Canadian National Railway (CNR) reported that its fourth quarter earnings rose 23% from a year earlier to $1.42 billion due to higher fuel surcharges and a weak Canadian dollar.
Montreal-based CN Rail said that its fourth quarter earnings for the three months ended December 31, 2022, equaled $2.10 per share, a 23% year-over-year increase.
The railway company’s Q4 revenue amounted to $4.54 billion, a 21% increase from $789 million a year ago.
CN Rail said the increase in revenue was driven by higher fuel prices and a weaker Canadian dollar.
The company also benefitted from freight rate increases and higher volumes of grain shipments during the October through December period.
Despite the earnings beat, CN Rail’s stock fell about 4% in extended trading. The company’s earnings per share of $2.10 beat analysts’ consensus forecast of $2.08. Revenue was also higher than the $4.49 billion expected by analysts who cover the company.
CN Rail’s stock is up 7% over the last year at $165.91 per share.
