Fortis Inc. Releases First Quarter 2026 Results
Rhea-AI Summary
Fortis (TSX/NYSE: FTS) reported Q1 2026 net earnings of $501 million or $0.99 per common share, broadly in line with Q1 2025. Capital expenditures were $1.4 billion in Q1 with a $28.8 billion five-year plan on track. UNS Gas received an approved ROE of 9.61% and formulaic rates effective March 1, 2026. Major capital projects advanced, including ITC transmission work supporting up to 1,900 MW of data center load and Tilbury LNG expansion environmental review work. Morningstar DBRS confirmed an A (low) issuer rating with a stable outlook.
Positive
- Q1 net earnings of $501 million, $0.99 per share
- $1.4 billion capital expenditures in Q1; $28.8 billion five-year capital plan on track
- UNS Gas ROE 9.61% and formulaic rate mechanism effective March 1, 2026
Negative
- Lower earnings at UNS Energy due to wholesale market conditions and planned generation maintenance
- Dispositions in Turks and Caicos and Belize in 2025 reduced Q1 EPS by $0.02 and expected to dilute annual EPS by $0.05
Key Figures
Market Reality Check
Peers on Argus
FTS was up 0.97% while close peers were mixed: CNP gained 1.62%, but AEE, DTE, FE and PPL declined between roughly 0.66% and 2.45%, indicating a company-specific bias rather than a broad Utilities move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Apr 29 | Earnings call advisory | Neutral | +1.7% | Announcement of Q1 2026 results release date and related webcast details. |
| Apr 08 | Earnings call advisory | Neutral | +0.1% | Scheduling notice for Q1 2026 teleconference and annual meeting logistics. |
| Oct 27 | Earnings call advisory | Neutral | -0.9% | Notice of Q3 2025 results and new five-year capital outlook release date. |
| Sep 30 | Earnings call advisory | Neutral | +1.3% | Teleconference announcement for Q3 2025 results and 2026–2030 outlook. |
| Aug 01 | Quarterly earnings | Positive | +1.9% | Strong Q2 2025 results and capital plan supporting rate base and dividend growth. |
Earnings-related announcements have historically produced modest moves, with an average absolute move of about 0.82% around such events.
Recent Fortis news flow has centered on earnings and communication around financial results. Prior earnings-tagged items in 2025–2026 were mainly advisories for upcoming teleconferences and capital outlook updates, with share-price reactions generally contained within about a percent. Today’s first quarter 2026 results fit into that pattern of predictable, scheduled disclosures alongside a multi-year capital plan and dividend growth framework already outlined in earlier releases.
Historical Comparison
Past earnings-related releases for FTS, often advisories and quarterly updates, have yielded average moves of about 0.82%, suggesting typically contained reactions around these events.
Earnings news has evolved from Q2 2025 performance and a 2026–2030 capital outlook to repeated advisories and now detailed Q1 2026 results within the same long-term growth framework.
Market Pulse Summary
This announcement details Q1 2026 earnings of $501 million (EPS $0.99), steady capital deployment of about $1.4 billion in the quarter, and progress on a $28.8 billion 2026–2030 capital plan expected to grow rate base to $57.9 billion. Investors may focus on regulatory outcomes in Arizona, execution of major projects such as data-center-driven load growth, and whether earnings consistently support the stated 4–6% annual dividend growth guidance through 2030.
Key Terms
rate of return on common equity financial
capital structure financial
non-u.s. gaap financial
environmental assessment regulatory
liquefied natural gas technical
rate base financial
compound annual growth rate financial
AI-generated analysis. Not financial advice.
This news release constitutes a "Designated News Release" incorporated by reference in the prospectus supplement dated December 9, 2024 to Fortis' short form base shelf prospectus dated December 9, 2024.
ST. JOHN'S, Newfoundland and Labrador, May 06, 2026 (GLOBE NEWSWIRE) -- Fortis Inc. ("Fortis" or the "Corporation") (TSX/NYSE: FTS), a diversified leader in the North American regulated electric and gas utility industry, released its first quarter results.1
Highlights
- First quarter net earnings of
$501 million or$0.99 per common share - Capital expenditures2 of
$1.4 billion in the first quarter;$5.6 billion annual capital plan on track - Approval received for the UNS Gas general rate application, including formulaic rates; TEP rate case continues to progress
- The Corporation's major capital projects and load growth opportunities continue to advance
"We are pleased with our start to 2026 as our teams continue to build on the momentum from last year," said David Hutchens, President and Chief Executive Officer, Fortis. "First quarter results were in line with our expectations, and reflect the strength of our diversified business and the continued execution of our low-risk capital plan."
