CNR has profits of $886M in Q2
MONTREAL - Canadian National Railway has reported profits of $886 million in the second quarter, an increase of 4.6 per cent compared to the same period last year. The Montreal-based company saw those profits despite flat revenue of $3.125 billion, a three per cent decrease in car loadings and a seven per cent decline in revenue ton-miles. Revenue tonmiles measure the amount of freight shipped. The company said weakness in coal, grain and crude markets are impacting volumes, but prospects are looking better in international markets and non-energy related freight. Company CEO Claude Mongeau credited the company's drive to efficiency for achieving the second-quarter results. “I'm proud of our very solid second-quarter results, driven by the team's swift action to recalibrate resources and double-down on efficiency,” Mongeau said in a statement. He said CN has been reducing the number of railcars in use and cutting staffing costs. The company said it laid off 600 employees, instituted a hiring freeze and is working to reduce overtime.