Algonquin Power & Utilities Corp (AQN) 2024 Q4 法說會逐字稿

Hello, and welcome to the Algonquin Power & Utilities fourth quarter and yearend 2024 earnings conference call. (Operator Instructions)

您好，歡迎參加 Algonquin Power & Utilities 2024 年第四季和年終收益電話會議。（操作員指令）

I will now turn the conference over to Mr. Brian Chin, Vice President of Investor Relations. Please go ahead.

現在，我將會議交給投資者關係副總裁 Brian Chin 先生。請繼續。

Thank you, operator, and good morning, everyone. Thank you for joining us for our fourth quarter and full year 2024 earnings conference call.

謝謝接線員，大家早安。感謝您參加我們的 2024 年第四季和全年財報電話會議。

Joining me on the call today will be Chris Huskilson, Chief Executive Officer; Rod West, incoming Chief Executive Officer; Darren Myers, Chief Financial Officer; and Sarah MacDonald, Chief Transformation Officer.

今天與我一起參加電話會議的還有首席執行官 Chris Huskilson；即將上任的首席執行官羅德·韋斯特 (Rod West)；達倫·邁爾斯（Darren Myers），首席財務官；以及首席轉型官 Sarah MacDonald。

To accompany today's earnings call, we have a supplemental webcast presentation available on our website, algonquinpower.com. Our financial statements and management discussion and analysis are also available on the website as well as on SEDAR+ and EDGAR.

為了配合今天的收益電話會議，我們在我們的網站 algonquinpower.com 上提供了補充網路廣播簡報。我們的財務報表和管理討論與分析也可在網站以及 SEDAR+ 和 EDGAR 上查閱。

We would like to remind you that our discussion during the call will include certain forward-looking information and non-GAAP measures. Actual results could differ materially from any forecast or projection contained in such forward-looking information. Certain material factors and assumptions were applied in making the forecasts and projections reflected in such forward-looking information.

我們想提醒您，我們在電話會議中的討論將包括某些前瞻性資訊和非公認會計準則指標。實際結果可能與此類前瞻性資訊中包含的任何預測或預期有重大差異。在製定此類前瞻性資訊所反映的預測和預期時，我們應用了某些重要因素和假設。

Please note and review the related disclaimers located on slide 2 of our earnings call presentation at the Investor Relations section of our website at algonquinpower.com. Please also refer to our most recent MD&A filed on SEDAR+ and EDGAR and available on our website for additional important information on these items.

請注意並審查我們網站 algonquinpower.com 投資者關係部分的收益電話會議簡報第 2 頁幻燈片中的相關免責聲明。有關這些項目的更多重要信息，請參閱我們在 SEDAR+ 和 EDGAR 上提交的最新 MD&A，該文件可在我們的網站上查閱。

On the call this morning, Chris and Rod will provide comments on the company's recently announced leadership transition. Chris will then review key highlights and operational updates for the quarter, followed by Darren and myself with our financial results and forward-looking commentary. We will then open the lines for questions. We ask that you kindly restrict your questions to two, then requeue if you have any additional questions, to allow others the opportunity to participate.

在今天早上的電話會議上，克里斯和羅德將對公司最近宣布的領導層變動發表評論。隨後，克里斯將回顧本季的主要亮點和營運更新，然後達倫和我將介紹我們的財務表現和前瞻性評論。然後我們將開放問答熱線。我們懇請您將問題限制為兩個，如果有其他問題，請重新排隊，以便其他人有機會參與。

And with that, I'll turn it over to Chris.

現在我將把話題交給克里斯。

Thank you, Brian, and good morning, everyone. Thank you once again for your interest in Algonquin and for supporting us through our strategic transformation journey.

謝謝你，布萊恩，大家早安。再次感謝您對阿岡昆的關注以及在我們策略轉型過程中對我們的支持。

Before I jump into our regular quarterly update, it's my distinct pleasure to introduce Roderick West, our incoming CEO. Rod has over 25 years of experience at Entergy where he was responsible for leading Entergy's regulated utilities and helped engineer that company's transition from an integrated utility to a pure-play regulated one. I'm confident Rod has the right set of leadership skills, expertise, experience and vision to lead Algonquin to new heights as a regulated utility.

在我開始定期發布季度更新之前，我非常高興地介紹我們即將上任的執行長羅德里克·韋斯特 (Roderick West)。Rod 在安特吉公司 (Entergy) 擁有超過 25 年的經驗，負責領導安特吉公司受監管的公用事業，並幫助該公司從綜合公用事業公司轉型為純粹的受監管公用事業公司。我相信羅德擁有正確的領導技能、專業知識、經驗和遠見，能夠帶領阿岡昆作為受監管的公用事業公司邁向新的高度。

As of noon today, Rod will be stepping into the Chief Executive Officer position. I will be resuming my prior place as a member of the Board of Directors, and I'm committed to facilitating a smooth transition.

從今天中午開始，羅德將擔任執行長一職。我將恢復我之前的董事會成員職務，並致力於促進平穩過渡。

Rod, I can say without a doubt that everyone here, from our employees to the Board, is extremely excited to start this new chapter with you. Welcome. We're delighted to have you here.

羅德，我可以毫不懷疑地說，這裡的每個人，從我們的員工到董事會，都非常高興能與你一起開啟新的篇章。歡迎。我們很高興您能來這裡。

Well, greetings, and good morning, everyone. It's a pleasure to be here. And thank you, Chris, for your kind introduction. Under your leadership, Algonquin has made significant strides in paving the way for a brighter future.

嗯，大家早安。我很高興來到這裡。謝謝克里斯的熱情介紹。在您的領導下，阿岡昆大學在鋪就更加美好未來的道路方面取得了重大進展。

I'm very much aligned with the strategic direction taken by the company under your and the Board's leadership. And as I considered joining Algonquin, I saw a unique opportunity to create sustainable value with a diversified utility asset base and I also saw a company that's making significant customer-centric investments, with a focus on operational performance and safety, which, in my view, is foundational to a successful pure-play utility.

我非常贊同您和董事會領導下公司所採取的策略方向。當我考慮加入阿岡昆時，我看到了一個透過多元化公用事業資產基礎創造永續價值的獨特機會，我還看到一家公司正在進行以客戶為中心的重大投資，專注於營運績效和安全，在我看來，這是成功的純公用事業的基礎。

And what I found compelling personally is the tremendous opportunity to create value. I'm excited to bring my experience and background to Algonquin as we look to drive value for our stakeholders.

我個人認為引人注目的是創造價值的巨大機會。我很高興能將我的經驗和背景帶到阿岡昆，因為我們尋求為利害關係人創造價值。

The company has undergone tremendous change in a short period of time. Now, as a pure-play utility, Algonquin is primed to focus on accelerating its performance to all of its stakeholders. We're focused on improved customer service, of course, creating value and ultimately returning to a sustained growth trajectory.

公司在短時間內發生了巨大的變化。現在，作為一家純粹的公用事業公司，阿岡昆已準備好專注於加速其對所有利害關係人的績效。當然，我們專注於改善客戶服務，創造價值，並最終回到持續成長的軌跡。

I'll let Chris and the team summarize the company's recent results, but I'm excited to dive right in on transforming Algonquin. And my aim is to come back to shareholders in approximately 90 days or so to provide more transparency on our outlook and detail on our Performance Acceleration Plan. I want to personally thank Chris and the team for all the work getting us to this point. And I am tremendously excited by the future and the opportunity in front of us.

我會讓克里斯和團隊總結公司最近的業績，但我很高興能深入研究如何改造阿岡昆。我的目標是在大約 90 天後回到股東面前，以更透明的方式說明我們的前景以及業績加速計畫的細節。我要親自感謝克里斯和他的團隊為我們取得今天的成就所做的一切努力。我對我們面前的未來和機會感到無比興奮。

Chris, back to you.

克里斯，回到你身邊。

Well, thank you, Rod. And as I said, we're very excited.

