The Southern Company (NYSE:SO) Q4 2025 Earnings call February 19, 2026 01:00 PM ET Company ParticipantsAlex Ferreira - Executive Director, Investment BankingChristopher C. Womack - Chairman, President and CEODavid P. Poroch - CFOGregg MacLeod - Director of Investor RelationsPaul Fremont - Managing DirectorSteve D'Ambrosi - Director in the Tax Credit Equity GroupConference Call ParticipantsAndrew Weisel - Utilities AnalystCarly Davenport - Vice President and Equity Research AnalystJeremy Tonet - Executive Di ...

Key Takeaways AWR reported Q4 2025 EPS of 74 cents, up 32.1% year over year, with revenues rising 14.8%. American States Water posted 2025 EPS of $3.37, up 10.9%, on 10.52% higher annual revenues.AWR's Contracted Services EPS rose 45.5% on added construction work and resolved price adjustments. American States Water Company (AWR) reported fourth-quarter 2025 operating earnings per share (EPS) of 74 cents, up 32.1% from the year-ago quarter’s level of 56 cents.AWR reported 2025 adjusted earnings of $3.37 per ...

American Water Works Company (NYSE:AWK) Q4 2025 Earnings call February 19, 2026 09:00 AM ET Company ParticipantsAaron Musgrave - VP of Investor RelationsCheryl Norton - COODavid Bowler - Vice President and TreasurerGreg Ory - Senior Vice President Wealth Management, Portfolio ManagerJohn Griffith - President and CEOConference Call ParticipantsJulien Dumoulin-Smith - Research AnalystRu Jai - Equity AnalystOperatorGood morning, and welcome to American Water's fourth quarter 2025 earnings conference call. As a ...

Financial Data and Key Metrics Changes - The company reported a GAAP EPS of $1.60 for the full year 2025 and $0.40 for Q4 2025, with a non-GAAP EPS of $1.76 for the full year and $0.45 for Q4, reflecting a 9% growth compared to 2024 [2][14][15] - The company also achieved a 9% increase in dividend per share last year, maintaining a consistent execution track record [7][14] Business Line Data and Key Metrics Changes - The Houston Electric business is forecasted to experience a peak load demand increase of 50% or an additional 10 GW by 2029, two years earlier than previously planned [5][8] - The company is adding $500 million to its 10-year capital investment plan, bringing the total to over $65 billion, to support this growth [6][12] Market Data and Key Metrics Changes - The company noted a 7% growth in industrial demand for the year, indicating a shift towards commercial and industrial growth within its overall base [92][94] - The company expects to keep customer charges nearly flat through 2028 due to the increased load from large projects [10][52] Company Strategy and Development Direction - The company is focused on executing a disciplined capital investment strategy, with an emphasis on infrastructure improvements to support economic development in the Greater Houston region [12][20] - The company is committed to maintaining a long-term growth target of 7%-9% annually through 2035, reaffirming its 2026 non-GAAP earnings guidance of $1.89-$1.91 [8][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to meet future demand due to existing system capacity and manageable upgrades, despite the rapid acceleration of large load growth [10][51] - The company anticipates regulatory clarity through 2029 on approximately 80% of its rate base, which supports its growth plans [26] Other Important Information - The company is actively pursuing additional transmission projects to accommodate the accelerated load growth and has filed for a third 765 kV transmission line [11][12] - Recent regulatory changes regarding the corporate alternative minimum tax are expected to improve the company's cash tax profile significantly, potentially reducing annual cash tax liabilities to near zero through 2035 [22][23] Q&A Session Summary Question: Update on transmission planning study and timing - Management clarified that the $500 million for the 765 kV line is separate from the incremental transmission work needed for large loads, with updates expected in the second half of the year [30][32] Question: Impact of repairs adjustment on equity needs - Management indicated that the recent regulatory changes could unlock an additional $1 billion of CapEx without requiring incremental equity, benefiting the balance sheet [33][34] Question: Growth implications and CapEx timing - Management noted that existing capacity allows for rapid connections to large loads, with more intra-regional transmission capacity needed in the first five years of the plan [41][72] Question: ERCOT batching process and potential delays - Management expressed confidence that the batching process would be manageable and that they have not experienced the backlog seen in other regions [44][46] Question: Balance sheet capacity and future divestitures - Management stated that they remain open-minded about capital recycling and divestitures, depending on what makes the most sense for growth financing [86][87] Question: Electric volumes and throughput trends - Management confirmed that the modest decline in total throughput was due to a shift towards commercial and industrial growth, with confidence in long-term trends [92][94] Question: CapEx update and adjustments - Management explained that the increase in CapEx was primarily driven by the 765 kV line, with flexibility on the gas side allowing for adjustments based on execution needs [96][97]

