Slides
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Q3 2025 EARNINGS CONFERENCE CALL November 4, 2025
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FORWARD LOOKING INFORMATION 2 Fortis includes forward-looking information in this presentation within the meaning of applicable Canadian securities laws and forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (collectively referred to as "forward-looking information"). Forward-looking information reflects expectations of Fortis management regarding future growth, results of operations, performance and business prospects and opportunities. Wherever possible, words such as anticipates, believes, budgets, could, estimates, expects, forecasts, intends, may, might, plans, projects, schedule, should, target, will, would, and the negative of these terms, and other similar terminology or expressions have been used to identify the forward-looking information, which includes, without limitation: forecast Capital Expenditures for 2025 and 2026-2030; forecast Rate Base for 2025 and 2030 and forecast Rate Base growth rate for 2025-2030 on a consolidated basis; annual dividend growth guidance through 2030; the nature, timing, benefits and costs of certain Major Capital Projects, including ITC's investments associated with MISO LRTP Tranche 1 and Tranche 2.1, Big Cedar Load Expansion, TEP Transmission Project, Springerville Natural Gas Conversion, Black Mountain Gas Generation, Vail-to-Tortolita Transmission Project, Roadrunner Reserve Battery Storage Project, Tilbury LNG Storage Expansion, AMI Project, Tilbury 1B Project and Eagle Mountain Pipeline Project; the nature, timing, benefits and costs of additional investment opportunities, including further investments of ITC associated with the MISO LRTP Tranche 2.1 and future MISO LRTP projects, further investments of TEP required to serve data center sites under development and planned in Arizona and other potential new large retail customers in the manufacturing, data center and mining sectors, further investments of TEP and UNS Electric associated with new IRPs expected to be filed in 2026, further investments of FortisBC in association with further expansion of the Tilbury LNG facility, and other opportunities, including transmission investments to support customer connections and grid modernization, further renewable gas and LNG infrastructure, grid resiliency and climate adaptation investments, and the acceleration of load growth and cleaner energy infrastructure investments; expected sources of funding for the 2026-2030 Capital Plan, including sources of common equity proceeds; the expectation that the funding plan supports average cash flow to debt metrics over 12% through the period; forecast Capital Expenditures for 2026- 2030 by business unit; forecast Rate Base for 2025-2030 and forecast five-year Rate Base CAGR to 2030 by business unit; the expected timing, outcome and impact of legal and regulatory proceedings; the expectation of having a coal-free generation mix by 2032; the 2050 GHG emissions net-zero target; and forecast debt maturities for 2025-2034. Forward-looking information involves significant risks, uncertainties and assumptions. Certain material factors or assumptions have been applied in drawing the conclusions contained in the forward-looking information including, without limitation: reasonable legal and regulatory decisions and the expectation of regulatory stability; the successful execution of the Capital Plan; no material capital project or financing cost overrun; sufficient human resources to deliver service and execute the Capital Plan; the realization of additional opportunities beyond the Capital Plan; no significant variability in interest rates; no material changes in the assumed U.S. dollar- to-Canadian dollar exchange rate; the Board exercising its discretion to declare dividends, taking into account the financial performance and condition of the Corporation; no significant operational disruptions or environmental liability or upset; the continued ability to maintain the performance of the electricity and gas systems; no severe and prolonged economic downturn; sufficient liquidity and capital resources; the ability to hedge exposures to fluctuations in foreign exchange rates, natural gas prices and electricity prices; the continued availability of natural gas, fuel, coal and electricity supply; continuation of power supply and capacity purchase contracts; no significant changes in government energy plans, environmental laws and regulations that could have a material negative impact; maintenance of adequate insurance coverage; the ability to obtain and maintain licenses and permits; retention of existing service areas; no significant changes in tax laws and the continued tax deferred treatment of earnings from the Corporation's foreign operations; continued maintenance of information technology infrastructure and no material breach of cybersecurity; continued favourable relations with Indigenous Peoples; and favourable labour relations. Fortis cautions readers that a number of factors could cause actual results, performance or achievements to differ materially from the results discussed or implied in the forward-looking information. These factors should be considered carefully and undue reliance should not be placed on the forward-looking information. For additional information with respect to certain of these risks or factors, reference should be made to the continuous disclosure materials filed from time to time by the Corporation with Canadian securities regulatory authorities and the Securities and Exchange Commission. All forward-looking information herein is given as of the date of this presentation. Fortis disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Unless otherwise specified, all financial information is in Canadian dollars and rate base refers to midyear rate base. Note: U.S. dollar-denominated five-year Capital Plan and forecast rate base converted at a forecast USD:CAD foreign exchange rate of 1.35 for 2026-2030.
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David Hutchens President and Chief Executive Officer, Fortis Inc. Jocelyn Perry EVP and Chief Financial Officer, Fortis Inc.
