Canadian Pacific Kansas City Ltd. (CP)

Key figures

The last twelve months reported, with the latest price and balance sheet.

Revenue, last twelve months

$15.4B

Revenue growth

3.6%

Net income, last twelve months

$3.9B

Earnings per share

$4.30

Operating margin

36.8%

Net margin

25.0%

Free cash flow

$2.4B

Return on equity

8.3%

Market value

$78.7B

Price to earnings

20.8x

Dividend yield

1.1%

Cash

$366.0M

Debt

$22.2B

Debt to equity

0.48

Shares outstanding

879.1M

Financial statements

Revenue, profit and cash flow by fiscal year, each year linked to its annual report.

By quarter

What the company said with its results

From the second quarter of fiscal 2026 results, filed 29 July 2026.

• Revenue rose 13 percent in the quarter. The company reported Q2 revenues of $4.2 billion, up 13 percent from $3.7 billion in Q2 2025. Freight revenue was $4,088 million against $3,629 million. Revenue ton-miles rose 4 percent.
• Core adjusted diluted EPS rose 13 percent. Core adjusted diluted EPS was $1.27 against $1.12 in Q2 2025. Reported diluted EPS fell 14 percent to $1.15 from $1.33, which the company attributes partly to the prior-year $333 million gain on sale of an equity investment.
• Reported net income fell with prior-year gain. Net income attributable to controlling shareholders was $1,024 million against $1,234 million. The Q2 2025 figure included a $333 million gain on sale of the Panama Canal Railway Company investment.
• Single rail operating segment. The company reports one operating segment, rail transportation. Its segment profit measure is net income attributable to controlling shareholders.
• Grain revenue up 24 percent. Grain freight revenue was $925 million, up 24 percent from $743 million, on 18 percent higher carloads. Grain volume in RTMs rose 19 percent.
• Automotive and metals revenue rose. Automotive freight revenue rose 22 percent to $403 million and metals, minerals and consumer products rose 18 percent to $524 million. Both were partly offset by FX adjustments in the table.
• Coal revenue declined 18 percent. Coal freight revenue fell 18 percent to $209 million from $256 million. Coal carloads declined 20 percent and RTMs fell 29 percent.
• Intermodal revenue up 11 percent. Intermodal freight revenue rose 11 percent to $758 million. Intermodal carloads were down 1 percent.
• Operating ratio rose 90 basis points. Reported operating ratio was 64.6 percent against 63.7 percent. Core adjusted operating ratio rose 90 basis points to 61.6 percent from 60.7 percent.
• Fuel cost rose 53 percent. Fuel expense was $618 million against $405 million, up 53 percent. Average fuel price was $4.19 per U.S. gallon against $2.77. On an FX-adjusted basis fuel rose 49 percent.
• Freight revenue per RTM rose 9 percent. Total freight revenue per revenue ton-mile was 7.10 cents against 6.54 cents, up 9 percent. Automotive revenue per RTM rose 13 percent.
• Compensation and purchased services increased. Compensation and benefits rose 10 percent to $723 million, including $21 million of acquisition-related costs. Purchased services and other rose 6 percent to $605 million.
• Terminal dwell improved sharply. Average terminal dwell fell 16 percent to 8.6 hours from 10.2 hours. Average train speed rose 7 percent to 20.6 mph from 19.3 mph.
• Fuel efficiency improved. Fuel efficiency was 0.992 U.S. gallons per 1,000 GTMs, against 1.034, an improvement of 4 percent. Locomotive productivity rose 5 percent to 177 GTMs per operating horsepower.

Revenue by segment

As the company reports it in the segment note of its annual report.

By product, FY2025

By region, FY2025

Company events

The newest 8-K filings of 361 held.

Every filing

The newest filings with the SEC of 1,241 held.

Large holders

Schedule 13D and 13G filings by holders of more than 5% of the voting shares.

Trades by members of the House

From each member's periodic transaction report.

Short interest

Shares sold short and not yet bought back, on each FINRA settlement date.

Funds that hold it

From each fund's latest Form 13F.

1,039 funds held it at 30 Jun 2026: 410 added and 295 trimmed in the quarter. The largest:

Peers

Companies in the same industry.

• Union Pacific Corp. (UNP): revenue $26.4B, market value $176.9B
• CSX Corp. (CSX): revenue $14.9B, market value $95.8B
• Norfolk Southern Corp. (NSC): revenue $13.0B, market value $76.0B

What the company does

Canadian Pacific Kansas City Limited, which it calls CPKC, owns and operates the only freight railway spanning Canada, the United States and Mexico. Its network covers approximately 20,000 miles and serves principal business centres in all three countries. It carries bulk commodities, merchandise freight and intermodal traffic. The company has its head office in Calgary, Alberta, and its shares are listed on the Toronto Stock Exchange and the New York Stock Exchange under the symbol CP. It had 19,479 employees at 31 December 2025.

