Entergy reports second quarter 2025 financial results
Company affirms guidance, raises 2027-2028 outlooks
NEW ORLEANS, July 30, 2025 /PRNewswire/ -- Entergy Corporation (NYSE: ETR) reported second quarter 2025 earnings per share of $1.05 on an as-reported and an adjusted (non-GAAP) basis.
"It was another solid quarter as we work to deliver on our customer's expectations for service and growth," said Drew Marsh, Entergy Chair and Chief Executive Officer. "We remain well positioned to capture significant opportunity ahead and drive value for our stakeholders."
Business highlights included the following:
-- Entergy updated its four-year capital plan and 2027-2028 adjusted EPS outlooks. -- On July 1, Entergy New Orleans and Entergy Louisiana completed the sale of their natural gas distribution businesses. -- Entergy Arkansas secured significant new growth for the state. -- Entergy Texas received approval to place $188 million of distribution investments into rates through the DCRF rider. -- Entergy Louisiana reached a stipulated settlement with the LPSC Staff and other parties recommending approval of generation and transmission resources needed to support the addition of a new large customer. -- Entergy Texas filed a proposal for a new Cypress to Legend 500 kV transmission line. -- The LPSC passed a directive to Staff which will expedite securitization, if needed, for a major storm in 2025. -- The MPSC approved Entergy Mississippi's formula rate plan. -- Entergy New Orleans, Entergy Louisiana, and Entergy Arkansas each filed their annual formula rate plans. -- The state of Texas passed new laws to expedite storm cost securitization, to recover MISO capacity costs through a rider, and to help manage wildfire risk. -- Waterford 3 and Grand Gulf nuclear plants are celebrating 40 years of producing clean, reliable electricity. -- For the tenth consecutive year, Entergy was named to The Civic 50, a Points of Light initiative honoring the 50 most community-minded companies in the U.S.
Consolidated earnings (GAAP and non-GAAP measures)
Second quarter and year-to-date 2025 vs. 2024
(See Appendix A for reconciliation of GAAP to non-GAAP measures and details on adjustments)
Second quarter Year-to-date
---
2025 2024 Change 2025 2024 Change
(After-tax, $ in millions)
As-reported earnings 468 49 419 829 124 704
Less adjustments - (362) 362 (517) 517
Adjusted earnings (non-GAAP) 468 411 57 829 641 187
Estimated weather impact 38 56 (18) 60 30 31
(After-tax, per share in $)
As-reported earnings 1.05 0.11 0.94 1.87 0.29 1.58
Less adjustments - (0.85) 0.85 (1.21) 1.21
Adjusted earnings (non-GAAP) 1.05 0.96 0.09 1.87 1.50 0.37
Estimated weather impact 0.08 0.13 (0.04) 0.14 0.07 0.07
Calculations may differ due to rounding
Consolidated results
For second quarter 2025, the company reported earnings of $468 million, or $1.05 per share, on an as-reported and an adjusted basis. This compared to second quarter 2024 earnings of $49 million, or 11 cents per share, on an as-reported basis, and $411 million, or 96 cents per share, on an adjusted basis.
Summary discussions of results by business follow. Additional details, including information on operating cash flow by business, are provided in Appendix A. A more detailed analysis of earnings per share variances by business is provided in Appendix B.
Business results
Utility
For second quarter 2025, the Utility business reported earnings attributable to Entergy Corporation of $599 million, or $1.34 per share, on an as-reported and an adjusted basis. This compared to second quarter 2024 earnings of $441 million, or $1.03 per share, on an as-reported basis, and earnings of $553 million, or $1.29 per share, on an adjusted basis.
Drivers for the quarter-over-quarter increase included the net effect of regulatory actions across the operating companies as well as higher retail sales volume and higher other income (deductions).
These increases were partially offset by higher other O&M, depreciation expense, and interest expense as well as higher capacity costs at Entergy Texas from the MISO planning resource auction that are not currently recovered in rates.
Second quarter 2024 results included expenses totaling $(151 million) ($(112 million) after tax) recorded as a result of Entergy Louisiana's agreement with the LPSC Staff and other parties to extend and modify the formula rate plan; establish the base formula rate plan rate change for the 2023 test year; and provide $184 million of customer rate credits, including increasing customer sharing of income tax benefits resulting from the 2016-2018 IRS audit resolution (a reserve of $38 million had been previously established) and to resolve several open matters, including all formula rate plans prior to the 2023 test year (considered an adjustment and excluded from adjusted earnings).
On a per share basis, second quarter 2025 results reflected higher diluted average number of common shares outstanding primarily due to the settlement of equity forwards in May 2025 as well as the dilutive effect from unsettled equity forwards as a result of an increase in the stock price.
Appendix C contains additional details on Utility operating and financial measures.
Parent & Other
For second quarter 2025, Parent & Other reported a loss attributable to Entergy Corporation of $(131 million), or (29) cents per share, on an as-reported and an adjusted basis. This compared to a second quarter 2024 loss of $(392 million), or (91) cents per share, on an as-reported basis and $(142 million), or (33) cents per share, on an adjusted basis.
