Canada's Fortis Q1 net earnings and EPS remain flat

Fortis

06/05/2026 11:12

Overview

Canadian utility operator's Q1 net earnings and EPS were flat yr/yr

Earnings growth aided by rate base expansion, offset by lower UNS Energy results and FX impacts

Q1 capital expenditures totaled C$1.4 bln

Outlook

Fortis expects five-year capital plan to increase midyear rate base to C$57.9 bln by 2030

Company sees five-year compound annual rate base growth of 7%

Fortis expects dividend growth guidance of 4-6% annually through 2030

Result Drivers

RATE BASE GROWTH - Co said rate base growth across its utilities and timing of earnings at Central Hudson contributed to Q1 earnings growth

UNS ENERGY IMPACT - Lower earnings at UNS Energy due to wholesale market conditions, timing of planned generation maintenance, and higher costs not yet reflected in customer rates

FOREX AND DISPOSITIONS - Lower U.S. dollar-to-Canadian dollar exchange rate and 2025 business disposals in Turks and Caicos and Belize weighed on earnings

Company press release: ID:nGNX2zzCF8

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
C$0.99
Q1 Net Earnings
C$501 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "strong buy" or "buy", 8 "hold" and 3 "sell" or "strong sell"

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

Wall Street's median 12-month price target for Fortis Inc is C$80.00, about 2.1% above its May 5 closing price of C$78.33

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 20 three months ago

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(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.)