Enbridge (ENB) Q4 2025 earnings summary

Executive summary

• Achieved record financial results in 2025, with GAAP earnings of $7.1B ($3.23/share), adjusted earnings of $6.6B ($3.02/share), and adjusted EBITDA of $20.0B, surpassing guidance for both EBITDA and DCF per share for the 20th consecutive year.

• Increased dividend for the 31st consecutive year, maintaining status as a dividend aristocrat, with a 3% increase to $0.97/share effective March 1, 2026.

• Sanctioned $14B (CAD 14B) in new capital projects, placed $5B of assets into service, and expanded the secured capital backlog to $39B, a 35% increase since the prior year.

• Closed significant transactions, including a 10% interest in Matterhorn Express Pipeline and a 12.5% investment by 38 First Nations groups in the Westcoast Pipeline System.

• Maintained a debt-to-EBITDA ratio of 4.8x, within the 4.5–5.0x target range, supporting financial flexibility.

Financial highlights

• 2025 adjusted EBITDA reached $20.0B, up 7% year-over-year, with DCF at $12.5B and DCF per share at $5.71.

• Adjusted earnings per share for 2025 were $3.02, up from $2.80 in 2024.

• Liquids, Gas Transmission, and Gas Distribution & Storage all posted year-over-year growth in adjusted EBITDA, while Renewables saw a decline due to lower tax credits.

• DCF payout ratio remains in the 60%-70% target range, with $40–45B in dividends expected over the next five years.

• Lower maintenance spend and higher financing activities contributed to Q4 results.

Outlook and guidance

• Reaffirmed 2026 guidance: adjusted EBITDA of $20.2–$20.8B and DCF per share of $5.70–$6.10.

• Near-term (2023–2026) growth targets: 7–9% for adjusted EBITDA, 4–6% for adjusted EPS, and ~3% for DCF per share; post-2026, expect ~5% annual growth in all three metrics.

• Annual investment capacity increased to $10–$11B, supporting growth across all business units.

• Anticipate FID on another $10–$20B of growth projects over the next 24 months.

• Dividend per share growth expected to align with medium-term cash flow growth.