Fortis Inc

Fortis Inc. has priced a public offering of US$1 billion aggregate principal amount of fixed-to-fixed rate junior subordinated notes, comprising US$500 million of 6.625% notes due March 30, 2057 and US$500 million of 6.875% notes due March 30, 2057. The offering is being made on a firm commitment basis through a syndicate of underwriters co-led by Morgan Stanley & Co. LLC, MUFG Securities Americas Inc., Wells Fargo Securities, LLC and BofA Securities, Inc., with the closing expected on September 21, 2026. Fortis intends to use the net proceeds to repay maturing indebtedness and for general corporate purposes. The notes will be issued under a prospectus supplement to Fortis' short form base shelf prospectus dated December 9, 2024, filed with Canadian securities regulators and the U.S. Securities and Exchange Commission.

Fortis Inc. reported second-quarter 2026 net earnings of $396 million, an increase of $26 million compared to the same period last year, with earnings per share of $0.78, up $0.02. The company invested $2.7 billion in capital expenditures through June, representing approximately half of its $5.6 billion annual plan, and reaffirmed its 7% average annual rate base growth projection through 2030, supported by a $26 billion five-year capital plan. A key development was the provincial government's approval of the $2 billion Tilbury LNG Phase 1B expansion, which is expected to begin construction in 2027 and enter service by 2031. Fortis also maintained its 4% to 6% annual dividend growth guidance through 2030, marking 52 consecutive years of dividend increases. Earnings growth was driven by rate base expansion at ITC and higher retail electricity sales at UNS Energy, partially offset by higher finance costs and regulatory lag.

Fortis shares could be trading about 70% below fair value following its second quarter 2026 results, according to a Simply Wall St analysis. The stock currently trades at CA$79.80, while a discounted cash flow model estimates a future cash flow value of CA$269.04. This contrasts with a more cautious analyst-based fair value estimate of CA$79.43, which suggests the stock is about fairly priced. The company reported higher sales and net income for the quarter and received approval for a major Tilbury LNG expansion project in British Columbia.

Fortis Inc. reported a higher profit for its second quarter. Net income climbed to C$396 million, or C$0.78 per share, from C$384 million, or C$0.76 per share, in the same period last year. Revenue increased 4.1 percent to C$2.931 billion from C$2.815 billion a year earlier.

Fortis Inc. reported second-quarter 2026 GAAP earnings per share of $0.78, exceeding analyst expectations by $0.02. Net earnings attributable to common equity shareholders rose to $396 million from $384 million in the same quarter last year. The company invested $2.7 billion in capital expenditures during the first half of 2026 and remains on track with its $5.6 billion annual capital plan. Fortis also reaffirmed its $28.8 billion five-year capital plan, which is expected to grow the midyear rate base from $42.4 billion in 2025 to $57.9 billion by 2030, a 7% compound annual growth rate, supporting long-term earnings and annual dividend growth guidance of 4% to 6% through 2030.

Fortis Inc. reported second quarter 2026 net earnings of $396 million, or $0.78 per common share, up from $0.76 per common share in the same period last year. The company said rate base growth across its utilities and higher retail electricity sales at UNS Energy contributed to the increase, partially offset by higher costs not yet reflected in customer rates, a shift in quarterly revenue at Central Hudson, and higher holding company finance costs. Capital expenditures reached $2.7 billion in the first half of 2026, keeping the $5.6 billion annual capital plan on track. The Tilbury Phase 1B expansion at FortisBC Energy's LNG facility received provincial approval with a cost allowance of up to $2.2 billion, advancing an incremental capital opportunity beyond the current five-year plan. Fortis also completed the Roadrunner Reserve II battery storage project in Arizona, a 200-megawatt system capable of storing 800 megawatt hours of energy.

Fortis Inc. announced a quarterly dividend of $0.3418 per share for its First Preference Series K shares. The dividend is payable on September 1 to shareholders of record as of August 19, with the ex-dividend date also set for August 19.

Wataynikaneyap Power has energized Muskrat Dam First Nation, connecting the remote northern Ontario community to the provincial power grid on April 9, 2026, and allowing it to turn off its diesel generators. Muskrat Dam is the 16th of 17 remote First Nations to be connected under the 1,800-kilometre Wataynikaneyap Power transmission system, which is majority-owned by an equal partnership of 24 First Nations alongside Fortis Inc. and other private investors. Chief Carla Duncan said the grid connection removes long-standing power constraints, enabling the community to plan for growth including new homes and an Aboriginal Head Start Program, while eliminating the high cost of flying in diesel when winter roads are unavailable. The transmission line to Muskrat Dam spans 700 kilometres and five substations from Dinorwic, Ontario, and the community will now receive local distribution service from Hydro One Remote Communities Inc. Wataynikaneyap Power continues to work with McDowell Lake First Nation, the 17th community, toward future grid connection.