Canadian Utilities Limited Class A · TSX:CU
Canadian Utilities Limited Class A — Investor Presentation (May 2025)
36 slides from Canadian Utilities Limited Class A's investor presentation, May 27, 2025
Slide 1: Investor Presentation
Investor Presentation Canadian Utilities Limited May 27, 2025
Slide 2: Table of contents
Legal Notice 3 Canadian Utilities overview 5 Organizational structure 5 Table of Financial overview 6 contents Growth drivers Community engagement 9 10 ATCO Energy Systems 11 Overview 12 Our next phase of growth 20 Capital expenditures 21 Yellowhead Pipeline 22 Central East Transfer-Out Project 24 A
Slide 3: Legal notice
Legal notice Forward-looking information advisory Certain statements made by company representatives and information provided in this presentation may be considered forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as "anticipate",
Slide 4: Legal notice: Non-GAAP and other financial measures
Legal notice Non-GAAP and other financial measures disclosure advisory This presentation contains various “total of segments measures”, “non-GAAP financial measures” and “non-GAAP ratios” (as such terms are defined in National Instrument 52-112 – Non-GAAP and Other Financial Measures Disclosure ("NI
Slide 5: Organizational structure
Organizational structure 100% 100% 100% 100% Financing & Other Alberta Electricity Distribution LUMA Energy Electricity Generation Natural Gas Distribution (50% JV with Quanta Services Inc.) Alberta Electricity Transmission Northland Utilities Storage & Industrial Water Electricity Generation (50% J
Slide 6: FY 2024 adjusted earnings waterfall
Financial overview FY 2024 adjusted earnings1 waterfall $61 $4 ($2) ($12) $647 +9% Year-over-Year $596 Growth FY ATCO ATCO ATCO Financing & Other 2 FY 2023 1 Energy Systems 2 EnPower 2 Australia 2 2024 1 Note: Millions of Canadian dollars. 1. Total of segments measure (as defined in NI 52-112). The
Slide 7: Q1 2025 adjusted earnings waterfall
Financial overview Q1 2025 adjusted earnings1 waterfall $3 $2 $11 ($9) $225 $232 +3% Year-over-year growth Q1 2024 1 ATCO ATCO ATCO Financing & Other 2 Q1 2025 1 Energy Systems 2 EnPower 2 Australia 2 Note: Millions of Canadian dollars. 1. Total of segments measure (as defined in NI 52-112). The mos
Slide 8: Strong cash flows support capital program
Financial overview Strong cash flows support capital program Cash flows from operating activities Capital expenditures $1,917 $1,780 $1,611 $1,360 FY 2023 FY 2024 FY 2023 FY 2024 Portfolio of cash flow generating assets support our strategic investments that underpin long-term growth Note: Millions
Slide 9: Canada's energy future begins in Alberta
Growth drivers Canada’s energy future begins in Alberta #1 GDP Per Capita 1 #1 Population Growth 2 $149B+ Investment in Major Projects in Alberta3 1. Government of Alberta, GDP per capita, May 2025. 2. Statistics Canada, March 2025. Canadian Utilities Limited Investor Presentation 9 3. Government AT
Slide 10: Community engagement
Community engagement A long history of collaborating with Indigenous communities 37+ YEARS 1987: established relationship with Denendeh Investments $ 564M in economic benefits to First Nations since 20191 67 with Indigenous groups1 partnerships, MOUs and arrangements 1. As of December 31, 2024. Cana
Slide 11: ATCO Energy Systems
Canadian Utilities Limited Investor Presentation 11
Slide 12: An exceptional jurisdiction for electric and gas infrastructure investment
ATCO Energy Systems An exceptional jurisdiction for electric and gas infrastructure investment ▪ Strong macroeconomic factors, including energy transition support and investment ▪ Government has supportive and pro-business environment ▪ Highly gas supportive jurisdiction Alberta has one of the best
