Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 373

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 373
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ta Corporation |

Management’s Discussion and Analysis

Net loss attributable to common shareholders for the three months ended Sept. 30, 2025, increased by $26 million from net loss attributable to common shareholders for the same period in 2024, primarily due to:

| • |     | The factors causing higher loss before income taxes above; partially offset by |

| • |     | Lower income tax expense due to lower earnings compared to the same period in 2024; and |

| • |     | Higher net loss attributable to non-controlling interests                                                                                          
 compared to the same period in 2024, primarily due to lower net earnings for TA Cogen resulting from lower merchant pricing in the Alberta market. |

Nine months ended Sept. 30, 2025 Variance Analysis (2025 versus 2024) Adjusted earnings before income taxes for the nine months ended Sept. 30, 2025 decreased by $191 million, or 53 per cent, compared to the same period in 2024, primarily due to:

| • |     | The factors causing lower adjusted EBITDA described in the Adjusted EBITDA section of this 
 MD&A;                                                                                      |

| • |     | Higher depreciation and amortization due to the addition of the Heartland gas facilities in                                                          
 December 2024 and the impact from the White Rock and Horizon Hill wind facilities which achieved commercial operation in the first half of 2024; and |

| • |     | Higher interest expense due to higher interest on debt driven by the addition of Heartland term                                                                                                            
 credit facility, lower capitalized interest resulting from lower construction activity in the current period compared to the same period in 2024 and higher accretion of provisions in the current period. |

Adjusted net earnings attributable to common shareholders for the nine months ended Sept. 30, 2025 decreased by $157 million, or 67 per cent, compared to the same period in 2024, primarily due to:

| • |     | The factors causing lower adjusted earnings before income taxes described above; and |

| • |     | Higher calculated tax expense on adjustments and reclassifications compared to the same period in 
 2024; partially offset by                                                                         |

| • |     | Lower income tax expense due to lower earnings compared to the same period in 2024, partially 
 offset by higher valuation allowance on U.S. operations; and                                  |

| • |     | Net loss attributable to non-controlling interests in the           
 current period compared