Calgary, Canada – Altagas, a Canadian energy infrastructure company with a focus on utilities and midstream operations, has been making significant strides in the industry. With its utilities division catering to approximately 1.6 million customers in the US and an asset rate base of around US$5.1 billion, Altagas has shown a strong 9% compound annual growth rate since 2019.

The company’s investments in its US utilities division have been paying off, with an anticipated 100 basis point increase in allowed returns on equity, signaling positive financial growth. Additionally, Altagas has been expanding its Canadian midstream assets, particularly in LPG export terminals and natural gas gathering and processing sectors, showcasing a diversified portfolio.

In 2023, Altagas reported strong financial performance, with normalized EBITDA in the final quarter increasing by over 10% compared to the previous year. This growth pushed the full-year EBITDA to almost C$1.58 billion, demonstrating a positive trajectory for the company. Moreover, the company’s ability to generate enough cash flow to cover its capex commitments shows a sound financial strategy in place.

Looking ahead to 2024, Altagas anticipates generating between C$1.68 billion to C$1.78 billion in normalized EBITDA, with an expected increase in normalized EPS as well. The company’s focus on expanding its asset base while maintaining financial stability is reflected in its investment plans and projected earnings for the year.

An interesting aspect of Altagas’s financial structure is its preferred shares, offering investors alternative exposure to the company’s performance. With dividend yields and reset features on certain series of preferred shares, Altagas provides investors with a unique opportunity to diversify their investment portfolios.

In conclusion, Altagas’s strategic investments in utilities and midstream sectors, coupled with its strong financial performance, position the company for continued growth in the energy infrastructure industry. With a focus on generating sustainable cash flow, funding capex requirements, and maximizing returns for investors, Altagas remains a key player in the Canadian energy market.