How the business is organised

CPKC reports one operating segment, rail transportation. It gives a breakdown of revenue by business line, but it analyses performance as one segment because the rail network is integrated. Its operating subsidiary, Canadian Pacific Railway Company, was incorporated in 1881. CPKC assumed control of Kansas City Southern on 14 April 2023, and that railway is now a consolidated subsidiary.

The three major lines of business make up the following shares of Freight revenues: Merchandise 46%, Bulk 36% and Intermodal 18%.

What it hauls

Bulk traffic mostly moves in unit trains from one origin to one destination. Within Freight revenues, Grain is 22%, Coal 7%, Potash 4% and Fertilizers and sulphur 3%. Canadian grain moves mainly from the Prairies to the Port of Vancouver and the Port of Thunder Bay. The company runs 8,500-foot High Efficiency Product Trains, which it says can move approximately 40% more grain than the prior generation of grain trains. Canadian coal is mostly metallurgical coal from Elk Valley Resources' mines in British Columbia, while U.S. coal is mainly thermal coal from the Powder River Basin.

Merchandise includes Energy, chemicals and plastics (20% of Freight revenues), Metals, minerals and consumer products (12%), Automotive (9%) and Forest products (5%). The company moves most of its crude as DRUbit, a heavy crude made for rail, on a single line haul from the Hardisty Rail Terminal in Alberta to Port Arthur, Texas. It also provides freight services to the majority of automotive plants in Mexico.

Intermodal is 54% domestic and 46% international. Domestic traffic is mainly manufactured consumer goods in 53-foot containers. International traffic moves between inland North America and the ports of Vancouver, Lázaro Cárdenas, Montréal and Saint John.

Who buys from it and how it is paid

The company says its revenues and operations were not dependent on any major customers. In Canada, it markets domestic intermodal services directly to retailers and manufacturers. In Mexico and the United States, those services are delivered mainly through intermodal marketing companies. Potash for export beyond Canada and the United States is marketed by Canpotex Limited or K+S Potash Canada.

A fuel cost adjustment program adds fuel surcharges to individual shipments, based on diesel prices in Canada and the United States and a public fuel price for Petróleos Mexicanos in Mexico. Fuel surcharge revenues were approximately 10% of Freight revenues. Carbon taxes and levies in some jurisdictions are passed on to the shipper.

Where it operates and who regulates it

In Canada, the Canadian Transportation Agency regulates economic matters under the Canada Transportation Act, including a maximum revenue entitlement for western Canadian export grain. Transport Canada enforces safety rules. In the United States, the Surface Transportation Board handles rate and service issues, and the Federal Railroad Administration and the Pipeline and Hazardous Materials Safety Administration oversee safety.

In Mexico, the Agencia de Trenes y Transporte Público Integrado is the main regulator. Kansas City Southern de México holds a concession until June 2047, renewable under certain conditions. It has the exclusive right to provide freight rail service through 2037, subject to certain trackage and haulage rights. It pays an annual concession duty equal to 1.25% of gross revenues.

How it competes

CPKC competes with other railways, motor carriers, ship and barge operators and pipelines. It has responded with offerings such as transload facilities and new train services. Examples include the Mexico Midwest Express, a premium intermodal service between the U.S. Midwest and Mexico, and the Southeast Mexico Express, a corridor created with CSX Corporation.

The company's strategy rests on precision scheduled railroading and five foundations: Provide Service, Control Costs, Optimize Assets, Operate Safely and Develop People. Revenues follow the seasons. The first quarter is typically lowest because of winter conditions and the closure of the Port of Thunder Bay. The fourth quarter is typically highest because of the grain harvest, fall fertilizer programs and retail goods.

Its people

The majority of employees belong to unions, which represent nearly 75% of the workforce through 73 active bargaining units. Canada has eight units covering approximately 7,000 employees, the United States has 63 units covering approximately 4,300, and Mexico has two units covering approximately 3,300.

Safety is one of the five foundations, supported by a safety culture program called HomeSafe. The company reports a rate of 0.85 FRA-reportable train accidents per million train-miles. The company also runs its own police service.

*From CPKC's annual report on Form 10-K for the year ended 31 December 2025. [The filing](https://www.sec.gov/Archives/edgar/data/16875/000001687526000008/cp-20251231.htm)*

From the company's 10-K.