Core Viewpoint - Investors in Fortis Inc. should closely monitor the stock due to significant movements in the options market, particularly the high implied volatility of the Mar 20, 2026 $30.00 Put option [1] Group 1: Implied Volatility - Implied volatility indicates the market's expectations for future price movements, with high levels suggesting potential significant changes or upcoming events that could impact the stock [2] - Options traders often seek high implied volatility options to sell premium, aiming to benefit from the decay of options value if the stock does not move as expected [4] Group 2: Analyst Sentiment - Fortis currently holds a Zacks Rank 3 (Hold) within the Utility - Electric Power Industry, which is positioned in the bottom 40% of the Zacks Industry Rank [3] - Over the past 60 days, two analysts have raised their earnings estimates for Fortis for the current quarter, resulting in a consensus estimate increase from 73 cents per share to 76 cents per share [3]

Financial Data and Key Metrics Changes - The consolidated operating income for 2025 was KRW 13,524.8 billion, with revenue increasing by 4.3% to KRW 97,434.5 billion [4] - Power sales rose by 4.6% to KRW 93,004.6 billion, while overseas business and other revenue decreased by 1.8% to KRW 4,429.9 billion [4] - Cost of goods sold and SG&A decreased by 1.3% to KRW 83,909.7 billion, and fuel costs decreased by 13.8% to KRW 19,436.4 billion [4] - Net income for 2025 was KRW 8,737.2 billion [5] Business Line Data and Key Metrics Changes - The annual power sales volume was 549.4 terawatt-hours, reflecting a 0.1% decrease year-over-year due to economic downturn and decreased industrial demand [9] - The capacity factor for nuclear power increased, contributing more to the generation mix, while the contribution from LNG decreased due to reduced installed capacity [13] Market Data and Key Metrics Changes - Fuel prices for bituminous coal were around $105.7 per ton, and LNG prices were KRW 980,000 per ton, with SMP at KRW 112.7 per kilowatt hour [11] - The expected capacity factors for 2026 are projected to be mid to high 80% for nuclear power, mid 40% for coal, and early to mid 20% for LNG [13] Company Strategy and Development Direction - The company is focusing on enhancing its nuclear power generation capacity and is working closely with the government to develop a robust nuclear power plant export strategy [56] - There is an ongoing effort to streamline pricing schemes for industrial power, including seasonal and regional pricing adjustments [64] Management's Comments on Operating Environment and Future Outlook - Management noted that the increase in costs related to greenhouse gas emissions and nuclear site recovery impacted operating income, particularly in Q4 2025 [27] - The company anticipates a slight increase in total sales volume in 2026 due to expected economic growth and increased operating days [9] Other Important Information - The annual RPS expense on a consolidated basis was KRW 3,989.7 billion, and total borrowings as of Q4 2025 were KRW 129.8 trillion [15] - The dividend payout ratio decreased from 16.5% to 13.65%, but the absolute amount of dividends paid out increased due to higher standalone net income [42] Q&A Session Summary Question: Contribution of nuclear power generation and other costs - The increase in other costs was attributed to provisions for greenhouse gas emissions and nuclear site recovery, with a significant portion booked in Q4 2025 [27] - The capacity factor for nuclear power is expected to be mid-high 80% annually, with maintenance and new plants contributing to this increase [28] Question: Standalone vs. consolidated operating income - Standalone profits appeared stronger due to costs associated with subsidiaries not reflected in standalone numbers [34] - The adjustment coefficient for 2026 is expected to be slightly higher than in 2025 [38] Question: Provisional liabilities related to used nuclear fuel - Provisional liabilities for nuclear site recovery increased to KRW 24,076.9 billion, while used nuclear fuel liabilities decreased to KRW 2,745.3 billion [46] Question: Nuclear power generation export strategy - The company is collaborating with the government to develop a nuclear power plant export strategy, awaiting results from a research project [56] - Ongoing negotiations regarding additional construction costs incurred during the BNPP project are in progress, but specific numbers cannot be disclosed [59] Question: Tariff pricing schemes - The company is developing new pricing schemes for industrial power to reflect changes in load patterns and regional demand, but the impact on unit prices and timeline is still uncertain [64]

