Profit falls more than expected as Enbridge signs acquisition deals

  • Enbridge’s 3Q profit falls more than expected
  • Net income of 532 million Canadian dollars ($387.3 million), compared to C$1.28 billion a year earlier
  • Net sales fell to C$9.84 billion from C$11.57 billion
  • Enbridge announces acquisition of three U.S. gas utilities and seven landfill-to-renewable natural gas assets
  • Company on track to place approximately $3 billion of capital into service by year end

Enbridge reported lower third-quarter earnings as its commodity sales declined and the company signed more acquisition deals. The gas and oil provisioner posted net income of 532 million Canadian dollars ($387.3 million), or C$0.26 a share, compared with C$1.28 billion, or C$0.63 a share, a year earlier. Net sales fell to C$9.84 billion from C$11.57 billion. During the quarter, the company announced the acquisition of three U.S. gas utilities, from which Enbridge will create a gas utility platform with about 7,000 employees and 7 million customers. Enbridge also said it is acquiring seven operating landfill-to-renewable natural gas assets located in Texas and Arkansas from Morrow Renewables for US$1.2 billion. "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," said Chief Executive Gregory L. Ebel.

Factuality Level: 8
Factuality Justification: The article provides factual information about Enbridge’s lower third-quarter earnings, net income, and net sales. It also mentions the acquisition deals made by the company. The information is supported by specific figures and quotes from Enbridge’s Chief Executive. However, the article lacks additional context or analysis, and it does not provide any opposing viewpoints or potential challenges Enbridge may face.
Noise Level: 7
Noise Justification: The article provides information on Enbridge’s lower third-quarter earnings, the reasons behind it, and the company’s recent acquisition deals. However, it lacks in-depth analysis, scientific rigor, and intellectual honesty. It also does not explore the consequences of Enbridge’s decisions on those who bear the risks or provide actionable insights or solutions. The article stays on topic and supports its claims with data and examples, but overall, it contains some noise and filler content.
Financial Relevance: Yes
Financial Markets Impacted: Enbridge and its acquisitions
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to Enbridge’s financial performance and acquisitions, but does not mention any extreme events.
Public Companies: Enbridge (N/A)
Private Companies: Morrow Renewables
Key People: Gregory L. Ebel (Chief Executive)

Reported publicly: www.marketwatch.com