Canadian Pacific Kansas City grew grain freight revenue 29% in the third quarter, helping push total revenue up 15% to $4.2 billion, the railroad reported Wednesday. All figures are in Canadian dollars.
Grain freight revenue reached $904 million in the three months ended Sept. 30, up from $702 million a year earlier, according to CPKC's third-quarter earnings release. Grain revenue ton-miles rose 23% to 17.1 billion, and grain revenue per ton-mile rose 5% to 5.29 cents.
Grain grew faster than the railroad overall. Total revenue ton-miles, the industry's standard volume measure, rose 6% from a year earlier.
Through the first nine months of 2026, grain freight revenue totaled $2.7 billion, up 21%, on an 18% increase in grain revenue ton-miles.
Fuel cut into the gains. Fuel expense rose 61% to $667 million from $415 million, and net income slipped to $916 million from $917 million. Higher fuel prices added 170 basis points to the reported operating ratio, which rose 130 basis points to 64.8%. The core adjusted operating ratio rose 120 basis points to 61.9%.
Reported diluted earnings per share rose 3% to $1.04, while core adjusted diluted earnings per share rose 16% to $1.28.
"The railroad is running very well, our service remains strong, and we continue to deliver growth across key markets, including grain, intermodal and merchandise," said Keith Creel, CPKC president and chief executive officer.
CPKC said it remains on track to meet its commitments for the year. The Calgary, Alberta-based railroad operates about 20,000 route miles linking Canada, the U.S. and Mexico.
