Latest news with #BethanyOwen
Business Wire
5 days ago
- Business
- Business Wire
ALLETE, Inc. Reports Second Quarter 2025 Earnings
DULUTH, Minn.--(BUSINESS WIRE)--ALLETE, Inc. (NYSE: ALE) today reported second quarter 2025 earnings of 55 cents per share on net income of $31.9 million. Last year's second quarter results were 57 cents per share on net income of $33.0 million. Net income in the second quarter of 2025 includes transaction expenses of $3.4 million after-tax, or 6 cents per share, related to the announced merger. Net income in the second quarter of 2024 included transaction expenses of $14.5 million after-tax, or 25 cents per share. 'Our entire ALLETE team continues to work diligently to execute our Sustainability-in-Action strategy. On July 11, 2025, we were pleased to announce a settlement agreement reached between the Minnesota Department of Commerce, Minnesota Power and its transaction partners Canada Pension Plan Investment Board ('CPP Investments') and Global Infrastructure Partners ('GIP') that will deliver enhanced benefits for our customers, our employees and the communities we serve,' said ALLETE Chair, President, and Chief Executive Officer Bethany Owen. 'The settlement agreement is a strong, positive step forward in ALLETE's planned partnership with experienced infrastructure investors, CPP Investments and GIP and demonstrates our commitment to listening and working collaboratively with our stakeholders.' ALLETE continues to expect the proposed transaction to close in 2025, subject to approval by the Minnesota Public Utilities Commission and other customary closing conditions. Required approvals have been received from all other parties. ALLETE also announced Superior Water, Light and Power's ('SWLP') leadership advanced legislation to help their customers replace lead service lines by working with state and local leaders to support a change in Wisconsin law that will allow SWLP to access federal grants to help offset costs for SWLP customers. The change has been passed by the legislature and signed into law by Governor Evers. ALLETE's Regulated Operations segment, which includes Minnesota Power, SWLP and the Company's investment in the American Transmission Company, recorded second quarter 2025 net income of $23.0 million, compared to $33.7 million in the second quarter a year ago. Net income at Minnesota Power was lower than 2024 reflecting lower margins from industrial customers, higher operating and maintenance expense, higher depreciation expense due to the impact of estimated compliance costs related to an EPA Rule finalized in May 2024 and lower transmission margins. Net income at SWLP was higher than 2024 reflecting new rates implemented in 2025. After-tax equity earnings in the American Transmission Company were higher than 2024 primarily due to additional equity investments. ALLETE Clean Energy recorded second quarter 2025 net income of $900 thousand compared to $2.4 million in 2024. Net income in 2025 reflects lower production and unfavorable pricing at most wind sites, partially offset by higher production at ALLETE Clean Energy's Caddo wind energy facility. Earnings in 2024 reflected negative impacts from a forced network outage near its Caddo wind energy facility. New Energy Equity recorded 2025 second quarter net income of $4.7 million, compared to net income of $7.7 million for the same period in 2024. Net income in 2025 includes lower sales of renewable energy projects due to timing of project closings. These decreases were partially offset by higher earnings from tax equity financed solar energy facilities. Corporate and Other businesses, which include BNI Energy, ALLETE Properties and our investments in renewable energy facilities, recorded net income of $3.3 million in the second quarter of 2025, compared to a net loss of $10.8 million in 2024. Net income in 2025 reflects lower merger-related expenses compared to 2024, and lower income tax expense. Merger-related expenses were $3.4 million after-tax in 2025 compared to $14.5 million in 2024. 'Results for the second quarter of 2025 were impacted primarily by lower industrial margins as a result of lower sales to taconite customers at Minnesota Power which are expected to continue through 2025," said ALLETE Vice President – Chief Financial Officer and Corporate Treasurer Jeff Scissons. 'Absent the closing of the transaction and the rate case stay-out provision in the settlement agreement with the Minnesota Department of Commerce, Minnesota Power would be filing a rate case to account for reduced revenue, increased depreciation from capital investments and inflationary pressures. The rate case stay-out provision in the settlement agreement provides immediate customer savings on top of numerous other commitments that benefit ALLETE stakeholders, customers and communities.' ALLETE is an energy company headquartered in Duluth, Minn. In addition to its electric utilities, Minnesota Power and Superior Water, Light and Power of Wisconsin, ALLETE owns ALLETE Clean Energy, based in Duluth, BNI Energy in Bismarck, N.D., New Energy Equity in Annapolis, MD, and has an eight percent equity interest in the American Transmission Co. More information about ALLETE is available at ALE-CORP The statements contained in this release and statements that ALLETE may make orally in connection with this release that are not historical facts, are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These forward-looking statements involve risks and uncertainties and investors are directed to the risks discussed in documents filed by ALLETE with the Securities and Exchange Commission. ALLETE's press releases and other communications may include certain non-Generally Accepted Accounting Principles (GAAP) financial measures. A "non-GAAP financial measure" is defined as a numerical measure of a company's financial performance, financial position or cash flows that excludes (or includes) amounts that are included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in the company's financial