First Quarter 2022 Earnings Call May 5, 2022 Important Information Forward Looking Statements Statements made in this document that are not based on historical facts are forward-looking, may involve risks and uncertainties, and are intended to be as of the date when made. Forwardlooking statements include, but are not limited to, statements relating to Evergy's strategic plan, including, without limitation, those related to earnings per share, dividend, operating and maintenance expense and capital investme ...

Evergy, Inc. (NASDAQ:EVRG) Q1 2022 Earnings Conference Call May 5, 2022 9:00 AM ET Company Participants David A. Campbell – President and Chief Executive Officer Kirkland Andrews – Executive Vice President and Chief Financial Officer Lori Wright – Vice President Investor Relations and Treasurer Conference Call Participants Michael Sullivan – Wolfe Research Michael Lapides – Goldman Sachs Darius Anderson – Bank of America Operator Good day, ladies and gentlemen, and welcome to the First Quarter 2022 Evergy I ...

[Part I - Financial Information](index=8&type=section&id=Part%20I%20-%20Financial%20Information) Presents unaudited consolidated financial statements and management's discussion and analysis for Evergy and its subsidiaries [Item 1. Financial Statements](index=8&type=section&id=Item%201.%20Financial%20Statements) Presents unaudited consolidated financial statements for Evergy, Inc., Evergy Kansas Central, and Evergy Metro for Q1 2022 [Evergy, Inc. Financial Statements](index=8&type=section&id=Evergy%2C%20Inc.%20Financial%20Statements) Evergy, Inc. reported **net income of $122.5 million** in Q1 2022, a decrease from $191.6 million, due to lower operating revenues Evergy, Inc. Consolidated Statement of Comprehensive Income (Q1 2022 vs Q1 2021) | Metric | Q1 2022 (millions) | Q1 2021 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $1,223.9 | $1,611.9 | | **Income from Operations** | $253.1 | $317.7 | | **Net Income Attributable to Evergy, Inc.** | $122.5 | $191.6 | | **Diluted EPS** | $0.53 | $0.84 | Evergy, Inc. Consolidated Balance Sheet Highlights (as of March 31, 2022) | Metric | March 31, 2022 (millions) | December 31, 2021 (millions) | | :--- | :--- | :--- | | **Total Current Assets** | $1,722.0 | $1,710.3 | | **Total Assets** | $28,739.9 | $28,520.5 | | **Total Current Liabilities** | $3,391.3 | $3,102.9 | | **Total Equity** | $9,237.5 | $9,241.7 | Evergy, Inc. Consolidated Statement of Cash Flows (Q1 2022 vs Q1 2021) | Metric | Q1 2022 (millions) | Q1 2021 (millions) | | :--- | :--- | :--- | | **Cash Flows from Operating Activities** | $265.1 | $(28.6) | | **Cash Flows used in Investing Activities** | $(531.3) | $(475.2) | | **Cash Flows from Financing Activities** | $262.2 | $840.9 | [Evergy Kansas Central, Inc. Financial Statements](index=13&type=section&id=Evergy%20Kansas%20Central%2C%20Inc.%20Financial%20Statements) Evergy Kansas Central, Inc. reported **net income of $72.0 million** in Q1 2022, a decrease from $178.1 million, due to lower operating revenues Evergy Kansas Central, Inc. Consolidated Statement of Income (Q1 2022 vs Q1 2021) | Metric | Q1 2022 (millions) | Q1 2021 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $613.9 | $901.1 | | **Income from Operations** | $127.2 | $240.3 | | **Net Income Attributable to Evergy Kansas Central, Inc.** | $72.0 | $178.1 | Evergy Kansas Central, Inc. Consolidated Balance Sheet Highlights (as of March 31, 2022) | Metric | March 31, 2022 (millions) | December 31, 2021 (millions) | | :--- | :--- | :--- | | **Total Assets** | $13,183.4 | $13,075.6 | | **Total Liabilities** | $8,591.8 | $8,534.1 | | **Total Equity** | $4,591.6 | $4,541.5 | [Evergy Metro, Inc. Financial Statements](index=18&type=section&id=Evergy%20Metro%2C%20Inc.