MADISON, Wis.--(BUSINESS WIRE)--MGE Energy Reports Fourth-Quarter and Full-Year 2025 Earnings. ...

Madison, Wis., Feb. 24, 2026—MGE Energy, Inc. (Nasdaq: MGEE), today reported financial results for the fourth quarter and full year of 2025. EXHIBIT 99.1 News MGE Energy Reports Fourth-Quarter and Full-Year 2025 Earnings This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements are based on MGE Energy's current expectations, estimates and assumptions regarding future events, which are inheren ...

United States 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, 2025 ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from _______________ to _______________ Commission File No. Exact Name of Registrant as Specified in its Charter, State or Other Jurisdiction of Incorporation or Organization, Address of Principal Executive Offices, and Telephone No., incl ...

Core Insights - MGE is planning to expand its renewable energy portfolio by adding more solar, battery storage, and wind energy projects [1] Group 1: Company Initiatives - The company aims to enhance its sustainability efforts through increased investments in solar energy [1] - MGE will also focus on integrating battery storage solutions to improve energy reliability and efficiency [1] - Wind energy projects are part of the company's strategy to diversify its renewable energy sources [1]

Core Insights - MGE reported quarterly earnings of $1.22 per share, exceeding the Zacks Consensus Estimate of $1.19 per share, and up from $1.13 per share a year ago, representing an earnings surprise of +2.52% [1] - The company posted revenues of $175.68 million for the quarter ended September 2025, missing the Zacks Consensus Estimate by 2.07%, but up from $168.48 million year-over-year [2] - MGE shares have underperformed the market, losing about 11.4% since the beginning of the year compared to the S&P 500's gain of 15.1% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.66 on revenues of $178.46 million, and for the current fiscal year, it is $3.68 on revenues of $736.28 million [7] - The estimate revisions trend for MGE was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Utility - Electric Power industry is currently in the top 26% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Another company in the same industry, Alliant Energy, is expected to report quarterly earnings of $1.17 per share, reflecting a year-over-year change of +1.7%, with revenues anticipated to be $1.1 billion, up 2% from the previous year [9][10]

Financial Performance - MGE Energy reported GAAP earnings of $44.5 million, or $1.22 per share, for Q3 2025, up from $40.9 million, or $1.13 per share, in Q3 2024, representing a 8.8% increase in earnings per share [2]. - Operating revenues for Q3 2025 were $175.7 million, compared to $168.5 million in Q3 2024, reflecting a growth of 4.3% [7]. - For the nine months ended September 30, 2025, net income was $112.6 million, up from $98.5 million in the same period of 2024, marking a 14.3% increase [7]. - MGE Energy's operating income for Q3 2025 was $51.1 million, compared to $48.1 million in Q3 2024, indicating a 4.0% increase [7]. - The weighted average shares outstanding for basic earnings per share increased from 36,181 in Q3 2024 to 36,542 in Q3 2025 [7]. Strategic Investments - Electric segment earnings increased by $1.3 million due to strategic capital investments and successful renewable energy projects, including the operational Darien Solar Project and Paris Battery Energy Storage System [3]. - Non-utility investment gains contributed approximately $2.2 million to higher earnings, supporting early-stage companies in smart technologies and sustainability [4]. - MGE Energy emphasizes its commitment to sustainability and advancing smart technologies through its venture capital investments [4]. Customer Base - The company has a customer base of 167,000 for electricity and 178,000 for natural gas across several counties in Wisconsin [8]. Forward-Looking Guidance - The company has not provided specific forward-looking guidance but acknowledges inherent uncertainties in future expectations [9].

Core Insights - MGE Energy reported its third-quarter earnings for 2025, highlighting significant financial performance and operational metrics [1] Financial Performance - The company achieved a net income of $XX million for the third quarter, representing a YY% increase compared to the same period last year [1] - Earnings per share (EPS) rose to $X.XX, up from $X.XX in the previous year, indicating strong profitability growth [1] - Total revenue for the quarter reached $XXX million, reflecting a ZZ% increase year-over-year [1] Operational Highlights - MGE Energy's customer base expanded by XX,000, contributing to the revenue growth [1] - The company reported an increase in energy sales, with a notable rise in demand during peak periods [1] - Investments in renewable energy projects continued, with a focus on sustainability and reducing carbon emissions [1]

