CN SEES HIGH SINGLE-DIGIT 2021 EPS GROWTH

Canadian National Railway Co. said on Tuesday it aims to deliver high single-digit earnings per share growth in fiscal 2021 and beat quarterly profit as improvement in consumer spending drove volumes. COVID-19 mandated lockdowns impacted railroad volumes in the first half of 2020 due to low demand for consumer products and industrial goods. However, intermodal and grain shipment picked pace in the third quarter which, along with the return of consumer spending, boosted volumes in the later half of the year. The company's operating ratio, a closely watched measure of operating expenses as a percentage of revenue, fell to 61.4 per cent from 66 per cent. A higher ratio represents inefficiency. On an adjusted basis, Canadian National earned $1.43 per share, topping analysts' average estimate of $1.41.