Shares of Algonquin Power & Utilities Corp. (NYSE: AQN) plummeted 6.05% in Friday's intraday trading after the company reported disappointing fourth quarter and full year 2024 financial results, weighed down by the impact of selling its renewable energy business.

The Canadian utility company reported a net loss of $186.4 million, or $0.24 per share, for the fourth quarter, compared to a profit of $186.3 million, or $0.26 per share, in the year-ago period. Adjusted earnings per share of $0.06 missed analysts' estimates of $0.08.

For the full year 2024, Algonquin Power's adjusted EBITDA rose 3% year-over-year to $1.04 billion, while adjusted net earnings declined 17% to $232.1 million. Adjusted earnings per share fell 23% to $0.30.

The company attributed the earnings declines to factors including the sale of its 42.2% stake in Atlantica Sustainable Infrastructure, higher borrowing costs to fund growth, an increased effective tax rate, and costs related to the sale of its renewable energy business to LS Power for $2.1 billion in January 2025.

CEO Chris Huskilson stated that the sale of the renewables unit marked a "key achievement" in Algonquin Power's transition to a pure-play regulated utility company. The company expects to use the net proceeds to pay down debt and strengthen its balance sheet.