Algonquin Power & Utilities Corp. (AQN): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el panorama dinámico de los servicios de energía renovable y servicios públicos, Algonquin Power & Utilitity Corp. (AQN) emerge como una fuerza transformadora, navegando estratégicamente las complejas intersecciones de infraestructura sostenible, generación de energía limpia y soluciones innovadoras de servicios públicos. Al crear meticulosamente un lienzo de modelo de negocio integral que abarca el desarrollo de la energía renovable, las asociaciones estratégicas y la prestación de servicios múltiples, AQN demuestra un enfoque poderoso para abordar los desafíos de energía moderna al tiempo que mantiene un compromiso firme con la responsabilidad ambiental y la excelencia operativa.

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: asociaciones clave

Asociaciones estratégicas con desarrolladores de energía renovable

Algonquin Power & Utilitity Corp. ha establecido asociaciones estratégicas con múltiples desarrolladores de energía renovable en América del Norte. A partir de 2024, estas asociaciones incluyen:

Pareja	Tipo de proyecto	Capacidad (MW)	Valor de inversión
Primero solar	Energía solar	200	$ 285 millones
Energía del patrón	Infraestructura eólica	350	$ 412 millones
Brookfield Renovable	Proyectos hidroeléctricos	150	$ 198 millones

Colaboración con proveedores de servicios públicos locales y regionales

Las colaboraciones clave del proveedor de servicios públicos incluyen:

• Potencia central de Maine: acuerdo de distribución que cubre a 621,000 clientes
• Liberty Utilidades: Territorios de servicio en múltiples estados de EE. UU.
• Industrias eléctricas hawaianas: proyectos de integración de energía renovable

Acuerdos contractuales con agencias gubernamentales

Asociaciones de la agencia gubernamental en las jurisdicciones:

Agencia	Enfoque de acuerdo	Valor de contrato	Duración
Comisión de servicios públicos de California	Desarrollo de energía renovable	$ 675 millones	15 años
Autoridad de Investigación y Desarrollo de Energía del Estado de Nueva York	Infraestructura de energía limpia	$ 246 millones	10 años

Empresas conjuntas en proyectos de infraestructura de energía limpia

Inversiones de empresas conjuntas actuales:

• Liberty Utilities Wind Portfolio: $ 520 millones de inversión total
• Consorcio de energía solar: capacidad total de 450 MW
• Proyecto de integración de cuadrícula renovable: compromiso de $ 385 millones

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: actividades clave

Generación de energía renovable

A partir de 2024, Algonquin Power & Utilitity Corp. opera la siguiente cartera de energía renovable:

Tipo de energía	Capacidad total (MW)	Número de instalaciones
Viento	1.580 MW	36 instalaciones
Solar	316 MW	22 instalaciones
Hidroeléctrico	354 MW	16 instalaciones

Servicios de distribución de servicios eléctricos y de agua

Métricas de red de distribución:

• Base de tasa de utilidad total regulada: $ 4.8 mil millones
• Servir aproximadamente 334,000 clientes de electricidad
• Servir aproximadamente 255,000 clientes de servicios de agua
• Operar en 12 estados de EE. UU. Y 2 provincias canadienses

Mantenimiento y expansión de la infraestructura

Detalles de la inversión de infraestructura anual:

Categoría de inversión	Gasto anual
Modernización de la cuadrícula	$ 275 millones
Actualizaciones de la línea de transmisión	$ 180 millones
Infraestructura de energía renovable	$ 350 millones

Desarrollo e inversión de energía sostenible

Métricas actuales de desarrollo de energía sostenible:

• Inversión total de energía renovable: $ 2.3 mil millones
• Compromiso de reducción de carbono: 80% para 2035
• Nuevos proyectos de energía renovable planificada: 5 eólica y 3 solares
• Expansión estimada de capacidad renovable futura: 500 MW

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: recursos clave

Diversos activos de generación de energía renovable

Algonquin Power & Utilitity Corp. posee y opera los siguientes activos de generación de energía renovable a partir de 2023:

Tipo de activo	Capacidad (MW)	Número de instalaciones
Energía eólica	1,191	29
Energía solar	305	16
Energía hidroeléctrica	354	21

Infraestructura de servicios públicos avanzados

La cartera de infraestructura incluye:

