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ALLETE, Inc.

ALLETE, Inc.

NYSE•ALE
CEO: Ms. Bethany M. Owen
Sector: Utilities
Industry: Diversified Utilities
Listing Date: 1973-05-03
ALLETE, Inc. operates as an energy company. The company operates through Regulated Operations, ALLETE Clean Energy, and Corporate and Other segments. It generates electricity from coal-fired, biomass co-fired / natural gas, hydroelectric, wind, and solar. In addition, the company provides regulated utility electric services in northwestern Wisconsin to approximately 15,000 electric customers, 13,000 natural gas customers, and 10,000 water customers, as well as regulated utility electric services in northeastern Minnesota to approximately 150,000 retail customers and 14 non-affiliated municipal customers. Further, it owns and maintains electric transmission assets in Wisconsin, Michigan, Minnesota, and Illinois. Additionally, the company focuses on developing, acquiring, and operating clean and renewable energy projects; and owns and operates approximately 1,200 megawatts of wind energy generation facility, as well as involved in the coal mining operations in North Dakota; and real estate investment activities in Florida. It owns and operates 162 substations with a total capacity of 9,980 megavolt amperes. The company serves taconite mining, paper, pulp and secondary wood products, pipeline, and other industries. The company was formerly known as Minnesota Power, Inc. and changed its name to ALLETE, Inc. in May 2001. ALLETE, Inc. was incorporated in 1906 and is headquartered in Duluth, Minnesota.
Contact Information
30 West Superior Street, Duluth, MN, 55802-2093, United States
218-279-5000
www.allete.com
Market Cap
$3.93B
P/E (TTM)
23.7
25.6
Dividend Yield
4.3%
52W High
$67.71
52W Low
$62.38
52W Range
98%
Rank41Top 33.6%
4.4
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Average • 4.4 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2015-2024

Financial Dashboard

Q3 2025 Data

Revenue

$375.00M-7.91%
4-Quarter Trend

EPS

$0.47-40.20%
4-Quarter Trend

FCF

-$174.20M-284.34%
4-Quarter Trend

2025 Q3 Earnings Highlights

Key Highlights

Nine Months Net Income Down Net income attributable to ALLETE $115.1M for nine months ended September 30, 2025, down from $128.7M in 2024, impacted by merger expenses.
Quarterly Revenue Declines Total operating revenue $375.0M for Q3 2025, down from $407.2M in 2024, driven by lower utility and non-utility sales volumes.
Operating Cash Flow Lower Cash provided by operating activities $253.0M for nine months 2025, lower than $367.3M in 2024 due to interim rate refund payments.
Debt Structure Increased Total debt principal reached $2.25B as of September 30, 2025, up from $1.81B in December 2024, supporting capital needs.

Risk Factors

Merger Closing Conditions Pending Transaction consummation relies on receiving MPUC written order; delays or adverse conditions could cause termination of the Merger Agreement.
Industrial Sales Volume Decreasing Industrial kWh sales dropped 10.8% for nine months 2025, driven by lower taconite customer demand impacting Regulated Operations revenue.
Regulatory Recovery Uncertainties Future material expenditures for environmental compliance, like MATS/CCR rules, require recovery through future rate proceedings.
Interest Rate Sensitivity Noted A hypothetical 100 basis point rate increase on variable debt would impact pre-tax interest expense by $1.2M as of September 30, 2025.

Outlook

Long-Term EPS Growth Objective Company maintains long-term objective targeting consolidated earnings per share growth within a 5 percent to 7 percent range for sustained growth.
HVDC Project Capital Spending 2025 capital expenditures expected near $850M, reflecting higher spending for Minnesota Power's HVDC transmission system replacement project.
Carbon-Free Legislation Progress Minnesota's 100% carbon-free standard by 2040 drives IRP filings, focusing on maximizing renewables and expanding storage resources.
Merger Expected Closing Late 2025 Transaction is expected to close in late 2025 following issuance of the MPUC written order approving the Merger Agreement terms.

Peer Comparison

Revenue (TTM)

Black Hills CorporationBKH
$2.27B
+7.0%
Avista CorporationAVA
$1.96B
+2.1%
NorthWestern Energy Group, Inc.NWE
$1.57B
+4.9%

Gross Margin (Latest Quarter)

NorthWestern Energy Group, Inc.NWE
83.4%
+25.1pp
ALLETE, Inc.ALE
75.8%
+43.5pp
Avista CorporationAVA
71.5%
+7.5pp

Key Metrics

Symbol
Market Cap
P/E (TTM)
ROE (TTM)
Debt to Assets
BKH$5.05B17.88.0%43.4%
NWE$4.03B18.67.5%38.0%
ALE$3.93B23.75.8%31.3%

Long-Term Trends

Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
0.9%
Moderate Growth
4Q Net Income CAGR
-18.8%
Declining Profitability
Cash Flow Stability
100%
Strong Cash Flow

Research & Insights

Reports
All Years
  • Form 10-Q - Q3 2025

    Period End: Sep 30, 2025|Filed: Oct 31, 2025|
    Revenue: $375.00M-7.9%
    |
    EPS: $0.47-40.2%
    Miss
  • Form 10-Q - Q2 2025

    Period End: Jun 30, 2025|Filed: Aug 7, 2025|
    Revenue: $360.30M+1.6%
    |
    EPS: $0.55-3.5%
    Miss
  • Form 10-Q - Q1 2025

    Period End: Mar 31, 2025|Filed: May 8, 2025|
    Revenue: $400.20M-0.8%
    |
    EPS: $0.97+10.2%
    Miss
  • Form 10-K - FY 2024

    Period End: Dec 31, 2024|Filed: Feb 13, 2025|
    Revenue: $1.53B-18.6%
    |
    EPS: $3.11-27.8%
    Beat
  • Form 10-Q - Q3 2024

    Period End: Sep 30, 2024|Filed: Oct 30, 2024|
    Revenue: $407.20M+7.5%
    |
    EPS: $0.78-48.0%
    Miss
  • Form 10-Q - Q2 2024

    Period End: Jun 30, 2024|Filed: Aug 1, 2024|
    Revenue: $354.50M-33.5%
    |
    EPS: $0.57-36.7%
    Miss
  • Form 10-Q - Q1 2024

    Period End: Mar 31, 2024|Filed: May 9, 2024|
    Revenue: $403.30M-28.6%
    |
    EPS: $0.88+33.3%
    Miss
  • Form 10-K - FY 2023

    Period End: Dec 31, 2023|Filed: Feb 20, 2024|
    Revenue: $1.88B+19.7%
    |
    EPS: $4.31+83.4%
    Beat