CANADIAN PACIFIC SEES DIP IN INCOME
Canadian Pacific Railway reported a 14-percent dip in net income for its third quarter, to Canadian $95.8 million ($63.5 million).
Third-quarter 1999 results benefited from a non-recurring tax adjustment.
Operating income improved 5.5 percent to Can $222 million ($147 million), on revenue of Can $910.4 million ($603.7 million), up 4.2 percent. It was the fifth consecutive quarter of improvement for CP's operating income.
Despite significantly higher fuel prices, the railroad's operating ratio improved to 75.6 percent, from 76.0 percent.
Freight revenues improved among most commodity groups. Despite a government imposed cap on export grain rates, effective August 1, grain revenues rose 6 percent. Revenues from intermodal and automotive shipments improved 5 percent, due to strong consumer demand in a healthy economy, CP said.
For the first nine months of 2000, income jumped 187 percent to Can $141.3 million ($93.7 million). Operating income increased 125 percent to Can $177.4 million ($117.6 million), on revenue of Can $2.88 billion ($1.91 billion), up 39.6 percent.