WEC Energy Group Q4 Earnings Call Highlights

Core Insights - WEC Energy Group reported adjusted earnings of $5.27 per share for 2025, reflecting a year-over-year increase of $0.39, driven by utility operations and excluding a one-time charge related to a proposed settlement in Illinois [2][3][5] Financial Performance - The company emphasized solid results in customer satisfaction, financial performance, and execution of its capital plan [2] - Adjusted earnings for 2026 are projected to be between $5.51 and $5.61 per share, with a first-quarter estimate of $2.27 to $2.37 per share [4][20] - The annual dividend was increased by 6.7% to $3.81, marking the 23rd consecutive year of growth [4][22] Capital Plan and Growth Projections - WEC announced a five-year capital plan of $37.5 billion to support anticipated large-load growth of 3.9 GW, primarily driven by major data center projects [4][12][13] - The company aims for a long-term earnings-per-share compound annual growth rate (CAGR) of 7% to 8% from 2026 to 2030 [4][13] Regulatory Matters - In Wisconsin, the proposed Very Large Customer (VLC) tariff is under review, with a commission order expected soon [15] - In Illinois, a proposed settlement could resolve approximately $2.3 billion in open dockets, including a $130 million rate-base reduction and $125 million in customer credits over three years [17] Demand Growth and Infrastructure Investments - Retail electric deliveries in Wisconsin are projected to grow by 1.6% in 2026, with significant increases expected in the large commercial and industrial segments [6] - Major data center projects, including Microsoft's and Vantage's developments, are expected to significantly contribute to demand growth, with Microsoft alone adding 500 MW to the forecast [8][10] Financing Plans - WEC anticipates $4 billion to $5 billion in debt funding for 2026, alongside $900 million to $1.1 billion in equity issuance [21] - The company plans to fund incremental capital with 50% equity content, including investments tied to Microsoft-related projects [21]