Financial Data and Key Metrics Changes - The company reported first quarter earnings of $0.83 per share, an increase from $0.62 per share in the same quarter of the previous year, reflecting a strong start to 2025 [17] - Earnings for the quarter accounted for more than 25% of the company's earnings guidance midpoint for 2025, reaffirming the guidance range of $3.15 to $3.25 per share [5][19] - The increase in earnings was driven by higher revenue requirements from capital investments, despite negative temperature impacts on electric and gas sales [17][18] Business Line Data and Key Metrics Changes - The company has secured energy supply agreements (ESAs) totaling 2.1 gigawatts of demand from three major data center developments, representing a greater than 30% increase in peak demand [8][9] - The capital expenditure (CapEx) plan has been updated to reflect a nearly 26% increase from 18 months ago, translating to a forecasted investment compound annual growth rate (CAGR) of nearly 11% from 2024 to 2028 [9][10] Market Data and Key Metrics Changes - The company is experiencing strong interest in economic development within its service areas in Iowa and Wisconsin, with ongoing efforts to support growth through new energy supply agreements [9][12] - The company has successfully sold existing capacity into the recent MISO capacity auction, which is expected to benefit customer bills [20][76] Company Strategy and Development Direction - The company is focused on an "all of the above" approach to new generation resources, including a mix of wind, batteries, and natural gas, to maintain a balanced energy resource mix [15] - The updated capital plan includes significant investments in natural gas generation to meet the growing demand from data centers, with a focus on enhancing reliability and affordability [10][72] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving 2025 earnings objectives while advancing key strategic priorities, emphasizing the importance of supporting economic development [5][6] - The company is proactively managing risks related to potential changes in tax credits and tariffs, with a focus on maintaining a strong balance sheet and investment-grade credit ratings [24][52] Other Important Information - The company has completed nearly all planned safe harbor activities to preserve tax credits for future energy storage and renewable projects expected to be placed into service through 2028 [20] - The company is committed to ensuring that all individual customer rates achieve a win-win for existing customers, new customers, and shareholders [11] Q&A Session Summary Question: Timeline for converting mature opportunities to contracts and breakdown of serving those opportunities - Management indicated that they have high confidence in converting mature opportunities into contracts and are using existing resources to accelerate load growth [34][35] Question: Impact of safe harboring on the ability to go back for a rate case in Iowa - Management clarified that they are focused on activities to avoid the need to go back for a rate case and are advocating for beneficial legislative provisions [38][39] Question: Long-term EPS CAGR outlook - Management reaffirmed a long-term EPS CAGR of 5% to 7%, with current plans indicating potential for growth towards the top end of that range starting in 2027 [45][46] Question: Details on the CapEx increase - The increase in CapEx was primarily associated with natural gas generation to meet the peak demand from data center opportunities [72] Question: Impact of MISO capacity auction on consumer bills - Management stated that they are well positioned to utilize proceeds from the auction to help customer bills, contrasting with other entities that may face challenges [76] Question: Regulatory initiatives and filings in Iowa and Wisconsin - Management discussed ongoing regulatory filings for new generation resources and the potential for maintaining flat base rates through growth and cost reduction [60][61]

Core Insights - Alliant Energy reported quarterly earnings of $0.83 per share, exceeding the Zacks Consensus Estimate of $0.57 per share, and showing an increase from $0.62 per share a year ago, resulting in an earnings surprise of 45.61% [1] - The company generated revenues of $1.13 billion for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 0.17% and up from $1.03 billion year-over-year [2] - Alliant Energy's stock has increased approximately 4.5% since the beginning of the year, contrasting with a -4.3% decline in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.58 on revenues of $1.02 billion, and for the current fiscal year, it is $3.22 on revenues of $4.29 billion [7] - The estimate revisions trend for Alliant Energy is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Utility - Electric Power industry is currently ranked in the top 22% 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]

Q1 2025 Earnings Call Alliant Energy Corporation Cautionary Statements Forward-looking Statements The information regarding forecasted earnings per share, forecasted effective income tax rates, capital expenditure plans, financing plans and sources of funding, and regulatory plans contain forward-looking statements. Actual results could differ materially because the realization of those results is subject to many uncertainties, including: the state of the economy in the service territories of IPL and WPL; s ...