好吧，謝謝你，羅德。正如我所說，我們非常興奮。

On the same note, let me also briefly touch on the CFO transition. As previously announced, Darren has accepted an offer to join Canadian Tire as its Chief Financial Officer, and today will be his last as CFO of Algonquin. I'd like to extend my sincere appreciation to Darren, who helped steer Algonquin through its most significant transformation. The company and I were fortunate to benefit from his strong leadership through this period. Thank you, Darren.

同樣，我也想簡單談談財務長的過渡。正如先前宣布的那樣，Darren 已接受加拿大輪胎公司 (Canadian Tire) 的邀請，擔任其首席財務官，今天將是他作為 Algonquin 首席財務官的最後一天。我要向達倫表達最誠摯的謝意，他幫助阿岡昆完成了最重大的轉型。我和公司很幸運在這段時期受益於他的強大領導。謝謝你，達倫。

With Darren's upcoming departure, the company has engaged a national firm as part of a comprehensive search process for a permanent CFO. And while this search is underway, our VP of Investor Relations, Brian Chin, has agreed to step into the Interim CFO role.

隨著達倫即將離職，該公司已聘請了一家全國性公司，全面尋找常任財務長。在搜尋期間，我們的投資者關係副總裁 Brian Chin 已同意擔任臨時財務長。

Brian has more than two decades of utilities experience as a senior executive in several finance roles here at Algonquin and American Water. And as the lead North American utilities equity analyst for both Bank of America-Merrill Lynch and Citicorp, I'm confident Brian has the right capabilities to help ensure a smooth transition for our finance and executive teams. Thank you, Brian, for taking on the role.

Brian 擁有超過二十年的公用事業經驗，曾在阿岡昆水務公司和美國水務公司擔任多個財務職位的高階主管。作為美銀美林和花旗集團的首席北美公用事業股票分析師，我相信 Brian 有能力幫助確保我們的財務和執行團隊的順利過渡。感謝 Brian 承擔這個角色。

Now, turning to the closure of our 2023 strategic review. The company set out to achieve a few key objectives. These include the sale of our Renewables business, uplifting our Regulated utilities, and applying a greater degree of focus and discipline to the company overall. At this stage, the company has completed the sale of its Renewables business as well as its stake in Atlantica, marking two major milestones in its transition to a pure-play regulated utility company.

現在，我們來結束 2023 年策略審查。該公司著手實現幾個關鍵目標。這些舉措包括出售我們的再生能源業務、提升我們受監管的公用事業，以及對整個公司施加更大程度的關注和紀律。目前，該公司已完成其再生能源業務以及其在 Atlantica 的股份的出售，標誌著其向純粹受監管公用事業公司轉型過程中的兩個重要里程碑。

Now, the critical focus points for the company remain continuing to improve our utilities, optimizing and leveraging our IT platform, which we completed last year, streamlining how we operate, and driving operational efficiency and customer service.

現在，公司的重點仍然是繼續改善我們的設施，優化和利用我們去年完成的IT平台，簡化我們的營運方式，提高營運效率和客戶服務。

When I look at the opportunity within the Regulated utilities business, I believe Algonquin has a great portfolio of assets in attractive jurisdictions and commodities. These investments were made by our employees for the benefit of our customers. While Algonquin is authorized to achieve a 9.2% ROE, its actual earned ROE is several hundred basis points below that allowable target. This requires improvement.

當我審視受監管的公用事業業務中的機會時，我相信阿岡昆在具有吸引力的司法管轄區和商品中擁有大量資產組合。這些投資是由我們的員工為了客戶的利益而做出的。雖然阿岡昆被授權實現 9.2% 的 ROE，但其實際獲得的 ROE 比該允許目標低數百個基點。這需要改進。

The company is aiming to achieve its allowed returns on equity with all possible speed. To bridge this gap, we must accelerate reductions in regulatory lag and improve our operational efficiency. This means uplifting and upskilling the Regulated utilities and improving our focus and discipline to capture the tremendous opportunity ahead the company today. We're committed to improving and enhancing our efficiency and effectiveness for the benefit of our customers, communities and investors.

該公司的目標是盡可能快速地實現其允許的股本回報率。為了彌補這一差距，我們必須加快減少監管滯後並提高營運效率。這意味著提升和提高受監管的公用事業的技能，並提高我們的專注度和紀律性，以抓住公司當前面臨的巨大機會。我們致力於改善和提高我們的效率和效力，以造福我們的客戶、社區和投資者。

It's been a privilege to lead Algonquin during this momentous period, and I want to thank Algonquin's employees, whom I have had the honor of working alongside during the short but significant time.

我很榮幸能夠在這個重要的時期領導阿岡昆，我要感謝阿岡昆的員工，我很榮幸能在這段短暫但意義重大的時期與他們共事。

With that, let me now turn to operational updates, of which there have been several since our last call. Let's start with Atlantica and the Renewables business.

現在，讓我來談談營運更新情況，自上次通話以來，我們已發布了幾份營運更新資訊。讓我們從 Atlantica 和再生能源業務開始。

The Atlantica transaction resulted in net proceeds of approximately $1.1 billion, which we used to reduce debt, as referenced in our balance sheet as of yearend. From the sale of Renewables business, we expect to receive proceeds of approximately $2.1 billion, which reflects our originally announced value of $2.5 billion after subtracting taxes, transaction fees and other preliminary closing adjustments, and less the $220 million cash earn-out. Darren will discuss this in more detail later.

Atlantica 交易產生的淨收益約為 11 億美元，我們利用這筆錢來減少債務，如我們年底的資產負債表所示。透過出售再生能源業務，我們預計將獲得約 21 億美元的收益，這反映了我們最初宣布的 25 億美元價值減去稅款、交易費和其他初步收盤調整，並減去 2.2 億美元的現金收益。Darren 稍後將更詳細地討論這一點。

I'll turn now to our regulatory updates for the quarter. And I'm pleased with the progress we've made in several cases. In our Missouri Water case, the commission approved an all-party settlement and new rates are effective March 1. In our Arkansas Water case, the commission, they also approved a previously reached settlement and new rates are effective also March 1.

現在我將介紹本季的監管更新。我對我們在多起案件中取得的進展感到高興。在我們的密蘇里水務案中，委員會批准了各方達成的和解方案，新的費率將於 3 月 1 日生效。在我們的阿肯色州水務案中，委員會也批准了先前達成的和解協議，新的費率也將於 3 月 1 日生效。

In our Gas New Brunswick rate case, we received an order in December approving new rates, which took effect January 1 this year. In our Arizona proceedings, that involve four small water utilities, we reached a settlement agreement. The parties in this case agreed to full consolidation of all four water systems, which is consistent with our plan to streamline our business. Next steps include a settlement hearing and a recommended order from the assigned judge.

在我們的新不倫瑞克省天然氣費率案中，我們於 12 月收到一項命令，批准新的費率，該費率於今年 1 月 1 日生效。在涉及四家小型水務公司的亞利桑那州訴訟中，我們達成了和解協議。本案各方同意對四大供水系統進行全面合併，這與我們精簡業務的計畫一致。下一步包括和解聽證會和指定法官的建議命令。

We also recently received a constructive staff-proposed order with regards to depreciation deferrals for our [Serabel] wastewater treatment facility and our Litchfield Park facility. Our CalPECo rate case filed in September '24 is proceeding on schedule. Our New Hampshire Granite State rate case has reached an all-party settlement which is now in front of the commission. A hearing is scheduled for March.

我們最近也收到了員工提出的建設性命令，涉及我們 [Serabel] 廢水處理設施和 Litchfield Park 設施的折舊延期。我們於 24 年 9 月提交的 CalPECo 利率案正在按計劃進行。我們的新罕布夏州花崗岩州稅率案件已達成各方和解，目前已提交委員會審議。聽證會定於三月舉行。

Despite the progress in these other cases, I'm disappointed with the initial filing of our Empire Electric Missouri rate case where we've recently had to delay our timetable. In short, the late revision to our tariff calculations has prompted us to restart the case, meaning the case is now expected be resolved in the first half of 2026 rather than the late portion of 2025 as previously expected.

