Algonquin’s transition into a conventional utility is paying off. The company reported first-quarter adjusted earnings of $111.6 million ($0.14 a share), up from $80.1 million ($0.11 a share) in the same period last year. Note that the company reports in US dollars.
“The company recorded a constructive first quarter of 2025 with notable year-over-year improvements in our key financial metrics,” said CEO Rod West, who took over the job in March. “Our results were solid, reflecting the strength of our core regulated utility operations.”
Income Investor
Algonquin forecasts adjusted net earnings per share in the range of $0.30-$0.32 a share this year, $0.35-$0.37 in 2026, and $0.42-$0.46 in 2027. The 2025 and 2026 numbers were in line with analysts’ expectations while the 2027 figures were much higher than expected. Significantly, the dividend is more than covered in all three years, so it appears to be safe. The forecasts are encouraging, but after all the drama we’re endured with this company, we need to see it deliver on its forecasts before reinstating it as a buy. - Gordon Pape
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AQN was first recommended here on July 28, 2016