Shares of Algonquin Power & Utilities Corp (NYSE: AQN) are soaring 5.13% in pre-market trading on Friday following the company's impressive first-quarter earnings report. The utility company significantly outperformed analysts' expectations, demonstrating the strength of its core regulated utility operations.

Algonquin reported adjusted earnings per share of $0.14 for Q1 2025, surpassing the analyst consensus estimate of $0.10 by 40%. This performance matches the company's earnings from the same period last year. The strong results were primarily driven by the implementation of new rates at several of the company's electric, water, and gas utilities, as well as a favorable non-recurring $8.2 million depreciation adjustment related to constructive regulatory orders.

In addition to the solid earnings, Algonquin Power & Utilities maintained its quarterly dividend at $0.065 per share, payable on July 15 to shareholders of record as of June 30. This continuation of the dividend policy, coupled with the strong financial performance, has likely contributed to investor confidence and the subsequent stock price surge. The company also announced plans to host an investor update call on June 3, where management is expected to provide forward-looking financial outlook, which may be generating additional positive sentiment among investors.