儘管這些其他案件取得了進展，但我對 Empire Electric Missouri 費率案件的首次提交感到失望，我們最近不得不推遲我們的時間表。簡而言之，我們對關稅計算的最新修改促使我們重新啟動此案，這意味著該案件現在預計在 2026 年上半年得到解決，而不是先前預期的 2025 年下半年。

Additionally, the Missouri Commission has announced an investigation into customer service and billing issues. We view this as driven partially by our recent implementation of our IT platform. And we take this investigation seriously and intend to work with the commission to address these concerns. We are committed to getting this done right for our customers.

此外，密蘇裡州委員會宣布對客戶服務和帳單問題進行調查。我們認為這在一定程度上是由我們最近實施的 IT 平台所推動的。我們認真看待這項調查，並打算與委員會合作解決這些問題。我們致力於為客戶做好這件事。

We understand the commission's frustration with our initial customer experience and we welcome this opportunity to show the improvements that the new system will allow to our customer experience. Ultimately, we are confident this system will lead to better customer service.

我們理解委員會對我們最初的客戶體驗感到沮喪，我們歡迎這個機會來展示新系統將為我們的客戶體驗帶來的改進。最終，我們相信該系統將帶來更好的客戶服務。

Shifting to transmission. As many of you are aware, the Southwest Power Pool is conducting an integrated transmission planning process. The SPP Board of Directors approved its plan in October 2024 and, in February 2025, approved a series of projects in our Empire Electric footprint along with several other utilities. The total projects that have been approved by SPP or Empire service territory total over $700 million in cumulative capital spending over the potential next five to seven years.

轉換至傳動裝置。大家可能都知道，西南電力聯盟正在實施綜合輸電規劃流程。SPP 董事會於 2024 年 10 月批准了其計劃，並於 2025 年 2 月批准了我們 Empire Electric 足跡中的一系列項目以及其他幾家公用事業公司。在未來五到七年內，SPP 或 Empire 服務區域已批准的專案累積資本支出總計超過 7 億美元。

We are currently in the 90-day window in which we will respond as part of SPP's process. So we expect to provide more updates on this as material developments occur. As part of the process, we expect our next steps are to develop detailed plans, submit them to SPP and accept the notices to construct. These projects could represent an exciting multiyear opportunity to invest in our communities and infrastructure to improve reliability for our customers.

目前，我們處於 90 天的窗口期內，我們將按照 SPP 的流程做出回應。因此，我們希望隨著重大進展提供更多更新。作為該流程的一部分，我們預計下一步是製定詳細計劃，將其提交給 SPP 並接受施工通知。這些項目可能代表著一個令人興奮的多年期機會，讓我們能夠投資於我們的社區和基礎設施，以提高客戶的可靠性。

And with that, I'll hand things over to Darren to review the quarter's financial results. Darren?

接下來，我將把工作交給達倫 (Darren) 來審查本季的財務結果。達倫？

Thanks, Chris, and good morning, everyone. As a reminder, from last quarter, we separated our results into continuing operations and discontinued operations. Our continuing operations include our Regulated business, Hydro business, an ownership stake in Atlantica, which was sold during the fourth quarter. It also includes all debt except debt specific to our Renewables business, which has been netted into assets held for sale. We have recorded our ownership stake in Atlantica in the final associated dividend and continuing operations in accordance with generally accepted accounting principles.

謝謝，克里斯，大家早安。提醒一下，從上個季度開始，我們將業績分為持續經營業務和終止經營業務。我們的持續經營包括受監管業務、水力發電業務以及 Atlantica 的所有權股份（已於第四季度出售）。它還包括除再生能源業務特定債務以外的所有債務，這些債務已計入持有待售資產。我們已根據公認會計原則將我們在 Atlantica 的所有權股份記錄在最終相關股息和持續經營中。

Starting with EBITDA. Q4 consolidated adjusted EBITDA was $248.6 million, down 5.2% from the prior quarter -- prior year, pardon me. Fourth quarter adjusted EBITDA was lower driven by an $18 million year-over-year decline in our corporate segment as a result of the lower dividend from Atlantica and certain corporate allocations which, under discontinued operations, cannot be allocated to our renewables business. Our Regulated adjusted EBITDA was $234.4 million in the quarter, up 2.4% from 2023.

從 EBITDA 開始。第四季綜合調整後 EBITDA 為 2.486 億美元，較上一季（去年同期）下降 5.2%，對不起。第四季調整後的 EBITDA 較低，原因是我們公司部門的股息減少 1,800 萬美元，而這又是由於 Atlantica 的股息減少，以及某些公司分配（在已停止營運的情況下，無法分配給我們的再生能源業務）。本季度，我們的監管調整後 EBITDA 為 2.344 億美元，較 2023 年成長 2.4%。

On a full year basis, our consolidated adjusted EBITDA was approximately $1.04 billion, up 2.6% from 2023. Our consolidated adjusted EBITDA was negatively impacted by the reduced Atlantica dividend in the fourth quarter, while we delivered Regulated adjusted EBITDA of $940.2 million, up 4.2% from 2023. Our increased regulated EBITDA was driven by new rates in the year and higher HLBV on weather normalization, which more than offset higher operating expenses which included approximately $18 million in nonrecurring expenses that were recorded in 2024.

全年來看，我們的綜合調整後 EBITDA 約為 10.4 億美元，較 2023 年成長 2.6%。我們的綜合調整後 EBITDA 受到第四季度 Atlantica 股息減少的負面影響，而我們的受監管調整後 EBITDA 為 9.402 億美元，較 2023 年增長 4.2%。我們受監管的 EBITDA 有所增加，這得益於今年的新利率和天氣正常化帶來的更高 HLBV，這足以抵消更高的營運費用，其中包括 2024 年記錄的約 1800 萬美元的非經常性費用。

Fourth quarter adjusted net earnings were $45.2 million, down from $81.3 million in 2023. The decline in adjusted net earnings is primarily attributable to lower consolidated adjusted EBITDA, $8.5 million of higher depreciation as a result of continued capital expenditures, approximately $6 million in higher interest expense and $8.6 million in higher adjusted taxes.

第四季調整後淨利為 4,520 萬美元，低於 2023 年的 8,130 萬美元。調整後淨收益的下降主要歸因於合併調整後 EBITDA 下降、持續資本支出導致的折舊增加 850 萬美元、利息支出增加約 600 萬美元以及調整後稅收增加 860 萬美元。

Our actual year-over-year increase in interest expense was $13.6 million, but it includes approximately $7 million relating to a reclass of the margin loan, with no impact on net income. It's worth noting that the $6 million increase in interest was primarily related to funding of the Renewables business, which is not being recorded in discontinued operations based on generally accepted accounting principles.

我們實際的利息支出年增率為 1,360 萬美元，但其中包括與保證金貸款重新分類相關的約 700 萬美元，對淨收入沒有影響。值得注意的是，600 萬美元的利息增加主要與再生能源業務的融資有關，根據公認會計原則，該業務並未記錄在停止營運中。

Full year adjusted net earnings were $232.1 million, down from $279.4 million in 2023. Growth in adjusted EBITDA was more than offset by $41.7 million of higher depreciation, $29 million of higher interest expense and $11.4 million in higher adjusted taxes. Our actual year-over-year increase in interest expense was $55.1 million and included $26 million relating to a reclass of the margin loan, with no impact on net income. We estimate approximately $16 million of the increased interest expense related to the funding of the Renewables business.