%20Financial%20Statements) Evergy Metro, Inc. reported **net income of $54.6 million** in Q1 2022, an increase from $33.5 million, despite decreased operating revenues Evergy Metro, Inc. Consolidated Statement of Comprehensive Income (Q1 2022 vs Q1 2021) | Metric | Q1 2022 (millions) | Q1 2021 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $422.5 | $516.2 | | **Income from Operations** | $95.6 | $71.2 | | **Net Income** | $54.6 | $33.5 | Evergy Metro, Inc. Consolidated Balance Sheet Highlights (as of March 31, 2022) | Metric | March 31, 2022 (millions) | December 31, 2021 (millions) | | :--- | :--- | :--- | | **Total Assets** | $9,112.2 | $9,156.8 | | **Total Liabilities** | $6,036.4 | $6,135.6 | | **Total Equity** | $3,075.8 | $3,021.2 | [Combined Notes to Unaudited Consolidated Financial Statements](index=23&type=section&id=Combined%20Notes%20to%20Unaudited%20Consolidated%20Financial%20Statements) These notes explain consolidated financial statements, covering organization, accounting policies, and key financial events - The February 2021 winter weather event resulted in total net fuel and purchased power costs of **$367.9 million** as of March 31, 2022, which have been deferred to a regulatory asset or liability for future recovery or refund[95](index=95&type=chunk)[96](index=96&type=chunk) - In Q1 2022, Evergy sold an equity investment through a share forward agreement, recognizing a pre-tax loss of **$14.2 million**[101](index=101&type=chunk)[102](index=102&type=chunk) - Evergy Missouri West filed a petition in March 2022 to finance its extraordinary costs from the February 2021 winter weather event through the issuance of securitized bonds[141](index=141&type=chunk) - In March 2022, Evergy Missouri West issued **$250.0 million** of 3.75% First Mortgage Bonds and repaid **$100.0 million** of 3.74% Senior Notes at maturity[162](index=162&type=chunk)[163](index=163&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=49&type=section&id=Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations%20%28MD%26A%29) Management's perspective on Evergy's financial results and condition, explaining the impact of non-recurring events on earnings GAAP vs. Non-GAAP EPS (Q1 2022 vs Q1 2021) | Metric | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | **Diluted EPS (GAAP)** | $0.53 | $0.84 | | **Adjusted EPS (Non-GAAP)** | $0.58 | $0.55 | - The primary reason for the decrease in GAAP net income was the non-recurrence of significant non-regulated energy marketing margins recognized in Q1 2021 related to the February 2021 winter weather event[236](index=236&type=chunk) - Utility gross margin (a non-GAAP measure) decreased by **$71.2 million**, primarily driven by a **$104.9 million** decrease in non-regulated energy marketing margins from the 2021 winter event[256](index=256&type=chunk) - Operating cash flow increased by **$293.7 million**, mainly because the prior-year period included **$363.7 million** in cash payments for net fuel and purchased power costs related to the February 2021 winter weather event[272](index=272&type=chunk) [Evergy, Inc. Results of Operations](index=52&type=section&id=Evergy%2C%20Inc.%20Results%20of%20Operations) Evergy's consolidated income from operations decreased in Q1 2022, primarily due to lower utility gross margin - Utility gross margin decreased by **$71.2 million**, primarily due to a **$104.9 million** decrease in non-regulated energy marketing margins recognized in 2021 related to the February 2021 winter weather event[256](index=256&type=chunk) - Operating and maintenance expense decreased by **$23.3 million**, driven by lower credit loss expense and the non-recurrence of 2021 executive transition costs[258](index=258&type=chunk) - Other expense, net increased by **$18.2 million**, primarily due to a **$14.2 million** loss from the sale of an equity investment in an early-stage energy solutions company[261](index=261&type=chunk) [Liquidity and Capital Resources](index=54&type=section&id=Liquidity%20and%20Capital%20Resources) Evergy maintains liquidity through cash from operations, credit facilities, and debt/equity issuances, with significant borrowing capacity - As of March 31, 2022, Evergy