TC Energy Raises Guidance After Quarterly Earning Rise Sharply

By Robb M. Stewart

TC Energy raised its earnings target for the year after profit jump in the third quarter with higher natural gas flows and the benefit of higher contract prices and increased generation at its Bruce Power generation operation.

The Canadian energy company on Thursday reported net income of C$1.03 million Canadian dollars (US$734 million), or C$0.98 a share, compared with C$609 million, or C$0.58 a share, in the same period a year earlier.

Comparable earnings before interest, taxes, depreciation and amortization--a measure of profit followed by industry analysts--increased to C$3 billion in the quarter. That was up from C$2.65 billion last year and ahead of the C$2.86 billion mean forecast of analysts polled by FactSet.

Revenue rose 8.8% from last year to C$4.03 billion, where analysts had penciled in C$3.98 billion.

TC Energy said it is now anticipating comparable Ebitda for the full year of between C$11.8 billion and C$12 billion, while maintaining a debt-to-Ebitda ratio below its 4.75 times longterm target. The marks a bump up after it in late July said it was aiming for the upper end of a C$11.6 billion to C$11.8 billion range.

Natural gas pipeline deliveries in Canada averaged 24.3 billion cubic feet per day in the latest quarter, up about 6% on a year earlier. Average daily gas flows in the U.S. were 27 billion cubic feet a day, up 3%, and in Mexico flows averaged 3.7 billion, a rise of 8%.

TC Energy moves more than 30% of the natural gas used across North America and supplies liquefied natural gas exports. It also runs several power-generation facilities, including the Bruce nuclear plant that supplies roughly 30% of the province of Ontario's electricity.

The Alberta-based company in late September moved ahead with plans to expand the 416-mile Coastal GasLink pipeline across northern British Columbia after the Shell-led LNG Canada venture gave the go ahead for an expansion of its liquefied natural gas terminal. The same month, TC Energy said it expected to raise about C$560 million with the sale of its Guadalajara-Manzanillo operation, part of its network of gas pipelines in Mexico.

Chief Executive Francois Poirier said about C$6 billion of growth projects have been sanctioned by the company year-to-date in 2026, and there are about C$6 billion in projects pending approval and more than C$40 billion of additional anticipated opportunities. That is expected to drive a five-year comparable Ebitda compound annual growth rate of between 5% and 7% out to 2031, he said.

TC Energy forecasts North American natural gas demand to grow by about 51 billion cubic feet a day from 2025 to 2035, led by liquefied natural gas exports and gas-fired power generation. In Canada, it expects power demand will double by 2050.

Most of TC Energy's earnings are underpinning by rate-regulated or long-term "take-or-pay" contracts, offering stability in cash flows and limited exposure to commodity price moves.

Write to Robb M. Stewart at robb.stewart@wsj.com

Corrections & Amplifications

This article was corrected at 8:44 a.m. ET because it incorrectly said income was C$1.03 million and the pipeline was 416 million miles long. TC Energy reported net income of C$1.03 billion, and that it plans to expand the 416-mile Coastal GasLink pipeline.

(END) Dow Jones Newswires

November 05, 2026 07:55 ET (12:55 GMT)