Enbride (ENB) is being added to our High Yield Income Portfolio.

[dan_s]

CALGARY, AB, Nov. 29, 2023 /CNW/ - Enbridge Inc. (Enbridge or the Company) (TSX: ENB) (NYSE: ENB) announced today its 2024 financial guidance and an annualized common share dividend increase from $3.55 to $3.66 per share effective March 1, 2024. < Canadian Dollars.

At the time of this post ENB.TO was trading at $46.87Cdn, so the dividend yield is now 7.8%.

HIGHLIGHTS

(All financial figures are unaudited and in Canadian dollars unless otherwise noted. * identifies non-GAAP financial measures. See the Non-GAAP and Other Financial Measures section of this news release)

Announced 2024 adjusted earnings before interest, income taxes and depreciation (EBITDA)* guidance on base business of $16.6 billion to $17.2 billion and distributable cash flow (DCF)* per share of $5.40 to $5.80. This excludes EBITDA and DCF contributions from the gas utilities acquisitions announced on September 5, 2023 (the "Acquisitions"), which are expected to close during 2024

The Company expects its 2024 base business EBITDA to grow by more than 4% and its DCF to increase by approximately 3% compared to the midpoint of its 2023 guidance

Declared 29th consecutive annual common share dividend increase, raising it by 3.1% to $0.915 per quarter ($3.66 annualized), effective March 1, 2024

Reaffirmed 2023 full year guidance for EBITDA and DCF, inclusive of the recent share offering dilution

2024 FINANCIAL GUIDANCE PARAMETERS

All figures, including EBITDA, DCF, capital expenditures, share counts, debt issuances and financial derivative figures, unless specified otherwise, in this news release are presented excluding the impact of the Acquisitions.

CEO COMMENT

Commenting on the Company's outlook, Greg Ebel, President and CEO of Enbridge, noted the following:

"As the world's demand for energy continues to grow, Enbridge remains committed to meeting these needs by delivering safe, affordable, reliable, and sustainable energy. We understand the critical role we play in powering communities and economies, and we are dedicated to expanding our infrastructure to ensure energy accessibility for all. Enbridge will continue to innovate and invest in the infrastructure required to strengthen our position as the first-choice energy delivery provider in North America and beyond."

"We're excited to provide details on the visible growth across each of our core business units. Given that we expect to realize only partial year contributions from the Acquisitions, we are issuing our guidance on the base business and excluding the impact of any contributions related to them. As indicated previously, we anticipate closing all three gas utility acquisitions by the end of 2024.

"Our 2024 guidance showcases the predictability and strength of our four core businesses. The growth is attributable to the capital we've placed into service in 2023, over $3 billion of tuck-in acquisitions, embedded revenue escalators and optimization of the base business. In 2024, we expect our base business to generate EBITDA between $16.6 and $17.2 billion. This range reflects over 4% growth relative to the midpoint of our 2023 guidance range and is right in line with what we presented at our annual investor day earlier this year.

"Growing our dividend remains an important component of our investor value proposition. We are pleased to announce that Enbridge is increasing its dividend by 3% marking our 29th consecutive annual increase. We remain committed to annual dividend growth consistent with our medium-term distributable cash flow outlook and keeping our dividend payout ratio within 60-70% of DCF.

"Enbridge remains well positioned to continue delivering predictable growth well into the future. Since the start of this year, we have secured an additional $7 billion of attractive, organic projects, which increased our secured backlog to $25 billion and added over $3 billion of highly strategic, accretive tuck-in acquisitions.

"Finally, we continue to make great progress towards closing the Acquisitions next year. We have secured funding for over 75% of the aggregate purchase price and will finance the remainder using a combination of tools at our disposal while keeping our debt-to-EBITDA ratio within our stated 4.5x to 5.0x target range. This could include our ongoing capital recycling program, senior and subordinated debt issuances, reinstatement of our DRIP program, and at-the-market equity issuances."

[dan_s]

ENB replaces PXD, which will soon be merging into ExxonMobil

Our High Yield Income Portfolio now has
Four Minerals Companies: BSM KRP STR VNOM
Four Upstream Oil & Gas Companies: CIVI CTRA DVN HMENF
Four Midstream Companies: AM ENB OKE PAGP

[dan_s]

Enbridge Sets Guidance for Growth in 2024
7:49 AM ET 11/29/23 | Dow Jones
By Adriano Marchese

Enbridge on Wednesday said it has set its guidance for the next year, expecting growth in its base business and in cash generation.

The Canadian pipeline and energy company said that it expects adjusted earnings before interest, taxes, depreciation and amortization to be in the range of 16.6 billion Canadian dollars ($12.23 billion) and C$17.2 billion.

This represents a rise of about 4% from the midpoint of its guidance set in 2023, it said.

Enbridge said the figure excludes the contributions of any acquisitions it made recently, given that the company expects to realize only partial year contributions from them.

Additionally, Enbridge expects distributable cash flow per share of C$5.40 to C$5.80, a 3% rise to 2023's midpoint guidance.

Chief Executive Greg Ebel said the growth is attributable to the capital the company has placed into service in 2023, as well as over C$3 billion of tuck-in acquisitions, embedded revenue escalators and optimization of the base business.