Fortis Inc. (NYSE:FTS) delivered third-quarter earnings well above expectations on Tuesday, while also announcing a dividend increase and a larger five-year capital investment plan to accelerate growth across its North American utility network.
The regulated utility company reported adjusted earnings per share of $0.87, topping analyst expectations of $0.61. Net earnings came in at $409 million, or $0.81 per share, compared with $0.85 per share in the same quarter a year ago.
Excluding $32 million in costs tied to the sale of FortisTCI, adjusted earnings rose $21 million year-over-year, driven primarily by rate base expansion across its utilities and major capital projects, as well as favorable U.S. dollar-to-Canadian dollar exchange rates.
These gains were partially offset by higher costs at UNS Energy, regulatory changes at FortisAlberta, and increased holding company financing expenses.
“During the third quarter, our utilities delivered earnings growth and executed capital investments in line with expectations,” said David Hutchens, President and CEO of Fortis. “Today we are pleased to unveil our largest five-year capital plan of $28.8 billion, an increase of $2.8 billion over our prior plan.”
The new 2026–2030 capital plan represents a 10.8% increase over the company’s previous five-year forecast, primarily driven by higher transmission investments at ITC and additional capital projects at UNS Energy for transmission and distribution infrastructure. The plan is expected to support 7% annual rate base growth through 2030.
Fortis also raised its quarterly dividend to $0.64 per share, a 4.1% increase from the previous payout, and reaffirmed its annual dividend growth target of 4–6% through 2030.
In addition, Fortis completed the sale of its Turks and Caicos utility in September 2025 and its Belize assets in October 2025. The proceeds will be used to strengthen the balance sheet and enhance financial flexibility for future regulated growth initiatives.