Algonquin Power & Utilities (AQN) Investor presentation summary

Strategic direction and operational focus

• Announced intention to redomicile to the U.S. to align with asset footprint, reduce tax inefficiencies, and broaden capital access; headquarters to be established in Chicago, with continued presence in Oakville, Ontario.

• 2026 priorities include operational efficiencies, centralized capital project management, reliability investments, and customer experience improvements.

• Assembled a new executive team with deep industry experience to drive growth and transformation.

• Completed sale of renewable energy business (excluding hydro) and announced sale of 64% stake in Chilean water utility Suralis.

Financial performance and outlook

• Delivered 2025 adjusted net EPS of $0.34 and improved FFO/debt ratio to 12.8%; net earnings per share from continuing operations were $0.27.

• 2026 adjusted net EPS guidance is $0.35–$0.37, with 2027 guidance at $0.38–$0.42.

• Planned $3.2 billion in regulated capital investment from 2026–2028, targeting 5–6% compound annual growth in rate base.

• Maintains investment grade credit ratings (BBB/Baa2/BBB) and expects no equity issuances through 2027.

• Annual dividend expected to be $0.26 per share, with a continued reduction in payout ratio.

Regulatory and rate case developments

• Achieved constructive outcomes in multiple rate cases, including $97M annual revenue increase for Empire Electric (MO), $48.6M for CalPeco Electric (CA), and $45.3M for New England Natural Gas (MA).

• Pending and ongoing cases include EnergyNorth Gas (NH), Empire Electric (AR, OK), and New York Water, with significant capital investments driving filings.

• Regulatory mechanisms such as formula rates, CWIP, and performance-based rates support timely recovery and long-term investment.