Notwithstanding severe winter weather that caused rival Canadian Pacific’s profit to plunge 67 percent, Canadian National reported a 31 percent increase in first quarter 2011 profit versus first quarter 2010. This comes following a 19 percent increase in CN profit for calendar year 2010.
CN’s operating ratio for the first quarter 2011 was 69 percent, slightly better than the 69.3 percent reported for first quarter 2010. The railroad’s fourth-quarter 2010 operating ratio was 63.6.
Operating ratio is a railroad’s operating expenses expressed as a percentage of operating revenue, and is considered by economists to be the basic measure of carrier profitability. The lower the operating ratio, the higher is profit.
CN CEO Claude Mongeau, president and chief executive officer credited “a well-executed winter operating plan” for the profit improvement.
CN is primarily a Canadian railroad. Its U.S. holdings include what were formerly Detroit, Toledo & Ironton; Elgin, Joliet & Eastern; Grand Trunk Western; Illinois Central; and Wisconsin Central.
Related News
- TD to transit agencies: Let’s try “every single thing” to protect our operators
- SMART-TD Union Demands Action in Wake of Los Angeles Bus Hijacking
- Former Alt. VP, GC ‘Pate’ King passes away
- We say: ‘No crew, no engine, NO WAY that’s safe!’
- New report blows the whistle on railroads who cover up injuries and death
- Youngkin vetos Virginia two-person freight crew bill
- REEF Act passes in Senate committee
- SMART-TD provides focused training for bus and transit officers
- Oberman calls out UP, BNSF for cutting jobs when they should focus on growth
- BNSF labor cuts mean Warren Buffett is more about dollars than sense — SMART-TD responds