Canadian Pacific Kansas City Limited (CPKC) is a transcontinental freight railway company operating across Canada, the United States, and Mexico. The company provides rail and intermodal transportation services over a network of approximately 20,000 miles, serving principal business centers in these three countries. CPKC's operations focus on transporting a variety of goods, including bulk commodities, industrial and consumer products, and retail goods in containers.
- Merchandise - Transports industrial and consumer products such as forest products, energy, chemicals and plastics, metals, minerals, consumer products, and automotive.
- Bulk Commodities - Moves large volumes of grain, coal, potash, and fertilizers and sulphur across long distances.
- Intermodal - Facilitates the transportation of retail goods in overseas containers that can be moved by train, ship, and truck, as well as domestic containers that can be moved by train and truck.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Keith Creel ExecutiveBoard | President and Chief Executive Officer | Representative on the Association of American Railroads. | Keith Creel has been CEO since 2017 and led the merger of CP and KCS. He is recognized for industry-leading safety and operational efficiency. | View Report → |
James Clements Executive | Executive Vice-President, Strategic Planning and Technology | None mentioned. | James Clements has over 20 years at CP, leading strategic planning and technology transformation. | |
Jeffrey Ellis Executive | Executive Vice-President, Chief Legal Officer, and Corporate Secretary | Board Member of the Railway Association of Canada. | Jeffrey Ellis joined CP in 2015 and has been instrumental in legal strategy and regulatory approvals for the CP-KCS merger. | |
John Brooks Executive | Executive Vice-President and Chief Marketing Officer | None mentioned. | John Brooks leads marketing and sales, focusing on customer partnerships and growth opportunities. He joined CP in 2007. | |
Laird Pitz Executive | Senior Vice-President and Chief Risk Officer | None mentioned. | Laird Pitz has over 40 years of experience in risk mitigation and security. He joined CP in 2014. | |
Maeghan Albiston Executive | Vice-President and Chief Human Resources Officer | None mentioned. | Maeghan Albiston leads HR and pension management. She has been with CP since 2005 and held leadership roles in capital markets. | |
Mark Redd Executive | Executive Vice-President and Chief Operating Officer | None mentioned. | Mark Redd oversees network operations and labor relations. He joined CP in 2013 and has held multiple senior roles. | |
Nadeem Velani Executive | Executive Vice-President and Chief Financial Officer | None mentioned. | Nadeem Velani oversees financial planning, investor relations, and treasury. Previously VP of Investor Relations. | |
Andrea Robertson Board | Independent Director | Chair of Calgary Airport Authority Board. | Andrea Robertson has extensive leadership experience in healthcare and aviation. She has been a director since 2019. | |
Edward R. Hamberger Board | Independent Director | Board Member at the Transportation Institute, University of Denver. | Edward Hamberger is a transportation industry veteran and former CEO of the Association of American Railroads. | |
Gillian H. Denham Board | Independent Director | Director at Kinaxis Inc. and FWD Group Holdings Ltd.; Member of PineBridge Investments. | Gillian Denham has extensive experience in governance and executive compensation. She has been a director since 2016. | |
Gordon T. Trafton Board | Independent Director | Member of Leeds School of Business Advisory Board, Sacred Cow Consulting, and Pacific National. | Gordon Trafton chairs the Risk and Sustainability Committee and has expertise in transportation and governance. | |
Isabelle Courville Board | Chair of the Board of Directors | Chair of Veolia Environnement S.A. committees; Member of IGOPP and Quebec Institute of Directors. | Isabelle Courville has been Chair since 2019 and is recognized for her governance expertise and leadership in sustainability. | |
Jane L. Peverett Board | Independent Director | Director at Northwest Natural Gas, Capital Power, and Suncor Energy; Chair of CSA Group. | Jane Peverett is an audit expert with extensive board experience. She has been a director since 2016. | |
Matthew H. Paull Board | Independent Director | Director at Air Products & Chemicals; Former Advisory Board Member at Pershing Square. | Matthew Paull is a financial expert and former CFO of McDonald’s Corporation. He has been a director since 2016. |
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In the context of potential new tariffs and trade policy uncertainties between the U.S., Mexico, and Canada, can you elaborate on how these risks could impact your mid-single-digit volume growth guidance for 2025, especially in areas like automotive and intermodal that rely heavily on cross-border trade?
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Given your view that the operating ratio is an outcome of various factors, and aiming to achieve sub-60% before targeting further improvements, can you provide specific details on the key initiatives and potential challenges that might accelerate or hinder your progress toward achieving an operating ratio in the low 50s over the long term?
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Considering that Norfolk Southern has the option to purchase the Dallas Intermodal Terminal (Wylie), how would exercising this option by NS impact your strategic operations and growth plans in the Dallas market, particularly regarding your automotive and intermodal growth initiatives?
