[Financial Highlights and Business Update](index=1&type=section&id=Financial%20Highlights%20and%20Business%20Update) Entergy reported strong Q1 2025 results with increased EPS, affirmed full-year guidance, and key regulatory progress Q1 2025 Earnings Per Share Summary | (After-tax, per share in $) | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | As-reported earnings | $0.82 | $0.18 | $0.64 | | Adjusted earnings (non-GAAP) | $0.82 | $0.54 | $0.28 | - The company affirmed its 2025 adjusted earnings per share guidance range of **$3.75 to $3.95**[16](index=16&type=chunk) - Approval in Texas to place **$137 million** of transmission investments into rates[4](index=4&type=chunk) - Favorable legislation in Arkansas for generation and transmission investment recovery[4](index=4&type=chunk) - Final approval for the sale of Entergy Louisiana's gas distribution business[4](index=4&type=chunk) - Completion of an approximately **$1.5 billion** common stock offering[4](index=4&type=chunk) [Consolidated Financial Performance](index=2&type=section&id=Consolidated%20Financial%20Performance) Entergy reported consolidated Q1 2025 earnings of **$361 million**, a substantial increase from prior year, primarily driven by the Utility segment Consolidated Earnings (GAAP vs. Non-GAAP) | (After-tax, $ in millions) | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | As-reported earnings | 361 | 75 | 285 | | Adjusted earnings (non-GAAP) | 361 | 230 | 131 | Consolidated Operating Cash Flow | ($ in millions) | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Consolidated OCF | 536 | 521 | 15 | [Business Segment Performance](index=2&type=section&id=Business%20Segment%20Performance) The Utility business was the primary driver of earnings growth, reporting adjusted earnings of **$490 million**, while the Parent & Other segment reported a slightly larger loss [Utility](index=2&type=section&id=Utility) Utility segment earnings increased to **$490 million** in Q1 2025, driven by higher sales volume and regulatory actions, partially offset by increased expenses Utility Earnings Attributable to Entergy Corp. | ($ in millions) | Q1 2025 (Adjusted) | Q1 2024 (Adjusted) | Change | | :--- | :--- | :--- | :--- | | Earnings | 490 | 350 | 140 | - Primary drivers for the Utility segment's earnings increase were higher retail sales volume, including weather impacts, net effect of regulatory actions across operating companies, and lower other O&M expenses[11](index=11&type=chunk) - The earnings increase was partially offset by higher interest expense, as well as higher depreciation and amortization[10](index=10&type=chunk) [Parent & Other](index=4&type=section&id=Parent%20%26%20Other) The Parent & Other segment reported an adjusted loss of **$(129) million** for Q1 2025, representing a slightly wider loss compared to the prior year Parent & Other Loss Attributable to Entergy Corp. | (metric) | Q1 2025 (Adjusted) | Q1 2024 (Adjusted) | | :--- | :--- | :--- | | Loss ($ in millions) | (129) | (120) | | Loss per share ($) | (0.29) | (0.28) | [Appendices](index=7&type=section&id=Appendices) The appendices provide detailed financial information, including GAAP to non-GAAP reconciliations, earnings variance analysis, and key operating metrics [A: Consolidated results and adjustments](index=9&type=section&id=A%3A%20Consolidated%20results%20and%20adjustments) This section details the reconciliation of as-reported to adjusted earnings, noting **no adjustments** in Q1 2025 versus **$(155) million** in Q1 2024 Q1 2024 Adjustments (After-tax) | Driver | Impact ($ in millions) | | :--- | :--- | | E-AR write-off of a regulatory asset | (97) | | E-NO increase in customer sharing of income tax benefits | (57) | | **Total Adjustments** | **(155)** | [B: Earnings variance analysis](index=13&type=section&id=B%3A%20Earnings%20variance%20analysis) This appendix details the drivers of the **$0.28** increase in adjusted consolidated EPS from Q1 2024 to Q1 2025, primarily from operating revenue Adjusted EPS Variance Analysis (Q1 2024 vs Q1 2025) | Driver | Consolidated EPS Impact ($) | | :--- | :--- | | **2024 Adjusted EPS** | **0.54** | | Operating revenue less certain costs | 0.47 | | Other O&M | 0.02 | | Interest expense | (0.11) | | Other (net) | (0.10) | | **2025 Adjusted EPS** | **0.82** | [C: Utility operating and financial