Enbridge's Full Year 2024 Financial Results: Revenues Surpass Expectations, EPS Falls Short

2 min read | February 17, 2025 01:31 PM EST | By Team Kalkine Media

Enbridge's Full Year 2024 Financial Results: Revenues Surpass Expectations, EPS Falls Short

Financial Highlights

For the fiscal year 2024, Enbridge reported revenue of CA$53.5 billion, marking a substantial increase of 23% from the previous year. Despite this robust revenue growth, net income fell by 14% to CA$5.05 billion, leading to a decreased profit margin of 9.4%, down from last year's 13%. This contraction in profit margin was primarily driven by an uptick in expenses.

Performance Metrics

Earnings per share (EPS) stood at CA$2.35, a notable dip from last year's CA$2.84. While revenue figures exceeded expectations by 21%, the EPS fell short by 19%, revealing a significant disparity between top-line growth and profitability.

Revenue and Expense Analysis

Enbridge's revenue was majorly bolstered by its Liquids Pipelines segment, which contributed CA$38.2 billion, comprising 71% of the total revenue. However, the cost of sales, amounting to CA$29.0 billion (54% of revenue), alongside high general and administrative expenses (CA$9.24 billion), weighed heavily on earnings.

Market Outlook

Looking into the crystal ball, Enbridge anticipates a revenue decline of 2.8% annualized over the next three years, in stark contrast to the Canadian Oil and Gas industry's projected growth of 2.3% during the same period. This positions Enbridge at a crossroads as it navigates industry dynamics.

Market Movement and Risk Evaluation

The company has seen its stock decrease by 4.8% in the past week. Investors are advised to consider potential risks, as analysis indicates two warning signs for Enbridge. Understanding the balance between valuation concerns and market potential is key to navigating Enbridge's financial landscape.

Explore More

Uncover whether Enbridge is positioned well in the market with our comprehensive analysis. This includes deep dives into valuation metrics, risk factors, dividends, insider activity, and financial health insights.

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