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Canadian Utilities Limited Q3 2025 Earnings Call November 7, 2025
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Forward-looking information advisory Certain statements made by company representatives and information provided in this presentation may be considered forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "plan", "estimate", "expect", "may", "will", "intend", "should", "goals", "targets", "strategy", "future", "potential" and similar expressions. Such information includes, but is not limited to, references to: strategic and growth plans, opportunities and partnerships; Canada’s energy future in Alberta; expectations regarding the Central East Transfer-Out project, including the anticipated size, specifications, capacity and benefits of the project, the anticipated total investment in the project, and the target in-service date; the company’s natural gas assets being strategically positioned to capitalize on demand and production growth; expectations regarding the Yellowhead Pipeline project, including the anticipated size, specifications and incremental natural gas capacity of the project, the anticipated total investment in the project and expectations as to the accuracy of the estimate, and the anticipated timing for regulatory and permitting applications and decisions, construction commencement and target in-service date; expectations regarding ATCO EnPower’s natural gas storage growth; expectations regarding the impact of AA6 on ATCO Australia; the evolving energy landscape in Australia driving opportunities; the company’s drive for continuous improvements in safety and operational efficiency; expectations regarding the use of proceeds from Canadian Utilities Limited’s recent hybrid note issuance and CU Inc.’s recent debenture issuance; expectations regarding funding sources for the Yellowhead Pipeline project and Indigenous equity participation; expectations regarding ATCO Pipelines’ 2026-2028 General Rate Application and ATCO Electric Transmission’s 2026-2027 General Tariff Application; and expectations regarding the PBR2 re-opener proceedings. Such forward-looking information is considered to be reasonable based on the information that is available on the date of this presentation and the processes used to prepare such information; however, such information does not constitute a guarantee of future performance and no assurance can be given that the information will prove to be correct. Forward-looking information should not be unduly relied upon. Such information involves a variety of assumptions, known and unknown risks and uncertainties, and other factors, which may cause actual results, levels of activity, and achievements to differ materially from those anticipated by such forward-looking information. The forward-looking information reflects management’s beliefs and assumptions with respect to, among other things: management’s current plans and its perception of historical trends; current conditions and expected future developments; the applicability and stability of legal and regulatory requirements in the jurisdictions in which we invest and/or operate; the payment of fees owing pursuant to applicable contracts; certain regulatory applications being made and approved; expected rate base growth; continuing collaboration with certain business partners and engagement with new business partners, and regulatory, environmental and First Nations groups; the performance of assets and equipment; demand levels for oil, natural gas, gasoline, diesel and other energy sources; certain levels of future energy use; future production rates; future revenue and earnings; the design specifications of development projects; the availability of labour, materials, services and infrastructure; the satisfaction by third parties of their obligations; a supportive regulatory environment; the ability to meet current project schedules and complete proposed development projects at currently estimated project budgets; the availability of financing sources on acceptable terms; assumptions related to electricity prices based on forward strip prices and merchant price differentials that are consistent with management’s observations; and other assumptions inherent in management's expectations with respect to the forward-looking information identified herein. Actual results could differ materially from those anticipated in the forward-looking information as a result of, among other things: risks inherent in the performance of assets; capital efficiencies and cost savings; applicable laws and regulations and the interpretation and manner of enforcement