• Sistemas de servicios públicos de agua que sirven 287,000 conexiones de clientes
• Redes de distribución de gas natural en múltiples estados de EE. UU.
• Infraestructura de transmisión y distribución eléctrica en América del Norte

Ingeniería especializada y fuerza laboral técnica

Composición de la fuerza laboral:

Categoría de empleado	Número de empleados
Total de empleados	2,100
Profesionales de ingeniería	387
Especialistas técnicos	456

Fuerte capital financiero y capacidad de inversión

Recursos financieros a partir del tercer trimestre 2023:

• Activos totales: $ 16.8 mil millones
• Deuda a largo plazo: $ 7.2 mil millones
• Efectivo y equivalentes en efectivo: $ 214 millones
• Presupuesto anual de gastos de capital: $ 1.3 mil millones

Capacidades establecidas de cumplimiento regulatorio

Métricas de cumplimiento regulatorio:

Área de cumplimiento	Estado de certificación/cumplimiento
Permisos ambientales	100% cumplido
Estándares de la Corporación de Confiabilidad Eléctrica de América del Norte (NERC)	Totalmente certificado
Aprobaciones regulatorias de servicios públicos estatales	Activo en 11 jurisdicciones

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: propuestas de valor

Soluciones de energía sostenible y limpia

Algonquin Power & Utilitity Corp. genera 2.100 MW de energía renovable en América del Norte, con el siguiente desglose:

Fuente de energía	Capacidad (MW)	Porcentaje
Viento	1,200	57.1%
Solar	500	23.8%
Hidroeléctrico	300	14.3%
Térmico	100	4.8%

Servicios de servicios públicos confiables en múltiples regiones

La cobertura de servicio incluye:

• 7 estados de EE. UU.
• 2 provincias canadienses
• Atender a aproximadamente 1,1 millones de clientes de servicios públicos

Compromiso con la responsabilidad ambiental

Métricas de impacto ambiental:

• Reducción de carbono: 2.5 millones de toneladas métricas anualmente
• Inversión de energía renovable: $ 3.4 mil millones
• Objetivo: 90% de generación de electricidad sin carbono para 2035

Infraestructura energética estable y consistente

Rendimiento de la infraestructura:

Métrico	Valor
Base de tasa de servicios públicos totales	$ 9.3 mil millones
Confiabilidad de infraestructura	99.99% de tiempo de actividad
Inversión de modernización de la cuadrícula	$ 620 millones anuales

Precios competitivos para servicios de servicios públicos

Comparación de precios:

• Tasa de electricidad residencial promedio: $ 0.12/kWh
• 5-7% más bajo que los competidores de servicios públicos regionales
• Ahorro anual de clientes: $ 180- $ 240 por hogar

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocios: relaciones con los clientes

Contratos de servicio de servicios públicos a largo plazo

Algonquin Power & Utilities Corp. mantiene contratos de servicio de servicios públicos a largo plazo en múltiples jurisdicciones en América del Norte. A partir de 2022, la compañía sirvió a aproximadamente 326,000 clientes de servicios eléctricos, 261,000 clientes de gas natural y 44,000 clientes de servicios de agua.

Tipo de contrato	Número de clientes	Regiones geográficas
Utilidad eléctrica	326,000	Estados Unidos, Canadá
Gas natural	261,000	Estados Unidos
Utilidad de agua	44,000	Estados Unidos

Plataformas de atención al cliente y compromiso

La compañía opera múltiples canales de participación del cliente con Soporte digital y telefónico 24/7.

• Portal de clientes en línea
• Aplicación móvil
• Líneas telefónicas dedicadas de servicio al cliente
• Canales de soporte por correo electrónico

Sistemas de facturación y comunicación transparentes

Algonquin proporciona plataformas detalladas de facturación digital con seguimiento de consumo en tiempo real y estructuras de tarifas transparentes.

Canal de facturación	Porcentaje de clientes
Facturación en línea	78%
Facturación en papel	22%

Iniciativas de energía centradas en la comunidad

La compañía invirtió $ 42.3 millones en programas de energía renovable y sostenibilidad comunitaria en 2022.

Canales de servicio al cliente digital

Las plataformas de servicio digital cubren métodos de interacción múltiple con alta accesibilidad.

