Canadian National Railway Company · TSX:CNR

Canadian National Railway — Q4 2023 Earnings Presentation

18 slides from Canadian National Railway's earnings presentation, Jan 23, 2024

  1. Slide 1: Fourth Quarter and Full Year 2023 Financial and Operating Results

    Fourth Quarter and Full Year 2023 Financial and Operating Results January 23, 2024 TSX: CNR NYSE: CNI

  2. Slide 2: Forward-looking statements

    Forward-looking statements Certain statements included in this presentation constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and under Canadian securities laws, including statements based on management’s assessment and a

  3. Slide 3: On the call today

    On the call today Tracy Robinson President and CEO Pat Whitehead Chief Network Operating Officer Derek Taylor Chief Field Operating Officer Doug MacDonald Chief Marketing Officer Ghislain Houle Chief Financial Officer 3

  4. Slide 4: Tracy Robinson

    Tracy Robinson President and Chief Executive Officer

  5. Slide 5: Advancing our game plan

    Advancing our game plan  Our commitment to scheduled railroading is driving velocity, reliability and resilience  We are delivering for our customers and the North American economy  Pressing ahead with our growth initiatives; cautiously optimistic about the macro environment  We’re railroading f

  6. Slide 6: Pat Whitehead

    Pat Whitehead Chief Network Operating Officer

  7. Slide 7: Make the Plan – Launching and landing trains

    Make the Plan – Launching and landing trains  Reinforcing values-based safety culture to foster positive behaviors – leading to improved safety metrics  Seven consecutive quarters of consistently strong and resilient operating performance, with a continued focus on getting over the road on schedul

  8. Slide 8: Derek Taylor

    Derek Taylor Chief Field Operating Officer

  9. Slide 9: Run the Plan – Driving consistent execution in the field

    Run the Plan – Driving consistent execution in the field  Fourth quarter car velocity was among the best in recent history, with major disruptions behind us – indicative of strong overall network health  Disciplined execution drove mainline and yard fluidity, and continued adherence will drive inc

  10. Slide 10: Doug MacDonald

    Doug MacDonald Chief Marketing Officer

  11. Slide 11: Closed the year with strengthening volume trends

    Closed the year with strengthening volume trends  Record potash shipments and strong refined petroleum and NGLs, partly offset by lower grain and International Intermodal shipments in the fourth quarter  Lower Q4 revenue due to decreased container storage fees and a lower applicable fuel surcharge

  12. Slide 12: Merchandise and intermodal volume momentum building into 2024

    Merchandise and intermodal volume momentum building into 2024 Merchandise Bulk Consumer Products ↑ Forest Products ↑ Western Canadian Coal ↑ International Intermodal ↑ Metals and Minerals ↑ U.S. Coal ↑ Domestic Intermodal ↑ Petroleum Products ↔ Grain ↔ Automotive ↑ Chemicals and Plastics ↓ Fertilize

  13. Slide 13: Ghislain Houle

    Ghislain Houle Chief Financial Officer

  14. Slide 14: Scheduled railroading – The foundation for customer service and profitable growth

    Scheduled railroading – The foundation for customer service and profitable growth  Reported Q4 diluted EPS up 57% to $3.29, benefitting from non-recurring items ‐ Year-over-year adjusted diluted EPS(1) impacted by lower revenues, as well as short-term impact of carrying additional headcount through

  15. Slide 15: Strong relative 2023 full-year financial performance

    Strong relative 2023 full-year financial performance  Full year earnings aligned with our revised guidance – the result of disciplined execution through a volume downturn and challenging operating conditions  Strategic use of cash to strengthen and expand the network through bolt-on acquisitions a

  16. Slide 16: Confidence in our strategic plan – 2024 financial outlook

    Confidence in our strategic plan – 2024 financial outlook(1)  Expecting to deliver approximately 10% adjusted diluted EPS(2) growth over 2023, in the context of a slightly positive economic environment  2024 CAPEX in line with Investor Day outlook  Continuing to reward long-term shareholders with

  17. Slide 17: Tracy Robinson

    Tracy Robinson President and Chief Executive Officer

  18. Slide 18: This is Scheduled Railroading

    This is Scheduled Railroading  The network is in great shape  We have the right people  CN-specific growth initiatives are producing  Our pivot to profitable growth is underway 18

Canadian National Railway Company — Q4 2023 Earnings Presentation on 6ix