had **$1.6 billion** of available borrowing capacity under its master credit facility[265](index=265&type=chunk) - In February 2022, Evergy entered into a **$500.0 million** unsecured Term Loan Facility, which was fully borrowed as of March 31, 2022[266](index=266&type=chunk) - Cash flows from operating activities increased by **$293.7 million** compared to Q1 2021, primarily because the prior period included **$363.7 million** in cash payments for net fuel and purchased power costs during the February 2021 winter weather event[272](index=272&type=chunk) [Evergy Kansas Central, Inc. MD&A](index=56&type=section&id=Evergy%20Kansas%20Central%2C%20Inc.%20MD%26A) Evergy Kansas Central's net income fell sharply in Q1 2022, driven by decreased utility gross margin Evergy Kansas Central, Inc. Results of Operations (Q1 2022 vs Q1 2021) | Metric | Q1 2022 (millions) | Q1 2021 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $613.9 | $901.1 | | **Income from Operations** | $127.2 | $240.3 | | **Net Income Attributable to Evergy Kansas Central, Inc.** | $72.0 | $178.1 | - Utility gross margin decreased by **$109.8 million**, primarily due to a **$104.9 million** decrease in non-regulated energy marketing margins from the 2021 winter weather event[283](index=283&type=chunk)[284](index=284&type=chunk) [Evergy Metro, Inc. MD&A](index=58&type=section&id=Evergy%20Metro%2C%20Inc.%20MD%26A) Evergy Metro's net income increased in Q1 2022, driven by increased utility gross margin and lower operating expenses Evergy Metro, Inc. Results of Operations (Q1 2022 vs Q1 2021) | Metric | Q1 2022 (millions) | Q1 2021 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $422.5 | $516.2 | | **Income from Operations** | $95.6 | $71.2 | | **Net Income** | $54.6 | $33.5 | - Utility gross margin increased by **$15.0 million**, primarily due to jurisdictional allocation differences in fuel recovery mechanisms in Missouri and Kansas regarding the refund to customers for net wholesale revenues from the February 2021 winter event[296](index=296&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=60&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes to market risk disclosures since the most recently filed annual report on Form 10-K - There were no material changes from the market risk disclosures included in the Evergy Companies' combined 2021 Form 10-K[303](index=303&type=chunk) [Item 4. Controls and Procedures](index=60&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective with no material changes to internal control - The CEO and CFO of Evergy, Evergy Kansas Central, and Evergy Metro concluded that disclosure controls and procedures were effective at a reasonable assurance level[304](index=304&type=chunk)[306](index=306&type=chunk)[309](index=309&type=chunk) - There were no changes in internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[305](index=305&type=chunk)[307](index=307&type=chunk)[310](index=310&type=chunk) [Part II - Other Information](index=61&type=section&id=Part%20II%20-%20Other%20Information) This section covers legal proceedings, risk factors, equity sales, and other corporate information [Item 1. Legal Proceedings](index=61&type=section&id=Item%201.%20Legal%20Proceedings) The Evergy Companies are involved in various lawsuits and regulatory proceedings in the ordinary course of business - For information regarding material lawsuits and proceedings, the report refers to Notes 4 and 9 to the consolidated financial statements[311](index=311&type=chunk) [Item 1A. Risk Factors](index=61&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors previously disclosed in the 2021 Form 10-K for Evergy and its subsidiaries - There have been no material changes with regards to the risk factors discussed in the 2021 Form 10-K for each of Evergy, Evergy Kansas Central and Evergy Metro[312](index=312&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=62&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Information on Evergy's purchases of its own equity securities during Q1 2022, totaling **68,544 shares** Issuer Purchases of Equity Securities (Q1 2022) | Month | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | January | 95 | $66.80 | | February | 6,173 | $60.99 | | March | 62,276 | $60.88 | | **Total** | **68,544** | **$60.90** | [Item 5. Other Information](index=63&type=section&id=Item%205.