The national Canadian lowers his forecasts

As several observers feared, the national Canadian lowers his forecasts for the year.

Posted at 5.11 p.m. Updated at 5:37 p.m.

The management of the rail carrier made the announcement at the end of the day on Tuesday by presenting its financial performance for the months of April. However, May and June.

Management explains its decision to lower expectations by “economic uncertainty attributable to the persistent volatility of trade. Additionally, However, customs duties in key economic sectors”.

The CN now plans to achieve growth in profit per share between the national canadian lowers his forecasts environment. Meanwhile, the top of the growth range to a figure in 2025, compared to its forecast presented at the end of January which was for growth of 10 to 15 % this year.

The financial targets of the 2024-2026 three-year strategic plan are also withdrawn.

“Uncertainty is growing around customs tariffs. Nevertheless, the commercial context, especially in Canada, and the weakening of the macroeconomic situation arouses concerns,” said CEO, Tracy Robinson, Tuesday at a conference call.

She says she finds repercussions in the sectors of forest products and metals, in particular.

Tracy Robinson maintains that in the medium term. uncertainty makes it more difficult to estimate the volume of goods for the last six months of the year.

“The range of possibilities is wider. national canadian lowers his forecasts it seems more likely that the current weakness observed in certain sectors persists in the short term. In an uncertain environment, we control what we can control, “she said.

Several analysts anticipated a revision of forecasts as the spring results are approached.

For some experts. the announcement Monday evening of the departure of the commercial affairs chief, Rémi Lalonde, who was CEO of forest products resolved before joining the CN last year, was possibly heralding a negative change in forecasts.

Janet Drysdale. who has been working at the CN for thirty years, is the next generation on an temporary basis as a commercial business manager, a supervision of the sales and marketing team. She participated in the conference call organized on Tuesday.

If the sudden departure of Rémi Lalonde was national canadian lowers his forecasts able to surprise several observers. the choice of Janet Drysdale is “good” to ensure the transition, according to analyst Chris Murray, of the firm Atb Capital Markets.

National canadian lowers his forecasts

Financial results

The CN generated net profits of 1.17 billion in the second quarter, up from 1.11 billion a year ago.

Adjusted quarter action by action to exclude certain elements amounts to $ 1.87, which complies with the market consensus as established by the financial data firm Refinitv.

CN quarterly revenues fell 1 % over a year, to 4.27 billion. Analysts anticipated 4.34 billion.

The performance was unveiled after the market closes. The action of the CN closed the Tuesday session at $ 136.56 on the Toronto Stock Exchange. The title has been a decline national canadian lowers his forecasts of 6 % since the start of the year.