Financial Data and Key Metrics Changes - For Q3 2025, the adjusted EPS was $1.60 per share, which is $0.10 above the estimate and $0.17 higher than Q3 2024 [8][9] - Year-to-date adjusted EPS was $3.76 compared to $3.56 for the same period in 2024, indicating a positive trend in earnings [9] - Revenue growth was driven by state-regulated utilities, customer growth, and increased usage, with year-to-date weather-normal retail electricity sales up 1.8% compared to the first three quarters of 2024 [10][11] Business Line Data and Key Metrics Changes - The commercial sector saw a 3.5% growth in weather-normal retail electricity sales compared to Q3 2024, driven by increased sales to data centers, which were up 17% [10][11] - Residential sales also grew by 2.7% year-over-year, with the addition of approximately 12,000 new electric customers in the quarter [11] - Industrial customer segments, including primary metals, paper, and transportation, were up 4% or higher year-over-year [11] Market Data and Key Metrics Changes - Economic development activity in the Southeast remains strong, with 22 companies announcing expansions or new operations, generating nearly 5,000 potential new jobs and expected capital investments of approximately $2.8 billion [11] - The company has contracts in place with large load customers representing 7 gigawatts through 2029, expected to ramp to 8 gigawatts in the 2030s [17] Company Strategy and Development Direction - The company is focused on balancing growth and affordability, with a rate plan extension at Georgia Power freezing base rates until at least 2029 [6] - A disciplined approach to forecasting and pricing is emphasized to ensure that growth does not come at the expense of existing customers [6] - The company plans to continue utilizing equity or equity equivalents to support its path towards a 17% FFO to debt ratio within its planning horizon [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's future, highlighting strong operational and financial results through the first three quarters of the year [20] - The company is well-positioned to address its long-term equity needs and has made significant progress in sourcing equity in a disciplined manner [14] - Management noted that the Southeast economy remains strong and well-positioned for growth, with robust customer growth and increasing usage in commercial and industrial segments [12] Other Important Information - Southern Company was named to Newsweek's World's Most Trustworthy Companies 2025 list, ranking as the highest energy company in the U.S. [20] - The company plans to provide a complete update on its long-term plan during the fourth quarter 2025 earnings call, including capital investment outlook and sales forecast [19] Q&A Session Summary Question: Load growth outlook in Georgia - Management noted that customers understand the long-term commitments being made under the new tariff structure, which has helped bring serious counterparties to the forefront [26][27] Question: Georgia regulatory environment and potential impacts - Management expressed confidence in working constructively with whoever is elected to the Georgia Public Service Commission and highlighted ongoing processes for load forecasts [28] Question: Rebasement timeline and metrics - Management indicated that various factors, including economic performance and large load contracts, will influence the timeline for rebasement decisions [33] Question: Southern Power's asset value and pricing environment - Management confirmed that a large portion of assets are under long-term contracts, with opportunities to renegotiate as contracts expire [40] Question: Nuclear development and federal support - Management expressed excitement about federal actions supporting nuclear development but stated that no announcements regarding new nuclear plants are imminent [55][72] Question: Contracted vs. committed definitions - Management clarified that contracted refers to signed agreements, while committed involves advanced negotiations nearing contract signing [75]

Financial Performance - Q3 2025 adjusted EPS was $1.60, exceeding estimates by $0.10, and the full year 2025 adjusted EPS projection is $4.30[13] - Q3 2025 as-reported EPS was $1.55, compared to $1.40 in Q3 2024[15] - Year-to-date 2025 as-reported EPS was $3.56, compared to $3.53 in the same period of 2024[15] - Year-to-date 2025 adjusted EPS was $3.76, compared to $3.56 in the same period of 2024[15] Sales and Load Growth - Weather-normal retail electricity sales grew by 2.6% in Q3 2025 compared to the prior year[13] - Total retail electricity sales increased by 2.6% year-to-date in 2025[27] - Large load pipeline remains above 50GW across the system[13] - Contracts for 8GW of large load support long-term sales growth outlook, with an increase of 2GW in Q3[13, 30] Equity and Financing - Additional equity of $1.8 billion was priced, solidifying $7 billion of the $9 billion equity need[13] - An additional $5 billion in capital expenditure opportunities would require incremental equity of approximately 40%[13] - The company issued $257 million through internal equity plans through Q3 2025[36] Capital Investments and Resource Planning - The company projects $76 billion in capital expenditures from 2025-2029, with 95% allocated to state-regulated utilities[40] - Georgia Power filed for certification of 10GW of new resources through all-source and supplemental processes[47, 51] - Up to $5 billion of additional regulated capital investment opportunities remain, including up to $4 billion tied to Georgia Power-owned resources and $1 billion in expansion opportunities at FERC-regulated businesses[57, 58] Debt and Liquidity - Over $8.9 billion in committed credit facilities and available liquidity of $10.6 billion as of September 30, 2025[72]