%20Other%20Information) Details the results of Evergy's annual shareholder meeting on May 3, 2022, where all Board-recommended proposals were approved - At the annual shareholder meeting on May 3, 2022, all twelve director nominees were elected[319](index=319&type=chunk)[320](index=320&type=chunk) - Shareholders approved, on an advisory basis, the 2021 compensation of named executive officers[319](index=319&type=chunk)[320](index=320&type=chunk) - Shareholders approved the Evergy, Inc. Amended and Restated Long-Term Incentive Plan[319](index=319&type=chunk)[321](index=321&type=chunk) - Shareholders ratified the appointment of Deloitte & Touche LLP as the independent registered public accounting firm for 2022[319](index=319&type=chunk)[324](index=324&type=chunk) [Item 6. Exhibits](index=65&type=section&id=Item%206.%20Exhibits) Lists exhibits filed with the Form 10-Q, including debt agreements, compensatory plans, CEO/CFO certifications, and XBRL data - Lists various filed exhibits, including the First Mortgage Indenture for Evergy Missouri West, the **$500M** Term Loan Credit Agreement, and the amended Long-Term Incentive Plan[328](index=328&type=chunk) - Includes Rule 13a-14(a)/15d-14(a) certifications for the CEO and CFO of Evergy, Inc., Evergy Metro, and Evergy Kansas Central[328](index=328&type=chunk)

Evergy, Inc. (NASDAQ:EVRG) Q4 Earnings Conference Call February 25, 2021 9:00 AM ET Company Participants Lori Wright - Vice President Investor Relations and Treasurer David Campbell - President and Chief Executive Officer Kirk Andrews - Executive Vice President and Chief Financial Officer Conference Call Participants Shar Pourreza - Guggenheim Partners Durgesh Chopra - Evercore ISI Michael Lapides - Goldman Sachs Julien Dumoulin-Smith - Bank of America Nicholas Campanella - Credit Suisse Travis Miller - Mor ...

Fourth Quarter 2021 Earnings Call February 25, 2022 ==evergy Important Information Forward Looking Statements Statements made in this document that are not based on historical facts are forward-looking, may involve risks and uncertainties, and are intended to be as of the date when made. Forwardlooking statements include, but are not limited to, statements relating to Evergy's strategic plan, including, without limitation, those related to earnings per share, dividend, operating and maintenance expense and ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______to_______ Exact name of registrant as specified in its charter, Commission state of incorporation, address of principal I.R.S. Employer | --- | --- | ...

Third Quarter 2021 Earnings Call November 3, 2021 = evergy Public Important Information Forward Looking Statements Statements made in this document that are not based on historical facts are forward-looking, may involve risks and uncertainties, and are intended to be as of the date when made. Forward-looking statements include, but are not limited to, statements relating to Evergy's strategic plan, including, without limitation, those related to earnings per share, dividend, operating and maintenance expens ...

Evergy, Inc. (NASDAQ:EVRG) Q3 Earnings Conference Call November 3, 2021 9:00 AM ET Company Participants Lori Wright – Vice President Investor Relations and Treasurer David Campbell – President and Chief Executive Officer Kirk Andrews – Executive Vice President and Chief Financial Officer Conference Call Participants Shar Pourreza – Guggenheim Partners Darius Anderson – Bank of America Michael Sullivan – Wolfe Research Michael Lapides – Goldman Sachs Paul Patterson – Glenrock Associates Operator Thank you fo ...