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With ongoing labor negotiations and agreements at various stages in Mexico, the U.S., and Canada, what specific steps are you taking to harmonize labor practices and enhance productivity across your network, and how might these efforts influence your operational efficiency and financial performance in 2025 and beyond?
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After experiencing several disruptions in 2024 such as port strikes, weather impacts, and labor stoppages, what measures have you implemented to mitigate the risk of similar events in the future, and what gives you confidence that these episodic disruptions will not recur in 2025, ensuring the reliability and stability of your operations?
Research analysts who have asked questions during CANADIAN PACIFIC KANSAS CITY LTD/CN earnings calls.
Christian Wetherbee
Wells Fargo
6 questions for CP
Fadi Chamoun
BMO Capital Markets
6 questions for CP
Ken Hoexter
BofA Securities
6 questions for CP
Scott Group
Wolfe Research
6 questions for CP
Steven Hansen
Raymond James
6 questions for CP
Walter Spracklin
RBC Capital Markets
6 questions for CP
Ariel Rosa
Citigroup
5 questions for CP
Brandon Oglenski
Barclays
5 questions for CP
Jonathan Chappell
Evercore ISI
5 questions for CP
Ravi Shanker
Morgan Stanley
5 questions for CP
Brian Ossenbeck
JPMorgan Chase & Co.
4 questions for CP
Thomas Wadewitz
UBS
3 questions for CP
Tom Wadewitz
UBS Group
3 questions for CP
Benoit Poirier
Desjardins Capital Markets
2 questions for CP
Brian Offenbach
JPMorgan
2 questions for CP
Daniel Imbro
Stephens Inc.
2 questions for CP
Kevin Chiang
CIBC Capital Markets
2 questions for CP
Konark Gupta
Scotiabank
2 questions for CP
Stephanie Moore
Jefferies
2 questions for CP
Ravi Shankar
Morgan Stanley
1 question for CP
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Kansas City Southern (KCS) | 2023 | Completed acquisition: Canadian Pacific Railway, which later became Canadian Pacific Kansas City Limited (CPKC), acquired KCS by entering into a merger agreement in September 2021 and fully assumed control on April 14, 2023 after regulatory approval on March 15, 2023. The deal, executed in stages, remeasured a $44,402 million investment to a fair value of $37,227 million and created the only single-line rail network linking the United States, Mexico, and Canada, including key assets like concession rights in Mexico (expiring in June 2047). |
Recent press releases and 8-K filings for CP.
- CPKC reported strong Q3 2025 financial results, with revenues up 3% to $3.7 billion and core adjusted diluted earnings per share increasing 11% to $1.10. The core adjusted operating ratio improved by 220 basis points to 60.7%.
- The company achieved 5% volume growth, driven by strong performance in intermodal (up 11%), automotive (up 9%), and bulk (grain up 6%, potash up 15%). Operational efficiencies led to improvements in terminal dwell by 2% and velocity by 1%.
- CPKC reaffirmed its guidance for 10% to 14% earnings growth for the year, expecting another year of double-digit earnings growth. The company has repurchased 34 million shares, approximately 91% of its announced program.
- The company strongly opposes further industry consolidation, particularly the proposed UP and NS merger, citing concerns about market concentration and its impact on the U.S. freight rail traffic. CPKC emphasized its unique North American network and the enhanced Meridian Speedway as key competitive advantages.
- Year-to-date expense synergies reached $165 million, achieved through operational benefits, sourcing, and a reduction of almost 300 G&A headcount.
- CPKC reported strong Q3 2025 financial results, with revenues up 3% to $3.7 billion and core adjusted diluted earnings per share increasing 11% to $1.10. The core adjusted operating ratio improved by 220 basis points to 60.7%.
- The company achieved overall volume growth of 5% , driven by strong performance in automotive (revenue up 2% on 9% volume growth), bulk (grain revenues up 4% on 6% volume growth, potash up 15%), and intermodal (revenue up 7% on 11% volume growth).
- CPKC reaffirmed its full-year guidance, expecting to deliver 10% to 14% earnings growth versus a year ago and achieve at least 10% EPS growth with a sub-57% operating ratio.
- Management voiced strong opposition to the proposed UP and NS merger, believing it is not in the best interest of the industry or the U.S. economy, and committed to active participation in the regulatory process.
- Strategic initiatives include leveraging the enhanced Meridian Speedway, which is expected to provide a 30-hour transit time between Atlanta and Dallas by early 2026, creating new market opportunities.
- CPKC reported strong Q3 2025 results, with revenues of CAD 3.7 billion, up 3%, and core adjusted diluted earnings per share of CAD 1.10, an 11% increase year-over-year. The company also achieved a core adjusted operating ratio of 60.7%, a 220 basis point improvement, driven by 5% volume growth and operational efficiencies.
