Atco Reports First Quarter 2026 Earnings

Press Release

CALGARY, AB, May 6, 2026 – ATCO Ltd. (TSX: ACO.X)

ATCO Ltd. (ATCO or the Company) today announced first quarter 2026 adjusted earnings ⁽¹⁾ of $165 million ($1.47 per share), which were $5 million ($0.04 per share) higher compared to $160 million ($1.43 per share) in the first quarter of 2025.

First quarter 2026 earnings attributable to Class I non-voting and Class II voting shares reported in accordance with International Financial Reporting Standards (IFRS earnings) were $152 million ($1.35 per share), which were $8 million ($0.07 per share) higher compared to $144 million ($1.28 per share) in the first quarter of 2025.

RECENT DEVELOPMENTS

ATCO Structures

ATCO Structures continued growing its market presence through organic strategic initiatives and investment in its base business, particularly in space rentals. This included expansion and optimization of the global rental fleet. The below awards illustrate the diversity of geographies and industries that ATCO Structures services:

• ATCO Structures received limited notices to proceed for early-stage work, including infrastructure planning and camp design services, for mining developments in Western Canada and Western Australia. The contracts are anticipated to commence in 2026 and have a combined contract value of $100 million.

• In the first quarter of 2026, the initial units’ design and manufacturing were completed for the $179 million contract with Perpetua Resources Corp. to supply and install a 1,052-person dormitory lodge and office facilities in support of the Stibnite Gold Project located near Yellow Pine, Idaho.

• Awarded contracts in the US to provide space rental and workforce housing solutions supporting data centre construction in Texas and Utah, and nuclear power generation in Idaho and Wyoming. These awards comprise 172 modular units and total $23 million in sale and lease contracts.

• Awarded contracts to provide space rental, workforce housing, and permanent modular construction solutions supporting emergency response projects in Western and Central Canada, public infrastructure and defence in Central Canada, and affordable housing and mining operations in Western Canada. These awards comprise 341 modular units and total $73 million in sale and lease contracts.

• Awarded contracts in Australia to provide workforce housing solutions supporting public infrastructure development in Western Australia and modular brokering operations in Queensland. These awards comprise 140 units and total $17 million in sale contracts.

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(1) Adjusted earnings is a total of segments measure (as defined in National Instrument 52-112 – Non-GAAP and Other Financial Measures Disclosure (NI 52-112)). See Other Financial and Non-GAAP Measures Advisory included in this news release.

ATCO Frontec

• Subsequent to quarter-end, the Government of Nunavut has awarded ATCO Frontec a $41 million contract to construct a new water treatment plant in Pond Inlet, Nunavut. This water treatment plant will service approximately 1,500 residents in the remote hamlet located on Baffin Island. This 2-year contract includes decommissioning of the aging existing plant, upgrading reservoir systems, and construction of the full water treatment facility.

ATCO Investments

• In the first quarter of 2026, it was announced that ATCO will provide approximately $10 million of staged investment for 40 per cent ownership in West Kitikmeot Resources Corp. (WKR). Backed by significant Inuit ownership, WKR is the sole proponent developing the Grays Bay Road and Port Project (GBRP), a critical infrastructure project consisting of a greenfield deepwater port with access to the Northwest Passage shipping corridor, a 230-kilometre all-season road leading inland, and a 6,000-foot airstrip. GBRP is a multi-use, strategic asset that has recently been referred to the Canadian Federal Government’s Major Projects Office.

Canadian Utilities

• Canadian Utilities invested $353 million of capital expenditures in the first quarter of 2026, of which 94 per cent was invested in our regulated utilities in ATCO Energy Systems and ATCO Australia, with the remaining 6 per cent largely invested in ATCO EnPower.