The quarter-over-quarter as-reported change included a second quarter 2024 $(317 million) ($(250 million) after tax) settlement charge recognized as a result of a group annuity contract purchased in May 2024 to settle certain pension liabilities, also referred to as the pension lift out (considered an adjustment and excluded from adjusted earnings).
On a per share basis, second quarter 2025 results reflected higher diluted average number of common shares outstanding (see details in Utility section).
Earnings per share guidance
Entergy affirmed its 2025 adjusted earnings per share guidance range of $3.75 to $3.95. See webcast presentation for additional details.
The company has provided 2025 earnings guidance with regard to the non-GAAP measure of adjusted earnings per share. This measure excludes from the corresponding GAAP financial measure the effect of adjustments as described below under "Non-GAAP financial measures." The company has not provided a reconciliation of such non-GAAP guidance to guidance presented on a GAAP basis because it cannot predict and quantify with a reasonable degree of confidence all of the adjustments that may occur during the period. Potential adjustments include, among other things, the exclusion of significant income tax items, certain items recorded as a result of regulatory settlements or decisions, and certain unusual costs or expenses.
Earnings teleconference
A teleconference will be held at 10:00 a.m. Central Time on Wednesday, July 30, 2025, to discuss Entergy's quarterly earnings announcement and the company's financial performance. The teleconference may be accessed by visiting Entergy's website at investors.entergy.com/investors/events-and-presentations or by dialing 888-440-4149, conference ID 9024832, no more than 15 minutes prior to the start of the call. The webcast presentation is also being posted to Entergy's website concurrent with this news release. A replay of the teleconference will be available on Entergy's website at investors.entergy.com/investors/events-and-presentations and by telephone. The telephone replay will be available through August 6, 2025, by dialing 800-770-2030, conference ID 9024832.
Entergy produces, transmits and distributes electricity to power life for 3 million customers through our operating companies in Arkansas, Louisiana, Mississippi and Texas. We're investing for growth and improved reliability and resilience of our energy system while working to keep energy rates affordable for our customers. We're also investing in cleaner energy generation like modern natural gas, nuclear, and renewable energy. A nationally recognized leader in sustainability and corporate citizenship, we deliver more than $100 million in economic benefits each year to the communities we serve through philanthropy, volunteerism and advocacy. Entergy is a Fortune 500 company headquartered in New Orleans, Louisiana, and has approximately 12,000 employees. Learn more at entergy.com and connect with @Entergy on social media.
Entergy Corporation's common stock is listed on the New York Stock Exchange and NYSE Texas under the symbol "ETR".
Details regarding Entergy's results of operations, regulatory proceedings, and other matters are available in this earnings release, a copy of which will be filed with the SEC, and the webcast presentation. Both documents are available on Entergy's Investor Relations website at investors.entergy.com/investors/events-and-presentations.
Entergy maintains a web page as part of its Investor Relations website entitled Regulatory and other information, which provides investors with key updates on certain regulatory proceedings and important milestones on the execution of its strategy. While some of this information may be considered material information, investors should not rely exclusively on this page for all relevant company information.
For definitions of certain operating measures, as well as GAAP and non-GAAP financial measures and abbreviations and acronyms used in the earnings release materials, see Appendix E.
Non-GAAP financial measures
This news release contains non-GAAP financial measures, which are generally numerical measures of a company's performance, financial position, or cash flows that either exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Entergy has provided quantitative reconciliations within this news release of the non-GAAP financial measures to the most directly comparable GAAP financial measures.
Entergy reports earnings using the non-GAAP measure of adjusted earnings, which excludes the effect of certain "adjustments." Adjustments are unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as significant income tax items, certain items recorded as a result of regulatory settlements or decisions, and certain unusual costs or expenses. In addition to reporting GAAP earnings on a per share basis, Entergy reports its adjusted earnings on a per share basis. These per share measures represent the applicable earnings amount divided by the diluted average number of common shares outstanding for the period.
Management uses the non-GAAP financial measures of adjusted earnings and adjusted earnings per share for, among other things, financial planning and analysis; reporting financial results to the board of directors, employees, stockholders, analysts, and investors; and internal evaluation of financial performance. Entergy believes that these non-GAAP financial measures provide useful information to investors in evaluating the ongoing results of Entergy's business, comparing period to period results, and comparing Entergy's financial performance to the financial performance of other companies in the utility sector.
Other non-GAAP measures, including adjusted ROE, adjusted ROE excluding affiliate preferred, FFO to adjusted debt, gross liquidity, net liquidity, adjusted Parent debt to total adjusted debt, adjusted debt to adjusted capitalization, and adjusted net debt to adjusted net capitalization are measures Entergy uses internally for management and board discussions and to gauge the overall strength of its business. Entergy believes the above data provides useful information to investors in evaluating Entergy's ongoing financial results and flexibility and assists investors in comparing Entergy's credit and liquidity to the credit and liquidity of others in the utility sector. These metrics are defined in Appendix E.
These non-GAAP financial measures reflect an additional way of viewing aspects of Entergy's operations that, when viewed with Entergy's GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provide a more complete understanding of factors and trends affecting Entergy's business. These non-GAAP financial measures should not be used to the exclusion of GAAP financial measures. Investors are strongly encouraged to review Entergy's consolidated financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure. Although certain of these measures are intended to assist investors in comparing Entergy's performance to other companies in the utility sector, non-GAAP financial measures are not standardized; therefore, it might not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names.
