Fortis Inc. Reports Second Quarter Net Earnings of $396 Million
The regulated utility operator saw second quarter revenue rise to $2.93 billion from $2.82 billion a year earlier
Fortis Inc. (FTS), a diversified leader in the North American regulated electric and gas utility industry, reported net earnings attributable to common equity shareholders of $396 million for the second quarter of 2026. This represents an increase from the $384 million reported in the second quarter of 2025. Basic earnings per common share were 0.78 for the quarter, compared to 0.76 a share in the prior year.
Revenue for the quarter rose to $2.93 billion from $2.82 billion in the same period last year. The company attributed the increase to higher electricity sales, Rate Base growth, and higher flow-through and recoverable costs in customer rates, which were largely related to higher commodity costs at Central Hudson. These gains were partially offset by the 2025 dispositions of Fortis Belize and FortisTCI, lower wholesale pricing at UNS Energy due to market conditions, and a shift in the timing of quarterly revenue for delivery rates at Central Hudson.
Earnings growth was driven by Rate Base growth across utilities and higher retail electricity sales at UNS Energy, which included the impact of warmer weather. However, the company said growth was moderated by higher holding company finance costs and costs associated with Rate Base growth not yet reflected in customer rates. The impact of foreign exchange and the 2025 dispositions of the businesses in Belize and Turks and Caicos also unfavourably impacted earnings.
On a year-to-date basis, net earnings were $897 million, an increase of $14 million compared to the first half of 2025. Year-to-date revenue reached $6.33 billion, up from $6.15 billion in the prior year. The company noted that the year-to-date revenue increase was partially offset by a lower U.S. dollar-to-Canadian dollar exchange rate.
Operating cash flow for the second quarter rose to $1.13 billion from $804 million in the prior year. For the first half of 2026, the company reported capital expenditures of $2.7 billion. Fortis said its $5.6 billion annual capital plan remains on track.
Recent infrastructure developments include the completion of the Roadrunner Reserve II battery project in Arizona and the approval of the Phase 1B expansion at the Tilbury LNG Facility in British Columbia.
As of June 30, 2026, the company had $500 million available under its at-the-market equity program and $1.5 billion available under a short-form base shelf prospectus. Consolidated fixed-term debt maturities are expected to average $1.8 billion annually over the next five years.