statements. Non-GAAP financial measures utilized by the Company include presentations of earnings (loss) per share. ALLETE's management believes that these non-GAAP financial measures provide useful information to investors by removing the effect of variances in GAAP reported results of operations that are not indicative of changes in the fundamental earnings power of the Company's operations. Management believes that the presentation of the non-GAAP financial measures is appropriate and enables investors and analysts to more accurately compare the company's ongoing financial performance over the periods presented. June 30, June 30, 2025 2024 2025 2024 Operating Revenue Contracts with Customers – Utility $305.1 $279.8 $637.9 $618.1 Contracts with Customers – Non-utility 53.8 73.5 119.7 137.2 Other – Non-utility 1.4 1.2 2.9 2.5 Total Operating Revenue 360.3 354.5 760.5 757.8 Operating Expenses Fuel, Purchased Power and Gas – Utility 113.3 107.3 236.3 240.8 Transmission Services – Utility 19.3 1.6 38.3 24.3 Cost of Sales – Non-utility 24.3 31.8 49.2 56.2 Operating and Maintenance 96.6 102.1 189.6 193.8 Depreciation and Amortization 73.2 66.0 142.9 131.0 Taxes Other than Income Taxes 15.6 16.3 33.2 35.0 Total Operating Expenses 342.3 325.1 689.5 681.1 Operating Income 18.0 29.4 71.0 76.7 Other Income (Expense) Interest Expense (23.1) (20.1) (44.5) (40.5) Equity Earnings 5.9 5.9 11.9 11.4 Other 5.2 5.9 9.8 14.5 Total Other Expense (12.0) (8.3) (22.8) (14.6) Income Before Income Taxes 6.0 21.1 48.2 62.1 Income Tax Expense (Benefit) (0.6) 1.4 6.9 5.4 Net Income 6.6 19.7 41.3 56.7 Net Loss Attributable to Non-Controlling Interest (25.3) (13.3) (46.7) (27.0) Net Income Attributable to ALLETE $31.9 $33.0 $88.0 $83.7 Average Shares of Common Stock Basic 58.0 57.7 58.0 57.7 Diluted 58.1 57.8 58.0 57.7 Basic Earnings Per Share of Common Stock $0.55 $0.57 $1.52 $1.45 Diluted Earnings Per Share of Common Stock $0.55 $0.57 $1.52 $1.45 Dividends Per Share of Common Stock $0.73 $0.705 $1.46 $1.41 Expand Consolidated Balance Sheet Millions - Unaudited Dec. 31, Jun. 30, Dec. 31, 2025 2024 2025 2024 Assets Liabilities and Equity Cash and Cash Equivalents $55.4 $32.8 Current Liabilities $337.9 $404.2 Other Current Assets 397.5 402.4 Long-Term Debt 1,931.8 1,704.7 Property, Plant and Equipment – Net 5,324.0 5,181.5 Deferred Income Taxes 278.9 253.4 Regulatory Assets 363.0 371.7 Regulatory Liabilities 586.7 570.5 Equity Investments 350.5 340.1 Defined Benefit Pension and Other Postretirement Benefit Plans 99.4 118.2 Goodwill and Intangibles – Net 155.3 155.3 Other Non-Current Liabilities 311.4 312.8 Other Non-Current Assets 267.5 270.5 Redeemable Non-Controlling Interest 0.8 0.4 Equity 3,366.3 3,390.1 Total Assets $6,913.2 $6,754.3 Total Liabilities, Redeemable Non-Controlling Interest and Equity $6,913.2 $6,754.3 Expand Quarter Ended Six Months Ended ALLETE, Inc. June 30, June 30, Income (Loss) 2025 2024 2025 2024 Millions Regulated Operations $23.0 $33.7 $61.4 $77.9 ALLETE Clean Energy 0.9 2.4 8.3 6.2 New Energy 4.7 7.7 13.9 11.7 Corporate and Other 3.3 (10.8) 4.4 (12.1) Net Income Attributable to ALLETE $31.9 $33.0 $88.0 $83.7 Diluted Earnings Per Share $0.55 $0.57 $1.52 $1.45 Expand Statistical Data Corporate Common Stock High $66.40 $65.86 $66.40 $65.86 Low $63.27 $56.66 $63.27 $55.86 Close $64.07 $62.35 $64.07 $62.35 Book Value $49.31 $48.86 $49.31 $48.86 Expand Kilowatt-hours Sold Millions Regulated Utility Retail and Municipal Residential 231 225 563 531 Commercial 304 307 658 645 Industrial 1,530 1,729 3,104 3,527 Municipal 108 105 240 230 Total Retail and Municipal 2,173 2,366 4,565 4,933 Other Power Suppliers 981 579 1,907 1,336 Total Regulated Utility Kilowatt-hours Sold 3,154 2,945 6,472 6,269 Expand Regulated Utility Revenue Millions Regulated Utility Revenue Retail and Municipal Electric Revenue Residential $36.9 $34.4 $86.2 $81.1 Commercial 44.1 42.9 92.4 90.3 Industrial 136.5 146.3 274.9 304.8 Municipal 8.2 7.4 17.8 16.4 Total Retail and Municipal Electric Revenue 225.7 231.0 471.3 492.6 Other Power Suppliers 47.3 30.4 94.4 70.4 Other (Includes Water and Gas Revenue) 32.1 18.4 72.2 55.1 Total Regulated Utility Revenue $305.1 $279.8 $637.9 $618.1 Expand
Globe and Mail
5 days ago
- Business
- Globe and Mail
ALLETE, Inc. Reports Second Quarter 2025 Earnings
ALLETE, Inc. (NYSE: ALE) today reported second quarter 2025 earnings of 55 cents per share on net income of $31.9 million. Last year's second quarter results were 57 cents per share on net income of $33.0 million. Net income in the second quarter of 2025 includes transaction expenses of $3.4 million after-tax, or 6 cents per share, related to the announced merger. Net income in the second quarter of 2024 included transaction expenses of $14.5 million after-tax, or 25 cents per share. 'Our entire ALLETE team continues to work diligently to execute our Sustainability-in-Action strategy. On July 11, 2025, we were pleased to announce a settlement agreement reached between the Minnesota Department of Commerce, Minnesota Power and its transaction partners Canada Pension Plan Investment Board ('CPP Investments') and Global Infrastructure Partners ('GIP') that will deliver enhanced benefits for our customers, our employees and the communities we serve,' said ALLETE Chair, President, and Chief Executive Officer Bethany Owen. 