Welcome to our dedicated page for Canadian Pacific Kansas City news (Ticker: CP), a resource for investors and traders seeking the latest updates and insights on Canadian Pacific Kansas City stock.
Canadian Pacific Kansas City Limited (CPKC) (TSX: CP, NYSE: CP) is a Class I railroad operator that emerged from the merger of Canadian Pacific Railway and Kansas City Southern on April 14, 2023. Headquartered in Calgary, Alberta, CPKC is the first and only single-line transnational railway connecting Canada, the United States, and Mexico. With approximately 20,000 route miles, CPKC provides unparalleled rail service, offering freight transportation services, logistics solutions, and supply chain expertise to North American customers.
The merger has greatly expanded CPKC's network, allowing for single-line-haul services from Canada through the upper Midwest down to Texas, the Gulf of Mexico, and into Mexico. CPKC operates roughly 3,300 miles of rail in Mexico and is a significant player in cross-border and intra-Mexico freight transport. The company hauls a diverse mix of products, including grain, intermodal containers, energy products like crude and frac sand, chemicals, plastics, coal, fertilizer and potash, automotive products, and various other merchandise.
CPKC's most recent financial results highlight their strong performance in the fourth quarter of 2023. They reported revenues of $3.8 billion, a diluted earnings per share (EPS) of $1.10, and core adjusted combined diluted EPS of $1.18. The company has led the industry with the lowest frequency of train accidents among Class I railroads for 17 consecutive years. This achievement underscores CPKC's commitment to safety and reliability.
Looking forward to 2024, CPKC is optimistic about leveraging unique synergy opportunities and improving macroeconomic conditions to sustain their growth trajectory. Their dedication to service and safety continues to drive value for customers and shareholders alike. In addition to their operational achievements, CPKC is also involved in community investment programs, such as a notable $1.5 million commitment to the American Heart Association for heart research over the next three years.
CPKC's operational excellence is complemented by their strong financial management and strategic initiatives. They have successfully issued and managed commercial paper programs backed by significant revolving credit facilities. CPKC's acquisition-related costs and financial integration of Kansas City Southern have been managed efficiently, ensuring minimal disruption to their operational performance.
In summary, CPKC stands as a pivotal force in North American rail transport, providing extensive rail service that connects key markets across Canada, the United States, and Mexico. Their continued focus on safety, service excellence, and strategic growth initiatives make them a critical player in the industry.
Canadian Pacific Railway reported first-quarter revenues of $1.96 billion, a 4% decrease from $2.04 billion last year. Despite this decline, diluted EPS rose 51% to $4.50, while adjusted diluted EPS increased 1% to $4.48. The operating ratio was 60.2%, an increase of 100 basis points, though adjusted OR improved 70 basis points to 58.5% after excluding acquisition-related charges. The company broke multiple records during the quarter, including in Canadian grain and automotive revenue. Guidance for 2021 indicates double-digit adjusted EPS growth.
On April 21, 2021, Canadian Pacific Railway Limited (CP) announced the successful passing of all resolutions during its annual meeting, including the election of 11 directors and a five-for-one share split. Directors received an average approval of 95.62%, with the share split garnering 99% approval. The share split, effective for shareholders recorded by May 5, 2021, will increase shares from approximately 133 million to 666 million, enhancing liquidity without altering ownership proportions. The new shares will be distributed on May 13, 2021, with no immediate tax implications for shareholders.
Canadian Pacific Railway (CP) has filed a letter with the Surface Transportation Board, urging prompt approval of its acquisition of Kansas City Southern (KCS) without further voting trust requirements. Over 400 stakeholders support the CP-KCS combination, emphasizing its benefits for competition and public interest. CP argues that a competing bid from Canadian National (CN) is inferior and would harm competition by reducing routing options. The letter advocates for the regulatory treatment of the CP-KCS transaction to reflect its straightforward nature, contrasting it with the complexities and potential anticompetitive effects of the CN proposal.
