OGE Energy (OGE) - 2025 Q2 - Quarterly Results

Earnings Summary and Business Outlook OGE Energy Corp. reported Q2 2025 diluted EPS of $0.53, a slight increase, and reaffirmed its full-year guidance in the top half of the range Second Quarter 2025 Performance Consolidated net income increased to $107.5 million in Q2 2025, despite a slight decrease in OG&E's net income due to weather and expenses Consolidated Earnings Summary (Q2 2025 vs Q2 2024) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Income | $107.5 million | $102.3 million | | Diluted EPS | $0.53 | $0.51 | Segment Net Income / Loss (Q2 2025 vs Q2 2024) | Segment | Q2 2025 Net Income/(Loss) | Q2 2024 Net Income/(Loss) | | :--- | :--- | :--- | | OG&E (Electric Company) | $107.7 million | $109.3 million | | Other Operations | ($0.2 million) | ($7.0 million) | - The decrease in OG&E's net income was primarily driven by milder weather, higher interest, and depreciation expenses, partially offset by increased recovery of capital investments, higher weather-normalized load, and lower operation and maintenance costs[4] - The company is actively constructing approximately 550 MW of new natural gas generation, expected to be operational in 2026, and has proposed two additional turbines for operation by the end of 2029 to meet growing energy demand[3] 2025 Financial Outlook The company reaffirmed its 2025 consolidated earnings guidance of $2.21 to $2.33 per diluted share, now expecting results in the top half of the range - Maintained 2025 consolidated earnings guidance range of $2.21 to $2.33 per average diluted share[6] - Expects consolidated earnings to be in the top half of the guidance range, driven by strong year-to-date performance and economic growth in Oklahoma and Arkansas[6] - The guidance is contingent on several assumptions, including normal weather for the remainder of the year[6] Financial Statements This section presents unaudited condensed financial statements for Q2 2025, including consolidated income, OG&E's income, and detailed operating data Condensed Consolidated Statements of Income (OGE Energy Corp.) OGE Energy Corp. reported Q2 2025 consolidated operating revenues of $741.6 million and net income of $107.5 million ($0.53 diluted EPS) OGE Energy Corp. Consolidated Income Statement Highlights (Three Months Ended June 30) | Metric (In millions, except EPS) | 2025 | 2024 | | :--- | :--- | :--- | | Operating Revenues | $741.6 | $662.6 | | Operating Income | $186.6 | $175.9 | | Net Income | $107.5 | $102.3 | | Diluted EPS | $0.53 | $0.51 | Condensed Statements of Income (Oklahoma Gas & Electric Company) OG&E reported Q2 2025 operating revenues of $741.6 million, but net income slightly decreased to $107.7 million due to higher expenses OG&E Income Statement Highlights (Three Months Ended June 30) | Metric (In millions) | 2025 | 2024 | | :--- | :--- | :--- | | Operating Revenues | $741.6 | $662.6 | | Operating Income | $187.4 | $176.1 | | Net Income | $107.7 | $109.3 | Financial and Statistical Data (Oklahoma Gas & Electric Company) OG&E's Q2 2025 revenue growth was driven by Commercial and Public authorities, with MWh sales increasing to 8.1 million and customer base growing by nearly 7,000 Operating Revenues by Classification (Q2, in millions) | Classification | 2025 | 2024 | | :--- | :--- | :--- | | Residential | $261.0 | $247.2 | | Commercial | $225.9 | $183.9 | | Industrial | $60.2 | $56.8 | | Total Operating Revenues | $741.6 | $662.6 | - Total MWh sales increased slightly to 8.1 million in Q2 2025 from 8.0 million in Q2 2024, with a notable increase in the Commercial sector offsetting a decrease in Residential sales[16] Key Operational Metrics | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Number of Customers | 909,131 | 902,303 | | Cooling Degree Days (Actual) | 579 | 740 | Forward-Looking Statements This section contains forward-looking statements, subject to risks and uncertainties including economic conditions, regulatory actions, weather, and cybersecurity threats - The company identifies key risk factors that could impact future performance, including but not limited to: - General economic conditions and access to capital markets - Ability to obtain timely and sufficient rate relief - Prices and availability of fuel and purchased power - Unusual weather conditions and catastrophic events - Federal or state legislation and regulatory decisions - Environmental laws and regulations - Cybersecurity attacks and other catastrophic events[10]