TC Energy Corporation (TRP), headquartered in Calgary, Canada, is a significant North American energy infrastructure enterprise, established in 1951. Its extensive operations ...
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$3.46 per share
Est. EPS $0.86 · Revenue $4.01B · 10 analysts
$3.46 per share
Est. EPS $1.00 · Revenue $4.24B · 9 analysts
EPS CAD 0.95 · Revenue CAD 3.99B
EPS CAD 0.86 · Revenue CAD 4.24B
EPS CAD 3.27 · Revenue CAD 15.19B
EPS CAD 0.58 · Revenue CAD 3.70B
EPS CAD 0.80 · Revenue CAD 3.74B
EPS CAD 0.94 · Revenue CAD 3.62B
| Metric | Latest | YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength. | QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes. |
|---|---|---|---|
| RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three). | $15.2B | +10.3% | -5.9% |
| Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day. | $3.5B | -25.2% | +9.4% |
| Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials. | +50.0% | +4.3% | -11.1% |
| Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on). | +44.2% | +5.3% | -14.2% |
| Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales. | +23.2% | -32.1% | +16.2% |
| Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock. | $2.1B | +54.0% | +20.5% |
| FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine. | +13.6% | +39.6% | +28.1% |
| Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe. | 223.5% | +3.0% | +2.3% |
| Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking. | 0.63x | +16.3% | -6.1% |
| Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground. | $118.7B | +0.3% | +2.3% |
| Metric | Annual (A vs E) | Annual Surprise | Quarter (A vs E) | Quarter Surprise |
|---|---|---|---|---|
| EPS Surprise | 3.27 vs 3.50 | -6.6% | 0.95 vs 0.86 | +10.4% |
| Revenue Surprise | $15.2B vs $15.1B | +0.4% | $4.0B vs $4.0B | -0.3% |
Operator: Thank you for standing by. This is the conference operator. Welcome to the TC Energy Second Quarter 2026 Results Conference Call. [Operator Instructions] The conference call is being recorded. [Operator Instructions]. I would now like to turn the conference over to Mr. Gavin Wylie, Vice President, Investor Relations. Please go ahead. Gavin Wylie: Thank you. I'd like to welcome you to TC Energy's Second Quarter 2026 Conference Call. Joining me are Francois Poirier, President and Chief Executive Officer; Sean O'Donnell, Executive Vice President and Chief Financial Officer; along with other members of our senior leadership team. Francois and Sean will begin today with some comments on our operational and financial highlights. A copy of the slide presentation is available on our website under the Investors section. Following their remarks, we'll take questions from the investment community. We ask that you please limit yourself to 2 questions. And if you're a member of the media, please contact our media team. Today's remarks will include forward-looking statements that are subject to important risks and uncertainties. For more information, please see the reports filed by TC Energy with Canadian securities regulators and with the U.S. Securities and Exchange Commission. Finally, we'll refer to certain non-GAAP measures that may not be comparable to similar measures presented by other entities. A reconciliation is contained in the appendix of this presentation. With that, I'll now turn the call to Francois. Francois Poirier: Thanks, Gavin, and good morning, everyone. I'd like to begin today with an update on the strong momentum we continue to see across our businesses. We're capitalizing on the competitive advantages afforded by our incumbent footprint in some of the highest growth markets in North America and converting strong demand into high-return growth projects. Our consistent focus on safety and execution excellence is the foundation that delivers reliable service, it wins new business, and it ultimately drives higher financial performance that continues to create long-term shareholder value. For the first half of 2026, we've made meaningful progress on our development pipeline. We placed approximately $2 billion of assets into service, largely on time and on budget or better, and we expect to place approximately $3.5 billion into service by the end of the year. Including approximately $700 million of new natural gas pipeline projects we announced this quarter, we've now sanctioned $3 billion of growth projects at a weighted average unlevered after-tax IRR of approximately 12%. Our late-stage pending approval bucket now stands at approximately $7 billion, up $1 billion from last quarter. This portfolio reflects multiple projects in advanced stages of commercial discussions with large anchor customers and now includes our Crossroads project, where we have executed precedent agreements subject to Board approval with multiple anchor …
| Name | Title | Compensation | Gender | Year Born | Status |
|---|---|---|---|---|---|
Francois Lionel Poirier | Chief Executive Officer, President & Director | CAD 2,847,893 | Male | 1966 | Active |
Tina Veronica Faraca | Executive Vice President & Chief Operating Officer of Natural Gas Pipelines | CAD 1,865,353 | Female | 1965 | Active |
Sean O'Donnell | Executive Vice President of Strategy & Corporate Development and Chief Financial Officer | CAD 1,619,117 | Male | — | Active |
Anita Dusevic Oliva | Executive Vice President & General Counsel | CAD 1,407,569 | Female | — | Active |
Gregory D. Grant | Executive Vice President and President of Power & Energy Solutions | CAD 1,077,206 | Male | — | Active |
Yvonne Frame-Zawalykut | Vice President & Corporate Controller | — | — | — | Active |
Jane Brindle | Vice-President of Law & Corporate Secretary | — | — | — | Active |
Gavin Wylie | Vice-President of Investor Relations | — | Male | — | Active |
Patrick C. Muttart | Senior Vice President of External Relations | — | Male | — | Active |
Dawn E. de Lima | Executive Vice-President of Corporate Services | — | Female | — | Active |
TRP's stronger cash flows, rising gas demand and growing pipeline support growth, but elevated leverage and a richer valuation may warrant patience.
TRP expects comparable EBITDA at the upper end of its C$11.6-C$11.8 billion guidance and net capital expenditures of C$5.5-C$6 billion.
TC Energy is upgraded from 'Hold' to 'Buy' based on robust Q2 results and a clear growth outlook. TRP delivered 12% YoY comparable EBITDA growth, driven by high utilization across the U.S., Mexico, and power segments. It maintains a BBB+ credit rating, 4.75x debt/EBITDA, and a 3.8% yield, supporting continued dividend growth.
TC Energy NYSE: TRP said it expects to reach the upper end of its 2026 comparable EBITDA guidance range after reporting 12% year-over-year growth in second-quarter comparable EBITDA, supported by higher pipeline utilization, contributions from projects placed in service and strong performance at Bruce Power.
TC Energy Corporation (TRP:CA) Q2 2026 Earnings Call Transcript
