TransAlta Reports Strong 2024 Results, Announces Dividend Increase and 2025 Annual Guidance

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TransAlta Corporation
TransAlta Corporation

CALGARY, Alberta, Feb. 20, 2025 (GLOBE NEWSWIRE) -- TransAlta Corporation (TransAlta or the Company) (TSX: TA) (NYSE: TAC) today reported its financial results for the fourth quarter and year ended Dec. 31, 2024.

“Our business delivered solid results within the upper range of our guidance, driven by high availability across our generation portfolio, along with the enduring performance of our optimization and hedging strategies. During the year, we added 2.2 GW of generation to our fleet, with three contracted wind facilities achieving commercial operation in addition to the acquisition of Heartland Generation. We also returned $214 million, or $0.71 per share, of value to shareholders through dividends and share repurchases at an average price of $10.59 per share,” said John Kousinioris, President and Chief Executive Officer of TransAlta.

“Given our confidence in the future, we are pleased to announce that our Board of Directors has approved an eight per cent increase to our common share dividend, now equivalent to $0.26 per share on an annualized basis. This represents our sixth consecutive annual dividend increase, affirming our Company's commitment to returning value to shareholders,” added Mr. Kousinioris.

“Our portfolio of generating facilities continues to perform well. In 2025, we expect to generate between $450 and $550 million of free cash flow. We maintain a balanced, prudent and disciplined approach to capital allocation and balance sheet strength. We remain focused on advancing development opportunities at our legacy thermal energy campuses, along with pursuing longer term growth options with a commitment to maximizing shareholder value. Looking to 2025 and beyond, I am optimistic about our Company’s momentum and opportunities."

Fourth Quarter 2024 Financial Highlights

  • Adjusted EBITDA(1) of $285 million, compared to $289 million for the same period in 2023

  • Free Cash Flow (FCF)(1) of $48 million, or $0.16 per share, compared to $121 million, or $0.39 per share, for the same period in 2023

  • Cash flow from operating activities of $215 million, compared to $310 million from the same period in 2023

  • Net loss attributable to common shareholders of $65 million, or $0.22 per share, compared to $84 million, or $0.27 per share, for the same period in 2023

Full Year 2024 Financial Highlights

  • Achieved the upper range of both 2024 adjusted EBITDA and FCF guidance

  • Returned $143 million of capital to common shareholders through the buyback of 13.5 million common shares at an average price of $10.59 per share

  • Adjusted EBITDA of $1,253 million, compared to $1,632 million from the same period in 2023

  • FCF of $569 million, or $1.88 per share, compared to $890 million, or $3.22 per share, from the same period in 2023

  • Net earnings attributable to common shareholders of $177 million, or $0.59 per share, compared to $644 million, or $2.33 per share, from the same period in 2023

  • Exited 2024 with a strong financial position, with adjusted net debt to adjusted EBITDA of 3.6 times and available liquidity of $1.6 billion