Core Insights - The energy sector is experiencing significant demand growth driven by data centers and electrification, necessitating increased investment in transmission infrastructure [2][3] - First Energy plans to increase its capital expenditure (capex) for transmission by approximately 30% over the next five years, indicating a strong commitment to enhancing the transmission grid [3] - The company is actively addressing the labor force needs for infrastructure development through apprenticeship programs and hiring experienced personnel [5] Investment Opportunities - The investment in a robust transmission grid is seen as a critical opportunity for investors, particularly in light of the growing demand from AI and data center operations [3] - First Energy is ensuring that hyperscalers and data center developers commit to covering the costs of infrastructure investments, which mitigates the risk of overbuilding [7] Consumer Impact - There is a notable increase in customer bills, with generation costs accounting for 85% of the year-over-year increase in four out of five states where First Energy operates as a wire-only company [9] - In the state where First Energy is fully integrated, customer rates remained flat year-on-year, highlighting the impact of generation costs on utility bills [9] - The company is working with regulators and stakeholders to mitigate the impact of rising generation costs on consumers [10]

Core Insights - CenterPoint Energy, Inc. (CNP) reported third-quarter 2025 adjusted earnings of 50 cents per share, exceeding the Zacks Consensus Estimate of 46 cents by 8.7% and reflecting a 61.3% increase from the previous year's figure of 31 cents [1][8] - The company's GAAP earnings were 45 cents per share, marking a 50% increase from the prior-year quarter's figure of 30 cents [1] CNP's Revenues - CNP generated revenues of $1.99 billion, surpassing the Zacks Consensus Estimate by 0.5% and showing a 7.1% increase compared to the year-ago quarter's revenue of $1.86 billion [2][8] CNP's Operational Results - Total expenses for the third quarter increased by 3.8% year over year to $1.49 billion [3] - The company reported an operating income of $502 million, up from $424 million in the prior year [3][8] - Interest expenses and other finance charges totaled $238 million, reflecting a 24.6% increase from $191 million recorded in the previous year [3] CNP's Financial Condition - As of September 30, 2025, CenterPoint Energy had cash and cash equivalents of $37 million, an increase from $24 million as of December 31, 2024 [4] - The total long-term debt was $19.40 billion, down from $20.40 billion as of December 31, 2024 [4] - Net cash flow from operating activities amounted to $1.71 billion, compared to $1.25 billion in the year-ago period [4] CNP's Capital Expenditure - The total capital expenditure was $3.39 billion as of September 30, 2025, compared to $2.50 billion in the prior year [5] CNP's 2025 Guidance - CenterPoint Energy expects to generate adjusted earnings per share in the range of $1.75-$1.77, with the Zacks Consensus Estimate for 2025 earnings at $1.76 per share, aligning with the midpoint of the company's guidance [6] CNP's Zacks Rank - CNP currently holds a Zacks Rank 2 (Buy) [7]

Core Insights - FirstEnergy Corp. reported third-quarter 2025 operating earnings of 83 cents per share, exceeding the Zacks Consensus Estimate of 76 cents by 9.2% [1] - The year-over-year increase in core earnings was attributed to new base rates in Pennsylvania and growth in transmission rate base, partially offset by higher planned operating expenses [2] Financial Performance - Total operating revenues reached $4.14 billion, surpassing the Zacks Consensus Estimate of $3.91 billion by 5.8%, and increased 11.2% from $3.72 billion in the previous year [3] - Operating expenses totaled $3.3 billion, up 10.5% from $3 billion in the prior year, while operating income rose to $830 million, a 14.2% increase from $727 million [5] - Interest expense was reported at $312 million, reflecting a 13% increase from $276 million in the previous year [5] Segment Performance - Distribution segment revenues totaled $2.02 billion, up 11.2% year-over-year [4] - Integrated segment revenues amounted to $1.65 billion, a 13.8% increase from $1.45 billion in the prior year [4] - Stand-Alone Transmission segment revenues reached $488 million, up 2.7% from the previous year [4] Future Guidance - FirstEnergy narrowed its 2025 core earnings per share guidance to a range of $2.50-$2.56, with the Zacks Consensus Estimate at $2.53, aligning with the midpoint of the guidance [6] - The company anticipates a long-term EPS growth rate of 6-8% and has a capital investment plan of $28 billion for the 2025-2029 period [6] - Capital investment for 2025 was increased to $5.5 billion from $5 billion, with over half allocated to strengthening Transmission operations [7][9]

2025 THIRD QUARTER EARNINGS Delivering For Customers AND Investors October 23, 2025 1 Forward-Looking Statements Planning For Wide-Ranging Wildfire Policy Reform… This presentation and the oral remarks made in connection with it contain statements regarding PG&E Corporation's and Pacific Gas and Electric Company's (the "Utility") future performance, including expectations, objectives, and forecasts about operating results (including 2025 and 2026 non-GAAP core earnings), debt and equity issuances, refinanci ...