Slide 13: Pure-play, gas and electric regulated utility
ATCO Energy Systems Pure-play, gas and electric regulated utility $3.0B+ $14.5B 7 Utilities ATCO Electric Transmission FY 2024 revenue1 2024 Mid-year rate base2 ATCO Electric Distribution ATCO Gas ATCO Pipelines $632M 5.4% ATCO Electric Yukon Northland Utilities (NWT) FY 2024 3 Year mid-year LUMA En
Slide 14: Transmission and distribution underpin growth in Alberta
ATCO Energy Systems Transmission and distribution underpin growth in Alberta Adjusted earnings contribution by operating segment1 International Electricity Operations (LUMA Energy) 9% Electricity Electricity Distribution2 24% 265,000 customers 3 Natural Gas Distribution 22% Gas ~91% 1.3M Alberta der
Slide 15: Alberta's economic growth is underpinned by natural gas
ATCO Energy Systems Alberta’s economic growth is underpinned by natural gas Alberta is a leading natural gas producer 11 Bcf/d natural gas production in Alberta, representing Industrial sector relies 61% of total Canadian heavily on natural gas 6.8 Bcf/d production1 Essential for affordable and reli
Slide 16: The largest gas distributor in Alberta
ATCO Energy Systems The largest gas distributor in Alberta ATCO Energy Natural Gas Distribution Volume1,2,3 Systems delivers Industrial 16.6 PJ natural gas to the Commercial electricity producers 130.3 PJ facing increased demand from Residential growth and 124.0 PJ electrification 42,000km of pipeli
Slide 17: Owner, operator of critical electric infrastructure in Alberta and Canada's north
ATCO Energy Systems An owner, operator of critical electric infrastructure in Alberta and Canada’s north Rate base investment opportunities System resiliency, reliability and climate adaptation driven by weather events Yukon 11,200 km NW Territories Stable base anchored by diverse industrials with l
Slide 18: LUMA: Deploying our operations expertise in Puerto Rico
ATCO Energy Systems LUMA: Deploying our operations expertise in Puerto Rico 15-year contract to maintain, operate and 1.5M 50/50 modernize Puerto Rico’s transmission & distribution system1 customers strong ongoing partnership served in with Quanta Services, a leading ▪ Fixed fee for service paid ▪ F
Slide 19: A team that consistently delivers infrastructure builds
ATCO Energy Systems A team that consistently delivers infrastructure builds Project Location In-service date Description 230km high-pressure Yellowhead Edson to Q4 2027 natural gas pipeline and Pipeline Edmonton (Expected) compression facilities Red Deer, Central East Q2 2026 240kV Lacombe & Transfe
Slide 20: Our next phase of growth
Our next phase of growth Canadian Utilities Limited Investor Presentation 20
Slide 21: Capital expenditures (3 year plan)
ATCO Energy Systems Capital expenditures (3 year plan) $5.8B 5.4% 3 Year 3 Year mid-year capital expenditure plan rate base1 CAGR2 $2.5B $1.8B $1.5B $1.6 $1.4B $0.2 $0.4 $0.9 $0.4 $0.4 $0.3 $0.4 $0.4 $0.3 $0.2 $0.2 $0.5 $0.4 $0.3 $0.3 2024 2025E 2026E 2027E Electricity Distribution Electricity Trans
Slide 22: Yellowhead Pipeline
ATCO Energy Systems Yellowhead Pipeline Existing pipeline Yellowhead Pipeline Needs application filed with AUC Production in September 2024. Fort McMurray 230 km length Total investment for the project is estimated at $2.8 billion. 1.1 Bcf/d capacity Construction to start in 2026; expected to be on-
Slide 23: Yellowhead Pipeline timeline
ATCO Energy Systems Yellowhead Pipeline timeline Q2 2024 Q3 2024 Q2 2025 Q4 2025 Q2 2026 Q3 2026 Q4 2027 Pre-FEED AUC need AUC need Land acquisition Regulatory and Construction Target complete application approval complete permitting start in-service date FEED complete AUC facility complete applicat