measures](index=16&type=section&id=C%3A%20Utility%20operating%20and%20financial%20measures) This section presents key Utility operating metrics, showing total retail electricity sales increased by **8.1%** (or **5.2%** weather-adjusted), led by industrial customer growth Utility GWh Sold by Customer Class (Q1 2025 vs Q1 2024) | Customer Class | % Change | % Weather-adjusted Change | | :--- | :--- | :--- | | Residential | 13.2% | 4.5% | | Commercial | 0.3% | (1.1)% | | Industrial | 9.3% | 9.3% | | **Total Retail** | **8.1%** | **5.2%** | [D: Consolidated financial measures](index=17&type=section&id=D%3A%20Consolidated%20financial%20measures) This appendix shows key consolidated financial metrics, with Adjusted ROE improving to **11.5%** and gross liquidity increasing to **$5.9 billion** Key Financial Measures (as of March 31) | Measure | 2025 | 2024 | | :--- | :--- | :--- | | Adjusted ROE (LTM) | 11.5% | 10.4% | | FFO to adjusted debt (LTM, non-GAAP) | 14.5% | 13.4% | | Gross liquidity ($M, non-GAAP) | 5,858 | 5,540 | | Net liquidity ($M, non-GAAP) | 7,904 | 4,380 | [E: Definitions and abbreviations and acronyms](index=18&type=section&id=E%3A%20Definitions%20and%20abbreviations%20and%20acronyms) This section provides definitions for various operating, GAAP, and non-GAAP financial measures, along with a comprehensive list of abbreviations and acronyms - Provides definitions for key terms and non-GAAP measures used internally and for investors, including **Adjusted EPS**, **Adjusted ROE**, **FFO to adjusted debt**, and **Gross/Net Liquidity**[60](index=60&type=chunk) - Includes a comprehensive list of abbreviations such as **E-AR** (Entergy Arkansas), **LPSC** (Louisiana Public Service Commission), and **FRP** (Formula Rate Plan)[61](index=61&type=chunk) [F: Other GAAP to non-GAAP reconciliations](index=20&type=section&id=F%3A%20Other%20GAAP%20to%20non-GAAP%20reconciliations) This appendix offers detailed quantitative reconciliations for key non-GAAP financial measures, bridging GAAP figures to metrics like Adjusted ROE and FFO to adjusted debt - Reconciles As-reported net income to Adjusted earnings to calculate **Adjusted ROE** (**11.5%** for LTM Q1 2025)[64](index=64&type=chunk) - Reconciles Net cash flow from operating activities to FFO and Total debt to Adjusted debt to calculate **FFO to adjusted debt** (**14.5%** for LTM Q1 2025)[64](index=64&type=chunk) - Provides reconciliations for various debt and liquidity metrics, including **Adjusted debt to adjusted capitalization** (**65%** at Q1 2025) and **Net Liquidity** (**$7.9 billion** at Q1 2025)[65](index=65&type=chunk) [Financial Statements](index=22&type=section&id=Financial%20Statements) This section includes the unaudited consolidating financial statements for Q1 2025, presenting the Balance Sheet, Income Statement, and Cash Flow Statement [Consolidating Balance Sheet](index=22&type=section&id=Consolidating%20Balance%20Sheet) As of March 31, 2025, Entergy's consolidated balance sheet showed total assets of **$66.6 billion**, total liabilities of **$51.3 billion**, and total equity of **$15.3 billion** Consolidated Balance Sheet Highlights (March 31, 2025) | ($ in billions) | Amount | | :--- | :--- | | Total Assets | $66.6 | | Total Liabilities | $51.3 | | Total Equity | $15.3 | [Consolidating Income Statement](index=26&type=section&id=Consolidating%20Income%20Statement) For Q1 2025, Entergy generated total operating revenues of **$2.85 billion** and reported a consolidated net income of **$362 million**, a significant improvement from prior year Consolidated Income Statement Highlights (Three Months Ended March 31) | ($ in millions) | 2025 | 2024 | | :--- | :--- | :--- | | Operating Revenues | 2,847 | 2,795 | | Operating Income | 700 | 238 | | Net Income | 362 | 77 | [Consolidated Cash Flow Statement](index=33&type=section&id=Consolidated%20Cash%20Flow%20Statement) For Q1 2025, net cash from operating activities was **$536 million**, with increased cash used in investing and substantial cash provided by financing activities Consolidated Cash Flow Highlights (Three Months Ended March 31) | ($ in millions) | 2025 | 2024 | | :--- | :--- | :--- | | Net cash from operating activities | 536 | 521 | | Net cash used in investing activities | (1,710) | (1,288) | | Net cash from financing activities | 1,828 | 1,929 | | **Net increase in cash** | **654** | **1,162** |

