Hydro One Ltd.: First Look at 1Q26

Research evidence excerpt

Hydro One Ltd.: First Look at 1Q26

Equity Research

North America Power & Utilities

13 May 2026

Hydro One Ltd.

First Look at 1Q26

First LookNeutral update: Q1 EPS in line, all aspects of financial plan

reaffirmed. Look for commentary on next steps regarding

denial of storm cost recovery. H.TO/H CT OVERWEIGHT North America Power & POSITIVE Utilities

Price Target CAD 63.00Neutral update: Q1 EPS in line, reaffirmed all aspects of financial plan. We see H’s Hydro

Price (12-May-26) CAD 59.15One reported first quarter 2026 EPS of $0.65, in line with consensus of $0.65 and slightly below

Potential Upside/Downside +6.5%our estimate of $0.66. Hydro One reaffirmed its current JRAP period forecast, which includes Source: Bloomberg, Barclays Research

2022-2027 EPS growth outlook of 6-8%, in addition to its $11.8 billion capital program for

2023-2027 that will drive a rate base CAGR of 6% for 2022-2027. The company does not provide

current-year EPS guidance. Hydro One maintained its 6% average annual dividend growth North America Power & Utilities

forecast as the company raised its quarterly dividend by ~6% to $0.3532/share. Michael Lonegan

+1 212 526 8462

Additional quarterly highlights (all previously announced): michael.lonegan1@barclays.com

BCI, US

•• Hydro One received a decision from the OEB regarding its Z-factor application, denying the Nicholas Campanella

recovery of $69 million of incremental revenue requirement related to the costs incurred in +1 212 526 6123

the significant ice storm in March 2025. nicholas.campanella@barclays.com

•• Hydro One appointed Megan Telford as President and CEO, effective June 9, 2026, following

Michael Brown

David Lebeter’s retirement. She is currently COO, overseeing Safety, Operations, Customer +1 212 526 4885