CenterPoint Energy (NYSE:CNP) Q4 2025 Earnings call February 19, 2026 08:00 AM ET Company ParticipantsAndrew Weisel - Managing DirectorAnthony Crowdell - Managing DirectorBen Vallejo - VP of Investor RelationsDavid Arcaro - Executive Director, Equity ResearchJason P. Wells - Chair​, President, and CEONicholas Campanella - DirectorShar Pourreza - Managing Director and Head of North American Power, Infrastructure and Utilities​Christopher Foster - EVP and CFOConference Call ParticipantsJeremy Tonet - Research ...

Financial Data and Key Metrics Changes - In 2025, the company reported GAAP earnings of $1.77 per share, an increase from $1.70 per share in 2024 [6] - Core earnings were $2.55 per share, representing a 7.6% increase compared to 2024 and at the top end of the revised guidance range [6][17] - The return on equity for 2025 was 9.8% on a rate base of $27.8 billion, compared to 9.4% on $25.6 billion in 2024 [17] Business Line Data and Key Metrics Changes - The company deployed $5.6 billion in customer-focused capital investments in 2025, a nearly 25% increase from the previous year [6][18] - Distribution reliability metrics improved by 10% across the system compared to 2024, with notable improvements in New Jersey and Pennsylvania [7] Market Data and Key Metrics Changes - The company anticipates a compounded annual growth rate (CAGR) of core earnings near the top end of 6%-8% from 2026 to 2030 [5][22] - The updated capital investment plan includes $19 billion in total transmission investments, a 35% increase from the previous plan [8][22] Company Strategy and Development Direction - The company announced a $36 billion, 5-year capital investment program aimed at improving customer reliability and grid resiliency [5][8] - The strategy focuses on prioritizing investments for customers while maintaining affordability and meeting regulatory requirements [8][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver on its commitments and maintain affordability for customers [14][27] - The company is actively addressing affordability concerns, with customer bills expected to remain below the current rates of in-state peers by 2030 [12][14] Other Important Information - The company has a financing plan that includes $16 billion in new long-term debt issuances and up to $2 billion in equity needs over the next five years [26] - The company is exploring various options to fund its equity needs, including hybrid instruments [26] Q&A Session Summary Question: Incremental financing associated with West Virginia investment - Management indicated that cash recovery will help significantly, targeting 15% of the total investment, with 50% funded by a Department of Energy loan and the remainder likely being new equity [32] Question: Impact of increased CapEx on earned returns in Pennsylvania - Management noted that the focus in Pennsylvania has been on incremental investment in the distribution system to drive reliability improvements, with plans to file for rate increases as needed [35] Question: Approval process for West Virginia project - Management clarified that the approval needed includes a certificate of need and public necessity, with expectations for a procedural schedule within the next month [73] Question: Execution capabilities for the $36 billion CapEx plan - Management expressed confidence in their ability to deliver on the plan, citing strong relationships with contractors and suppliers [61][62] Question: Affordability-driven legislation impacts - Management is actively engaging with jurisdictions to address affordability concerns and is well-positioned relative to peers [66][67]

