Enbridge Reports Lower Third-Quarter Earnings
Enbridge reports lower third-quarter earnings as net sales decline and acquisition deals increase. CEO expresses optimism for continued growth through strategic acquisitions.
Enbridge, a leading gas and oil provisioner, has reported a decrease in third-quarter earnings due to a decline in commodity sales and an increase in acquisition deals. The company recorded a net income of 532 million Canadian dollars ($387.3 million), or C$0.26 per share, compared to 1.28 billion Canadian dollars, or C$0.63 per share, in the same period last year.
Enbridge's net sales for the quarter dropped from 11.57 billion Canadian dollars to 9.84 billion Canadian dollars. Analysts had anticipated net sales of 11.33 billion Canadian dollars. Despite the decrease, Enbridge remains confident in its ability to rebound.
During this quarter, Enbridge announced the acquisition of three U.S. gas utilities, which will allow the company to establish a robust gas utility platform with approximately 7,000 employees and 7 million customers. In addition, Enbridge is acquiring seven operating landfill-to-renewable natural gas assets located in Texas and Arkansas from Morrow Renewables for US$1.2 billion.
Enbridge's Chief Executive, Gregory L. Ebel, expressed optimism about the company's growth trajectory. He stated, "Year to date, we have executed over $3 billion of accretive tuck-in M&A and are on track to place approximately $3 billion of capital into service by year end."
Enbridge's dedication to expansion and strategic acquisitions positions the company for continued success in the market.