TC Energy (TRP) Q2 2025 earnings summary

Executive summary

• Achieved 12% year-over-year growth in comparable EBITDA for Q2 2025, raising full-year outlook to $10.8–$11.0 billion, driven by strong operational performance and project execution.

• Placed approximately $5.8 billion of natural gas pipeline projects into service year-to-date, including Southeast Gateway and East Lateral XPress, with 70% of $8.5 billion in 2025 assets in service and tracking under budget.

• Announced $4.5 billion in new growth projects over the past nine months, all underpinned by long-term contracts.

• Safety performance remains exceptional, with incident rates at five-year lows and sustainability initiatives advancing.

• Raised 2025 comparable EBITDA outlook to $10.8–$11.0 billion, reflecting robust asset performance and market demand.

Financial highlights

• Q2 2025 comparable EBITDA from continuing operations rose 12% year-over-year to $2.6 billion.

• Comparable earnings from continuing operations were $848 million ($0.82/share), up from $822 million ($0.79/share) in Q2 2024.

• Net income attributable to common shares: $0.9 billion ($0.83/share), up from $0.8 billion ($0.78/share) year-over-year.

• Power and Energy Solutions segment delivered 33% comparable EBITDA growth year-over-year, with Bruce Power achieving 98% availability.

• Revenues: $3.74 billion in Q2 2025, up from $3.33 billion in Q2 2024.

Outlook and guidance

• 2025 comparable EBITDA guidance raised to $10.8–$11.0 billion, up from previous guidance of $10.7–$10.9 billion.

• Net capital expenditures for 2025 expected to be $5.5–$6.0 billion, with gross capital expenditures at $6.1–$6.6 billion.

• Targeting long-term debt-to-EBITDA ratio of 4.75x, trending from 4.8x at year-end 2024.

• Annual dividend growth target of 3–5% maintained.

• Expecting to place approximately $8.5 billion of assets into service in 2025, about 15% below budget.