Fortis Inc. · TSX:FTS
Fortis — Investor Presentation (February 2026)
40 slides from Fortis's investor presentation, Feb 12, 2026
Slide 1: Investor Presentation Q1 2026
INVESTOR PRESENTATION Q1 2026
Slide 2: Forward Looking Information
FORWARD LOOKING INFORMATION Fortis includes forward-looking information in this presentation within the meaning of applicable Canadian securities laws and forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (collectively referred to as "forward-looki
Slide 3: Fortis at a Glance
FORTIS AT A GLANCE TSX/NYSE: FTS OUR VISION & STRATEGY: A Premium North American Utility Delivering a Cleaner Energy Future 95% 100% transmission and distribution assets regulated utility assets 9 regulated utilities $5.6 billion in Canada, U.S., and Caribbean 2026F capital expenditures 9,900 $44.7
Slide 4: Our Common Ground
OUR COMMON GROUND Provision of Safe Sustainable Growth Good Governance & Reliable Service Fortis Ranked #1 of 206 S&P/TSX companies Priority #1 Focused on Execution in The Globe & Mail 2025 Board Games • Health and safety of our employees, customers • Operational Excellence • Utilities operate withi
Slide 5: Continued Focus on Safe, Reliable & Affordable Service
CONTINUED FOCUS ON SAFE, RELIABLE & AFFORDABLE SERVICE All-Injury Average Electricity Customer Affordability Frequency Rate(1) Outage Duration (Hours) Initiatives • Preventative maintenance and innovative practices to reduce costs 1.83 ▪ Grid-enhancing technologies ▪ Using AI for vegetation manageme
Slide 6: Five-Year Plan at a Glance
FIVE-YEAR PLAN AT A GLANCE CAPITAL PLAN DRIVEN BY TRANSMISSION INVESTMENTS Capital Rate Base Dividend Expenditures Growth Growth $28.8B 7% 4-6% 2026-2030 5-Year Annual Dividend Growth Capital Plan CAGR Guidance Extended to 2030 $2.8B 50 bps 4% Over Prior Over Prior Increase in Q4 2025 Capital Plan P
Slide 7: Highly Executable Five-Year Capital Plan Supports Low-Risk Rate Base Growth of 7%
HIGHLY EXECUTABLE FIVE-YEAR CAPITAL PLAN SUPPORTS LOW-RISK RATE BASE GROWTH OF 7% Capital Plan • 100% Regulated Capital Capital Plan Consolidated By Asset Type Rate Base • 21% Major Capital Projects • 63% U.S., 35% Canada, 2% Caribbean ↑ $16B or 7% CAGR $57.9B Transmission Distribution 46% 5-Year 31
Slide 8: Above and Beyond the Plan
ABOVE AND BEYOND THE PLAN 2026-2030 2031-2035 Opportunities Opportunities to Expand Growth to Extend Growth ITC ITC • Customer Connections • LRTP Tranche 2.1 • LRTP Tranche 2.1 Competitively Bid Projects UNS Energy • Customer Connections • TEP Retail Load Growth (e.g., data centers • Future MISO LRT
Slide 9: Liquidity & Funding
LIQUIDITY & FUNDING Credit Balanced Approach Facilities To Funding Growth Cash from (2) $6.3B Operations $5.8B(1) 59% Raised $2.7B in $2.4B $2.1B Long-Term Debt in 2025 5-Year Capital Plan $3.9B $3.7B $28.8B Equity 11% (3) 2026-2030 Dec. 31, 2024 Dec. 31, 2025 Unutilized Utilized Net Debt (4) 30% (1
Slide 10: Investment-Grade Credit Ratings
INVESTMENT-GRADE CREDIT RATINGS S&P FFO/Debt Credit Ratings & Outlooks >12.0% 12.4% A-(2) BBB+ A (low) 11.6% Stable Stable Stable 2025(1) 2026-2030F Avg. Fitch FFO Leverage Key Credit Strengths Geographic and regulatory <6.2x Strong business risk profile diversity 100% regulated – stable and Constru
Slide 11: Recent Regulatory Activity
