#Canada #Toronto #Hydro One #Ontario Energy Board #Ice Storm Recovery Grant

Hydro One Limited Reports First Quarter Results

Hydro One Limited, the largest electricity transmission and distribution company in Ontario, recently unveiled its financial and operational performance for the first quarter of 2025, which concluded on March 31, 2025. The results reveal significant growth in earnings, robust revenue increases, and a commitment to supporting communities impacted by recent dramatic weather events.

Financial Highlights

The first quarter of 2025 saw Hydro One report basic Earnings Per Share (EPS) of $0.60, marking an increase from $0.49 in the same quarter of the previous year. This EPS growth is primarily attributed to elevated revenues resulting from approved transmission and distribution rates from the Ontario Energy Board (OEB) for 2025, alongside a rise in average monthly peak demand. However, these benefits were partially offset by heightened depreciation, amortization, financing charges, and income tax expenses.

In terms of revenues, Hydro One generated $2.408 billion, which reflects an increase of $242 million year-over-year. When considering revenues net of purchased power, this number stands at $1.188 billion, representing a favorable increase of $118 million compared to Q1 2024. This growth can be largely attributed to the newly approved OEB rates and increased demand.

Significant Investments

During the quarter, Hydro One demonstrated its dedication to enhancing Ontario’s electricity transmission and distribution infrastructure through capital investments totaling $735 million, with $423 million in new assets placed into service. Notably, the Company’s wholly-owned subsidiary, Hydro One Networks Inc., finalized an acquisition of approximately 48% in the East-West Tie Limited Partnership, which manages a crucial 450-kilometer transmission line in Northern Ontario, valued at around $261 million.

Community Support Initiatives

In response to the severe March ice storm that disrupted power to over 600,000 customers, Hydro One completed more than 1.1 million service restorations. Recognizing the ongoing challenges faced by local communities, Hydro One introduced the Ice Storm 2025 Recovery Grant, which offers financial assistance to Indigenous communities and municipalities that suffered damage in the storm, providing grants up to $10,000.

Additionally, Hydro One announced the launch of its Energizing Life Community Fund for 2025, offering $25,000 grants to enhance local quality of life through various initiatives led by charitable organizations and municipalities. Since its inception in 2020, this fund has positively impacted 117 organizations across over 65 communities in Ontario.

Awards and Recognitions

Hydro One's commitment to safety and sustainability has been recognized with accolades from the Electricity Distributors Association (EDA). In March 2025, the Company received two prestigious awards—the EDA Public Electrical Safety Excellence Award for its public safety campaign and the EDA Sustainability Excellence Award for its sustainable financing framework.

Looking Ahead

Looking forward, Hydro One remains poised for continued growth, with ongoing investments aimed at reliability and enhanced service for its customers. With a focus on addressing aging infrastructure and integrating new generation sources, the Company is on track to fulfill its long-term strategic objectives.

In conclusion, Hydro One's Q1 results reflect strong financial health and a proactive approach to community engagement. By driving operational efficiencies, investing in vital infrastructure, and offering support to communities, Hydro One continues to solidify its position as a leader in Ontario’s electricity landscape.