Financial Data and Key Metrics Changes - In 2025, the company reported GAAP earnings of $1.77 per share, an increase from $1.70 per share in 2024. Core earnings were $2.55 per share, reflecting a 7.6% increase compared to 2024 and at the top end of the revised guidance range [6][17] - The return on equity for 2025 was 9.8% on a rate base of $27.8 billion, compared to 9.4% on $25.6 billion in 2024 [17] - The company declared quarterly dividends totaling $1.78 per share, a 5% increase from 2024 [7] Business Line Data and Key Metrics Changes - The company deployed $5.6 billion in customer-focused capital investments in 2025, a nearly 25% increase from the previous year and approximately 12% higher than the original plan [6][18] - Distribution reliability metrics improved by 10% across the system compared to 2024, with significant improvements in New Jersey and Pennsylvania service territories [7] Market Data and Key Metrics Changes - The company expects its updated investment plan to translate into a 10% rate base growth over the planning period [8] - The average customer electric bill controlled by the company is approximately 32% of the total bill in deregulated states, with bills remaining about 20% below the in-state peer average [12] Company Strategy and Development Direction - The company announced a $36 billion, 5-year capital investment program aimed at improving customer reliability and grid resiliency, representing a nearly 30% increase from the previous five-year plan [5][22] - The strategy includes significant investments in transmission and distribution, with $19 billion allocated for transmission investments, a 35% increase from the previous plan [8][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver on its commitments and maintain affordability for customers while making critical investments [14][27] - The company plans to file traditional base rate cases in Maryland and West Virginia to reflect increased rate bases and investments made since 2022 [19][20] Other Important Information - The company has been awarded approximately $5 billion in competitive transmission projects since 2022, positioning it well for future growth [11] - The financing plan includes cash from operations of $3.7 billion, subsidiary debt issuances of $3.4 billion, and a $2.5 billion convertible debt transaction [18] Q&A Session Questions and Answers Question: Incremental financing associated with West Virginia investment - Management indicated that cash recovery will help significantly, targeting 15% of the total investment, with 50% expected from a Department of Energy loan and the remainder likely from new equity [32] Question: Impact of increased CapEx on earned returns in Pennsylvania - Management noted that the focus in Pennsylvania has been on incremental investment in the distribution system to drive reliability improvements, with plans to file for rate increases when necessary [35][36] Question: Approval process for West Virginia project - Management clarified that the approval needed includes a certificate of need and public necessity, with expectations for a procedural schedule within the next month [75] Question: Execution capabilities for the $36 billion CapEx plan - Management expressed confidence in their ability to deliver on the plan, citing strong relationships with contractors and suppliers, and a disciplined project management approach [62] Question: Assessment of potential impacts from Maryland Lower Bills Act - Management is actively engaging with stakeholders to ensure affordability for customers and is supportive of initiatives that could lower costs [67][68]

Core Insights - Berkshire Hathaway's growth is closely linked to its ownership and expansion of capital-intensive, infrastructure-driven businesses, particularly BNSF Railway and Berkshire Hathaway Energy, which provide durable competitive advantages and predictable returns [1][3] Capital Expenditures - In the first nine months of 2025, Berkshire Hathaway's consolidated capital expenditures reached $14.1 billion, with $10.7 billion allocated to its railroad, utilities, and energy businesses [2][7] - BNSF's capital expenditure is noted to be the highest among railroads in a single year, indicating significant investment compared to revenues and earnings [2] Infrastructure and Cash Flow - Railroads, utilities, and energy transmission systems are characterized by significant barriers to entry, generating consistent cash flows that are less affected by market fluctuations, thus enhancing Berkshire Hathaway's earnings stability [3] - The resilience and scale of these assets are crucial for the company's long-term growth and value creation [3] Peer Comparison - Union Pacific is actively investing in upgrading its rail network and technology, which strengthens its competitive position through a multibillion-dollar annual investment plan [4] - NextEra Energy is also committing substantial funds to regulated utility assets and renewable energy projects, supporting steady growth in its rate base [5] Stock Performance and Valuation - Berkshire Hathaway's shares have declined by 1% year to date, underperforming the industry average [6] - The company trades at a price-to-book value ratio of 1.54, which is above the industry average of 1.47, indicating a relatively expensive valuation [9] - Consensus estimates for Berkshire Hathaway's 2026 EPS show no movement, with expectations of a decline despite revenue growth projections [11][12]

