Financial Data and Key Metrics Changes - In Q4 2025, the company earned $0.13 per share, compared to a loss of $0.06 in Q4 2024, reflecting strong operational execution and cost management [12] - For the full year 2025, earnings were $5.05 per share, down from $5.24 per share in 2024, primarily due to weather impacts, with a $0.71 drag from weather normalization [13] - Weather-normalized sales growth for Q4 was 6.8%, contributing to a full-year growth of 5%, including 2% residential growth and 7.5% commercial and industrial growth [13][14] Business Line Data and Key Metrics Changes - The company achieved a new system peak of 8,648 megawatts in August 2025, exceeding the previous year's peak by over 400 megawatts [6] - Customer satisfaction metrics improved, with the company ranking in the top quartile nationally for residential customer satisfaction and in the second quartile for business customers [8] Market Data and Key Metrics Changes - The customer base grew by 2.4% in 2025, driven by new businesses and residents in Arizona, indicating a strong economic environment [14] - The semiconductor sector, particularly with TSMC's expansion, is expected to drive significant economic activity, with agreements anticipated to spur at least $250 billion in additional investments [8][9] Company Strategy and Development Direction - The company is focused on processing its rate case, executing grid expansion plans, and maintaining affordable rates for customers while finalizing commercial opportunities with large customers [5][11] - The capital program emphasizes reliability, grid resiliency, and meeting customer needs, with a rate-based growth guidance of 7%-9% through 2028 [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to meet rising demand and create long-term value, emphasizing the importance of safety and operational excellence [5][11] - The company aims to achieve a more linear earnings trajectory through the implementation of a formula rate, which would provide more consistent cost recovery [87][93] Other Important Information - The company successfully reduced O&M per megawatt hour by 3.3% year-over-year in 2025 and aims for further reductions in 2026 [15] - The company is actively engaged in discussions regarding potential new nuclear projects, although these are viewed as medium to long-term opportunities [61] Q&A Session Summary Question: Update on capacity growth and IRP planning - The company plans to file an updated 15-year integrated resource plan mid-year, focusing on load forecasts and resource planning [19][20] Question: Credit metric update and holdco debt - The holdco debt percentage at year-end was approximately 17%, within the targeted range [22] Question: Future sales growth and assumptions - The sales growth forecast of 5%-7% is based on existing demand and projects with high confidence, with potential upside from uncommitted load [27][28] Question: Implications from the UNS case - The UNS case was viewed as generally constructive, with differences noted between UNS and APS situations [41][43] Question: Breakdown of committed versus uncommitted load - The majority of the 4.5GW committed load is from high load factor customers, primarily data centers, with ongoing negotiations for uncommitted load [50][51] Question: FFO to debt ratio and future outlook - The FFO to debt ratio is expected to remain above 14%, with a focus on maintaining a cushion for credit metrics [84][86] Question: TSMC expansions and clarity on future plans - The company is in active discussions with TSMC regarding their expansion plans, with readiness to articulate utility infrastructure needs once solidified [104]

Financial Data and Key Metrics Changes - In Q4 2025, the company earned $0.13 per share, compared to a loss of $0.06 in Q4 2024, reflecting strong operational execution and cost management [12] - For the full year 2025, earnings were $5.05 per share, down from $5.24 in 2024, primarily due to weather impacts, with a $0.71 drag from weather normalization [13][15] - Weather-normalized sales growth for Q4 was 6.8%, contributing to a full-year growth of 5%, including 2% residential growth and 7.5% commercial and industrial growth [14][15] Business Line Data and Key Metrics Changes - The company achieved a new system peak of 8,648 megawatts in August 2025, exceeding the previous year's peak by over 400 megawatts [6] - Customer satisfaction metrics improved, with the company ranking in the top quartile nationally for residential customer satisfaction and in the second quartile for business customers [8] Market Data and Key Metrics Changes - The company noted strong growth among commercial and industrial customers, particularly in chip manufacturing and data centers, with long-term sales growth projected at 5%-7% through 2030 [8][9] - The U.S. Department of Commerce and Taiwan announced agreements expected to spur at least $250 billion in additional semiconductor investment in the U.S., benefiting the company's market position [8] Company Strategy and Development Direction - The company plans to focus on processing its rate case, executing grid expansion plans, and maintaining affordable rates for customers in 2026 [5][11] - Investments in infrastructure are aimed at supporting Arizona's economic growth and maintaining grid reliability, with a capital program focused on reliability and resiliency [10][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to meet rising demand and create long-term value, emphasizing a commitment to safety and operational excellence [5][11] - The company is focused on cost efficiencies, with a goal of reducing O&M per megawatt hour, achieving a 3.3% decrease in 2025 [16] Other Important Information - The company is actively engaged in discussions regarding its integrated resource plan (IRP), which will reflect known and committed customer demand over a 15-year period [20][50] - The company is exploring financing options for transmission build-out, including potential customer financing and federal grants [84] Q&A Session Summary Question: Update on capacity growth and IRP planning - The company plans to file an updated 15-year integrated resource plan mid-year, detailing load forecasts and resource plans [20] Question: Credit metric update and holdco debt - Holdco debt was at 17% at year-end 2025, within the target range, with plans to maintain modest levels in 2026 [24] Question: Future sales growth and assumptions - The sales growth forecast of 5%-7% is based on existing demand and projects with high confidence, with potential upside from uncommitted load [30] Question: Implications from the UNS case and formula rate decision - The UNS case was seen as generally constructive, with differences noted between UNS and APS, particularly regarding growth and regulatory lag [44] Question: Breakdown of committed versus uncommitted load - The majority of committed load is from high load factor customers, including TSMC, with ongoing negotiations for uncommitted load [53] Question: FFO to debt basis and forecast period - The company aims to maintain an FFO to debt ratio of 14%-16%, focusing on improving credit metrics through regulatory dialogue [90] Question: Transparency and earnings trajectory with formula rate - The company aims for more consistent and linear earnings trajectories post-formula rate implementation, improving visibility for investors [92]