全年調整後淨利為 2.321 億美元，低於 2023 年的 2.794 億美元。調整後 EBITDA 的成長被 4,170 萬美元的更高折舊、2,900 萬美元的更高利息支出和 1,140 萬美元的更高調整後稅收所抵消。我們的實際利息支出年增 5,510 萬美元，其中包括與保證金貸款重新分類相關的 2,600 萬美元，但對淨收入沒有影響。我們估計與再生能源業務融資相關的利息支出增加約 1,600 萬美元。

Moving to our earnings per share. Q4 earnings -- adjusted net earnings per share were $0.06 versus $0.12 in the prior year, while full year adjusted net earnings per share were $0.30 versus $0.39 in 2023. The year-over-year decline for both periods was driven by reduced adjusted net earnings as well as the higher share count as a result of the equity unit conversion in mid-2024.

轉向我們的每股收益。第四季收益－調整後每股淨收益為 0.06 美元，去年同期為 0.12 美元，而全年調整後每股淨收益為 0.30 美元，2023 年為 0.39 美元。這兩個期間的年減是由於調整後淨收益減少，以及 2024 年中期股權單位轉換導致的股數增加。

With regards to our balance sheet, our December 31 balance sheet included the effects of the Atlantica sale, but excluded the January 8 closing of the sale of our Renewables Energy business. On our yearend balance sheet, we have $6.7 billion in continuing operations debt and a further $1.35 billion in debt related to discontinued operations, for a total GAAP debt of $8.05 billion.

關於我們的資產負債表，我們的 12 月 31 日資產負債表包括了 Atlantica 出售的影響，但不包括 1 月 8 日完成的再生能源業務出售的影響。在我們的年終資產負債表上，我們有 67 億美元的持續經營債務和 13.5 億美元的與停止經營相關的債務，總 GAAP 債務為 80.5 億美元。

Let me provide some further color on the proceeds from the $2.5 billion sale of our Renewables business, which closed on January 8, 2025. As a reminder, the sale includes a $220 million earn-out associated with the performance of certain wind assets. Against our yearend balance sheet, we expect to receive $2.1 billion in proceeds after customary transaction costs and estimated remaining construction costs for certain projects. Adjusting for the consolidation of certain construction debt in the fourth quarter, the $2.1 billion represents the high end of the range we provided last quarter.

讓我進一步介紹我們在 2025 年 1 月 8 日完成的 25 億美元再生能源業務出售交易的收益。需要提醒的是，此次出售包括與某些風電資產表現相關的 2.2 億美元獲利支出。根據我們的年終資產負債表，我們預計在扣除常規交易成本和某些項目的預計剩餘建設成本後將獲得 21 億美元的收益。經過第四季度某些建築債務的合併調整後，21 億美元達到了我們上個季度提供的範圍的高端。

Approximately $150 million of the net proceeds are expected to be received later in 2025 upon monetization of certain tax attributes. Putting this all together, you should expect our yearend GAAP debt of approximately $8.05 billion to be reduced by an estimated $1.95 billion with a further $150 million to be received later in 2025.

預計約 1.5 億美元的淨收益將於 2025 年後期在某些稅收屬性貨幣化後收到。綜合考慮所有這些因素，您應該預計我們年底約 80.5 億美元的 GAAP 債務將減少約 19.5 億美元，並在 2025 年晚些時候再收到 1.5 億美元。

As a last point, let me touch on our rate base. As of yearend 2024, we estimate our rate base to be approximately $7.8 billion, up from $7.2 billion a year earlier. As a reminder, our rate base estimate represents our authorized rate base plus prudently invested capital for the benefit of our customers on which we aim to -- aimed to both recover and earn a rate of return.

最後，讓我談談我們的利率基礎。截至 2024 年底，我們估計我們的利率基數約為 78 億美元，高於一年前的 72 億美元。提醒一下，我們的利率基準估計代表了我們授權的利率基準加上為客戶利益而審慎投資的資本，我們的目標是－既收回成本，又獲得報酬率。

Our rate base increased by approximately $740 million due to spending in invested capital in 2024, offset by approximately $350 million in depreciation and increases in accumulated deferred income taxes. The remainder of the increase primarily relates to pre-2024 spending on our IT platform software whose implementation was completed earlier this year and is now included in our estimate of rate base.

由於 2024 年投資資本支出，我們的費率基數增加了約 7.4 億美元，但折舊和累積遞延所得稅的增加抵消了約 3.5 億美元。剩餘的成長主要與我們在 2024 年之前在 IT 平台軟體上的支出有關，該軟體的實施已於今年稍早完成，現已納入我們的費率基數估算中。

Let me conclude with some final comments on my time with Algonquin. It has been a privilege to serve as CFO during such a transformational period for the company. While we have faced challenges, we have made significant progress to reposition Algonquin through decisive actions. Although there is still more work to be done, I'm confident the company is now in a stronger position with great opportunities in front of it. I look forward to seeing the company accelerate its performance and earnings. Thank you to the entire Algonquin team and all of our investors.

最後，請容許我對自己在阿岡昆大學的工作經驗做些總結。在公司的轉型時期擔任財務長是我的榮幸。雖然我們面臨挑戰，但我們透過果斷的行動在重新定位阿岡昆方面取得了重大進展。儘管還有許多工作要做，但我相信公司現在的地位更加穩固，面臨著巨大的機會。我期待看到公司加速業績和獲利的成長。感謝整個 Algonquin 團隊和所有投資者。

I'll now hand things over to Brian to provide some forward-looking commentary. Brian?

現在我將把事情交給布萊恩來提供一些前瞻性的評論。布賴恩？

Thanks, Darren. Two key adjustments to remember looking ahead versus 2024 are that our continuing operations will no longer have dividends from Atlantica and our interest expense will be affected by proceeds used from both the Renewables and Atlantica transactions, as, remember, the December 31 balance sheet reflects proceeds from the Atlantica sale but the interest expense reductions related to that sale were only for a few weeks.

謝謝，達倫。與 2024 年相比，需要記住的兩個關鍵調整是，我們的持續經營將不再有來自 Atlantica 的股息，而我們的利息支出將受到可再生能源和 Atlantica 交易所得收益的影響，請記住，12 月 31 日的資產負債表反映了 Atlantica 出售的收益，但與該銷售相關的利息減少僅持續了幾週。

For operating expenses, we expect normal inflationary pressures to continue next year, and we will be working down the dissynergies associated with exiting our Renewables business. Against this backdrop, we will be aiming to accelerate our operating efficiency measures, particularly as this will essentially be our first year as a pure-play regulated utility.

對於營運費用，我們預計正常的通膨壓力明年仍將持續，並且我們將努力減少退出再生能源業務所帶來的不協同效應。在此背景下，我們將致力於加快我們的營運效率措施，特別是因為今年是我們作為純受監管公用事業公司的第一年。

Please note that we're not providing guidance at this time. But as Rod mentioned, we expect to provide substantially more detail on our outlook and our plan in the coming months. We very much see 2025 as a transition year, and we believe that, off that base, Algonquin has the opportunity to grow earnings above peer averages with substantial longer-term opportunities to grow our rate base for the benefit of our customers through prudent investments in our service territories.

請注意，我們目前不提供指導。但正如羅德所提到的，我們預計將在未來幾個月提供更多關於我們的展望和計劃的細節。我們非常重視 2025 年作為一個過渡年，並且我們相信，在此基礎上，阿岡昆有機會實現盈利增長，超過同行平均水平，並且通過在服務區域進行審慎投資，有大量長期機會來增加我們的費率基礎，從而造福客戶。

With regards to capital expenditures, we also intend to provide a more fulsome update. But for now, we'll say that we plan to continue to exercise discipline, which we expect will result in directionally lower capital spend year-over-year.

關於資本支出，我們也打算提供更全面的更新。但就目前而言，我們計劃繼續嚴格遵守紀律，預計這將導致資本支出年減。

We also intend to provide more color on our financing plans. As a general principle, we continue to favor financing self-sufficiency while we work to improve our asset returns and lower our cost of capital.

