Financial Data and Key Metrics Changes - The company reported adjusted earnings per share of $2.66 for the first nine months of 2025, an increase of $0.19 compared to the same period in 2024, primarily driven by favorable regulatory outcomes and a return to normal weather conditions [12][14][15] - The bottom end of the earnings guidance for 2025 has been raised to a range of $3.56 to $3.60 per share from $3.54 to $3.60 per share, with a full-year guidance for 2026 set at $3.80 to $3.87 per share, reflecting a growth of 6% to 8% off the midpoint of the revised range for 2025 [13][12] Business Line Data and Key Metrics Changes - The company connected approximately 450 MW of the planned 900 MW of industrial growth in its five-year plan, with an additional 100 MW of signed contracts year-to-date, indicating strong growth in sectors such as food processing, aerospace, and advanced manufacturing [6][7] - The Renewable Energy Plan approved an additional 8 GW of solar and 2.8 GW of wind through 2035, which will be integrated into the company's next five-year plan [4][9] Market Data and Key Metrics Changes - The company continues to see strong economic growth in Michigan, with a robust pipeline of projects, particularly in data centers and manufacturing, contributing to a forecasted annual sales growth of 2% to 3% over the next five years [6][7] - The company has agreements with data centers that could lead to significant load increases, with one data center planning up to 1 GW of load starting in early 2030 [7][8] Company Strategy and Development Direction - The company is focused on balancing a robust capital investment plan of $20 billion over five years with affordability for customers, aiming to keep utility bills below the national average [11][12] - The Integrated Resource Plan, to be filed in mid-2026, will detail additional capacity needed to replace retired plants and support future growth, emphasizing the need for more battery storage and natural gas generation [10][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position for the remainder of the year and into 2026, citing a strong pipeline of new and expanding loads that will bolster growth opportunities [22][12] - The management highlighted the importance of maintaining affordability while executing a significant capital plan, with a focus on cost management and operational efficiencies [11][12] Other Important Information - The company has reaffirmed its credit ratings and is targeting mid-teens funds from operations to debt on a consolidated basis to preserve solid investment-grade credit ratings [19][20] - The company has completed nearly all planned financings for 2025, including a recent settlement of approximately $500 million of forward equity contracts [20][21] Q&A Session Summary Question: Can you elaborate on the timing of the large load tariff? - Management expects the large load tariff to be finalized by November 7, which is crucial for advancing several data center projects in the pipeline [25][26] Question: How quickly could the $25 billion of CapEx be folded into the plan? - Management indicated that the $25 billion in additional investment opportunities will be incorporated into the next five-year plan, with a focus on electric reliability and renewable energy investments [36][38] Question: What is the current capacity to serve the new load? - The company has excess capacity to serve the connected load and is actively building additional renewable capacity to meet future demands [53] Question: Can you explain the status of the Campbell plant? - Management confirmed that costs associated with operating the Campbell units are treated as a regulatory asset, with a clear path to cost recovery established [56][57] Question: How does the company plan to balance self-build and PPA in its renewable energy strategy? - The company plans a mix of self-build and power purchase agreements, with an assumption of about 50% owned versus PPA for solar projects [65][66]

