Author: Consultant

 | Published: 11/9/2023 4:54 AM ET

Oil prices rose nearly 1 percent on Thursday, after having fallen over 2 percent to hit their lowest since mid-July in the previous session on concerns over waning demand in the U.S. and China.

Benchmark crude futures rose about 1 percent to $80.27 a barrel, while WTI crude futures were up 0.9 percent at $76.01.

Oil prices were rising despite new data indicating deflationary pressures in China, the world’s biggest crude oil importer.

Official data showed earlier in the day that China’s consumer price inflation fell 0.2 percent year-on-year in October while factory-gate prices declined 2.6 percent, falling for a 13th month in a row and raising concerns over domestic demand.

The U.S. Energy Information Administration (EIA) said earlier this week that crude production in the U.S. will rise by slightly less than previously expected but demand will fall.

The dollar struggled for direction in European trade following hawkish comments from Fed officials and an uneventful speech from Chair Jerome Powell, who will appear again on a panel discussing monetary policy challenges later today.

Hydro One Ltd. reported a third-quarter profit of $357 million, up from $307 million a year ago.

The power utility says the profit amounted to 59 cents per diluted share for the quarter ended Sept. 30, up from 51 cents per diluted share a year earlier.

Revenue totalled $1.93 billion, down from $2.03 billion in the same quarter last year, while revenue, net of purchased power, totalled $1.08 billion, up from $1.07 billion a year earlier.

Hydro One says the increase in revenue, net of purchased power, was helped by a hike in transmission rates and higher average monthly peak demand.

Since the end of the quarter, the company says it was awarded the right to develop and construct three new transmission lines to meet growing demand in Northeastern and Eastern Ontario.

It says it has been collaborating with First Nations on early planning and that First Nations will have the opportunity to invest in a 50 per cent equity stake in the transmission line component of the projects.

This report by The Canadian Press was first published Nov. 8, 2023.

WSP Global Inc provides engineering and design services to clients in the Transportation and Infrastructure, Property and Buildings, Environment, Power and Energy, Resources, and Industry sectors. It also offers strategic advisory services. The firm operates through four reportable segments namely, Canada, Americas ( US and Latin America), EMEIA (Europe, Middle East, India and Africa), and APAC (Asia Pacific, comprising Australia, New Zealand and Asia).

 WSP Global Inc. is reporting its third-quarter profit and revenue both rose by nearly a quarter compared with a year ago, buoyed by organic growth as well as recent acquisitions.

The engineering company says its net earnings attributable to shareholders grew to $156.2 million or $1.25 per share for the three months ended Sept. 30 compared with $127.5 million or $1.05 per share in the same period a year earlier.

Revenue rose 24 per cent to $3.6 billion in its third quarter from $2.9 billion the year before.

On an adjusted basis, WSP’s profit climbed to $1.98 per share in its most recent quarter compared with $1.59 per share a year earlier.

The result beat analyst expectations for $1.90 per share, according to financial markets data firm Refinitiv.

Chief executive Alexandre L’Heureux also says a seven per cent year-over-year backlog growth to $14.28 billion in the third quarter speaks to continued demand for the Montreal-based firm’s services.

This report by The Canadian Press was first published Nov. 9, 2023.

Rogers Communications Inc. reported a net loss in its latest quarter as it was hit by a charge related to one of its joint venture investments.

The cable and wireless company says it lost $99 million or 20 cents per diluted share for the quarter ended Sept. 30 compared with a profit of $371 million or 71 cents per diluted share a year ago.

The results in the most recent quarter included a $422-million loss on an obligation to purchase at fair value the non-controlling interest in one of its joint ventures’ investments.

On an adjusted basis, Rogers says it earned $1.27 per diluted share in its most recent quarter, up from an adjusted profit of 84 cents per diluted share a year earlier.

Revenue in the company’s third quarter totalled $5.09 billion, up from $3.74 billion in the same quarter last year.

Rogers says its net increase in mobile phone subscribers totalled 261,000 for the three-month period, its best quarterly result ever, while its net increase in internet subscribers amounted to 18,000 for the quarter.

This report by The Canadian Press was first published Nov. 9, 2023.

TC Energy Corp. reported a loss in its latest quarter compared with a profit a year ago as it took an impairment charge related to its Coastal GasLink pipeline project.

The result came as the company says it has achieved mechanical completion of Coastal GasLink ahead of its year-end target and plans to complete commissioning activities to be ready to deliver gas to the LNG Canada facility by the end of the year.

The pipeline company reported a net loss attributable to common shares of $197 million or 19 cents per share for the quarter ended Sept. 30 compared with net income of $841 million or 84 cents per share in third quarter 2022.

The latest results included a $1.18-billion after-tax impairment charge related to its equity investment in the Coastal GasLink Pipeline Limited Partnership.

TC Energy says its comparable earnings for the quarter amounted to $1 per share, down from $1.07 per share in the same quarter last year.

Revenue for the quarter totalled $3.94 billion, up from $3.80 billion a year earlier.

This report by The Canadian Press was first published Nov. 8, 2023.

 Canadian Tire Corp. Ltd. raised its quarterly dividend as it reported a loss in its latest quarter, weighed down by a one-time charge related to its deal to buy back the 20 per cent stake in Canadian Tire Financial Services that is owned by Scotiabank.