of such laws and regulations; changes to government policies; regulatory decisions and the regulatory environment; competitive factors in the industries in which the company operates; evolving market or economic conditions; credit risk; interest rate fluctuations; the availability and cost of labour, materials, services, and infrastructure; future demand for resources; the development and execution of projects, including development projects, not proceeding on schedule or at all, or at currently estimated budgets; the availability of financing sources for development projects on acceptable terms; prices of electricity, natural gas, natural gas liquids, and renewable energy; the development and performance of technology and new energy efficient products, services, and programs including but not limited to the use of zero-emission and renewable fuels, carbon capture, and storage, electrification of equipment powered by zero-emission energy sources and utilization and availability of carbon offsets; potential cancellation, termination, default, non-compliance, or breach of contract by contract counterparties; the risk that payments owed may not be collected or received in a timely manner, or at all; risks associated with potential litigation proceedings; potential damage to our brand and/or reputation that may result from a failure to perform, or from factors outside of our control, or negative publicity related to significant projects, investments, operations or activities; the risk of operational disruptions, outages, or force majeure events; the occurrence of unexpected events such as fires, extreme weather conditions, explosions, blow-outs, equipment failures, transportation incidents, and other accidents or similar events; global pandemics; the imposition of or changes to existing customs duties, tariffs or other trade restrictions; geopolitical tensions and wars; and other risk factors, many of which are beyond the control of the company. Due to the interdependencies and correlation of these factors, the impact of any one material assumption or risk on a forward-looking statement cannot be determined with certainty. Readers are cautioned that the foregoing lists are not exhaustive. For additional information about the principal risks faced by the company see “Business Risks and Risk Management” in Canadian Utilities Limited’s Management’s Discussion and Analysis for the year-ended December 31, 2024 (the "Annual MD&A"). Statements made by company representatives and information provided in this presentation may constitute future-oriented financial information or financial outlook information, all of which are subject to the same assumptions, risk factors, limitations and qualifications set forth above. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on such future-oriented financial information or financial outlook information. The company's actual results, performance and achievements could differ materially from those expressed in, or implied by, such future-oriented financial information or financial outlook information. The company has included such information in order to provide readers with a more complete perspective on its future operations and its current expectations relating to its future performance. Such information may not be appropriate for other purposes and readers are cautioned that such information should not be used for purposes other than those for which it has been disclosed herein. Future-oriented financial information or financial outlook information contained herein was made as of the date of this presentation. Any forward-looking information contained in this presentation represents the company's expectations as of the date hereof, and is subject to change after such date. The company disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable securities legislation. 2Canadian Utilities Limited Q3 2025 Presentation Legal Notice
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Non-GAAP and other financial measures disclosure advisory This presentation contains various “total of segments measures”, “non-GAAP financial measures” and “non-GAAP ratios” (as such terms are defined in National Instrument 52-112 – Non-GAAP and Other Financial Measures Disclosure ("NI 52-112")). NI 52-112 defines a “total of segments measure” as a financial measure disclosed by an issuer that (a) is a subtotal or total of two or more reportable segments of an entity, (b) is not a component of a line item disclosed in the primary financial statements of the entity, (c) is disclosed in the notes to the financial statements of the entity, and (d) is not disclosed in the primary