Financial Data and Key Metrics Changes - The company reported adjusted earnings per share of $2.66 for the first nine months of 2025, an increase of $0.19 compared to the same period in 2024, primarily driven by favorable regulatory outcomes and weather-related sales [12][14] - The bottom end of the earnings guidance for 2025 has been raised to $3.56 to $3.60 per share from $3.54 to $3.60 per share, with full-year guidance for 2026 set at $3.80 to $3.87 per share, reflecting a growth of 6% to 8% off the midpoint of this year's revised range [13][12] Business Line Data and Key Metrics Changes - The company connected approximately 450 megawatts of the planned 900 megawatts of industrial growth in its five-year plan, with an additional 100 megawatts of signed contracts year to date [6][7] - The Renewable Energy Plan approved an additional 8 gigawatts of solar and 2.8 gigawatts of wind through 2035, which will be integrated into the next five-year plan [4][9] Market Data and Key Metrics Changes - The company continues to see strong economic growth in Michigan, with a robust pipeline of projects in data centers and manufacturing, contributing to a forecasted annual sales growth of 2% to 3% over the next five years [6][7] - The company has agreements with data centers that could lead to significant load increases, with one data center planning up to 1 gigawatt of load starting in early 2030 [7][8] Company Strategy and Development Direction - The company is focused on balancing a robust capital investment plan of $20 billion with affordability for customers, aiming to keep utility bills below the national average [11][12] - The Integrated Resource Plan to be filed in mid-2026 will detail additional capacity needed to replace retired plants and support future growth, emphasizing the need for more battery storage and natural gas generation [10][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position for the full year and long-term growth, citing a supportive regulatory environment and strong economic indicators in Michigan [4][22] - The company is committed to maintaining affordability while investing significantly in infrastructure, with customer utility bills remaining a small percentage of total expenses [11][12] Other Important Information - The company has reaffirmed its credit ratings and is focused on maintaining a strong financial position, targeting mid-teens funds from operations to debt on a consolidated basis [19][20] - The company has completed nearly all planned financings for 2025, with a recent settlement of approximately $500 million of forward equity contracts [20][21] Q&A Session Summary Question: Can you elaborate on the timing of the large load tariff? - Management expects the large load tariff to be finalized by November 7, which is crucial for advancing projects in the pipeline, including three large data centers [25][26] Question: How quickly could the $25 billion of CapEx be folded into the plan? - Management indicated that the $25 billion in opportunities could be integrated into the next five-year plan, with a focus on electric reliability and renewable energy investments [36][38] Question: What is the current capacity to serve the new load? - The company has excess capacity to serve the connected load and is actively building additional renewable capacity as part of the clean energy law [54] Question: Can you explain the status of the Campbell plant? - Management confirmed that costs associated with operating the Campbell units are treated as a regulatory asset, with a clear path to cost recovery established [56][58] Question: How does the company plan to balance self-build and PPA in its renewable energy investments? - The company plans a mix of self-build and power purchase agreements, with an assumption of about 50% owned versus PPA for solar projects [65][67]

Financial Data and Key Metrics Changes - The company reported adjusted earnings per share of $2.66 for the first nine months of 2025, an increase of $0.19 compared to the same period in 2024, primarily driven by favorable regulatory outcomes and a return to normal weather conditions [12][15] - The bottom end of the earnings guidance for 2025 has been raised to a range of $3.56 to $3.60 per share from $3.54 to $3.60 per share, reflecting confidence in achieving financial objectives [13] Business Line Data and Key Metrics Changes - The company connected approximately 450 megawatts of the planned 900 megawatts of industrial growth in its five-year plan, with an additional 100 megawatts of signed contracts year to date [5][6] - The Renewable Energy Plan approved an additional 8 gigawatts of solar and 2.8 gigawatts of wind through 2035, which will be integrated into the next five-year plan [3][4] Market Data and Key Metrics Changes - The company continues to see strong economic growth in Michigan, with a robust pipeline of projects in data centers and manufacturing, contributing to a forecasted annual sales growth of 2% to 3% over the next five years [5][6] - The company is well-positioned to serve the growing demand from data centers and other industries, with a significant investment plan of $20 billion for customer investments over the next five years [9] Company Strategy and Development Direction - The company is focused on balancing customer investments with affordability, aiming to keep customer rates at or below inflation while maintaining utility bills below the national average [11] - The Integrated Resource Plan, to be filed in mid-2026, will detail additional capacity needed to replace retired plants and support future growth, emphasizing the need for more battery storage and natural gas generation [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strong pipeline of new and expanding load, which supports infrastructure investments across both gas and electric businesses [22] - The company anticipates needing more battery storage and gas capacity as part of its long-term strategy to meet growing demand and regulatory requirements [10][39] Other Important Information - The company has reaffirmed its credit ratings and is focused on maintaining a strong financial position to minimize funding costs [20] - The company has completed nearly all planned financings for 2025, with a recent settlement of approximately $500 million of forward equity contracts [20] Q&A Session Summary Question: Can you elaborate on the timing of the large load tariff? - Management expects the large load tariff to be finalized by November 7, which is crucial for advancing projects in the pipeline [25][26] Question: How quickly could the $25 billion of CapEx be folded into the plan? - Management indicated that some of the $25 billion would be incorporated into the next five-year plan, with a focus on electric reliability and renewable energy investments [39][50] Question: What is the mix between self-build and PPA for the Renewable Energy Plan? - The company plans for a mix of self-build and power purchase agreements, with an assumption of about 50% owned versus PPA for solar projects [81][87] Question: How much excess capacity is available to serve the new load? - The company has a bit of excess capacity and is actively building additional capacity in line with the clean energy law [68] Question: What is the status of the Campbell plant and its potential continuation? - Management confirmed that costs associated with operating the Campbell units are treated as a regulatory asset, with a clear path to cost recovery [73][75]