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Q3 2025 BUSINESS HIGHLIGHTS 4 Delivered Safe & Reliable Service Top Quartile Safety and Reliability Relative to Industry Peers Capital Expenditures of $4.2B Through YTD September 2025 Capital Forecast Now $5.6B Q3 2025 Actual EPS of $0.81 & Adjusted EPS of $0.87 Compared to $0.85 in Q3 2024 Disposition of Assets Completed Sales of FortisTCI and Belize Assets New $28.8B 2026-2030 Capital Plan Largest in Fortis History Q4 Dividend Increase of ~4% 52 Consecutive Years of Increases in Dividends Paid Note: Capital Expenditures and Adjusted EPS are Non-U.S. GAAP Financial Measures. Refer to Slide 22 for the Non-U.S GAAP Reconciliation.
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FIVE-YEAR PLAN AT A GLANCE 5 Capital Expenditures Rate Base Growth Dividend Growth 4% 7% 5-Year CAGR 4-6% Annual Dividend Growth Guidance Extended to 2030 2026-2030 Capital Plan Continued Focus on Customer Affordability $28.8B 50 bps$2.8B Over Prior Capital Plan Over Prior Plan Increase in Q4 2025 Dividend
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$26.0B +$2.0B $1.0B ($0.9B) +$0.1B +$0.6B $28.8B 2025-2029 Capital Plan 2026-2030 Capital Plan Generation Foreign Exchange (1) 2026-2030 CAPITAL PLAN DRIVEN BY TRANSMISSION INVESTMENTS 6 Incremental Capital Drivers (1) UNS Energy’s five-year capital plan does not include generation investments to accommodate load growth associated with potential data centers. Refer to Slide 9 for more details. (2) Reflects a USD:CAD exchange rate of 1.35 for the 2026-2030 Capital Plan and 1.30 for the prior 2025-2029 Capital Plan. ITC New interconnections, MISO LRTP and baseline reliability projects UNS Higher transmission and distribution investments driven by new transmission project at TEP to increase reliability and accommodate load growth; lower generation investments primarily driven by coal to natural-gas conversion at Springerville Generating Station resulting in customer savings relative to new energy resources assumed in the prior plan; new IRPs at TEP and UNSE to be filed in 2026 Other Regulated Utility Growth Foreign Exchange Transmission & Distribution $2.8B Plan-over-Plan Other Regulated Utilities (2)
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Capital Plan HIGHLY EXECUTABLE, LOW-RISK CAPITAL PLAN SUPPORTS AVERAGE ANNUAL RATE BASE GROWTH OF 7% 7 • 100% Regulated Capital • 21% Major Capital Projects • 63% U.S., 35% Canada, 2% Caribbean Transmission 46% Distribution 31% Generation 7% Renewable Gas/LNG 5% Other (1) 11% Capital Plan By Asset Type 5-Year Capital Plan $28.8B 2026-2030 (1) Largely related to information technology and facility investments. Consolidated Rate Base ↑ $16B or 7% CAGR 2025F 2030F Independent Electric Transmission (ITC) U.S. Electric & Gas Canadian & Caribbean Electric & Gas $41.9B $57.9B Note: Reflects a USD:CAD exchange rate of 1.35 for the 2026-2030 Capital Plan. U.S. dollar-denominated rate base converted at a USD:CAD foreign exchange rate of 1.38 for 2025 and 1.35 for 2026-2030. CAGR is calculated on a constant foreign exchange rate basis.
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8 2026-2030 Capital Plan ITC – ROBUST FERC TRANSMISSION BUILDOUT UNDERWAY • Infrastructure Investments Reliability and resiliency upgrades, increased capacity, etc. • MISO LRTP Tranche 1 ~US$1.3B included • MISO LRTP Tranche 2.1 ~US$0.4B included • Customer Connections Includes the connection of 1,600 MW for the Big Cedar Load Expansion project (~US$0.4B) in Iowa and multiple projects supporting economic development, load growth and changes in generation interconnections • Grid Security • MISO LRTP Tranche 2.1 For projects in Michigan and Minnesota where ROFRs are in effect and system upgrades in Iowa; US$3.3-$3.8B post-2030 • MISO LRTP Tranche 2.1 Competitively Bid Projects Any projects awarded to ITC as a result of the competitive bidding process would be incremental to the above Tranche 2.1 estimate • Customer Connections Potential for over 8,000 MW of load growth for proposed data centers and economic growth in various stages of development • Future MISO LRTP Projects Opportunities Above and Beyond the Plan Current five-year capital plan of $9.8B supporting ~8% rate base CAGR with opportunities beyond 2030 for MISO LRTP Tranche 2.1
