Shares of Canadian National Railway (USA) (NYSE:CNI) fell on Monday in extended hours after the rail transporter posted a decline in first quarter profits as expenses shot up.
Canadian National shares were down 0.6% to US$75 after hours.
The Montreal-based company's net income fell to C$741 mln, or C$1 per share, from C$884 mln, or C$1.16 per share a year earlier.
The company's revenue, which dropped for the first time in four quarters, was at C$3.19bln compared with C$3.21bln a year earlier.
The railroad company said that operating expenses rose 9% to C$2.16 bln in the quarter as the railroad operator spent more to transport goods in a harsh winter.
Operating ratio, a key metric watched closely by analysts, rose to 67.8 percent from 61.8%. A lower ratio indicates higher efficiency.
The company said it now expects 2018 adjusted earnings C$5.10 to C$5.25, compared with its earlier estimate of between C$5.25 to C$5.40.