Slide 24: Central East Transfer-Out Project
ATCO Energy Systems PROJECT TIMELINE Central East Transfer-Out Project (CETO) Aug 2021 Needs and facility application approved ATCO is building 85 km of 240 kV double-circuit powerline and expanding Dec 2022 the Tinchebray Substation to connect customers to renewable generation AESO direction to beg
Slide 25: ATCO EnPower
Canadian Utilities Limited Investor Presentation 25
Slide 26: A strong, stable base of unique operating assets
ATCO EnPower A strong, stable base of unique operating assets Generation Storage 457 MW $313M 117 PJ operating assets1,2 Revenue1 natural gas storage $146M (wind, solar, hydro & gas) capacity 1.5 GW development pipeline Total Adjusted EBITDA1,3 544,000m3 natural gas liquids storage 1. For the full y
Slide 27: Optionality within our asset base to drive long-term growth
ATCO EnPower Optionality within our asset base to drive long-term growth Established assets and a robust development pipeline diversified across energy transition value chain 117 PJ 544,000 m3 85,200 m3/d Strategic Natural Gas Natural Gas Liquids Water Infrastructure Storage Capacity Storage Capacit
Slide 28: Atlas Carbon Storage Hub
ATCO EnPower Atlas Carbon Storage Hub offers open access decarbonization for Alberta industrials Alberta Carbon Milestone Grid Final Investment Decision (FID) 50/50 Bison Hub Wolf Pathways Alliance JV with Shell Wabamun Hub Hub for Phase 1 achieved Enabling Shell to Edmonton produce cleaner fuels At
Slide 29: ATCO Heartland Hydrogen Hub (AH3)
ATCO EnPower ATCO Heartland Hydrogen Hub (AH3) Requirements for hydrogen Project ownership goal: Greater certainty will lead to: project development: 20-25% Policy support Front End Engineering Design ATCO Heartland Energy Centre (FEED) Heartland Risk sharing Offtake & Partner Hydrogen Hub Site mech
Slide 30: ATCO Australia
Canadian Utilities Limited Investor Presentation 30
Slide 31: Growing our stable base of assets in Australia
ATCO Australia Growing our stable base of assets in Australia ▪ ATCO Gas Australia is a regulated provider of natural gas $1.4B $48M Predictable distribution services in Western Australia, serving metropolitan 2024 Mid-Year Adjusted Earnings2 and stable Perth and surrounding regions. Rate Base1 cash
Slide 32: Sixth Access Arrangement (AA6)
ATCO Australia Sixth Access Arrangement (AA6)1 Total tariff $1,375M Nominal return on equity revenue +$536M +3.21% 8.23% $839M AA5 AA6 Accelerated depreciation $38M 5.02% $0 AA5 AA6 AA5 AA6 Canadian Utilities Limited Investor Presentation 32 1. AA6 will be implemented for the period January 1, 2025
Slide 33: Why invest: Optionality within asset base to drive growth
Why invest Optionality within asset base to drive growth Regulated utilities create a stable base of recurring cash flow and dividends Non-regulated opportunities in electricity generation, cleaner fuels, and energy storage provide an opportunity for higher-than-utility growth and deliver diversific
Slide 34: Appendix
Appendix Canadian Utilities Limited Investor Presentation 34
Slide 35: Conservative balance sheet and well distributed debt profile
Credit ratings Conservative balance sheet and well distributed debt profile CU Inc. ($ millions) $220 $200 $200 $185 $160 A A- $150 $125 A (high) A- S&P Global Ratings has assigned ATCO Gas Australia Pty Ltd a ‘BBB+’ issuer and senior unsecured debt credit rating with a positive outlook. 2028 … 2034
Slide 36: InvestorRelations@atco.com
InvestorRelations@atco.com Canadian Utilities Limited Investor Presentation 36
Canadian Utilities — Investor Presentation (May 2025) on 6ix