Algonquin Power & Utilities Corp. (TSX/NYSE: AQN) reported Q4 2025 adjusted EPS of $0.06, beating the Wall Street consensus of $0.04 by 50%. Revenue of $630.7M surpassed estimates of $616.6M. Full-year adjusted EPS of $0.34 exceeded the top of the company’s own guidance range by $0.02. Shares traded in a wide range of $6.61-$7.13 on earnings day, with the stock touching a new 52-week high.
About Algonquin Power & Utilities Corp.
Algonquin Power & Utilities Corp. (TSX/NYSE: AQN), headquartered in Oakville, Ontario, Canada, is a diversified North American regulated utility company that was founded in 1988. Through its subsidiary Liberty, the company owns and operates a portfolio of regulated electric, natural gas distribution, and water/wastewater utility systems, serving approximately 1,272,000 customer connections predominantly in the United States and Canada. As of March 6, 2026, Algonquin carries a market capitalization of approximately $5.46 billion (NYSE), a forward P/E ratio of roughly 22.48, and a dividend yield of 3.76%.
The company employs 3,786 people. In 2025, Algonquin completed a transformational shift to a pure-play regulated utility after selling its renewable energy business (excluding hydro) to LS Power, using approximately $1.6 billion in net proceeds to pay down debt and strengthen its balance sheet. CEO Rod West, who took the helm in March 2025, has been executing the company’s “Back to Basics” strategy, while new CFO Rob Stefani joined in January 2026 to lead the finance function.
Top Financial Highlights
- Q4 2025 revenue reached $630.7 million, a 7.8% increase year-over-year from $584.8 million in Q4 2024, reflecting solid growth.
- Full year 2025 revenue totaled $2,433.6 million, up 4.9% from $2,319.5 million in 2024, driven by sustained demand across core segments.
- Q4 2025 net earnings were $29.4 million ($0.04/share), marking a significant turnaround from a net loss of $110.2 million ($-0.14/share) in Q4 2024.
- Q4 2025 adjusted net earnings were $47.2 million ($0.06/share), an 11% increase from $42.5 million ($0.06/share) in Q4 2024, reflecting improved profitability.
- Full year 2025 net earnings reached $208.0 million ($0.27/share), representing approximately 286% growth from $54.8 million ($0.07/share) in 2024.
- Full year 2025 adjusted net earnings totaled $258.8 million ($0.34/share), up approximately 13% from $221.6 million ($0.30/share) in 2024.
- Regulated Services Group net earnings for Q4 were $73.6 million, a 22% increase year-over-year, with full year earnings rising to $351.0 million, up 35% from 2024.
- Hydro Group net earnings for the full year were $31.1 million, up significantly from $12.0 million in 2024, reflecting strong performance in this segment.
- Capital expenditures for 2025 were approximately $603.5 million, down from $757.2 million in 2024, reflecting a more disciplined investment approach.
- Operating expense as a percentage of gross revenue decreased to approximately 35.8%, down from 37.7% in 2024, indicating improved operational efficiency.
- Earned return on equity improved to approximately 6.8%, up from 5.5% in 2024, reflecting stronger profitability and capital efficiency.
- The company retired approximately $1.6 billion in debt using proceeds from the sale of its renewable energy business, strengthening its balance sheet.
- Total rate base for 2025 was $8,242 million, with breakdowns of $4,825 million for Electric, $1,708 million for Water, and $1,709 million for Gas, reflecting a diversified infrastructure portfolio.
- 2026 adjusted net EPS guidance is reaffirmed at $0.35-$0.37, with the 2027 outlook ranging from $0.38-$0.42, signaling continued growth.
- The regulated capital plan for 2026-2028 is projected at approximately $3.2 billion, supporting a 5%-6% compound annual growth rate (CAGR) in rate base.
Beat or Miss?
Algonquin exceeded both earnings and revenue expectations for Q4 2025. The adjusted EPS of $0.06 beat the Zacks consensus estimate of $0.04, a 50% earnings surprise. Revenue of $630.7M exceeded the analyst consensus of approximately $616.6M by about 2.3%. On a GAAP basis, the Q4 EPS of $0.04 met estimates. Full-year adjusted EPS of $0.34 surpassed the top end of the company’s own previously disclosed guidance range by $0.02, driven by accelerated operating expense savings, lower depreciation expense from authorized deferrals, and favorable tax adjustments.
| Metric | Reported | Analyst Estimate | Difference |
| Q4 Adjusted EPS | $0.06 | $0.04 | Beat by +50% |
| Q4 GAAP EPS | $0.04 | $0.04 | Met estimates |
| Q4 Revenue | $630.7M | $616.6M | Beat by +2.3% |
| FY 2025 Adjusted EPS | $0.34 | $0.30 (prior year) / $0.32 (top of guidance) | Exceeded own guidance by $0.02 |
| FY 2025 Revenue | $2,433.6M | N/A | +4.9% YoY |
What Leadership Is Saying?
