Tc Energy Corporation · TSX:TRP
Tc Energy — Q3 2021 Earnings Presentation
19 slides from Tc Energy's earnings presentation, Nov 5, 2021
Slide 1: Third quarter 2021 conference call
Third quarter 2021 conference call November 5, 2021
Slide 2: Forward-looking information and non-GAAP measures
Forward-looking information and non-GAAP measures This presentation includes certain forward-looking information, including the sustainability commitments and targets contained in our 2021 Report on Sustainability and our GHG Emissions Reduction Plan, as well as future oriented financial information
Slide 3: François Poirier, President and Chief Executive Officer
François Poirier President and Chief Executive Officer
Slide 4: Strong results underpinned by robust demand for our services
Strong results underpinned by robust demand for our services • Comparable earnings per common share(1) through the Financial highlights - Nine months ended September 30 first nine months were five per cent higher than last year • Full year now expected to be modestly higher than record results in 20
Slide 5: Secured project portfolio expected to grow significantly
Secured project portfolio expected to grow significantly $22 billion capital program ~$4 billion secured year-to-date ~$3 billion to be added in fourth quarter • ANR System WR Project • Columbia Gas Modernization program • Columbia Gas VR project • Bruce Power Unit 3 MCR program • Port Neches Link p
Slide 6: Substantial suite of future growth opportunities
Substantial suite of future growth opportunities Today’s needs Low-carbon future ELECTRIFICATION OF OUR PIPELINE NETWORK Using renewables to power a portion of our pipeline network $22+ billion ONTARIO AND CANYON CREEK PUMPED HYDRO STORAGE Secured capital On-demand, flexible, clean energy program AL
Slide 7: Committed to the sustainable development of our business
Committed to the sustainable development of our business Published 2021 Report on Sustainability, ESG Data Sheet and GHG Emissions Reduction Plan • GHG emissions reduction targets • Reduce GHG emissions intensity from our operations by 30 per cent by 2030 • Position to achieve net zero emissions fro
Slide 8: Key takeaways
Key takeaways Vision is to be the premier energy infrastructure company in North America, now and in the future Our goal is to prosper irrespective of the pace and direction of energy transition Sustainably grow the company while reducing GHG emissions intensity $22 billion secured capital program e
Slide 9: Joel Hunter, Executive Vice-President and Chief Financial Officer
Joel Hunter Executive Vice-President and Chief Financial Officer
Slide 10: Consolidated results of operations
Consolidated results of operations (millions of dollars, except per share amounts) Three months Nine months ended September 30 ended September 30 2021 2020 2021 2020 Net income attributable to common shares 779 904 697 3,333 Specific items (net of tax): Keystone XL asset impairment charge and other
Slide 11: Business segment results
Business segment results(1) (millions of dollars) Three months Nine months ended September 30 ended September 30 2021 2020 2021 2020 Comparable EBITDA(2) Canadian Natural Gas Pipelines 631 666 2,001 1,884 U.S. Natural Gas Pipelines 890 863 2,824 2,719 Mexico Natural Gas Pipelines 171 170 515 620 Liq
Slide 12: Other income statement items
Other income statement items(1) (millions of dollars) Three months Nine months ended September 30 ended September 30 2021 2020 2021 2020 Comparable EBITDA(2) 2,240 2,294 6,978 7,028 Depreciation and amortization (610) (673) (1,888) (1,938) Comparable EBIT(2) 1,630 1,621 5,090 5,090 Interest expense
Slide 13: Finance plan continued to advance in third quarter
Finance plan continued to advance in third quarter Strong comparable funds generated from operations • $1.6 billion in the third quarter, $5.3 billion during the first nine months • Reflects the resiliency and criticality of our energy infrastructure portfolio Issued US$2.25 billion of long-term deb
Slide 14: Funding program outlook 2021-2023
Funding program outlook 2021-2023 $Billions Financial strength and flexibility underpinned by: • Robust, predictable cash flow from operations • Access to capital markets on compelling terms • Expected Keystone XL project recoveries • Portfolio management, if and as deemed appropriate Finance plan d
Slide 15: Delivering long-term shareholder value
Delivering long-term shareholder value Track Visible Attractive Solid record growth dividend financial position 13% average $22 billion secured 5.2% yield Numerous levers annual total through 2025 available to fund Long track record future growth shareholder return Vast opportunity set of consecutiv
Slide 16: Question & answer period
Question & answer period V MEXICO lf 16
Slide 17: Third quarter 2021 conference call
Third quarter 2021 conference call November 5, 2021
Slide 18: Appendix – Reconciliation of non-GAAP measures
Appendix – Reconciliation of non-GAAP measures (millions of dollars) Three months Nine months ended September 30 ended September 30 2021 2020 2021 2020 Comparable EBITDA(1) 2,240 2,294 6,978 7,028 Depreciation and amortization (610) (673) (1,888) (1,938) Interest expense included in comparable earni
Slide 19: Appendix – Reconciliation of non-GAAP measures (continued)
Appendix – Reconciliation of non-GAAP measures (continued) (millions of dollars) Three months Nine months ended September 30 ended September 30 2021 2020 2021 2020 Net Cash Provided by Operations 1,712 1,783 5,089 5,119 (Decrease)/increase in operating working capital (227) (120) 32 187 Funds Genera