Hydro One Reports Third Quarter Results

Executive Summary

• Hydro One reported third-quarter 2025 financial results, showing an increase in net income and earnings per share compared to the same period in 2024, driven by OEB-approved rate increases and higher peak demand.
• The company announced a significant financing event, pricing $1.1 billion in Medium-Term Notes under its Sustainable Financing Framework to fund green projects.
• Operational updates include the groundbreaking of the $471.9 million St. Clair Transmission Line Project and a change in executive leadership, with David Lebeter resuming his role as CEO.

Key Details

• Financial Performance (Q3 2025 vs Q3 2024):
  • Net income attributable to common shareholders: $421 million (up from $371 million).
  • Basic EPS: $0.70 (up from $0.62).
  • Diluted EPS: $0.70 (up from $0.62).
  • Revenues: $2,299 million (up from $2,192 million).
  • Revenues, net of purchased power: $1,219 million (up from $1,145 million).
  • Net cash from operating activities: $713 million (up from $623 million).
• Financing Activity:
  • Hydro One Inc. priced an offering of $1.1 billion aggregate principal amount of Medium-Term Notes.
  • Note Structure:
    • $450 million of 3.94% Medium-Term Notes, Series 61, due 2032.
    • $300 million of 4.30% Medium-Term Notes, Series 62, due 2035.
    • $350 million of 4.95% Medium-Term Notes, Series 63, due 2055.
  • Proceeds are allocated to finance/refinance eligible green projects under the Sustainable Financing Framework.
• Dividends:
  • Quarterly dividend declared at $0.3331 per share.
  • Payable on December 31, 2025, to shareholders of record on December 10, 2025.
• Capital Investments & Operations:
  • Capital investments for the quarter: $779 million (vs $773 million in 2024).
  • Assets placed in-service: $577 million (vs $597 million in 2024).
  • Transmission average monthly Ontario 60-minute peak demand: 23,080 MW (vs 22,694 MW).
  • Distribution electricity distributed: 7,937 GWh (vs 7,691 GWh).
• Project Updates:
  • Groundbreaking of the St. Clair Transmission Line Project in southwestern Ontario.
  • Total investment: $471.9 million.
  • Includes a 50-50 First Nation Equity Partnership Model for the transmission line component.
• Management Changes:
  • David Lebeter resumed his role as President and Chief Executive Officer on November 12, 2025, following compassionate care leave.

Notable Quotes

• "Electricity demand in southwestern Ontario is growing fast, and Hydro One continues to support this growth through development of critical infrastructure, such as the St. Clair Transmission Line Project, to strengthen power resiliency and reliability in the region," said David Lebeter, President and Chief Executive Officer, Hydro One.