Financial Performance & Outlook - The company's Year-to-Date (YTD) 2025 adjusted EPS is $2.66, showing an increase compared to 2024, with confidence in achieving the full-year target[27] - The full-year 2025 adjusted EPS guidance is $3.56 - $3.60, trending towards the higher end of the range[27] - The annual dividend per share is $2.11, an increase of $0.11[27] - The full-year 2026 adjusted EPS guidance is $3.80 - $3.87, also trending towards the higher end[27] - The long-term adjusted EPS growth is projected at +6% to +8%[27] Capital Investments & Financings - The utility capital plan is $20 billion[27] - Planned financings include $1.125 billion in Consumers Energy First Mortgage Bonds[34] - New debt issuances for CMS Energy are planned at $1.27 billion[34] - Planned equity issuance for CMS Energy is up to $500 million[34] Regulatory Environment - Constructive regulatory outcomes and forward-looking visibility are provided by Michigan's regulatory environment[16] - A gas case order was approved for $157.5 million with a 9.8% ROE[15] - A revised electric case order was approved for $423 million with a 10.25% ROE[15] Infrastructure & Growth - The company has an expansive economic development effort with a 9 GW pipeline[17,18] - The current customer investment plan (2025-2029) is $20 billion[20]

Core Insights - CMS Energy reported quarterly earnings of $0.93 per share, exceeding the Zacks Consensus Estimate of $0.86 per share, and showing an increase from $0.84 per share a year ago, resulting in an earnings surprise of +8.14% [1] - The company generated revenues of $2.02 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 11.17%, compared to $1.74 billion in the same quarter last year [2] - CMS Energy has outperformed consensus EPS estimates three times in the last four quarters and has also topped revenue estimates three times during the same period [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.00 on revenues of $2.12 billion, while for the current fiscal year, the estimate is $3.59 on revenues of $8.38 billion [7] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Utility - Electric Power industry, to which CMS Energy belongs, is currently ranked in the top 24% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Earnings Performance - CMS Energy reported earnings per share of $0.92 for Q3 2025, up from $0.84 in Q3 2024, with adjusted earnings per share of $0.93 compared to $0.84 in the same quarter last year[1]. - For the first nine months of 2025, the company reported earnings per share of $2.59, an increase from $2.45 in the same period of 2024, with adjusted earnings per share of $2.66 compared to $2.47[1][2]. - CMS Energy raised its 2025 adjusted earnings guidance to a range of $3.56 to $3.60 per share, up from the previous range of $3.54 to $3.60[2]. - The company initiated 2026 adjusted earnings guidance of $3.80 to $3.87 per share, reaffirming long-term adjusted EPS growth of 6 to 8 percent[2]. Revenue and Income - Operating revenue for Q3 2025 was $2,021 million, compared to $1,743 million in Q3 2024, while operating income increased to $481 million from $367 million[9]. - Net income attributable to CMS Energy for Q3 2025 was $277 million, compared to $253 million in Q3 2024, with net income available to common stockholders at $275 million versus $251 million[9]. Assets and Liabilities - Total assets as of September 30, 2025, were $38,008 million, an increase from $35,920 million at the end of 2024[11]. - CMS Energy's total liabilities and equity as of September 30, 2025, were $38,008 million, reflecting an increase from $35,920 million at the end of 2024[11]. Cash Flow - Cash and cash equivalents at the end of Q3 2025 were $432 million, down from $467 million at the end of Q3 2024[14]. - The company reported net cash provided by operating activities of $1,757 million for the first nine months of 2025, compared to $1,967 million in the same period of 2024[14].