Cautionary note regarding forward-looking statements
In this news release, and from time to time, Entergy Corporation makes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, among other things, statements regarding Entergy's 2025 earnings guidance; financial and operational outlooks; industrial load growth outlooks; statements regarding its climate transition and resilience plans, goals, beliefs, or expectations; and other statements of Entergy's plans, beliefs, or expectations included in this news release. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Except to the extent required by the federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Forward-looking statements are subject to a number of risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including (a) those factors discussed elsewhere in this news release and in Entergy's most recent Annual Report on Form 10-K, any subsequent Quarterly Reports on Form 10-Q, and Entergy's other reports and filings made under the Securities Exchange Act of 1934; (b) uncertainties associated with (1) rate proceedings, formula rate plans, and other cost recovery mechanisms, including the risk that costs may not be recoverable to the extent or on the timeline anticipated by the utilities and (2) implementation of the ratemaking effects of changes in law; (c) uncertainties associated with (1) realizing the benefits of its resilience plan, including impacts of the frequency and intensity of future storms and storm paths, as well as the pace of project completion and (2) efforts to remediate the effects of major storms and recover related restoration costs; (d) risks associated with operating nuclear facilities, including plant relicensing, operating, and regulatory costs and risks; (e) changes in decommissioning trust values or earnings or in the timing or cost of decommissioning Entergy's nuclear plant sites; (f) legislative and regulatory actions and risks and uncertainties associated with claims or litigation by or against Entergy and its subsidiaries; (g) risks and uncertainties associated with executing on business strategies, including (1) strategic transactions that Entergy or its subsidiaries may undertake and the risk that any such transaction may not be completed as and when expected and the risk that the anticipated benefits of the transaction may not be realized, and (2) Entergy's ability to meet the rapidly growing demand for electricity, including from hyperscale data centers and other large customers, and to manage the impacts of such growth on customers and Entergy's business, or the risk that contracted or expected load growth does not materialize or is not sustained; (h) direct and indirect impacts to Entergy or its customers from pandemics, terrorist attacks, geopolitical conflicts, cybersecurity threats, data security breaches, or other attempts to disrupt Entergy's business or operations, and/or other catastrophic events; and (i) effects on Entergy or its customers of (1) changes in federal, state, or local laws and regulations and other governmental actions or policies, including changes in monetary, fiscal, tax, environmental, international trade, or energy policies; (2) changes in commodity markets, capital markets, or economic conditions; and (3) technological change, including the costs, pace of development, and commercialization of new and emerging technologies.
Second quarter 2025 earnings release appendices and financial statements
Appendices
A: Consolidated results and adjustments
B: Earnings variance analysis
C: Utility operating and financial measures
D: Consolidated financial measures
E: Definitions and abbreviations and acronyms
F: Other GAAP to non-GAAP reconciliations
Financial statements
Consolidating balance sheets
Consolidating income statements
Consolidated cash flow statements
A: Consolidated results and adjustments
Appendix A-1 provides a comparative summary of consolidated earnings, including a reconciliation of as-reported earnings (GAAP) to adjusted earnings (non-GAAP).
Appendix A-1: Consolidated earnings - reconciliation of GAAP to non-GAAP measures
Second quarter and year-to-date 2025 vs. 2024 (See Appendix A-2 and Appendix A-3 for details on adjustments)
Second quarter Year-to-date
2025 2024 Change 2025 2024 Change
(After-tax, $ in millions)
As-reported earnings (loss)
Utility 599 441 158 1,089 636 452
Parent & Other (131) (392) 261 (260) (512) 252
Consolidated 468 49 419 829 124 704
Less adjustments
Utility (112) 112 (267) 267
Parent & Other (250) 250 (250) 250
Consolidated (362) 362 (517) 517
Adjusted earnings (loss) (non-GAAP)
Utility 599 553 46 1,089 903 185
Parent & Other (131) (142) 11 (260) (262) 2
Consolidated 468 411 57 829 641 187
Estimated weather impact 38 56 (18) 60 30 31
Diluted average number of common shares outstanding (in millions) (a) 446 429 17 443 428 15
(After-tax, per share in $) (a)(b)
As-reported earnings (loss)
Utility 1.34 1.03 0.31 2.45 1.49 0.97
Parent & Other (0.29) (0.91) 0.62 (0.59) (1.20) 0.61
Consolidated 1.05 0.11 0.94 1.87 0.29 1.58
Less adjustments
Utility (0.26) 0.26 (0.62) 0.62
Parent & Other (0.58) 0.58 (0.58) 0.58
Consolidated (0.85) 0.85 (1.21) 1.21
Adjusted earnings (loss) (non-GAAP)
Utility 1.34 1.29 0.05 2.45 2.11 0.35
Parent & Other (0.29) (0.33) 0.04 (0.59) (0.61) 0.03
Consolidated 1.05 0.96 0.09 1.87 1.50 0.37
Estimated weather impact 0.08 0.13 (0.04) 0.14 0.07 0.07
Calculations may differ due to rounding
(a) Entergy executed a two-for-one forward stock split that was effective with
trading on Dec. 13, 2024; 2024 diluted average number of common shares
outstanding and per-share information has been restated to reflect the post-
split share count.