Rod West, Chief Executive Officer: “Our strong 2025 results reflect continued progress executing our ‘Back to Basics’ strategy as we build a premier, pure-play utility. During the year, we made substantial regulatory progress across our electric, gas and water utilities, began realizing the benefits of a more disciplined operating model, and strengthened our balance sheet through the retirement of approximately $1.6 billion in debt following the completion of the sale of our renewable energy business (excluding hydro). Under the leadership of a new executive team with deep U.S. regulated utility experience, we are positioning Algonquin to deliver steady, predictable value for our customers, communities and shareholders.”
Rod West (continued, on forward outlook): “Looking ahead, we are reaffirming our full year 2026 Adjusted Net EPS outlook, as originally disclosed in June 2025, and establishing a clear framework for long-term growth through disciplined, customer-focused capital investments. Our approximately $3.2 billion regulated capital plan for 2026 through 2028 underpins our expectation for 5% to 6% compound annual growth in rate base as measured from year end 2025 through the end of 2028. We continue to expect no equity issuance through 2027.”
Historical Performance
AQN Year-over-Year: Q4 2025 vs. Q4 2024
| Category | Q4 2025 | Q4 2024 | Change (%) |
| Revenue | $630.7M | $584.8M | +7.8% |
| Net Earnings (Loss) | $29.4M | ($110.2M) | Turnaround (+$139.6M) |
| Adjusted Net Earnings | $47.2M | $42.5M | +11.1% |
| Adjusted EPS | $0.06 | $0.06 | Flat |
| Regulated Services Group Earnings | $73.6M | $60.5M | 21.70% |
Full Year 2025 vs. Full Year 2024
| Category | FY 2025 | FY 2024 | Change (%) |
| Revenue | $2,433.6M | $2,319.5M | +4.9% |
| Net Earnings | $208.0M | $54.8M | +279.6% |
| Adjusted Net Earnings | $258.8M | $221.6M | +16.8% |
| Adjusted EPS | $0.34 | $0.30 | +13.3% |
| Net EPS | $0.27 | $0.07 | +285.7% |
| Regulated Services Group Earnings | $351.0M | $260.1M | +35.0% |
| Capital Expenditures | ~$603.5M | ~$757.2M | -20.3% |
| Earned ROE | ~6.8% | ~5.5% | +130 bps |
Competitor YoY Comparison – Q4 2025
| Company (Ticker) | Q4 2025 Revenue | Q4 2024 Revenue | Revenue Change | Q4 2025 Adj. EPS | Q4 2024 Adj. EPS | EPS Change |
| Algonquin Power (AQN) | $630.7M | $584.8M | +7.8% | $0.06 | $0.06 | Flat |
| NextEra Energy (NEE) | $6.50B | $5.39B | +20.7% | $0.54 | $0.53 | +1.9% |
| Duke Energy (DUK) | $7.94B | $7.36B | +7.9% | $1.50 | $1.66 | -9.6% |
| Southern Company (SO) | $7.0B | $6.3B | +10.1% | $0.55 | $0.50 | +10.0% |
| Brookfield Renewable (BEP) | $885M | $737M | +20.1% | $0.54 (GAAP EPS) | ($0.06) | N/M |
Full Year 2025 Competitor Comparison
| Company (Ticker) | FY 2025 Revenue | FY 2024 Revenue | Revenue Change | FY 2025 Adj. EPS | FY 2024 Adj. EPS | EPS Change |
| Algonquin Power (AQN) | $2.43B | $2.32B | +4.9% | $0.34 | $0.30 | +13.3% |
| NextEra Energy (NEE) | ~$24.6B | ~$20.4B | +20.5% | $3.71 | $3.43 | +8.2% |
| Duke Energy (DUK) | $32.24B | $30.36B | +6.2% | $6.31 | $5.90 | +6.9% |
| Southern Company (SO) | $29.6B | $26.7B | +10.6% | $4.30 | $4.05 | +6.2% |
| Brookfield Renewable (BEP) | ~$3.4B | ~$2.8B | +20.1% | $2.01 (FFO/unit) | $1.83 | 10.00% |
How the Market Reacted?
Algonquin’s Q4 2025 results were released before market open on March 6, 2026. On the day of the earnings announcement, shares of AQN on the NYSE opened at $6.93 and traded in a notably wide range of $6.61 to $7.13, with the intraday high representing a new 52-week high. The stock’s 52-week low stands at $4.29, meaning the stock has gained approximately 58% from its 52-week low.
The earnings beat, combined with reaffirmed 2026 guidance and a clear long-term capital investment framework, reinforced the bullish sentiment that has been building around AQN’s transformation story. Year-to-date in 2026, AQN has gained approximately 13.2%, outperforming the broader Utilities sector average return of 12%. The “Back to Basics” narrative, debt reduction of $1.6 billion, and consistent regulatory progress continue to support investor confidence in the utility’s turnaround trajectory.
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