Algonquin Power & Utilities: 2Q Preview: Some Headwinds

Research evidence excerpt

Algonquin Power & Utilities: 2Q Preview: Some Headwinds

Equity Research

1 July 2026

Algonquin Power & Utilities

2Q Preview: Some Headwinds

Uncertainty around Missouri billing & customer service metric

application and associated rate case revenues; EPS guidance

at risk. Apple Valley and Park Water rate decrease and North America Power & Utilities POSITIVE

Unchangedretroactive true-up a headwind. AQN could see a write-down

from WEMA proceeding. Our 2Q26 EPS estimate is below North America Power & Utilities

Michael Lonegan

consensus. +1 212 526 8462

michael.lonegan1@barclays.com

BCI, US

What to expect on the 2Q26 call: We expect the earnings call to focus on the Missouri billing &

customer service metric application and associated rate case revenues. We anticipate a decision Nicholas Campanella

on that docket before the earnings release date. AQN is likely to speak about the WEMA +1 212 526 6123

nicholas.campanella@barclays.comproposed decision and the headwinds from the Apple Valley and Park Water rate case decision.

We also expect AQN to provide its typical update on its suite of rate cases across its portfolio. In

addition, California SB254 Phase 2 legislation could be topical. Our 2Q26 EPS estimate is $0.01, Michael Brown

below current Bloomberg consensus of $0.05. In terms of negative year-over-year drivers, we +1 212 526 4885

michael.brown3@barclays.comanticipate the absence of a one-time tax gain last year stemming from the renewables sale, as

well as the negative impact from both a revenue decrease and retroactive true-up from the

Apple Valley and Park Water rate case decision. Higher depreciation and interest expense will

also contribute negatively. The California WEMA proposed decision could result in a $19 million