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Fortis Posts $501 Million Q1 Profit, Reaffirms Growth and Dividend Targets

The utility is funding a large capital plan while awaiting key Arizona rate decisions.

Overview

  • Fortis reported first‑quarter net earnings of $501 million, or $0.99 per share, Wednesday, supported by about $1.4 billion in capital spending.
  • Management kept its outlook for average annual rate base growth of 7% through 2030 and for dividend increases of 4% to 6% a year, with rate base meaning the utility assets regulators let it earn on.
  • In Arizona, regulators approved an allowed return of 9.61% for UNS Gas with a 56% equity layer, and staff proposed a 9.75% return and 55% equity for Tucson Electric Power, with hearings underway and a final order expected in the fall.
  • To fund its plan, Fortis utilities issued $800 million of long‑term debt in the quarter and ITC sold US$900 million of notes in April, with cash flow and a dividend reinvestment plan covering the rest and investment‑grade ratings affirmed.
  • Some outlets carried lower profit and revenue from an automated AP/Zacks feed, but company executives confirmed the $501 million result and reiterated guidance on the earnings call.