- TC Energy (TRP) has reported another quarter of strong performance despite ongoing turmoil in the global energy sector
- The company posted a marginal increase in revenue for the third quarter of 2020, from C$3.13 billion in the same period last year to $3.19 billion
- Net income also increased to a total of $904 million, compared to $739 million in 2019
- COVID-19 has reportedly had a minimal impact on the company’s operations, due in part to the long-term contracted nature of its portfolio
- TC Energy (TRP) is currently down 0.49 per cent to $53.14 per share
TC Energy (TRP) has reported another quarter of strong performance despite ongoing turmoil in the global energy sector.
For the three months ending September 30, the Calgary-based energy giant posted a marginal increase in revenue, from C$3.13 billion in the third quarter of 2019 to $3.19 billion this year.
Most significantly, however, net income grew to a total of $904 million compared to $739 million this year.
This includes an incremental after-tax loss of $45 million related to the sale of the Ontario natural gas-fired power plants on April 29, as well as a $6 million reduction to the after-tax gain related to the sale of a 65 per cent interest in Coastal GasLink.
While many other companies in the industry have reported heavy losses this year, TC Energy and its operations have remained relatively unaffected by the COVID-19 pandemic. The company says its resilience is due to the long-term contracted nature of its portfolio, which provides protection against volatility associated with volume throughput and commodity prices.
With that in mind, TC Energy said it stands by its previously announced full-year outlook for 2020 and is continuing to advance its $37 billion secured capital program, with $3 billion worth of assets placed into service so far this year.
Russ Girling, President and CEO of TC Energy, who will stand down from his position at the end of the year, said the third quarter results highlight the resilience of the company’s assets.
“Our significant internally generated cash flow, strong financial position and continued access to capital markets will enable us to prudently fund our secured capital program.
“Once completed, approximately 98 per cent of the company’s EBITDA is expected to come from regulated and/or long-term contracted assets,” he added.
TC Energy (TRP) is currently down 0.49 per cent to $53.14 per share at 2:00pm EDT.