[Part I - Financial Information](index=8&type=section&id=Part%20I%20-%20Financial%20Information) [Financial Statements](index=8&type=section&id=Item%201.%20Financial%20Statements) The company presents unaudited consolidated financial statements for Evergy, Inc and its subsidiaries for the period ended September 30, 2021 [Evergy, Inc. Financial Statements](index=8&type=section&id=Evergy%2C%20Inc.%20Financial%20Statements) Evergy, Inc reported a significant increase in net income to $826.3 million for the nine months ended September 30, 2021 Evergy, Inc. Consolidated Financial Highlights (YTD September 30, 2021 vs 2020) | Metric | YTD Sep 30, 2021 (millions) | YTD Sep 30, 2020 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $4,464.6 | $3,819.0 | | **Net Income Attributable to Evergy, Inc.** | $826.3 | $567.3 | | **Diluted EPS** | $3.60 | $2.49 | | **Total Assets (as of period end)** | $28,182.1 | N/A | | **Total Liabilities (as of period end)** | $18,870.1 | N/A | | **Total Equity (as of period end)** | $9,312.0 | N/A | Evergy, Inc. Consolidated Cash Flow Summary (YTD September 30) | Cash Flow Activity | 2021 (millions) | 2020 (millions) | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $1,036.0 | $1,421.7 | | **Net Cash used in Investing Activities** | $(1,349.1) | $(1,029.9) | | **Net Cash from (used in) Financing Activities** | $193.5 | $(53.4) | [Evergy Kansas Central, Inc. Financial Statements](index=14&type=section&id=Evergy%20Kansas%20Central%2C%20Inc.%20Financial%20Statements) Evergy Kansas Central's net income rose substantially to $452.3 million, driven by higher operating revenues Evergy Kansas Central, Inc. Financial Highlights (YTD September 30, 2021 vs 2020) | Metric | YTD Sep 30, 2021 (millions) | YTD Sep 30, 2020 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $2,277.4 | $1,864.5 | | **Net Income Attributable to Evergy Kansas Central, Inc.** | $452.3 | $182.0 | | **Total Assets (as of period end)** | $12,948.1 | N/A | | **Total Equity (as of period end)** | $4,572.2 | N/A | [Evergy Metro, Inc. Financial Statements](index=19&type=section&id=Evergy%20Metro%2C%20Inc.%20Financial%20Statements) Evergy Metro's net income increased to $303.3 million for the nine-month period, supported by growth in operating revenues Evergy Metro, Inc. Financial Highlights (YTD September 30, 2021 vs 2020) | Metric | YTD Sep 30, 2021 (millions) | YTD Sep 30, 2020 (millions) | | :--- | :--- | :--- | | **Operating Revenues** | $1,526.7 | $1,328.3 | | **Net Income** | $303.3 | $276.2 | | **Total Assets (as of period end)** | $9,225.5 | N/A | | **Total Equity (as of period end)** | $3,012.3 | N/A | [Note 1: Organization and Basis of Presentation](index=24&type=section&id=Note%201%3A%20Organization%20and%20Basis%20of%20Presentation) The company details its corporate structure and the significant financial impact of the February 2021 winter weather event - Evergy is a public utility holding company serving approximately **1.6 million customers** in Kansas and Missouri with **15,400 MW** of generating capacity[70](index=70&type=chunk)[71](index=71&type=chunk)[75](index=75&type=chunk) - The February 2021 winter weather event resulted in **$349.7 million** in net fuel and purchased power costs, primarily impacting Evergy Missouri West and Evergy Kansas Central[94](index=94&type=chunk) - The company deferred nearly all winter weather event costs to a **regulatory asset** for future recovery from customers[95](index=95&type=chunk)[97](index=97&type=chunk) - Evergy recorded **$95.0 million** in non-regulated energy marketing margins in 2021 related to the winter weather event[98](index=98&type=chunk) [Note 4: Rate Matters and Regulation](index=32&type=section&id=Note%204%3A%20Rate%20Matters%20and%20Regulation) This note outlines key regulatory proceedings, including rate adjustments and cost deferrals from the 2021 winter storm - In April 2021, the KCC approved TDC adjustments, resulting in an expected annual revenue increase of **$37.9 million** for Evergy Kansas Central[110](index=110&type=chunk)[112](index=112&type=chunk) - Due to the February 2021 winter weather event, Evergy Kansas Central recognized a **regulatory asset of $115.0 