Earnings Performance - First quarter 2025 GAAP earnings per share (EPS) was $0.83, compared to $0.62 in the first quarter of 2024, representing a 33.87% increase[4] - Alliant Energy reaffirmed its 2025 earnings guidance range of $3.15 - $3.25 per share[4] - Non-utility and Parent operations reported a GAAP EPS of $(0.08) for Q1 2025, down $0.04 from Q1 2024, primarily due to higher financing expenses[2] - Alliant Energy's Utilities and Corporate Services operations generated $0.87 per share of GAAP EPS in Q1 2025, a $0.25 increase from Q1 2024[1] - Alliant Energy's consolidated GAAP EPS for Q1 2025 was $0.83, up from $0.62 in Q1 2024, representing a 33.9% increase[29] Revenue and Income - Total revenues for Q1 2025 reached $1.128 billion, compared to $1.031 billion in Q1 2024, marking a 9.4% year-over-year growth[31] - Operating income for Q1 2025 was $257 million, an increase from $222 million in Q1 2024, reflecting a 15.8% rise[31] - Net income attributable to Alliant Energy common shareholders for Q1 2025 was $213 million, compared to $158 million in Q1 2024, indicating a 34.8% increase[31] Customer Growth - The company serves approximately 1,000,000 electric and 430,000 natural gas customers across the Midwest[18] - Utility retail electric customers increased to 1,004,908 as of March 31, 2025, up from 997,488 a year earlier, showing a growth of 0.4%[36] - Utility retail gas customers also grew to 431,903 as of March 31, 2025, compared to 429,216 in the previous year, a 0.6% increase[36] Capital Expenditures and Investments - Projected capital expenditures for 2025 through 2028 total $11.5 billion, with $2.51 billion planned for 2025[4][12] - Revenue requirements from capital investments contributed $0.21 per share to the EPS increase, driven by a $185 million annual base rate increase authorized for IPL[3][6] Cash Flow and Assets - Cash flows from operating activities for Q1 2025 were $249 million, down from $307 million in Q1 2024, a decrease of 19%[35] - Alliant Energy's total assets as of March 31, 2025, were $22.851 billion, slightly up from $22.714 billion at the end of 2024[33] Dividends and Book Value - The company reported a quarterly common dividend rate per share of $0.5075, an increase from $0.48 in the previous year[36] - Alliant Energy's book value per share increased to $27.61 as of March 31, 2025, compared to $26.59 a year earlier, reflecting a 3.8% growth[36] Other Financial Impacts - Higher depreciation expense negatively impacted EPS by $0.06, while estimated temperature impacts on retail electric and gas sales contributed positively by $0.05[3] - Estimated temperature impacts resulted in a decrease of $0.03 per share in retail electric and gas sales for Q1 2025[7] - Timing of income tax expense resulted in a $0.02 per share increase in earnings for Q1 2025 compared to Q1 2024[8]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Alliant Energy despite higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Group 1: Earnings Expectations - Alliant Energy is expected to report quarterly earnings of $0.57 per share, reflecting an 8.1% decrease year-over-year [3]. - Revenue projections stand at $1.13 billion, indicating a 9.2% increase from the previous year [3]. Group 2: Estimate Revisions - The consensus EPS estimate has been revised down by 1.69% over the last 30 days, indicating a reassessment by analysts [4]. - A positive Earnings ESP of +9.88% suggests analysts have recently become more optimistic about Alliant Energy's earnings prospects [10][11]. Group 3: Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. - Alliant Energy's current Zacks Rank is 3, which, along with the positive Earnings ESP, suggests a likelihood of beating the consensus EPS estimate [11]. Group 4: Historical Performance - In the last reported quarter, Alliant Energy exceeded the expected earnings of $0.68 per share by delivering $0.70, resulting in a surprise of +2.94% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates twice [13]. Group 5: Industry Context - NiSource, another player in the electric utility sector, is expected to report earnings of $0.90 per share, reflecting a 5.9% year-over-year increase, with revenues projected at $1.86 billion, up 8.9% [17]. - NiSource's consensus EPS estimate has been revised down by 4.2% over the last 30 days, and it currently has an Earnings ESP of 0.00%, making predictions about beating the consensus EPS estimate challenging [18].

Core Viewpoint - Alliant Energy (LNT) is set to release its first-quarter 2025 results on May 8, following a previous negative earnings surprise of 2.9% in the last quarter [1] Group 1: Factors Impacting Q1 Performance - The company placed two solar projects with a combined capacity of 200 megawatts (MW) into service during Q4 2024, along with the 50-MW Creston Solar Project, which is expected to power approximately 40,000 homes annually, likely boosting financial performance in Q1 [2] - An order from the IUC authorized annual base rate increases of $185 million for retail electric customers and $10 million for retail gas customers, effective from October 2024 through September 2025, which is expected to enhance revenue in the upcoming quarter [3] - Severe storms in March 2025 caused significant power outages and disruptions, potentially leading to higher operating expenses for restoration, which may offset some positive impacts on financial performance [4] Group 2: Q1 Expectations - The Zacks Consensus Estimate for earnings is 57 cents per share, reflecting a year-over-year decline of 8.1% [5] - The Zacks Consensus Estimate for revenues is $1.13 billion, indicating a year-over-year increase of 9.2% [5] - Total electricity delivered is estimated at 8,442.6 megawatt-hours (MWh), representing a 1.1% year-over-year increase [5] Group 3: Earnings Prediction - The company's Earnings ESP is +9.88%, suggesting a favorable outlook for an earnings beat this quarter [6] - Alliant Energy currently holds a Zacks Rank of 3, indicating a neutral outlook [7]