financial statements of the entity. Consolidated adjusted earnings (loss) and adjusted earnings (loss) for each of ATCO Energy Systems, ATCO EnPower, ATCO Australia and Financing & Other are total of segments measures, as defined in NI 52-112. Adjusted earnings (loss) are earnings (loss) attributable to equity owners of the company after adjusting for the timing of revenues and expenses associated with rate-regulated activities, dividends on equity preferred shares of the company, and unrealized gains or losses on mark-to-market forward and swap commodity contracts. Adjusted earnings (loss) also exclude one-time gains and losses, impairments, and items that are not in the normal course of business or a result of day-to-day operations. Adjusted earnings (loss) is not a standardized financial measure under the reporting framework used to prepare our financial statements and may not be comparable to similar financial measures disclosed by other issuers. The most directly comparable measure to adjusted earnings (loss) reported in accordance with International Financial Reporting Standards ("IFRS") is earnings (loss) attributable to equity owners of the company, which on a consolidated basis was $316 million for the nine months ended September 30, 2024, and $447 million for the nine months ended September 30, 2025. Management views adjusted earnings (loss) as a key measure of segment earnings that is used to assess segment performance and allocate resources and allows for a more effective analysis of operating performance and trends. It is also management’s view that adjusted earnings (loss) allow a better assessment of the economics of rate regulation in Canada and Australia than IFRS earnings. Additional information regarding adjusted earnings (loss), including a reconciliation of adjusted earnings (loss) to earnings attributable to equity owners of the company, is provided in Canadian Utilities Limited’s Management’s Discussion and Analysis for the nine months ended September 30, 2025 (the “Interim MD&A”) under “Other Financial and Non- GAAP Measures”, and under “Reconciliation of Adjusted Earnings to Earnings Attributable to Equity Owners of the Company”. The Annual MD&A and the Interim MD&A are available on SEDAR+ at www.sedarplus.ca. The referenced sections of the Annual MD&A and the Interim MD&A are incorporated by reference herein. “Year-to-date” and “YTD” references in this presentation refer to the nine months ended September 30, 2025, or September 30, 2024, as the context requires. 3Canadian Utilities Limited Q3 2025 Presentation Legal Notice
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4Canadian Utilities Limited Q3 2025 Presentation Canadian Utilities Limited
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5 Growth & Prosperity Financial Leadership Operational Excellence Canadian Utilities Limited Q3 2025 Presentation Growth & Prosperity
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6 Canada’s energy future begins in Alberta #1 GDP Per Capita4 Canadian Utilities Limited Q3 2025 Presentation Growth & Prosperity 2.5% 1.5% 1.2% 1.0% 0.7% 0.7% 0.5% Population Growth by Province Q3 2024- Q3 20251,2 1. Statistics Canada, September 2025. 2. Provinces with a population of over one million. 3. Alberta Natural Gas Production, November 2025. 4. Economic Dashboard of Alberta, May 2025. 8.7 9.4 2024 September 2025 September Alberta Natural Gas Production (in billions of cubic meters)3 +8% YoY
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7 Central East Transfer-Out Project (CETO) Completed Q3 2021 Needs and Facility Applications approved Q4 2022 AESO direction to begin project execution Q3 2024 Detailed design complete Construction started Q2 2026 Target in- service date In- Progress 85 km 240 kV double-circuit powerline $280 million investment Growth & Prosperity Canadian Utilities Limited Q3 2025 Presentation 69/72 kV & 138/144 kV 240 kV 500 kV Wind Generation Gas-Fired Generation Solar Generation Grande Prairie Fort McMurray Calgary Edmonton Alberta-Montana Intertie Alberta-SK Intertie (McNeill) Alberta-BC Intertie CETO
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Calgary Edmonton Fort Saskatchewan Fort McMurray Grande Prairie Woodfibre LNG LNG Canada Enbridge T-South Enbridge T-North NGTL Alliance Montney Oil Sands Duvernay BRITISH COLUMBIA ALBERTA Yellowhead Pipeline Salt Caverns Gas Storage Carbon Gas Storage Alberta Hub Gas Storage Coastal Gas Link Ksi Lisims LNG NGTL Strategically positioned assets 8 Growth & Prosperity Canadian Utilities Limited Q3 2025 Presentation Positioned to capitalize on data centres Diversified and strategic asset base Assets linked to LNG export Our natural gas assets are strategically positioned to capitalize on demand and production growth CUL Gas Storage Assets Data Centre Development Zones Liquefied Natural Gas Projects