Core Viewpoint - Reykjavík Energy is conducting a bond auction on November 6, 2025, offering three classes of green bonds with varying interest rates and maturity dates [1][2][3]. Group 1: Bond Classes - The OR031033 GB bond class has a fixed nominal interest rate of 8.30% and pays equal installments every six months, maturing on October 3, 2033. Previously issued bonds in this class totaled ISK 11,265 million [1]. - The OR180242 GB bond class features a fixed nominal interest rate of 4.50%, with equal payments every six months and a final maturity date of February 18, 2042. Previously issued bonds in this class amounted to ISK 11,058 million [2]. - The OR180255 GB bond class offers fixed indexed interest, with equal payments every six months and maturing on February 18, 2055. Previously issued bonds in this class totaled ISK 39,771 million [3]. Group 2: Auction Details - Bids for the bonds must be submitted via email before UTC 17:00 on November 6, 2025, with transactions to be settled on November 13, 2025 [4]. - Fossar Investment Bank hf. is responsible for overseeing the issuance, sale, and admission of the bonds to trading on the Nasdaq sustainable bonds market in Iceland [3].

Core Viewpoint - The Federal Reserve's recent interest rate cut is expected to benefit the utility sector, as lower borrowing costs and rising electricity demand from AI-driven data centers create favorable conditions for investment in utility infrastructure [1][2][6]. Group 1: Impact of Federal Reserve Rate Cut - The Federal Reserve cut its benchmark interest rate by a quarter point on October 29, 2025, marking the second reduction this year amid a complex economic landscape [1]. - The current easing of monetary policy is anticipated to place the utility sector in the spotlight as investors reassess their portfolio allocations [2]. - Utility companies are well-positioned to benefit from a declining interest rate environment due to their capital-intensive operations, which require substantial upfront investments [4]. Group 2: Benefits for Utility Companies - A Fed rate cut reduces interest expenses, improving profitability for utility companies and making it easier and cheaper for them to borrow money [5]. - The rise of AI is reshaping the energy landscape, with Goldman Sachs projecting a 165% increase in global power demand from data centers by the end of the decade [6]. - The low-interest-rate environment facilitates necessary investments in grid capacity, renewable energy integration, and resilience upgrades for utility providers [7]. Group 3: Investment Opportunities in Utility ETFs - For investors seeking exposure to the utility sector, ETFs present a compelling strategy compared to individual stocks, offering diversification and stability [8][9]. - Utility ETFs mitigate the idiosyncratic risk of individual companies, providing a more stable, income-focused exposure to the sector [10]. - Many utility ETFs are passively managed with low expense ratios, making them a cost-efficient way to gain broad exposure to sector trends [11]. Group 4: Specific Utility ETFs - Utilities Select Sector SPDR Fund (XLU) has $22.76 billion in assets under management and a year-to-date gain of 21.6% [13]. - Vanguard Utilities ETF (VPU) holds $9.6 billion in net assets and has surged 22.1% year to date [14]. - iShares U.S. Utilities ETF (IDU) has net assets of $1.52 billion and a year-to-date increase of 19.3% [15]. - Fidelity MSCI Utilities Index ETF (FUTY) holds $2.06 billion in net assets and has gained 21.9% year to date [16].

Financial Performance & Outlook - The company's Year-to-Date (YTD) 2025 adjusted EPS is $2.66, showing an increase compared to 2024, with confidence in achieving the full-year target[27] - The full-year 2025 adjusted EPS guidance is $3.56 - $3.60, trending towards the higher end of the range[27] - The annual dividend per share is $2.11, an increase of $0.11[27] - The full-year 2026 adjusted EPS guidance is $3.80 - $3.87, also trending towards the higher end[27] - The long-term adjusted EPS growth is projected at +6% to +8%[27] Capital Investments & Financings - The utility capital plan is $20 billion[27] - Planned financings include $1.125 billion in Consumers Energy First Mortgage Bonds[34] - New debt issuances for CMS Energy are planned at $1.27 billion[34] - Planned equity issuance for CMS Energy is up to $500 million[34] Regulatory Environment - Constructive regulatory outcomes and forward-looking visibility are provided by Michigan's regulatory environment[16] - A gas case order was approved for $157.5 million with a 9.8% ROE[15] - A revised electric case order was approved for $423 million with a 10.25% ROE[15] Infrastructure & Growth - The company has an expansive economic development effort with a 9 GW pipeline[17,18] - The current customer investment plan (2025-2029) is $20 billion[20]

Group 1 - AES is a clean energy giant and a leader in the utility sector, currently trending within a buy zone amid takeover rumors [1] - The company operates power plants, electricity grids, and energy storage facilities, serving approximately 2.6 million customers globally [1] - AES has seen its Relative Strength (RS) Rating climb to 73, indicating improved price performance [3] Group 2 - There are rumors of a potential $38 billion buyout from BlackRock's Global Infrastructure Partners (GIP) [3] - The stock has experienced volatility due to renewable tax cuts and ongoing takeover interest [3] - The energy sector is positively impacting the S&P 500, with notable pledges from companies like Amazon and Google towards nuclear energy [3]