Pinnacle West Capital (NYSE:PNW) Q4 2025 Earnings call February 25, 2026 11:00 AM ET Speaker6Welcome to the Pinnacle West Capital Corporation 2025 fourth quarter earnings conference call. At this time, all participants are placed on a listen-only mode, and we'll open the floor for your questions and comments after the presentation. It is now my pleasure to hand the floor over to your host, Amanda Ho. Ma'am, the floor is yours.Speaker0Thank you, Matthew. I would like to thank everyone for participating in th ...

Core Insights - FirstEnergy Corp.'s subsidiaries, Mon Power and Potomac Edison, have submitted an Integrated Resource Plan (IRP) to the West Virginia Public Service Commission, outlining strategies for reliable and cost-effective power delivery over the next decade [1][2]. Group 1: Integrated Resource Plan (IRP) Overview - The IRP aims to address the growing demand for electricity, particularly from sectors like data centers and advanced manufacturing, while ensuring power remains accessible and resilient [2][4]. - The preferred plan includes a 1,200-megawatt natural gas combined-cycle power plant, which is expected to be operational around 2031, and the addition of 70 megawatts of utility-scale solar by 2028 [7]. Group 2: Goals and Recommendations - The IRP is guided by three main goals: balancing reliability, affordability, and local investment while managing environmental impacts [3][7]. - The plan supports West Virginia's "50 by 50" initiative, which aims to increase the state's energy capacity to 50 gigawatts by 2050, positioning it as a leader in energy innovation [4]. Group 3: Customer Base and Service Areas - Mon Power serves approximately 395,000 customers across 34 counties in West Virginia, while Potomac Edison serves about 285,000 customers in Maryland and 155,000 in the Eastern Panhandle of West Virginia [4][5]. Group 4: Operational Strategy - The IRP includes maintaining the operational status of the Fort Martin Power Station and Harrison Power Station throughout the 10-year planning period [7]. - Short-term power purchases will be utilized to ensure reliability until new resources are brought online [7].

Financial Performance - IDACORP's net income for the three months ended June 30, 2025, was $95781 thousand, compared to $89520 thousand for the same period in 2024[13] - Diluted earnings per share increased from $1.71 in Q2 2024 to $1.76 in Q2 2025[13] - For the six months ended June 30, 2025, net income was $155428 thousand, up from $137693 thousand in the first half of 2024[13] - Diluted earnings per share for the first six months of 2025 were $2.87, compared to $2.67 in the same period of 2024[13] Load and Customer Growth - The 2025 Integrated Resource Plan (IRP) forecasts a 5-year annual retail sales growth rate of 8.3% and an annual peak growth rate of 5.1%[14] - The 20-year forecasted annual growth rate for retail sales is 2.7% and for annual peak is 1.9%[14] - Customer growth for the twelve months ended June 30, 2025, was 2.5%[17] Capital Projects and Resource Planning - The Boardman-to-Hemingway (B2H) transmission line project broke ground in June 2025, with an expected in-service date in late 2027; Idaho Power's interest in B2H is approximately 45%[22, 25] - The 2025 IRP includes converting Valmy units 1 and 2 from coal to natural gas in Summer 2026[26] - The 2025 IRP preferred portfolio includes the need for 450 MW of new gas resources in 2029 and 2030 and 355 MW of peak capacity resources in 2028 and 2029[27] Regulatory and Financial Matters - Idaho Power filed a general rate case with the IPUC on May 30, 2025, requesting a $199.1 million, or 13.09%, increase in total Idaho-jurisdictional revenue, effective January 1, 2026[32] - As of June 30, 2025, Idaho Power had $400 million and IDACORP had $100 million net balance available from revolving credit facilities[34] - IDACORP has an At-the-Market Offering Program with $143.5 million net proceeds available as of June 30, 2025[34] - IDACORP entered into Forward Sale Agreements that could yield $560.4 million, settled by November 9, 2026[37] - IDACORP's earnings per share guidance for 2025 is $5.70 – $5.85 per diluted share[39]