'The settlement agreement is a strong, positive step forward in ALLETE's planned partnership with experienced infrastructure investors, CPP Investments and GIP and demonstrates our commitment to listening and working collaboratively with our stakeholders.' ALLETE continues to expect the proposed transaction to close in 2025, subject to approval by the Minnesota Public Utilities Commission and other customary closing conditions. Required approvals have been received from all other parties. ALLETE also announced Superior Water, Light and Power's ('SWLP') leadership advanced legislation to help their customers replace lead service lines by working with state and local leaders to support a change in Wisconsin law that will allow SWLP to access federal grants to help offset costs for SWLP customers. The change has been passed by the legislature and signed into law by Governor Evers. ALLETE's Regulated Operations segment, which includes Minnesota Power, SWLP and the Company's investment in the American Transmission Company, recorded second quarter 2025 net income of $23.0 million, compared to $33.7 million in the second quarter a year ago. Net income at Minnesota Power was lower than 2024 reflecting lower margins from industrial customers, higher operating and maintenance expense, higher depreciation expense due to the impact of estimated compliance costs related to an EPA Rule finalized in May 2024 and lower transmission margins. Net income at SWLP was higher than 2024 reflecting new rates implemented in 2025. After-tax equity earnings in the American Transmission Company were higher than 2024 primarily due to additional equity investments. ALLETE Clean Energy recorded second quarter 2025 net income of $900 thousand compared to $2.4 million in 2024. Net income in 2025 reflects lower production and unfavorable pricing at most wind sites, partially offset by higher production at ALLETE Clean Energy's Caddo wind energy facility. Earnings in 2024 reflected negative impacts from a forced network outage near its Caddo wind energy facility. New Energy Equity recorded 2025 second quarter net income of $4.7 million, compared to net income of $7.7 million for the same period in 2024. Net income in 2025 includes lower sales of renewable energy projects due to timing of project closings. These decreases were partially offset by higher earnings from tax equity financed solar energy facilities. Corporate and Other businesses, which include BNI Energy, ALLETE Properties and our investments in renewable energy facilities, recorded net income of $3.3 million in the second quarter of 2025, compared to a net loss of $10.8 million in 2024. Net income in 2025 reflects lower merger-related expenses compared to 2024, and lower income tax expense. Merger-related expenses were $3.4 million after-tax in 2025 compared to $14.5 million in 2024. 'Results for the second quarter of 2025 were impacted primarily by lower industrial margins as a result of lower sales to taconite customers at Minnesota Power which are expected to continue through 2025," said ALLETE Vice President – Chief Financial Officer and Corporate Treasurer Jeff Scissons. 'Absent the closing of the transaction and the rate case stay-out provision in the settlement agreement with the Minnesota Department of Commerce, Minnesota Power would be filing a rate case to account for reduced revenue, increased depreciation from capital investments and inflationary pressures. The rate case stay-out provision in the settlement agreement provides immediate customer savings on top of numerous other commitments that benefit ALLETE stakeholders, customers and communities.' ALLETE is an energy company headquartered in Duluth, Minn. In addition to its electric utilities, Minnesota Power and Superior Water, Light and Power of Wisconsin, ALLETE owns ALLETE Clean Energy, based in Duluth, BNI Energy in Bismarck, N.D., New Energy Equity in Annapolis, MD, and has an eight percent equity interest in the American Transmission Co. More information about ALLETE is available at ALE-CORP The statements contained in this release and statements that ALLETE may make orally in connection with this release that are not historical facts, are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These forward-looking statements involve risks and uncertainties and investors are directed to the risks discussed in documents filed by ALLETE with the Securities and Exchange Commission. ALLETE's press releases and other communications may include certain non-Generally Accepted Accounting Principles (GAAP) financial measures. A "non-GAAP financial measure" is defined as a numerical measure of a company's financial performance, financial position or cash flows that excludes (or includes) amounts that are included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in the company's financial statements. Non-GAAP financial measures utilized by the Company include presentations of earnings (loss) per share. ALLETE's management believes that these non-GAAP financial measures provide useful information to investors by removing the effect of variances in GAAP reported results of operations that are not indicative of changes in the fundamental earnings power of the Company's operations. Management believes that the presentation of the non-GAAP financial measures is appropriate and enables investors and analysts to more accurately compare the company's ongoing financial performance over the periods presented. June 30, June 30, 2025 2024 2025 2024 Operating Revenue Contracts with Customers – Utility $305.1 $279.8 $637.9 $618.1 Contracts with Customers – Non-utility 53.8 73.5 119.7 137.2 Other – Non-utility 1.4 1.2 2.9 2.5 Total Operating Revenue 360.3 354.5 760.5 757.8 Operating Expenses Fuel, Purchased Power and Gas – Utility 113.3 107.3 236.3 240.8 Transmission Services – Utility 19.3 1.6 38.3 24.3 Cost of Sales – Non-utility 24.3 31.8 49.2 56.2 Operating and Maintenance 96.6 102.1 189.6 193.8 Depreciation and Amortization 73.2 66.0 142.9 131.0 Taxes Other than Income Taxes 15.6 16.3 33.2 35.0 Total Operating Expenses 342.3 325.1 689.5 681.1 Operating Income 18.0 29.4 71.0 76.7 Other Income (Expense) Interest Expense (23.1) (20.1) (44.5) (40.5) Equity Earnings 5.9 5.9 11.9 11.4 Other 5.2 5.9 9.8 14.5 Total Other Expense (12.0) (8.3) (22.8) (14.6) Income Before Income Taxes 6.0 21.1 48.2 62.1 Income Tax Expense (Benefit) (0.6) 1.4 6.9 5.4 Net Income 6.6 19.7 41.3 56.7 Net Loss Attributable to Non-Controlling Interest (25.3) (13.3) (46.7) (27.0) Net Income Attributable to ALLETE $31.9 $33.0 $88.0 $83.7 Average Shares of Common Stock Basic 58.0 57.7 58.0 57.7 Diluted 58.1 57.8 58.0 57.7 Basic Earnings Per Share of Common Stock $0.55 $0.57 $1.52 $1.45 Diluted