Financial Data and Key Metrics Changes - The consolidated operating income for 2025 was KRW 13,524.8 billion, with revenue increasing by 4.3% to KRW 97,434.5 billion [5] - Power sales rose by 4.6% to KRW 93,004.6 billion, while overseas business and other revenue decreased by 1.8% to KRW 4,429.9 billion [5] - Cost of goods sold and SG&A decreased by 1.3% to KRW 83,909.7 billion, and fuel costs decreased by 13.8% to KRW 19,436.4 billion [5] - Net income for 2025 was KRW 8,737.2 billion [6] Business Line Data and Key Metrics Changes - The annual power sales volume was 549.4 terawatt-hours, reflecting a 0.1% decrease year-over-year due to economic downturn and decreased industrial demand [8] - The generation mix for 2025 showed an increase in the capacity factor of nuclear power, while the contribution from LNG decreased due to reduced installed capacity [12] Market Data and Key Metrics Changes - Fuel prices for bituminous coal were around $105.7 per ton, and LNG prices were KRW 980,000 per ton, with SMP at KRW 112.7 per kilowatt hour [10] - The expected capacity factors for 2026 are projected to be mid to high 80% for nuclear power, mid 40% for coal, and early to mid 20% for LNG [12] Company Strategy and Development Direction - The company is focusing on increasing the contribution of nuclear power in the generation mix while managing costs associated with greenhouse gas emissions and nuclear site recovery [25] - There is an ongoing effort to streamline the Korean nuclear power generation export strategy, with collaboration from the Ministry of Industry [52] Management Comments on Operating Environment and Future Outlook - Management noted that the economic growth rate and number of operating days are expected to increase in 2026, leading to a slight increase in total sales volume [8] - The company anticipates that the capacity factor for nuclear power will improve in 2026 due to maintenance and the addition of new power plants [26] Other Important Information - The annual RPS expense on a consolidated basis was KRW 3,989.7 billion, and total borrowings as of Q4 2025 were KRW 129.8 trillion [14] - The dividend payout ratio decreased from 16.5% to 13.65%, but the absolute amount of dividends paid out increased due to a significant rise in standalone net income [39] Q&A Session Summary Question: Contribution of nuclear power generation and unexpected costs - The analyst from LS Securities inquired about the unexpected increase in other costs related to nuclear power generation and the contribution of nuclear power in Q4 2025 [22] - Management responded that provisions for greenhouse gas emissions and nuclear site recovery increased, impacting costs, and the capacity factor for nuclear power is expected to be mid-high 80% annually [25][26] Question: Comparison of operating income and before-tax profit - An analyst from Meritz Securities asked about the reasons behind the stronger before-tax profit compared to operating income and the expected adjustment coefficient for Q1 2026 [29] - Management explained that standalone profits appear stronger due to costs associated with subsidiaries not reflected in standalone numbers, and the adjustment coefficient for 2026 is expected to be slightly higher than in 2025 [32][36] Question: Provisional liabilities and coal price impacts - An analyst from Hana Securities asked about provisional liabilities related to used nuclear fuel and the expected cost impact from the end of a grace period for coal prices [42] - Management indicated that provisional liabilities for nuclear site recovery increased, while used nuclear fuel liabilities decreased, and they could not disclose specific estimates for coal price impacts [43][44] Question: Nuclear power generation export strategy and bond issuance - An analyst inquired about the status of the nuclear power generation export strategy and the bond issuance limit [50] - Management confirmed that the Ministry of Industry is involved in developing the export strategy and that negotiations regarding bond issuance are ongoing, with final numbers to be calculated post-dividend finalization [52][55]

Financial Data and Key Metrics Changes - For the year 2025, the company reported diluted earnings per share of $6.55, a decrease of 9% from the previous year [5] - The company ended 2025 with a strong balance sheet, holding $386 million in cash, and a return on equity of 16% [20] - The 2026 diluted earnings per share guidance range is set at $5.22 to $5.62, with a midpoint indicating a continued above-average return on equity of 12% [23][24] Business Line Data and Key Metrics Changes - Electric segment earnings increased over 7% year-over-year, driven by recovery of increased rate base investments and higher sales volumes [18] - Manufacturing segment earnings decreased by 16% year-over-year, primarily due to lower sales volumes and higher SG&A expenses [19] - Plastic segment earnings decreased by 15% year-over-year, largely due to lower average sales prices [21] Market Data and Key Metrics Changes - The residential electric rates for 2025 were reported to be 34% below the national average and 19% below regional peers [13] - The company anticipates a 3% to 4% compounded annual growth rate in customer bills over the current five-year planning period [13] Company Strategy and Development Direction - The company is committed to a customer-focused growth plan, with a reaffirmed five-year capital spending plan totaling $1.9 billion, expected to produce a rate-based compound annual growth rate of 10% [24][25] - The company is pursuing additional investments in renewable generation and battery storage, including a battery storage project with a capacity of 75 megawatts [10][24] - The company aims to maintain low-cost electric service while exploring opportunities to add new large loads to its system [12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, highlighting the strong performance of Otter Tail Power and the ability to convert rate-based growth into earnings per share growth [28] - The company acknowledged challenges in the manufacturing segment due to end market demand and inventory management but noted improvements in certain areas [14][15] Other Important Information - The company increased its dividend by 10%, marking the second consecutive year of double-digit increases [5] - The company expects to retire $80 million in parent-level debt later this year, resulting in no outstanding parent-level debt [26] Q&A Session Summary - There were no questions during the Q&A session, and the call concluded without any inquiries from participants [30][31]

Core Viewpoint - Capital Power Corporation is set to release its 2025 fourth quarter results and Integrated Annual Report on March 4, 2026, with a conference call and webcast scheduled for the same day [1]. Group 1: Company Overview - Capital Power is a growth-oriented power producer with approximately 12 GW of power generation capacity across 32 facilities in North America [2]. - The company focuses on delivering reliable and affordable power, building lower-carbon power systems, and creating balanced energy solutions for the future [2]. Group 2: Conference Call and Webcast Details - The conference call and webcast to discuss the results will take place at 8:30 a.m. MT (10:30 a.m. ET) on March 4, 2026 [1]. - An archive of the webcast will be available on the company's website following the conference call [3].

