First Read Fortis Inc: 2Q‘26 Inline; Guidance Unchanged

Research evidence excerpt

First Read Fortis Inc: 2Q‘26 Inline; Guidance Unchanged

Global Research

31 July 2026ab

First Read

EquitiesFortis Inc

2Q'26 Inline; Guidance Unchanged Canada

Electric Utilities

12-month rating Sell

Q: How did the results compare vs expectations?

A: FTS reported Q2'26 Adjusted EPS of C$0.78 vs C$0.76 consensus, C$0.75 UBSe, and 12m price target C$70.00

C$0.76 in Q2'25.

Price (30 Jul 2026) C$80.55

Q: What were the most noteworthy areas in the results?

RIC: FTS.TO BBG: FTS CNA: Drivers for the quarter were ITC up C$0.02, UNS Energy up C$0.02, and Western

Canadian Electric & Gas up C$0.01. These were partially offset by Corporate & Other -C Trading data and key metrics

$0.01, foreign exchange -C$0.01, and higher weighted average shares were -C$0.01. 52-wk range C$82.99-67.38

The sale of the Turks and Caicos utility and investments in Belize produced earnings Market cap. C$40.4b/US$28.8b

dilution of C$0.01 on the quarter.

Shares o/s 502m (COM)

Free float 99%

Q: Has the company's outlook/guidance changed?

Avg. daily volume ('000) 1,494

A: The company remains on track to deliver its $5.6 bln capital plan for this year, while

Avg. daily value (m) C$117.7

guidance for the '26-'30 capital plan of $28.8 bln remains unchanged. The 7% rate base

Common s/h equity (12/26E) C$25.1b

CAGR off the 2025 base through 2030 was reaffirmed. The key incremental opportunity

P/BV (12/26E) 1.6x

highlighted this quarter was the Tilbury LNG expansion project. In July 2026, Phase 1B of

FortisBC Energy's Tilbury LNG facility received an Order in Council (OIC) from the Net debt to EBITDA (12/26E) 6.3x

Province of British Columbia, approving $2 bln of capital in regulated rate base. EPS (UBS, diluted) (CAD)

Regulatory approvals remain outstanding, with construction beginning as early as mid- 12/26E