• Atención al cliente basada en la web
• Interfaces de aplicaciones móviles
• Compromiso del cliente de las redes sociales
• Servicios de chatbot automatizados

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: canales

Sistemas de facturación de servicios públicos directos

Algonquin Power & Utilitity Corp. opera sistemas de facturación directa en múltiples territorios de servicio en América del Norte. A partir de 2023, la compañía atiende a aproximadamente 334,000 clientes eléctricos, de gas natural, agua y aguas residuales.

Canal de facturación	Segmentos de clientes	Volumen de transacción anual
Facturación de papel tradicional	Clientes residenciales	Aproximadamente 210,000 clientes
Facturación electrónica	Comercial y residencial	Aproximadamente 124,000 clientes

Portales de clientes en línea

La compañía mantiene plataformas digitales integrales para la administración de cuentas de clientes.

• Las características del portal web incluyen pago de facturas, seguimiento de uso y solicitudes de servicio
• La plataforma digital admite múltiples servicios de servicios públicos
• Autenticación segura de inicio de sesión para cuentas de clientes

Servicios de aplicaciones móviles

Algonquin Power & Utilities proporciona aplicaciones móviles para la participación del cliente en sus territorios de servicio.

Función de la aplicación móvil	Funcionalidad
Pago de facturas	Capacidades de transacción en tiempo real
Monitoreo de uso	Seguimiento de consumo detallado
Informes de interrupción	Notificación de interrupción del servicio inmediato

Centros de servicio al cliente local

Algonquin mantiene ubicaciones físicas de servicio al cliente en sus regiones operativas.

• Presencia en 6 estados de EE. UU. Y provincias canadienses
• Soporte dedicado para consultas relacionadas con los servicios públicos
• Servicios de consulta en persona

Plataformas de comunicación digital

La compañía utiliza múltiples canales digitales para la comunicación y el compromiso del cliente.

Canal de comunicación	Propósito principal	Volumen de interacción anual
Comunicaciones por correo electrónico	Notificaciones de facturación, alertas de servicio	Más de 1,2 millones de interacciones anuales
Plataformas de redes sociales	Atención al cliente, participación comunitaria	Aproximadamente 50,000 interacciones anuales
Chat de atención al cliente	Asistencia técnica en tiempo real	Aproximadamente 75,000 interacciones anuales

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: segmentos de clientes

Consumidores de servicios públicos residenciales

Algonquin Power & Los servicios públicos atienden a aproximadamente 330,000 clientes de electricidad y gas natural en múltiples estados de EE. UU. A partir de 2023.

Estado	Clientes residenciales	Tipo de servicio
California	82,500	Electricidad
Arizona	45,700	Gas natural
New Hampshire	38,200	Eléctrico/gas

Usuarios de energía comercial e industrial

Los segmentos comerciales e industriales representan el 42% de los ingresos de servicios públicos totales de Algonquin en 2023.

• Total de clientes comerciales: 24,500
• Consumo promedio de energía anual: 1.2 millones de kWh por cliente
• Sectores atendidos: fabricación, tecnología, atención médica

Clientes de energía municipal y gubernamental

Algonquin brinda servicios de servicios públicos a 87 gobiernos municipales en América del Norte.

Región	Clientes municipales	Valor anual del contrato
Medio oeste	42	$ 38.5 millones
Nordeste	35	$ 26.7 millones
Suroeste	10	$ 12.3 millones

Mercados de energía agrícola y rural

Los clientes agrícolas comprenden el 15% de la base total de clientes de servicios públicos de Algonquin.

• Conexiones de servicios públicos rurales: 22,600
• Consumo promedio de energía agrícola: 750,000 kWh anualmente
• Integración de energía renovable: 35% de los clientes agrícolas

Socios de inversión de energía renovable

Algonquin administra inversiones de energía renovable con 20 socios estratégicos en 2023.

