ATCO Reports 2024 Earnings

ATCO Ltd. (ATCO or the Company) announced adjusted earnings ⁽¹⁾ in 2024 of $481 million ($4.29 per share), which were $49 million ($0.47 per share) higher compared to $432 million ($3.82 per share) in 2023. Fourth quarter adjusted earnings in 2024 of $146 million ($1.30 per share) were $19 million ($0.17 per share) higher compared to $127 million ($1.13 per share) in the fourth quarter of 2023.

2024 earnings attributable to Class I and Class II Shares reported in accordance with International Financial Reporting Standards (IFRS earnings) were $430 million ($3.83 per share) compared to $432 million ($3.82 per share) in 2023. Fourth quarter 2024 IFRS earnings were $138 million ($1.23 per share) compared to $95 million ($0.85 per share) in the fourth quarter of 2023.

(1) Adjusted earnings is a total of segments measure. See Other Financial and Non-GAAP Measures Advisory included in this News Release.

Recent Developments

ATCO Structures

• Awarded multiple contracts totaling $29 million to supply and install an accommodation camp, and to design and supply mine dry and administrative facilities for a uranium mine in Western Canada. Delivery of units commenced during the fourth quarter of 2024 with final site completion expected in the second quarter of 2025.
• Awarded a $12 million contract to decommission and relocate a rapid deployment camp in the Pilbara region of Western Australia. The project commenced during the fourth quarter of 2024 and is expected to be completed during the second quarter of 2025.
• Awarded a $4 million contract to supply and install auxiliary buildings in support of an expansion project for a mine site located in north-central Chile. The rental term of 19 months is expected to commence in the first quarter of 2025.

Ashcor

• Subsequent to year end, on January 6, 2025, Ashcor announced an agreement with Consumers Energy to extract and repurpose impounded coal ash from the soon to be retired J.H. Campbell Generating Complex, located near Holland, Michigan. This project represents Ashcor’s first RAM™ facility in the United States. Construction of the facility is expected to begin in the second quarter of 2025 with operations anticipated to begin early 2027.

Canadian Utilities

• On November 8, 2024, ATCO Gas Australia received the final Access Agreement (AA6) decision from the Economic Regulation Authority (ERA). This final decision is a result of a constructive and collaborative regulatory process. The decision from the ERA approves the prices for ATCO Gas Australia’s gas distribution network for the next five years. The decision also determines the rate of return for the AA6 period, which adopts a return on equity of 8.23 per cent, compared to 5.02 per cent in the previous Access Arrangement.
• In 2024, ATCO Energy Systems has advanced two large utility infrastructure projects; Yellowhead Mainline Project (Yellowhead) in Natural Gas Transmission and the Central East Transfer Out Project (CETO) in Electricity Transmission.
  • Stakeholder engagement for Yellowhead has begun and is progressing well. ATCO Pipelines has hosted 10 open houses in various communities along the proposed project route. Yellowhead consists of approximately 200-230 kilometres of high-pressure natural gas pipeline and is on-track for construction to commence in 2026, subject to regulatory and the Company’s approvals.
  • Electricity Transmission began construction in the third quarter of 2024 of the CETO project. The construction of the 135-km 240kV transmission line will support renewable energy integration in Alberta and transport electricity in the counties of Red Deer, Lacombe and Stettler, supplying more than 1,500 megawatts of electricity to Alberta’s grid. Electricity Transmission is building 85-km of the transmission line and AltaLink LP is constructing the remaining 50-km.
• Incurred $559 million and $1,611 million in capital expenditures in the fourth quarter and full year of 2024, of which 89 per cent and 92 per cent, respectively, were invested in our regulated utilities in ATCO Energy Systems and ATCO Australia, with the remaining 11 per cent and 8 per cent largely invested in ATCO EnPower.
• The Regulated Utilities’ capital expenditure plan for 2025 – 2027 includes a minimum expected expenditure of $6.1 billion.

Corporate

• On January 9, 2025, ATCO declared a first quarter dividend of 50.45 cents per share or $2.02 per share Class I non-voting and Class II voting share on an annualized basis.

This news release should be read in concert with the full disclosure documents. ATCO’s consolidated financial statements and management’s discussion and analysis for the year ended December 31, 2024 will be available on the ATCO website (www.ATCO.com), via SEDAR+ (www.sedarplus.ca) or can be requested from the Company.

For full results click here.

About ATCO

As a global enterprise ATCO Ltd. and its subsidiary and affiliate companies have approximately 20,000 employees and assets of $26 billion. ATCO is committed to future prosperity by working to meet the world’s essential energy, housing, security and transportation challenges. ATCO Structures designs, builds and delivers products to service the essential need for housing and shelter around the globe. ATCO Frontec provides operational support services to government, defence and commercial clients. ATCO Energy Systems delivers essential energy for an evolving world through its electricity and natural gas transmission and distribution, and international operations. ATCO EnPower creates sustainable energy solutions in the areas of renewables, energy storage, industrial water and alternative fuels. ATCO Australia develops, builds, owns and operates energy and infrastructure assets. ATCOenergy and Rümi provide retail electricity and natural gas services, home maintenance services and professional home advice that bring exceptional comfort, peace of mind and freedom to homeowners and customers. ATCO also has investments in ports and transportation logistics, the processing and marketing of fly ash, retail food services and commercial real estate. More information can be found at www.ATCO.com.

Contact:

Colin Jackson – Senior Vice President, Finance, Treasury & Sustainability – Colin.Jackson@atco.com – (403) 808-2636

Source: ATCO Ltd.