Financial Data and Key Metrics Changes - Third-quarter GAAP earnings were reported at $0.76 per share, an increase from $0.73 in the same quarter last year [4] - Core earnings for the quarter were $0.83 per share, compared to $0.76 in Q3 2024, with year-to-date core earnings at $2.02 per share, up 15% from $1.76 in 2024 [4][17] - The company invested $4 billion in capital for regulated utilities in the first nine months of 2025, a 30% increase compared to the previous year [4][22] - The 2025 capital investment program was increased by 10% to $5.5 billion [5] Business Line Data and Key Metrics Changes - Distribution business saw a 20% improvement in year-to-date earnings due to a $225 million annual rate adjustment in Pennsylvania and higher customer demand [19] - Integrated segment earnings improved by $0.05 per share, or 7%, primarily from formula rate investments in transmission systems [19] - Standalone transmission business earnings increased approximately 7%, driven by a strong capital investment program [19] Market Data and Key Metrics Changes - Load growth from data centers is expected to increase FirstEnergy's system peak load by 15 gigawatts, nearly 50% from 33.5 gigawatts this year to 48.5 gigawatts by 2035 [6][7] - Across PJM, peak load projections are forecasted to increase by nearly 48 gigawatts by 2035, representing 30% of the current peak load [7] Company Strategy and Development Direction - The company is focused on customer-focused investments to enhance system reliability and resiliency [4][5] - An integrated resource plan was submitted in West Virginia, outlining recommendations for maintaining affordable and reliable power over the next decade [8] - The company plans to add 70 megawatts of utility-scale solar and 1.2 gigawatts of natural gas generation by 2031, aligning with state energy initiatives [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a core earnings compound annual growth rate of 6% to 8% through 2029 [16] - The company is advocating for changes in state policies to address rising consumer energy costs and is actively engaging with regulators [78] - Management highlighted the importance of maintaining affordability for customers, noting that average electric bills have increased by 11% in deregulated states [14][15] Other Important Information - The company expects to file a multi-year rate plan in Ohio following the base rate case order expected in November [24][25] - Cash from operations was reported at $2.6 billion, an increase of over $700 million compared to 2024 [24] Q&A Session Summary Question: Discussion on West Virginia generation and capital recovery - Management explained that for build-own-transfer scenarios, capital recovery would occur during construction, with significant earnings coming once the asset is operational [32] Question: Rate case strategy for 2026 - Management indicated that they would follow a similar cadence as previous years for rate cases, emphasizing the need for timely recovery of capital investments [34] Question: Impact of increased CapEx on earnings growth outlook - Management believes the increased CapEx will support the 6% to 8% earnings growth range, providing confidence in achieving upper-end targets [38] Question: Data center pipeline and transmission CapEx - Management noted that there is approximately $1 billion of CapEx associated with transmission interconnection requests from large load customers [41] Question: Confidence in load forecasts - Management expressed confidence in load forecasts based on contracted projects and various criteria to ensure customer commitments [56] Question: Affordability pressures in New Jersey - Management acknowledged the understanding of generation costs driving bill increases and emphasized efforts to mitigate these impacts [62]