Core Insights - Entergy Corporation reported first quarter 2025 earnings per share of 82 cents, significantly up from 18 cents in the same period of 2024, reflecting a productive start to the year and confidence in future opportunities [1][3][10] Financial Performance - The company achieved consolidated earnings of $361 million in Q1 2025, compared to $75 million in Q1 2024, marking a substantial increase of $285 million [2][3][28] - Adjusted earnings for Q1 2025 were $361 million, or 82 cents per share, up from $230 million, or 54 cents per share, in Q1 2024, indicating a year-over-year increase of $131 million [2][3][28] - The estimated weather impact on earnings was positive at $22 million in Q1 2025, compared to a negative impact of $26 million in Q1 2024, resulting in a net change of $48 million [2][28] Business Segments - The Utility segment reported earnings of $490 million, or $1.11 per share, in Q1 2025, compared to $195 million, or 46 cents per share, in Q1 2024, driven by higher retail sales volume and regulatory actions [5][28] - The Parent & Other segment reported a loss of $129 million, or 29 cents per share, in Q1 2025, slightly worse than the loss of $120 million, or 28 cents per share, in Q1 2024 [9][28] Regulatory and Investment Highlights - Entergy Texas received approval for $137 million in transmission investments, while Entergy Louisiana secured approvals for significant transmission projects [6] - The company completed a $1.5 billion common stock offering, enhancing its financial flexibility [6] Guidance and Outlook - Entergy affirmed its 2025 adjusted earnings per share guidance range of $3.75 to $3.95, indicating a positive outlook for the year [10][11]