Core Viewpoint - Vistra Corp. is set to report its earnings on February 26, 2026, with expectations of significant growth in EPS and revenue compared to the previous year [2]. Financial Performance - In the latest trading session, Vistra Corp. closed at $162.58, reflecting a -1.85% change from the previous day, underperforming the S&P 500's daily loss of 0.13% [1]. - Over the past month, shares of Vistra Corp. have increased by 2.67%, outperforming the Utilities sector's gain of 1.04% and the S&P 500's gain of 0.78% [1]. - The upcoming earnings report is forecasted to show an EPS of $2.45, representing a 114.91% increase year-over-year, and revenue is expected to reach $5.27 billion, a 30.66% increase from the same quarter last year [2]. Annual Estimates - For the entire year, the Zacks Consensus Estimates predict earnings of $5.21 per share and revenue of $18.97 billion, indicating a -25.57% change in earnings and no change in revenue compared to the previous year [3]. Analyst Estimates - Changes in analyst estimates for Vistra Corp. are important as they reflect short-term business trends, with positive revisions indicating optimism about the company's outlook [4]. - The Zacks Rank system, which incorporates these estimate changes, currently ranks Vistra Corp. at 3 (Hold) [6]. Valuation Metrics - Vistra Corp. has a Forward P/E ratio of 18.97, which is higher than the industry average of 17.9 [6]. - The company has a PEG ratio of 1, compared to the Utility - Electric Power industry's average PEG ratio of 2.59 [7]. Industry Context - The Utility - Electric Power industry holds a Zacks Industry Rank of 83, placing it in the top 34% of over 250 industries [7]. - Historically, the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8].

Core Insights - NextEra Energy exceeded Wall Street estimates for fourth-quarter adjusted profit, driven by increased power demand and robust performance in its renewables segment [1] Group 1 - The company reported a strong performance in the fourth quarter, indicating resilience in its operations [1] - Higher power demand contributed significantly to the company's financial results, showcasing the growing need for energy [1] - The renewables unit demonstrated strength, reflecting the ongoing transition towards sustainable energy sources [1]

Core Viewpoint - Tokyo Electric Power Company Holdings (TEPCO) has introduced its Fifth Comprehensive Special Business Plan, focusing on the decommissioning of Fukushima Daiichi and committing to ¥3.1 trillion ($19–20 billion) in cumulative cost reductions over FY2025–FY2034, alongside asset sales and potential partnerships to strengthen its financial position [1][2]. Financial Strategy - The new plan represents a significant shift from the previous strategy, recognizing TEPCO's inability to finance both Fukushima decommissioning and growth investments simultaneously under current conditions, even with potential nuclear restarts [2]. - TEPCO aims to achieve ¥3.1 trillion in cumulative cost reductions through third-party benchmarking, project reprioritization, and stricter capital discipline over the next decade [5]. - The company plans to generate ¥200 billion from asset sales within three years, including real estate and non-core holdings [5]. - A return to positive free cash flow is targeted to restore autonomous funding capacity and reduce reliance on emergency financing [5]. Decommissioning Focus - TEPCO has characterized the next phase of Fukushima Daiichi decommissioning, particularly large-scale fuel debris retrieval, as technologically and economically uncertain, with estimated decommissioning-related costs reaching approximately ¥5.4 trillion [3]. - The governance structure has been adjusted to grant the decommissioning entity greater autonomy over resources and decision-making, while still under the oversight of Japan's Nuclear Damage Compensation and Decommissioning Facilitation Corporation (NDF) [4]. Strategic Alliances and Energy Transition - TEPCO emphasizes the necessity of forming alliances for capital, technology, and expertise, while ensuring governance structures that secure Fukushima funding and eventual repayment of public capital [4]. - The company positions itself as a key player in Japan's GX/DX transition and energy security agenda, particularly in East Japan, with priorities including grid expansion and faster connections to meet data center demand in the Tokyo metropolitan area [6]. - Plans include the expansion of renewables, grid-scale storage, and decarbonized power procurement, along with nuclear restarts at Kashiwazaki-Kariwa, contingent on local consent and regulatory confidence [6].

Core Insights - Meta Platforms has entered into 20-year agreements to purchase power from three Vistra nuclear plants located in the U.S. heartland [1] - The company is also collaborating with two firms that are working on developing small modular reactors [1] Group 1 - Meta Platforms aims to secure long-term energy supply through these agreements, indicating a strategic move towards sustainable energy sources [1] - The partnerships with companies focused on small modular reactors suggest a commitment to innovative energy solutions and diversification of energy sources [1]

Core Viewpoint - Utility firm PG&E Corp is actively working to assess a transformer fire in San Francisco and restore power to affected customers safely [1] Group 1 - PG&E Corp's crews are engaged in assessing the situation following a transformer fire [1] - The company is focused on restoring power to customers impacted by the incident [1]