Capital Power
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Capital Power (CPX) investor relations material

Capital Power Q4 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2025 earnings summary4 Mar, 2026

Executive summary

  • Achieved a transformative and record year in 2025, driven by major U.S. acquisitions, strategic asset optimization, and expanded contracted cash flows, with U.S. assets now representing about 60% of capacity and adjusted EBITDA.

  • Completed the largest acquisition in company history, adding 2.2 GW of U.S. natural gas generation in the PJM market for approximately $3.0 billion, and expanded renewable portfolio by 300 MW.

  • Ongoing construction of three solar projects in North Carolina and commissioning of 170 MW battery storage in Ontario, with contracts through 2047.

  • Formed a $4.2 billion investment partnership with Apollo Global Management to pursue further U.S. natural gas generation assets.

  • Secured new long-term contracts for Midland Cogeneration Venture through 2040 and Arlington Valley through 2038, enhancing cash flow visibility.

Financial highlights

  • Adjusted EBITDA for 2025 reached $1,580 million (CAD 1.58 billion), up 18% or $237 million year-over-year, driven by U.S. acquisitions and flexible generation.

  • AFFO was $1,066 million (CAD 1.07 billion), a 29% increase from 2024, reflecting higher EBITDA and lower income tax expense.

  • Revenues and other income for 2025 totaled $3,720 million, a decrease of $56 million year-over-year.

  • Net income for 2025 was $159 million, with Q4 net loss of $13 million; net income declined due to non-cash items and absence of prior divestiture gains.

  • Increased common share dividend by 6%, marking 12 consecutive years of growth.

Outlook and guidance

  • 2026 Adjusted EBITDA guidance: $1,565 million–$1,765 million; AFFO guidance: $890 million–$1,010 million.

  • Sustaining capital in 2026 projected at $290 million–$330 million, reflecting proactive investment in reliability and long-term earnings durability.

  • 2030 targets include 8–10% AFFO/share CAGR, 13–15% annual TSR, and ~50% U.S. growth, with capital allocation focused on AFFO per share growth and disciplined U.S. expansion.

  • Positioned for growth amid rising North American electricity demand driven by AI, electrification, and population growth.

PJM RBA: What's the biggest risk to generators?
Alberta: How to monetize Genesee's expansion capacity?
Apollo MOU: How does it expand growth opportunities?
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Frequently asked questions

Capital Power Corporation develops, acquires, operates, and optimizes power generation facilities across North America. The company produces electricity from a diversified portfolio that includes natural gas, wind, and solar power assets. It also engages in trading and marketing of electricity and related commodities. It is headquartered in Edmonton, Canada, and its shares are listed on the TSX.

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