我們還打算對我們的融資計劃提供更多細節。作為一般原則，我們在努力提高資產報酬率和降低資本成本的同時，繼續支持融資自給自足。

Last, I'll comment on some high-level thoughts on the opportunity in front of us. We estimate our earned ROE stands in approximately the mid-5s percent range, excluding HLBV, on our 2024 average rate base of $7.5 billion. To be clear, our goal is to substantially improve our earned ROE, to move it much closer to our authorized ROE weighted average of 9.2%, and achieve or improve upon our previously stated comments related to our targeted dividend payout ratio of 60% to 70%.

最後，我將針對我們面臨的機會發表一些高層的想法。我們估計，以 2024 年 75 億美元的平均利率為基數，不包括 HLBV，我們的應得 ROE 大約在 5% 左右。需要明確的是，我們的目標是大幅提高我們的應得 ROE，使其更接近我們授權的 ROE 加權平均值 9.2%，並實現或改善我們先前關於 60% 至 70% 的目標股息支付率的評論。

In closing, it's a privilege and a responsibility to take on this role, and I'm looking forward to accelerating our progress. And with that, I'll turn things back to Rod for some quick closing remarks.

最後，擔任這項職務是我的榮幸，也是我的責任，我期待著加快我們的進步。最後，我將把話題轉回給羅德，讓他做一些簡短的結論。

Well, thanks, Brian, and thank you, everyone, for joining us on the call this morning. I am, as I've stated before, excited to begin leading the team here at Algonquin in just a few hours. And I truly believe that there is significant opportunity ahead. And we're looking forward to your questions.

好吧，謝謝布萊恩，也謝謝大家今天早上參加我們的電話會議。正如我之前所說，我很高興在短短幾個小時內開始領導阿岡昆的團隊。我堅信，未來還有巨大的機會。我們期待您的提問。

Back to you, operator.

回到你這裡，接線生。

(Operator Instructions) Sean Steuart, TD Cowen.

(操作員指示) Sean Steuart，TD Cowen。

Congratulations to Rod, Darren and Brian. I want to start first, I guess, for Chris or Rod, the optimization of the utility platform, as mentioned, is an ongoing effort. Outside of the rate case docket, including the three big initiatives, can you give us a little more context on what are the focus areas for improvement, how concentrated it is at specific utilities? Or is it still an ongoing broader effort?

祝賀羅德、達倫和布萊恩。我想首先開始，對於 Chris 或 Rod 來說，正如所提到的，實用平台的最佳化是一項持續的努力。除了費率案卷（包括三大舉措）之外，您能否向我們詳細介紹需要改進的重點領域以及在特定公用事業方面的改進重點？或者它仍然是一項正在進行的、更廣泛的努力？

Yes. I mean, I think, first of all, from our overall perspective, it is about working on our service cos. We do have quite a complicated service co. arrangement as we are today. And so we see that as the location of our biggest opportunities. And we're putting together a plan to actually execute a reduction of the overall overhead on the various utilities.

是的。我的意思是，我認為，首先，從我們的整體角度來看，這是為了開展我們的服務業務。我們的服務公司確實相當複雜。就像我們今天的安排一樣。因此我們認為那裡是我們最大的機會所在。我們正在製定一項計劃來切實減少各種公用事業的整體開銷。

The other thing that we're doing, which Sarah could speak to in more detail, but the other thing that we're doing is actually changing the accountability structure within the organization as a whole. So we've -- as I think I said from day one, we've raised up the utilities. They are now our primary focal point. We've put utility leaders and utility presidents in place, and they are accountable for all aspects of the businesses that those utilities have. And we're moving that forward quite rapidly.

我們正在做的另一件事，莎拉可以更詳細地談談，但我們正在做的另一件事實際上是改變整個組織內的責任結構。因此，正如我從第一天起就說過的，我們提高了公用事業的水平。他們現在是我們的主要焦點。我們已經任命了公用事業領導人和公用事業總裁，他們負責公用事業業務的各個方面。我們正在迅速推進這一進程。

And so when we put those two things together, we can see tremendous operational efficiency and improvements in our customer experience. And those are the two primary things we're focused on right now.

因此，當我們將這兩者結合起來時，我們可以看到巨大的營運效率和客戶體驗的改善。這是我們目前關注的兩個主要問題。

Okay. Thanks for that, Chris. And then a question for Brian, or Darren. Brian, you touched on your perception that the company's long-term EPS growth potential will outpace the peer group. What timeframe are you thinking of when you talk about that potential? Presumably, it's not a 2025 story. But do you have any parameters you could put around on timeframe and what EPS growth potentially you might think is reasonable over the long run?

好的。謝謝你，克里斯。然後我要問 Brian 或 Darren 一個問題。布萊恩，您提到了您認為該公司的長期每股收益成長潛力將超過同行的看法。當您談到這種潛力時，您考慮的時間範圍是什麼？據推測，這不是一個2025年的故事。但是，您是否有可以設定時間範圍的參數，以及您認為從長遠來看合理的 EPS 成長潛力？

Yes. Thanks for the question, Sean. So at this point, no comments on timeframe, but let me remind everybody what we've said in the past. We indicated previously that our targeted dividend payout ratio of 60% to 70% could be achieved in a few years' time. That timeframe hasn't changed. In fact, if anything, we think there's a possibility to accelerate that, particularly given the arrival of Rod and his just tremendous experience.

是的。謝謝你的提問，肖恩。因此，目前，對於時間框架還沒有評論，但讓我提醒大家我們過去說過的話。我們先前曾表示，60%至70%的股利支付率目標可在幾年內實現。該時間範圍沒有改變。事實上，如果有的話，我們認為有可能加速這一進程，特別是考慮到羅德的到來和他豐富的經驗。

With regards to the opportunity to grow our EPS, I can put it no more simply than we're an under-earning utility, but for the first time in the company's history, we're now singularly focused on a single business model. The opportunity for us to execute here is tremendous, and we need to get it right.

關於增加每股收益的機會，我可以簡單地說，我們是一家盈利不足的公用事業公司，但在公司歷史上第一次，我們專注於單一的商業模式。我們在這裡執行的機會是巨大的，我們需要把它做好。

So I think that we're excited about being able to talk about the future. But first, we got to make sure that Rod has a chance to come in and take a look and see where we have additional opportunities in front of us.

因此我認為我們很高興能夠談論未來。但首先，我們要確保羅德有機會進來看看我們面前還有哪些其他機會。

Nelson Ng, RBC.

納爾遜·吳（Nelson Ng），RBC。

Rod, congrats on your new role. I think, Darren, best of luck at Canadian Tire. And Chris, I guess we look forward to your continued involvement on the board. First question just relates to the Hydro sales process. Are you able to provide any kind of high-level comments on how that process is going?

羅德，祝賀你獲得新的職位。我想，達倫，祝你在加拿大輪胎公司好運。克里斯，我想我們期待您繼續參與董事會。第一個問題與 Hydro 銷售流程有關。您能否就該進程的進展提供一些高層的評論？

No more detail than we would have had last time, which is that, within this half year, we will at least go to market and take a look from an indicative perspective. But I would repeat what I've repeated -- what I've said in the past, which is that we're not going to do any more dilutive transactions.

沒有比上次更詳細的信息，也就是說，在這半年內，我們至少會進入市場，從指示性的角度看一看。但我要重複我過去說過的話，那就是我們不會再進行任何稀釋性交易。

At the end of the day, if we can achieve an accretive transaction by selling the Hydro, we will do so. If not, it is, on the one hand, not reducing our position as a pure play, we have greater than 90% of our business that is in the regulated space. And secondly, we continue to need Canadian income, and so it definitely helps in that area as well.

最終，如果我們能夠透過出售 Hydro 來實現增值交易，我們就會這樣做。如果不是，一方面，這不會降低我們作為純粹經營者的地位，因為我們有 90% 以上的業務是在受監管的領域。其次，我們繼續需要加拿大的收入，所以它在這方面肯定也有幫助。

That's great, Chris. And then a question for Darren. So Darren, you talked about the rate base at the end of the year. And obviously, the rate base growth year-over-year, it looks like it was quite a bit higher than growth CapEx. I think you mentioned that there were some adjustments related to spend prior to 2024 that you decided to include. Are there any other spend prior to 2024 or other periods that you haven't included into rate base that could be included this year, or any other further adjustments that could take place this year?