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UNS ENERGY – NEW ERA OF ELECTRICITY DEMAND APPROACHING 9 2026-2030 Capital Plan • Transmission Investments Reliability and resiliency upgrades, increased capacity as well as a new 345kV transmission line at TEP (US$450M) and Vail-to-Tortolita project (US$0.1B) • Distribution/Other Investments Customer meter infrastructure and grid resiliency and modernization projects • Generation Investments Includes TEP’s Springerville Natural Gas Conversion project (US$0.2B) and UNSE Black Mountain Gas Generation project (US$0.3B) along with various renewable and maintenance projects Opportunities Above and Beyond the Plan • TEP Retail Load Growth Negotiations ongoing for a full build at an initial site for a total of 600 MW. Additional capacity may be required at a subsequent site (500-700 MW). If negotiations are finalized, incremental generation of ~US$1.5-$2.0B would be required through 2030 • Additional Retail Load Growth Driven by potential new large retail customers in manufacturing, data center, and mining sectors • Integrated Resource Plans Next IRPs to be filed in 2026 • FERC Regulated Transmission Investments Current five-year capital plan of $5.6B supports ~7% rate base CAGR with tangible opportunities incremental to the five-year plan associated with retail load growth 300 300 600 500 - 700 1,100 - 1,300 Contracted Load at Initial Site Active Negotiations at Initial Site Total at Initial Site Active Negotiations at Site 2 Total Load at Initial & Site 2 Potential Retail Load Growth Opportunities (MW) Agreement Structure • Benefit existing customers • Promote overall reliability • Consistent with TEP’s current IRP , including solar and storage projects currently in development
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10 FORTISBC – NATURAL GAS INFRASTRUCTURE IN FOCUS 2026-2030 Capital Plan • Reliability & Integrity Includes customer growth and general plant investments • LNG Projects Includes Tilbury 1B ($0.3B), Tilbury LNG Storage Expansion ($0.6B) and Eagle Mountain Pipeline Project ($0.3B) • Advanced Metering Infrastructure ($0.5B) • Renewable Gases Opportunities Above and Beyond the Plan • Tilbury LNG Storage Expansion Upside BCUC approval received in October 2025; capital plan assumes smaller tank size. Potential upside of ~$0.3B; contingent on an environmental assessment which is expected in 2026 • Tilbury LNG Expansion Marine bunkering and resiliency expansion including Tilbury 1B and Tilbury Phase 2 LNG expansion • Renewable Gases • Customer & Load Growth In electric service territory for Okanagan infrastructure upgrades to meet capacity constraints Current five-year capital plan of $4.9B supports ~6% rate base CAGR with potential opportunities beyond the plan within the 2030 timeframe for Tilbury LNG Expansion
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ABOVE AND BEYOND THE PLAN 11 2026-2030 Opportunities to Expand Growth ITC • Customer Connections UNS • TEP Retail Load Growth FortisBC • Tilbury LNG Storage Expansion Upside • Tilbury LNG Expansion 2031-2035 Opportunities to Extend Growth ITC • LRTP Tranche 2.1 • LRTP Tranche 2.1 Competitively Bid Projects • Customer Connections • Future MISO LRTP Projects UNS • Additional Retail Load Growth • Integrated Resource Plan Investments • Transmission Investments FortisBC • Tilbury LNG Expansion • Regional Transmission • Customer & Load Growth Investments
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73 75 77 79 81 83 85 87 89 91 93 95 97 99 01 03 05 07 09 11 13 15 17 19 21 23 25 4-6% Annual Dividend Growth Guidance through 2030 52 Years of Consecutive Increases in Dividends Paid DIVIDEND GUIDANCE SUPPORTED BY LONG-TERM GROWTH STRATEGY F ~4% Dividend Increase in Q4 2025 12
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THIRD QUARTER AND YEAR-TO-DATE RESULTS 13 $2.45 $2.57 $0.06 $2.63 YTD 2024 Actual & Adjusted EPS YTD 2025 Actual EPS Disposition of FortisTCI YTD 2025 Adjusted EPS $0.85 $0.81 $0.06 $0.87 Q3 2024 Actual & Adjusted EPS Q3 2025 Actual EPS Disposition of FortisTCI Q3 2025 Adjusted EPS Third Quarter Year-to-Date Adjusted EPS growth driven by strong regulated utility performanceAdjusted EPS ↑ $0.02 Adjusted EPS ↑ $0.18 Note: Adjusted EPS is a Non-U.S. GAAP financial measure. Refer to Slide 22 for the Non-U.S. GAAP reconciliation.
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$0.85 $0.03 $0.02 $0.01 $0.01 ($0.03) ($0.02) $0.87 Q3 2024 Actual & Adjusted Basic EPS U.S. Electric & Gas U.S. Transmission (ITC) Western Canadian Electric & Gas Foreign Exchange Corporate & Other Weighted Average Shares Q3 2025 Adjusted Basic EPS Q3 2025 Adjusted EPS $0.02 compared to Q3 2024 Q3 2025 ADJUSTED EPS DRIVERS 14 (1) Includes UNS Energy and Central Hudson. (2) Includes FortisBC Energy, FortisAlberta and FortisBC Electric. (3) Reflects the change in the average U.S. dollar-to-Canadian dollar exchange rate. (1) (2) (3) Note: Adjusted EPS is a Non-U.S. GAAP financial measure. Refer to Slide 22 for the Non-U.S. GAAP reconciliation.