• ATCO Energy Systems continues to work on many utility infrastructure opportunities, including two previously announced projects: the Yellowhead Pipeline Project (Yellowhead) in Natural Gas Transmission and the Central East Transfer-Out Project (CETO) in Electricity Transmission.
  • Yellowhead is on track for construction to commence in 2026, subject to Alberta Utilities Commission (AUC) and corporate approvals. Upon AUC’s approval of the Need Assessment Application for the expected $2.9 billion project in the third quarter of 2025, ATCO Energy Systems filed a separate facility application on November 4, 2025 to seek AUC approval for construction and operation of the physical infrastructure. An AUC hearing is scheduled for May 2026 with a decision expected by the third quarter of 2026. Construction and execution schedules will be finalized following the approval of the facility application and mainline contractor selections.
  • Electricity Transmission completed line construction for CETO ahead of schedule in the first quarter of 2026. Electricity Transmission’s 85-km of the transmission line is on track to be energized by June 2026 with an approximate $255 million project spend. CETO will support renewable energy integration in Alberta and transport electricity in the counties of Red Deer, Lacombe and Stettler, supplying more than 1,500 megawatts of electricity to Alberta’s grid.

• To fund ATCO Energy Systems’ regulated debt requirements, the Company expects to issue debentures each year during the five-year (2026-2030) capital expenditure plan. For regulated equity requirements, in addition to cash flow from operations and the $0.7 billion financed in 2025, the Company expects to raise an additional $0.8 billion of capital securities ⁽²⁾ over the five-year (2026-2030) capital expenditure plan to fund the equity portion of investment.

Corporate

• On April 9, 2026, ATCO declared a second quarter dividend of 51.96 cents per share or $2.08 per Class I non-voting and Class II voting share on an annualized basis.

• On May 7, 2026, ATCO will release our 2025 Sustainability Report which presents current and comprehensive information on the topics of Governance & Responsible Business, Resilience & Safety, Energy Transition & Environment, and People & Partners.

This news release should be read in concert with the full disclosure documents. ATCO’s unaudited interim consolidated financial statements and management’s discussion and analysis for the quarter ended March 31, 2026 will be available on the ATCO website (www.ATCO.com), via SEDAR+ (www.sedarplus.ca) or can be requested from the Company.

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(2) Capital securities could include preferred shares, hybrid bonds, and/or debentures.

TELECONFERENCE AND WEBCAST

ATCO will hold a live teleconference and webcast with Katie Patrick, Executive Vice President, Chief Financial & Investment Officer and Adam Beattie, President, Structures at 10:00 am Mountain Time (12:00 pm Eastern Time) on Wednesday, May 6, 2026 at 1-833-821-0222. No pass code is required.

Opening remarks will be followed by a question and answer period with investment analysts. Participants are asked to please dial-in 10 minutes prior to the start and request to join the ATCO teleconference.

Management invites interested parties to listen via live webcast at: https://www.atco.com/en-ca/about-us/investors/events-presentations.html.

A replay of the teleconference will be available approximately two hours after the conclusion of the call until June 6, 2026. Please call 1-855-669-9658 and enter pass code 8424524.

As a global enterprise, ATCO Ltd. and its subsidiary and affiliate companies have approximately 20,000 employees and assets of $28 billion. ATCO is committed to future prosperity by working to meet the world’s essential energy, housing, security and transportation challenges. ATCO Structures designs, builds and delivers products to service the essential need for housing and shelter around the globe. ATCO Frontec provides operational support services to government, defence and commercial clients. ATCO Energy Systems delivers essential energy for an evolving world through its electricity and natural gas transmission and distribution, and international electricity operations. ATCO EnPower creates sustainable energy solutions in the areas of electricity generation, energy storage, industrial water and cleaner fuels. ATCO Australia develops, builds, owns and operates energy and infrastructure assets. ATCO Energy provides retail electricity and natural gas services, home maintenance services and professional home advice that bring exceptional comfort, peace of mind and freedom to homeowners and customers. ATCO also has investments in ports and transportation logistics, the processing and marketing of ash, retail food services and commercial real estate. More information can be found at www.ATCO.com.

Investor & Analyst Inquiries:
Colin Jackson
Senior Vice President, Financial Operations
Colin.Jackson@atco.com
(403) 808 2636

Media Inquiries:
Kurt Kadatz
Director, Corporate Communications
Contact Media Relations
(587) 228 4571

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