In Brief
(Reuters) — Canadian National Railway posted a 16.2 percent fall in quarterly profit last week as operating expenses shot up during the harsh winter.
As well, the country’s largest railroad cut its 2018 outlook as capacity limits strained its ability to meet high demand.
Operating expenses rose nine percent to $2.16 billion in the quarter as the railway spent more to move larger volumes in harsh winter conditions.
Operating ratio, a key measurement watched closely by analysts, rose to 67.8 percent from 61.8 percent. A lower ratio indicates higher efficiency.
CN said total carloads rose 2.9 percent in the quarter, while rail freight revenue per carload decreased by 3.1 percent.