Core Viewpoint - Georgia Power is expanding its energy mix to meet the growing energy needs of Georgia, with a focus on reliability and economic efficiency through a diverse range of resources including natural gas, battery energy storage systems (BESS), and solar energy [1][3]. Group 1: New Resource Certification - Georgia Power has requested certification from the Georgia Public Service Commission (PSC) for approximately 9,900 megawatts (MW) of new resources, primarily sourced from an "all-source" request for proposals (RFP) [1]. - The majority of the resources, about 8,000 MW, were selected based on bids from the RFP, which was approved in the 2022 Integrated Resource Plan (IRP) [1][2]. - The company is also seeking approval for an additional 1,886 MW of supplemental resources to meet near-term energy needs not covered by the initial RFP [2]. Group 2: Natural Gas and Emission Reduction - Georgia Power is incorporating cleaner natural gas into its generation mix, which has led to a reduction in overall carbon emissions by over 60% since 2007 [4]. - The filings include a request to certify five new combined cycle (CC) units totaling 3,692 MW, strategically located to ensure grid stability and support economic growth [4]. Group 3: Battery Energy Storage Systems (BESS) - The company is actively integrating BESS technology to enhance the reliability and resilience of the electric system, allowing for better management of renewable energy resources [5]. - Construction is underway for 765 MW of new BESS across Georgia, with additional requests for 10 new BESS facilities totaling 3,022.5 MW [6]. - The new BESS facilities will be strategically placed to maximize efficiency and reliability, with projects including solar energy integration [7]. Group 4: Project Details - Specific projects include: - Plant Bowen: Two CCs with a combined capacity of 1,482 MW [6]. - Plant McIntosh: One CC with a capacity of 757 MW [6]. - Plant Wansley: Two CCs with a combined capacity of 1,453 MW [6]. - Additional projects include eleven PPAs totaling 2,821 MW for new BESS facilities and natural gas generation [7].

Financial Data and Key Metrics Changes - In Q1 2025, CMS Energy reported adjusted earnings per share of $1.02, a favorable comparison to the same period in 2024, largely due to normal winter weather and higher rate relief [28][30] - The company reaffirmed its full-year guidance of $3.54 to $3.60 per share, maintaining confidence towards the high end of the range [28][30] - Adjusted net income for the first quarter was $304 million, reflecting a positive variance driven by weather and rate relief [30][31] Business Line Data and Key Metrics Changes - The absence of mild weather in Q1 2024 contributed to a favorable variance of 26 cents per share, while rate relief net of investment-related expenses added 7 cents per share [31] - Higher O&M costs at the utility were noted, driven by the execution of the electric reliability roadmap [30][32] Market Data and Key Metrics Changes - The company reported a significant increase in its data center pipeline, which grew to nine gigawatts, with 65% of that attributed to data centers following the elimination of sales and use taxes [25][27][43] - The electric rate order received in March was approximately 65% of the revised ask, indicating strong regulatory support for investments aimed at improving electric reliability [13][34] Company Strategy and Development Direction - CMS Energy's strategy focuses on conservative planning, disciplined execution, and a commitment to excellence across its electric and gas businesses [7][8] - The company is preparing to file its next electric rate case in Q2 and anticipates a constructive outcome in its pending gas rate case [14][34] - The renewable energy plan (REP) is expected to define the company's clean energy future, with a filing planned for next year [16][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating economic uncertainties, citing a diversified service territory with minimal exposure to the auto industry [17][21] - The company is actively monitoring supply chain dynamics and has a domestic sourcing strategy to limit exposure to tariffs [18][19] - Management highlighted the importance of the Inflation Reduction Act and its potential impact on renewable tax credits, while also noting Michigan's supportive energy law [20][21] Other Important Information - The storm that impacted Michigan in late March and early April was characterized as the costliest in the company's history, with preliminary estimates of $100 million in O&M expenses [34][35] - Fitch reaffirmed the company's credit ratings in March, and the company is targeting solid investment-grade credit ratings [38][39] Q&A Session Summary Question: Can you remind us what percentage of capital is going towards solar storage? - Management indicated that NorthStar represents about 5% of the EPS mix, with no capital currently allocated to storage, focusing instead on renewable projects [47][48] Question: Have you done a deferred accounting order before? - Management noted that this is atypical but justified given the historic nature of the storm, and they are seeking a quick resolution from the commission [65][66] Question: How are you thinking about the execution on the financing plan? - Management confirmed that they still have about $700 million left for financing needs and are keeping all options on the table for attractive securities [72][74] Question: What is the magnitude of earnings exposure in your plan? - Management guided NorthStar at $0.18 to $0.22 per share, with a significant portion expected from ongoing assets and two solar projects [104][105] Question: Did you see a big change in interest after the state approved the tax exemptions? - Management confirmed that the pipeline grew significantly, with 65% now attributed to data centers due to the tax exemptions [143]