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Enbridge reports $1.43B Q1 loss, moves to cut costs, delay some spending

Enbridge logos are on display at the company's annual meeting in Calgary, Thursday, May 12, 2016. THE CANADIAN PRESS/Jeff McIntosh

Enbridge Inc. reported a first-quarter loss of nearly $1.43 billion as it was hit by one-time non-cash charges in the quarter including a writedown of its investment in DCP Midstream, a joint venture in the U.S.

Chief executive Al Monaco says the company plans to reduce its 2020 operating costs by about $300 million and will defer about $1 billion of 2020 secured growth capital spending due to the pandemic.

READ MORE: Enbridge converts idled Mainline export system pipeline for crude oil storage

The pipeline company says its loss amounted to 71 cents per share for the quarter which included a nearly $1.74-billion non-cash impairment charge related to DCP Midstream and nearly $1.96 billion in non-cash unrealized derivative fair value losses.

The result for the quarter compared with a profit of $1.89 billion or 94 cents per share in the first quarter of 2019.

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READ MORE: Cleanup underway at Enbridge pump station following oil spill in Herschel, Saskatchewan

On an adjusted basis, Enbridge said it earned nearly $1.67 billion or 83 cents per share for the quarter compared with an adjusted profit of $1.64 billion or 81 cents per share in the same quarter last year.

Analysts on average had expected an adjusted profit of 74 cents per share for the quarter, according to financial markets data firm Refinitiv.

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