Canadian Utilities (CU) Q2 2026 earnings summary

Executive summary

• Achieved strong year-over-year earnings growth in Q2 2026, driven by regulated utility performance, successful project execution, and a robust project pipeline.

• Completed the Central East Transfer-Out (CETO) project ahead of schedule and under budget, with zero lost time injuries, supporting renewable integration.

• Advanced the Yellowhead Pipeline project, securing final regulatory approval and preparing for construction ahead of schedule.

• Emphasis on safety, reliability, and continuous improvement, supported by engaged team members and a balanced scorecard approach.

• Five-year capital program of $12 billion focused on highly certain projects, with additional upside potential from new opportunities.

Financial highlights

• Adjusted earnings for Q2 2026 were $140 million, up from $121 million in Q2 2025.

• IFRS earnings attributable to equity owners increased to $128 million from $111 million year-over-year.

• Cash flow from operations increased to $557 million in Q2 2026 from $441 million in Q2 2025.

• ATCO Australia contributed $34 million in adjusted earnings, up $13 million year-over-year, benefiting from inflation indexing.

• Capital expenditures reached $403 million in Q2 2026, with 98% invested in regulated utilities.

Outlook and guidance

• Five-year regulated utility capital plan totals $12 billion for 2026-2030, supporting significant infrastructure investment and a 6.9% compound annual growth rate.

• Mid-year rate base expected to grow at a 6.9% CAGR from 2025 to 2030, reaching $23.2 billion by 2030.

• Additional growth expected from non-regulated businesses, including gas storage expansion.

• Broader operating environment and policy clarity support long-term investment opportunities in energy infrastructure.

• Federal initiatives and data center growth could provide further upside not included in current forecasts.