February 14, 2014 / 1:12 PM / 4 years ago

CORRECTED-UPDATE 1-Enbridge's adjusted profit misses estimate due to hedging losses

(Corrects to add ‘million’ in paragraph 3)

Feb 14 (Reuters) - Enbridge Inc, Canada’s largest pipeline company, reported a lower-than-expected adjusted profit in the fourth quarter, mainly due to losses on hedging contracts.

Enbridge posted a net loss of C$267 million ($243 million), or 32 Canadian cents per share, compared with a profit of C$146 million, or 18 Canadian cents per share, a year earlier.

The loss was mainly driven by a C$337 million loss at its energy services business due to a fall in the fair value of its unrealized derivatives.

Excluding one-time items, Enbridge earned 44 Canadian cents per share, below the average analyst estimate of 46 Canadian cents, according to Thomson Reuters I/B/E/S.

Enbridge had warned in December that 2013 earnings would be at the low end of its target as it completed the expansion of its pipeline networks.

Revenue, however, jumped more than 18 percent to C$8.29 billion in the quarter as higher volumes were pumped though its Canadian Mainline and other new pipeline systems.

Analysts were expecting revenue of C$7.94 billion.

Enbridge shares, which have gained 8 percent in the last six months, closed at C$47.37 on Thursday on the Toronto Stock Exchange. ($1 = 1.0986 Canadian dollars) (Reporting by Ashutosh Pandey in Bangalore; Editing by Savio D’Souza)

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