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$2.45 $0.09 $0.05 $0.03 $0.03 $0.06 ($0.04) ($0.04) $2.63 YTD 2024 Actual & Adjusted Basic EPS U.S. Electric & Gas Western Canadian Electric & Gas U.S. Transmission (ITC) Other Electric Foreign Exchange Corporate & Other Weighted Average Shares YTD 2025 Adjusted Basic EPS YEAR-TO-DATE SEPTEMBER 2025 ADJUSTED EPS DRIVERS 15 (1) Includes UNS Energy and Central Hudson. (2) Includes FortisBC Energy, FortisAlberta and FortisBC Electric. (3) Reflects the change in the average U.S. dollar-to-Canadian dollar exchange rate and the revaluation of U.S. dollar denominated liabilities. (1) (2) (3) YTD 2025 Adjusted EPS $0.18 compared to YTD 2024 Note: Adjusted EPS is a Non-U.S. GAAP financial measure. Refer to Slide 22 for the Non-U.S. GAAP reconciliation.
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In Q3, issued $750M Hybrids at Fortis Inc. at 5.1% and completed asset disposition of FortisTCI • Proceeds used to repay Corporate credit facilities including term loan A-(2) Baa3 A (low) BBB+ Negative Credit Ratings & Outlooks Stable Stable Stable $3.9B $3.9B $2.4B $1.9B December 31, 2024 September 30, 2025 Unutilized Utilized Credit Facilities (1) In September 2025, the Corporation fully repaid its unsecured US$250M non-revolving term credit facility primarily with the proceeds from the sale of FortisTCI. (2) S&P rating reflects the issuer credit rating. Fortis’ unsecured debt rating is BBB+. $6.3B $5.8B(1) 16 LIQUIDITY & CREDIT RATINGS
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17 A BALANCED APPROACH TO FUNDING GROWTH Cash from Operations 59% Equity 11% Net Debt 30% 5-Year Capital Plan $28.8B 2026-2030 Equity Funding Plan • Reflects Corporation’s DRIP at current participation levels and ESPP • No discrete equity outside of DRIP required to fund base capital plan • Balance of equity funding satisfied from asset sales and hybrid issuance • $500M ATM program available for flexibility as required • Funding plan supports existing investment-grade credit ratings (1) Non-U.S. GAAP financial measure. Reflects cash from operating activities, net of dividends, and including customer contributions. (2) Net debt reflects regulated and holding company debt issuances, net of repayments. (3) Cash Flow to Debt Metrics calculated in accordance with rating agency methodology. CAPITAL STRUCTURE EXPECTED TO REMAIN CONSISTENT OVER PLANNING PERIOD (1) Improving Cash Flow to Debt Metrics(3) (2) 11.8% 2025F 2030F 11.1% 2025F 2030F 12.0% Threshold 11.0% Threshold 12.2% 5-YR Avg. 12.4% 5-YR Avg.
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18 • In August 2025, the PSC approved a three-year rate plan with retroactive application to July 1, 2025, including the continuation of a 9.5% allowed ROE and a 48% common equity component of capital structure • The three-year rate plan also reflects the use of existing regulatory balances and other measures to reduce customer bill impacts, as well as initiatives to support New York States's energy conservation emission reduction goals General Rate Application • In August 2025, the PSC issued an order which accepted a joint settlement agreement and concluded the enforcement proceeding in connection with a gas-related explosion that occurred in November 2023 • As part of the order, Central Hudson agreed to make a contribution to a customer benefit fund of US$5M and a gas safety protocol remediation fund of US$2.5M Enforcement Proceeding RECENT REGULATORY ACTIVITY
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WHY INVEST IN FORTIS? 19 Sustainable Growth Low-Risk • Strong Rate Base Growth • Robust Transmission Pipeline • Transparent Funding Plan • Cleaner Energy Transition • 4-6% Annual Dividend Growth • Investment-Grade Credit Ratings • Strong Governance • Regulatory & Geographic Diversity • Constructive Regulatory Relationships • Local Business Model • 100% Regulated Utilities • Primarily Transmission & Distribution Assets Focused on Executing and Providing Safe, Reliable & Affordable Service
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Expected Earnings Release Dates Q4 2025 – February 12, 2026
