Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 191

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 191
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253 |   |     |      | 1,632 |   |     |         | 1,656 |   |
| Earnings before          
 income taxes             |     |                    |   319 |   |     |      |   880 |   |     |         |   353 |   |

| (1) | This item is not defined and has no standardized meaning under IFRS and may not be comparable to                               
 similar measures presented by other issuers. Refer to the Additional IFRS Measures and Non-IFRS Measures section of this MD&A. |

| (2) | During 2024 our adjusted EBITDA composition was amended to exclude the impact of Brazeau                                                                                                                    
 penalties and related provisions. Therefore, the Company has applied this composition to all previously reported periods. Refer to the Additional IFRS Measures and Non-IFRS Measures section of this MD&A. |

2024 versus 2023

Earnings before income taxes for the year ended Dec. 31, 2024, decreased by $561 million, or 64 per cent, compared to 2023, primarily due to:

| • |     | The factors causing lower adjusted EBITDA above; |

| • |     | Higher asset impairment charges related to an increase in the decommissioning provision on retired                                                                                            
 assets, driven by a decrease in discount rates and revisions in estimated decommissioning costs, and higher impairment charges related to development projects that are no longer proceeding; |

| • |     | Lower unrealized                                                                                                                                                          
 mark-to-market gains and lower realized gains on closed exchange positions in the Energy Marketing segment mainly driven by market volatility across North American power 
 and natural gas markets;                                                                                                                                                  |

| • |     | Higher unrealized                                                                                                                                     
 mark-to-market losses recorded in the Wind and Solar segment primarily related to the long-term wind energy sales related to the Oklahoma facilities; |

| • |     | Higher interest expense due to lower capitalized interest during 2024 resulting from lower 
 construction activity in 2024 compared to 2023;                                            |

| • |     | Heartland acquisition-related transaction and restructuring costs; |

| • |     | Lower interest income due to lower cash balances and lower interest rates during 2024; |

| • |     | Higher spending relating to planning and design work on a planned upgrade to our ERP system; and |

| • |     | Penalties assessed by the Alberta Market Surveillance Administrator for self-reported                    
 contraventions pertaining to Hydro ancillary