million** for increased costs[116](index=116&type=chunk) - Evergy Kansas Central filed a predetermination request with the KCC to retire the coal-fired LEC Unit 4 and invest in **190 MW of solar generation**[118](index=118&type=chunk)[119](index=119&type=chunk)[121](index=121&type=chunk) - As of September 30, 2021, Evergy Missouri West had a **regulatory asset of $278.7 million** related to the winter storm[126](index=126&type=chunk)[127](index=127&type=chunk)[129](index=129&type=chunk) [Note 10: Commitments and Contingencies](index=44&type=section&id=Note%2010%3A%20Commitments%20and%20Contingencies) The company details environmental contingencies and regulations that could result in material compliance costs - The future of **GHG regulations is uncertain** following the vacatur of the ACE rule, and compliance costs could be material[192](index=192&type=chunk)[193](index=193&type=chunk) - The EPA is undertaking a new rulemaking to potentially revise Effluent Limitations Guidelines, which could result in **more stringent and material compliance costs**[195](index=195&type=chunk)[196](index=196&type=chunk)[197](index=197&type=chunk) - The company initiated closure of all un-lined Coal Combustion Residuals impoundments, and future revisions to **Asset Retirement Obligations could be material**[200](index=200&type=chunk)[201](index=201&type=chunk) [Note 12: Shareholders' Equity](index=48&type=section&id=Note%2012%3A%20Shareholders'%20Equity) This note describes a significant equity transaction with Bluescape Energy Partners and the filing of new shelf registration statements - In April 2021, Evergy sold common stock and issued a warrant to an affiliate of Bluescape for **net proceeds of $112.5 million**[216](index=216&type=chunk) - In September 2021, Evergy filed an automatic shelf registration statement for the **sale of unlimited amounts of securities**, expiring in September 2024[217](index=217&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=52&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial results, the impact of the winter weather event, strategic initiatives, and capital resource allocation [Evergy, Inc. MD&A](index=53&type=section&id=Evergy%2C%20Inc.%20MD%26A) Management discusses strong earnings driven by winter storm margins and favorable weather, alongside its net-zero emissions goal - Evergy announced a revised goal to achieve **net-zero carbon emissions by 2045**, with an interim goal of a 70% reduction by 2030[248](index=248&type=chunk) - Utility gross margin for YTD 2021 increased by **$184.1 million**, driven by **$95.0 million** in non-regulated energy marketing margins from the winter storm[287](index=287&type=chunk) Evergy, Inc. Earnings Overview (YTD September 30) | Metric | 2021 | 2020 | Change | | :--- | :--- | :--- | :--- | | **Net Income Attributable to Evergy, Inc. (millions)** | $826.3 | $567.3 | $259.0 | | **Diluted EPS** | $3.60 | $2.49 | $1.11 | Projected Capital Expenditures (2021-2025) | Year | Amount (millions) | | :--- | :--- | | 2021 | $1,953.0 | | 2022 | $2,016.0 | | 2023 | $1,993.0 | | 2024 | $2,055.0 | | 2025 | $2,417.0 | | **Total** | **$10,434.0** | [Evergy Kansas Central, Inc. MD&A](index=66&type=section&id=Evergy%20Kansas%20Central%2C%20Inc.%20MD%26A) Net income surged due to a significant increase in utility gross margin, fueled by winter storm-related marketing margins - Utility gross margin increased by **$180.1 million** year-to-date, primarily due to **$95.0 million** in non-regulated energy marketing margins[328](index=328&type=chunk) - Income tax expense decreased by **$103.5 million** year-to-date, mainly due to a **$109.0 million benefit** from the 2020 revaluation of deferred taxes[333](index=333&type=chunk) Evergy Kansas Central, Inc. Results of Operations (YTD September 30) | Metric | 2021 (millions) | 2020 (millions) | Change (millions) | | :--- | :--- | :--- | :--- | | **Operating Revenues** | $2,277.4 | $1,864.5 | $412.9 | | **Income from Operations** | $626.7 | $476.4 | $150.3 | | **Net Income Attributable** | $452.3 | $182.0 | $270.3 | [Evergy Metro, Inc. MD&A](index=68&type=section&id=Evergy%20Metro%2C%20Inc.