Canadian National late Tuesday, Jan. 27, 2015 reported fourth-quarter net income of C$844 million (US$678 million), or C$1.03 (about 83 U.S. cents) in diluted earnings per share, compared with C$635 million (US$510 million), or 76 Canadian cents (61 U.S. cents) per diluted share, in the fourth quarter of 2013.
CN's full year net income totaled C$3.17 billion (US$5.14 billion), or C$3.85 per diluted share, measured against 2013's totals of C$2.61 billion, or C$3.09 per diluted share. Full year adjusted diluted EPS increased 23% C$3.76, CN noted.
A fourth-quarter operating ratio of 60.7% was a 4.1 point improvement over the year-ago mark, while CN's full-year 2014 operating ratio was 61.9%, a 1.5 point improvement for 63.4% in 2013.
CN said full-year 2015 freight volume "reached record levels, with carloadings up 8% and revenue ton-miles up 10%." CN's fourth-quarter revenue of C$3.2 billion (US$2.6 billion) rose roughly 27% above the year ago quarter's C$2.7 billion mark. Full-year revenue increased 15% to C$12.1 billion (US$9.7 billion).
President and CEO Claude Mongeau said, "CN delivered a strong fourth-quarter 2014 performance, concluding a remarkable year characterized by brutal first-quarter winter weather, followed by a strong rebound starting in March, and capped by record full-year freight volumes. We're particularly proud of our solid operating performance that allowed us to move record volumes of Western Canadian grain and equally strong U.S. grain shipments.
Looking to 2015, Mongeau said, "CN is optimistic about its future prospects. The Company is aiming to deliver double-digit EPS growth in 2015 over adjusted diluted 2014 EPS of C$3.76. In addition, CN plans to increase its capital spending by roughly C$300 million for a total 2015 investment of approximately C$2.6 billion."