(b) Per share amounts are calculated by dividing the corresponding earnings (loss) by
the diluted average number of common shares outstanding for the period.
See Appendix B for detailed earnings variance analysis.
Appendix A-2 and Appendix A-3 detail adjustments by business. Adjustments are included in as-reported earnings consistent with GAAP but are excluded from adjusted earnings. As a result, adjusted earnings is considered a non-GAAP measure.
Appendix A-2: Adjustments by driver (shown as positive/(negative) impact on earnings or EPS)
Second quarter and year-to-date 2025 vs. 2024
Second quarter Year-to-date
---
2025 2024 Change 2025 2024 Change
(Pre-tax except for income tax effect and totals; $ in millions)
Utility
2Q24 E-LA global agreement to resolve its FRP extension
filing and other retail matters - (151) 151 (151) 151
1Q24 E-AR write-off of a regulatory asset related to the
opportunity sales proceeding - (132) 132
1Q24 E-NO increase in customer sharing of income tax
benefits as a result of the - (79) 79
2016-2018 IRS audit resolution
Income tax effect on Utility adjustments above - 39 (39) 95 (95)
Total Utility - (112) 112 (267) 267
Parent & Other
2Q24 pension lift out (317) 317 (317) 317
Income tax effect on Parent & Other adjustment above 67 (67) 67 (67)
Total Parent & Other - (250) 250 (250) 250
Total adjustments - (362) 362 (517) 517
(After-tax, per share in $) (c), (d)
Utility
2Q24 E-LA global agreement to resolve its FRP extension
filing and other retail matters - (0.26) 0.26 (0.26) 0.26
1Q24 E-AR write-off of a regulatory asset related to the
opportunity sales proceeding - (0.23) 0.23
1Q24 E-NO increase in customer sharing of income tax
benefits as a result of the - (0.13) 0.13
2016-2018 IRS audit resolution
Total Utility - (0.26) 0.26 (0.62) 0.62
Parent & Other
2Q24 pension lift out - (0.58) 0.58 (0.58) 0.58
Total Parent & Other - (0.58) 0.58 (0.58) 0.58
Total adjustments - (0.85) 0.85 (1.21) 1.21
Calculations may differ due to rounding
(c) Entergy executed a two-for-one forward stock split that was effective with
trading on Dec. 13, 2024; 2024 per-share information has been restated to
reflect the post-split share count.
(d) Per share amounts are calculated by multiplying the corresponding earnings (loss)
by the estimated income tax rate that is expected to apply and dividing by the
diluted average number of common shares outstanding for the period.
Appendix A-3: Adjustments by income statement line item (shown as positive/ (negative) impact on earnings)
Second quarter and year-to-date 2025 vs. 2024
(Pre-tax except for income taxes and totals; $ in millions)
Second quarter Year-to-date
---
2025 2024 Change 2025 2024 Change
Utility
Other O&M - (1) 1 (1) 1
Asset write-offs, impairments, and related charges - (132) 132
Other regulatory charges (credits) - net - (150) 150 (229) 229
Income taxes - 39 (39) 95 (95)
Total Utility - (112) 112 (267) 267
Parent & Other
Other income (deductions) - (317) 317 (317) 317
Income taxes - 67 (67) 67 (67)
Total Parent & Other - (250) 250 (250) 250
Total adjustments - (362) 362 (517) 517
Calculations may differ due to rounding
Appendix A-4 provides a comparative summary of OCF by business.
Appendix A-4: Consolidated operating cash flow
Second quarter and year-to-date 2025 vs. 2024
($ in millions)
Second quarter Year-to-date
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2025 2024 Change 2025 2024 Change
Utility 1,371 1,111 261 1,937 1,626 311
Parent
&
Other (110) (85) (24) (139) (79) (60)
Consolidated 1,262 1,025 236 1,798 1,546 251
Calculations may differ due to rounding
Second quarter 2025 OCF increased primarily due to higher Utility customer receipts, including higher fuel revenues, and the receipt of advance payments related to customer agreements in 2025. These increases were partially offset by higher fuel and purchased power payments.
B: Earnings variance analysis
Appendix B-1 and Appendix B-2 provide details of current quarter and year-to-date 2025 versus 2024 as-reported and adjusted earnings per share variances.