Earnings Per Share of Common Stock $0.55 $0.57 $1.52 $1.45 Dividends Per Share of Common Stock $0.73 $0.705 $1.46 $1.41 Consolidated Balance Sheet Millions - Unaudited Jun. 30, Dec. 31, Jun. 30, Dec. 31, 2025 2024 2025 2024 Assets Liabilities and Equity Cash and Cash Equivalents $55.4 $32.8 Current Liabilities $337.9 $404.2 Other Current Assets 397.5 402.4 Long-Term Debt 1,931.8 1,704.7 Property, Plant and Equipment – Net 5,324.0 5,181.5 Deferred Income Taxes 278.9 253.4 Regulatory Assets 363.0 371.7 Regulatory Liabilities 586.7 570.5 Equity Investments 350.5 340.1 Defined Benefit Pension and Other Postretirement Benefit Plans 99.4 118.2 Goodwill and Intangibles – Net 155.3 155.3 Other Non-Current Liabilities 311.4 312.8 Other Non-Current Assets 267.5 270.5 Redeemable Non-Controlling Interest 0.8 0.4 Equity 3,366.3 3,390.1 Total Assets $6,913.2 $6,754.3 Total Liabilities, Redeemable Non-Controlling Interest and Equity $6,913.2 $6,754.3 Quarter Ended Six Months Ended ALLETE, Inc. June 30, June 30, Income (Loss) 2025 2024 2025 2024 Millions Regulated Operations $23.0 $33.7 $61.4 $77.9 ALLETE Clean Energy 0.9 2.4 8.3 6.2 New Energy 4.7 7.7 13.9 11.7 Corporate and Other 3.3 (10.8) 4.4 (12.1) Net Income Attributable to ALLETE $31.9 $33.0 $88.0 $83.7 Diluted Earnings Per Share $0.55 $0.57 $1.52 $1.45 Statistical Data Corporate Common Stock High $66.40 $65.86 $66.40 $65.86 Low $63.27 $56.66 $63.27 $55.86 Close $64.07 $62.35 $64.07 $62.35 Book Value $49.31 $48.86 $49.31 $48.86 Kilowatt-hours Sold Millions Regulated Utility Retail and Municipal Residential 231 225 563 531 Commercial 304 307 658 645 Industrial 1,530 1,729 3,104 3,527 Municipal 108 105 240 230 Total Retail and Municipal 2,173 2,366 4,565 4,933 Other Power Suppliers 981 579 1,907 1,336 Total Regulated Utility Kilowatt-hours Sold 3,154 2,945 6,472 6,269 Regulated Utility Revenue Millions Regulated Utility Revenue Retail and Municipal Electric Revenue Residential $36.9 $34.4 $86.2 $81.1 Commercial 44.1 42.9 92.4 90.3 Industrial 136.5 146.3 274.9 304.8 Municipal 8.2 7.4 17.8 16.4 Total Retail and Municipal Electric Revenue 225.7 231.0 471.3 492.6 Other Power Suppliers 47.3 30.4 94.4 70.4 Other (Includes Water and Gas Revenue) 32.1 18.4 72.2 55.1 Total Regulated Utility Revenue $305.1 $279.8 $637.9 $618.1
Yahoo
5 days ago
- Business
- Yahoo
ALLETE, Inc. Reports Second Quarter 2025 Earnings
DULUTH, Minn., August 07, 2025--(BUSINESS WIRE)--ALLETE, Inc. (NYSE: ALE) today reported second quarter 2025 earnings of 55 cents per share on net income of $31.9 million. Last year's second quarter results were 57 cents per share on net income of $33.0 million. Net income in the second quarter of 2025 includes transaction expenses of $3.4 million after-tax, or 6 cents per share, related to the announced merger. Net income in the second quarter of 2024 included transaction expenses of $14.5 million after-tax, or 25 cents per share. "Our entire ALLETE team continues to work diligently to execute our Sustainability-in-Action strategy. On July 11, 2025, we were pleased to announce a settlement agreement reached between the Minnesota Department of Commerce, Minnesota Power and its transaction partners Canada Pension Plan Investment Board ("CPP Investments") and Global Infrastructure Partners ("GIP") that will deliver enhanced benefits for our customers, our employees and the communities we serve," said ALLETE Chair, President, and Chief Executive Officer Bethany Owen. "The settlement agreement is a strong, positive step forward in ALLETE's planned partnership with experienced infrastructure investors, CPP Investments and GIP and demonstrates our commitment to listening and working collaboratively with our stakeholders." ALLETE continues to expect the proposed transaction to close in 2025, subject to approval by the Minnesota Public Utilities Commission and other customary closing conditions. Required approvals have been received from all other parties. ALLETE also announced Superior Water, Light and Power's ("SWLP") leadership advanced legislation to help their customers replace lead service lines by working with state and local leaders to support a change in Wisconsin law that will allow SWLP to access federal grants to help offset costs for SWLP customers. The change has been passed by the legislature and signed into law by Governor Evers. ALLETE's Regulated Operations segment, which includes Minnesota Power, SWLP and the Company's investment in the American Transmission Company, recorded second quarter 2025 net income of $23.0 million, compared to $33.7 million in the second quarter a year ago. Net income at Minnesota Power was lower than 2024 reflecting lower margins from industrial customers, higher operating and maintenance expense, higher depreciation expense due to the impact of estimated compliance costs related to an EPA Rule finalized in May 2024 and lower transmission margins. Net income at SWLP was higher than 2024 reflecting new rates implemented in 2025. After-tax equity earnings in the American Transmission Company were higher than 2024 primarily due to additional equity investments. ALLETE Clean Energy recorded second quarter 2025 net income of $900 thousand compared to $2.4 million in 2024. Net income in 2025 reflects lower production and unfavorable pricing at most wind sites, partially offset by higher production at ALLETE Clean Energy's Caddo wind energy facility. Earnings in 2024 reflected negative impacts from a forced network outage near its Caddo wind energy facility. New Energy Equity recorded 2025 second quarter net income of $4.7 million, compared to net income of $7.7 million for the same period in 2024. Net income in 2025 includes lower sales of renewable energy projects due to timing of project closings. These decreases were partially offset by higher earnings from tax equity financed solar energy facilities. Corporate and Other businesses, which include BNI Energy, ALLETE Properties and our investments in renewable energy facilities, recorded net income of $3.3 million in the second