CALGARY — Pipeline and power company TC Energy Corp. is reporting net income of $1.1 billion in the three months ended Dec. 31, matching its performance in the same period of 2018.
The Calgary-based company’s reported earnings per share were $1.18, down a penny from the year-earlier period but well ahead of analyst expectations of $1.03, according to financial markets data firm Refinitiv.
Comparable earnings before interest, taxes, depreciation and amortization decreased by $138 million to $2.3 billion.
That was attributed to lower contribution from Canadian natural gas pipelines, decreased volumes on the Keystone pipeline system and lower margins on liquids marketing activities, offset by higher contributions from U.S. gas pipelines and the Bruce Power nuclear facility in Ontario.
There was no update in a news release on the company’s Keystone XL pipeline project, which has recently received several key regulatory approvals in the United States.
TC Energy, formerly known as TransCanada Corp., announced it has approved a $900-million expansion to add 119 kilometres to its NGTL natural gas pipeline system in Western Canada, as well as a US$300-million expansion of its ANR Pipeline interstate gas system in the United States.
The company is raising its quarterly dividend by eight per cent to 81 cents per common share.
“Over the past several years, we have taken significant steps to high-grade our asset base through organic growth, acquisitions and divestitures, as well as return our balance sheet to its position of historical strength,” said CEO Russ Girling in a statement.
“Management remains focused on further enhancing the quality and longevity of the company’s earnings and cash flow profile by seeking to turn our remaining merchant revenues into contracted annuity streams as well as increase regulatory certainty through long-term settlements with our customers.”
This report by The Canadian Press was first published Feb. 13, 2020.
Companies in this story: (TSX:TRP)
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