Canadian National Railway Company · TSX:CNR
Canadian National Railway — Q3 2025 Earnings Presentation
20 slides from Canadian National Railway's earnings presentation, Oct 31, 2025
Slide 1: Third Quarter 2025 Financial and Operating Results
Third Quarter 2025 Financial and Operating Results October 31, 2025
Slide 2: Forward-looking Statements
Q3 Introduction Forward-looking Statements Certain statements included in this presentation constitute "forward-looking statements" within the meaning types of claims and litigation; risks and liabilities arising from derailments; timing and completion of capital of the United States Private Securit
Slide 3: Tracy Robinson, President and Chief Executive Officer
Tracy Robinson President and Chief Executive Officer 3
Slide 4: Decisive actions to navigate weak macro environment
Q3 Overview Decisive actions to navigate weak macro environment Sharpening our focus on cost levers Capital Intensity Productivity Cash Flow Conversion Resetting Capex envelope Driving structural cost Increasing free cash flow improvements 2026 Capex envelope Workforce reductions Targeting cash conv
Slide 5: Strong financial and operational performance
Q3 Overview Strong financial and operational performance Performance highlights Q3 Q3 Operating Ratio Diluted EPS Disciplined focus on service and cost control delivered earnings growth and year-over-year margin improvement 61.4% $1.83 170 bps 6% Network remains fluid, operating metrics are at o
Slide 6: Pat Whitehead, Chief Operating Officer
Pat Whitehead Chief Operating Officer 6
Slide 7: Strong execution underpinning margin expansion
Q3 Operations Strong execution underpinning margin expansion Key operating measures Car Velocity (1) Through Dwell (1) Local Service (car miles per day) (entire railroad, hours) Commitment (1) (2) Across the board improvement 7.1 95% in key operating metrics 211 7.0 94% 208 Consistently fluid networ
Slide 8: Update on key efficiency initiatives
Q3 Operations Update on key efficiency initiatives Network operations Plan Discipline Right-sized Resources Driving Efficiencies Adherence to the Plan allows for swift Resource alignment enabling the right Improving locomotive reliability and recovery of operations following any tension between volu
Slide 9: Investments have delivered capacity and fluidity
Q3 Operations Investments have delivered capacity and fluidity Capital Investments Western network investments (2022-2025) Locomotive fleet availability CN’s 183 locomotive modernizations, coupled with enhanced maintenance practices and 92.2% shop productivity, have lifted fleet reliability 91.6% 90
Slide 10: Janet Drysdale, Chief Commercial Officer
Janet Drysdale Chief Commercial Officer 10
Slide 11: Volume growth driven by intermodal recovery
Q3 Markets Volume growth driven by intermodal recovery Revenue highlights Q3 Revenues Q3 Revenues at Q3 Revenue Variance on a Constant Currency Basis (1) Constant Currency (1) (Q3 2025 vs Q3 2024) Strong Intermodal volumes benefitted from year-over-year recovery following Petroleum & Chemicals 1% la
Slide 12: Strong intermodal and bulk volumes to finish the year
Q3 Markets Strong intermodal and bulk volumes to finish the year Balance of year outlook versus last year Merchandise Bulk Products Consumer Products Petroleum & Chemicals Grain International Intermodal • NGL exports growth through Rupert • CDN – Strong seasonal Q4 program on a • Share gains and vol
Slide 13: Ghislain Houle, Chief Financial Officer
Ghislain Houle Chief Financial Officer 13
Slide 14: Pulling all levers to deliver earnings growth
Q3 Financials Pulling all levers to deliver earnings growth Third Quarter highlights Q3 Q3 Diluted EPS Diluted Number of Shares Delivered 6% diluted EPS growth Revenues increased by 1% on 1% higher RTMs and $1.83 622M 5% higher carloads 6% 1% Expenses decreased by 1% mainly due to lower fuel exp
Slide 15: Breakdown of earnings drivers
Q3 Financials Breakdown of earnings drivers Third Quarter highlights Earnings impacted by $1.83 $0.03 fuel price headwind Unfavorable traffic mix shifts $1.72 More than offset by Accelerated cost take-out initiatives, including lower headcount Higher volumes, led by Intermodal Same-store pricing abo
Slide 16: Operating expense review
Q3 Financials Operating expense review Constant currency Q3 OPEX variance on a constant currency basis (1) (Q3 2025 vs Q3 2024, in $M) Labor up on higher incentives and wage increases; +2% 17 Labor & Fringe partially offset by lower headcount and productivity gains Purch Svcs & Material -1% -7 Purch
Slide 17: Reaffirming full year EPS guidance
Q3 Financials Reaffirming full year EPS guidance 2025 Financial outlook (1) 2025 EPS Guidance Environment remains uncertain and industrial production soft, impacting demand Expect to deliver Continue to assume volume growth in terms of RTMs in the low single-digit range versus last year and continue
Slide 18: Tracy Robinson, President and Chief Executive Officer
Tracy Robinson President and Chief Executive Officer 18
Slide 19: Strengthening our position for the long term
Q3 Summary Strengthening our position for the long term Closing remarks Refining our strategy to navigate ongoing macro headwinds Staying close to our customers and moving with urgency Acting decisively to drive efficiency and boost free cash flow Driving shareholder value creation is our priority C
Slide 20: Contacts
Contacts Stacy Alderson Assistant Vice President, Investor Relations Stacy.Alderson@cn.ca Greg Hamilton Senior Manager, Investor Relations Greg.Hamilton@cn.ca Nicole Smith Expert, Investor Relations Nicole.Smith@cn.ca www.cn.ca/en/investors
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