Overview

* Algonquin Power Q2 net earnings fell 90% yr/yr due to Atlantica sale

* Adjusted net earnings for Q2 declined 13%, reflecting corporate challenges

* Hydro Group Q2 net earnings surged 176%, driven by operational improvements

Outlook

* Company estimates 2025 adjusted EPS between $0.30 and $0.32

* AQN expects $2.5 bln capital expenditures from 2025 to 2027

* Company does not anticipate common equity financings through 2027

* AQN aims to maintain BBB investment grade ratings

Result Drivers

* RATE INCREASES - Regulated Services Group benefited from approved rate hikes across gas and water utilities, offset by weather normalization and prior period benefits

* HYDRO IMPROVEMENTS - Hydro Group's net earnings surged due to operational improvements

* CORPORATE IMPACT - Corporate Group earnings hit by Atlantica sale, reducing dividend income but partially offset by lower interest expenses

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 $36.20

Adjusted mln

Net

Income

Q2 Net $47.10

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the multiline utilities peer group is "buy."

* The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)