TC Energy (NYSE:TRP) Releases Earnings Results, Beats Expectations By $0.03 EPS

Key Points

• Quarterly results topped expectations: TC Energy reported EPS of $0.67 versus the $0.64 consensus and revenue of $2.88 billion versus estimates of $2.79 billion, although EPS was below $0.77 a year earlier.
• Growth outlook strengthened: The company raised its 2026 EBITDA guidance to C$11.8–12.0 billion and forecast 5%–7% annual comparable EBITDA growth through 2031, supported by pipeline projects and a substantial investment pipeline.
• Dividend and trading: TC Energy declared a quarterly dividend of C$0.88 per share, representing an indicated yield of about 5.7%; shares nevertheless fell about 1% in the reported trading session.

TC Energy (NYSE:TRP - Get Free Report) TSE: TRP issued its quarterly earnings results on Thursday. The pipeline company reported $0.67 earnings per share for the quarter, beating analysts' consensus estimates of $0.64 by $0.03, Zacks reports. TC Energy had a net margin of 22.91% and a return on equity of 11.10%. The business had revenue of $2.88 billion during the quarter, compared to analyst estimates of $2.79 billion. During the same quarter last year, the business posted $0.77 earnings per share.

Here are the key takeaways from TC Energy's conference call:

• Results beat the prior outlook: Third-quarter comparable EBITDA rose 13% year over year to more than CAD 3 billion, while comparable EPS increased 22% to CAD 0.94. TC Energy raised its 2026 EBITDA guidance to CAD 11.8–12.0 billion and expects CAD 12.3–12.5 billion in 2027.
• Long-term growth and dividend outlook extended: The company forecasts 5%–7% annual comparable EBITDA growth through 2031 and 3%–5% annual dividend growth, while targeting debt-to-EBITDA of no more than 4.75 times. Management said the low end of the growth range is supported by sanctioned and pending projects, while the upper end depends on advancing additional projects.
• Significant investment pipeline, with execution and conversion still key: TC Energy cited CAD 30 billion of sanctioned and pending projects and more than CAD 40 billion in origination, including CAD 15 billion of power opportunities. It expects annual net capital spending of roughly CAD 8–9 billion from 2029–2031 to support the midpoint of its outlook; reaching the high end would require converting more opportunities into approved projects.
• New contracted projects expand the network: Announced projects include the USD 1.8 billion Crossroads expansion and the approximately USD 400 million American Midwest project, both backed by 20-year take-or-pay contracts and targeted for 2030 service. Coastal GasLink Phase 2 is also advancing, with LNG Canada leading execution and TC Energy’s equity contribution capped at up to CAD 250 million.
• Optimization and AI are adding value to existing assets: AI-enabled capacity management initiatives generated approximately CAD 65 million of incremental EBITDA year to date. Management is on track for a CAD 100 million run rate in 2026 and targets an additional CAD 100 million in 2027.

TC Energy Trading Down 1.0%

NYSE TRP traded down $0.63 during trading hours on Friday, hitting $61.95. The company's stock had a trading volume of 2,730,756 shares, compared to its average volume of 2,233,635. TC Energy has a twelve month low of $50.72 and a twelve month high of $71.47. The firm has a market capitalization of $61.95 billion, a P/E ratio of 23.03 and a beta of 0.64. The company has a quick ratio of 0.54, a current ratio of 0.61 and a debt-to-equity ratio of 1.64. The stock has a fifty day moving average of $61.34 and a 200 day moving average of $63.84.

TC Energy Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, January 29th. Investors of record on Thursday, December 31st will be issued a C$0.88 dividend. This represents a $3.51 annualized dividend and a yield of 5.7%. The ex-dividend date is Thursday, December 31st. TC Energy's dividend payout ratio is currently 104.98%.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on TRP. The Goldman Sachs Group raised TC Energy from a "neutral" rating to a "buy" rating and set a $71.00 target price for the company in a research note on Wednesday, September 30th. Wall Street Zen lowered TC Energy from a "hold" rating to a "sell" rating in a research note on Saturday. Weiss Ratings reaffirmed a "buy (b)" rating on shares of TC Energy in a research note on Thursday, October 29th. Barclays reiterated an "overweight" rating on shares of TC Energy in a report on Thursday, July 16th. Finally, Jefferies Financial Group upgraded TC Energy from a "hold" rating to a "buy" rating in a research report on Tuesday, September 1st. One research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, TC Energy presently has a consensus rating of "Moderate Buy" and an average price target of $93.75.

Key TC Energy News

Here are the key news stories impacting TC Energy this week:

• Positive Sentiment: Third-quarter EPS of $0.67 beat the $0.64 consensus, while revenue of $2.88 billion exceeded estimates of $2.79 billion. TC Energy Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: TC Energy raised its 2026 profit outlook, extended its outlook through 2031, and announced about C$3 billion in new pipeline growth projects. Stronger guidance and planned investment may support future earnings growth. TC Energy raises 2026 profit outlook and announces projects
• Positive Sentiment: The company declared a quarterly dividend of C$0.88 per share, equivalent to an indicated annualized yield of about 5.6%, which may appeal to income-focused investors.
• Positive Sentiment: Management plans to unveil a further NGTL expansion proposal in December, adding a potential source of future pipeline investment and growth. TC Energy to unveil NGTL expansion plan
• Neutral Sentiment: Despite the favorable earnings and outlook news, TRP was lower in the supplied trading snapshot. The provided coverage does not point to a clear company-specific negative headline explaining the decline.

About TC Energy

TC Energy NYSE: TRP is a North American energy infrastructure company that develops and operates natural gas and liquids pipelines, natural gas storage facilities, and power-generation assets. Its services help transport and store energy for producers, utilities, businesses, and consumers.

The company's pipeline network spans Canada, the United States, and Mexico. Its power-generation portfolio includes an interest in Bruce Power, which operates a nuclear generating station in Ontario.

Founded as TransCanada Corporation, the company adopted the TC Energy name in 2019.

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