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APPENDIX
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NON-U.S. GAAP RECONCILIATION 22 (1) Reflects income taxes and closing costs associated with the disposition of FortisTCI, included in the Corporate and Other segment. (2) Represents contributions in aid of construction received for the Eagle Mountain Pipeline project, included in the FortisBC Energy segment. (3) Represents Fortis' 39% share of capital spending during the construction of the Wataynikaneyap Transmission Power project, included in the Other Electric segment. Construction was completed in Q2 2024. ($MILLIONS, EXCEPT EPS) Q3 2025 Q3 2024 VARIANCE YTD SEPT. 2025 YTD SEPT. 2024 VARIANCE Adjusted Net Earnings Net Earnings 409 420 (11) 1,292 1,210 82 Adjusting item: Disposition of FortisTCI(1) 32 - 32 32 - 32 Adjusted Net Earnings 441 420 21 1,324 1,210 114 Adjusted Net Earnings per Share $0.87 $0.85 $0.02 $2.63 $2.45 $0.18 Capital Expenditures Additions to property, plant and equipment 1,362 1,248 114 4,324 3,383 941 Additions to intangible assets 91 52 39 216 142 74 Adjusting items: Eagle Mountain Pipeline Project(2) (137) - (137) (369) - (369) Wataynikaneyap Transmission Power Project(3) - - - - 29 (29) Capital Expenditures 1,316 1,300 16 4,171 3,554 617
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THIRD QUARTER RESULTS BY SEGMENT 23 (1) Non-U.S. GAAP financial measure. Refer to Slide 22 for the Non-U.S. GAAP reconciliation. Third Quarter Earnings Variance Analysis by Business Unit ($MILLIONS, EXCEPT WEIGHTED AVERAGE SHARES AND EPS) Q3 2025 ADJUSTMENT ADJUSTED Q3 2025 (1) Q3 2024 ADJUSTMENT ADJUSTED Q3 2024(1) VARIANCE Regulated – Independent Electric Transmission ITC 149 - 149 138 - 138 11 Regulated – U.S. Electric & Gas UNS Energy 209 - 209 204 - 204 5 Central Hudson 31 - 31 20 - 20 11 240 - 240 224 - 224 16 Regulated – Canadian & Caribbean Electric & Gas FortisBC Energy - - - (4) - (4) 4 FortisAlberta 54 - 54 54 - 54 - FortisBC Electric 15 - 15 14 - 14 1 Other Electric 41 - 41 39 - 39 2 110 - 110 103 - 103 7 Corporate and Other (90) 32 (58) (45) - (45) (13) Common Equity Earnings 409 32 441 420 - 420 21 Weighted Average Shares (# millions) 504.5 - 504.5 496.2 - 496.2 8.3 EPS $0.81 $0.06 $0.87 $0.85 - $0.85 $0.02
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YEAR-TO-DATE SEPTEMBER RESULTS BY SEGMENT 24 (1) Non-U.S. GAAP financial measure. Refer to Slide 22 for the Non-U.S. GAAP reconciliation. Year-to-Date September Earnings Variance Analysis by Business Unit ($MILLIONS, EXCEPT WEIGHTED AVERAGE SHARES AND EPS) YTD SEPT. 2025 ADJUSTMENT ADJUSTED YTD SEPT. 2025 (1) YTD SEPT. 2024 ADJUSTMENT ADJUSTED YTD SEPT. 2024 (1) VARIANCE Regulated – Independent Electric Transmission ITC 442 - 442 415 - 415 27 Regulated – U.S. Electric & Gas UNS Energy 394 - 394 396 - 396 (2) Central Hudson 121 - 121 62 - 62 59 515 - 515 458 - 458 57 Regulated – Canadian & Caribbean Electric & Gas FortisBC Energy 202 - 202 173 - 173 29 FortisAlberta 132 - 132 139 - 139 (7) FortisBC Electric 57 - 57 54 - 54 3 Other Electric 129 - 129 111 - 111 18 520 - 520 477 - 477 43 Corporate and Other (185) 32 (153) (140) - (140) (13) Common Equity Earnings 1,292 32 1,324 1,210 - 1,210 114 Weighted Average Shares (# millions) 502.5 - 502.5 493.9 - 493.9 8.6 EPS $2.57 $0.06 $2.63 $2.45 - $2.45 $0.18
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2026-2030 CAPITAL PLAN BY BUSINESS UNIT 25 Capital Plan ($MILLIONS) 2026F 2027F 2028F 2029F 2030F 2026-2030 TOTAL Independent Electric Transmission ITC 1,874 1,898 2,008 2,083 1,980 9,843 U.S. Electric & Gas UNS Energy 1,281 1,014 940 1,413 983 5,631 Central Hudson 466 438 509 551 573 2,537 Total U.S. Electric & Gas 1,747 1,452 1,449 1,964 1,556 8,168 Canadian & Caribbean Electric & Gas FortisBC Energy 712 1,134 753 637 580 3,816 FortisAlberta 614 665 716 763 721 3,479 FortisBC Electric 207 244 227 230 220 1,128 Other Electric 462 475 506 528 433 2,404 Canadian & Caribbean Electric & Gas 1,995 2,518 2,202 2,158 1,954 10,827 Total Capital Plan 5,616 5,868 5,659 6,205 5,490 28,838 Note: U.S. dollar-denominated capital expenditures converted at a USD:CAD foreign exchange rate of 1.35.