Financial Performance - MGE Energy's earnings for the three months ended September 30, 2025, were $44.5 million, or $1.22 per share, representing an increase of 8.8% in earnings compared to $40.9 million, or $1.13 per share, in the same period of the prior year [123]. - For the nine months ended September 30, 2025, MGE Energy's earnings were $112.6 million, or $3.08 per share, up from $98.5 million, or $2.72 per share, in the same period of the prior year, reflecting a year-over-year increase of 14.2% [124]. - Electric revenue increased by $25.7 million (6.7%) to $410.0 million for the nine months ended September 30, 2025, compared to $384.3 million in 2024 [166]. - Other income from all operations increased by $3.2 million in Q3 2025, reflecting investment gains from venture capital funds [163]. - Nonregulated energy operations net income was $18.5 million for the nine months ended September 30, 2025, compared to $18.0 million in 2024 [179]. Sales and Revenue - Gas retail sales increased approximately 14% for the nine months ended September 30, 2025, compared to the prior year period, driven by higher demand due to a 19% increase in heating degree days [129]. - Electric revenue increased by $7.5 million to $155.3 million for the three months ended September 30, 2025, compared to $147.8 million in the same period of 2024, representing a 5.1% increase [148]. - Total retail electric sales volume increased by 1.8% to 2,454,327 kWh [166]. - MGE's residential electric sales increased by 2.7% to $54.3 million, while commercial sales decreased by 2.1% to $72.0 million [147]. - Gas revenue increased by $22.8 million (18.9%) to $143.6 million, driven by a 19.9% increase in total retail gas revenues [172]. Rate Changes - The PSCW approved a 4.17% increase to electric rates and a 1.32% increase to gas rates for 2025, with a subsequent adjustment lowering the electric rate increase to 2.63% due to lower expected fuel costs [131]. - MGE has proposed a 0.04% increase for electric rates and a 2.77% increase for gas rates for 2026, with a final order expected before the end of 2025 [139]. - The PSCW authorized a 2.63% rate increase for retail electric customers effective December 2023 [171]. - In September 2025, MGE agreed to a 0.04% increase for electric rates and a 2.77% increase for gas rates in 2026, with a proposed 3.76% increase for electric rates and a 2.04% increase for gas rates in 2027 [209]. Expenses and Costs - Operations and maintenance expenses increased by $1.2 million to $X million in Q3 2025, driven by higher electric production and transmission costs [158]. - Electric depreciation expense rose by $1.5 million in Q3 2025, attributed to new solar projects coming online [159]. - Operations and maintenance expenses rose by $4.8 million, primarily due to increased transmission costs ($2.5 million) and electric production expenses ($1.6 million) [176]. - Electric depreciation expense increased by $3.5 million, attributed to new solar facilities coming online [177]. Investments and Future Projects - MGE continues to pursue its goal of net-zero carbon electricity by 2050, focusing on solar, wind, and battery storage projects [141]. - MGE Energy's capital expenditures for 2025 are forecasted to be $330 million, with $282 million allocated for electric utility and $38 million for gas utility [192]. - MGE Energy's forecasted total capital expenditures for local solar and battery storage projects from 2025 to 2028 is approximately $90 million [200]. - The Elm Road Gas Fuel Flexibility Project aims to convert existing coal-fired boilers to natural gas, with an estimated cost of $11 million and expected service in 2028 [199]. Regulatory and Compliance Issues - MGE is monitoring potential disruptions in solar procurement due to new tariffs and regulations, which may impact costs and timelines for current and future projects [144]. - MGE is closely monitoring the EPA's regulatory actions regarding greenhouse gas regulations and other environmental matters [206]. - MGE's compliance with the Uyghur Forced Labor Prevention Act is ongoing, with potential impacts on solar panel supply and project costs [213]. - MGE is proactively evaluating the effects of evolving trade policies on operating costs and capital investments, particularly for renewable energy initiatives [217]. Cash Flow and Liquidity - MGE Energy's cash provided by operating activities increased by $18.9 million in 2025 compared to 2024, driven by higher overall collections from customers, which rose by $63.4 million [190]. - MGE Energy's cash flows from investing activities decreased by $94.2 million in 2025 compared to 2024, primarily due to increased capital expenditures related to electric and gas utility projects [191]. - MGE Energy's cash flows from financing activities increased by $61.5 million in 2025 compared to 2024, primarily due to changes in short-term debt borrowings [202]. - MGE Energy's liquidity is expected to remain adequate for future operations, supported by cash flows, liquid assets, and access to capital markets [188]. Employee Benefits - The value of employee benefit plan assets increased by approximately 13% during the nine months ended September 30, 2025 [221].

Core Viewpoint - MGE Energy has declared a regular dividend, indicating a commitment to returning value to shareholders and reflecting the company's financial stability [1] Company Summary - MGE Energy continues to demonstrate its financial health by declaring a regular dividend, which is a positive signal for investors [1]

Core Insights - MGE Energy, Inc. (NASDAQ:MGEE) is recognized as a reliable dividend stock, emphasizing its strong financial health and disciplined capital management [2][5] - The company is focused on clean energy, aiming to expand its renewable energy capacity and modernize its electric grid [3][4] Financial Performance - MGE Energy has a long history of rewarding shareholders, having increased its dividend for 50 consecutive years and paid dividends for 110 years [5] - The current quarterly dividend is $0.475 per share, resulting in a dividend yield of 2.26% as of October 13 [5] Business Strategy - The company aims to phase out coal by 2032 and achieve net-zero carbon electricity by 2050, reflecting its commitment to environmental sustainability [4] - MGE Energy's growth strategy includes expanding solar and battery storage facilities to meet carbon-reduction targets [4]