Financial Data and Key Metrics Changes - The company reported third quarter GAAP earnings of $0.76 per share, an increase from $0.73 in the same quarter last year [5] - Core earnings for the quarter were $0.83 per share, up from $0.76 in 2024, with year-to-date core earnings at $2.2 per share, a 15% increase from $1.76 in 2024 [6][22] - The company invested $4 billion in capital for regulated utilities, a 30% increase compared to the previous year, and announced a 10% increase in the 2025 capital investment program to $5.5 billion [6][7] Business Line Data and Key Metrics Changes - In the distribution business, earnings improved by $0.20 year-to-date due to a $225 million annual rate adjustment in Pennsylvania, higher customer demand, and lower operating expenses [22] - The integrated segment saw a 7% increase in earnings year-to-date, driven by formula rate investments in transmission systems across New Jersey, West Virginia, and Maryland [22] - Standalone transmission business earnings increased approximately 7%, supported by a strong capital investment program [22] Market Data and Key Metrics Changes - Customer demand from data centers increased by over 30%, with contracted customer demand expected to raise FirstEnergy's system peak load by 15 gigawatts, nearly 50% from the current 33.5 gigawatts to 48.5 gigawatts by 2035 [9] - The company’s total customer bills increased by 11% in deregulated states over the past year, primarily driven by the generation component [16][17] Company Strategy and Development Direction - The company is focused on enhancing system reliability and resiliency through increased capital investments, with a reaffirmed core earnings growth rate of 6% to 8% [7][20] - The integrated resource plan in West Virginia includes adding 70 megawatts of utility-scale solar and 1.2 gigawatts of dispatchable gas generation, aligning with state initiatives to boost energy capacity [11][12] - The company plans to file for new gas generation approval in 2026, representing a 35% increase in its regulated generation portfolio [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company’s ability to maintain a strong financial performance and achieve its growth targets despite rising customer bills and regulatory challenges [20][28] - The company is actively engaging with regulators to address rising consumer energy costs and is advocating for changes in capacity auction processes [82][83] Other Important Information - The company expects to see significant increases in industrial load, particularly from data centers, beginning in Q4 and into the next year [24][80] - The consolidated return on equity was reported at 10.1%, slightly above the targeted range of 9.5% to 10% [26] Q&A Session Summary Question: Discussion on West Virginia generation and capital recovery - Management explained that for the build-own-transfer model, capital recovery would occur during construction, with significant earnings expected once the assets are operational [35] Question: Rate case strategy for 2026 - Management indicated that they would follow a similar cadence as previous years, focusing on timely recovery through base rate increases [36] Question: Impact of increased CapEx on earnings growth outlook - Management believes the increased CapEx will support maintaining the 6% to 8% earnings growth range [41] Question: Data center pipeline and transmission CapEx - Management noted that there is approximately $1 billion of CapEx associated with transmission interconnection requests from data centers [44] Question: Confidence in load forecasts - Management expressed confidence in load forecasts based on contracted projects and various criteria to ensure customer commitments [58] Question: Affordability pressures in New Jersey - Management acknowledged the understanding that generation costs are driving bill increases and emphasized efforts to mitigate these impacts [66]

Core Viewpoint - Edison International (EIX) is set to release its third-quarter 2025 results on October 28, with expectations of an earnings surprise based on previous performance [1][7]. Factors Impacting Q3 Performance - The company has been heavily investing in grid hardening, wildfire mitigation, and renewable energy integration, which are expected to positively influence its earnings [2][11]. - A settlement related to TKM is anticipated to have reduced interest expenses, contributing to improved earnings [3]. - Cooler temperatures in Southern California during July likely decreased electricity demand, negatively impacting sales volumes [4][11]. - Wildfire activity in California may have disrupted power supply operations, leading to temporary outages and increased maintenance costs [5][6][11]. - Higher operations and maintenance expenses for restoration efforts are expected to have affected quarterly earnings [6]. Earnings Expectations - The Zacks Consensus Estimate for EIX's earnings is $1.52 per share, reflecting a year-over-year increase of 0.7% [7]. - Revenue estimates are set at $5.20 billion, indicating a slight decline of 0.01% year over year [7]. Predictive Model Insights - The company's Earnings ESP is +7.15%, suggesting a strong likelihood of an earnings beat [8]. - Edison International currently holds a Zacks Rank of 2 (Buy), further supporting the potential for positive earnings results [9]. Industry Comparisons - Other companies in the industry, such as Xcel Energy (XEL), Eversource Energy (ES), and Alliant Energy (LNT), are also expected to report earnings beats, with respective Earnings ESPs and Zacks Ranks indicating favorable conditions [12][13][14].

