EPCOR Announces Quarterly Results and 2025 Dividend Increase
EDMONTON, AB, Nov. 1, 2024 /CNW/ - EPCOR Utilities Inc. (EPCOR) today filed its quarterly results for the period ended September 30, 2024.
"EPCOR's operational and financial performance was ahead of expectations for the first nine months of the year," said John Elford, EPCOR President & CEO. "We saw continued growth in the customer base in Canada and the United States, as well as weather-driven increases in water and electricity consumption in multiple markets."
"EPCOR's teams continued to execute our capital program, with a focus on utility reliability, environmental performance, and customer affordability," Mr. Elford continued. "In the first nine months of 2024, capital expenditures totalled $680 million. Based on the forecast performance of our businesses, the EPCOR dividend is being increased by 4.1% from $193 million in 2024 to $201 million in 2025."
Highlights of EPCOR's financial performance are as follows:
Net income was $131 million and $339 million for the three and nine months ended September 30, 2024, respectively, compared with net income of $118 million and $266 million for the comparative periods in 2023, respectively. The increase of $13 million and $73 million for the three and nine months ended September 30, 2024, respectively, was primarily due to fair value adjustments related to financial electricity purchase contracts, higher Adjusted EBITDA1 (as described below), partially offset by lower transmission system access service charge net collections combined with higher depreciation, income tax and finance expenses.
Adjusted EBITDA1 was $326 million and $860 million for the three and nine months ended September 30, 2024, compared with $305 million and $805 million for the comparative periods in 2023, respectively. The increase of $21 million and $55 million for the three and nine months ended September 30, 2024, respectively, was primarily due to higher rates, consumption, customer growth and commercial activity, partially offset by lower commercial construction activity and Energy Price Setting Plan margins combined with higher operating costs.
Investment in capital projects was $680 million for the nine months ended September 30, 2024, compared with $687 million for the corresponding period in 2023.
Interim management's discussion and analysis and the unaudited condensed consolidated interim financial statements are available on EPCOR's website (www.epcor.com) and SEDAR+ (www.sedarplus.ca).
EPCOR builds, owns and operates electrical, natural gas and water transmission and distribution networks, water and wastewater treatment facilities, and sanitary and stormwater systems in Canada and
