Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 371

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 371
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     | An Impairment charge, net of impairment reversals, related to certain Wind and Solar facilities due 
 to changes in expected production volumes and price assumptions; and                                |

| • |     | An increase in decommissioning and restoration provisions on retired assets driven by lower 
 discount rates; partially offset by                                                         |

| • |     | An impairment reversal related to certain Energy Transition assets reclassified to Assets held for 
 sale.                                                                                              |

Fair value change in contingent consideration payabletotalling $37 million was driven by updated expected sale proceeds related to the Required Divestitures.

| TransAlta Corporation |     | M15 |

Management’s Discussion and Analysis

Interest expensefor the nine months ended Sept. 30, 2025 increased by $34 million, or 15 per cent, compared to the same period in 2024, primarily due to:

| • |     | Lower capitalized interest resulting from lower construction activity during 2025 compared to the 
 same period in 2024;                                                                              |

| • |     | Higher accretion of provisions; and |

| • |     | Higher interest on debt driven by the addition of Heartland term facility. |

Loss before income taxesfor the nine months ended Sept. 30, 2025 increased by $469 million from earnings before income taxes compared to the same period in 2024, due to the above noted items. Refer to the Segment Financial

Performance and Operating Results section for additional information. Income tax expensefor the nine months ended Sept. 30, 2025 decreased by $69 million, or 78 per cent, compared to the same period in 2024, due to the increase in loss before income taxes, partially offset by a higher valuation allowance on U.S. operations. Net loss attributable to non-controllinginterestsfor the nine months ended Sept. 30, 2025 decreased by $30 million from net earnings attributable to non-controllinginterests in the same period in 2024, primarily due to lower net earnings for TA Cogen resulting from lower merchant pricing in the Alberta market. Adjusted EBITDA For the three and nine months ended Sept. 30, 2025, the Company’s Adjusted EBITDA was $238 million and $857 million, respectively, compared to $315 million and $973 million, respectively, in 2024, a decrease of $77 million and $116 million, respectively, or 24 and 12 per cent, respectively. The major factors impacting Adjust