Ameren(AEE)2025-05-05 19:40Financial Performance - Net income attributable to Ameren common shareholders for Q1 2025 was $289 million, or $1.07 per diluted share, compared to $261 million, or $0.98 per diluted share in Q1 2024, reflecting a $28 million increase [192]. - Operating income for Ameren reached $430 million in Q1 2025, compared to $371 million in Q1 2024, a 16% increase [211]. - Net income attributable to Ameren common shareholders was $289 million in Q1 2025, up from $261 million in Q1 2024, an 11% increase [211]. - Electric revenues for Ameren increased to $1,622 million in Q1 2025 from $1,364 million in Q1 2024, representing a 19% increase [211]. - Natural gas revenues for Ameren increased to $475 million in Q1 2025 from $452 million in Q1 2024, a 5% increase [211]. Revenue Changes - Total electric revenue change for Ameren was $258 million, driven by a $179 million increase in Ameren Missouri and a $66 million increase in Ameren Illinois Electric Distribution [213]. - Ameren Missouri's electric revenues rose by $179 million, or 25%, driven by higher recoverable expenses and capital investment [220]. - Ameren Illinois Electric Distribution's revenues increased by $66 million, or 13%, primarily due to base rate increases and higher recoverable non-purchased power expenses [221]. - Ameren's natural gas revenues increased by $23 million, or 5%, for the three months ended March 31, 2025, compared to the year-ago period [225]. Infrastructure Investments - Increased infrastructure investments at Ameren Missouri, Ameren Transmission, and Ameren Illinois Electric Distribution positively impacted net income for Q1 2025 [192]. - Ameren invested $1.1 billion in its rate-regulated businesses in the three months ended March 31, 2025 [193]. - The Smart Energy Plan includes a five-year capital investment of approximately $16.2 billion from 2025 to 2029 to upgrade electric infrastructure and accommodate renewable energy [197]. - The company plans to invest up to $27.4 billion in capital expenditures from 2025 to 2029, with $17.5 billion allocated to Ameren Missouri, $7.0 billion to Ameren Illinois, and $2.9 billion to ATXI [330]. Regulatory Changes - The Missouri Senate Bill 4, effective August 2025, modifies regulations affecting Ameren Missouri's electric and natural gas businesses [194]. - An increase of $355 million to Ameren Missouri's annual revenue requirement for electric retail service was approved, effective June 1, 2025 [195]. - Ameren Missouri's updated request for a natural gas delivery service revenue increase of $38 million is based on a 10.25% ROE and a rate base of $525 million [196]. - The annual limit on increases to the electric service revenue requirement for Ameren Missouri is currently set at 2.5%, which will change to 2.25% after August 2025 [319]. Expenses and Costs - Ameren Missouri's fuel and purchased power expenses surged by $164 million, or 99%, for the three months ended March 31, 2025, compared to the previous year [232]. - Ameren's total fuel and purchased power expenses increased by $174 million, or 53%, for the three months ended March 31, 2025 [231]. - Other operations and maintenance expenses increased by $15 million in Q1 2025 compared to the same period last year, with a notable decrease of $8 million in non-segment activities [244]. - Interest charges increased by $21 million in Q1 2025, primarily due to a $19 million increase at Ameren (parent) from higher short-term borrowings [269]. Cash Flow and Financing - Ameren's cash provided by operating activities decreased by $61 million in Q1 2025 compared to Q1 2024 [281]. - Cash used in investing activities increased by $181 million in Q1 2025, primarily due to a $174 million increase in capital expenditures related to natural gas and renewable generation investments [286]. - Ameren's cash provided by financing activities increased by $207 million in Q1 2025, utilizing net proceeds from long-term debt issuance of $1.1 billion [290]. - As of March 31, 2025, Ameren's net available liquidity was $1.347 billion, including cash and cash equivalents [297]. Future Outlook - Future outlook includes continued investments in infrastructure and potential rate base increases to support growth [210]. - Ameren Missouri expects a year-over-year increase in 2025 earnings of approximately $100 million compared to 2024 due to a $355 million increase in annual revenue requirement for electric retail service [321]. - The company expects to issue approximately $600 million of equity each year from 2025 to 2029 to fund capital expenditures [332]. - Ameren anticipates that cash used for capital expenditures and dividends will exceed cash provided by operating activities over the next several years [332].