Core Insights - Southern Company reported third-quarter earnings of $1.7 billion, or $1.55 per share, for 2025, an increase from $1.5 billion, or $1.40 per share, in the same quarter of 2024 [1] - For the nine months ended September 30, 2025, earnings were $3.93 billion, or $3.56 per share, compared to $3.87 billion, or $3.53 per share, for the same period in 2024 [1] Financial Performance - Excluding certain items, Southern Company earned $1.8 billion, or $1.60 per share, in Q3 2025, up from $1.6 billion, or $1.43 per share, in Q3 2024 [2] - For the nine months ended September 30, 2025, excluding these items, earnings were $4.1 billion, or $3.76 per share, compared to $3.9 billion, or $3.56 per share, in the same period of 2024 [2] - Operating revenues for Q3 2025 were $7.8 billion, a 7.5% increase from $7.3 billion in Q3 2024 [5] - Year-to-date operating revenues reached $22.6 billion, up 10.7% from $20.4 billion in the same period of 2024 [5] Earnings Drivers - Key drivers for adjusted earnings in Q3 2025 included higher utility revenues, which were partially offset by increased depreciation, amortization, interest expenses, and milder weather conditions [4] - The increase in earnings per share was attributed to traditional electric operating companies, while Southern Power and the parent company reported declines [16] Customer Metrics - Total kilowatt-hour sales for Q3 2025 were 56,627 million, a 1.1% increase from 56,035 million in Q3 2024 [25] - The number of regulated utility customers increased to 8,934 thousand, up 0.8% from 8,865 thousand in the previous year [25] Management Commentary - The CEO emphasized the company's focus on meeting growing electric demand and providing reliable service to its 9 million customers, positioning the company for a strong finish to the year [6]

Core Insights - IDACORP, Inc. reported a net income of $124.4 million for Q3 2025, an increase from $113.6 million in Q3 2024, translating to earnings of $2.26 per diluted share compared to $2.12 per diluted share in the previous year [1][6][4] Financial Performance - The increase in net income for Q3 2025 was primarily driven by higher retail revenues and customer growth, which contributed $17.6 million and $7.8 million to operating income, respectively [7][8] - The total net income for the first nine months of 2025 was $279.9 million, up from $251.3 million in the same period of 2024 [4][14] - IDACORP has increased its full-year 2025 earnings guidance to a range of $5.80 to $5.90 per diluted share, reflecting the utilization of additional tax credits [3][22] Operational Highlights - Customer growth was noted at approximately 15,000 new customers, representing a 2.3% increase year-over-year [8] - The company reached a settlement regarding its Idaho general rate case, pending approval from the Idaho Public Utilities Commission [2] Expense Analysis - Other operations and maintenance expenses rose by $4.2 million in Q3 2025, primarily due to inflationary pressures and increased wildfire mitigation costs [9] - Depreciation and amortization expenses increased by $8.1 million, attributed to a rise in plant-in-service and the operation of a new battery storage facility [10] Revenue Drivers - The increase in retail revenues per megawatt-hour (MWh) was a significant factor in the improved financial results, driven by an overall increase in Idaho base rates effective January 1, 2025 [7][15] - Other changes in operating revenues and expenses contributed an additional $4.3 million to operating income due to a decrease in net power supply expenses [11] Future Outlook - The earnings guidance for 2025 incorporates expectations of normal weather conditions and power supply expenses for the remainder of the year [3][22] - The company anticipates utilizing between $50 million and $60 million in additional tax credits under Idaho's regulatory mechanism in 2025 [3][22]

Core Insights - Vistra Corp. is recognized as a high-growth utility stock following its acquisition of seven advanced natural gas generation plants, increasing its power generation capacity by approximately 2,600 megawatts [1][2][3] - The acquisition received all necessary government approvals and enhances Vistra's presence in competitive markets such as PJM, New England, New York, and California, thereby improving customer service [2][3] - The company's revenue has increased by 31.6% over the past year, indicating a successful growth strategy focused on customer needs and operational capabilities [3] Company Overview - Vistra Corp. is a Texas-based integrated energy company involved in electricity and natural gas supply, as well as large-scale power generation across the United States [4]

Core Viewpoint - NRG Energy, Inc. is highlighted as a strong high-growth utility stock, with Jefferies reiterating a Buy recommendation and raising the price target from $176 to $198, driven by factors such as larger power capacity, reduced taxes, and lower financing costs [1][2]. Group 1: Financial Performance and Projections - Jefferies expects NRG's acquisition of the LS Power portfolio to be approved, projecting an average EBITDA of $1.9 billion for 2028-2029 from this acquisition, which adds 13 gigawatts of gas generation capacity and a demand-side management platform [2]. - NRG's stock offers a 13% free cash flow yield, which is notably higher than the mid-single-digit yields of its industry peers, indicating a potential buying opportunity [3]. Group 2: Company Overview - NRG is an integrated energy and home services company based in Texas, operating across the United States and Canada, and generating electricity from various sources including natural gas, coal, oil, solar, and battery storage [4].