quarter of 2025, compared to a net loss of $10.8 million in 2024. Net income in 2025 reflects lower merger-related expenses compared to 2024, and lower income tax expense. Merger-related expenses were $3.4 million after-tax in 2025 compared to $14.5 million in 2024. "Results for the second quarter of 2025 were impacted primarily by lower industrial margins as a result of lower sales to taconite customers at Minnesota Power which are expected to continue through 2025," said ALLETE Vice President – Chief Financial Officer and Corporate Treasurer Jeff Scissons. "Absent the closing of the transaction and the rate case stay-out provision in the settlement agreement with the Minnesota Department of Commerce, Minnesota Power would be filing a rate case to account for reduced revenue, increased depreciation from capital investments and inflationary pressures. The rate case stay-out provision in the settlement agreement provides immediate customer savings on top of numerous other commitments that benefit ALLETE stakeholders, customers and communities." ALLETE is an energy company headquartered in Duluth, Minn. In addition to its electric utilities, Minnesota Power and Superior Water, Light and Power of Wisconsin, ALLETE owns ALLETE Clean Energy, based in Duluth, BNI Energy in Bismarck, N.D., New Energy Equity in Annapolis, MD, and has an eight percent equity interest in the American Transmission Co. More information about ALLETE is available at ALE-CORP The statements contained in this release and statements that ALLETE may make orally in connection with this release that are not historical facts, are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These forward-looking statements involve risks and uncertainties and investors are directed to the risks discussed in documents filed by ALLETE with the Securities and Exchange Commission. ALLETE's press releases and other communications may include certain non-Generally Accepted Accounting Principles (GAAP) financial measures. A "non-GAAP financial measure" is defined as a numerical measure of a company's financial performance, financial position or cash flows that excludes (or includes) amounts that are included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in the company's financial statements. Non-GAAP financial measures utilized by the Company include presentations of earnings (loss) per share. ALLETE's management believes that these non-GAAP financial measures provide useful information to investors by removing the effect of variances in GAAP reported results of operations that are not indicative of changes in the fundamental earnings power of the Company's operations. Management believes that the presentation of the non-GAAP financial measures is appropriate and enables investors and analysts to more accurately compare the company's ongoing financial performance over the periods presented. ALLETE, Inc. Consolidated Statement of Income Millions Except Per Share Amounts - Unaudited Quarter Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Operating Revenue Contracts with Customers – Utility $305.1 $279.8 $637.9 $618.1 Contracts with Customers – Non-utility 53.8 73.5 119.7 137.2 Other – Non-utility 1.4 1.2 2.9 2.5 Total Operating Revenue 360.3 354.5 760.5 757.8 Operating Expenses Fuel, Purchased Power and Gas – Utility 113.3 107.3 236.3 240.8 Transmission Services – Utility 19.3 1.6 38.3 24.3 Cost of Sales – Non-utility 24.3 31.8 49.2 56.2 Operating and Maintenance 96.6 102.1 189.6 193.8 Depreciation and Amortization 73.2 66.0 142.9 131.0 Taxes Other than Income Taxes 15.6 16.3 33.2 35.0 Total Operating Expenses 342.3 325.1 689.5 681.1 Operating Income 18.0 29.4 71.0 76.7 Other Income (Expense) Interest Expense (23.1) (20.1) (44.5) (40.5) Equity Earnings 5.9 5.9 11.9 11.4 Other 5.2 5.9 9.8 14.5 Total Other Expense (12.0) (8.3) (22.8) (14.6) Income Before Income Taxes 6.0 21.1 48.2 62.1 Income Tax Expense (Benefit) (0.6) 1.4 6.9 5.4 Net Income 6.6 19.7 41.3 56.7 Net Loss Attributable to Non-Controlling Interest (25.3) (13.3) (46.7) (27.0) Net Income Attributable to ALLETE $31.9 $33.0 $88.0 $83.7 Average Shares of Common Stock Basic 58.0 57.7 58.0 57.7 Diluted 58.1 57.8 58.0 57.7 Basic Earnings Per Share of Common Stock $0.55 $0.57 $1.52 $1.45 Diluted Earnings Per Share of Common Stock $0.55 $0.57 $1.52 $1.45 Dividends Per Share of Common Stock $0.73 $0.705 $1.46 $1.41 Consolidated Balance Sheet Millions - Unaudited Jun. 30, Dec. 31, Jun. 30, Dec. 31, 2025 2024 2025 2024 Assets Liabilities and Equity Cash and Cash Equivalents $55.4 $32.8 Current Liabilities $337.9 $404.2 Other Current Assets 397.5 402.4 Long-Term Debt 1,931.8 1,704.7 Property, Plant and Equipment – Net 5,324.0 5,181.5 Deferred Income Taxes 278.9 253.4 Regulatory Assets 363.0 371.7 Regulatory Liabilities 586.7 570.5 Equity Investments 350.5 340.1 Defined Benefit Pension and Other Postretirement Benefit Plans 99.4 118.2 Goodwill and Intangibles – Net 155.3 155.3 Other Non-Current Liabilities 311.4 312.8 Other Non-Current Assets 267.5 270.5 Redeemable Non-Controlling Interest 0.8 0.4 Equity 3,366.3 3,390.1 Total Assets $6,913.2 $6,754.3 Total Liabilities, Redeemable Non-Controlling Interest and Equity $6,913.2 $6,754.3 Quarter Ended Six Months Ended ALLETE, Inc. June 30, June 30, Income (Loss) 2025 2024 2025 2024 Millions Regulated Operations $23.0 $33.7 $61.4 $77.9 ALLETE Clean Energy 0.9 2.4 8.3 6.2 New Energy 4.7 7.7 13.9 11.7 Corporate and Other 3.3 (10.8) 4.4 (12.1) Net Income Attributable to ALLETE $31.9 $33.0 $88.0 $83.7 Diluted Earnings Per Share $0.55 $0.57 $1.52 $1.45 Statistical Data Corporate Common Stock High $66.40 $65.86 $66.40 $65.86 Low $63.27 $56.66 $63.27 $55.86 Close $64.07 $62.35 $64.07 $62.35 Book Value $49.31 $48.86 $49.31 $48.86 Kilowatt-hours Sold Millions Regulated Utility Retail and Municipal Residential 231 225 563 531 Commercial 304 307 658 645 Industrial 1,530 1,729 3,104 3,527 Municipal 108 105 240 230 Total Retail and Municipal 2,173 2,366 4,565 4,933 Other Power Suppliers 981 579 1,907 1,336 Total Regulated Utility Kilowatt-hours Sold 3,154 2,945 6,472 6,269 Regulated Utility Revenue Millions Regulated Utility Revenue Retail and Municipal Electric Revenue Residential $36.9 $34.4 $86.2 $81.1 Commercial 44.1 42.9 92.4 90.3 Industrial 136.5 146.3 274.9 304.8 Municipal 8.2 7.4 17.8 16.4 Total Retail and Municipal Electric Revenue 225.7 231.0 471.3 492.6 Other Power Suppliers 47.3 30.4 94.4 70.4 Other (Includes Water and Gas Revenue) 32.1 18.4 72.2 55.1 Total Regulated Utility Revenue $305.1 $279.8 $637.9 $618.1 View source version on Contacts Investor Contact:218-723-3952shareholder@
