Revenue Performance
Algonquin Power & Utilities Corp. reported fourth-quarter 2025 revenue of $630.7 million, compared with $584.8 million in the corresponding period of 2024. Net earnings attributable to common shareholders for the quarter were $29.4 million, or $0.04 per share, compared with a net loss of $110.2 million, or $(0.14) per share, in the fourth quarter of 2024. Adjusted net earnings for the quarter were $47.2 million, equivalent to $0.06 per share, broadly in line with adjusted net earnings of $42.5 million, or $0.06 per share, reported in the same period of the prior year. For the full year ended 31 December 2025, the company reported net earnings of $208.0 million, or $0.27 per common share, and adjusted net earnings of $258.8 million, or $0.34 per share. These results compare with net earnings of $55.7 million, or $0.07 per share, and adjusted net earnings of $221.6 million, or $0.30 per share, in 2024. The company attributed the improved full-year performance primarily to operational efficiencies, regulatory progress across utility operations, and reduced interest expenses following debt repayment initiatives.
Profitability and Segment Performance
The Regulated Services Group remained the primary earnings driver, reporting fourth-quarter net earnings of $73.6 million compared with $60.5 million in the same quarter of 2024. For the full year, the segment generated $351.0 million in net earnings, an increase of $90.9 million from $260.1 million in 2024. Growth was supported by implementation of approved customer rate increases totaling $41.6 million across electric, gas, and water utilities, favorable weather impacts, and lower interest expense following the repayment of debt using proceeds from asset sales. These benefits were partially offset by higher operating expenses and depreciation, including costs associated with customer relief initiatives and a write-off related to a discontinued solar project.
Operational Highlights
Operational improvements included reductions in operating expenses as a percentage of gross revenue to approximately 35.8% in 2025 from 37.7% in 2024 and an increase in earned return on equity to approximately 6.8% from 5.5%. The company also strengthened its balance sheet through the sale of its renewable energy business, generating approximately $1.6 billion in net proceeds used primarily to repay debt. The Regulated Services Group served roughly 1.27 million customer connections at year-end 2025 across electric, natural gas, and water utilities. Total utility rate base reached approximately $8.24 billion, led by electric assets representing about $4.83 billion of the total.