Core Viewpoint - Entergy is set to report its first quarter 2025 financial results on April 29, 2025, before the market opens [1] Group 1: Financial Results Announcement - The financial results will be discussed in a live webcast at 10 a.m. Central time on the same day [2] - Presentation materials will be available on Entergy's website prior to the market opening on the day of the call [3] - An archived replay of the webcast will be accessible on Entergy's Investor Relations website [3] Group 2: Company Overview - Entergy produces, transmits, and distributes electricity to approximately 3 million customers across Arkansas, Louisiana, Mississippi, and Texas [4] - The company is focused on growth, reliability, and resilience of its energy system while maintaining affordable energy rates [4] - Entergy is investing in cleaner energy generation, including modern natural gas, nuclear, and renewable energy sources [4] - The company contributes over $100 million annually in economic benefits to the communities it serves through various initiatives [4] - Entergy is a Fortune 500 company headquartered in New Orleans, Louisiana, employing around 12,000 individuals [4]

Entergy (ETR) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 29. On the ...

Core Insights - Entergy's 2024 Performance Report highlights the company's achievements, future plans, and strategies aimed at benefiting stakeholders [1] - The company is focused on growth, sustainability, and affordability while maintaining a strong financial position [2][4] Group 1: Growth and Investment - Entergy plans to invest $37 billion through 2028 to support anticipated growth in the Gulf South region, driven by new operations and expansions [2] - The company is strategically positioned to leverage its access to international markets via the Mississippi River and Gulf Coast ports [2] Group 2: Clean Energy Transition - Entergy operates one of the cleanest large-scale power generation fleets in the U.S. and is committed to achieving net-zero emissions by 2050 [3] - The company is expanding its generation portfolio with cleaner technologies to meet the needs of new large customers, including data centers [3] Group 3: Customer Affordability - Entergy is dedicated to keeping energy bills low, particularly for financially struggling customers, through energy efficiency initiatives and resources like the Bill Toolkit [4] - The company promotes energy audits, incentives, and rebates to help customers reduce their energy usage [4] Group 4: Community Impact - In 2024, Entergy's corporate social responsibility efforts resulted in an economic impact of $153.52 million across its service area [5] - Employees contributed over 122,000 hours of volunteer service, valued at more than $4 million, demonstrating the company's commitment to community empowerment [5] Group 5: Financial Performance - Entergy reported adjusted earnings per share of $3.65 for 2024, reflecting strong financial results and value creation for stakeholders [6] - The company is investing in its power delivery system to enhance reliability and support the growing industrial load [6]

Investment Rating - The report suggests a positive outlook for the aerospace and defense sectors, highlighting potential investment opportunities in companies like Howmet Aerospace, Loar Holdings, and Raytheon Technologies [6][7]. Core Insights - The AI data center sector is experiencing significant investment, with major companies like Microsoft and Meta planning to invest over $345 billion in AI infrastructure by 2025, indicating a potential bubble in the market [2][23]. - The aerospace industry is showing signs of recovery, with Airbus delivering approximately 70 aircraft in March, reflecting an 11% year-on-year increase [29]. - The defense sector is witnessing substantial contracts, such as Lockheed Martin receiving a $4.94 billion contract for precision strike missiles, indicating strong government spending in defense [35]. Summary by Sections Global Market Review - The U.S. stock market has shown a cautious sentiment, with the S&P 500 index declining over 1% recently, reflecting a risk-off attitude among investors [13]. Infrastructure - The AI data center sector is facing risks of overheating, with significant investments planned by major tech companies [23]. - The PJM Interconnection has released a reliability resource plan to ensure new power plants can connect to the grid efficiently [26]. - Poland is advised to delay the closure of coal plants to avoid a power shortage by 2030 [27]. Industrial Equipment - The price index for electric motors and generators in the U.S. has shown a year-on-year increase of 26% [20]. - China's transformer exports in early 2025 saw a significant increase of 48% year-on-year, indicating strong demand [57]. Energy - U.S. electricity prices have decreased by 35.5% recently, while the market for natural gas is showing mixed signals [5]. - The average spot price for uranium in the global market has decreased by 7.9% month-on-month [4]. Aerospace - The price index for aircraft engines and components has remained stable, with a year-on-year increase of 6.2% [31]. - The aerospace sector is actively pursuing sustainable development, facing challenges in achieving net-zero emissions [29]. Defense - The U.S. government defense spending price index has shown a year-on-year increase of 2.1% [36]. - The defense industry is experiencing a surge in contract awards, particularly in precision strike and unmanned systems [35].

Chief Operating Officer Pete Norgeot to retire May 1 Kimberly Cook-Nelson succeeds Norgeot and John Dinelli named chief nuclear officer NEW ORLEANS, March 27, 2025 /PRNewswire/ -- Entergy's board of directors today announced the retirement of Pete Norgeot, executive vice president and chief operating officer, effective May 1. "Pete's contributions over the last four decades have powered not just the business and communities we serve, but also the careers and lives of those who have had the privilege to wor ...