Core Insights - Alliant Energy (LNT) is positioned to potentially continue its earnings-beat streak in upcoming reports, particularly within the Zacks Utility - Electric Power industry [1] - The company has a history of beating earnings estimates, with an average surprise of 3.27% over the last two quarters [1] Earnings Performance - In the last reported quarter, Alliant Energy achieved earnings of $0.70 per share, surpassing the Zacks Consensus Estimate of $0.68 per share, resulting in a surprise of 2.94% [2] - In the previous quarter, the company reported earnings of $1.15 per share against an expected $1.11 per share, delivering a surprise of 3.60% [2] Earnings Estimates and Predictions - Estimates for Alliant Energy have been trending higher, influenced by its history of earnings surprises [5] - The stock currently has a positive Zacks Earnings ESP of +3.57%, indicating increased analyst optimism regarding its near-term earnings potential [8] - The combination of a positive Earnings ESP and a Zacks Rank 3 (Hold) suggests a strong possibility of another earnings beat [8] Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [6] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7]

Group 1 - The article discusses the impact of President Trump's potential tariff policies on market confidence, particularly regarding FirstEnergy Corporation (FE) [1] - The Low-Budget Dividend Investor is characterized as a Generation X individual seeking conservative, income-generating investment strategies [1] Group 2 - No relevant content available for this section [2][3]

Core Viewpoint - Alliant Energy Corporation (LNT) is focusing on systematic investments in natural gas projects and regulated assets, which are expected to enhance its bottom line while expanding its clean energy generation capabilities to serve a growing customer base [1][2]. Group 1: Investment Plans - Alliant Energy plans to invest approximately $10.9 billion from 2025 to 2028 to strengthen its electric and gas distribution network and expand its generation portfolio with natural gas and renewable assets [2]. - The company anticipates a 10% compound annual growth rate (CAGR) in its rate base during the same period, with over 40% of its capital expenditure dedicated to wind, solar, and energy storage investments [2]. Group 2: Earnings Prospects - The earnings outlook for Alliant Energy appears favorable due to increasing electric and natural gas customer volumes, supported by its geographic advantages and positive regulatory developments for wind projects [3]. - A diverse customer mix contributes to sales stability, reducing reliance on any single revenue source [3]. Group 3: Demand Drivers - Economic development within its service areas and a growing customer base are driving demand for utility services, which is expected to enhance the company's performance [4]. - Alliant Energy is targeting long-term annual earnings growth in the range of 5-7% without experiencing supply chain disruptions [4]. Group 4: Operational Challenges - Alliant Energy's utility operations rely on an interstate electric transmission system that it does not own, leading to potential risks if transmission costs increase and cannot be passed on to customers [5]. - A decline in the performance of third-party electric transmission systems could limit Alliant Energy's ability to transmit electricity effectively, negatively impacting operations [6]. Group 5: Industry Trends - The U.S. electric power industry is increasingly shifting towards cleaner energy sources, with many companies, including Alliant Energy, aiming to replace fossil fuels with renewable energy to meet zero-emission goals [7]. - Competitors like Xcel Energy, PPL Corp., and Dominion Energy are also making significant investments in renewable energy and infrastructure to capitalize on the expanding market [8][9][11].