太好了，克里斯。然後我要問 Darren 一個問題。達倫，你談到了年底的利率基數。顯然，基準利率年增似乎比資本支出成長高出不少。我記得您提到過，您決定將與 2024 年之前的支出相關的一些調整納入其中。2024 年之前或其他時期的支出是否還有其他未納入今年可納入的費率基礎，或今年可能進行的任何其他進一步調整？

Yes, Nelson, that was really the -- our IT platform. So as they sit in corporate, we don't include them in the rate base. But as the programs push out, then they're included. So that's really the lion's share. There's nothing more significant that's going to come forward like that.

是的，尼爾森，那確實是我們的 IT 平台。因此，由於他們在公司內，我們不會將他們納入利率基礎中。但隨著計劃的推出，它們就被包括在內了。所以這確實佔了最大份額。沒有什麼事情能比這更有意義了。

Okay. And then just one related question. In terms of the transition, I think in Q4 there were some kind of one-off expenses. Maybe this is a question for Darren or Brian. But do you expect to see any kind of material transition expenses this year related to the sale of Renewables?

好的。然後只剩一個相關問題了。就過渡而言，我認為第四季度存在一些一次性費用。也許這是應該問 Darren 或 Brian 的問題。但是，您是否預計今年會出現與再生能源銷售相關的任何重大轉型費用？

So Nelson, as you may recall from my prepared remarks, we did see some associated costs related to dissynergies on the Renewables that occurred in 2024. So it will take us a little bit of time to work that down in 2025. But part of the reason why we called that out is because those are not ongoing costs that we see as part of the value of the business. So we just want to reiterate that point.

所以納爾遜，你可能還記得我準備好的發言，我們確實看到了與 2024 年再生能源不協同效應相關的一些相關成本。因此我們需要一點時間才能在 2025 年解決這個問題。但我們之所以指出這一點，部分原因是因為我們認為這些不是屬於業務價值的持續成本。因此我們只是想重申這一點。

And Nelson, maybe the other thing I'd just add, in the quarter, as I called out, there were certain allocations, kind of indirect allocations, that hit the continuing operations. So part of that dissynergy is already in the run rate of the fourth quarter. Continuing operations.

納爾遜，我想補充的另一件事是，正如我所說，本季度有一些分配，某種間接分配，影響了持續經營。因此，這種不協同效應的部分已經體現在第四季的運行率中。持續營業。

Rob Hope, Scotiabank.

加拿大豐業銀行的 Rob Hope。

Congrats to Rod and Brian on the new roles. And Chris and Darren, it's been a pleasure working with you both, so all the best as well.

祝賀羅德和布萊恩擔任新職務。克里斯和達倫，很高興與你們共事，祝你們一切順利。

Thank you, Rob. We appreciate it.

謝謝你，羅布。我們對此表示感謝。

I guess maybe the first question is, I understand you're not providing a 2025 outlook or capital. Looking back at the Q3 call, you were expecting to provide an update with the Q4 call. I'm just wondering what has changed. Is this just a function of a new -- or a new CEO coming in and some time to take a lay of the land? Is it the uncertainty of the Missouri delay? Or are there any other factors driving that?

我想也許第一個問題是，我知道您沒有提供 2025 年的展望或資本。回顧第三季的電話會議，您希望在第四季度的電話會議中提供最新進展。我只是想知道發生了什麼變化。這是否只是新任執行長上任後需要花點時間了解情況的結果？是密蘇裡州延誤的不確定性嗎？或有其他因素導致這現象？

No. Rob, thanks for asking the question. When Rod's announcement was first made, the thought process at the time was that we would be on track to provide a baseline outlook as of the timing of the Q4 call. That actually hasn't changed in that we do have a baseline outlook as of now. But what has changed on further reflection was our recognition that, with Rod's insight and fresh eyes, the opportunity to have him take a look at what we were doing and perhaps find ways to accelerate that progress really meant that we needed to give him time to see what opportunities we could capture and put into the outlook.

不。羅布，謝謝你提出這個問題。當羅德首次宣布這一消息時，當時的想法是，我們將按計劃在第四季度電話會議時提供基線展望。事實上，這並沒有改變，因為截至目前我們確實有一個基準前景。但進一步思考後，我們意識到，憑藉羅德的洞察力和新視角，讓他了解我們正在做的事情並找到加速進展的方法，這實際上意味著我們需要給他時間，看看我們可以抓住哪些機會並付諸實踐。

The developments in Missouri, the developments in any of our other operations did not have any factor with regards to the timing of when we have chosen to giving out guidance.

密蘇裡州的發展以及我們任何其他行動的發展都與我們選擇發布指導的時間無關。

Yes. And Rob, I would just say that when you think about it, Rod truly has not started yet. He's starting at noon today. And so we really do need to be fair to him and give him time to get his feet on the ground and understand the business, so he can put his stamp on it. And then you folks can rely on what he's saying.

是的。羅布，我只想說，如果你仔細想想，你會發現羅德確實還沒開始。他今天中午就開始上班了。因此，我們確實需要公平地對待他，給他時間腳踏實地、了解業務，這樣他才能打上自己的烙印。然後你們就可以相信他所說的話了。

Fair point. Busy first day. Maybe turning over to Missouri. Can you maybe add a little bit more color on the customer solutions technology platform problems that you're seeing there, kind of the path forward there, as well as the Missouri investigation on the billing practices?

公平地說。忙碌的第一天。也許會轉向密蘇裡州。您能否稍微詳細地介紹一下您所看到的客戶解決方案技術平台問題、未來的發展方向，以及密蘇裡州對計費實務的調查？

Sure. Rob, it's Sarah MacDonald. The customer investigation is something we're spending a lot of time on, but our SAP implementation was a massive undertaking. We changed out almost all of the systems we used to run our business, not just finance, not just customer. And the majority of those are working well.

當然。羅布，我是莎拉麥克唐納。我們在客戶調查上花費了大量時間，但我們的 SAP 實施是一項艱鉅的任務。我們改變了幾乎所有用於營運業務的系統，不僅僅是財務系統，不僅僅是客戶服務系統。其中大多數都運作良好。

But it doesn't take away from the billing issues we've experienced. We're disappointed with the pace at which we've been able to fix these issues. And we understand the frustration our customers are experiencing. We understand the frustrations the commission is experiencing. And frankly, we're frustrated as well.

但它並不能消除我們所遇到的計費問題。我們對解決這些問題的速度感到失望。我們了解客戶正在經歷的挫折感。我們了解委員會正在經歷的挫折。坦白說，我們也感到沮喪。

So we are encouraged because the pace of improvement has increased. And through the investigation, we'll be able to share our progress to date and our plan to complete all the improvements with the commission in the coming weeks. So we're welcoming the opportunity to share our improvements.

所以我們感到鼓舞，因為改進的步伐已經加快。透過調查，我們將能夠在未來幾週內與委員會分享迄今為止的進展以及完成所有改進的計劃。因此，我們非常高興有機會分享我們的進步。

Yes. And I think the other point that I would make is that it has taken more time than we had hoped to get the system working the way it is. But as we're seeing the system start to work, we're seeing the opportunity that exists there. And we're absolutely convinced that this will be a better customer experience in the end. It's unfortunate, and we apologize to customers for how long it's taken, but for sure, it will be better in the future.

是的。我想說的另一點是，我們花費的時間比預期的要多，才讓系統能以現在的方式運作。但隨著我們看到系統開始運轉，我們看到了其中存在的機會。我們堅信這最終將帶來更好的客戶體驗。這很不幸，我們對花費這麼長時間向客戶表示歉意，但可以肯定的是，將來情況會更好。

Rupert Merer, National Bank.