Executive Retirement
Effective May 31, 2026, Gary Smith, Executive Vice President, Operations and Technology, will retire after a 42-year career with the Corporation. Mr. Smith joined Fortis in 2017 having previously served as President and Chief Executive Officer of Newfoundland Power and in senior executive roles with Maritime Electric and FortisAlberta. Following his retirement, Mr. Smith’s areas of oversight will be assumed by other senior executives.
“Gary's leadership has had a lasting impact on our business and our industry,” said Mr. Hutchens. "He truly lived our values, led with integrity, and built strong, trusted relationships. We wish him all the best in retirement."
Net Earnings
The Corporation reported net earnings attributable to common equity shareholders ("Net Earnings") of
The Corporation reported earnings per common share of
On an earnings per common share basis, the 2025 dispositions had a
Regulatory Update
In February 2026, the Arizona Corporation Commission ("ACC") issued a decision on the UNS Gas general rate application approving a
The general rate application at Tucson Electric Power ("TEP") continues to progress, with testimony filed by TEP and ACC staff during the quarter. Based on the procedural schedule, an order is anticipated in the fall.
| 1 | Financial information is presented in Canadian dollars unless otherwise specified. | |
| 2 | Capital expenditures is a financial measure used by Fortis that does not have a standardized meaning under generally accepted accounting principles in the United States of America ("U.S. GAAP") and may not be comparable to similar measures presented by other entities. Fortis presents this non-U.S. GAAP measure because management and external stakeholders use it in evaluating the Corporation's financial performance. Refer to the Non-U.S. GAAP Reconciliation provided herein. | |
Capital and Other Growth Updates
The Corporation's major capital projects continue to advance. At ITC, a significant milestone was achieved in March 2026 when the substation was completed to support 300 megawatts ("MW") of load growth for the first data center at the Big Cedar Industrial Center. Additional transmission upgrade work for the Big Cedar Load Expansion project is also underway at this location to serve another 1,600 MW of new data center load which is expected to be completed by 2028.
In March 2026, FortisBC Energy submitted a revised Environmental Assessment Application for the Tilbury LNG Storage Expansion project. The revised application incorporates the expansion option approved by the British Columbia Utilities Commission in 2025. The environmental assessment process is expected to continue throughout 2026.
In March 2026, the ACC approved an amendment to the Springerville Generating Station's Certificate of Environmental Compatibility to permit the conversion from coal-fired to natural gas-fired generation. This approval advances TEP's plans to extend the operational life of the facility and supports long-term customer affordability and system reliability.
Load growth opportunities also continue to advance in Arizona. In April 2026, credit support was obtained for the energy supply agreement signed in 2025 to serve a planned data center in TEP's service territory with initial potential power demand of approximately 300 MW.
Credit Ratings
In May 2026, Morningstar DBRS confirmed the Corporation's A (low) issuer and senior unsecured debt credit ratings and stable outlook.
Outlook
Fortis continues to enhance shareholder value through the execution of its capital plan, the balance and strength of its diversified portfolio of regulated utility businesses, and growth opportunities within and proximate to its service territories. The Corporation's
Beyond the five-year capital plan, opportunities to expand and extend growth include: further expansion of the electric transmission grid in the U.S. to support load growth and facilitate the interconnection of new energy resources; transmission investments associated with the Midcontinent Independent System Operator ("MISO") long-range transmission plan and MISO transmission expansion plan, as well as regional transmission in New York; grid resiliency and climate adaptation investments; investments in renewable gas and liquefied natural gas infrastructure in British Columbia; and energy infrastructure investments to support the acceleration of load growth across our jurisdictions.
