What drives ONBPO's consistent earnings surprises?

Ontario Power Generation (OPG) has experienced a decrease in net income attributable to the shareholder in the first quarter of 2024, compared to the same period last year, which was expected due to the planned cyclical outage activities scheduled for Unit 2 of the Darlington nuclear generating station. However, OPG has continued to lead the way on clean nuclear and hydroelectric energy projects, and the Darlington Refurbishment Project remains on plan. The final unit of the Darlington Refurbishment Project is expected to be completed in 2026, and OPG has issued sustainable finance framework bonds to fund eligible green projects, including small modular reactors and large new nuclear projects. 1. **Clean Energy Projects**: OPG's focus on clean nuclear and hydroelectric energy projects is a key driver of its earnings. The refurbishment of the Darlington nuclear generating station is expected to increase output and meet Ontario's clean power needs. OPG has also issued sustainable finance framework bonds to fund green projects, indicating its commitment to clean energy. 2. **Refurbishment of Nuclear Generating Stations**: OPG's refurbishment of nuclear generating stations, such as the Darlington Refurbishment Project, is a significant factor in its earnings. The project is expected to provide low-carbon, reliable baseload electricity for Ontario for decades to come. OPG has also collaborated with Bruce Power to work on a clean energy future, sharing lessons and resources to complete nuclear projects safely and on budget. 3. **Issuance of Sustainable Finance Framework Bonds**: OPG's issuance of sustainable finance framework bonds under its recently released framework is a positive signal for its commitment to clean energy projects. This framework expands eligible projects and programs to include small modular reactors, large new nuclear projects, low-carbon hydrogen, and battery energy storage, which will help facilitate the clean energy transition. In conclusion, OPG's consistent earnings surprises can be attributed to its focus on clean energy projects, the refurbishment of nuclear generating stations, and the issuance of sustainable finance framework bonds. These factors position OPG for future growth and stability in the clean energy sector. |code|Ticker|Name|Date|EPS Surprise|Diluted EPS|market_code| |---|---|---|---|---|---|---| |ONBPO|ONBPO.O|Old National Pref C ADR|2024 Q1|0.02||185| |ONBPO|ONBPO.O|Old National Pref C ADR|2024 Q2|0.02||185| |ONBPO|ONBPO.O|Old National Pref C ADR|2024 Q3|0||185| |ONBPO|ONBPO.O|Old National Pref C ADR|2024 Q4|0.03||185|