Appendix B-1: As-reported and adjusted earnings per share variance analysis (e), (f), (g), (h)
Second quarter 2025 vs. 2024
(After-tax, per share in $)
Utility Parent & Other Consolidated
As- Adjusted As- Adjusted As- Adjusted
reported reported reported
2024 earnings (loss) 1.03 1.29 (0.91) (0.33) 0.11 0.96
Operating revenue less: 0.47 0.21 (i) 0.02 0.02 0.48 0.23
fuel, fuel-related exp. and gas purch. for resale;
purch. power; and other reg. chgs. (credits) - net
Nuclear refueling outage expenses 0.02 0.02 0.02 0.02
Other O&M (0.05) (0.05) (j) 0.01 0.01 (0.04) (0.04)
Asset write-offs, impairments, and related charges -
Decommissioning -
Taxes other than income taxes (0.02) (0.02) (0.03) (0.03)
Depreciation and amortization (0.03) (0.03) (k) (0.03) (0.03)
Other income (deductions) 0.06 0.06 (l) 0.57 (0.01) (m) 0.63 0.05
Interest expense (0.06) (0.06) (n) 0.01 0.01 (0.06) (0.06)
Income taxes - other (0.01) (0.01) 0.01 0.01
Preferred dividend requirements and noncontrolling interests -
Share effect (0.05) (0.05) 0.01 0.01 (0.04) (0.04) (o)
2025 earnings (loss) 1.34 1.34 (0.29) (0.29) 1.05 1.05
Calculations may differ due to rounding
Appendix B-2: As-reported and adjusted earnings per share variance analysis (e), (f), (g), (h)
Year-to-date 2025 vs. 2024
(After-tax, per share in $)
Utility Parent & Other Consolidated
As- Adjusted As- Adjusted As- Adjusted
reported reported reported
2024 earnings (loss) 1.49 2.11 (1.20) (0.61) 0.29 1.50
Operating revenue less: 1.06 0.66 (i) 0.03 0.03 (p) 1.09 0.69
fuel, fuel-related exp. and gas purch. for resale;
purch. power; and other reg. chgs. (credits) - net
Nuclear refueling outage expenses 0.02 0.02 0.02 0.02
Other O&M (0.02) (0.02) (0.01) (0.02)
Asset write-offs, impairments, and related charges 0.23 (q) 0.23
Decommissioning (0.01) (0.01) (0.01) (0.01)
Taxes other than income taxes (0.04) (0.04) (r) (0.04) (0.04)
Depreciation and amortization (0.05) (0.05) (k) (0.05) (0.05)
Other income (deductions) 0.01 0.01 0.57 (0.02) (m) 0.58
Interest expense (0.16) (0.16) (n) (0.01) (0.01) (0.17) (0.17)
Income taxes - other 0.01 0.01 0.01 0.01
Preferred dividend requirements and noncontrolling interests -
Share effect (0.09) (0.09) 0.02 0.02 (0.07) (0.07) (o)
2025 earnings (loss) 2.45 2.45 (0.59) (0.59) 1.87 1.87
Calculations may differ due to rounding
(e) Utility operatingrevenue and Utility income taxes - other variances exclude the
following for the return/collection of excess/deficient unprotected ADIT (net
effect was neutral to earnings) ($ in millions):
2Q25 2Q24 YTD25 YTD24
Utility operating revenue (4) 8 (6) 16
Utility income taxes - other 4 (8) 6 (16)
(f) Utility regulatory charges (credits) - net and Utility preferred dividend
requirements and noncontrolling interests variances exclude the following for the
effects of HLBV accounting and the approved deferral (net effect was neutral to
earnings)
($ in millions):
2Q25 2Q24 YTD25 YTD24
Utility regulatory charges (credits) - net (1) (2) (4) (5)
Utility preferred dividend requirements and noncontrolling interests 1 2 4 5
(g) Entergy executed a two-for-one forward stock split that was effective with
trading on Dec. 13, 2024; 2024 per-share information and diluted number of
common shares outstanding has been restated to reflect the post-split share
count.
(h) EPS effect is calculated by multiplying the pre-tax amount by the estimated
income tax rate that is expected to apply and dividing by diluted average number
of common shares outstanding for the prior period. Income taxes - other
represents income tax differences other than the income tax effect of individual
line items. Share effect captures the per share impact from the change in diluted
average number of common shares outstanding.
Utility as-reported operating revenue less fuel, fuel-related expenses and gas purchased for resale; purchased power; and other regulatory charges (credits) - net variance analysis 2025 vs.
2024 ($ EPS)
2Q YTD
Electric volume / weather 0.03 0.24
Retail electric price 0.19 0.35
2Q24 E-LA global agreement to resolve certain retail matters 0.26 0.26
1Q24 E-NO provision for increased income tax sharing 0.13
E-TX MISO capacity costs (0.04) (0.04)
Reg. provisions for decommissioning items 0.03 0.16
Other, including Grand Gulf recovery (0.01) (0.04)
Total 0.47 1.06
(i) The second quarter and year-to-date earnings increases reflected higher
electric volume, including the effects of weather, and the effect of rate
actions including: E-AR's FRP, E-LA's FRP (including riders), E-LA's
resilience plan cost recovery rider, E-MS's FRP, various E-MS riders, E-NO's
FRP, and E-TX's DCRF. The increases also reflected the effects of a second
quarter 2024 regulatory charge of $(150 million) ($(111 million) after tax)
recorded as a result of E-LA reaching a settlement with the LPSC staff and
other parties (considered an adjustment and excluded from adjusted earnings).
Changes in regulatory provisions for decommissioning items was also a driver
(based on regulatory treatment, decommissioning-related variances are offset in
other line items and are largely earnings neutral). The increases were partially
offset by higher MISO capacity costs at E-TX. The year-to-date increase also
reflected a first quarter 2024 $(79 million) ($(57 million) after tax)
regulatory provision recorded at E-NO to reflect the company's agreement to
share additional income tax benefits from the 2016-2018 IRS audit resolution
with customers (considered an adjustment and excluded from adjusted earnings).