Core Insights - CMS Energy reported earnings per share of $0.92 for Q3 2025, an increase from $0.84 in Q3 2024, with adjusted earnings per share at $0.93 compared to $0.84 in the same quarter last year [1][2] - For the first nine months of 2025, the company reported earnings per share of $2.59, up from $2.45 in 2024, with adjusted earnings per share at $2.66 compared to $2.47 in 2024, attributed to favorable regulatory outcomes and weather conditions [1][2] Financial Performance - Operating revenue for Q3 2025 was $2.021 billion, compared to $1.743 billion in Q3 2024, while operating expenses increased to $1.540 billion from $1.376 billion [6] - Net income for Q3 2025 was $272 million, up from $247 million in Q3 2024, with net income available to common stockholders at $275 million compared to $251 million in the previous year [6][7] - The company raised its 2025 adjusted earnings guidance to a range of $3.56 to $3.60 per share and initiated 2026 adjusted earnings guidance of $3.80 to $3.87 per share [2] Strategic Outlook - CMS Energy's long-term adjusted EPS growth is reaffirmed at 6 to 8 percent, with confidence towards the high end of this range [2] - The company emphasizes its strong track record of constructive regulatory outcomes, particularly in natural gas rate cases and renewable energy plans [2] Cash Flow and Capitalization - Net cash provided by operating activities for the nine months ended September 30, 2025, was $1.757 billion, while net cash used in investing activities was $(2.926) billion [7] - Total assets as of September 30, 2025, were $38.008 billion, an increase from $35.920 billion at the end of 2024 [6]

Core Points - The Consumers Energy Foundation announced its 2025 Prosperity Award Winners, granting a total of $500,000 to projects in Curtis Township, Lincoln Township, and the Village of Vanderbilt aimed at economic development and community welfare [1][2] - The Foundation's Prosperity Awards are part of its annual grant rounds, with a total allocation of $1.5 million in 2025, following previous awards in April and July [3][4] Group 1: Award Recipients and Projects - Curtis Township received $250,000 to revitalize a vacant downtown building into a hub for community events and local government meetings, enhancing civic engagement [5] - Lincoln Township was awarded $150,000 for the Bertha's New Beat project, which aims to improve accessibility and inclusivity at Bertha Lake Park through various enhancements [5] - The Village of Vanderbilt received $100,000 for the Gateway to the Pigeon River project, creating an inviting entrance to the community and promoting tourism and local economic growth [5] Group 2: Foundation's Mission and Contributions - The Consumers Energy Foundation focuses on strengthening Michigan communities by investing in people, the planet, and prosperity [4] - In 2024, the Foundation and its affiliates contributed over $15 million to support Michigan nonprofits and communities [4]

Core Viewpoint - CMS Energy's MSCI ESG rating has been downgraded from AA to A as of October 15, 2025 [1] Group 1 - The downgrade reflects a change in the company's environmental, social, and governance performance metrics [1]

Group 1 - CMS Energy will provide its 2025 third quarter results along with a business and financial outlook on October 30, 2025, at 9:30 a.m. EDT [1] - A webcast of the presentation will be available on CMS Energy's website, and an audio replay will be accessible approximately three hours after the webcast, archived for 30 days [1] Group 2 - CMS Energy is a Michigan-based energy company, with Consumers Energy as its primary business, and it also operates independent power generation businesses [2] - For further information, CMS Energy's website can be visited, and email alert notifications can be signed up for in the Investor section [2]