The Board of Directors of Canadian Pacific Railway Limited (TSX: CP) announced a quarterly dividend of $0.95 per share on April 20, 2021, payable on July 26, 2021. Shareholders of record as of June 25, 2021 will receive this dividend. If a proposed share split is approved on April 21, 2021, the dividend will adjust to $0.19 per share. This dividend is recognized as an 'eligible' dividend under the Canadian Income Tax Act.
Canadian Pacific Railway Limited (TSX: CP) responded to Canadian National's unsolicited offer to acquire Kansas City Southern (KCS), arguing the proposal is inferior and poses regulatory risks. CP emphasizes that its own merger with KCS would enhance competition and benefit stakeholders, with over 400 supporters backing the deal. The CP/KCS combination is expected to create new competitive routes while maintaining independent choices for customers. Shareholders are set to receive 0.489 CP shares and $90 in cash for each KCS share in the proposed deal. The STB review is anticipated to be completed by mid-2022.
Canadian Pacific Railway and Kansas City Southern announced that various stakeholders, including Bartlett Grain and the Port of Milwaukee, have filed statements with the Surface Transportation Board in support of their planned merger. Over 405 supporters have backed the combination, citing benefits such as enhanced competition, improved market access, and better service offerings. The merger is pending approval from the STB, as well as from the shareholders of both companies. The review process is expected to conclude by mid-2022.
Canadian Pacific Railway (CP) and Kansas City Southern (KCS) received support from over 405 stakeholders, including Bartlett Grain and the Port of Milwaukee, for their proposed combination. Supporters believe this merger will enhance competition and improve service offerings, transit times, and reliability for customers. CP is seeking approval from the Surface Transportation Board (STB), with the review expected to conclude by mid-2022. This merger, if approved, could strengthen CP's position in the rail market while maintaining its status as the smallest of six U.S. Class 1 railroads.
Canadian Pacific Railway Limited (TSX: CP) and Kansas City Southern (NYSE: KSU) have filed with the Surface Transportation Board (STB) to review their merger under a previously granted waiver. The companies argue that this waiver should remain effective as it promotes competition against larger Class 1 railroads. Over 375 supporters, including shippers and ports, have backed the merger for creating a seamless rail network between Canada, the U.S., and Mexico. The STB's review is expected to conclude by mid-2022.
Canadian Pacific Railway Limited and Kansas City Southern have filed with the Surface Transportation Board to review their merger under a previously granted waiver. This was in response to competitor objections. CP and KCS argue that the 2001 waiver's rationale remains applicable, asserting their merger enhances competition against larger railroads. The filing notes that over 375 stakeholders support the merger, which aims to create a seamless rail network across Canada, the U.S., and Mexico. The review by the STB is anticipated to be completed by mid-2022.
On April 12, 2021, Canadian Pacific Railway and Kansas City Southern reported that over 375 shippers and stakeholders have filed support letters with the Surface Transportation Board (STB) for their proposed rail network combination. The latest support includes 75 new stakeholders, emphasizing the expected benefits such as enhanced competition, improved transit times, and market access. The STB review is anticipated to conclude by mid-2022, and the combination will require shareholder approvals. This merger aims to create a more efficient rail service, remaining the smallest of six U.S. Class 1 railroads.
FAQ
What is the current stock price of Canadian Pacific Kansas City (CP)?
What is the market cap of Canadian Pacific Kansas City (CP)?
What is Canadian Pacific Kansas City Limited (CPKC)?
Where is CPKC headquartered?
What types of freight does CPKC transport?
What was CPKC's revenue in Q4 2023?
How does CPKC ensure safety in its operations?
What is the significance of CPKC's merger with Kansas City Southern?
What community initiatives is CPKC involved in?
How does CPKC manage its financial operations?
What are CPKC's future growth prospects?
Where can I find more detailed financial information about CPKC?
