The Globe and Mail reports in its Friday, July 18, edition that Canadian Pacific Railway saw second quarter profit climb 48 per cent, as the rail operator saw revenue surge as it cleared a backlog of freight after a long winter. The Globe's Eric Atkins writes that CP's net income for the April-June period was $371-million or $2.11 a share. Revenue was $1.68-million, an increase of 12 per cent from the year-earlier quarter. Analysts had been expecting a profit of $2.09 per share and revenue of $1.65-billion. Mr. Atkins says CP and other large North American railways are expected to enjoy high traffic volumes this year, as they clear the winter backlog of goods and benefit from a large grain harvest. However, higher costs due to increased congestion on the rails and longer stays at freight terminals are hurdles, notes Mr. Atkins. The Chicago hub, in particular, is a chokepoint for rail traffic. CP's operating ratio improved to 65.1 per cent. Analysts had expected an operating ratio of 64.8 per cent. The Globe notes that a lower ratio is better. CP shares have risen by 23 per cent this year. For the second quarter, CP's revenue from Canadian grain rose by 32 per cent from the year-earlier period.