Algonquin Power & Utilities (AQN) Q3 2026 earnings summary

Executive summary

• Q3 Adjusted Net Earnings rose to $88.1 million from $69.0 million YoY; GAAP net earnings attributable to common shareholders fell to $57.6 million from $71.0 million.

• Strategy advanced through regulatory filings and portfolio simplification, including the Suralis stake sale; management said 2026 performance and outlook remain on track.

• Priorities include disciplined execution, customer service, stronger regulatory relationships and a more focused regulated-utility portfolio.

Financial highlights

• Q3 Adjusted Net EPS was $0.11 versus $0.09 YoY; 9M Adjusted Net EPS was $0.28, unchanged YoY.

• 9M GAAP earnings were $145.6 million versus $178.6 million; Adjusted Net Earnings were $216.9 million versus $211.6 million.

• Q3 drivers included $20.4 million of favorable Empire weather and $11.4 million of favorable net revenue; higher expenses and the non-recurrence of a $7.1 million EnergyNorth depreciation deferral offset gains.

• 9M positives included $45.3 million from CalPeco’s rate case, $13.3 million from rate adjustments and customer growth, and $11.2 million from favorable weather; higher expenses and prior-year items partly offset gains.

Outlook and guidance

• Adjusted Net EPS guidance is $0.35–$0.37 for 2026 and $0.38–$0.42 for 2027.

• Utility capex is estimated at ~$0.8 billion in 2026 and ~$3.2 billion for 2026–2028; 2025–2028 rate-base CAGR is forecast at 5%–6%.

• U.S. redomicile remains on track for H1 2027, subject to regulatory and shareholder approvals and customary conditions; expected annualized adjusted EPS benefit is $0.02–$0.03 per share, with a partial benefit in 2027.

• Cost-reduction work includes outsourcing and app/IT rationalization; O&M is expected to trend toward the low-to-mid 30% range as a share of gross revenue.

• Annualized dividend of $0.26 per share is expected to be maintained, subject to Board approval.