魯珀特·梅勒，國家銀行。

I'll echo the sentiment of the other analysts. Congratulations to all. Rod, if I could start with you. You're going to come back with an outlook for us in 90 days. What are your key areas of focus for the first 90 days? How are you going to get into this business and then figure out everything you need to know?

我同意其他分析師的觀點。向大家表示祝賀。羅德，我可以從你開始。90 天後你將回來向我們報告前景。前 90 天您的重點領域是什麼？您將如何進入這個行業並弄清楚您需要知道的一切？

Yes, it's a great question, and I won't get ahead of my -- the conversations I'll have with the -- with my internal stakeholders here. But it starts with the people, getting them aligned on what good to great looks like. And beyond that, it's focusing on the aspects of the business where we have the quickest opportunity to put productive capital to work.

是的，這是一個很好的問題，我不會提前與我的內部利害關係人進行對話。但它始於人，讓他們對從優秀到卓越的標準達成共識。除此之外，我們也專注於能夠最快地將生產資本投入使用的業務面。

And as you think about what the mission is, as I come from an experience at Entergy, every decision we make at the end of the day will be assessed through the lens of its impact on our ability to create sustainable value for each of our four key stakeholders: starting with the customers, the employees, the communities we serve and, at the end of the day, the outcomes that matter most to you. And I think communicating that in a clear, concise way to the employees will also help me get my hands around where my intention should be placed first, with the objective of accelerating the great work that Chris and his leadership team have been working so hard on.

當你思考我們的使命是什麼時，根據我在安特吉公司的工作經歷，我們每天做出的每一個決定都會透過其對我們為四個關鍵利益相關者創造可持續價值的能力的影響來進行評估：從客戶開始，然後是員工、我們服務的社區，以及最終對你來說最重要的結果。我認為以清晰、簡潔的方式向員工傳達這一點也將幫助我弄清楚我的意圖應該放在首位，目的是加速克里斯和他的領導團隊一直努力完成的偉大工作。

So when I come back in the next 90 days or so, I want to have the conviction that gives you confidence in the outlook that we ultimately lay out. And that's my objective. And I don't wish to be -- to obfuscate the point that I like where this company is heading and I think my objective at the end of the day is to try and help accelerate the benefits we've committed to you.

因此，當我在接下來的 90 天左右回來時，我希望能夠堅信，你們會對我們最終提出的前景充滿信心。這就是我的目標。我不想混淆我喜歡這家公司的發展方向這一點，我認為我最終的目標是嘗試幫助加速實現我們向您承諾的利益。

And maybe it's too early, but are there any high-level thoughts given the collection of assets that Algonquin has, maybe a little more distributed than what you worked with previously? Any opportunities or challenges that you see with this asset base relative to where you've come from?

也許現在還為時過早，但考慮到阿岡昆所擁有的資產集合，您是否有什麼高層想法，也許比您以前處理的資產分佈更分散一些？相對於您的過去，您認為這個資產基礎有哪些機會或挑戰？

No, it's early. It's early to opine on that. Just know that I am looking to answer the question where can we put productive capital to work to create value, and doing it as quickly as we can. So I'll be consistent with that theme.

不，還早。現在對此發表意見還為時過早。我只是想回答這個問題：我們可以利用生產資本來創造價值，並且盡快做到這一點。所以我會堅持這個主題。

And the other thing I would just say, Rupert, is that Rod has tremendous regulatory experience. He's been very focused on that over his career and especially in the last few years. And that's clearly an area that the company needs some work. And so I look forward to just seeing how Rod takes that on and the improvements he can make as he works on that area. So I'll say that about where I think this will go.

魯伯特，我想說的另一件事是，羅德擁有豐富的監管經驗。在他的職業生涯中，尤其是在過去幾年裡，他一直非常關注這一點。這顯然是公司需要努力的領域。因此，我期待看到羅德如何應對這一挑戰以及他在該領域的工作中可以取得哪些進步。所以我就說說我認為事情會如何發展。

Okay. Very good. And then secondly, we have a very dynamic political situation here in North America. And as I look at Algonquin, it's now, I think more than ever, a company focused in the US, with US management. Do you see any potential for change in the way that companies run, meaning any potential to move headquarters down to the US, and the opportunities that could surface from doing so?

好的。非常好。其次，北美的政治局勢非常動態。當我看到阿岡昆時，我認為現在比以往任何時候都更像一家專注於美國、擁有美國管理層的公司。您是否認為公司營運方式可能會發生變化，即將總部遷至美國的可能性以及這樣做可能帶來的機會？

Yes, Rupert, I think it's premature to make any comments on that. I do think that you're right to point out it's a pretty volatile environment out there. So while I think that it's a little premature to directly answer that question, I really do think that what's interesting about our story is, in spite of quite a bit of the macro volatility out there, this really is a self-help story. It's one of the more unique aspects in the utility space. And that's part of the simplicity of why the opportunity here is so interesting and unique.

是的，魯珀特，我認為現在對此發表任何評論還為時過早。我確實認為你說得對，外面的環境相當不穩定。因此，雖然我認為直接回答這個問題為時過早，但我確實認為我們的故事有趣之處在於，儘管存在相當大的宏觀波動，但這確實是一個自救的故事。這是實用領域中比較獨特的面向之一。這就是為什麼這裡的機會如此有趣和獨特的簡單原因之一。

Ben Pham, BMO.

Ben Pham，BMO。

Just on your comments around the realized ROE and the difference between allowed, how does that compare to historical differences between the two?

僅就您對已實現 ROE 和允許差異的評論而言，這與兩者之間的歷史差異相比如何？

Thanks, Ben, for that question. The last time that the company provided color on the gap between the earned and allowed ROE, it was a few years back, as you recall, from our Investor Relations materials. So you can't point -- we can't point to that.

謝謝本提出這個問題。您還記得，公司上一次提供有關已獲 ROE 和允許 ROE 之間差距的詳細資訊已經是幾年前了，來自我們的投資者關係資料。所以你不能指出——我們不能指出這一點。

In terms of if you want to try and look at our numbers since then, the way that we calculated the mid-5s range is you can look at our segmented footnote in our notes to the financial statements. You can see our regulated earnings before taxes. And if you want to assume a simplified tax rate on that and then divide that by our average rate base, you can actually get pretty close to the mid-5s number that I referenced in the prepared remarks.

如果您想嘗試查看我們從那時起的數字，那麼我們計算中間 5 年範圍的方式是，您可以查看我們財務報表附註中的分段腳註。您可以看到我們的稅前管制收益。如果您想假設簡化的稅率，然後將其除以我們的平均稅率基數，您實際上可以獲得非常接近我在準備好的評論中提到的中間 5% 的數字。

That segmented footnote does exist in all of our financials going backwards. There's a few adjustments here or there, but this year is a relatively clean number. And so I'd advise you to take a look at that.

在我們所有回顧的財務報表中，確實存在這個分段的註腳。這裡或那裡有一些調整，但今年的數字相對乾淨。因此我建議你看一下。

Okay. Thanks, Brian. And maybe next question for Rod. As you think about the regulatory strategy, that big gap in realized versus allowed ROEs, just based on your experience, what's typically the best approach or step-by-step process to bridge that gap over time?

好的。謝謝，布萊恩。下一個問題可能是問羅德的。當您考慮監管策略時，根據您的經驗，實際 ROE 與允許 ROE 之間存在巨大差距，通常最好的方法或逐步流程是什麼，可以隨著時間的推移縮小這一差距？

Yes. And I won't go into too much detail, but I think Brian alluded to the story as a self-help story. And the things that you can do, first and foremost, internally, is managing your overall cost structure, because the regulatory process sometimes takes a while to play itself out.

是的。我不想說得太詳細，但我認為布萊恩暗示這個故事是一個自助故事。您首先可以在內部做的事情是管理您的整體成本結構，因為監管過程有時需要一段時間才能完成。

And so the discipline around both capital and O&M, those are decisions that you can make without having to rely on any external party. And that, for me, was what I was alluding to when I said we've already made progress as I was looking outside in at this opportunity, I like the direction that the company was headed in. And I'll have more to say as I have an opportunity to assess some of the external levers.