Financial Data and Key Metrics Changes - The company reported diluted earnings per share (EPS) of $0.45 on a GAAP basis and $0.50 on a non-GAAP basis for Q3 2025, representing a 60% increase compared to $0.31 in Q3 2024 [2][12][7] - The full-year 2025 non-GAAP EPS guidance range is reiterated at $1.75 to $1.77, indicating a 9% growth over 2024's delivered results of $1.62 per share [8][22] Business Line Data and Key Metrics Changes - The Houston Electric business experienced a 9% increase in throughput year-to-date, with industrial customer class throughput up over 17% quarter-over-quarter and over 11% year-to-date [6][7] - The company filed for interim capital recovery trackers at Houston Electric, with a $15 million annual revenue requirement increase approved and a $55 million increase pending [15][12] Market Data and Key Metrics Changes - The greater Houston area is experiencing diverse growth drivers, with a forecasted peak load demand increase of 10 gigawatts by 2031, representing nearly a 50% increase over the next six years [5][6] - The company anticipates electric load demand on its system to double to approximately 42 gigawatts by the middle of the next decade [5] Company Strategy and Development Direction - The company introduced a 10-year financial plan with a capital investment plan of at least $65 billion, focusing on economic development, operational efficiency, and value for investors [4][11] - The recent sale of the Ohio Gas LDC is expected to generate approximately $2.6 billion in gross proceeds, allowing for redeployment into higher growth jurisdictions, particularly in Texas [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving non-GAAP EPS growth at the mid to high end of the 7% to 9% annual growth guidance from 2026 through 2028, and 7% to 9% annually through 2035 [8][23] - The company highlighted the strong reception of the Ohio transaction from local leadership and the positive outlook for continued service quality [29] Other Important Information - The company expects to close the Ohio Gas LDC transaction in Q4 2026, with after-tax net cash proceeds of approximately $2.4 billion to be redeployed into capital investments [10][18] - The company is focused on maintaining a strong balance sheet, with a trailing 12 months adjusted FFO-to-debt ratio of 14% [20] Q&A Session Summary Question: Balance sheet capacity from the Ohio transaction - Management indicated that the transaction would improve the FFO-to-debt ratio and allow for additional capital expenditures [28] Question: Sales growth in Texas - Management attributed strong sales growth to diverse drivers, including data center activity and increased exports at the Port of Houston [31] Question: Earnings accretion from the asset sale - Management confirmed that the sale would be beneficial for financing and earnings, with plans to reallocate funds into Texas projects [38] Question: Advanced Metering Infrastructure (AMI) rollout - The next generation of AMI investments is expected to begin in 2026, with a pilot program to be run that year [45] Question: Mobile generation assets and market opportunities - Management discussed the strong market for medium-sized units and the potential cash flow benefits from remarketing larger units in 2027 [48]

Financial Performance - The company's 3Q25 Core EPS was $083/share, a 9% increase compared to $076/share in 3Q24, driven by customer-focused formula-rate investments and new PA rates[16] - Year-to-date 2025 Core EPS reached $202/share, reflecting a 15% growth from $176/share in the same period of 2024, attributed to strong execution and financial discipline[16] - The company is raising its 2025 Core EPS guidance midpoint and narrowing the range to $250-$256/share, compared to the previous range of $240-$260/share and the 2024 result of $237/share[11, 16] - Year-to-date 2025 investments totaled $40 billion, approximately 30% higher than the same period in 2024, and the company is increasing its 2025 forecast to $55 billion from $50 billion, compared to $45 billion in 2024[11, 16] - A dividend of $0445/share was declared in September, consistent with guidance and representing approximately 5% growth compared to 2024[16] Strategic Initiatives and Growth Opportunities - The company's long-term pipeline demand from data centers has nearly doubled since February 2025, reaching 117 GW, while contracted demand has increased by over 30% to 38 GW[25] - The company filed its West Virginia Integrated Resource Plan (IRP) on October 1, 2025, which includes plans to build 1200 MW of CCGT and 70 MW of solar generation[12, 29] - The company expects to increase total transmission investments by 30% in its next 5-year plan, resulting in a total transmission rate base growth of up to 18% through 2030, with the rate base expected to more than double by 2030[31] Financial Outlook and Shareholder Value - The company is reaffirming its 6-8% Core EPS CAGR from 2025-2029, which, combined with the current dividend yield, represents a total shareholder return proposition of 10-12%[9, 40] - The company is reaffirming its 2025-2029 base investment plan of approximately $28 billion, with a significant increase in 2026-2030 expected to be announced on the 4Q25 earnings call[40]

Third Quarter 2025 Investor Update CenterPoint Energy | 1 Cautionary Statement and Other Disclosures This presentation and the oral statements made in connection herewith contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical fact included in this presentation and the oral statements made in connection herewith are forward-looking statements made in good fa ...