RECENT REGULATORY ACTIVITY UNS Gas TEP General Rate Application General Rate Application • In January 2026, an ACC ALJ issued a ROO, • In June 2025, TEP filed a general rate application recommending an allowed ROE at 9.57% and a 56% with the ACC requesting new rates effective common equity component
Slide 12: Three-Year Lookback
THREE-YEAR LOOKBACK Adjusted EPS & Rate Base Adjusted Dividend Payout Ratio $42.4B 4 $3.53 100.0% $37.0B $39.0B 3.5 $3.09 $3.28 95.0% $34.1B 3 $2.78 90.0% 85.0% 2.5 78.1% 80.0% 2 73.9% 75.0% 1.5 72.7% 70.4% 70.0% 1 65.0% 0.5 60.0% 0 55.0% 2022 2023 2024 2025 2022 2023 2024 2025 Adjusted EPS Adjusted
Slide 13: Total Shareholder Returns
TOTAL SHAREHOLDER RETURNS Cumulative 20-Year Total Shareholder Return Average Annual 517% Total Shareholder Returns 406% 1-Year 23.9% 309% 5-Year 10.7% 10-Year 10.8% 20-Year 9.5% 2005 2010 2015 2020 2025 Fortis S&P/TSX Composite Index S&P/TSX Capped Utilities Index Note: Cumulative and average
Slide 14: Dividend Guidance Supported by Long-Term Growth Strategy
DIVIDEND GUIDANCE SUPPORTED BY LONG-TERM GROWTH STRATEGY 4% Dividend Increase in 2025 52 Years of Consecutive Increases in Dividends Paid 4-6% Annual Dividend Growth Guidance through 2030 73 75 77 79 81 83 85 87 89 91 93 95 97 99 01 03 05 07 09 11 13 15 17 19 21 23 25 14
Slide 15: Why Invest in Fortis?
WHY INVEST IN FORTIS? Focused on Executing and Providing Safe, Reliable & Affordable Service Sustainable Low Growth Risk • Strong Rate Base Growth • Strong Governance • Robust Transmission Pipeline • Regulatory & Geographic Diversity • Transparent Funding Plan • Constructive Regulatory Relationships
Slide 16: Appendix
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Slide 17: Table of Contents
TABLE OF CONTENTS ITC Holdings 18-19 UNS Energy 20-22 Central Hudson 23-24 FortisBC 25-26 FortisAlberta 27-28 Other Electric 29-30 2026-2030 Capital Plan by Business Unit 31 Major Capital Projects 32 2025-2030 Rate Base by Business Unit 33 Sensitivity Exposure & Hedging 34 Other Ongoing Regulatory P
Slide 18: ITC Overview
ITC OVERVIEW FERC REGULATED ELECTRIC TRANSMISSION UTILITY 26,000 km $14.6 billion Lines of transmission 2026F rate base Assets in 8 U.S. States 23,502 MW Michigan and Iowa key states Peak demand 900 Fortis owns 80.1% dedicated employees Interest in ITC FERC Rate Regulated 10.73-11.41% Allowed ROE Co
Slide 19: ITC Capital Investment Overview
ITC CAPITAL INVESTMENT OVERVIEW Grid Security $4.4B Infrastructure Investments Rebuild, reliability, resiliency, system efficiencies, increased capacity, circuit overloads, pocket load growth New Interconnections $2.8B Major Capital Projects LRTP Tranches 1 & 2.1 and Big Cedar Load Expansion $9.8B I
Slide 20: UNS Energy Overview
UNS ENERGY OVERVIEW VERTICALLY INTEGRATED ELECTRIC AND GAS UTILITY 23,400 km $8.9 billion of electric T&D lines 2026F rate base 5,200 km 3,443 MW of natural gas T&D lines Generating Capacity 738,000 ACC & FERC Regulated electric and gas customers Cost of service/historical test year & FERC formula t
Slide 21: UNS Energy Capital Investment Overview
UNS ENERGY CAPITAL INVESTMENT OVERVIEW IT, General & Other $1.4B Energy Resources Expected natural gas, renewables and energy storage investments to support rising capacity demands and exit from coal Energy Resources $1.6B Distribution Infrastructure Grid resiliency and modernization $5.6B $1.9B Tra
Slide 22: Springerville Coal-Fired Generating Units to Be Converted to Natural Gas
