Manitoba Hydro Posts Net Loss of $466 Million

Manitoba Hydro reported a net loss of $446 million in its 2025-2026 fiscal year, $383 million more than the previous year, while its total debt rose to nearly $27 billion

The Crown corporation released its annual report on Sept. 29. The report said the loss was primarily caused by severe drought conditions, which reduced hydroelectric generation and required Manitoba Hydro to import larger volumes of power at higher market prices to meet customer demand.

The report indicated that consolidated fuel and purchased-power expenses increased to $529 million from $240 million. It also noted that the utility faced roughly $52 million in wildfire-related operating and capital costs during one of the province’s most severe wildfire seasons to date.

The utility said that the 2025-2026 fiscal year marked the fourth year in the past five years that Manitoba had experienced low water conditions. It said drought conditions reduced its ability to export power, increased its reliance on imported electricity, and contributed to the year’s financial results.

The Crown corporation also said that its net loss was a significant increase compared to the $63 million net loss it reported in 2024-2025.

“While this year’s financial results were significantly affected by factors largely outside our control, we remained focused on ensuring reliable service for Manitobans and making prudent investments that will strengthen our energy system for decades to come,” Manitoba Hydro interim president and CEO Hal Turner said in a news release.

Manitoba Hydro’s total debt rose to $26.55 billion from $25.34 billion a year earlier, an increase of $1.21 billion, or 4.8 percent.

Total revenue fell to $3.013 billion from $3.369 billion, while expenses rose slightly to $3.579 billion from $3.551 billion.

Domestic electricity revenue increased 3.4 percent to $1.986 billion, helped by customer growth, weather-related demand, a 4 percent rate increase and a 1.8 percent rise in electricity consumption. Natural gas revenue fell 28 percent to $366 million, largely because the federal carbon charge was removed.

Extra-provincial electricity revenue fell 33.8 percent to $569 million, as drought reduced export opportunities and a long-term Northern States Power contract expired in April 2025. U.S. markets accounted for $394 million of those sales, while other Canadian markets accounted for $164 million.

Manitoba Hydro had $33.1 billion in assets and served more than 640,000 electricity customers and 303,000 natural gas customers.

The utility also advanced plans for up to 600 megawatts of First Nations majority-owned wind generation and 750 megawatts of combustion-turbine capacity. It outlined nearly $17 billion in planned investment over the next decade, including upgrades to aging generating and transmission infrastructure.