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TransAlta (TA) investor relations material
TransAlta Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Delivered strong Q2 2025 results with adjusted EBITDA of $349M and free cash flow of $177M ($0.60/share), driven by Alberta portfolio hedging, asset optimization, and robust hydro and wind performance.
Achieved fleetwide availability of 91.6%, supported by optimization in Alberta and Washington.
Advanced Alberta data center strategy and recontracted Melancthon 1, Melancthon 2, and Wolf Island wind facilities in Ontario, extending contract terms.
Progressed Centralia Unit 2 conversion negotiations, targeting a definitive agreement later in 2025 and planning for coal-to-gas conversion and renewables development.
Repurchased 1.9M shares YTD at an average cost of $12.42 and launched NCIB to repurchase up to 14M shares.
Financial highlights
Q2 2025 adjusted EBITDA was $349M, up from $316M in Q2 2024, with free cash flow steady at $177M ($0.60/share).
Adjusted earnings before income taxes rose to $122M ($0.41/share) from $112M ($0.37/share) year-over-year.
Cash flow from operating activities increased to $157M ($0.53/share) from $108M ($0.36/share) year-over-year.
Reported net loss attributable to common shareholders of $112M (–$0.38/share) versus net earnings of $56M ($0.18/share) in Q2 2024.
Revenues declined to $433M from $582M year-over-year.
Outlook and guidance
Reaffirmed 2025 guidance for adjusted EBITDA of $1.15–$1.25B and free cash flow of $450–$550M, with confidence in meeting targets.
Approximately 4,300 GWh of Alberta generation hedged for the remainder of 2025 at $69/MWh; 7,000 GWh hedged for 2026 at $67/MWh.
AESO expects Demand Transmission Service contracts for data center integration to be executed by mid-September 2025.
CO2 emissions reduction goal of 75% from 2015 levels by 2026.
Strategic focus on maximizing value from legacy thermal sites, M&A, and ERP upgrades.
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