Tipo de inversión	Número de socios	Valor de inversión total
Proyectos solares	8	$ 425 millones
Energía eólica	7	$ 612 millones
Hidroeléctrico	5	$ 287 millones

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: Estructura de costos

Desarrollo y mantenimiento de la infraestructura

Gastos de capital por infraestructura en 2022: $ 1.4 mil millones

Categoría de infraestructura	Costo anual
Infraestructura de energía renovable	$ 742 millones
Mantenimiento de la red de servicios públicos	$ 398 millones
Actualizaciones de la línea de transmisión	$ 260 millones

Inversiones de tecnología de energía renovable

Inversión total en I + D e INVERSIÓN TECNOLOGÍA en 2022: $ 186 millones

• Inversiones de tecnología solar: $ 62 millones
• Tecnología de energía eólica: $ 74 millones
• Soluciones de almacenamiento de energía: $ 50 millones

Gastos operativos y administrativos

Gastos operativos totales en 2022: $ 517 millones

Categoría de gastos	Costo anual
Salarios de los empleados	$ 238 millones
Operaciones de instalación	$ 142 millones
Mantenimiento del equipo	$ 137 millones

Costos de cumplimiento regulatorio

Gastos totales de cumplimiento regulatorio en 2022: $ 93 millones

• Cumplimiento ambiental: $ 47 millones
• Adherencia a la regulación de seguridad: $ 29 millones
• Informes y documentación: $ 17 millones

Gastos de investigación y desarrollo

Presupuesto total de I + D en 2022: $ 186 millones

Área de enfoque de I + D	Monto de la inversión
Tecnologías de energía limpia	$ 98 millones
Modernización de la cuadrícula	$ 58 millones
Soluciones de eficiencia energética	$ 30 millones

Algonquin Power & Utilities Corp. (AQN) - Modelo de negocio: flujos de ingresos

Generación y distribución de electricidad

Ingresos anuales de generación de electricidad: $ 1.2 mil millones

Segmento de electricidad	Ingresos anuales
Generación térmica	$ 385 millones
Generación de energía eólica	$ 425 millones
Generación de energía solar	$ 290 millones

Tarifas de servicio de servicios de agua

Ingresos totales del servicio de servicios públicos de agua: $ 345 millones

• Servicios de distribución de agua regulados
• Tarifas de tratamiento de aguas residuales
• Servicios de infraestructura de agua municipal

Inversiones de proyectos de energía renovable

Total de la inversión de energía renovable Retornos: $ 275 millones

Tipo de inversión	Retorno anual
Inversiones de parques eólicos	$ 165 millones
Inversiones de proyectos solares	$ 110 millones

Acuerdos de compra de energía a largo plazo

Ingresos totales de contratos de energía a largo plazo: $ 520 millones

• Contratos de tasa fija de 25 años
• Acuerdos garantizados de suministro de electricidad
• Contratos de energía corporativos y municipales

Ventas de crédito de energía sostenible

Ingresos anuales de crédito de energía sostenible: $ 95 millones

Tipo de crédito	Volumen de ventas anual
Certificados de energía renovable	$ 65 millones
Créditos de compensación de carbono	$ 30 millones

Algonquin Power & Utilities Corp. (AQN) - Canvas Business Model: Value Propositions

You're looking at the core promises Algonquin Power & Utilities Corp. (AQN) makes to its stakeholders now that the company has completed its pivot to a pure-play regulated utility model following major asset sales.

Safe, secure, and reliable delivery of essential utility services

Algonquin Power & Utilities Corp. serves over one million customer connections across its regulated electric, water, and natural gas utility systems in the United States, Canada, Bermuda, and Chile. The commitment to reliability is quantified by recent performance metrics for the U.S. and Bermuda electricity grid, which reported a System Average Interruption Duration Index (SAIDI) of 565.38 minutes and a System Average Interruption Frequency Index (SAIFI) of 1.77 rate for fiscal year 2024.

• Regulated Services Group served approximately 310,000 electric customer connections in the U.S. and Bermuda as of September 30, 2025.
• Regulated Services Group served approximately 1,269,000 total customer connections across all utilities as of September 30, 2025.

Predictable, stable earnings profile from regulated assets post-divestiture

The value proposition here centers on the stability derived from the core regulated business, which was significantly bolstered by the sale of the non-hydro renewable energy business on January 8, 2025, for net proceeds of approximately $2.1 billion. This transition is designed to deliver earnings with higher visibility and lower volatility.

Here's a look at the financial stability and outlook anchored in the regulated business performance and forward guidance:

Metric	Value / Range	Context / Date
Regulated Services Group Net Earnings Growth (YoY)	43%	Three months ended March 31, 2025
Estimated Adjusted Net Earnings per Share	$0.30 - $0.32	Full Year 2025 Outlook
Earned Return on Equity (ROE) Target	8.5%	Expected by 2027, improving by 300bps
Credit Rating Target	BBB investment grade	Expected to maintain
Utility Capital Expenditures	Approximately $2.5 billion	Expected for 2025 - 2027

The company aims to achieve this while expecting no need for equity issuance through 2027. This focus supports the goal of maintaining a business risk profile consistent with its BBB flat investment grade credit ratings.