- The company reiterated its guidance for 10%-14% earnings growth for the full year and expects to achieve mid-teens EPS growth in the 2026-2028 timeframe, supported by strong bulk volumes and the benefits of its share repurchase program.
- Management expressed strong opposition to the proposed UP and NS merger, citing concerns about anti-competitive behavior and market concentration, and is actively exploring alliances with other competitors.
- Year-to-date cash provided by operating activities increased 6% to CAD 3.8 billion, and the company has achieved CAD 165 million in expense synergies year to date.
- CPKC reported third-quarter 2025 revenues of $3.7 billion, an increase of three percent from Q3 2024.
- Diluted earnings per share (EPS) for Q3 2025 was $1.01, and core adjusted diluted EPS increased 11 percent to $1.10.
- The company's reported operating ratio (OR) decreased 260 basis points to 63.5 percent in Q3 2025 from 66.1 percent in Q3 2024.
- Volumes, as measured in Revenue Ton-Miles, increased five percent in Q3 2025.
- CEO Keith Creel expressed confidence in delivering on full-year 2025 guidance.
- Canadian Pacific Kansas City (CPKC) reported total revenues of $3,661 million CAD for the third quarter of 2025, an increase from $3,549 million CAD in Q3 2024.
- Diluted earnings per share (EPS) for Q3 2025 was $1.01 CAD, up from $0.90 CAD in Q3 2024.
- The company's reported operating ratio decreased 260 basis points to 63.5 percent in Q3 2025, compared to 66.1 percent in Q3 2024.
- Volumes, as measured in Revenue Ton-Miles, increased five percent in Q3 2025.
- CPKC's President and CEO, Keith Creel, affirmed confidence in delivering on the company's full-year 2025 guidance.
- Canadian Pacific Kansas City (CPKC) reported strong Q2 2025 financial results, with revenues up 3% to $3.7 billion and core adjusted diluted earnings per share increasing 7% to $1.12. The operating ratio improved by 110 basis points to 60.7%.
- Volume growth was 7% in Q2 2025, with intermodal revenue up 8% and volume up 18%, notably driven by a 40% year-over-year increase in MMX service volumes.
- The company reaffirmed its full-year outlook, expecting to deliver mid-single digit volume growth and double-digit earnings growth, while also repurchasing 16.4 million shares by the end of Q2 2025.
- CPKC is actively involved in the regulatory review of the proposed UP and NS combination, focusing on protecting customer and industry interests and ensuring enhanced competition.
- Canadian Pacific Kansas City (CPKC) and CSX Corporation (CSX) have created the Southeast Mexico Express (SMX), a new east-west Class 1 rail corridor.
- Officially launched on December 1, 2024, the SMX connects shippers in Mexico, Texas, and the U.S. Southeast.
- This service provides customers, including Schneider National, Inc., with faster transit times, greater capacity, and environmentally sustainable rail solutions by replacing up to 300 semi-trucks per train.
- CPKC’s subsidiary, Canadian Pacific Railway Company, is issuing C$1.4 billion in senior unsecured notes: C$500 million of 4.00% notes due 2032, C$600 million of 4.40% notes due 2036, and C$300 million of 4.80% notes due 2055.
- The offering is expected to close on June 13, 2025, subject to customary closing conditions, with net proceeds earmarked to refinance outstanding debt and for general corporate purposes.
- Securities are being issued under CPRC’s March 6, 2025, base shelf prospectus supplement; they are not registered under the U.S. Securities Act and are unavailable for sale to U.S. persons.
- Joint lead agents and active book-runners for the offering are Scotia Capital Inc., BMO Nesbitt Burns Inc., CIBC World Markets Inc., and RBC Capital Markets.
- CPKC delivered strong Q1 2025 performance with revenues of $3.8 billion and diluted EPS of $0.97, marking an 8% increase in revenues and a 17% rise in EPS compared to Q1 2024.
- Achieved an improved operating ratio of 65.3% (down from 67.4%), reflecting efficient execution amid challenging market conditions.
- Updated its 2025 outlook to expect core adjusted diluted EPS growth of 10–14% over 2024, driven by robust freight demand and strategic cost management.
- Declared a quarterly dividend increase of 20%, raising the dividend from $0.19 to $0.228 per share, payable on July 28, 2025 to shareholders of record on June 27, 2025, underscoring the company’s commitment to returning cash to shareholders and repaying debt post-combination.
- CPKC and Lanco Group/Mi-Jack completed the sale of Panama Canal Railway Company (PCRC) to APM Terminals, marking a strategic divestiture of a non-core asset that refocuses the company’s efforts on North American rail operations .
- PCRC, a 50/50 joint venture, generated US$77 million in revenue and US$36 million in EBITDA in 2024, underscoring its financial significance prior to the sale .
- The move supports CPKC’s focus on growing its core rail business across Canada, the United States, and Mexico, aligning the company’s strategy with market priorities .