Yahoo
11-07-2025
- Business
- Yahoo
ALLETE Announces Agreement with Minnesota Department of Commerce to Deliver Immediate Post-Closing Cost Savings and Substantial Benefits for Customers and Communities
Department Determines Acquisition of ALLETE is "Consistent with the Public Interest" and Recommends MPUC Approval DULUTH, Minn., July 11, 2025--(BUSINESS WIRE)--ALLETE, Inc. (NYSE: ALE) (the "Company") announced that the Company and its transaction partners Canada Pension Plan Investment Board (CPP Investments) and Global Infrastructure Partners (GIP) have reached an agreement with the Minnesota Department of Commerce that will deliver immediate cost savings and substantial benefits to Minnesota Power customers and communities following the approval and completion of the proposed transaction. With this settlement agreement, the Minnesota Department of Commerce, which is charged with advocating for the public interest in utility matters, supports the acquisition of ALLETE as being consistent with the public interest and recommends approval by the Minnesota Public Utilities Commission. The Minnesota Department of Commerce joins a growing body of supporters of the transaction, including the International Brotherhood of Electrical Workers (IBEW) Local 31, which represents certain employees of ALLETE companies; the Laborers' International Union of Minnesota and North Dakota; the International Union of Operating Engineers Local 49; the North Central States Regional Council of Carpenters; the Minnesota Chamber of Commerce; Duluth and Hermantown Chambers; Energy CENTS Coalition; and Head of the Lakes United Way. "We are steadfast in our commitment to providing excellent service to our customers, supporting our communities and meeting the policy goals of the State of Minnesota, and we are pleased to have reached an agreement that will deliver enhanced benefits for our customers, our employees and the communities we serve," said ALLETE Chair, President and CEO Bethany Owen. "This agreement demonstrates our commitment to listening and working collaboratively with our stakeholders, and we've appreciated the close collaboration with the Minnesota Department of Commerce to address matters raised by the Department and others through this process. The strong and growing local support we've received reflects a shared understanding that this transaction is the right step forward for Minnesota Power. With increasing clean energy and infrastructure needs now and well into the future, partnering with the two experienced, long-term investors we've chosen is crucial to advancing our company's commitment to building a clean-energy future and achieving the state's carbon reduction goals, while safeguarding reliable power and keeping customer bills as low as possible." "We are pleased with today's announcement by the Minnesota Department of Commerce in support of the proposed transaction, which further ensures the needs of customers, communities and employees will continue to be at the center of ALLETE's mission," said Jonathan Bram, Founding Partner of Global Infrastructure Partners (GIP). "Given our long-term track record of successfully investing in high-performing critical infrastructure, we look forward to partnering with ALLETE's management team to build a stronger foundation for Minnesota's energy future." "The Minnesota Department of Commerce's endorsement affirms that our partnership will create lasting value for customers and communities," said James Bryce, Managing Director, Head of Infrastructure, CPP Investments. "By combining our long-term capital and sector expertise with ALLETE's strong management team, we will help ensure Minnesota Power continues to provide safe, reliable, and affordable electricity today while advancing its transition to a sustainable, clean energy future." The settlement agreement, which is contingent on MPUC approval and completion of the transaction, includes expanded Minnesota Power stakeholder commitments across several key areas of focus including: Immediate cost savings for customers: As part of this agreement, Minnesota Power has committed to a one-year customer base rate freeze, ensuring rate stability for customers during a period of economic uncertainty, and agreed to reduce its Return on Equity from 9.78% to 9.65% post close until a future rate case, which will directly translate to lower costs passed through to customers. Maintaining strong customer service levels: ALLETE, CPP Investments and GIP have agreed to enforceable service quality and system reliability performance metrics for Minnesota Power to guarantee customers continue to receive the high levels of reliability and quality they expect. Guaranteed access to capital to fund the clean energy transition: CPP Investments and GIP have agreed to the funding of the Company's five-year capital plan, ensuring ALLETE will have access to the capital necessary to support the work underway to advance its transmission and renewable energy goals. Clean firm technology funding: The settlement also establishes an investor-funded $50 million Clean Firm Technology Fund to advance important local projects and partnerships critical to a reliable and sustainable energy transition. Transparency and governance: ALLETE and its partners have agreed to establish a holding company structure for the go-forward company's regulated assets, which will further ensure Minnesota Power's customers are protected from risks