Kansas City Southern reported mixed first-quarter earnings.

Canadian Pacific Railway Ltd. envisions a “transformative” remaking of its freight-rail business after an announced merger with Kansas City Southern Railway that will create the first U.S.-Mexico-Canada network.

Canadian Pacific Railway Ltd. agreed to buy Kansas City Southern for $25 billion, seeking to create a 20,000-mile rail network linking the U.S., Mexico and Canada in the first year of those nations’ new trade alliance.

Kansas City Southern reported a higher fourth quarter and higher annual net income, but lower revenue for the period.

The leadership of Kansas City Southern Railroad said on Oct. 16 the Class I railroad saw a 5.3% increase in third-quarter net income to $189.7 million, or $2.01 a diluted share, compared with $180.1 million, or $1.81, in the same period a year ago.

The COVID-19 pandemic hit Kansas City Southern’s second-quarter profits as net income slipped to $110.3 million or $1.16 per share, compared with $129.1 million or $1.29 per share in second-quarter 2019, the Class I railroad reported July 17.

Kansas City Southern reported record revenue and an increase in profit for the first quarter of 2020.

Kansas City Southern on Oct. 18 reported an increase in net income in the third quarter, along with record revenue for the company in any quarter.

Kansas City Southern on July 19 reported record second-quarter revenue of $714 million, up 5% compared with 2018’s $682.4 million.

Kansas City Southern, the smallest of the Class 1 railroads in North America, on April 17 reported first-quarter financial results that beat Wall Street’s expectations.