Financial Data and Key Metrics Changes - The company reported adjusted earnings per share (EPS) of $1.14 for Q4 2025, an 8% increase from $1.06 in the prior year [4] - For the full year 2025, adjusted EPS was $3.85, a 9% increase compared to $3.53 in 2024 [5] - The effective tax rate increased, which negatively impacted EPS growth by $0.06 for the year [5][6] Business Line Data and Key Metrics Changes - Comparable funeral revenues increased by $3 million, or less than 1%, in Q4 2025, with core funeral revenue up by $6 million, or just over 1% [6][7] - Non-funeral home revenue increased by over $2 million, primarily due to an 11% increase in average revenue per service [8] - Comparable cemetery revenue increased by $5 million, or about 1%, driven by an $8 million increase in other revenue [11] Market Data and Key Metrics Changes - The company experienced a decline in core funeral services performed by 1.9% in Q4 2025 [6] - For the full year 2025, comparable funeral volume declined less than 1% [7] - Pre-need cemetery sales production increased by about 2% in Q4 2025, with core sales accounting for a $13 million increase [12] Company Strategy and Development Direction - The company aims to grow pre-need cemetery sales production in the low to mid-single-digit percentage range for 2026, resulting in cemetery revenue growth of about 2%-5% [15] - The focus is on managing inflationary costs and leveraging scale to drive profit growth [15] - The company plans to continue returning capital to shareholders through dividends and share repurchase programs [28] Management's Comments on Operating Environment and Future Outlook - Management expects flat to slightly down funeral volume in 2026, with average revenue per case growing at inflationary rates [14] - The company anticipates a normalized EPS range of $4.05-$4.35 for 2026, reflecting 5%-13% growth [13] - Management expressed confidence in the momentum carried into 2026, particularly in pre-need sales and core customer engagement [14][38] Other Important Information - The company generated strong adjusted operating cash flow of $213 million in Q4 2025, exceeding guidance [18] - Capital investments for Q4 2025 totaled $174 million, with a full-year total of $508 million [20] - The company returned $107 million to shareholders in Q4 2025 through share repurchases and dividends [23] Q&A Session Summary Question: Can you break down your assumptions for cemetery pre-sales production growth for 2026? - Management indicated a slight increase of 2%-3% for large sales and a more robust increase for core sales, expressing confidence in momentum [33][34] Question: How are sales tracking so far this year, particularly in the Rose Hills location? - Management reported positive trends in pre-need cemetery and funeral sales, with a focus on improving lead conversion rates [35][38] Question: What are the plans for developing and selling premium cemetery inventory? - The company plans to invest in tiered inventory offerings to cater to different customer segments, leveraging existing cemetery capacity [67][69] Question: Can you discuss the drivers of lower than inflation expense growth? - Management attributed this to effective cost management strategies, including labor efficiency and supply chain improvements [56][58] Question: What is the outlook for perpetual care trust revenue in 2026? - The company expects continued strong performance in trust funds, with a typical market return model of about 7% [85][86]

Service Corporation International (NYSE:SCI) Q4 2025 Earnings call February 12, 2026 09:00 AM ET Speaker3Good day, and welcome to the SCI Fourth Quarter 2025 Earnings Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press Star, then one on a touch-tone phone. To withdraw your question, ...