Emera (C61) Q3 2026 Earnings Report

The call was predominantly positive. Emera reported year-to-date earnings and operating cash flow growth, raised its capital plan and rate base growth outlook, highlighted customer rate reductions and major investment opportunities, and described improving credit metrics and progress on the Canadian Utilities merger. These strengths were partly offset by a 3% year-over-year decline in third-quarter adjusted EPS, higher costs in certain businesses, affordability and energy-transition challenges in Nova Scotia, and several pending regulatory and transaction approvals.

Management said Emera remains on track to deliver compound adjusted EPS growth above its 5% to 7% growth target range in 2026 and to achieve compound annual EPS growth of 5% to 7% through 2030; its 5-year capital plan is $21.5 billion, approximately $1.1 billion or 5% higher than the prior plan, with 7.5% to 8.5% consolidated rate base growth through 2031 and Florida utilities expected to deliver closer to 9%, while approximately 82% of planned capital will be invested in Florida and about 3/4 will support reliability and resiliency. Emera expects to invest approximately $4 billion in 2026, Tampa Electric’s Big Bend Unit 4 modernization is expected to begin in 2027 and be fully operational in 2032 with approximately 720 megawatts of capacity, and Peoples Gas plans to invest approximately $1 billion through 2031. Nova Scotia Power expects to securitize approximately $1 billion of costs, potentially saving customers approximately $265 million over the 30-year repayment period, with a decision expected within 60 days of the October 9 filing. Cash flow from operations is expected to fund 45% to 50% of capital requirements, debt approximately 30% to 35%, DRIP and ATM programs 10% to 15%, averaging approximately $600 million annually, and hybrids 5% to 7%; the Canadian Utilities transaction is expected to close in Q3 or Q4 2027 or earlier.