Algonquin Power & Utilities Corp. Cuts Dividend After Poor Profit Outlook
Jan 12, 2023 By MarketDepth
Algonquin Power & Utilities (AQN:NYSE) is making a difficult choice to cut the dividend by 40% and sell assets to secure its future. The company to ease investor concerns called for an investor call in which President, CEO and CFO will all be on the call to answer questions.
“Over the Company’s history, we have built a solid foundation supported by the scale of our asset portfolio. However, we have reached an inflection point and, as markets continue to evolve, we must address the challenges facing the business. Accordingly, the board of directors and management team are taking decisive actions to strengthen our financial and strategic positions. These include taking steps to realign our capital allocation, reduce capital expenditures, refocus the portfolio, and reduce the dividend in order to position the Company for sustainable, long-term growth.”
CEO, Arun Banskota
AQN is continuing to support its financial outlook by supporting its BBB credit rating and dropping its dividend from $.1808 to $.1085. The company is down 50% over the last year and is down 5% intraday.