The year-to-date variance was partially offset by lower Grand Gulf revenue
primarily due to lower other O&M.
(j) The second quarter earnings decrease from higher Utility other O&M included
higher power generation costs primarily due to a higher scope of work performed,
including during plant outages, in second quarter 2025 as compared to second
quarter 2024; higher power delivery expenses primarily due to vegetation
maintenance costs; and an increase in bad debt expense. The decrease was partly
offset by contract costs in 2024 related to operational performance, customer
service, and organizational health initiatives.
(k) The second quarter and year-to-date earnings decreases from higher Utility
depreciation and amortization were primarily due to higher plant in service and
an increase in E-LA's nuclear depreciation rates effective September 2024. The
decreases were partially offset by the recognition of depreciation expense from
E-TX's 2022 base rate case relate back in first and second quarters of 2024.
(l) The second quarter earnings increase from higher Utility other income
(deductions) was primarily due to higher AFUDC-equity due to higher construction
work in progress, a true-up of E-LA's MISO cost recovery mechanism, and an
increase in the amortization of tax gross ups on customer advances for
construction. The increase was partly offset by changes in nuclear
decommissioning trust returns, including portfolio rebalancing in second quarter
2024 (based on regulatory treatment, decommissioning-related variances are
offset in other line items and are largely earnings neutral).
(m) The second quarter and year-to-date as-reported earnings increases from Parent
& Other other income (deductions) were primarily due to a second quarter 2024
$(317 million) ($(250 million) after tax) one-time non-cash pension settlement
charge associated with the purchase of a group annuity contract to settle
certain pension liabilities (considered an adjustment and excluded from adjusted
earnings).
(n) The second quarter and year-to-date earnings decreases from higher Utility
interest expense were primarily due to higher interest rates, higher debt
balances, and higher carrying costs on customer advances for construction. The
decreases were partially offset by higher AFUDC-debt due to higher construction
work in progress.
(o) The second quarter and year-to-date earnings per share impacts from share
effect were primarily due to the settlement of equity forwards in May 2025 and
the dilutive effect of unsettled equity forwards as a result of an increase in
the stock price.
(p) The year-to-date earnings increase was primarily due to lower fuel and
purchased power expenses associated with the conclusion of a purchased power
agreement in December 2024.
(q) The year-to-date as-reported earnings increase from Utility asset write-offs
and impairments was due to the first quarter 2024 write off of an E-AR $(132
million) ($(97 million) after tax) regulatory asset related to the opportunity
sales proceeding (considered an adjustment and excluded from adjusted earnings).
(r) The year-to-date earnings decrease from higher Utility taxes other than income
taxes was primarily due to increases in ad valorem taxes resulting from higher
assessments and increases in local franchise taxes as a result of higher retail
revenues in 2025 as compared to 2024.
C: Utility operating and financial measures
Appendix C provides a comparison of Utility operating and financial measures.
Appendix C: Utility operating and financial measures
Second quarter and year-to-date 2025 vs. 2024
Second quarter
Year-to-date
---
2025 2024 % weather 2025 2024
% % % weather
change adj. (s) change adj. (s)
GWh sold
Residential 8,899 9,557 (6.9) (4.3) 17,683 17,315 2.1 (0.1)
Commercial 7,265 7,236 0.4 1.8 13,507 13,460 0.3 0.4
Governmental 617 626 (1.4) (1.2) 1,176 1,198 (1.8) (1.8)
Industrial 15,620 13,973 11.8 11.8 29,452 26,633 10.6 10.6
Total retail 32,401 31,392 3.2 4.5 61,818 58,606 5.5 4.9
Wholesale 4,133 3,052 35.4 5,767 7,010 (17.7)
Total 36,534 34,444 6.1 67,585 65,616 3.0
Number of electric retail customers
Residential 2,608,472 2,592,846 0.6
Commercial 371,699 370,219 0.4
Governmental 18,008 18,042 (0.2)
Industrial 41,227 42,294 (2.5)
Total 3,039,406 3,023,401 0.5
Other O&M and nuclear $21.03 $22.00
refueling outage exp. per MWh
$20.33 (3.3) $21.28 (3.2)
Calculations may differ due to rounding
(s) The effects of weather were estimated using heating degree days and cooling degree
days for the period from certain locations within each jurisdiction and comparing
to "normal" weather based on 20-year historical data. The models used to estimate
weather are updated periodically and are subject to change.
For the quarter, weather-adjusted retail sales increased 4.5 percent. The increase was primarily due to an increase in industrial usage, mainly in the primary metals, chlor-alkali, and technology industries. Commercial sales increased 1.8 percent. The increases were partially offset by a residential sales decline of (4.3) percent.
D: Consolidated financial measures
Appendix D provides comparative financial measures. Financial measures in this table include those calculated and presented in accordance with GAAP, as well as those that are considered non-GAAP financial measures.
