FTRSFNYSEElectric ServicesUS GAAP · USD

Fortis Inc.

Fortis Inc. is a North American regulated electric and gas utility holding company with operations in Canada, the United States, and the Caribbean. Through its utility subsidiaries, it owns and operates transmission and distribution networks that deliver electricity and natural gas to residential, commercial, and industrial customers.

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Revenue12.2bn USD
+5.8 %y/y
Operating profit (EBIT)3,492m USD
+6.1 %y/y
EBIT margin28.7%
+0.1 ppy/y
Net income1,961m USD
+7.3 %y/y
Free cash flow-1,880m USD
−66.4 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

0.02.55.07.510.012.5bn USD2020: 8.9 bn USD2020: EBIT 2.5 bn USD20202021: 9.4 bn USD2021: EBIT 2.5 bn USD20212022: 11.0 bn USD2022: EBIT 2.7 bn USD20222023: 11.5 bn USD2023: EBIT 3.1 bn USD20232024: 11.5 bn USD2024: EBIT 3.3 bn USD20242025: 12.2 bn USD2025: EBIT 3.5 bn USD202512.23.5
RevenueOperating profit (EBIT)

Business

Share of revenue
Electric utility operations70 %

Regulated transmission and distribution of electricity across Fortis' utility franchises.

Gas utility operations25 %

Regulated natural gas transmission and distribution and related utility services.

Other utility and corporate activities5 %

Smaller non-core activities and corporate items not directly tied to utility delivery.

Customers

Fortis serves utility customers across regulated service territories, with end users including households, businesses, and industrial operators. Its revenues are largely driven by customer demand within rate-regulated territories rather than discretionary purchasing behavior. Public utilities, municipalities, and large commercial and industrial users depend on Fortis' networks for dependable electric and gas service.

Residential customers

Households that buy regulated electricity and gas service for everyday energy needs.

Commercial customers

Retail, office, service, and institutional users that rely on distribution networks for ongoing operations.

Industrial customers

Larger-load users that require dependable power and gas infrastructure for production and process energy.

Municipal and public-sector customers

Cities, utilities, and public institutions served through regulated local networks and infrastructure.

Strategy

Fortis focuses on regulated capital investment in transmission, distribution, and system reliability across its utility franchises. Its strategic direction centers on supporting customer load growth, modernizing grids, and expanding infrastructure that can be recovered through regulatory frameworks.

Regulated capital investmentMedium term

Utility earnings are driven by rate-base growth and approved infrastructure spending.

Grid reliability and resiliencyMedium term

Utilities must maintain service quality and reduce outage risk while adapting to weather and climate exposure.

Load growth supportMedium term

Rising energy demand can justify new infrastructure and expand the regulated asset base.

Low-carbon and gas infrastructure opportunitiesLong term

Diversified utility assets can capture adjacent infrastructure spend within regulated frameworks.

Geography

Fortis operates across five Canadian provinces, ten U.S. states, and the Caribbean, with utility assets embedded in local regulated service territories. Geography matters because earnings depend on each jurisdiction's regulatory framework, allowed returns, and capital investment opportunities. The company's footprint also exposes it to weather, storm hardening, and regional load-growth trends across North American markets.

Risks

Fortis is exposed to regulatory, weather, and capital-allocation risk because most of its earnings depend on rate cases, approved returns, and execution of large utility projects. It also faces typical utility risks such as storm damage, load uncertainty, changing power demand, and evolving environmental and safety requirements across multiple jurisdictions.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Regulatory approval risk1Weather and storm exposure2Capital project execution risk3Load-growth and demand risk4
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Regulatory approval riskImpact: HighLikelihood: High

    Utility revenues and returns depend on decisions by provincial, state, and federal regulators.

    ExposureRate casesIRPsPermitted returns
  2. Weather and storm exposureImpact: HighLikelihood: High

    Electric and gas networks are vulnerable to hurricanes, ice storms, heat events, and other severe weather.

    Exposure: Service territories across North America and the Caribbean

  3. Capital project execution riskImpact: MediumLikelihood: Medium

    Transmission, distribution, and resiliency projects can face delays, overruns, or permitting challenges.

    Exposure: Grid modernization and infrastructure investment programs

  4. Load-growth and demand riskImpact: MediumLikelihood: Medium

    Investment plans depend on sustained growth in customer load and electrification demand.

    Exposure: Utility planning and future rate-base growth

Accounting

Judgemental items
Regulatory accounting estimates

Management must estimate outcomes tied to regulatory decisions that affect assets, liabilities, revenues, and contingencies.

Impact: Can change recognized earnings and balance-sheet recoverability judgments

Expense disaggregation

ASU 2024-03 will require more detailed disclosure of energy supply costs, operating expenses, and depreciation.

Impact: Improves operating-cost transparency without changing underlying cash flows

Internal-use software capitalization

ASU 2025-06 changes when software development costs are capitalized and how they are disclosed.

Impact: May shift spending between expense and capitalized assets

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Last updated: 28/09/2026