ATCO (ACO-X) investor relations material

Executive summary

• Achieved adjusted earnings of CAD 518 million ($4.61 per share) in 2025, up 8% year-over-year, with all segments contributing to growth.

• Fourteen consecutive quarters of year-over-year earnings growth in Structures & Logistics.

• Portfolio strategy focuses on essential services, balancing yield and long-term growth, and responding to macroeconomic trends.

• Maintained a 33-year streak of consecutive dividend increases.

• IFRS earnings for 2025 were $150 million ($1.34 per share), down $280 million year-over-year due to non-cash impairments and write-offs.

Financial highlights

• Adjusted earnings reached CAD 518 million in 2025, or CAD 4.61 per share, up CAD 37 million and 8% year-over-year.

• ATCO Structures & Logistics adjusted earnings rose to CAD 121 million, a 16% increase year-over-year.

• Canadian Utilities contributed CAD 340 million in adjusted earnings, up from CAD 280 million in FY 2024.

• ATCO Investments reported CAD 52 million in earnings, up CAD 15 million, driven by Neltume Ports and other investments.

• IFRS earnings attributable to Class I and II shares dropped to $150 million in 2025 from $430 million in 2024, reflecting significant non-recurring items.

Outlook and guidance

• Positioned to capitalize on record demand for modular housing and increased federal infrastructure and defense spending.

• Five-year capital expenditure plan (2026–2030) for regulated utilities approximates $12 billion, supporting a 6.9% consolidated mid-year rate base CAGR.

• Expect momentum in modular housing to increase mid-2026 as federal RFPs and funding commitments materialize.

• Permanent modular construction expected to drive sustainable earnings growth, though with lighter margins.

• Expansion strategy focuses on delivering essential projects and securing new growth opportunities.