Financial Performance - IDACORP reported a net income of $124.4 million for Q3 2025, an increase of $10.8 million compared to $113.6 million in Q3 2024, resulting in earnings per diluted share of $2.26, up from $2.12[1][6] - For the first nine months of 2025, net income increased by $28.6 million compared to the same period in 2024, driven by higher net income at Idaho Power[14] - IDACORP raised its full-year 2025 earnings guidance to a range of $5.80 to $5.90 per diluted share, up from the previous range of $5.70 to $5.85[3][23] Revenue and Customer Growth - Customer growth contributed $7.8 million to operating income in Q3 2025, with an increase of approximately 15,000 customers, or 2.3%, year-over-year[8] - Retail revenues per megawatt-hour (MWh) increased operating income by $17.6 million in Q3 2025, primarily due to an overall increase in Idaho base rates effective January 1, 2025[7][15] - The net increase in retail revenues per MWh for the first nine months of 2025 was $37.2 million, largely due to the increase in Idaho base rates[15] Expenses - Total other operations and maintenance (O&M) expenses increased by $4.2 million in Q3 2025, driven by inflationary pressures and increased wildfire mitigation expenses[9] - Depreciation and amortization expenses rose by $8.1 million in Q3 2025, attributed to an increase in plant-in-service and the start of operations at a leased battery storage facility[10][18] - Non-operating expenses increased by $9.8 million in Q3 2025, primarily due to higher interest expenses from long-term debt and transmission customer deposits[12][20] Risks and Challenges - IDACORP and Idaho Power face risks related to regulatory decisions impacting cost recovery and return on investment[27] - The company is exposed to expenses and risks from capital expenditures and potential delays in utility infrastructure projects[27] - Economic conditions, including inflation and interest rates, may affect operations, capital investments, and customer demand for electricity[27] - The rapid addition of new industrial and commercial customer load presents risks of power demand exceeding available supply[27] - Changes in tax laws and regulations could impact financial performance and the availability of expected tax credits[27] - The ability to obtain debt and equity financing is influenced by credit ratings and market conditions[27] - Idaho Power's concentration in one region exposes it to regional economic conditions and legislation[27] - The company may incur remediation costs associated with the planned cessation of coal-fired operations[27] - The ability to continue paying dividends is contingent on financial performance and regulatory limitations[27] - Changes in accounting policies and new SEC requirements may affect financial reporting and obligations[27] Tax Credits - IDACORP expects Idaho Power to utilize between $50 million and $60 million of additional tax credits in 2025 under the Idaho regulatory mechanism[3][23]

