Canada’s two major freight railroads reported higher second-quarter earnings from a year ago, recovering from challenging winter conditions last quarter.
Canadian National reported a net income of C$847 million, or $1.03 cents per share, compared with net income of C$717 million, or 84 cents, a year ago.
CN’s Western Canada grain-hopper movements increased 70% from the prior year, and the Montreal-based company said it expects to set a record this crop year.
“We are pleased that the Canadian grain supply chain CN serves is now back in sync. Our wait list of customer grain car orders represents only about one week of shipments from the prairies, and grain vessel lineups at all ports are back to normal,” CEO Claude Mongeau said in a statement.
Canadian National forecasts that per-share profit in 2014 be $3.06.
Canadian Pacific’s net income rose to C$371 million, or C$2.11 per share, from $252 million, or $1.44 per share, a year ago, the Calgary, Alberta-based company said. Revenue increased 12% to C$1.68 billion.
“The team has made great strides in my two years at CP, and they continue to demonstrate resiliency by delivering these results despite continued operational challenges in the U.S. Midwest after a devastating winter,” E. Hunter Harrison, CP’s CEO, said in a statement.