Slide 1: Investor Overview Post First Quarter 2025
Investor Overview Post First Quarter 2025
Slide 2: Hydro One investment overview
Hydro One investment overview A unique low-risk opportunity to participate in the growth of a premium, large scale regulated electric utility • One of the largest electric utilities in North America with significant scale; largest Combined 2025 Transmission & transmitter and distributor across Canad
Slide 3: Rate regulated businesses
Rate regulated businesses Hydro One’s regulated business operates under a 5-year rate regulated Custom Incentive Rate Making Framework. Business energizes life for people and communities, helping Ontarians live a better and brighter future 2024 Revenues, Net of Purchase Power2 90% of Ontario’s trans
Slide 4: Non-Regulated businesses
Non-Regulated businesses Unregulated businesses provides opportunity for additional growth; currently accounts for 1% of total assets and 1% of total revenues, net of purchased power Acronym Solutions Inc. (formerly, Hydro Ivy Charging NetworkTM (Ivy), providing Aux Energy Inc. is a behind-the-meter
Slide 5: Executive leadership team
Executive leadership team A leadership team with strong operational experience committed to executing Hydro One’s strategy Executive Leadership Team David Lebeter President and CEO Teri Cassidy Renée Lisa Harry Megan Gillian French MacFarlane McKenzie Pearson Taylor Telford Whitebread EVP, Safety, O
Slide 6: Our corporate strategy
Our corporate strategy Hydro One Investor Overview • 6
Slide 7: Sustainability at Hydro One
Target: 30% female executives Target: 50% by 2025, 100% Target: net-zero by 2050, 30% 1 & board by 2022 by 2030 reduction by 2030 Sustainability at Hydro One ~36% / 45% ~34% ~24% of women who are executives of fleet of sedans/SUVs Reduction in Scope 1 GHG (VP and above) / board converted to EVs or h
Slide 8: Capital Plan
hyd 'Qhe Capital Plan
Slide 9: Constructive rate regulator
Constructive rate regulator Ontario Energy Board (OEB) is a consistent, independent regulator with a transparent rate-setting process • Transmission and Distribution businesses rate-regulated by the OEB • Deemed debt / equity ratio of 60% / 40% for both transmission and distribution segments • Reduc
Slide 10: JRAP – Segmented incentive regulatory construct
JRAP – Segmented incentive regulatory construct Distribution Transmission OEB Approved1 OEB Approved1 2023-2027 2023-2027 Rebasing Year 2023 2023 Custom Revenue Cap Index (RCI) by Component (%) Custom Revenue Cap Index (RCI) by Component (%) (A) Inflation Adjustment Factor (A) Inflation Adjustment F
Slide 11: Capital Plan to support rate base growth
Capital Plan to $11.8 billion 2023 – 2027 JRAP Capital Plan support rate Agreement on ~$11.8 billion in capital expenditure reflects a balanced settlement for all stakeholders1 base growth ~6% Rate Base CAGR Rate base forecast to grow from $23.6 billion in 2022 to $31.8 billion in 2027 • Organic gro
Slide 12: Achievements and efficiencies
Achievements and efficiencies Paving New Paths in Productivity Savings ($M) 2024 149.5 2023 113.9 2022 373.6 2021 343.9 Generated productivity savings of $149.5 million 2020 286.0 in 2024 comprised of $66.3 million in OM&A and 2019 202.3 IPO to 2022 $83.2 million in capital (Pre- JRAP) 2018 135.5 $1
Slide 13: Growth Update
Growth Update
Slide 14: Why Ontario
Increased capital investment to enable energy Why Ontario transition and enhance grid stability Ontario growth in electricity demand Canada’s electricity demand expected to grow between 120% - 135% from 2021 to 2050 to achieve Net Zero target Canada is among • Consumer choices, corporate ESG targets
Slide 15: Capital investment driving rate base growth
Capital investment driving rate base growth Length Estimated In-service Project Name Location Type (KM) Cost ($M) Date Chatham to Lakeshore Transmission Line1 Southwestern Ontario 230 kV 49 237 2024 St. Clair Transmission Line1 Southwestern Ontario 230 kV 64 472 2028 Waasigan Transmission Line1 Nort
Slide 16: East-West Tie Transmission Line Acquisition