Regulatory and Rate Changes - The settlement stipulation for Idaho Power's 2023 general rate case was finalized, impacting future revenue recovery[22]. - Idaho Power filed a general rate case requesting approximately $199.1 million in additional annual revenues, resulting in a 13.09% average net revenue increase for Idaho customers[67]. - The 2025 Settlement Stipulation proposes a 7.48% increase in annual Idaho-jurisdictional retail revenue, effective January 1, 2026, amounting to approximately $110 million[69]. - The OPUC approved deferral of $3.3 million in incremental costs for wildfire mitigation efforts expected in 2025[79]. - Idaho Power's request to defer $22.2 million in incremental O&M costs for wildfire mitigation efforts in 2025 was granted by the IPUC[80]. - The power cost adjustment mechanism allows Idaho Power to pass through 95% of the differences in actual net power supply expenses to customers, impacting operating cash flows[285]. - Idaho Power's transmission rate increased to $34.16 per kW-year for the period from October 1, 2025, to September 30, 2026, up from $31.55 per kW-year in the previous year, based on a net annual transmission revenue requirement of $148.5 million[288]. Financial Performance - For the three months ended September 30, 2025, total operating revenues were $524,417, a decrease of 0.21% from $528,527 in the same period of 2024[26]. - Electric utility revenues for the nine months ended September 30, 2025, were $1,405,173, down 1.5% from $1,425,606 in 2024[26]. - Operating income for the three months ended September 30, 2025, increased to $144,821, representing a 8.35% increase from $133,709 in 2024[26]. - Net income attributable to IDACORP, Inc. for the three months ended September 30, 2025, was $124,437, up 7.31% from $113,605 in 2024[28]. - Earnings per share (diluted) for the three months ended September 30, 2025, was $2.26, compared to $2.12 for the same period in 2024, reflecting a 6.6% increase[26]. - Total comprehensive income for the nine months ended September 30, 2025, was $280,678, compared to $252,805 in 2024, indicating a growth of 11.02%[28]. - Net income for the nine months ended September 30, 2025, increased to $280,396,000 from $251,952,000 in 2024, representing an increase of approximately 11.3%[37]. - The company reported a net income attributable to IDACORP, Inc. of $279,865,000 for the nine months ended September 30, 2025, compared to $251,298,000 in 2024, marking an increase of about 11.4%[39]. Capital Expenditures and Investments - The company faces risks associated with capital expenditures and potential delays in utility infrastructure projects, which could affect financial performance[20]. - Expected capital expenditures for Idaho Power are projected to be between $1.00 billion and $1.10 billion in 2025, increasing to $1.25 billion to $1.35 billion in 2026, and reaching $3.10 billion to $3.60 billion from 2027 to 2029[256]. - Idaho Power plans to acquire 330 MW of battery storage assets and has entered into agreements for an additional 250 MW of storage capacity to address projected energy and capacity deficits[257]. - The total capital expenditures for resource additions to address energy and capacity deficits from 2025 to 2029 are estimated to exceed $730 million[258]. - Idaho Power has spent approximately $578 million on the B2H project as of September 30, 2025, and expects total project costs to range between $1.5 billion and $1.7 billion[260][262]. - Idaho Power has committed approximately $84 million for its share of the GWW Transmission Line project, with total estimated costs for its share ranging from $900 million to $1.1 billion[265]. Debt and Equity - Total liabilities increased to $6,702,418 as of September 30, 2025, compared to $5,700,631 as of December 31, 2024[34]. - The company issued long-term debt amounting to $400,000,000 during the nine months ended September 30, 2025, compared to $300,000,000 in 2024, reflecting a 33.3% increase[37]. - IDACORP's total long-term debt, including the current portion, was $3,447.1 million as of September 30, 2025, compared to $3,073.7 million at the end of 2024[152]. - The total equity at the end of the period was $3,488,615,000, an increase from $3,277,573,000 in 2024, representing a growth of approximately 6.4%[39]. - IDACORP's dividends were limited to $1.4 billion as of September 30, 2025, due to restrictions from credit facility covenants[103]. Operational Risks and Challenges - Economic conditions, including inflation and interest rates, may impact operations, capital investments, and customer demand for electricity[18]. - The company is exposed to risks from supplier delays and project quality standards that could affect revenue generation[18]. - Changes in tax laws and regulations may impact the availability of expected tax credits and benefits for the company[20]. - The advancement of self-generation and alternative energy sources poses operational challenges and may reduce electricity sales[20]. - The company expects capital expenditures to continue to be influenced by various factors including supply chain disruptions and regulatory determinations[255]. Pension and Employee Benefits - Idaho Power contributed $20 million to its defined benefit pension plan during the nine months ended September 30, 2025, with no minimum contribution requirement for 2025[133]. - For the three months ended September 30, 2025, the net periodic benefit cost recognized for financial reporting was $11.303 million, compared to $11.535 million for the same period in 2024[129]. - The net periodic benefit cost for the nine months ended September 30, 2025, was $33.911 million, slightly down from $34.322 million in 2024[132]. - Idaho Power's service cost for the pension plan was $8.115 million for the three months ended September 30, 2025, down from $9.127 million in 2024[128]. Environmental and Regulatory Compliance - Idaho Power actively monitors pending environmental regulations but is currently unable to estimate their financial impact[125]. - The company has no material credit risk exposure from financial instruments, including derivatives, as of September 30, 2025[139]. - The Integrated Resource Plan filed in June 2025 identified a need for significant resources to meet projected capacity deficits in the near term[290]. - The IPUC approved the CPCN for Idaho Power to acquire two battery storage facilities with a total capacity of 100 MW to address capacity deficiencies in 2026[292].

