Core Insights - Algonquin Power & Utilities (AQN) reported quarterly earnings of $0.14 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, with an earnings surprise of 55.56% [1] - The company generated revenues of $692.4 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 4.02%, although this represents a decline from $737.1 million in the same quarter last year [2] - The stock has increased approximately 22.7% since the beginning of the year, contrasting with a -3.7% decline in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.05 on revenues of $530.16 million, and for the current fiscal year, it is $0.28 on revenues of $2.4 billion [7] - The estimate revisions trend for Algonquin Power & Utilities is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6] Industry Context - The Utility - Electric Power industry is currently ranked in the top 20% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% of ranked industries [8] - NRG Energy, a competitor in the same industry, is expected to report quarterly earnings of $1.80 per share, reflecting a year-over-year increase of +125%, with a significant revision of the consensus EPS estimate by 28.8% higher over the last 30 days [9]

Unaudited Interim Condensed Consolidated Financial Statements of Algonquin Power & Utilities Corp. For the three months ended March 31, 2025 and 2024 Algonquin Power & Utilities Corp. Unaudited Interim Condensed Consolidated Statements of Operations | | | | Three months ended | | | --- | --- | --- | --- | --- | | (millions of U.S. dollars, except per share amounts) | | | March 31 | | | | | 2025 | | 2024 | | Revenue | | | | | | Regulated electricity distribution | $ | 330.4 | $ | 305.9 | | Regulated natural ...

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Financial Data and Key Metrics Changes - Q4 consolidated adjusted EBITDA was $248.6 million, down 5.2% from the prior year [37] - Fourth quarter adjusted net earnings were $45.2 million, down from $81.3 million in 2023 [39] - Full-year adjusted net earnings were $232.1 million, down from $279.4 million in 2023 [40] - Adjusted net earnings per share for Q4 were $0.06 versus $0.12 in the prior year [42] - Year-end GAAP debt was approximately $8.05 billion, with expectations to reduce it by an estimated $1.95 billion from the sale of the renewables business [45] Business Line Data and Key Metrics Changes - Regulated adjusted EBITDA was $234.4 million in Q4, up 2.4% from 2023 [38] - Full-year regulated adjusted EBITDA was $940.2 million, up 4.2% from 2023 [38] - The decline in consolidated adjusted EBITDA was primarily due to a lower dividend from Atlantica and certain corporate allocations [38] Market Data and Key Metrics Changes - The company completed the sale of its renewables business for approximately $2.1 billion, reflecting a significant transition to a pure-play regulated utility [22][26] - The rate base increased to approximately $7.8 billion from $7.2 billion a year earlier, driven by spending and invested capital [46] Company Strategy and Development Direction - The company aims to improve operational efficiency and customer service while focusing on its regulated utilities [22][25] - The leadership transition is expected to bring a renewed focus on creating sustainable value and improving returns on equity [11][17] - The company is committed to achieving its authorized return on equity of 9.2% and addressing regulatory lag [23][54] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to accelerate performance and earnings, particularly as a pure-play regulated utility [51][54] - The company views 2025 as a transition year with opportunities for growth above peer averages [52] - Management acknowledged challenges related to customer service and billing issues stemming from the implementation of a new IT platform [32][90] Other Important Information - The company has engaged a national firm to search for a permanent CFO following Darren Myers' departure [20] - The transition to a pure-play regulated utility is seen as a critical milestone in the company's strategic review [22] Q&A Session Summary Question: Optimization of the utility platform - Management highlighted efforts to reduce overhead and improve accountability within utilities as key focus areas for operational efficiency [58][59] Question: Long-term EPS growth potential - Management indicated that the targeted dividend payout ratio of 60% to 70% could be achieved in a few years, with potential for acceleration under new leadership [62][63] Question: Hydro sales process - Management confirmed plans to go to market within the half year for the Hydro sales process, emphasizing no dilutive transactions [69] Question: Rate base growth and adjustments - Management clarified that the increase in rate base was primarily due to IT platform investments, with no significant further adjustments expected [72] Question: Transition expenses related to renewables - Management noted that some costs related to exiting the renewables business would persist into 2025 but are not expected to be ongoing [76] Question: Customer service technology platform issues - Management acknowledged the challenges faced with the new SAP implementation but expressed confidence in future improvements [90][91] Question: Key areas of focus for the new CEO - The new CEO emphasized aligning stakeholders and focusing on areas with quick opportunities for productive capital deployment [96][97] Question: Regulatory strategy and ROE gap - Management discussed the importance of managing cost structures internally to bridge the gap between realized and allowed ROEs [112][114]