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9 Yellowhead Pipeline Project Q2 2024 Project announced In-Progress Q3 2024 AUC Needs Application filed Q3 2025 AUC Needs Application approved FEED complete Long lead material procurement Q4 2025 AUC Facility Application filed Q2 2026 Regulatory and permitting complete Q3 2026 Construction start Q4 2027 Target in- service date 235 km length 1.1 Bcf/d capacity $2.9 billion investment1 Completed Growth & Prosperity Canadian Utilities Limited Q3 2025 Presentation Calgary Production Fort McMurray Edmonton/ Industrial Heartland 1. The $2.9 billion investment is a Class III estimate with an expected accuracy of +/ -20%. Treaty 6 Territory Yellowhead Pipeline Existing system flow of gas
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Natural gas storage growth 52 PJ 101 PJ 117 PJ 117 PJ 117 PJ 117 PJ 130 PJ 2020 2021 2022 2023 2024 2025E 2026E Storage Capacity (PJ) Revenue ($M) Significant revenue growth through marketing flexibility and optimization Alberta Hub acquisition (Dec ‘21) Carbon expansion Carbon and Alberta Hub expansions • Long-term natural gas production growth driven by industrial demand, power generation, LNG demand and data centres. • Greenfield storage development remains slowed, with current market contracting and pricing limiting new greenfield investment. • Existing storage facilities positioned to take advantage of market volatility. A history of consistent, incremental growth of our storage portfolio Key drivers of growth 10 1. Carbon and Alberta Hub expansion COD target of late 2026. 1 Growth & Prosperity Canadian Utilities Limited Q3 2025 Presentation
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11 Evolving energy landscape drives opportunities in Australia Canadian Utilities Limited Q3 2025 Presentation Growth & Prosperity
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12 Capitalizing on utility growth in Australia Key drivers of growth under AA61 Note: Millions of Canadian dollars. 1. Changes in new customers, customer growth, and nominal return on equity (ROE) for the 5 -year period (2025-2029) under the Sixth access arrangement (AA6). 2. Total of segments measure (as defined in NI 52 -112). The most directly comparable measure reported in accordance with Internatio nal Financial Reporting Standards (IFRS) is Earnings Attributable to Equity Owners of the Company, which was $21 million for the nine months ended September 30, 2024, and $25 million for the nine months e nded September 30, 2025. See Legal Notice – Non-GAAP and Other Financial Measures Disclosure Advisory for additional information. 8.23% nominal ROE 27% increase in customers 80,000 new customers $41 $54 YTD 2024 YTD 2025 Growth & Prosperity ATCO Gas Australia Adjusted Earnings 2 Canadian Utilities Limited Q3 2025 Presentation +3.21% vs. AA5
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13 Growth & Prosperity Financial Leadership Operational Excellence Operational Excellence Canadian Utilities Limited Q3 2025 Presentation
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5.02% 9.28% 10.60% 10.25% ATCO Gas Australia CU Inc. Utilities 14 Drive for continuous improvement Operational Excellence Canadian Utilities Limited Q3 2025 Presentation Operational Outperformance Reliability Safety1 2 3 1 1. ATCO Gas Australia achieved ROE includes impact of inflation. Approved ROE Achieved ROE FY 2024
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15 Growth & Prosperity Financial Leadership Operational Excellence Financial Leadership Canadian Utilities Limited Q3 2025 Presentation
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ATCO Energy Systems 16 5.450% fixed-to-fixed rate hybrid notes at Canadian Utilities Limited September 8, 2025 $750M 4.787% debentures issued at CU Inc. September 11, 2025 $370M • Successful inaugural hybrid offering. • 30 year non-callable for the first 10 years fixed-to-fixed rate subordinated notes. • 3.2x oversubscribed across 57 buyers. • CU Inc. remains the most active long-dated issuer in the Canadian corporate market. • 30-year senior unsecured debenture. • 2.9x oversubscribed across 39 buyers. Proceeds from issuances to be used to finance: Key offerings support growth Recent successful capital market activities align with our strategy to prudently raise diversified capital to fund future growth projects, creating value for share owners Growth including the $2.9B Yellowhead Pipeline Project General corporate purposes Repaying or refinancing existing obligations Canadian Utilities Limited Q3 2025 Presentation Financial Leadership