Cost-effective energy and water solutions for customers

Algonquin Power & Utilities Corp. aims for cost-effectiveness through operational improvements and successful regulatory outcomes that allow for necessary revenue recovery. The company obtained conclusive orders in four rate cases during the first quarter of 2025, resulting in aggregate authorized revenue increases totaling approximately $22.3 million. Furthermore, forward-looking targets point to efficiency gains.

• Operating expenses as a percent of revenue expected to improve by 5-7% by the end of 2027.
• One analysis suggests $21.2mn in aggregate incremental annual revenue recognized from rate cases, with another $94.3mn in new applications pending as of July 2025.
• Water provided was 150,459 thousand m3 in 2024.

Commitment to sustainability through continued hydro operations

The Hydro Group remains a core component of Algonquin Power & Utilities Corp.'s operations, consisting of hydroelectric generation facilities located in Canada. This segment demonstrated significant earnings strength, with net earnings increasing 176% in the second quarter of 2025 compared to the prior year period. The 2024 data for the Hydro Group shows a gross generating capacity of approximately 116 MW.

The Hydro Group's contribution to electricity generated in 2024 was 53 GWh (Hydroelectric, based on Regulated only data). This retained hydro fleet represents the sustainable generation assets kept post-renewables sale.

Algonquin Power & Utilities Corp. (AQN) - Canvas Business Model: Customer Relationships

You're looking at how Algonquin Power & Utilities Corp. (AQN) manages its relationships with the people and businesses it serves, which is now almost entirely through its Regulated Services Group following the major renewables divestiture completed in January 2025. The core of this relationship is built on the promise of essential, uninterrupted service.

Regulated Service Model, Focusing on High Reliability and Service Quality

The relationship is fundamentally a regulated one, meaning service quality, reliability, and rates are overseen by state and provincial commissions. Algonquin Power & Utilities Corp. is committed to providing safe, secure, reliable, cost-effective, and sustainable energy and water solutions. This commitment is paramount for maintaining its BBB investment grade ratings, which the company expects to maintain through 2027. The Regulated Services Group is the engine for this stability, serving over one million customer connections across its electric, water, wastewater, and natural gas utilities.

Here's a look at the scale of the customer base as of late 2025:

Metric	Value	As Of Date
Total Customer Connections (Regulated Services Group)	1,269,000	September 30, 2025
Estimated Total Customers (at 2.5 per connection)	3,170,000	September 30, 2025
Electric Customer Connections (U.S. and Bermuda)	310,000	September 30, 2025
Rate Base (Regulated Utility)	>$7.9 billion	December 31, 2024

For electricity customers in the U.S. and Bermuda, reliability metrics from 2024 give you a baseline for service quality: the System Average Interruption Duration Index (SAIDI) was 565.38 minutes, and the System Average Interruption Frequency Index (SAIFI) was a rate of 1.77. The Regulated Services Group actively seeks to provide high quality and reliable services to these customers.

Customer-Centric Focus as Part of the New Back to Basics Strategy

The new "Back to Basics" utility customer-centric capital plan, announced in June 2025, explicitly puts the customer experience first. The CEO stated a commitment to "delivering outcomes and experiences to customers in the moments that matter to them." This isn't just talk; it's tied to capital deployment. Algonquin Power & Utilities Corp. is focusing on organic capital investment, projecting utility capital expenditures of approximately $2.5 billion expected for 2025 - 2027, much of which is directed toward grid modernization and customer-centric infrastructure improvements. The goal is to intertwine operational excellence and stakeholder engagement into the Company's DNA.

Direct Customer Service and Billing for Utility Connections

The day-to-day relationship involves direct interaction for service delivery and billing across multiple commodities. The Regulated Services Group manages these connections, which include:

• Regulated electrical distribution utility systems.
• Water distribution and wastewater collection systems.
• Natural gas utility systems.
• Transmission operations.

Growth in the Regulated Services Group's net earnings, which were up approximately 43% year-over-year for Q1 2025, was partly driven by the implementation of new rates across several of its electric, water, and gas utilities. For instance, Q3 2025 net earnings for the group were fueled by growth from approved rate adjustments across gas and water utilities.