associated with non-utility business activities. The partners have also agreed that six directors of the 14-member Board of Directors will be independent with several from Minnesota and Wisconsin, ensuring regional voices have a greater influence in utility decision-making. This agreement also expands upon the stakeholder commitments previously announced by ALLETE, CPP Investments and GIP, which include: Retaining ALLETE's workforce and maintaining current compensation levels and benefits programs; Honoring existing union contracts and, further, extending ALLETE's collective bargaining agreement with the International Brotherhood of Electrical Workers (IBEW) Local 31 by two years; Maintaining headquarters in Duluth, Minnesota, with Bethany Owen continuing as CEO and the current management team remaining in place; Contributing to local communities in ALLETE service territories, including through an up to $3.5 million CPP Investments and GIP-funded residential customer arrearage forgiveness program designed to support eligible low-income customers. Following transaction close and as previously stated, Minnesota Power will remain locally managed and operated in Duluth and will continue to be regulated by the Minnesota Public Utilities Commission, ensuring local oversight and control of rates and energy planning. Costs related to the transaction will not impact retail or municipal rates for utility customers. The proposed transaction is expected to close in 2025 and is subject to approval by the Minnesota Public Utilities Commission and other customary closing conditions. The settlement agreement has been submitted to the MPUC for consideration as part of its overall review of the acquisition. The transaction has achieved all other required approvals, including from ALLETE shareholders, the Federal Energy Regulatory Commission and the Public Service Commission of Wisconsin (PSC). Further information on the benefits of ALLETE's proposed transaction can be found at About Minnesota Power Minnesota Power provides electric service within a 26,000-square-mile area in northeastern Minnesota, supporting comfort, security and quality of life for 150,000 customers, 14 municipalities and some of the largest industrial customers in the United States. More information can be found at About ALLETE, Inc. ALLETE, Inc. is an energy company headquartered in Duluth, Minnesota. In addition to its electric utilities, Minnesota Power and Superior Water, Light and Power of Wisconsin, ALLETE owns ALLETE Clean Energy, based in Duluth, Minnesota; BNI Energy in Bismarck, North Dakota; and New Energy Equity, headquartered in Annapolis, Maryland; and has an 8% equity interest in the American Transmission Co. More information about ALLETE is available at ALLETE calculates and reports carbon emissions based on the GHG Protocol. Details are in ALLETE's Corporate Sustainability Report. The statements contained in this release and statements that ALLETE may make orally in connection with this release that are not historical facts, are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These forward-looking statements involve risks and uncertainties and investors are directed to the risks discussed in documents filed by ALLETE with the Securities and Exchange Commission. View source version on Contacts Media Contact:Amy RutledgeDirector- Corporate Communications218-723-7400arutledge@ Investor Contact:218-723-3952 Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
11-07-2025
- Business
- Business Wire
ALLETE Announces Agreement with Minnesota Department of Commerce to Deliver Immediate Post-Closing Cost Savings and Substantial Benefits for Customers and Communities
BUSINESS WIRE)--ALLETE, Inc. (NYSE: ALE) (the 'Company') announced that the Company and its transaction partners Canada Pension Plan Investment Board (CPP Investments) and Global Infrastructure Partners (GIP) have reached an agreement with the Minnesota Department of Commerce that will deliver immediate cost savings and substantial benefits to Minnesota Power customers and communities following the approval and completion of the proposed transaction. With this settlement agreement, the Minnesota Department of Commerce, which is charged with advocating for the public interest in utility matters, supports the acquisition of ALLETE as being consistent with the public interest and recommends approval by the Minnesota Public Utilities Commission. The Minnesota Department of Commerce joins a growing body of supporters of the transaction, including the International Brotherhood of Electrical Workers (IBEW) Local 31, which represents certain employees of ALLETE companies; the Laborers' International Union of Minnesota and North Dakota; the International Union of Operating Engineers Local 49; the North Central States Regional Council of Carpenters; the Minnesota Chamber of Commerce; Duluth and Hermantown Chambers; Energy CENTS Coalition; and Head of the Lakes United Way. 'We are steadfast in our commitment to providing excellent service to our customers, supporting our communities and meeting the policy goals of the State of Minnesota, and we are pleased to have reached an agreement that will deliver enhanced benefits for our customers, our employees and the communities we serve,' said ALLETE Chair, President and CEO Bethany Owen. 'This agreement demonstrates our commitment to listening and working collaboratively with our stakeholders, and we've appreciated the close collaboration with the Minnesota Department of Commerce to address matters raised by the Department and others through this process. The strong and growing local support we've received reflects a shared understanding that this transaction is the right step forward for Minnesota Power. With increasing clean energy and infrastructure needs now and well into the future, partnering with the two experienced, long-term investors we've chosen is crucial to advancing our company's commitment to building a clean-energy future and achieving the state's carbon reduction goals, while safeguarding reliable power and keeping customer bills as low as possible.' 