Emera Reports 2025 Second Quarter Financial Results
Highlights
-
Emera delivers 49% quarterly adjusted earnings per share1 (“EPS”) growth with second quarter adjusted EPS1 of
$0.79 and reported EPS of$0.45 . -
In the first half of 2025, teams across Emera successfully deployed more than
$1.7 billion in customer-focused capital and are on track to invest more than$3.4 billion this year. - Remain committed to our 5% to 7% annual average adjusted EPS1 growth guidance through 2027 and 7% to 8% forecasted rate base growth through 2029.
“The second quarter of 2025 marks our fourth consecutive quarter of meaningful earnings increases, which can be attributed in large part to strong growth and favourable weather in Florida,” says
Q2 2025 Financial Results
Q2 2025 adjusted net income1 was
Q2 2025 reported net income was
Year-to-date Financial Results
Year-to-date adjusted net income1 was
Year-to-date reported net income was
The translation impact of a weaker CAD on USD earnings increased adjusted net income by
(1) |
See “Non-GAAP Financial Measures and Ratios” noted below and “Segment Results and Non-GAAP Reconciliation” below for reconciliation to nearest USGAAP measure. |
Segment Results and Non-GAAP Reconciliation
For the |
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Three months ended
|
Six months ended
|
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millions of Canadian dollars (except per share amounts) |
|
2025 |
|
2024 |
2025 |
2024 |
Adjusted net income 1,2 |
|
|
|
|
|
|
Florida Electric Utility |
$ |
260 |
$ |
187 |
424 |
272 |
|
|
17 |
|
42 |
138 |
129 |
|
|
48 |
|
44 |
168 |
142 |
Other |
|
12 |
|
8 |
12 |
17 |
Other 3 |
|
(101) |
|
(130) |
(127) |
(193) |
Adjusted net income1,2 |
$ |
236 |
$ |
151 |
615 |
367 |
Charges related to the pending sale of NMGC, after-tax 4,5 |
|
(72) |
|
- |
(72) |
- |
Gain on sale of LIL, after-tax 6 |
|
- |
|
107 |
- |
107 |
MTM (loss) gain, after-tax7 |
|
(29) |
|
(129) |
175 |
(138) |
Net income attributable to common shareholders |
$ |
135 |
$ |
129 |
718 |
336 |
EPS (basic) |
$ |
0.45 |
$ |
0.45 |
2.41 |
1.17 |
Adjusted EPS (basic) 1,2 |
$ |
0.79 |
$ |
0.53 |
2.07 |
1.28 |
1 See “Non-GAAP Financial Measures and Ratios” noted below. |
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2 Excludes the charges related to the pending sale of NMGC, after-tax, gain on sale of LIL, after-tax, and the effect of after-tax MTM adjustments. |
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3 Higher earnings primarily due to higher contributions from EES, decreased operating, maintenance and general expenses (“OM&G”), and higher income tax recovery. These are partially offset by increased interest expense. |
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4 Represents |
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5 Net of income tax recovery of |
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6 Net of income tax expense of |
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7 Net of income tax recovery of |
Consolidated Financial Review
The following table highlights significant changes in adjusted net income attributable to common shareholders from 2024 to 2025.