| Non-U.S. GAAP Reconciliation | ||||||||
| Quarter ended March 31 | ||||||||
| ($ millions) | 2026 | 2025 | Variance | |||||
| Capital Expenditures | ||||||||
| Additions to property, plant and equipment | 1,503 | 1,483 | 20 | |||||
| Additions to intangible assets | 45 | 60 | (15 | ) | ||||
| Adjusting item: | ||||||||
| Eagle Mountain Pipeline Project4 | (186 | ) | (123 | ) | (63 | ) | ||
| Capital Expenditures | 1,362 | 1,420 | (58 | ) | ||||
About Fortis
Fortis is a diversified leader in the North American regulated electric and gas utility industry with 2025 revenue of
| 3 | Growth rate calculated using a constant U.S. dollar-to-Canadian dollar exchange rate. | |
| 4 | Represents contributions in aid of construction received for the Eagle Mountain Pipeline project. | |
Forward-Looking Information
Fortis includes forward-looking information in this media release within the meaning of applicable Canadian securities laws and forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, (collectively referred to as "forward-looking information"). Forward-looking information reflects expectations of Fortis management regarding future growth, results of operations, performance, business prospects and opportunities. Wherever possible, words such as anticipates, believes, budgets, could, estimates, expects, forecasts, intends, may, might, plans, projects, schedule, should, target, will, would, and the negative of these terms, and other similar terminology or expressions, have been used to identify the forward-looking information, which includes, without limitation: forecast capital expenditures for 2026 through 2030; expected timing, outcomes and impacts of regulatory proceedings and decisions; expected nature, timing, benefits, and costs associated with major capital projects and load growth opportunities, including ITC's Big Cedar Load Expansion project, FortisBC Energy's Tilbury LNG Storage Expansion project, TEP's Springerville Natural Gas Conversion project, and TEP's energy supply agreement with a customer to support a planned data center in TEP's service territory; forecast midyear rate base for 2030 and forecast five-year compound annual growth rate; the expectation that long-term growth in rate base will drive earnings that support dividend growth guidance of 4
Forward-looking information involves significant risks, uncertainties and assumptions. Certain material factors or assumptions have been applied in drawing the conclusions contained in the forward-looking information, including, without limitation: the successful execution of the capital plan; no material capital project and financing cost overrun; sufficient human resources to deliver service and execute the capital plan; the realization of additional opportunities beyond the capital plan; no significant variability in interest rates; no material changes in the assumed U.S. dollar-to-Canadian dollar exchange rate; the continuation of current participation levels in the Corporation's dividend reinvestment plan; reasonable outcomes for legal and regulatory proceedings and the expectation of regulatory stability; and the Board of Directors of the Corporation exercising its discretion to declare dividends, taking into account the business performance and financial condition of the Corporation. Fortis cautions readers that a number of factors could cause actual results, performance or achievements to differ materially from the results discussed or implied in the forward-looking information. For additional information with respect to certain risk factors, reference should be made to the continuous disclosure materials filed from time to time by the Corporation with Canadian securities regulatory authorities and the Securities and Exchange Commission. All forward-looking information herein is given as of the date of this media release. Fortis disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
Teleconference and Webcast to Discuss First Quarter 2026 Results
A teleconference and webcast will be held on May 6, 2026 at 8:30 a.m. (Eastern) during which David Hutchens, President and Chief Executive Officer and Jocelyn Perry, Executive Vice President and Chief Financial Officer will discuss the Corporation's first quarter financial results.
Shareholders, analysts, members of the media and other interested parties are invited to listen to the teleconference via the live webcast on the Corporation's website, www.fortisinc.com/investors/events-and-presentations.
Those members of the financial community in Canada and the United States wishing to ask questions during the call are invited to participate toll free by calling 1.833.821.0229. Individuals in other international locations can participate by calling 1.647.846.2371. Please dial in 10 minutes prior to the start of the call. No access code is required.
An archived audio webcast of the teleconference will be available on the Corporation's website two hours after the conclusion of the call until June 6, 2026. Please call 1.855.669.9658 or 1.412.317.0088 and enter access code 7228296#.
Additional Information
This news release should be read in conjunction with the Corporation's March 31, 2026 Interim Management Discussion and Analysis and Condensed Consolidated Financial Statements. This and additional information can be accessed at www.fortisinc.com, www.sedarplus.ca, or www.sec.gov.
A .pdf version of this press release is available at: http://ml.globenewswire.com/Resource/Download/7b069971-3b34-45c3-9d57-3fced97781ba
| For more information, please contact: | |
| Investor Enquiries | Media Enquiries |
| Ms. Stephanie Amaimo | Ms. Karen McCarthy |
| Vice President, Investor Relations | Vice President, Communications & Government Relations |
| Fortis Inc. | Fortis Inc. |
| 248.946.3572 | 709.737.5323 |
| investorrelations@fortisinc.com | media@fortisinc.com |
