07:51 AM EDT, 06/28/2024 (MT Newswires) -- Emera ( EMRAF ) on Friday said that it is expecting a new three-year average target EPS growth of 5-7% through 2027.

The company also extended its rate-based growth guidance of 7-8% over the next five years through 2029.

Additionally, Emera ( EMRAF ) is adjusting its dividend growth rate to 1-2% per year to reallocate capital toward investing in high-growth opportunities. This will reduce Emera's ( EMRAF ) dividend payout ratio of adjusted net income to about 80% by the end of 2027, with continued improvement in the following years, the company said.

Emera ( EMRAF ) intends to direct about 75% of its capital investments toward its two Florida utilities, Tampa Electric and Peoples Gas.

"We see substantial growth opportunities within our regulated businesses, and our capital allocation and portfolio optimization decisions will position Emera ( EMRAF ) to deliver increased value to shareholders," Scott Balfour, Emera ( EMRAF ) CEO, said. "By targeting an average EPS growth rate of 5 to 7 per cent over the next three years and adjusting our dividend growth rate, we are on a course to meaningfully reduce our payout ratio over the next five years."