#Canada #Toronto #Hydro One #St. Clair Project #Ontario Energy

Hydro One Reports Third Quarter Results

Hydro One Limited, a key player in Ontario's electricity transmission and distribution, has just published its financial and operational outcomes for the third quarter ending September 30, 2025. The results reflect a promising year with several highlights.

Financial Performance

In the third quarter, Hydro One achieved basic earnings per share (EPS) of $0.70, showing an improvement from $0.62 during the same timeframe in 2024. This increase in EPS is primarily attributed to higher revenues from Ontario Energy Board (OEB)-approved transmission and distribution rates for 2025, coupled with a surge in average monthly peak demand. However, these gains were tempered slightly by increased financing charges and rising depreciation costs.

The overall revenues for the quarter amounted to $2.299 billion, marking a $107 million increase compared to Q3 2024. When factoring in costs related to purchased power, the net revenue rose to $1.219 billion, an increase of $74 million from the prior year.

Operating Highlights

Hydro One's operational activities remained strong, with the company investing $779 million in capital improvements for the quarter. This included placing $577 million worth of new assets into service, reinforcing their commitment to enhancing the electricity infrastructure throughout Ontario. Additionally, net income attributable to common shareholders rose to $421 million, compared to $371 million in the previous year, demonstrating the company’s robust performance.

Community Engagement and Project Development

One of the significant milestones for Hydro One during this period was the groundbreaking of the St. Clair Transmission Line Project in southwestern Ontario, celebrated in partnership with First Nation groups and local leaders. This critical project, with a projected investment of $471.9 million, aims to facilitate economic growth in the region, particularly in sectors like electric vehicle manufacturing and agriculture.

Hydro One is also committed to community support as demonstrated through its annual Power to Give Month campaign, which raised over $2.1 million for various Canadian causes, driven predominantly by employee contributions matched by the company. Additionally, 28 Indigenous communities and local organizations received funding of $25,000 each through Hydro One's Energizing Life Funds to support local initiatives.

Awards and Recognition

Hydro One's commitment to excellence has not gone unnoticed, as the company has been awarded the Ontario Energy Association's Company of the Year Award for the second consecutive year. This recognition highlights Hydro One's contributions and leadership within the energy sector in Ontario.

Looking Ahead

David Lebeter has resumed his role as President and CEO, bringing renewed focus to Hydro One’s vision amidst a growing electricity demand landscape in southwestern Ontario. With continual investments in infrastructure and sustainability initiatives, Hydro One aims to support local economies while ensuring reliability in electricity supply. As Lebeter stated, "Our success is tied to Ontario's success, and we will continue to support local businesses, with more than 93% of our procurement coming from Canadian companies, 76% of which are based in Ontario."

The company has also declared a quarterly dividend of $0.3331 per share, scheduled for payment on December 31, 2025, marking another positive indicator for stakeholders and investors alike.

Conclusion

Hydro One continues to demonstrate both financial strength and community commitment in a rapidly evolving market. As they expand projects like the St. Clair Transmission Line and increase support for local initiatives, Hydro One is positioning itself as a pillar of growth and reliability in Ontario's evolving energy landscape.