Customer Base and Service - Alliant Energy serves approximately 1,000,000 electric and 430,000 natural gas customers in the Midwest through its subsidiaries IPL and WPL[27]. - As of December 31, 2024, IPL provided electric service to approximately 500,000 customers and natural gas service to about 230,000 customers in Iowa[28]. - WPL supplied electric service to around 500,000 customers and natural gas service to approximately 200,000 customers in Wisconsin as of December 31, 2024[29]. - The total number of retail customers increased to 1,002,967 at the end of 2024, up from 995,982 in 2023, reflecting a growth of approximately 0.1%[102]. - Retail customer count for IPL increased to 503,279 in 2024, up from 500,938 in 2023, representing a growth of 0.5%[104]. - Retail customer count for WPL increased to 499,688 in 2024, up from 495,044 in 2023, representing a growth of 0.5%[104]. Financial Performance - Alliant Energy's total revenues for 2024 were $3,372 million, a slight increase from $3,345 million in 2023[102]. - Total revenues for IPL in 2024 were $1,747 million, a decrease of 0.8% from $1,761 million in 2023[104]. - Total revenues for WPL in 2024 were $1,625 million, an increase of 2.6% from $1,584 million in 2023[104]. - The residential customer segment generated $1,236 million in revenue for 2024, compared to $1,220 million in 2023[102]. - Alliant Energy's consolidated net income for 2024 was $690 million, with diluted EPS of $2.69, compared to $703 million and $2.78 in 2023[186]. - The Utilities and Corporate Services segment reported a net income of $722 million in 2024, a slight decrease from $724 million in 2023, primarily due to asset valuation charges and higher expenses[186]. Regulatory Environment - The company is subject to various regulations, including the Public Utility Holding Company Act of 2005 and the Energy Policy Act of 2005, impacting its operations and financial reporting[48][49]. - WPL is subject to regulation by the PSCW for various operational matters, including retail utility rates and construction approvals[63]. - IPL's ownership and operation of electric generating units are subject to retail utility rate regulation by the IUC[58]. - The IUC authorized a $185 million annual base rate increase for IPL's retail electric customers effective October 1, 2024, which will be partially offset by credits for the first 12 months[194]. - WPL's retail electric and gas base rates will increase by $49 million and $13 million respectively, effective January 1, 2024, with an additional $60 million increase for electric customers effective January 1, 2025[224]. Renewable Energy and Sustainability - Alliant Energy's non-utility holdings include a 50% cash equity interest in a 225 MW wind farm in Oklahoma and a 347 MW natural gas-fired facility leased to WPL through 2044[32]. - IPL and WPL currently exceed their respective renewable energy standards requirements, primarily relying on wind and solar resources[80]. - Alliant Energy plans to construct and/or acquire additional renewable and natural gas resources to meet MISO's seasonal resource adequacy requirements[90]. - The company plans to develop or acquire approximately 1,200 MW of new wind and solar generation, 1,000 MW of energy storage, and refurbish 600 MW of existing wind farms over the next five years[183]. - Alliant Energy aims to achieve net-zero GHG emissions from its utility operations by 2050, with interim goals to reduce GHG emissions by 50% by 2030[213]. Safety and Compliance - Alliant Energy's safety culture emphasizes proactive management, with a focus on behavioral safety programs and compliance with safety rules[36][37]. - The company is subject to numerous environmental laws and regulations, which could impose additional costs and impact operations if compliance is not achieved[121]. - The Pipeline and Hazardous Materials Safety Administration has updated safety requirements for gas transmission pipelines, with remediation efforts expected to be completed by July 2035[218]. Operational Challenges - The company faces risks related to supply chain disruptions that could increase costs and delay construction projects[136]. - The company has experienced significant inflation, impacting costs for labor, materials, and services, which may not be fully recoverable in rates[148]. - Demand for energy may decrease due to economic conditions and technological advances, potentially leading to increased rates for remaining customers[129]. - Cybersecurity threats pose risks to operations, potentially leading to service disruptions and financial losses if systems are compromised[132]. - The company relies on third parties for software protection against cyber attacks, increasing vulnerability if these third parties are targeted[133]. Capital Expenditures and Investments - The company has forecasted capital expenditures of approximately $11 billion over the next four years[150]. - The company has entered into conditional commitments with the U.S. Department of Energy's Loan Programs Office for loan guarantees of approximately $3 billion in aggregate[150]. - Alliant Energy expects to issue up to $25 million of common stock in 2025 and IPL anticipates issuing up to $600 million of long-term debt[201]. - Estimated capital expenditures for technology projects from 2025 to 2028 are included in the "Other" line in the construction and acquisition expenditures table[219]. Customer Benefits and Tax Impacts - Alliant Energy's retail electric and gas customers in Iowa began receiving benefits from reduced corporate income tax rates effective October 1, 2024[183]. - The effective income tax rate is expected to decrease in 2025 compared to 2024 due to additional tax credits from renewable generation and energy storage projects[204]. - The Inflation Reduction Act of 2022 allows for the sale of renewable tax credits, but the inability to sell these credits at reasonable terms could materially impact financial results[124]. Future Outlook - The company expects an increase in cash flows from operating activities due to the transfer of renewable tax credits and higher earnings from an increasing rate base[204]. - Alliant Energy anticipates a decrease in other operation and maintenance expenses in 2025 compared to 2024, largely due to restructuring activities[204]. - The company is exploring growth opportunities in its non-utility business, Travero, which aims to be accretive to earnings and cash flows[219].