Algonquin Power & Utilities Cor Q1 FY2024 earnings call

• Leadership Announcements: Chris Huskilson appointed permanent CEO; new Board members Brett Carter (Group President of Utilities and Chief Customer Officer) and Chris Lopez (nominee, former CFO of Hydro One) joined; Ken Moore and Masheed Saidi to retire from the Board.
• Quarterly Update: Continued simplifying business towards pure-play regulated strategy; renewables sale on track; regulated business grew organically; closed $2.3 billion in financings (largest non-M&A related quarterly financing in company history).
• Regulated Services Group: Liberty Utilities won 2023 American Gas Association's Employee Safety Award; enterprise-wide technology system 'Customer First' rolled out; 15 rate reviews pending, Liberty Utilities pending rate request totaled $129.4 million at quarter end.
• Renewable Energy Group: Wound down renewables development joint venture; monetized small solar assets; developed Carvers Creek and Clearview Solar with site preparations and panel installation underway.

Regulated Services Group: Consolidated Q1 net utility and energy sales were $519.9 million, up 5.7% year-over-year. Adjusted EBITDA was $344.3 million, slightly up from the same period last year. Regulated net utility sales and divisional operating profit grew organically. Renewable Energy Group: Wound down renewables development joint venture, monetized 3 small solar development assets in Spain, purchased remaining 50% equity interest in Sandy Ridge II Wind Facility, sold Windsor Locks (74.9 MW thermal facility in Connecticut) for $17.7 million. Ended the quarter on budget with 2.7 GW of net economic ownership in renewable assets.

• 2024 is a transition year, so no full-year guidance provided. Acknowledged a busy rate case calendar will continue to weigh on regulatory lag until constructive resolutions to filings are reached.

• Regulatory lag due to an active schedule of 15 rate reviews and pending rate requests.
• Uncertainty related to the ongoing renewables sale process and its impact on the company's financials and strategic direction.

Q: Congrats on your permanent role. On asset sales, can you provide color on divestments?

A: Windsor Locks was a unique sale process; focus is on the renewables sale and investment in AY.

Q: Interest in power markets, impact on assets?

A: Development pipeline is strong with over 8 GW, and progress on projects in the pipeline.

Q: Regulated utilities growth, drivers?

A: Electrification, population movement to territories where the company operates, and growth in kilowatt hours.

Q: Succession planning, timeline for renewables sale?

A: Focus on developing succession across the company, renewables sale timeline unchanged.

Q: Liquidity, buyback potential?

A: Dependent on renewables sale proceeds and maintaining a solid BBB balance sheet; plans to update on buyback potential post-sale.