'We are pleased with today's announcement by the Minnesota Department of Commerce in support of the proposed transaction, which further ensures the needs of customers, communities and employees will continue to be at the center of ALLETE's mission,' said Jonathan Bram, Founding Partner of Global Infrastructure Partners (GIP). 'Given our long-term track record of successfully investing in high-performing critical infrastructure, we look forward to partnering with ALLETE's management team to build a stronger foundation for Minnesota's energy future.' 'The Minnesota Department of Commerce's endorsement affirms that our partnership will create lasting value for customers and communities,' said James Bryce, Managing Director, Head of Infrastructure, CPP Investments. 'By combining our long-term capital and sector expertise with ALLETE's strong management team, we will help ensure Minnesota Power continues to provide safe, reliable, and affordable electricity today while advancing its transition to a sustainable, clean energy future.' The settlement agreement, which is contingent on MPUC approval and completion of the transaction, includes expanded Minnesota Power stakeholder commitments across several key areas of focus including: Immediate cost savings for customers: As part of this agreement, Minnesota Power has committed to a one-year customer base rate freeze, ensuring rate stability for customers during a period of economic uncertainty, and agreed to reduce its Return on Equity from 9.78% to 9.65% post close until a future rate case, which will directly translate to lower costs passed through to customers. Maintaining strong customer service levels: ALLETE, CPP Investments and GIP have agreed to enforceable service quality and system reliability performance metrics for Minnesota Power to guarantee customers continue to receive the high levels of reliability and quality they expect. Guaranteed access to capital to fund the clean energy transition: CPP Investments and GIP have agreed to the funding of the Company's five-year capital plan, ensuring ALLETE will have access to the capital necessary to support the work underway to advance its transmission and renewable energy goals. Clean firm technology funding: The settlement also establishes an investor-funded $50 million Clean Firm Technology Fund to advance important local projects and partnerships critical to a reliable and sustainable energy transition. Transparency and governance: ALLETE and its partners have agreed to establish a holding company structure for the go-forward company's regulated assets, which will further ensure Minnesota Power's customers are protected from risks associated with non-utility business activities. The partners have also agreed that six directors of the 14-member Board of Directors will be independent with several from Minnesota and Wisconsin, ensuring regional voices have a greater influence in utility decision-making. This agreement also expands upon the stakeholder commitments previously announced by ALLETE, CPP Investments and GIP, which include: Retaining ALLETE's workforce and maintaining current compensation levels and benefits programs; Honoring existing union contracts and, further, extending ALLETE's collective bargaining agreement with the International Brotherhood of Electrical Workers (IBEW) Local 31 by two years; Maintaining headquarters in Duluth, Minnesota, with Bethany Owen continuing as CEO and the current management team remaining in place; Contributing to local communities in ALLETE service territories, including through an up to $3.5 million CPP Investments and GIP-funded residential customer arrearage forgiveness program designed to support eligible low-income customers. Following transaction close and as previously stated, Minnesota Power will remain locally managed and operated in Duluth and will continue to be regulated by the Minnesota Public Utilities Commission, ensuring local oversight and control of rates and energy planning. Costs related to the transaction will not impact retail or municipal rates for utility customers. The proposed transaction is expected to close in 2025 and is subject to approval by the Minnesota Public Utilities Commission and other customary closing conditions. The settlement agreement has been submitted to the MPUC for consideration as part of its overall review of the acquisition. The transaction has achieved all other required approvals, including from ALLETE shareholders, the Federal Energy Regulatory Commission and the Public Service Commission of Wisconsin (PSC). Further information on the benefits of ALLETE's proposed transaction can be found at About Minnesota Power Minnesota Power provides electric service within a 26,000-square-mile area in northeastern Minnesota, supporting comfort, security and quality of life for 150,000 customers, 14 municipalities and some of the largest industrial customers in the United States. More information can be found at About ALLETE, Inc. ALLETE, Inc. is an energy company headquartered in Duluth, Minnesota. In addition to its electric utilities, Minnesota Power and Superior Water, Light and Power of Wisconsin, ALLETE owns ALLETE Clean Energy, based in Duluth, Minnesota; BNI Energy in Bismarck, North Dakota; and New Energy Equity, headquartered in Annapolis, Maryland; and has an 8% equity interest in the American Transmission Co. More information about ALLETE is available at ALE-CORP ALLETE calculates and reports carbon emissions based on the GHG Protocol. Details are in ALLETE's Corporate Sustainability Report. The statements contained in this release and statements that ALLETE may make orally in connection with this release that are not historical facts, are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These forward-looking statements involve risks and uncertainties and investors are directed to the risks discussed in documents filed by ALLETE with the Securities and Exchange Commission.