For the |
Three months ended |
Six months ended |
||
millions of Canadian dollars |
|
|
||
Adjusted net income – 2024 1,2 |
$ |
151 |
$ |
367 |
Operating Unit Performance |
|
|
|
|
Increased earnings at TEC due to higher revenue from new base rates, favourable weather, and customer growth, partially offset by increased income tax expense and higher depreciation. Year-over-year increase also due to the impact of a weaker CAD |
|
73 |
|
152 |
Increased earnings at EES quarter-over-quarter due to lower transport costs and favourable hedge settlements related to EES' storage positions. Year-over-year increased due to favourable weather and resulting market conditions (higher natural gas prices and increased volatility) |
|
10 |
|
34 |
Increased earnings at NMGC due to higher revenue from new base rates. Year-over-year increase also due to the impact of a weaker CAD |
|
7 |
|
26 |
Decreased income from equity investments due to the sale of LIL in Q2 2024 |
|
(11) |
|
(28) |
Decreased earnings quarter-over-quarter at NSPI due to increased OM&G primarily driven by costs related to the cybersecurity incident and higher depreciation, partially offset by increased sales volumes. Increased earnings year-over-year due to investment tax credits ("ITCs") related to clean technology investments and increased sales volumes primarily driven by favourable weather, partially offset by higher depreciation and higher OM&G primarily driven by costs related to the cybersecurity incident |
|
(12) |
|
41 |
Corporate |
|
|
|
|
Decreased OM&G primarily due to the timing of the recognition on long term compensation expense and related hedges |
|
6 |
|
24 |
Increased income tax recovery due to decreased deferred income tax asset valuation allowance due to utilization of tax loss carryforwards |
|
6 |
|
7 |
Increased interest expense primarily due to increased total debt, partially offset by lower interest rates |
|
(2) |
|
(7) |
Other Variances |
|
8 |
|
(1) |
Adjusted net income – 2025 1,2 |
$ |
236 |
$ |
615 |
1 See “Non-GAAP Financial Measures and Ratios” noted below and “Segment Results and Non-GAAP Reconciliation" for reconciliation to nearest GAAP measure. |
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2 Excludes the charges related to the pending sale of NMGC, after-tax, gain on sale of LIL, after-tax , and the effect of after-tax MTM adjustments. |
1 Non-GAAP Financial Measures and Ratios
Emera uses financial measures that do not have standardized meaning under USGAAP and may not be comparable to similar measures presented by other entities. Emera calculates the non-GAAP measures and ratios by adjusting certain GAAP measures for specific items. Management believes excluding these items better distinguishes the ongoing operations of the business. For further information on the non-GAAP financial measure, adjusted net income, and the non-GAAP ratio, adjusted EPS – basic, refer to the "Non-GAAP Financial Measures and Ratios" section of Emera’s Q2 2025 MD&A which is incorporated herein by reference and can be found on SEDAR+ at www.sedarplus.ca. Reconciliation to the nearest GAAP measure is included in “Segment Results and Non-GAAP Reconciliation” above.
Forward-Looking Information
This news release contains forward-looking information or forward-looking statements within the meaning of applicable securities laws (collectively, “forward-looking information”), including without limitation, statements about the Company’s expectations regarding future growth, including expectations about 7% to 8% rate base growth, the nature and timing of future capital investments, results of operations, performance, the expected timing and outcome of the pending sale of NMGC, and business prospects and opportunities. By its nature, forward-looking information requires Emera to make assumptions and is subject to inherent risks and uncertainties. These statements reflect Emera management’s current beliefs and are based on information currently available to Emera management. There is a risk that predictions, forecasts, conclusions and projections that constitute forward-looking information will not prove to be accurate, that Emera’s assumptions may not be correct and that actual results may differ materially from those expressed or implied by such forward-looking information. Additional detailed information about these assumptions, risks and uncertainties is included in Emera’s securities regulatory filings, including under the heading “Enterprise Risk and Risk Management” in Emera’s annual Management’s Discussion and Analysis, and under the heading “Principal Financial Risks and Uncertainties” in the notes to Emera’s annual and interim financial statements, which can be found on SEDAR+ at www.sedarplus.ca or on EDGAR at www.sec.gov. The forward-looking information in this news release is made only as of the date of thereof, and Emera disclaims any intention or obligation to update or revise any forward-looking information.
Teleconference Call
The company will be hosting a teleconference today,
Analysts and other interested parties in
A live and archived audio webcast of the teleconference will be available on the Company's website, www.emera.com. A replay of the teleconference will be available on the Company’s website two hours after the conclusion of the call.
About Emera
Emera (TSX/NYSE: EMA) is a leading North American provider of energy services headquartered in
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Investor Relations
902-233-2674
dave.bezanson@emera.com
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