Q2 26 EPS
$2.08
BEAT +6.02%
Est. $1.96
Q2 26 Revenue
$4.75B
BEAT +2.85%
Est. $4.62B
Market Reaction
Did CNI Beat Earnings? Q2 2026 Results
Canadian National Railway posted a strong second quarter in 2026, with adjusted diluted EPS of $2.08 beating the consensus estimate of $1.96 by 6.02% and revenue of $4.75 billion topping expectations by 2.85% while growing 11.3% year over year. The r… Read more Canadian National Railway posted a strong second quarter in 2026, with adjusted diluted EPS of $2.08 beating the consensus estimate of $1.96 by 6.02% and revenue of $4.75 billion topping expectations by 2.85% while growing 11.3% year over year. The results were powered by exceptional volume momentum across key freight categories, with grain and fertilizers freight revenue climbing 18% to $980 million and petroleum and chemicals rising 16% to $941 million, together reflecting the broad-based demand surge analysts had anticipated heading into the print. Operating income reached $1.78 billion on a GAAP basis, though fuel costs spiked sharply to $659 million from $413 million a year ago, weighing on the operating ratio, which widened 80 basis points to 62.5%. Free cash flow came in at $942 million for the quarter. Management raised its full-year outlook, now targeting low single-digit revenue ton-mile growth and mid-to-high single-digit adjusted diluted EPS growth, citing sustained volume momentum, even as elevated trade policy uncertainty and the ongoing USMCA review cloud the demand outlook into the back half of the year.
Key Takeaways
- • Strong grain and energy product volumes drove 5% RTM growth
- • Freight revenue per RTM increased 6% reflecting pricing gains
- • Record first-half and Q2 fuel efficiency at 0.836 US gallons per 1,000 GTMs
- • GTMs per average number of employees increased 9% reflecting improved labor productivity
- • Operational discipline and solid customer service enabling demand capture
- • Higher Canadian and U.S. grain exports, refined petroleum products, and natural gas liquids volumes
- • Higher applicable fuel surcharge rates and freight rate increases boosted freight revenue per RTM
- • Fuel surcharge revenues increased by C$242 million in Q2 2026 due to higher applicable rates
- • Lower average headcount partly offset labor cost increases
CNI Forward Guidance & Outlook
CN raised its 2026 financial guidance, now assuming low single-digit RTM growth (previously flattish) and expecting mid-to-high single-digit adjusted diluted EPS growth (previously slightly exceeding RTM growth). The company continues to plan approximately C$2.8 billion in capital investment net of customer reimbursements and expects to continue improving free cash flow conversion throughout 2026. CN assumes the 2026/2027 grain crops in Canada and the U.S. will be in line with their respective five-year averages, the Canadian dollar at US$0.71, and crude oil (WTI) in the range of US$80-US$110 per barrel. The company noted heightened demand risk from volatile macroeconomic conditions, geopolitical conflicts, and global trade tensions.
CNI YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
CNI Revenue by Segment
With YoY comparisons, source: SEC Filings
CNI Revenue by Geography
With YoY comparisons, source: SEC Filings
“I want to thank the CN team for the strong results this quarter, which reflect their discipline, focus, and execution. We delivered on our key commitments, with solid operational and commercial performance, improved productivity, strong cash flow generation, and continued financial discipline. We are raising our full-year guidance, supported by sustained business momentum and our continued ability to deliver results for our customers.”
— Tracy Robinson, Q2 2026 Earnings Press Release
CNI Earnings Trends
CNI vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
CNI EPS Trend
Earnings per share: estimate vs actual
CNI Revenue Trend
Quarterly revenue: estimate vs actual
CNI Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT | $1.96 | $2.08 | +6.02% | $4.75B | +2.85% |
| Q1 26 MISS FY | $1.81 | $1.80 | -0.34% | $4.38B | -0.52% |
| FY Full Year | $7.52 | — | — | — | — |
| Q4 25 BEAT FY | $1.98 | $2.08 | +5.10% | $4.46B | +0.10% |
| FY Full Year | $7.52 | $7.63 | +1.40% | $17.30B | -0.02% |
| Q3 25 BEAT | $1.77 | $1.83 | +3.30% | $4.17B | +0.34% |
| Q2 25 MISS | $1.90 | $1.87 | -1.44% | $4.27B | -1.67% |