Canadian National Railway Inc. (NASDAQ: (CNI) stock surged by 0.62% at last close while the CNI stock price further rose by 3.25% in the pre-market trading session. The Canadian National Railway is a Class I freight railway based in Montreal, Quebec, that services Canada as well as the Midwest and South of the United States.
CNI stock’ Financial Update
Canadian National Railway announced its financial outcomes for the third quarter of 2021. Given below are the highlights:
- Total revenue of C$3,591 million has been calculated which is an increase of C$182 million or 5% from the previous year.
- Operating income generated was C$1,341 million which is a two-percent decline, and adjusted operating income totaled C$1,471 million, an eight-percent rise on an adjusted basis.
- Adjusted diluted EPS of C$1.52 which is a rise of 10%, however, the diluted EPS was C$2.37 that is an increase of 72 percent.
- The operating ratio increased by 2.8 points to 62.7 percent, while the adjusted operating ratio improved by 0.9 points to 59.0 percent.
- Transaction-related expenditures for the aborted CN merger deal with KCS, a staff reduction clause, and advisory fees linked to shareholder concerns all had an effect on operating income and operating ratio.
- In the first nine months of 2021, free cash flow was C$2,034 million, relative to C$2,087 million in the same period of 2020.
President and CEO, JJ Ruest commented,
With headwinds from catastrophic wildfires in Western Canada that created a protracted disturbance to CN’s mainline to Vancouver in July, CN’s committed railroaders delivered outstanding financial and operating performance this quarter. They’re pleased with the team’s hard work and devotion, as well as the success they’ve made in implementing their strategic plan. This involves generating immediate shareholder gain while adhering to their long-term commitments to security, customer service, and long-term value development.