SPRINGERVILLE COAL-FIRED GENERATING UNITS TO BE CONVERTED TO NATURAL GAS Overview • TEP announced that it plans to convert Committed to a Coal-Free Generation Mix by 2032 793 MW of coal-fired generation at the Springerville Generating Station to natural gas generation with similar capacity by 2030 2
Slide 23: Central Hudson Overview
CENTRAL HUDSON OVERVIEW ELECTRIC AND GAS T&D UTILITY 15,400 km 1,300 of electric T&D lines dedicated employees 2,400 km $4.0 billion of natural gas T&D lines 2026F rate base New York State Public Service 315,000 electric customers Commission Regulated Cost of service on future test year 90,000 9.5%
Slide 24: Central Hudson Capital Investment Overview
CENTRAL HUDSON CAPITAL INVESTMENT OVERVIEW Transmission Infrastructure $1.6B Distribution Infrastructure Distribution automation and modernization $2.5B Distribution Infrastructure $600M IT, General & Other Building the workforce of the future Capital Plan 2026-2030 $300M Transmission Infrastructure
Slide 25: FortisBC Overview
FORTISBC OVERVIEW GAS LDC AND INTEGRATED ELECTRIC UTILITY 51,700 km 2,800 of natural gas T&D lines dedicated employees 7,400 km $8.7 billion of electric T&D lines 2026F rate base 1.1 million BCUC Regulated natural gas customers Cost of service with incentive mechanisms 199,000 9.65% Gas 45% electric
Slide 26: FortisBC Capital Investment Overview
FORTISBC CAPITAL INVESTMENT OVERVIEW IT, General & Other $2.5B Reliability & Integrity Investments Ongoing maintenance and includes customer growth and general plant investments $1.3B LNG Projects & Renewable Gases AMI Project Tilbury 1B $4.9B LNG Tilbury LNG Storage Expansion Eagle Mountain Pipelin
Slide 27: FortisAlberta Overview
FORTISALBERTA OVERVIEW ELECTRIC DISTRIBUTION UTILITY 91,100 km $4.8 billion distribution lines 2026F rate base 85% 615,000 of revenue derived from customers fixed-billing determinants 2,749 MW AUC Regulated peak demand performance-based rate-setting (PBR) 9.02% 37% 1,300 Allowed Equity dedicated emp
Slide 28: FortisAlberta Capital Investment Overview
FORTISALBERTA CAPITAL INVESTMENT OVERVIEW IT, General & Other $2.8B Distribution Infrastructure Safety and reliability of distribution assets, meter upgrades, pole management program, modernization $3.5B $700M IT, General & Other Capital Plan 2026-2030 Distribution Infrastructure 28
Slide 29: Other Electric Overview
OTHER ELECTRIC OVERVIEW ELECTRIC T&D UTILITIES 23,200 km Four of electric T&D lines regulated electric utilities(1) 477,000 Equity investment customers In Wataynikaneyap Partnership 1,400 Cost of Service dedicated employees regulation with future test year $3.7 billion 8.90% 42.9% 2026F rate base Al
Slide 30: Other Electric Capital Investment Overview
OTHER ELECTRIC CAPITAL INVESTMENT OVERVIEW IT, General & Other $1.1B Distribution Infrastructure Transmission $500M Generation Diversification $2.4B Infrastructure Capital Plan Distribution $500M Transmission Infrastructure Infrastructure 2026-2030 $300M IT, General & Other Generation Diversificatio
Slide 31: 2026-2030 Capital Plan by Business Unit
2026-2030 CAPITAL PLAN BY BUSINESS UNIT Capital Plan 2026-2030 ($MILLIONS) 2026F 2027F 2028F 2029F 2030F TOTAL Independent Electric Transmission ITC 1,874 1,898 2,008 2,083 1,980 9,843 U.S. Electric & Gas UNS Energy 1,281 1,014 940 1,413 983 5,631 Central Hudson 466 438 509 551 573 2,537 Total U.S.