%20MD%26A) Net income increased due to favorable weather and lower operating expenses, partially offset by higher income tax expense - Utility gross margin increased by **$15.1 million** year-to-date, driven by a **$33.1 million** increase from favorable weather[341](index=341&type=chunk) - Operating and maintenance expense decreased by **$43.6 million** year-to-date, primarily due to a **$19.8 million** decrease in severance costs[342](index=342&type=chunk) - Income tax expense increased by **$38.6 million** year-to-date, as the prior year included a **$32.2 million tax benefit**[346](index=346&type=chunk) Evergy Metro, Inc. Results of Operations (YTD September 30) | Metric | 2021 (millions) | 2020 (millions) | Change (millions) | | :--- | :--- | :--- | :--- | | **Operating Revenues** | $1,526.7 | $1,328.3 | $198.4 | | **Income from Operations** | $439.8 | $380.6 | $59.2 | | **Net Income** | $303.3 | $276.2 | $27.1 | [Quantitative and Qualitative Disclosures About Market Risk](index=70&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reports no material changes to its market risk disclosures since its most recent Annual Report on Form 10-K - There have been **no material changes** in market risk from the disclosures in the 2020 Form 10-K[348](index=348&type=chunk) [Controls and Procedures](index=70&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures for all reporting entities were effective as of September 30, 2021 - The CEO and CFO of Evergy, Inc and its subsidiaries have all concluded that their respective **disclosure controls and procedures were effective**[349](index=349&type=chunk)[352](index=352&type=chunk)[354](index=354&type=chunk) - **No changes in internal control** over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, internal controls[350](index=350&type=chunk)[353](index=353&type=chunk)[355](index=355&type=chunk) [Part II - Other Information](index=71&type=section&id=Part%20II%20-%20Other%20Information) [Legal Proceedings](index=71&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various ordinary course lawsuits and regulatory proceedings, detailed in the financial statement notes - Information regarding material lawsuits and regulatory proceedings is incorporated by reference from **Notes 4 and 10** to the consolidated financial statements[356](index=356&type=chunk) [Risk Factors](index=71&type=section&id=Item%201A.%20Risk%20Factors) The company identifies new significant risks related to workforce management, including talent retention and labor negotiations - A new risk factor has been added concerning the **failure to attract and retain a qualified workforce**, which could impede the company's strategy[359](index=359&type=chunk)[360](index=360&type=chunk) - Federal COVID-19 vaccination and testing mandates could result in **employee or contractor labor disruptions**, potentially impacting operations[361](index=361&type=chunk) - Collective bargaining agreements with five local IBEW unions expired in 2021 and are being renegotiated, posing a **risk of labor disruptions**[362](index=362&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=72&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reports no unregistered sales of equity securities during the period - **None reported**[364](index=364&type=chunk) [Exhibits](index=74&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including a new credit agreement and officer certifications - Exhibit 10.1 is the **Amended and Restated Credit Agreement** dated August 31, 2021, among Evergy, Inc and its subsidiaries[371](index=371&type=chunk) - Exhibits 31.1 through 31.6 contain the required **Rule 13a-14(a)/15d-14(a) certifications** from the CEO and CFO for each registrant[371](index=371&type=chunk)

Second Quarter 2021 Earnings Call August 5, 2021 %evergy Public Important Information Forward Looking Statements Statements made in this presentation that are not based on historical facts are forward-looking, may involve risks and uncertainties, and are intended to be as of the date when made. Forward-looking statements include, but are not limited to, statements relating to Evergy's strategic plan, including, without limitation, those related to earnings per share, dividend, operating and maintenance expe ...