North America. The partnership, established in June 2023, combines CPKC's single-line intermodal freight transportation and TempPro™ containers with Americold's cold chain expertise.

The companies are already developing a 335,000-square-foot, $127 million import-export hub at CPKC's Intermodal Facility in Kansas City, scheduled to open mid-2025. CPKC recently added 1,000 new refrigerated containers to its fleet, enhancing its Mexico Midwest Express service. Americold plans to invest between $500 million and $1 billion over the next 5-10 years in development projects with CPKC and DP World.

Ballard Power Systems has signed a new Long Term Supply Agreement with Canadian Pacific Kansas City (CPKC) for 98 fuel cell engines, totaling approximately 20 megawatts (MW) of power. Each engine has a 200 kW capacity, with deliveries expected in 2025.

This agreement builds upon their existing partnership started in 2021, which has already delivered about 10 MW of fuel cell engines. CPKC currently operates three hydrogen locomotives, with prototype testing ongoing since 2022. The new engines will support CPKC's expanding hydrogen locomotive program, focusing on switching and freight service applications in Alberta, Canada.