“Our fourth-quarter and full-year results demonstrate exceptional execution in a challenging market by controlling what we could control,” Creel also noted.
Following are among CPKC’s fourth-quarter 2025 results:
- Revenues came in at $C3.9 billion, up 1% from fourth-quarter 2024.
- Reported diluted earnings per share (EPS) decreased to C$1.20 from C$1.28 in the same quarter in 2024, and core adjusted diluted EPS increased 3% to C$1.33 from C$1.29 in 2024.
- The reported operating ratio (OR) decreased 80 basis points (bps) to 58.9% and core adjusted OR was 55.9%, a 120 bps improvement—both were records, according to CPKC.
CPKC also reported “record” fourth-quarter operating metrics in train weights, network speed, locomotive productivity, and car miles per car day (see above).
CPKC’s full-year 2025 highlights include:
- Revenues were up 4% to C$15.1 billion from C$14.5 billion in 2024.
- Reported OR decreased 160 bps to 62.8% and core adjusted OR improved to a “CPKC record-low” of 59.9%, a 140 bps improvement year-over-year, CPKC said.
- Reported diluted EPS increased to C$4.51 from C$3.98 in 2024, while core adjusted diluted EPS rose 8% to C$4.61 from C$4.25 in 2024.
According to CPKC, Federal Railroad Administration (FRA)-reportable personal injury frequency decreased to 0.92 from 0.95 in 2024, and FRA-reportable train accident frequency decreased to 0.85 from 1.01 in 2024. The Canadian Class I railroad said that 2025 was the third consecutive year that it “led the industry with the lowest FRA-reportable train accident frequency among Class I railroads, building on Canadian Pacific’s legacy of 17 consecutive years of industry leadership.”
2026 Outlook
CPKC provided the following full-year 2026 guidance:
- “Low double-digit core adjusted diluted EPS growth vs. 2025 core adjusted diluted EPS of C$4.61.
- “Mid-single digit volume growth, as measured in Revenue Ton Miles.
- “Capital expenditures of C$2.65 billion, a reduction of approximately 15% from 2025.”
The railroad said it based its guidance on these “key assumptions”: a core adjusted effective tax rate of 24.75% and “other components of net periodic benefit recovery will be C$441 million in 2026.”
“Looking ahead to 2026,” Keith Creel said, “record grain harvests and a pipeline of unique growth opportunities position this company to continue producing differentiated results.”
Visit CPKC’s Investor Relations webpage for more fourth-quarter and full-year 2025 details.
Further Reading:
- CPKC, NS Advance Locomotive Modernizations
- 2025 CPKC Holiday Train Raises Record $2MM
- CPKC 3Q25: ‘Profitable, Sustainable Growth’
- CPKC 2Q25: ‘Strong Growth, 2H25 Momentum’; UP+NS Perspective
- CPKC 1Q25: ‘Solid Demand, Precision Execution, Resilient Network’
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