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ATCO Energy Systems 17 Clear path towards funding the Yellowhead Pipeline Project Canadian Utilities Limited Q3 2025 Presentation Expected Investment CUL Investment 63% 37% Canadian Utilities Limited (CUL) Indigenous Partners 30%70% Regulated Debt $2.9B $500M September 2025 Hybrid $1.8B $1.1B $326M$761M Remaining $261M to be funded with cash from operations and other potential future capital issuances Financial Leadership
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$102 $108 $4 $2 $12 ($12) Q3 2024 ATCO Energy Systems ATCO EnPower ATCO Australia Financing & Other Q3 2025 18 Note: Millions of Canadian dollars. 1. Total of segments measure (as defined in NI 52 -112). The most directly comparable measure reported in accordance with IFRS is Earnings Attributable to Equity Owners of the Company, which was $12 million for the three months ended September 30, 2024, and $100 million for the three months ended September 30, 2025. See Legal Notice – Non-GAAP and Other Financial Measures Disclosure Advisory for additional information. 2. Represents the incremental addition in adjusted earnings (loss) from Q3 2024 to Q3 2025. Adjusted earnings (loss) for each of ATCO Energy Systems, ATCO EnPower, ATCO Australia. and Financing & Other are total of segments measures (as defined in NI 52 -112). See Legal Notice – Non-GAAP and Other Financial Measures Disclosure Advisory for additional information. +6% Year-over-year growth 1 1 2 2 2 2 Q3 2025 adjusted earnings1 waterfall Financial Leadership Canadian Utilities Limited Q3 2025 Presentation
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19 ATCO Energy Systems Adjusted Earnings1 ATCO Australia Adjusted Earnings1 ATCO EnPower Adjusted Earnings1 CUL Consolidated Adjusted Earnings1 Note: Millions of Canadian dollars. 1. Total of segments measure (as defined in NI 52 -112). The most directly comparable measure reported in accordance with IFRS is Earnings Attributable to Equity Owners of the Company, which was $12 million for the three months ended September 30, 2024, and $100 million for the three months ended September 30, 2025 on a consolidated basis, $81 million for the three months ended September 30, 2024, and $80 million for the three months ended September 30, 2025 for ATCO Energy Systems, $15 million for the three months ended September 30, 2 024, and $16 million for the three months ended September 30, 2025 for ATCO EnPower, and $8 million for the three months ended September 30, 2024, and $17 million for the three months ended September 3 0, 2025 for ATCO Australia. See Legal Notice – Non-GAAP and Other Financial Measures Disclosure Advisory for additional information. $102 $108 Q3 2024 Q3 2025 $94 $98 Q3 2024 Q3 2025 $14 $16 Q3 2024 Q3 2025 $15 $27 Q3 2024 Q3 2025 $419 $468 Q3 2024 Q3 2025 Canadian Utilities Limited Q3 2025 Presentation Cash Flow from Operations Financial Leadership
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ATCO Energy Systems 20 Concluding Remarks Closing Remarks Growth & Prosperity Execution of major growth initiatives, including CETO and the Yellowhead Pipeline Project Operational Excellence Commitment to safety, reliability, and efficiency drives stability and collaboration across the business Financial Leadership Strong access to capital creates a clear path to fund upcoming projects and future growth initiatives Key takeaways Canadian Utilities culture is led by safety Canadian Utilities Limited Q3 2025 Presentation
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Questions & Answers InvestorRelations@atco.com Canadian Utilities Limited Q3 2025 Presentation 21
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22 Regulatory Developments 22 In Q3 2025, ATCO Pipelines filed its General Rate Application with the Alberta Utilities Commission to establish its revenue requirement for the 2026–2028 Period. Gas Transmission ATCO Electric Transmission is developing its 2026-2027 General Tariff Application with an expected filing date of late -November 2025. Electric Transmission Permission to Appeal the Phase II decision was granted; Phase I and Phase II appeals are combined into a single proceeding before the Alberta Court of Appeal that will be heard in April 2026. PBR 2 Reopener Appeal (Gas and Electricity Distribution) Needs Application approved in Q3 2025; in November 2025, the Facility Application was filed with the AUC and a decision is expected in Q2 2026. Yellowhead Pipeline Project Appendix Canadian Utilities Limited Q3 2025 Presentation