A North American energy infrastructure company, Enbridge moves crude oil through the world's largest liquids pipeline system and delivers natural gas to millions of homes and businesses across the U.S. and Canada. Born in 1949 as the Interprovincial Pipe Line Company, built to carry Alberta oil to refineries, it took the name Enbridge in 1998 as a blend of "energy" and "bridge." Its first pipeline, spanning 1,150 miles, was completed in just 150 days.
Q2 2026 earnings fell 36% to $1.4B on a $1B non-cash derivative swing
Earnings fell 36% from a year ago on a non-cash derivative swing. attributable to common shareholders was $1,396M versus $2,177M as a $1.0B after-tax unrealized derivative loss replaced last year's gain, while Liquids Pipelines rose 13% to $2,623M and Gas Distribution EBITDA increased 72% to $878M. The company carries $10.9B liquidity and a $17B project slate into the tariff-uncertain second half.
Key takeaways
Earnings attributable to common shareholders decreased to $1,396M from $2,177M, primarily due to a $1.0B after-tax swing in non-cash unrealized derivative fair value gains/losses versus a year earlier.
Liquids Pipelines rose 13% to $2,623M on higher Mainline and Line 9 volumes and system optimization, partially offset by lower Mainline tolls on Line 9 deliveries.
Gas Distribution and Storage increased 72% to $878M, largely from the absence of a prior-year of at Enbridge Gas Ohio and higher base rates at Enbridge Gas Utah.
Section summaries
Management's Discussion and Analysis
Enbridge Q2 2026 earnings fell 36% to $1.4B, driven by a $1B swing in non-cash derivative fair value losses versus gains a year ago.
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Earnings attributable to common shareholders decreased to $1,396 million from $2,177 million, primarily due to a $1.0 billion after-tax swing in non-cash unrealized derivative fair value gains/losses.
Gas Transmission was flat at $1,433M as East Tennessee rate case settlement and Texas Eastern rate increase revenues were offset by lower from DCP Midstream.
The company raised $4.0B in and maintained $10.9B total liquidity with $8.9B on credit facilities to fund its secured capital program.
Commercially secured growth projects of ~$17B are advancing, including the sanctioning of the US$1.0B Line 5 Relocation Project in Wisconsin, expected in service in early 2027.
US trade policy uncertainty including tariffs and USMCA renegotiation was flagged as a material risk to costs, demand, and capital market access, with a February 2026 Supreme Court ruling limiting emergency-based tariff authority.
What changed
Q1 2026 flagged Liquids Pipelines after a $636M drop; Q2 reversed it, rising 13% to $2,623M on higher volumes and optimization.
Net available liquidity was $12.7B at Q1 2026 and $10.8B at FY 2025; Q2 reports $10.9B total liquidity with $8.9B available on credit facilities.
Enbridge Gas Ohio was watched for recovery from the $330M June 2025 ; Q2 Gas Distribution rose 72% to $878M largely because that impairment was absent.
FY 2025 flagged Gas Transmission sustainability without the 2024 sale gain; Q2 was flat at $1,433M as rate settlements offset lower DCP Midstream .
The $39B secured growth program through 2033 at FY 2025 became ~$17B commercially secured projects in Q2 2026, with Line 5 Relocation sanctioned at US$1.0B.
What to watch
Liquids Pipelines next quarter to confirm the 13% rise holds as lower Mainline tolls on Line 9 deliveries persist.
Net available liquidity against the $10.9B Q2 level as the ~$17B secured growth projects advance.
Gas Transmission trajectory as lower DCP Midstream offset rate case gains.
US-Canada tariff escalation and USMCA renegotiation impact on costs and capital market access through H2 2026.
Liquids Pipelines rose 13% to $2,623 million, driven by higher Mainline and Line 9 volumes and system optimization, partially offset by lower Mainline tolls on Line 9 deliveries.
Gas Transmission was flat at $1,433 million as increased revenues from the East Tennessee settlement and Texas Eastern rate increase were offset by lower from DCP Midstream.
Gas Distribution and Storage increased 72% to $878 million, largely due to the absence of a prior-year of at Enbridge Gas Ohio and higher base rates at Enbridge Gas Utah.
The company raised $4.0 billion in and maintained $10.9 billion in total liquidity, with $8.9 billion available on credit facilities to fund its secured capital program.
Commercially secured growth projects of ~$17 billion are advancing, including the sanctioning of the US$1.0 billion Line 5 Relocation Project in Wisconsin, expected in service in early 2027.
Quantitative and Qualitative Disclosures About Market Risk
Our exposure to market risk is described in Part II. Item 7A. Quantitative and Qualitative Disclosures About Market Risk of our annual report on Form 10-K for the year ended December 31, 2025. We believe our exposure to market risk has not changed materially since then. 49
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Our exposure to market risk is described in Part II. Item 7A. Quantitative and Qualitative Disclosures About Market Risk of our annual report on Form 10-K for the year ended December 31, 2025. We believe our exposure to market risk has not changed materially since then.
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We are involved in various legal and regulatory actions and proceedings which arise in the ordinary course of business. While the final outcome of such actions and proceedings cannot be predicted with certainty, management believes that the resolution of such actions and proceed…
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We are involved in various legal and regulatory actions and proceedings which arise in the ordinary course of business. While the final outcome of such actions and proceedings cannot be predicted with certainty, management believes that the resolution of such actions and proceedings will not have a material impact on our consolidated financial position or results of operations. Refer to Part I. Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations - Legal and Other Updates for discussion of certain legal proceedings with recent developments.
SEC regulations require the disclosure of any proceeding under environmental laws to which a governmental authority is a party unless the registrant reasonably believes it will not result in monetary sanctions over a certain threshold. Given the size of our operations, we have elected to use a threshold of US$1 million for the purposes of determining proceedings requiring disclosure. We have no such proceedings to disclose in this quarterly report.
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US trade policy uncertainty, including tariffs and USMCA renegotiation, poses material risks to costs, demand, and market access.
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New or escalating US tariffs and retaliatory measures on Canadian imports could raise construction and asset-maintenance costs and reduce energy demand.
The US administration is pursuing alternative tariff mechanisms after a February 2026 Supreme Court ruling limited emergency-based tariff authority.
Ongoing USMCA renegotiation, triggered by the US intent not to renew without changes, adds further uncertainty to North American energy and capital markets.
Tariff-related market volatility and potential supply-chain disruption may impair access to capital markets and harm competitiveness.