Canada's Fortis Q3 profit beats estimates on rate base growth; raises dividend
FTS•Fortis reported third-quarter adjusted EPS of C$0.92, above the C$0.88 consensus, and net income of C$474 million, above the C$462 million estimate. It raised its quarterly dividend by 4% and announced a C$32.2 billion 2027-2031 capital plan.
1. Earnings and dividend
Fortis’s third-quarter adjusted EPS was C$0.92, compared with analyst expectations of C$0.88. Net income attributable to the company was C$474 million, above the C$462 million estimate. The company increased its quarterly dividend by 4% and extended its annual dividend growth guidance of 4% to 6% through 2031.
2. Capital spending plan
Fortis announced a C$32.2 billion capital plan for 2027-2031, C$3.4 billion higher than its previous plan, supporting expected five-year rate base growth of 7.5%. It expects 2026 capital expenditures of C$6.0 billion, up from C$5.6 billion previously anticipated. The company said higher third-quarter earnings were mainly driven by rate base growth across its utilities.
