Q1 2025 Results Talen Energy Corporation | May 8, 2025 Disclaimers The information contained herein, as well as any information that has been supplied orally in connection herewith, speaks only as of the date of this presentation. Talen Energy Corporation ("Talen," "TEC," the "Company," "we," "our," or "us") and our affiliates and representatives expressly disclaim any obligation to update any information contained herein, whether as a result of new information or circumstances, future events or otherwise. ...

Exhibit 99.1 Talen Energy Reports First Quarter 2025 Results, Affirms and Narrows 2025 Guidance Earnings Release Highlights HOUSTON, May 8, 2025 – Talen Energy Corporation ("Talen," the "Company," "we," or "our") (NASDAQ: TLN), an independent power producer dedicated to powering the future, today reported its first quarter 2025 financial and operating results. "We are pleased today to report Talen's solid start to the year. Our fleet ran well during periods of high demand demonstrating the value of our disp ...

Earnings Release Highlights First quarter GAAP Net Income (Loss) Attributable to Stockholders of $(135) million. First quarter Adjusted EBITDA of $200 million and Adjusted Free Cash Flow of $87 million, ahead of internal estimates. Affirming and narrowing 2025 guidance; 2026 outlook unchanged. Extended the Susquehanna Unit 2 refueling outage to perform incremental maintenance that is expected to improve capacity performance and efficiency. The Federal Energy Regulatory Commission (the “FERC”) approved the t ...

Agreement maintains reliable electricity supply in Baltimore through May 2029HOUSTON, May 01, 2025 (GLOBE NEWSWIRE) -- Talen Energy Corporation (“Talen”) (NASDAQ: TLN) announced today that the Federal Energy Regulatory Commission (the “FERC”) has approved the terms under which Talen will operate units at its Brandon Shores and H.A. Wagner power plants until May 31, 2029, beyond their scheduled May 31, 2025 retirement dates. Talen, PJM Interconnection, L.L.C. (“PJM”), and a broad coalition of the Maryland Pu ...

Company Overview - Talen Energy Corp is an independent power producer and energy infrastructure company valued at nearly $10 billion [2] - The company is focused on aggressively growing peak power demand alongside its impressive dispatchable fleet of assets [2] Investment Strategy - The Value Portfolio specializes in constructing retirement portfolios using a fact-based research strategy to identify investments [2] - This strategy includes thorough analysis of 10Ks, analyst commentary, market reports, and investor presentations [2] - The portfolio manager invests real money in the stocks recommended [2]

Core Insights - Investors in the Alternative Energy sector may consider Excelerate Energy (EE) and Talen Energy Corporation (TLN) as potential undervalued stocks [1] Valuation Metrics - Excelerate Energy has a Zacks Rank of 1 (Strong Buy), while Talen Energy Corporation has a Zacks Rank of 3 (Hold), indicating a stronger earnings outlook for EE [3] - EE has a forward P/E ratio of 18.22 compared to TLN's 25.41, suggesting that EE is more attractively priced [5] - The PEG ratio for EE is 0.94, while TLN's PEG ratio is significantly higher at 3.41, indicating better expected earnings growth relative to its price for EE [5] - EE's P/B ratio is 1.49, while TLN's P/B ratio is 7.46, further highlighting EE's superior valuation metrics [6] - Overall, EE has a Value grade of B, while TLN has a Value grade of C, reflecting EE's stronger valuation metrics and estimate revision activity [6][7]

HOUSTON, April 17, 2025 (GLOBE NEWSWIRE) -- Talen Energy Corporation (“Talen”) (NASDAQ: TLN) plans to release its first quarter 2025 financial results on Thursday, May 8, 2025, before market open. President and Chief Executive Officer Mac McFarland and Chief Financial Officer Terry Nutt will discuss the financial and operating results during an earnings call at 9:00 a.m. EDT (8:00 a.m. CDT) on May 8, 2025. To listen to the earnings call, please register in advance for the webcast here. For participants join ...

Group 1 - The market tends to exaggerate on the bullish side, leading to inflated stock prices based on overly optimistic growth expectations while neglecting fundamentals and valuations [1] - Conversely, the market can enter panic mode, resulting in indiscriminate selling driven by exaggerated fears [1] - The experience of analyzing diverse industries such as airlines, oil, retail, mining, fintech, and e-commerce, along with macroeconomic and political factors, contributes to a comprehensive understanding of market dynamics [1] Group 2 - The analyst has a beneficial long position in the shares of TLN, VST, and CEG through various financial instruments [2] - The article reflects the analyst's personal opinions and is not influenced by compensation from any company mentioned [2] - There is no business relationship between the analyst and any company whose stock is discussed in the article [2]