Core Viewpoint - Entergy Corporation announced a registered underwritten offering of 15,568,863 shares of its common stock at a public price of $83.50 per share, with the offering expected to close around March 19, 2025 [1][2]. Group 1: Offering Details - The offering includes a 30-day option for underwriters to purchase an additional 2,335,328 shares to cover over-allotments [2]. - Settlement of the forward sale agreements is anticipated to occur on or before September 30, 2026, with Entergy having the option for cash or net share settlement [3]. - If physical settlement is chosen, Entergy plans to use the net proceeds for general corporate purposes, including repayment of commercial paper and outstanding loans [4]. Group 2: Company Overview - Entergy Corporation is an integrated energy company involved in electric power production, transmission, and retail distribution, with a generating capacity of approximately 24,000 megawatts [7]. - The company serves around 3 million utility customers across Arkansas, Louisiana, Mississippi, and Texas, and is listed on the New York Stock Exchange under the symbol ETR [7].

Core Viewpoint - Entergy Corporation has announced a registered underwritten offering of $1.3 billion of its common stock, with the expectation that shares will be borrowed by forward counterparties and sold to underwriters [1][2]. Group 1: Offering Details - The offering involves forward sale agreements with Morgan Stanley, Bank of America, JPMorgan, and Mizuho, where Entergy will issue and sell $1.3 billion of shares at an initial forward sale price equal to the underwriters' purchase price [2]. - Underwriters will have a 30-day option to purchase an additional $195 million of shares to cover any overallotments [2]. - Settlement of the forward sale agreements is expected to occur on or prior to September 30, 2026, with Entergy having the option for cash or net share settlement [3]. Group 2: Use of Proceeds - If Entergy opts for physical settlement of the forward sale agreements, the net proceeds are expected to be used for general corporate purposes, including repayment of commercial paper and outstanding loans [4]. Group 3: Company Overview - Entergy Corporation is an integrated energy company involved in electric power production, transmission, and retail distribution, with a generating capacity of approximately 24,000 megawatts and serving around 3 million utility customers across Arkansas, Louisiana, Mississippi, and Texas [7].

Economic Overview - The University of Michigan's Consumer Sentiment Index for mid-March dropped to 57.9, significantly below the consensus estimate of 63.2 and the final reading of 64.7 in February, indicating a decline in consumer confidence [4] - The short-term inflation outlook increased to 4.9% in March from 4.3% in February, the highest since November 2022, while the long-term inflation outlook rose to 3.9% from 3.4%, marking the highest since February 1991 [5] Investment Strategy - Investment in low-beta high-yielding stocks is recommended as a strategy to safeguard portfolios during uncertain market conditions, with the potential for upside if markets recover [6][8] - The utility sector is highlighted for its stability and consistent demand, making it a favorable choice for income-oriented investors [7][8] Company Highlights Ameren Corp. (AEE) - Ameren plans to invest up to $26.3 billion from 2025 to 2029 to enhance customer reliability and transition to cleaner energy sources [11][12] - Expected revenue and earnings growth rates for the current year are 6% and 6.7%, respectively, with a current dividend yield of 2.90% [14] Atmos Energy Corp. (ATO) - Atmos Energy benefits from rising demand for natural gas and has a long-term investment plan to improve pipeline reliability [15] - Expected revenue and earnings growth rates for the current year are 18.2% and 5.1%, respectively, with a current dividend yield of 2.37% [17] American Water Works Co. Inc. (AWK) - American Water Works is expanding through acquisitions and new water rates, with pending acquisitions expected to add 24,200 customers [21] - Expected revenue and earnings growth rates for the current year are 1.1% and 5.9%, respectively, with a current dividend yield of 2.15% [22] Entergy Corp. (ETR) - Entergy plans to invest $37 billion from 2025 to 2028 to modernize its infrastructure and expand renewable capacity [23] - Expected revenue and earnings growth rates for the current year are 5.5% and 6.3%, respectively, with a current dividend yield of 2.90% [25] NiSource Inc. (NI) - NiSource expects to invest $19.4 billion from 2025 to 2029 to modernize infrastructure and aims to retire all coal-generating sources by 2028 [26][27] - Expected revenue and earnings growth rates for the current year are 11.1% and 9.1%, respectively, with a current dividend yield of 2.90% [28]