Core Insights - IDACORP, Inc. reported a net income of $124.4 million for Q3 2025, an increase from $113.6 million in Q3 2024, translating to earnings of $2.26 per diluted share compared to $2.12 per diluted share in the previous year [1][6][4] Financial Performance - The increase in net income for Q3 2025 was primarily driven by higher retail revenues and customer growth, which contributed $17.6 million and $7.8 million to operating income, respectively [7][8] - The total net income for the first nine months of 2025 was $279.9 million, up from $251.3 million in the same period of 2024 [4][14] - IDACORP has increased its full-year 2025 earnings guidance to a range of $5.80 to $5.90 per diluted share, reflecting the utilization of additional tax credits [3][22] Operational Highlights - Customer growth was noted at approximately 15,000 new customers, representing a 2.3% increase year-over-year [8] - The company reached a settlement regarding its Idaho general rate case, pending approval from the Idaho Public Utilities Commission [2] Expense Analysis - Other operations and maintenance expenses rose by $4.2 million in Q3 2025, primarily due to inflationary pressures and increased wildfire mitigation costs [9] - Depreciation and amortization expenses increased by $8.1 million, attributed to a rise in plant-in-service and the operation of a new battery storage facility [10] Revenue Drivers - The increase in retail revenues per megawatt-hour (MWh) was a significant factor in the improved financial results, driven by an overall increase in Idaho base rates effective January 1, 2025 [7][15] - Other changes in operating revenues and expenses contributed an additional $4.3 million to operating income due to a decrease in net power supply expenses [11] Future Outlook - The earnings guidance for 2025 incorporates expectations of normal weather conditions and power supply expenses for the remainder of the year [3][22] - The company anticipates utilizing between $50 million and $60 million in additional tax credits under Idaho's regulatory mechanism in 2025 [3][22]

Core Points - IDACORP, Inc. declared a common stock dividend of $0.88 per share, payable on December 1, 2025, to shareholders of record as of November 5, 2025 [1] - The board of directors approved an increase in the quarterly cash dividend, resulting in an annual indicated dividend of $3.52 per share [3] - Since 2011, IDACORP has increased its dividend every year, leading to a cumulative increase of 193% and a compound annual growth rate of 7.4% [4] Financial Performance - For the second quarter of 2025, IDACORP reported a net income of $95.8 million, or $1.76 per diluted share, compared to $89.5 million, or $1.71 per diluted share, in the same quarter of 2024 [5] - The strong performance was attributed to higher customer usage, continued customer growth, rate changes, and the expected use of tax credits under Idaho's regulatory mechanism [5] Upcoming Events - IDACORP is scheduled to report its third quarter results on October 30, 2025, with a conference call at 2:30 p.m. Mountain Time to discuss the earnings [2]

Core Viewpoint - IDACORP, Inc. is set to report its third quarter results on October 30, before the stock markets open, indicating a significant upcoming event for investors and analysts [1] Company Information - The earnings report will be followed by an analyst conference call scheduled for 2:30 p.m. Mountain Time (4:30 p.m. Eastern Time) on the same day [1] - Interested parties can access the conference call via a live Webcast or by calling 855-761-5600 for listen-only mode, with a passcode of 9290150 required for the call [1]

Core Insights - IDACORP, Inc. has approved a 2.3% increase in its quarterly dividend rate to 88 cents per share, up from 86 cents [1] - The annualized dividend now stands at $3.52 per share, compared to the previous $3.44 [2] - The company aims for a target payout ratio of 50-60% of earnings, with a current dividend yield of 2.74%, significantly higher than the S&P 500 average of 1.1% [2] Dividend Growth - Since 2011, IDACORP has authorized an annual dividend increase, resulting in a total dividend increase of 193% and a compound annual growth rate of 7.4% [3] - The company’s regulated electric operations in Idaho provide a stable income stream, with a 2.5% year-over-year increase in its customer base as of June 30, 2025 [4] Capital Expenditure Plans - Idaho Power anticipates capital expenditures of $1-$1.1 billion in 2025, $1.25-$1.35 billion in 2026, and $3.1-$3.6 billion from 2027 to 2029, aimed at strengthening infrastructure and expanding operations [5] - IDACORP is strategically reinvesting in growth while managing earnings per share dilution, indicating potential for continued shareholder-friendly initiatives [6] Industry Context - Utility companies typically exhibit stable operations and earnings, allowing for regular dividend payments [7] - Recent dividend increases from other utility companies include New Jersey Resources (5.6%), MDU Resources (7.7%), and The Southern Company (2.8%) [7] Stock Performance - IDACORP shares have increased by 9.8% over the past six months, outperforming the industry growth of 7% [11][12]

Core Viewpoint - IDACORP, Inc. has announced an increase in its quarterly cash dividend to $0.88 per share, reflecting a commitment to returning value to shareholders [1] Dividend Announcement - The new quarterly dividend rate translates to an annual dividend of $3.52 per share [1] - IDACORP's Board of Directors has consistently approved dividend increases annually since 2011 [1] Historical Dividend Growth - Since 2011, IDACORP has achieved a cumulative dividend increase of 193% [1] - The compound annual dividend growth rate (CAGR) since 2011 stands at 7.4% [1]