Q4 2024 Earnings Conference Call March 7, 2025 | 8:30 a.m. ET Forward-Looking Statements Certain written statements included herein and/or oral statements made in connection with the presentation contained herein constitute "forward-looking information" within the meaning of applicable securities laws in each of the provinces and territories of Canada and the respective policies, regulations and rules under such laws and "forward-looking statements" within the meaning of the U.S. Private Securities Litigati ...

Core Viewpoint - Algonquin Power & Utilities reported quarterly earnings of $0.06 per share, missing the Zacks Consensus Estimate of $0.08 per share, and showing a decline from $0.16 per share a year ago, indicating a -25% earnings surprise [1] Financial Performance - The company posted revenues of $584.8 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 6.45%, and down from $666.9 million year-over-year [2] - Over the last four quarters, Algonquin Power & Utilities has surpassed consensus EPS estimates only once [2] Stock Performance - Algonquin Power & Utilities shares have increased by approximately 7.6% since the beginning of the year, contrasting with the S&P 500's decline of -2.4% [3] Future Outlook - The company's earnings outlook is crucial for investors, including current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $0.09 on revenues of $678.96 million, and $0.31 on revenues of $2.44 billion for the current fiscal year [7] Industry Context - The Utility - Electric Power industry is currently in the top 32% of over 250 Zacks industries, suggesting that the industry outlook can significantly impact stock performance [8]

Algonquin Power & Utilities Corp. Announces 2024 Fourth Quarter and Full Year Financial Results OAKVILLE, Ontario - March 7, 2025 - Algonquin Power & Utilities Corp. (TSX/NYSE: AQN) ("AQN", "Algonquin" or the "Company") announced today financial results for the fourth quarter and full year ended December 31, 2024. All amounts are shown in United States dollars ("U.S. $" or "$"), unless otherwise noted. "The Company continued to make strides in its transition to a pure-play utility. Over the last 90 days, we ...

Membership Offer - The company is offering a discount on annual memberships with an 11-month money-back guarantee for first-time members [1] - The Conservative Income Portfolio targets high-value stocks with the highest margins of safety and uses options to lower investment volatility [1] - The Enhanced Equity Income Solutions Portfolio aims to reduce volatility while generating yields of 7-9% [1] Portfolio Strategies - The Covered Calls Portfolio focuses on lower volatility income investing with an emphasis on capital preservation [2] - The Fixed Income Portfolio targets securities with high income potential and significant undervaluation compared to peers [2] Analyst Team - The Trapping Value team has over 40 years of combined experience in generating options income while prioritizing capital preservation [3] - The team manages the Conservative Income Portfolio in partnership with Preferred Stock Trader, featuring two income-generating portfolios and a bond ladder [3] Analyst Position - The analyst holds a beneficial long position in Algonquin Power and Utilities Corp (AQN) through stock ownership, options, or other derivatives [4]

Disclosure and Ownership - The author holds a beneficial long position in AQN through stock ownership, options, or other derivatives [1] - The author owns European/Scandinavian tickers for companies mentioned in their articles and Canadian tickers for Canadian stocks they write about [2] Article Context and Limitations - The article is not financial advice, and the author is not a licensed financial advisor [2] - Investors are expected to conduct their own due diligence and research before making any investment decisions [2] - Short-term trading, options trading, and futures trading are considered high-risk and may not be suitable for inexperienced investors or those with limited capital [2] Seeking Alpha's Position - Seeking Alpha is not a licensed securities dealer, broker, or investment adviser [3] - The views expressed in the article may not reflect those of Seeking Alpha as a whole [3] - Seeking Alpha's analysts include both professional and individual investors who may not be licensed or certified by any regulatory body [3]