CN and Congebec to build cold storage facility at Calgary hub

MONTREAL - Canadian National Railway (TSX:CNR) (NYSE:CNI), a prominent player in North America’s ground transportation industry with a market capitalization of $60 billion, and Congebec announced Thursday they will collaborate on a new cold storage facility at CN’s Calgary Logistics Park in Alberta. According to InvestingPro data, CN maintains impressive gross profit margins of over 55%.

The facility aims to improve the transfer of temperature-sensitive goods between rail and warehouse operations, offering customers more efficient service for perishable cargo destined for domestic and international markets, according to the press release. This expansion aligns with CN’s strong operational efficiency, reflected in its FAIR financial health rating from InvestingPro.

Developed with construction partner Matthews Tribal, the facility will integrate cold storage, cross-docking, transloading, and first- and last-mile services with CN’s existing refrigerated programs. The companies stated the proximity to rail infrastructure will help streamline transfers, reduce dwell times, and improve efficiency for temperature-sensitive goods.

"This initiative with Congebec reflects CN’s commitment to building smarter, more sustainable supply chains," said Dan Bresolin, Vice-President of Intermodal at CN.

Richard Patenaude, President of Congebec Transport, noted the facility combines "Congebec’s expertise in temperature-controlled logistics with CN’s expansive rail network."

The project represents an extension of the existing relationship between the companies. Congebec currently operates 16 facilities across Canada with nearly 70 million cubic feet of storage capacity.

The companies did not disclose financial details or a specific timeline for the facility’s completion.

CN operates a nearly 20,000-mile rail network connecting Canada’s eastern and western coasts with the U.S. Midwest and Gulf Coast. Currently trading near its 52-week low, CN’s stock presents an interesting opportunity for value investors, according to InvestingPro’s Fair Value analysis. The company has maintained dividend payments for 30 consecutive years, currently offering a 2.66% yield. For detailed insights and 12 additional ProTips about CN’s performance, investors can access the comprehensive Pro Research Report available on InvestingPro.

In other recent news, Canadian National Railway reported second-quarter adjusted diluted earnings per share of C$1.87, which met the expectations of analysts, including Bernstein and Benchmark. Bernstein had estimated earnings of C$1.85, while the consensus was C$1.88. Alongside these earnings results, Bernstein lowered its price target for Canadian National Railway to C$149 from C$158, maintaining a Market Perform rating. Similarly, BofA Securities reduced its price target to $102 from $106, while keeping a Neutral rating.

In corporate developments, Canadian National Railway appointed Madeleine Paquin, former CEO of LOGISTEC Corporation, to its Board of Directors, effective October 29, 2025. Additionally, the company has expanded its firefighting capabilities with new railcars named Oceanus and Amphitrite, each equipped to carry 25,000 gallons of water. These specialized firefighting assets are designed to protect rail infrastructure during wildfire season. Canadian National Railway’s third-quarter-to-date Revenue Ton Miles increased by 0.2% year-over-year, surpassing BofA’s previous forecast of a 1.5% decline.

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