A CPKC locomotive at a train yard in Mexico City in September, 2025. In 2025, the railway hauled more grain, potash and coal, while goods affected by U.S. tariffs declined in volumes.Adrian Wyld/The Canadian Press
Canadian Pacific Kansas City Ltd. CP-T posted higher profit and freight revenue for 2025, a sign that the Calgary-based railway is withstanding the trade storm unleashed by U.S. President Donald Trump.
CPKC, in results released after markets closed on Wednesday, said full-year profit rose by more than 10 per cent while revenue increased by 4 per cent, aided in part by record grain crops in Canada and the United States.
Keith Creel, chief executive officer of CPKC, told analysts on a conference call the freight hauler faced a “tonne of volatility” in 2025, including economic doubts and tariffs that dampened demand for some goods.
“We’ve already absorbed a pretty significant hit from all the uncertainty. I think about $200-million, maybe higher,” he said.
The railway is “controlling what we can control, controlling our cost structure,” Mr. Creel said.
In 2025, the railway hauled more grain, potash and coal. Goods affected by the Trump tariffs, including autos, forest products, metals and consumer goods, declined in volumes.
CPKC said full-year profit was $4.1-billion, compared with $3.7-billion in 2024. The railway collected revenue of $15-billion, compared with $14.5-billion in 2024.
CP merged with Kansas City Southern in 2023, creating the first railway that spans Canada, the U.S. and Mexico.
Mark Redd, CPKC’s operating chief, said the combined railway is more efficient and 13 per cent faster. Trains on the Kansas City network, which extends into Mexico, are 25 per cent faster.
“Train speed, locomotive productivity and car velocity: These improvements can translate to faster cycle times, greater network capacity and faster, more reliable customer service,” Mr. Redd said.
For the fourth quarter, CPKC’s profit fell by 10 per cent to $1.1-billion while revenue increased 1 per cent to $3.9-billion, compared to the fourth quarter of 2024.
Asked by an analyst how the review of the U.S.-Mexico-Canada trade agreement could affect the railway, Mr. Creel said Mr. Trump will use the review of the deal to advance U.S. interests and rebalance trade. But Mr. Creel said that doesn’t mean Canada and Mexico won’t benefit.
“At the end of the day we’ll get through the storm. These three nations will trade together,” he said.
CPKC’s share price has fallen by 14 per cent on the Toronto Stock Exchange over the past 12 months.