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MAJOR CAPITAL PROJECTS 26 Note: Projects, other than ongoing maintenance projects, individually costing $200M or more in the forecast/planning period. Major Capital Projects 21% Base Utility Capex (Smaller Projects) 79% $28.8B Capital Plan 2026-2030 (1) Includes capital expenditures of US$1.3B for Tranche 1 for the forecast period 2026-2030. (2) Includes capital expenditures of US$400M for Tranche 2.1 for the forecast period 2026-2030. US$3.3B – US$3.8B expected beyond 2030 and excludes projects subject to a competitive bidding process. (3) Net of customer contributions. ($ Millions) 2025F 2026- 2030F Expected Completion Date ITC MISO LRTP Tranche 1(1) 208 1,776 2030 MISO LRTP Tranche 2.1(2) 1 536 Post-2030 Big Cedar Load Expansion (NEW) 90 472 2028 UNS Energy TEP Transmission Project (NEW) - 608 2029 Springerville Natural-Gas Conversion (NEW) - 238 2030 Black Mountain Gas Generation (NEW) 30 366 2028 Vail-to-Tortolita Transmission Project 131 158 2027 FortisBC Energy Tilbury LNG Storage Expansion 4 628 Post-2030 AMI Project 159 547 2028 Tilbury 1B Project 20 334 2030 Eagle Mountain Pipeline Project(3) 8 280 2027
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OVERVIEW OF NEW MAJOR CAPITAL PROJECTS 27 Project Description Big Cedar Load Expansion • Transmission upgrades to serve up to 1,600 MW of new data center load at the Big Cedar Industrial Center • Phase 1 requires transmission upgrades to support 800 MW of new load; targeted in -service date of 2027 • Phase 2 requires an additional 800 MW; expected in-service date of 2028 • MISO approved the project in October 2024; franchise approvals from the Iowa Utilities Commission are also required prior to construction TEP Transmission Project • Reflects a planned transmission project to increase reliability and accommodate load growth, by providing a path for connecting future generation investments • Project is expected to be completed in 2029 Springerville Natural-Gas Conversion • Conversion of 793 MW of coal-fired generation at TEP's Springerville Generating Station to natural gas-fired generation with similar capacity by 2030 • Will be filed with the ACC as part of TEP’s 2026 IRP Black Mountain Gas Generation • Expansion of the existing Black Mountain Generation Station owned and operated by UNS Electric to support rising capacity demands in the service territory • The expansion will include four gas turbines, each with a nominal capacity of 48 MW, a 230 kV substation, and a 230 kV interconnection • Project is scheduled for completion in 2028
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2025-2030 RATE BASE BY BUSINESS UNIT 28 Rate Base ($BILLIONS) 2025F 2026F 2027F 2028F 2029F 2030F 5-YEAR CAGR TO 2030 Independent Electric Transmission ITC (1) 13.7 14.6 15.9 17.1 18.4 19.8 8.1% U.S. Electric & Gas UNS Energy 8.2 8.9 9.6 10.2 11.0 11.5 7.4% Central Hudson 3.7 4.0 4.2 4.4 4.7 5.0 6.6% U.S. Electric & Gas 11.9 12.9 13.8 14.6 15.7 16.5 7.1% Canadian & Caribbean Electric & Gas FortisBC Energy 6.5 6.8 7.4 8.2 8.4 8.8 6.3% FortisAlberta 4.6 4.8 5.1 5.4 5.7 5.9 5.1% FortisBC Electric 1.8 1.9 2.0 2.1 2.2 2.3 5.4% Other Electric 3.4 3.7 3.9 4.2 4.4 4.6 6.0% Canadian & Caribbean Electric & Gas 16.3 17.2 18.4 19.9 20.7 21.6 5.9% Total Rate Base Forecast 41.9 44.7 48.1 51.6 54.8 57.9 7.0% Note: U.S. dollar-denominated rate base converted at a USD:CAD foreign exchange rate of 1.38 for 2025 and 1.35 for 2026-2030. CAGR is calculated on a constant foreign exchange rate basis. (1) Fortis has an 80.1% controlling ownership interest in ITC; rate base represents 100% ownership.
