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Dec 31, 2024
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TC Energy Q4 2024 Earnings Report

TC Energy reported solid fourth-quarter 2024 operating and financial results.

Key Takeaways

TC Energy delivered a strong fourth-quarter performance, with net income of $1.1 billion and revenue of $3.58 billion. The company successfully increased its dividend for the 25th consecutive year and completed the mechanical construction of the Southeast Gateway pipeline 13% under budget.

Comparable earnings were $1.1 billion, or $1.05 per share, down from $1.2 billion last year.

Net income attributable to common shares was $1.1 billion, or $1.03 per share.

Revenue increased to $3.58 billion from $3.50 billion in Q4 2023.

The company increased its quarterly dividend by 3.3%.

Total Revenue
CA$3.52B
Previous year: CA$3.84B
-8.2%
EPS
CA$1.03
Previous year: CA$1.31
-21.1%
Dividend Increase
3.3%
Comparable EBITDA
CA$2.62B
Comparable Funds From Operations
CA$1.67B
Cash and Equivalents
CA$789M
Previous year: CA$3.82B
-79.3%
Total Assets
CA$58.5B
Previous year: CA$126B
-53.4%

TC Energy

TC Energy

TC Energy Revenue by Segment

TC Energy Revenue by Geographic Location

Forward Guidance

TC Energy expects 2025 comparable EBITDA to be higher due to new projects but forecasts lower EPS due to increased costs and tax rates.

Positive Outlook

  • Southeast Gateway pipeline expected to be in service by May 1, 2025.
  • Higher contributions from NGTL System due to revenue requirement settlement.
  • Full-year impact of projects placed in service in 2024.
  • Anticipated new project completions in 2025.
  • Strong performance in Bruce Power operations.

Challenges Ahead

  • Lower EPS expected due to increased depreciation rates.
  • Lower AFUDC due to Southeast Gateway pipeline completion.
  • Lower interest income due to reduced cash balances.
  • Higher tax rates expected in 2025.
  • Increased capitalized interest costs related to Coastal GasLink pipeline.