logo
Share SHARE
FONT-SIZE Plus   Neg

Enbridge Profit Edges Up, But Misses View; Backs 2012 Outlook

Canadian oil and gas pipelines operator Enbridge, Inc. (ENB,ENB.TO) reported Friday a profit for the fourth quarter that edged up from last year, reflecting higher revenues. However, adjusted earnings per share fell short of analysts' expectations, while quarterly revenues topped their estimates. The company also reaffirmed its earnings guidance for the full-year 2012.

The company's board also announced in December a 15 percent increase in quarterly dividend to $0.2825 per common share, effective March 1, 2012, citing Enbridge's continued strong growth. The dividend is payable on March 1 to shareholders of record on February 15, 2012.

Enbridge said it has increased its dividend by an average of 13 percent per year over the last five years.

Meanwhile, the company said it is also commented on its focus on safety. It has been further reinforcing safety and operational integrity across all Enbridge's business units through and will continue to be the company's top priority in 2012.

The Calgary, Canada-based company reported net earnings of C$335 million or C$0.44 per share for the fourth quarter, compared to C$326 million or C$0.43 per share in the prior-year quarter.

Excluding special items, earnings for the quarter increased to C$275 million or C$0.37 per share from C$238 million or C$0.32 per share in the year-ago quarter.

On average, ten analysts polled by Thomson Reuters expected the company to report earnings of C$0.39 per share for the fourth quarter. Analysts' estimates typically exclude special items.

Total revenues for the quarter surged to C$5.44 billion from C$4.14 billion in the same quarter last year, and topped four Wall Street analysts' consensus estimate of C$4.41 billion.

"Moreover, we remain confident that Enbridge can achieve an average annual growth rate in adjusted earnings per share of 10% through 2015, based on conservative assumptions for mainline throughput and future growth investment," said President and CEO Patrick Daniel in a statement.

Looking ahead to fiscal 2012, the company continues to expect adjusted earnings in a range of $1.58 to $1.74 per share. Street is currently looking for full-year 2012 earnings of $1.64 per share.

ENB closed Thursday's regular trading at $39.20, up $0.39 on a volume of 1.68 million shares. On the Toronto Stock Exchange, ENB.TO closed at C$39.20, down C$0.19 on a volume of 0.54 million shares.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Swiss drug giant Novartis AG reported Tuesday higher profit in its third quarter with improved sales in all divisions. Both core earnings and top line beat market estimates. For fiscal 2017, the company continues to expects net sales to be broadly in line with prior year and core operating income to be broadly in line or decline low single digit, both at constant currency rates. World's largest oil company Saudi Aramco's initial public offering is on track and the listing will be in the second half of 2018, CEO Amin Nasser said in an exclusive interview with CNBC. There have been reports that the much awaited IPO might be delayed by one year. Taco Bell, the Mexican fast food chain of Yum! Brands Inc., is reportedly testing a new dessert product called the "Kit Kat Chocoladilla" at select locations in Wisconsin. It was tested last year in the UK.
comments powered by Disqus
Follow RTT