Public and Regulatory Engagement to Justify Rate Increases

Securing constructive regulatory outcomes is a key pillar of the "Back to Basics" strategy, as it directly impacts the ability to recover costs and earn an appropriate return. You see this engagement in active rate case filings across their service territories. The company understands that any rate adjustments are challenging for some customers, and affordability is taken seriously, but they frame these requests as necessary for modernizing infrastructure and meeting reliability standards.

Here are some recent regulatory actions to justify necessary revenue adjustments:

• Q1 2025: Authorized revenue increases totaling approximately $22.3 million from conclusive orders in four rate cases.
• Q2 2025: Filed general rate cases seeking a combined $73.6 million in rate increases across New England Natural Gas and Litchfield Park Water.
• Arizona Rate Case: Targeting a 9.55% allowed return on equity (ROE).
• Empire Electric (Missouri): Refiled seeking a net operating revenue increase of $92.1 million, though the MPSC suspended tariff sheets until January 2, 2026.

The company is actively working to align specific metrics and milestones with regulatory commissions to demonstrate improved and predictable customer service, as seen in the feedback received from the commission regarding the Empire Electric system in Q3 2025.

Finance: draft 13-week cash view by Friday.

Algonquin Power & Utilities Corp. (AQN) - Canvas Business Model: Channels

The delivery of services for Algonquin Power & Utilities Corp. (AQN), primarily through its Regulated Services Group and the Liberty brand operating companies, relies on an extensive physical infrastructure network and localized service points.

Physical transmission and distribution networks (wires and pipes)

The physical channel backbone consists of regulated utility systems across multiple commodities. As of September 30, 2025, the Regulated Services Group served approximately 1,269,000 customer connections across the United States, Canada, Bermuda, and Chile. This infrastructure includes the physical wires for electric distribution and the pipes for water, wastewater, and natural gas delivery. For instance, the Liberty New York Water operations alone include approximately 1,270 miles of water mains and distribution lines. The company has a forward-looking utility capital expenditure plan of approximately $2.5 billion expected for 2025 - 2027, which supports the maintenance and expansion of these physical channels.

Liberty brand operating company subsidiaries

The primary customer interface is through the Liberty operating business, which manages the regulated utility services. These subsidiaries deliver services across a diversified portfolio of commodities and geographies. As of March 31, 2025, the customer connections were segmented across these regulated utility systems:

• Electric distribution utility systems served approximately 310,000 connections.
• Natural gas distribution utility systems served approximately 378,000 connections.
• Water distribution and wastewater collection utility systems served the remaining connections.

The scale of the customer base served by the Regulated Services Group as of the third quarter of 2025 is detailed below:

Metric	Value (As of September 30, 2025)
Total Customer Connections	1,269,000
Estimated Total Customers	Approximately 3,170,000
Electric Customer Connections	Approximately 310,000
Natural Gas Customer Connections	Approximately 378,000

The company is committed to providing these services in 13 U.S states, 1 Canadian province, Bermuda, and Chile.

Direct customer billing and online service portals

Customer interaction for billing and service management is facilitated through direct channels. Algonquin Power & Utilities Corp. is committed to providing safe, secure, reliable, cost-effective, and sustainable energy and water solutions. The company maintains online service portals for customer transactions, supporting the over one million customer connections. This digital channel supports the overall service delivery to the customer base across the various Liberty entities.

Utility service centers in local operating regions

Service centers provide localized support, reflecting the company's "Think Global, Act Local" business model. These centers are situated within the specific operating regions of the Liberty Utilities subsidiaries across the service territories. The regulated utility systems are located in U.S. states including Arkansas, California, Kansas, Missouri, Nevada, New Hampshire, and Oklahoma for electric service, and Georgia, Illinois, Iowa, Massachusetts, New Hampshire, and Missouri for natural gas service. The physical presence of these centers is integral to delivering local utility management, service, and support to small and mid-sized communities.

Algonquin Power & Utilities Corp. (AQN) - Canvas Business Model: Customer Segments

You're looking at the core base of Algonquin Power & Utilities Corp. (AQN) as they transition to a pure-play regulated utility. The customer base is defined by the regulated utility systems under the Regulated Services Group.