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ONGOING REGULATORY PROCEEDINGS 29 Transmission Incentives In 2021, FERC issued a supplemental NOPR proposing to eliminate the 50-bps RTO adder for transmission owners that have been RTO members for longer than three years; the timing and outcome of this proceeding are unknown TEP General Rate Application In June 2025, TEP filed a general rate application with the ACC requesting an increase in rates effective September 1, 2026 using a December 31, 2024 test year with post-test year adjustments through June 30, 2025; the application seeks an allowed ROE of 10.5% and 55.48% common equity ratio; application includes a request for the use of an annual formulaic rate adjustment mechanism following the ACC's approval of a formula rate policy statement; the outcome of this proceeding is unknown UNS Gas General Rate Application In November 2024, UNS Gas filed a general rate application with the ACC requesting an increase in gas delivery rates effective February 1, 2026; the application seeks an allowed ROE of 10.25% and 55.55% common equity ratio; in January 2025, UNS Gas filed supplemental material proposing an annual formulaic rate adjustment mechanism following the ACC's approval of a formula rate policy statement; the outcome of this proceeding is unknown Third PBR Term Decision In 2023, the AUC issued a decision establishing the parameters for the third PBR term for 2024-2028; FortisAlberta sought permission to appeal the decision to the Court of Appeal on the basis that the AUC erred in its decision to determine capital funding using 2018-2022 historical capital investments without consideration for funding of new capital programs included in the company's 2023 COS revenue requirement as approved by the AUC; in March 2025, the Court of Appeal granted FortisAlberta permission to appeal, which is expected to be heard in Q1 2026
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30 Integrating climate risk with business planning Reducing emissions and advancing cleaner energy goals Strengthening governance foundations Partnering with local communities • Conducted corporate-wide scenario analyses to evaluate future climate scenarios and the potential impact on priority assets • Explore details in the 2024 Climate Report, with an update coming in 2026 • Committed to a coal-free generation mix by 2032; 2050 net-zero goal • Achieved a 34% reduction in scope 1 emissions (2019-2024) • The GHG intensity of delivered energy has consistently decreased over the last five years, reaching its lowest level in 2024 • A governance model grounded in local leadership and independence • Executive compensation linked to climate and sustainability initiatives • 50% of Fortis board members are women; 2 of 12 identify as a visible minority • Partnered with First Nations communities in northern Ontario to connect 17 remote communities to the power grid • $15M of community investment in 2024; more than $60M over the last five years • $224M on energy efficiency customer programs in 2024 – the highest spending level ever SUSTAINABILITY PRIORITIES OUR SUSTAINABILITY STRATEGY GROUNDED IN BUSINESS FUNDAMENTALS
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Q3 2025 SALES TRENDS 31 (1) Excludes wholesale sales at UNS Energy. Other Electric CHANGE IN RETAIL ENERGY SALES Q3 2025 vs. Q3 2024 SALES TRENDS N/A • Peak load up 2% primarily due to warmer weather in Michigan +1% • Higher average use by industrial customers -3% • Lower average consumption by residential and C&I customers -3% • Lower average consumption by C&I customers, partially offset by higher residential sales due to customer additions -9% • Lower average gas consumption by transportation and residential customers, partially offset by higher average consumption by industrial customers +3% • Higher average electric consumption by C&I customers, partially offset by lower average electric consumption by residential customers due to milder weather -1% • Primarily due to disposition of FortisTCI (1)
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32 SENSITIVITY EXPOSURE & HEDGING (1) Non-U.S. GAAP financial measure for year ended December 31, 2024. Excludes Net Expenses of Corporate and Other segment. (2) As of September 30, 2025, the contracts had a combined notional value of US$427M. Foreign Exchange ROE & Equity Ratio ROE +/- 25 bps Equity +/- 100 bps ITC $0.040 $0.035 UNS Energy $0.025 $0.020 FortisBC $0.020 $0.020 Central Hudson $0.010 $0.010 FortisAlberta $0.010 $0.010 • Assumed USD:CAD FX rate of 1.35 for 2026-2030 Capital Plan • ~65% of regulated earnings(1)/ 65% of capital plan in USD at U.S. & Caribbean Utilities • +/- $0.05 change in USD:CAD ▪ Five-year capital plan: $700M ▪ EPS: ~$0.05, inclusive of hedging activities Hedging Activities • FX contracts (primarily forwards and collars)(2) • US$1.5B in U.S. dollar-denominated debt outstanding at Fortis Inc. as a natural hedge • ~US$400M cross-currency interest rate swaps
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LONG-TERM DEBT MATURITIES 33 $- $0.5 $1.0 $1.5 $2.0 $2.5 2025F 2026F 2027F 2028F 2029F 2030F 2031F 2032F 2033F 2034F Non-Regulated Regulated billions 10-Year Debt Maturities (1) Includes non-regulated debt maturities at Fortis Inc. and ITC Holdings. (1) Note: U.S. dollar-denominated debt translated at September 30, 2025 USD:CAD closing foreign exchange rate of 1.39.
