Algonquin Power & Utilities reported stronger-than-expected Q4/23 results, with adjusted EPS of $0.16 beating estimates of $0.14 and adjusted EBITDA of $334 million exceeding estimates. This was driven by higher renewable generation, lower overhead costs, and higher other income.
There were no material updates provided on the ongoing process to sell the company's renewable energy division or on the search for a new CEO, which began in August 2023.
As expected, the company did not provide guidance for 2024 due to the ongoing renewable sales process.
The higher Q4 results and lack of updates on the renewables sale and CEO search are expected to have a neutral to modestly positive impact on Algonquin's shares.
Key areas of focus on the upcoming conference call are likely to be any updates on the renewables sale process, additional details on utility rate cases, and the outlook for each division given no 2024 guidance was provided.