Appendix D: GAAP and non-GAAP financial measures 2025 vs. 2024 (See Appendix F for reconciliation of GAAP to non-GAAP financial measures) For 12 months ending June 30 2025 2024 Change GAAP measure As-reported ROE 11.4 % 12.8 % (1.4) % Non-GAAP measure Adjusted ROE 11.5 % 10.4 % 1.1 % As of June 30 ($ in millions, except where noted) 2025 2024 Change GAAP measures Cash and cash equivalents 1,176 1,355 (179) Available revolver capacity 4,345 4,345 Commercial paper 459 932 (473) Total debt 30,522 28,846 1,676 Junior subordinated debentures 1,200 1,200 Securitization debt 230 249 (19) Total debt to total capital 65 % 66 % (1) % Storm escrows 303 333 (30) Non-GAAP measures ($ in millions, except where noted) FFO to adjusted debt 15.1 % 14.0 % 1.1 % Adjusted debt to adjusted capitalization 63 % 64 % (1) % Adjusted net debt to adjusted net capitalization 62 % 63 % (1) % Gross liquidity 5,521 5,700 (179) Net liquidity 7,631 5,915 1,716 Adjusted Parent debt to total adjusted debt 17 % 20 % (3) %
Calculations may differ due to rounding
E: Definitions and abbreviations and acronyms
Appendix E-1 provides definitions of certain operating measures, as well as GAAP and non-GAAP financial measures.
Appendix E-1: Definitions
Utility operating and financial measures
GWh sold
Total number of GWh sold to retail and wholesale customers
Number of electric retail customers
Average number of electric customers over the period
Other O&M and refueling outage expense per MWh Other operation and maintenance expense plus nuclear refueling outage
expense per
MWh of total sales
Financial measures - GAAP
As-reported ROE Last twelve months net income attributable to Entergy Corp. divided by
average common equity
Available revolver capacity Amount of undrawn capacity remaining on corporate and subsidiary revolvers
Debt to capital
Total debt divided by total capitalization
Securitization debt Debt on the balance sheet associated with securitization bonds that is
secured by certain
future customer collections
Total debt Sum of short-term and long-term debt, notes payable, and commercial paper
Financial measures - non-GAAP
Adjusted capitalization
Capitalization excluding securitization debt
Adjusted debt Debt excluding securitization debt and 50% of junior subordinated debentures
Adjusted debt to adjusted capitalization
Adjusted debt divided by adjusted capitalization
Adjusted EPS As-reported earnings minus adjustments, divided by the diluted average
number of
common shares outstanding
Adjusted net capitalization
Adjusted capitalization minus cash and cash equivalents
Adjusted net debt
Adjusted debt minus cash and cash equivalents
Adjusted net debt to adjusted net capitalization
Adjusted net debt divided by adjusted net capitalization
Adjusted Parent debt Entergy Corp. debt, including amounts drawn on credit revolver and
commercial paper
facilities plus unamortized debt issuance costs and discounts minus 50% of
junior
subordinated debentures
Adjusted Parent debt to total adjusted debt
Adjusted Parent debt divided by consolidated adjusted debt
Adjusted ROE Last twelve months adjusted earnings divided by average common equity
Adjusted ROE excluding affiliate preferred Last twelve months adjusted earnings, excluding dividend income from
affiliate preferred
as well as the after-tax cost of debt financing for preferred investment,
divided by average
common equity adjusted to exclude the estimated equity associated with the
affiliate
preferred investment
Adjustments Unusual or non-recurring items or events or other items or events that
management
believes do not reflect the ongoing business of Entergy, such as significant
income tax
items, certain items recorded as a result of regulatory settlements or
decisions, and
certain unusual costs or expenses
FFO OCF minus preferred dividend requirements of subsidiaries, working capital
items in OCF
(receivables, fuel inventory, accounts payable, taxes accrued, interest
accrued, deferred
fuel costs, and other working capital accounts), 50% of interest on junior
subordinated
debentures, and securitization regulatory charges
FFO to adjusted debt
Last twelve months FFO divided by end of period adjusted debt
Gross liquidity
Sum of cash and cash equivalents plus available revolver capacity
Net liquidity Sum of cash and cash equivalents, available revolver capacity, escrow
accounts available
for certain storm expenses, and equity sold forward but not yet settled
minus commercial paper
Appendix E-2 explains abbreviations and acronyms used in the quarterly earnings materials.
Appendix E-2: Abbreviations and acronyms
A&G Administrative and general expenses IRS
Internal Revenue Service
ACM Additional capacity mechanism LCPS
Lake Charles Power Station
ADIT Accumulated deferred income taxes LDC
Local distribution company
AFUDC - Allowance for debt funds used during LPSC Louisiana Public Service Commission
debt construction
LTM
Last twelve months
AFUDC - Allowance for equity funds used
during
equity construction MCRM
MISO cost recovery mechanism
AMS
Advanced metering system MISO Midcontinent Independent System Operator,
Inc.