The retailer says it will now pay a quarterly dividend of $1.75 per share, an increase of 2.5 cents per share.

The increased payment to shareholders came as Canadian Tire reported a net loss attributable to shareholders of $66.4 million, or $1.19 per diluted share, for the quarter ended Sept. 30 compared with a profit of $184.9 million, or $3.14 per diluted share a year earlier.

The results included a $328-million charge related to the Scotiabank transaction, offset in part by a $131-million insurance recovery related to a fire at a distribution centre in March.

On a normalized basis, Canadian Tire says it earned $2.96 per diluted share in its latest quarter, compared with $3.34 per diluted share a year earlier.

Revenue was $4.25 billion, up from $4.23 billion in the same quarter last year, while consolidated comparable sales fell 1.6 per cent.

This report by The Canadian Press was first published Nov. 9, 2023.

MEG Energy Corp is an energy company focused on sustainable in situ thermal oil production in the southern Athabasca oil region of Alberta, Canada. MEG transports and sells thermal oil (known as Access Western Blend or AWB) to customers throughout North America and internationally.

MEG Energy Corp. says it earned $249 million in the third quarter, up from $156 million a year earlier.

The Calgary-based energy company says earnings per diluted share were 86 cents, up from 51 cents during the same quarter last year.

Revenues were $1.4 billion, down from $1.6 billion a year earlier.

CEO Derek Evans says increased bitumen production and strong bitumen realizations resulted in over $400 million in free cash flow, allowing the company to advance its debt reduction.

The company says it paid down US$68 million in debt, or approximately $92 million in Canadian dollars, during the third quarter.

Bitumen production rose to 103,726 barrels to day, up from 101,983 a year earlier.

This report by The Canadian Press was first published Nov. 6, 2023.

FINANCIAL HIGHLIGHTS

• Ivanhoe Mines recorded a profit of $108 million for Q3 2023, which includes a $12 million non-cash gain on the $575 million convertible bond fair valuation, compared with a profit of $87 million for Q2 2023. The profit in the quarter includes Ivanhoe Mines’ share of profit and finance income from the Kamoa-Kakula joint venture of $121 million for Q3 2023.
• Kamoa-Kakula sold 96,509 tonnes of payable copper during Q3 2023, recognizing revenue of $695 million, an operating profit of $373 million and quarterly EBITDA of $423 million.
• Copper in concentrate held in inventory at Kamoa-Kakula at quarter end increased to more than 3,000 tonnes. In addition, approximately 48,000 dry metric tonnes of concentrate were sent for tolling at the local smelter in Q3, with copper in work in progress at the end of the quarter exceeding 7,000 tonnes. Excess inventory is expected to be sold in the fourth quarter.
• Kamoa-Kakula’s cost of sales per pound (lb.) of payable copper sold was $1.34/lb. for Q3 2023 compared with $1.24 and $1.05 in Q2 2023 and Q3 2022, respectively. Cash costs (C1) per pound of payable copper produced during the quarter totaled $1.46/lb., compared to $1.41/lb. and $1.43/lb. in Q2 2023 and Q3 2022, respectively.
• Ivanhoe Mines Adjusted EBITDA was $152 million for Q3 2023, compared with $85 million for the same period in 2022, and $172 million for Q2 2023, which includes an attributable share of EBITDA from Kamoa-Kakula.
• Since entering Phase 1 commercial production on July 1, 2021, the Kamoa-Kakula joint venture has generated $2.14 billion of net cash from operating activities, which has funded both the Phase 2 and Phase 3 expansions to date.
• Ivanhoe Mines has a strong balance sheet with cash and cash equivalents of $303 million on hand as at September 30, 2023. The company expects Kamoa-Kakula’s Phase 1 and Phase 2 cash flow, together with additional local financing facilities that are advancing well, to be sufficient to fund the Phase 3 expansion capital cost requirements at current copper prices.
• Kamoa-Kakula’s full-year cash cost (C1) guidance is unchanged at $1.40 – $1.50 per pound and full-year production guidance is also maintained at 390,000 to 430,000 tonnes of copper in concentrate.

https://www.barchart.com/story/news/21745739/ivanhoe-mines-issues-third-quarter-2023-financial-results-and-review-of-construction-and-exploration-activities

TransAlta Corp. TA-T +4.51%increase reported its third-quarter profit rose compared with a year ago as its power production and revenue also came in higher.

TransAlta chief executive John Kousinioris says the third-quarter results demonstrate the value of the company’s strategically diversified fleet, which benefited from its asset optimization and hedging activities.

The power utility says its profit attributable to common shareholders totalled $372-million or $1.41 per diluted share for the quarter ended Sept. 30, up from $61-million or 23 cents per share a year earlier.

Revenue for the quarter totalled $1.02-billion, up from $929-million in the same quarter last year.

Production amounted to 5,678 gigawatt hours for the quarter, up from 5,432 gigawatt hours in the third quarter of 2022.

Last week, TransAlta announced a deal to buy Heartland Generation Ltd. and its power generation business in Alberta and B.C., in a deal valued at $658-million, including assumed debt.