Financial Data and Key Metrics Changes - For Q4 2025, revenue was CAD 3.9 billion, up 1% year-over-year, with an operating ratio of 55.9, representing a 120 basis points improvement. Earnings per share (EPS) was CAD 1.33, up 3% from the previous year [4][6] - For the full year 2025, revenue reached CAD 15.1 billion, an increase of 4%, with a volume growth of 4%. The operating ratio improved by 140 basis points to 59.9, and core EPS was CAD 4.61, up 8% [5][27] Business Line Data and Key Metrics Changes - Bulk business saw record grain revenues up 4% on 2% volume growth, driven by a record Canadian grain harvest of 85 million metric tons, up 20% from last year [19][20] - Potash revenues decreased by 2% despite 2% volume growth, while coal revenue increased by 2% despite a 1% decline in volumes [20][21] - Merchandise franchise revenues declined by 3% due to a 5% volume decline in energy, chemicals, and plastics, and a 13% decline in forest products revenue due to tariffs [22][23] Market Data and Key Metrics Changes - The intermodal segment experienced a revenue increase of 3% with a 4% volume growth, driven by strong performance from international intermodal volumes [24] - The automotive segment saw a revenue decline of 3% despite a 1% volume growth, impacted by production slowdowns and supply chain challenges [23] Company Strategy and Development Direction - The company aims for mid-single-digit volume growth in 2026, supported by strong bulk business and unique growth drivers, while continuing to execute its Precision Scheduled Railroading (PSR) model [6][10] - A 5% share buyback program was announced for 2026, reflecting the company's commitment to returning cash to shareholders [10][32] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth opportunities in 2026, particularly in grain and intermodal sectors, despite macroeconomic challenges [6][10] - The company is focused on controlling costs and improving operational efficiency, with expectations for low double-digit earnings growth [32] Other Important Information - The company achieved record safety performance and operational metrics, including train speed and locomotive productivity, contributing to its competitive advantage [12][14] - The company is investing in new locomotives, with 100 new units scheduled for delivery in 2026, enhancing fleet efficiency [10][16] Q&A Session Summary Question: Volume growth assumptions for 2026 - Management acknowledged the challenges in Q1 but expressed confidence in grain and bulk business growth, citing strong customer feedback and upcoming opportunities [35][36] Question: Impact of reciprocal switching proposals - Management indicated that if service quality is maintained, reciprocal switching would not pose a significant threat, emphasizing the importance of providing good service [44][45] Question: Operating ratio potential with mid-single-digit RTM growth - Management discussed the potential for continued improvement in operating ratio, aiming for 100 basis points improvement per year if operational efficiencies are maintained [50][54] Question: Revenue bridge from volume to revenue - Management highlighted that while there may be headwinds in early 2026, strong bulk business and tariff impacts would stabilize revenue growth later in the year [58][60]