TransCanada Corp, Canada's No. 2 pipeline operator, on Thursday reported higher fourth-quarter earnings on strong results from its gas pipelines and higher volumes on its Keystone oil pipeline system.

Net income was C$420 million, or 59 Canadian cents per share, compared with C$306 million, or 43 Canadian cents per share, a year earlier.

Comparable earnings, which exclude one-time items, rose to C$410 million, or 58 Canadian cents per share, from C$318 million, or 45 Canadian cents per share.

That was in line with the analysts' average estimate of 59 Canadian cents per share, according to Thomson Reuters I/B/E/S.