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34 STRONG INVESTMENT-GRADE CREDIT RATINGS (1) S&P credit ratings for Fortis Inc. and ITC Holdings Corp. reflect the issuer credit ratings. The unsecured debt rating for Fortis Inc. and ITC Holdings Corp. is BBB+. Company Fortis Inc. A-(1) A (low) BBB+ Baa3 ITC Holdings Corp. A-(1) n/a n/a Baa2 ITC Regulated Subsidiaries A+ n/a n/a A1 TEP A- n/a n/a A3 Central Hudson BBB+ n/a BBB Baa1 FortisBC Energy n/a A n/a A3 FortisBC Electric n/a A (low) n/a Baa1 FortisAlberta A- A (low) n/a Baa1 Newfoundland Power n/a A n/a A2 34
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GLOSSARY 35 ACC Arizona Corporation Commission AMI Advanced Metering Infrastructure ATM At-the-market equity program AUC Alberta Utilities Commission Avg. Average Board Board of Directors of the Corporation Caribbean Utilities Caribbean Utilities Company, Ltd., an indirect approximately 60%-owned (as at December 31, 2024) subsidiary of Fortis, together with its subsidiary CAGR compound average growth rate of a particular item. CAGR = (EV/BV) 1-N -1, where: (i) EV is the ending value of the item; (ii) BV is the beginning value of the item; and (iii) N is the number of periods. Calculated on a constant U.S. dollar to Canadian dollar exchange rate Capital Expenditures cash outlay for additions to property, plant and equipment and intangible assets as shown in the Interim Financial Statements, less CIACs received by FortisBC Energy associated with the Eagle Mountain Pipeline project. Also includes Fortis' 39% share of capital spending for the Wataynikaneyap Transmission Power project in 2024. See "Non-US GAAP Financial Measures" in the Q3 2025 MD&A. Capital Plan forecast Capital Expenditures. Represents a non-U.S. GAAP financial measure calculated in the same manner as Capital Expenditures Central Hudson CH Energy Group, Inc., an indirect wholly owned subsidiary of Fortis, together with its subsidiaries, including Central Hudson Gas & Electric Corporation CFO Cash from operating activities Corporation Fortis Inc. COS Cost of Service Court of Appeal Court of Appeal of Alberta C&I Commercial & Industrial DRIP dividend reinvestment plan EPS earnings per common share ESPP Employee Share Purchase Plan EVP Executive Vice President FERC Federal Energy Regulatory Commission Fitch Ratings Fitch Ratings Inc. Fortis Fortis Inc. FortisAlberta FortisAlberta Inc., an indirect wholly owned subsidiary of Fortis FortisBC FortisBC Energy and FortisBC Electric FortisBC Electric FortisBC Inc., an indirect wholly owned subsidiary of Fortis, together with its subsidiaries FortisBC Energy FortisBC Energy Inc., an indirect wholly owned subsidiary of Fortis, together with its subsidiaries FortisOntario FortisOntario Inc., a direct wholly owned subsidiary of Fortis, together with its subsidiaries FortisTCI FortisTCI Limited, an indirect wholly owned subsidiary of Fortis, together with its subsidiary, sold on September 2, 2025 FX foreign exchange associated with the translation of U.S. dollar-denominated amounts. Foreign exchange is calculated by applying the change in the U.S.-to-Canadian dollar FX rates to the prior period U.S. dollar balance. GHG greenhouse gas IRP Integrated Resource Plan ITC ITC Investment Holdings Inc., an indirect 80.1%-owned subsidiary of Fortis, together with its subsidiaries, including International Transmission Company, Michigan Electric Transmission Company, LLC, ITC Midwest LLC, and ITC Great Plains, LLC kV Kilovolt LNG liquefied natural gas LRTP Long-Range Transmission Plan Major Capital Projects projects, other than ongoing maintenance projects, individually costing $200M or more MD&A the Corporation's management discussion and analysis MISO Midcontinent Independent System Operator, Inc. Moody's Moody's Investor Services, Inc. Morningstar DBRS DBRS Limited MW megawatt(s) Newfoundland Power Newfoundland Power Inc., a direct wholly owned subsidiary of Fortis Non-U.S. GAAP Financial Measure financial measures that do not have a standardized meaning prescribed by U.S. GAAP NOPR notice of proposed rulemaking PBR performance-based rate-setting PSC New York State Public Service Commission Rate Base the stated value of property on which a regulated utility is permitted to earn a specified return in accordance with its regulatory construct ROE rate of return on common equity ROFR right of first refusal RTO regional transmission organization S&P Standard & Poor's Financial Services LLC TEP Tucson Electric Power Company, a direct wholly owned subsidiary of UNS Energy U.S. United States of America U.S. GAAP accounting principles generally accepted in the U.S. UNS UNS Energy Corporation, an indirect wholly owned subsidiary of Fortis, together with its subsidiaries, including TEP, UNS Electric, Inc. and UNS Gas, Inc. UNS Electric / UNSE UNS Electric, Inc. UNS Gas UNS Gas, Inc. USD:CAD U.S. Dollar to Canadian Dollar foreign exchange rate Wataynikaneyap Partnership Wataynikaneyap Power Limited Partnership YTD Year-to-date