因此，關於資本和營運與維護的紀律，這些都是您無需依賴任何外部方即可做出的決定。對我來說，這就是我所說的我們已經取得進展，因為我從外部尋找這個機會，我喜歡公司的發展方向。當我有機會評估一些外部槓桿時，我還會說更多。

But internally, the self-help story is beginning to pay dividends. And it's one of the reasons why I thought this was a viable opportunity to really accelerate the value proposition for the company. And that's not limited to any of the commodities. It's inherent in successful, premium valued utilities: water, gas or electric.

但在內部，這個自救故事已開始產生效益。這就是我認為這是真正加速公司價值主張的可行機會的原因之一。並且這不僅限於任何商品。它是成功的、高價值的公用設施所固有的：水、瓦斯或電力。

Okay. Got it. And congratulations to all four of you.

好的。知道了。並祝賀你們四位。

Mark Jarvi, CIBC Capital Markets.

加拿大帝國商業銀行資本市場部 (CIBC Capital Markets) 的馬克‧賈維 (Mark Jarvi)。

Welcome, Rod. Looking forward to get to know you better. And thanks, Chris and Darren, for your time and engagement the last couple of years; it's been very helpful.

歡迎光臨，羅德。期待進一步了解您。感謝克里斯和達倫過去幾年所付出的時間和精力；這非常有幫助。

Yes, just on Missouri, obviously, you talked about the disappointment in the reset of the timelines. Does the billing investigation potentially further extend that horizon on that, if it takes a little bit of time to work through that? And I guess if there is a further extension even given with the current extension, would you seek some interim rates just given the fact that the decision has been pushed out a few months now?

是的，僅就密蘇裡州而言，顯然，您談到了對時間線重置的失望。如果需要一點時間來解決，帳單調查是否有可能進一步擴大這一範圍？我想，如果在目前的延期基礎上進一步延期，考慮到決定已經推遲了幾個月，您是否會尋求一些臨時利率？

It's Sarah again. So no, we'll be fully cooperating with the investigators. We'll take it seriously, and we'll make sure we can figure out a way to restore trust. It has our full attention. But the rate case stands on its own. So we don't see it further delaying it.

又是莎拉。所以不會的，我們會全力配合調查人員。我們會認真對待此事，並確保找到恢復信任的方法。它引起了我們的充分關注。但利率案例本身就成立。因此我們認為它不會進一步被拖延。

And anything on interim rates?

還有關於臨時利率的任何資訊嗎？

At this time, I don't believe so.

就目前而言，我不這麼認為。

The other thing to take into account, Mark, is that we've already answered an awful lot of DRs as we sit right now. And so the rate case is developing quite well. The intervenors are getting lots of information. And so that, I think, is helpful in the restart to keep things moving along.

馬克，需要考慮的另一件事是，我們現在已經回答了大量 DR 問題。因此利率情況發展相當順利。幹預者正在獲取大量資訊。因此，我認為這有助於重啟並讓事情繼續順利進行。

Yes, makes sense, Chris. Rod, I know it's early days and you talked a bit about some of the things you want to accelerate and improve on. As you look at sort of the regulatory relationships there and the process is set up today, do you think there's a refinement that's required? And then even if you think with the billing issues, do you still believe that the current customer-first SAP system is adequate enough? Does it require further investments just sort of in terms of beefing up systems and processes to improve the regulatory outcomes?

是的，有道理，克里斯。羅德，我知道現在還為時過早，你談到了一些你想加速和改進的事情。當您看到那裡的監管關係以及目前建立的流程時，您是否認為需要進行改進？那麼，即使您考慮計費問題，您是否仍然認為目前以客戶為先的 SAP 系統已經足夠了？是否需要進一步投資來加強系統和流程以改善監管結果？

Yes. It's early in the assessment, but I know enough to say this. The systems that we have deployed have been used in other utilities to success: the process of technological deployment around AMI, communication system, the mesh networks. All of those things have bumpy experiences on the front end. I have lived through it at Entergy as well as many in the space. The objective though, at the end of the day, is tried and true improvements in customer experiences.

是的。評估還處於早期階段，但我知道的足以讓我這麼說。我們部署的系統已在其他公用事業中成功應用：圍繞 AMI、通訊系統、網狀網路的技術部署過程。所有這些事情在前端都會有坎坷的經歷。我在安特吉公司以及太空領域的許多公司都經歷過這樣的事情。但歸根究底，我們的目標是實際改善客戶體驗。

And despite sort of the bumpy beginnings, my conviction in the direction that we're headed for customers really gives me confidence that we will get it right. And so I know it's a bumpy start, but I like where this is headed.

儘管起步有些坎坷，但我對我們為客戶而努力的方向的堅定信念讓我相信我們能夠做好一切。我知道這是一個坎坷的開始，但我喜歡它的發展方向。

Just to sort of get it to where you need it to be, does it require some incremental capital?

為了將其達到您需要的目標，是否需要一些增量資本？

I have no doubt about that because it's -- customer expectations are constantly evolving. And if I might properly use a hockey reference, coming from my background which is American football, we constantly have to skate to where the puck is going to be. And that's going to require additional CapEx. It's not a terminal investment proposition. It will be an evolving one as we adapt to evolving customer expectations, so.

我對此毫不懷疑，因為客戶的期望不斷發展。如果我可以適當地使用曲棍球來比喻的話，根據我的背景，也就是美式足球，我們必須不斷地滑行到冰球將要到達的位置。這將需要額外的資本支出。這不是一個終端投資提案。隨著我們適應不斷變化的客戶期望，它也會不斷發展。

Yes. And just the other thing I would add, so we're already, in the capital budget for this year, putting in a new IVR system. That IVR system will be extremely helpful, I think, to interfacing with our customers and making sure that we're rapidly responding to them.

是的。我還要補充一點，我們已經在今年的資本預算中投入了新的 IVR 系統。我認為，IVR 系統對於我們與客戶互動以及確保我們快速回應客戶非常有幫助。

And the only other thing I'd say about the SAP implementation in Missouri is it's a much more complicated utility than the utilities that we had implemented before. It has many more moving parts. And as Rod referenced, things like AMI and so on. And so it just was a bit more of a complicated deployment.

關於密蘇裡州 SAP 實施我唯一想說的是，它比我們以前實施的實用程式要複雜得多。它有更多的活動部件。正如羅德所提到的，諸如 AMI 之類的東西。所以這只是一個稍微複雜一點的部署。

But that doesn't change the fact that we're committed to getting this working. We firmly believe that this will be better for our customer experience in the long haul. We just have to accelerate the improvement.

但這並不能改變我們致力於實現這一目標的事實。我們堅信從長遠來看這將有利於我們的客戶體驗。我們只是必須加速改進。

There are no further questions at this time. I will turn the call to Mr. Rod West.

目前沒有其他問題。我將把電話轉給羅德·韋斯特先生。

Well, I'll simply say thanks for your interest and certainly for the well wishes this morning. Brighter days are ahead. I want to thank in advance to the employees who might be listening in. I look forward to engaging you in.

好吧，我只想感謝您的關注，當然也感謝您今天上午的美好祝福。更光明的日子就在前方。我想要提前感謝那些可能正在聆聽的員工。我期待與您的合作。

And to the investment community, I commit to you, as my predecessor has, to be as transparent as I can. And I expect that you're not going to be surprised by what we do because we're going to bring you along on the journey as we have before. So thanks for your ongoing interest and continued support for us.

對於投資界，我承諾，正如我的前任一樣，我將盡可能保持透明。我希望你們不會對我們的所作所為感到驚訝，因為我們會像以前一樣帶你們一起踏上這段旅程。感謝您對我們的持續關注與支持。

Thank you, everyone.

謝謝大家。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以斷開連線。