Core Viewpoint - Talen Energy Corporation (TLN) has experienced significant stock growth of 169.8% over the past year, outperforming both the Zacks Alternative-Energy industry and the broader Zacks Oils-Energy sector, as well as the S&P 500 [1][2] Group 1: Stock Performance and Market Context - TLN's stock performance is attributed to the global shift towards clean energy and the company's operational success in zero-carbon nuclear and lower-carbon gas-fired facilities [2] - Other industry players, such as Oklo Inc., Bloom Energy, and GEV Vernova, have also shown strong stock performance, with increases of 204.1%, 156.3%, and 133.1% respectively over the past year [2] Group 2: Key Achievements and Financial Health - A significant catalyst for TLN's stock growth was the sale of its 960-megawatt nuclear-power data center campus, Cumulus Data Assets, to Amazon Web Services for $650 million, resulting in a $329 million gain in sales for the first nine months of 2024 [3] - The company has increased its share repurchase program to $1.25 billion, indicating improved financial conditions [4] - TLN reported an adjusted free cash flow of $283 million as of December 31, 2024, exceeding its guidance midpoint and showing improvement from $169 million in the previous period [5] Group 3: Future Growth Prospects - The global demand for electricity is rising, particularly in emerging markets, which supports TLN's long-term growth prospects in nuclear power generation [6] - TLN generates over 50% of its annual energy from carbon-free nuclear sources, with its Susquehanna facility being one of the largest in the U.S., reinforcing its market position [7] - The Zacks Consensus Estimate for TLN's long-term earnings growth rate is projected at 12.1% [7] Group 4: Sales and Earnings Estimates - The Zacks Consensus Estimate indicates a year-over-year sales improvement of 3.4% for the first quarter of 2025 and 19.4% for the full year [10] - Despite the sales growth, earnings estimates show a deterioration, although recent adjustments indicate a slight increase in analysts' confidence regarding earnings capability [10] Group 5: Regulatory Challenges - TLN faces regulatory challenges, as evidenced by the Federal Energy Regulatory Commission's rejection of an interconnection agreement that would have enhanced power supply to an Amazon data center [12][13] - The rejection limits TLN's potential revenue generation from its partnership with Amazon [13] Group 6: Financial Metrics - TLN's return on equity (ROE) is higher than that of its industry, indicating strong financial performance [16]

Financial Data and Key Metrics Changes - Talen Energy generated $770 million of adjusted EBITDA and $283 million of adjusted free cash flow for the year, with Q4 adjusted EBITDA at $164 million, up $41 million from Q4 2023 [11][31] - Adjusted free cash flow for Q4 was $21 million, an increase of $43 million primarily due to lower financing costs [31] - The company reaffirmed its 2025 adjusted EBITDA guidance range of $925 million to $1.175 billion and adjusted free cash flow range of $395 million to $595 million [32][34] Business Line Data and Key Metrics Changes - The fleet generated over 36 terawatt hours of power with a forced outage factor of only 2.2%, compared to 5.5% last year, with half of this generation from the carbon-free Susquehanna nuclear facility [28] - The gas-fired fleet experienced a significant increase in dispatch opportunities, driving higher volumes and energy margin [28] Market Data and Key Metrics Changes - PJM saw a notable increase in power demand in 2024, with weather-normalized winter peak load increasing by 1.7% compared to 2023 [28] - The company noted strong market fundamentals for Independent Power Producers (IPPs) and highlighted significant load growth expected over the next decade, particularly in the PJM and PPL zones [21][22] Company Strategy and Development Direction - Talen Energy has a clear vision for the future, focusing on maximizing shareholder returns while seeking growth opportunities [8][16] - The company is executing a Power Purchase Agreement (PPA) with visibility to 300 megawatts and is working towards ramping up to a full 960 megawatts for the AWS campus [9][13] - Talen is committed to maintaining ample liquidity and net leverage below its target of 3.5 times, with a current net leverage ratio of 3.3 times [34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in Talen's position to benefit from increasing demand and regulatory support for capacity markets [25][96] - The company is optimistic about the ongoing development with AWS and the potential for future growth in data center power arrangements [96][100] Other Important Information - Talen has repurchased approximately 13 million shares, or 22% of its shares outstanding, returning nearly $2 billion to shareholders [36] - The company has significant buyback capacity through year-end 2026, supported by $470 million of cash on the balance sheet [37] Q&A Session Summary Question: How quickly can FERC turn around the colocation issue? - Management is encouraged by FERC's timeline and believes a simple solution can be reached quickly, emphasizing their existing contract with AWS allows them to proceed without regulatory uncertainty [44][46] Question: What is the best use of cash moving forward? - The company prioritizes returning cash to shareholders through share buybacks, which have proven to increase free cash flow per share significantly [55][56] Question: What are the expectations for resource adequacy legislation in Pennsylvania? - Management is engaged in discussions with the governor's office and believes there is a focus on ensuring resource adequacy while balancing economic development and consumer protections [65][66] Question: How does the recent RMR agreement factor into guidance? - The RMR arrangement is included in the guidance ranges provided for 2025 and 2026 [138] Question: Are there any concerns regarding the RMR process at FERC? - Management is optimistic about the support from stakeholders and does not anticipate significant delays in the approval process [145][148]