Algonquin Power & Utilities Corp. Announces 2025 First Quarter Financial Results; Plans to Host Investor Update Call on June 3

• Regulated Services Group saw growth from implementation of new rates and a non-recurring depreciation true up — The Regulated Services Group recorded first quarter 2025 year-over-year growth in net earnings of approximately 43%, primarily due to the implementation of new rates at several of the Company’s electric, water and gas utilities, as well as a favourable non-recurring $8.2 million depreciation true up related to constructive regulatory orders. The Company also benefited from reduced interest expense as a result of repayment of debt with the proceeds of the sale of the Company’s renewable energy business (excluding hydro) and the sale of its 42.2% ownership stake in Atlantica Sustainable Infrastructure plc (“Atlantica”).
• First quarter net earnings positively impacted by additional non-recurring tax step-up — The Company benefited from a one-time $13.4 million income tax recovery stemming from a tax basis step-up during the Hydro Group’s reorganization related to the sale of the Company’s renewable energy business.
• Regulatory schedule progressing as the Company obtains conclusive orders in four separate rate cases — During the first quarter of 2025, the Company obtained conclusive orders, primarily by way of approved settlements, at its Midstates Gas (Missouri), Missouri Water, Arkansas Water and Granite State Electric utilities. Authorized revenue increases for these cases total approximately $22.3 million in aggregate.
• Corporate Group net earnings impacted due to sale of Atlantica — The Corporate Group’s net earnings were negatively impacted by the sale of the Company’s ownership stake in Atlantica and the loss of related dividends. The repayment of debt with the proceeds of the Atlantica sale contributed to interest expense reductions across the Regulated Services Group and Corporate Group segments, which partly offset the loss of Atlantica dividends.
• Sale of the renewable energy business marks key achievement in strategic transition to pure-play regulated utility — On January 8, 2025, the Company completed the sale of its renewable energy business (excluding hydro) to a wholly-owned subsidiary of LS Power for proceeds of approximately $2.1 billion, after subtracting taxes, transaction fees and other preliminary closing adjustments, including an adjustment for estimated remaining completion costs for in-construction assets. Approximately $1.95 billion of such proceeds were received upon the closing of the transaction and approximately $150 million of such proceeds are currently expected to be received at a later date in 2025 upon monetization of tax attributes on certain in-construction projects.
• Leadership transition supports AQN’s ongoing transformation — On March 7, 2025, Roderick (Rod) West joined the Company as Chief Executive Officer, and Brian Chin, Vice President of Investor Relations, assumed the role of Interim Chief Financial Officer. A nationally recognized search firm has been engaged to assist in identifying a permanent Chief Financial Officer.
• Investor Update scheduled for June 3, 2025 — Consistent with comments made on the previous earnings call regarding an approximately 90-day review period for the incoming management team, the Company plans to hold an investor update on June 3, 2025, at 1:30 p.m. ET, hosted by Chief Executive Officer, Rod West, and Interim Chief Financial Officer and Vice President of Investor Relations, Brian Chin. The update is expected to include the Company’s forward-looking financial outlook. Details for the call and accompanying webcast are below.

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