Slide 32: Major Capital Projects
MAJOR CAPITAL PROJECTS 2026- Expected ($ Millions) 2025A 2030F Completion Date ITC Major Capital MISO LRTP Tranche 1(1) 173 1,812 2030 Projects 21% MISO LRTP Tranche 2.1(2) 8 529 Post-2030 Big Cedar Load Expansion 172 394 2028 $28.8B UNS Energy TEP Transmission Project - 608 2029 Springerville Natur
Slide 33: 2025-2030 Rate Base by Business Unit
2025-2030 RATE BASE BY BUSINESS UNIT Rate Base 5-YEAR CAGR TO ($BILLIONS) 2025A 2026F 2027F 2028F 2029F 2030F 2030 Independent Electric Transmission (1) ITC 13.9 14.6 15.9 17.1 18.4 19.8 8.1% U.S. Electric & Gas UNS Energy 8.4 8.9 9.6 10.2 11.0 11.5 7.2% Central Hudson 3.7 4.0 4.2 4.4 4.7 5.0 6.6% T
Slide 34: Sensitivity Exposure & Hedging
SENSITIVITY EXPOSURE & HEDGING Foreign Exchange ROE & Equity Ratio • Assumed USD:CAD FX rate of 1.35 for 2026-2030 Capital Plan ROE Equity +/- 25 bps +/- 100 bps • 65% of regulated earnings(1)/ 65% of capital plan in USD at U.S. & Caribbean Utilities ITC $0.040 $0.035 • +/- $0.05 change in USD:CAD U
Slide 35: Other Ongoing Regulatory Proceedings
OTHER ONGOING REGULATORY PROCEEDINGS Transmission Incentives In 2021, FERC issued a supplemental NOPR proposing to eliminate the 50-bps RTO ROE incentive adder for transmission owners that have been RTO members for longer than three years; the timing and outcome of this proceeding are unknown Third
Slide 36: Our Sustainability Strategy
OUR SUSTAINABILITY STRATEGY GROUNDED IN BUSINESS FUNDAMENTALS SUSTAINABILITY PRIORITIES Integrating climate risk with Reducing emissions and Strengthening governance foundations business planning delivering cleaner energy and partnering with local communities NEW – 2026 Climate Resiliency Report • A
Slide 37: 2025 Sales Trends
2025 SALES TRENDS CHANGE IN 2025 vs. 2024 RETAIL ENERGY SALES TRENDS SALES N/A • Peak load up 2% primarily due to warmer weather (1) • Residential sales down 3% mainly due to milder weather; C&I sales flat; -1% Absent weather impacts, retail sales up 1% • Residential sales up 4% mainly due to colder
Slide 38: Long-Term Debt Maturities
LONG-TERM DEBT MATURITIES 10-Year Debt Maturities $2.5 $2.0 $1.5 billions $1.0 $0.5 $- 2026F 2027F 2028F 2029F 2030F 2031F 2032F 2033F 2034F 2035F Non-Regulated (1) Regulated Note: U.S. dollar-denominated debt translated at December 31, 2025 USD:CAD closing foreign exchange rate of 1.37. (1) Include
Slide 39: Strong Investment-Grade Credit Ratings
STRONG INVESTMENT-GRADE CREDIT RATINGS Company Fortis Inc. A-(1) A (low) BBB+ -(2) ITC Holdings Corp. A-(1) - - Baa2 ITC Regulated Subsidiaries A+ - - A1 TEP A- - - A3 Central Hudson BBB+ - BBB+ Baa1 FortisBC Energy - A - A3 FortisBC Electric - A (low) - Baa1 FortisAlberta A- A (low) - Baa1 Newfound
Slide 40: Glossary
GLOSSARY ACC Arizona Corporation Commission ITC Investment Holdings Inc., an indirect 80.1%-owned subsidiary of Fortis, together with its subsidiaries, including International ITC AI Artificial Intelligence Transmission Company, Michigan Electric Transmission Company, LLC, ITC Midwest LLC, and ITC G