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Hydro One Reports Strong Financial Results for Q2 2025

Hydro One Limited, Ontario's premier electricity transmission and distribution provider, has unveiled its financial results for the second quarter ended June 30, 2025. The company reported a notable basic earnings per share (EPS) increase to $0.54, a rise from $0.49 in the same period last year, marking a positive shift in its financial health.

Key Highlights of Q2

The financial upswing was attributed to heightened revenues, resulting largely from the Ontario Energy Board’s (OEB) approved 2025 transmission and distribution rates and a growth in energy consumption. Revenues reached $2,066 million, reflecting an increase of $35 million from Q2 of 2024. Notably, the revenues, net of purchased power, surged to $1,167 million, up by $76 million year-over-year, demonstrating a robust operational performance despite rising depreciation, asset removal costs, and financing charges.

The Ontario government, recognizing the pressing energy demands of the province, released its first Integrated Energy Plan, which outlines strategies to meet energy growth through new transmission infrastructure. This move is pivotal as Hydro One continues making significant investments to facilitate energy needs across Ontario’s expanding communities.

Additionally, Hydro One announced the allocation of the Ice Storm 2025 Recovery Grant to 50 recipients, designed to support local recovery initiatives following the devastating ice storm earlier this year, with grants of up to $10,000 each.

Collaborative Achievements

A milestone was reached when Hydro One and the Power Workers' Union (PWU) confirmed the ratification of a new collective agreement, covering front-line and customer-facing roles within the company’s operations. This agreement aims to ensure a stable working environment for employees from October 1, 2025 to March 31, 2028.

In line with its commitment to sustainability, Hydro One has published its annual sustainability report, highlighting its continued progress towards environmental, social, and governance (ESG) goals. After being recognized by Corporate Knights for the 10th consecutive year as one of the Best 50 Corporate Citizens in Canada, it emphasizes Hydro One's commitment to responsible corporate practices.

Capital Investments and Future Outlook

Throughout Q2, Hydro One invested $913 million in capital projects, allocating $591 million to new assets placed in service. This strategic focus on infrastructure underscores Hydro One’s commitment to maintaining and upgrading the transmission and distribution networks essential for Ontario’s electricity reliability.

President and CEO David Lebeter remarked, “Ontario is growing fast. There’s an increasing need for energy to power homes, communities, and businesses,” reiterating Hydro One’s role in enabling economic growth through enhanced energy infrastructure.

Looking ahead, Hydro One remains dedicated to addressing the aging power system infrastructure while enhancing service to meet the growing demands of its customers—an essential strategy for supporting a prosperous future for Ontario.

With continuing investments and a focus on sustainability, Hydro One is well-positioned to meet the expected rise in electricity consumption and contribute positively to both local and provincial economies.

Conclusion

As Hydro One steps into the latter half of 2025, the company stands as a vital provider poised to support Ontario’s energy needs. With stable financial performance, strategic investments, and a clear commitment to sustainability, Hydro One is set to play a critical role in ensuring that Ontario’s electricity systems are robust and future-ready.