East-West Tie Transmission Line Acquisition Asset • 450 km from Wawa Transformer Station to Lakehead Transformer Station in the Municipality of Shuniah (near Thunder Bay) with a connection at the Marathon Transformer Station • 230 kV double-circuit transmission line • Completed on March 31, 2022 • O
Slide 17: Electric Local Distribution Company (LDC) consolidation
Electric Local Distribution Company (LDC) consolidation Completed transaction • Hydro One is the largest LDC in Ontario; 54 LDCs are Hydro One transmission or distribution customers Chapleau Hydro Consolidator Transaction of Choice • Hydro One has significant scale in Ontario and serves customers th
Slide 18: Financial Update
hyd 'Qhe Financial Update
Slide 19: Guidance range
Guidance range $2.37 $2.15 $1.75 $0.05 $0.03 $1.67 $0.06 $1.61 2022 EPS 2022 Gain on Sale of 2022 CDM Revenues 2022 Normalized for Normalizing for 2023 2022 Normalized EPS 2027 1 Surplus Property one-time items Rebase 1) Normalizing for 2023 rebase includes 100 basis points over-earn. 2) EPS growth
Slide 20: Strong balance sheet and liquidity
Strong balance sheet and liquidity Investment grade balance sheet with one of lowest debt costs in utility sector Significant available liquidity ($M) Strong investment grade debt ratings (long-term/short-term/outlook) Shelf registrations 250 Hydro One Limited (HOL) Hydro One Inc. (HOI) HOL Universa
Slide 21: Hydro One’s Sustainable Financing Framework Overview
Hydro One’s Sustainable Financing $5.1 billion Green Grid Socio-Economic Framework Overview Proceeds raised under program Transmission and Distribution Investments Enable the Benefits Greening of the Overall Grid Procurement from Indigenous Businesses and access to essential services Under the Frame
Slide 22: Equity market cap overview
Equity market cap overview Approximate Ownership Equity Index Inclusions Approximate Geographic of Public Float1 Dispersion of Public Float1 S&P/TSX Composite S&P/TSX Composite FTSE All-World Index Dividend Index (Canada) 34% 34% S&P/TSX 60 Index S&P/TSX Composite MSCI World (Canada) High Dividend I
Slide 23: Common share dividends
Common share dividends Key Points A Growing and Sustainable Dividend4 • Quarterly dividend declared at $0.3331 per common share ($1.3324 annualized) • Targeted dividend payout ratio remains at 70% - 80% of net income • Attractive and growing dividend supported by stable, 0.13 1.239 regulated cash fl
Slide 24: Appendix
Appendix
Slide 25: Financial summary
Financial summary First Quarter Full Year (millions of dollars, except EPS) 2025 2024 % Change 2024 2023 % Change Revenues Transmission 636 553 15.0% 2,269 2,214 2.5% Distribution 1,761 1,605 9.7% 6,175 5,582 10.6% Distribution Revenues (net of purchased power)1 541 509 6.3% 2,032 1,930 5.3% Other 1
Slide 26: A look at the organization
A look at the organization Corporate structure Acronym Solutions Inc. Non-rate-regulated business Hydro One Limited Public company Hydro One Networks Inc. Hydro One Inc. Rate-regulated business (99% of revenue) Public debt issuer Hydro One Remote Communities Inc. Hydro One Investor Overview • 26
Slide 27: Independent board of directors
Independent board of directors Susan Wolburgh Jenah Cherie Brant David Hay Stacey Mowbray Mitch Panciuk Interim Chair of the Board, Director since 2018 Chair of the Chair of the Audit Director since 2023 Chair of the Governance & Indigenous Peoples, Committee Regulatory Committee Safety & Operating
Slide 28: Regulatory stakeholders
Regulatory stakeholders Who: Provincial Government, Ministry of Energy What: Policy, legislation, regulations Who: Ontario Energy Board What: Independent electric utility price and service quality regulation Who: Independent Electricity System Operator What: Wholesale power market rules, intermediar
Slide 29: Disclaimers
Disclaimers Forward Looking Information This presentation contains “forward-looking information” within the meaning of applicable Canadian securities laws and “forward-looking statements” within the meaning of applicable U.S. securities laws (collectively, “forward-looking information”). Statements
Slide 30: Contact
Contact Wassem Khalil Director, Investor Relations Wassem.Khalil@HydroOne.com (416) 345-5943 HydroOne.com/InvestorRelations HydroOne.com