Group 1 - The company is characterized as having a low beta with high-growth potential and offers a 3% dividend yield, making it a favorite within the energy sector [1] - Although short-term appreciation may be limited due to a recent rally, the company is expected to perform well in the long term [1] - The analyst's investment research focuses on equities across the Americas, particularly in sectors such as utilities, consumer discretionary, consumer staples, REITs, and materials [1] Group 2 - The analyst employs a bottom-up approach to investment research, emphasizing discounted cash flow models, multiples, and dividends while considering broader market conditions [1] - The target investment horizon is primarily mid-term, ranging from 1 to 3 years [1]

Core Viewpoint - IDACORP Inc. (IDA) is positioned as a strong investment option in the utility sector due to its strategic investments, customer growth, effective cost management, and focus on clean energy production [1] Growth Projections & Surprise History - The Zacks Consensus Estimate for IDA's 2025 earnings per share (EPS) has increased by 0.3% to $5.83 over the past 60 days [2] - The 2025 sales estimate stands at $1.85 billion, reflecting a year-over-year increase of 1.6% [2] - IDA's long-term earnings growth rate is projected at 8.13%, with an average earnings surprise of 3.9% over the last four quarters [2] Liquidity - IDACORP's current ratio is 1.45, surpassing the industry average of 0.85, indicating sufficient short-term assets to cover liabilities [3] Debt Position - The total debt to capital ratio for IDA is 50.29%, which is better than the industry average of 59.75% [4] - The time-to-interest earned ratio is 2.7, demonstrating the company's capability to meet future interest obligations [4] Dividend History - IDA has consistently increased shareholder value through regular dividends, currently paying 86 cents per share, leading to an annualized dividend of $3.44 and a dividend yield of 2.76% [5] Systematic Investments - The company invested $943 million in 2024 and anticipates capital expenditures of $1-$1.1 billion in 2025, $1.25-$1.35 billion in 2026, and $3.1-$3.6 billion from 2027 to 2029 [6] Rising Customer Base - IDA's customer base grew by 2.5% year-over-year as of June 30, 2025, driven by improving economic conditions in its service areas [7][8] Stock Price Performance - Over the past three months, IDA's shares have increased by 6.2%, contrasting with a 0.6% decline in the industry [9]

Core Insights - IDACORP reported Q2 2025 earnings per share (GAAP) of $1.76, missing Wall Street's expectation of $1.78, while net income increased to $95.8 million from $89.5 million in Q2 2024, reflecting a 7.0% year-over-year growth [1][2] - The company raised the lower end of its fiscal 2025 earnings guidance to $5.70 to $5.85 per diluted share, indicating confidence in customer growth despite ongoing cost pressures [1][10] Financial Performance - Q2 2025 EPS (GAAP) was $1.76, a 2.9% increase from $1.71 in Q2 2024 [2] - Net income for Q2 2025 was $95.8 million, up from $89.5 million in Q2 2024, marking a 7.0% increase [2] - Weighted average shares diluted increased by 4.1% to 54.38 million in Q2 2025 compared to 52.24 million in Q2 2024 [2] Customer Growth and Usage - IDACORP added approximately 16,000 new customers, a 2.5% increase year-over-year, contributing an additional $6.0 million in operating income [5] - Increased electricity usage per customer, particularly for irrigation due to low rainfall, added $5.5 million in operating income [5] - New base rates effective January 2025 contributed an additional $8.8 million in operating income for Q2 2025 [5] Cost and Expenses - Operating and maintenance expenses rose by $11.1 million in Q2 2025 due to higher performance-based pay, inflation, and wildfire mitigation spending [6] - Depreciation and amortization expenses increased by $6.4 million as new infrastructure was brought online [6] - Non-operating expenses rose by $7.0 million, primarily due to increased interest from a larger debt load [6] Regulatory and Tax Mechanisms - IDACORP utilized $17.2 million in additional accumulated deferred investment tax credits (ADITC) in Q2 2025, up from $7.5 million in Q2 2024 [7] - Regulatory tools like power cost adjustments and fixed cost recovery mechanisms were employed to manage expense volatility [7] Capital Projects and Clean Energy Initiatives - The company broke ground on the Boardman-to-Hemingway 500 kV transmission line, aimed at integrating renewables and meeting increased demand [8] - A new battery storage facility began operations, and the company continues to develop solar and wind power agreements [8] - IDACORP aims for a 100% clean energy supply by 2045 and an 88% reduction in carbon dioxide emissions by 2030 [9] Future Guidance and Considerations - Management raised the lower end of its 2025 earnings guidance, projecting full-year GAAP earnings per diluted share of $5.70 to $5.85 [10] - Operating and maintenance expenses are expected to remain between $465 million and $475 million for the full year [10] - Investors should monitor upcoming rate case filings and progress on transmission and renewable projects [11]