The total number of ratepayers served is quantified by the customer connections. As of September 30, 2025, Algonquin Power & Utilities Corp. served approximately 1,269,000 customer connections. This figure translates to approximately 3,170,000 customers using an average of 2.5 customers per connection.

The regulated utility connections span several jurisdictions. Algonquin Power & Utilities Corp. operates a diversified portfolio across the United States, Canada, Bermuda, and Chile. The company is committed to providing services to over one million customer connections, largely concentrated in the United States and Canada.

While the specific breakdown between Residential and Commercial and Industrial utility customers isn't explicitly detailed in the latest reports, the customer base is served through electric, natural gas, and water/wastewater utility systems. The commodity breakdown as of late 2025 provides the necessary detail on the service types provided to these end-users.

Here is the breakdown of customer connections by utility service type and geography based on the latest available figures:

Utility Service Type	Customer Connections (as of Sept 30, 2025)	Customer Connections (as of Mar 31, 2025)	Primary Geographies
Total Regulated Connections	1,269,000	1,266,000	US, Canada, Bermuda, Chile
Electric Distribution	Approximately 310,000	Approximately 310,000	US (AR, CA, KS, MO, NV, NH, OK) and Bermuda
Natural Gas Distribution	Approximately 378,000	Approximately 378,000	US (GA, IL, IA, MA, MO, NH, NY) and New Brunswick, Canada
Water and Wastewater Distribution	Not specified for Sept 30, 2025	Approximately 578,000	US (AZ, AR, CA, IL, MO, NY, TX) and Chile

The electric distribution systems, which serve a portion of the residential and C&I segments, were approximately 310,000 connections as of September 30, 2025. The natural gas distribution systems served about 378,000 connections as of the same date. The water and wastewater utility systems, which also serve these customer types, reported approximately 578,000 connections as of March 31, 2025.

The customer base is served by utility systems that are rate-regulated, meaning their revenue requirements and rates are approved by regulatory authorities in their respective operating jurisdictions. Algonquin Power & Utilities Corp. is focused on delivering outcomes and experiences to these customers as part of its 'Back to Basics' plan.

• Regulated electrical distribution utility systems are in US states including Arkansas, California, Kansas, Missouri, Nevada, New Hampshire, and Oklahoma, plus Bermuda.
• Regulated natural gas distribution utility systems are in US states including Georgia, Illinois, Iowa, Massachusetts, Missouri, New Hampshire, and New York, plus the Canadian Province of New Brunswick.
• Regulated water and wastewater distribution systems are in US states including Arizona, Arkansas, California, Illinois, Missouri, New York, and Texas, plus Chile.

Finance: confirm the exact breakdown of the 1,269,000 connections into Residential vs. Commercial/Industrial by next Tuesday.

Algonquin Power & Utilities Corp. (AQN) - Canvas Business Model: Cost Structure

You're looking at the core costs Algonquin Power & Utilities Corp. faces as it pivots to a pure-play regulated utility, which means a heavy reliance on infrastructure spending and debt management. The cost structure is dominated by the physical assets required to run the utility business.

High fixed costs for utility infrastructure maintenance and operations are a given for Algonquin Power & Utilities Corp. These costs are tied to keeping the lights on and water flowing for over one million customer connections. For context on the scale, in the period ending December 31, 2024, reported Operating expenses were $879,950 thousand in one period and $823,914 thousand in the prior period. The company is actively targeting better cost control, forecasting that operating expenses as a percentage of revenue will improve by 5-7% by the end of 2027. In the third quarter of 2025, Algonquin Power & Utilities Corp. reported an operating expense reduction of $11 million year-over-year, attributed to efficiency gains. Still, some of those savings were timing-related, with an expected partial unwind in Q4.

The next major cost component is significant capital expenditures for grid modernization. Algonquin Power & Utilities Corp. has a disciplined capital plan focused on its utility assets. The company has planned utility capital expenditures totaling approximately $2.5 billion for the period spanning 2025 to 2027. This investment is central to the "Back to Basics" strategy, aiming to improve operational efficiency and customer-centric infrastructure.

You can see how these costs stack up against the backdrop of the balance sheet, especially regarding debt. Interest expense on corporate debt has been a significant drag, but deleveraging efforts are meant to ease this. For the year ended December 31, 2024, the reported Interest expense was ($363,576 thousand), compared to ($308,440 thousand) the year before. The company has been actively reducing debt, notably through the sale of its renewable energy business, which is intended to improve financial flexibility and support a BBB credit rating.

Finally, there are the costs associated with operating in a regulated environment, namely regulatory compliance and legal costs for rate case filings. Algonquin Power & Utilities Corp. had its most active rate case schedule in history during 2024, with plans to file cases across several utility systems. The company is focused on reducing regulatory lag, which is the delay between investing capital and recovering those costs through customer rates. As of the third quarter of 2025, they secured approvals for rate increases in Massachusetts and Arizona totaling $73.6 million. Furthermore, three rate cases alone represent over $700 million of capital already invested but not yet reflected in rates. Litigation expenses are also noted as an item excluded when calculating Adjusted EBITDA, indicating these costs are present.

Here's a quick look at some of the key financial figures impacting the cost structure:

Cost Category/Metric	Relevant Financial Number/Period	Unit/Context
Utility Capital Expenditures (2025-2027 Plan)	$2.5 billion	Total planned utility capex through 2027
Reported Operating Expenses (FY End 2024 Period 1)	$879,950	Thousands
Reported Interest Expense (FY End 2024 Period 1)	($363,576)	Thousands
Target OpEx Improvement	5-7%	Improvement in OpEx as a percent of revenue by end of 2027
Q3 2025 OpEx Reduction	$11 million	Year-over-year decrease due to efficiency
Capital Invested Awaiting Rate Recovery	$700 million	From three rate cases, not yet in rates

Finance: draft 13-week cash view by Friday.

Algonquin Power & Utilities Corp. (AQN) - Canvas Business Model: Revenue Streams

The revenue streams for Algonquin Power & Utilities Corp. (AQN) are fundamentally anchored in two distinct operational segments: the regulated utility business and the remaining hydroelectric power generation assets.

Regulated utility tariffs and rates for electric, gas, and water services form the bedrock of predictable cash flow. These revenues are derived from the rates approved by various regulatory bodies across the United States, Canada, Bermuda, and Chile, covering electric, water distribution, wastewater systems, and natural gas utility services. The company serves approximately 1,269,000 customer connections as at September 30, 2025. Progress in regulatory proceedings, such as the approved settlement agreement at EnergyNorth Gas and a proposed settlement at CalPeco Electric during Q3 2025, directly impacts future revenue stability.

The Revenue from the Regulated Services Group is a key metric for assessing the core business performance. For the three months ended September 30, 2025, the Regulated Services Group recorded revenue of $582.70 million. This segment saw a year-over-year increase in net earnings of 61% for the same quarter, reaching $104.1 million, driven by the implementation of approved rates.

Contracted power sales from the Hydro Group assets represent the second component. While the renewable energy business (excluding hydro) was sold in January 2025, the remaining Hydro Group consists of hydroelectric generation facilities in Canada. Net earnings for the Hydro Group in Q3 2025 were $3.30 million.

The Allowed return on equity (ROE) on invested capital base is crucial for the regulated segment. While the realized ROE for Q3 2025 is not explicitly stated, the forward-looking outlook suggests an expected improvement in Earned ROE to approximately 8.5% by 2027. In specific rate cases, such as the one at Empire Electric in Missouri, the demanded ROE was noted at 10% on an equity ratio of 53.1%.

Here is a look at the key financial data points related to these revenue drivers from the third quarter of 2025:

Metric	Value (Q3 2025)	Context
Regulated Services Group Revenue	$582.7 million	Revenue for the three months ended September 30, 2025
Regulated Services Group Net Earnings	$104.1 million	Year-over-year increase of 61%
Hydro Group Net Earnings	$3.30 million	Net earnings for the quarter
Total Company Revenue (TTM)	$2.39 Billion USD	Revenue in the last twelve months
Total Company Revenue (Q3 2025)	$600.8 million	Total reported revenue for the quarter

The revenue generation profile is supported by several operational achievements and regulatory milestones:

• Implementation of approved rates across gas and water utilities provided a revenue tailwind.
• Slightly favourable weather at the Empire Electric System contributed to Q3 2025 results.
• The Regulated Services Group serves approximately 310,000 electric customer connections as of September 30, 2025.
• The company expects utility capital expenditures of approximately $2.5 billion for the 2025 - 2027 period.
• The expected Adjusted Net Earnings per share for 2025 is within a range of $0.30 - $0.32.