APSC Arkansas Public Service Commission Moody's
Moody's Ratings
ATM At the market equity issuance program MPSC Mississippi Public Service Commission
B&E Business and Executive Session NDT
Nuclear decommissioning trust
CAGR Compound annual growth rate NYSE
New York Stock Exchange
CCCT Combined cycle combustion turbine O&M
Operation and maintenance
CCN Certificate for convenience and OCAPS Orange County Advanced Power Station
necessity (CCCT)
CCNO Council of the City of New Orleans OCF Net cash flow provided by operating
activities
CCS Carbon capture and sequestration OpCo
Utility operating company
CFO
Cash from operations Other O&M Other non-fuel operation and maintenance
expense
COD
Commercial operation date P&O
Parent & Other
CT
Combustion turbine PMR
Performance Management Rider
DCRF Distribution cost recovery factor PPA Power purchase agreement or purchased
power
agreement
DOE
U.S. Department of Energy
Planning resource auction
DRM Distribution Recovery Mechanism PRA
Production tax credit
E-AR
Entergy Arkansas, LLC PTC
Public Utility Commission of Texas
E-LA
Entergy Louisiana, LLC PUCT
Renewable Energy Certificates
E-MS
Entergy Mississippi, LLC RECs
Resilience and storm hardening cost
recovery
E-NO
Entergy New Orleans, LLC RSHCR
Return on equity
E-TX
Entergy Texas, Inc. ROE
Resilience plan cost recovery rider
EPS
Earnings per share RPCR
Standard & Poor's
ESA
Electric service agreement S&P
U.S. Securities and Exchange Commission
ETR
Entergy Corporation SEC
System Energy Resources, Inc.
FFO
Funds from operations SERI
Southeast Texas
FRP
Formula rate plan SETEX
Tax adjustment mechanism
GAAP U.S. generally accepted accounting
principles TAM
Transmission cost recovery factor
GCRR Generation Cost Recovery Rider TCRF
Transmission Recovery Mechanism (rider
within
Grand Gulf or Unit 1 of Grand Gulf Nuclear Station
(nuclear), TRM E-LA's FRP)
GGNS 90% owned or leased by SERI
Weighted-average cost of capital
HLBV Hypothetical liquidation at book
value
WACC
F: Other GAAP to non-GAAP reconciliations
Appendix F-1, Appendix F-2, and Appendix F-3 provide reconciliations of various non-GAAP financial measures disclosed in this news release to their most comparable GAAP measure.
Appendix F-1: Reconciliation of GAAP to non-GAAP financial measures - ROE
(LTM $ in millions except where noted) Second quarter
2025 2024
As-reported net income attributable to Entergy Corporation (A) 1,760 1,779
Adjustments (B) (5) 333
Adjusted earnings (non-GAAP) (C)=(A-
B) 1,765 1,446
Average common equity (average of beginning and ending balances) (D) 15,390 13,902
As-reported ROE (A/D) 11.4 % 12.8 %
Adjusted ROE (non-GAAP) (C/D) 11.5 % 10.4 %
Calculations may differ due to rounding
Appendix F-2: Reconciliation of GAAP to non-GAAP financial measures - FFO to adjusted debt
($ in millions except where noted) Second quarter
2025 2024
Total debt (A) 30,522 28,846
Securitization debt (B) 230 249
50% junior subordinated debentures (C) 600 600
Adjusted debt (non-GAAP) (D)=(A-B-
C) 29,692 27,997
Net cash flow provided by operating activities, LTM (E) 4,740 4,015
Preferred dividend requirements of subsidiaries, LTM (F) (18) (18)
50% of the interest expense associated with junior subordinated debentures, LTM (G) (43) (5)
Working capital items in net cash flow provided by operating activities, LTM:
Receivables (84) (151)
Fuel inventory (1) 17
Accounts payable 208 (17)
Taxes accrued 18 52
Interest accrued 45 36
Deferred fuel costs (216) 331
Other working capital accounts 346 (182)
Securitization regulatory charges, LTM 17 30
Total (H) 332 115
FFO, LTM (non-GAAP) (I)=(E-F-
G-H) 4,469 3,923
FFO to adjusted debt (non-GAAP) (I/D) 15.1 % 14.0 %
Calculations may differ due to rounding
Appendix F-3: Reconciliation of GAAP to non-GAAP financial measures - adjusted debt ratios; gross liquidity; and net liquidity
($ in millions except where noted) Second quarter
2025 2024
Total debt
(A) 30,522 28,846
Securitization debt
(B) 230 249
50% junior subordinated debentures
(C) 600 600
Adjusted debt (non-GAAP) (D)=(A-B-C) 29,692 27,997
Cash and cash equivalents
(E) 1,176 1,355
Adjusted net debt (non-GAAP) (F)=(D-E) 28,516 26,642
Commercial paper
(G) 459 932
Total capitalization
(H) 47,050 43,747
Securitization debt
(B) 230 249
Adjusted capitalization (non-GAAP) (I)=(H-B) 46,820 43,498
Cash and cash equivalents
(E) 1,176 1,355
Adjusted net capitalization (non-GAAP) (J)=(I-E) 45,644 42,143
Total debt to total capitalization
(A/H) 65 % 66 %
Adjusted debt to adjusted capitalization (non-GAAP)
(D/I) 63 % 64 %
Adjusted net debt to adjusted net capitalization (non-GAAP)
(F/J) 62 % 63 %
Available revolver capacity
(K) 4,345 4,345
Storm escrows
(L) 303 333
Equity sold forward, not yet settled (t)
(M) 2,266 815
Gross liquidity (non-GAAP) (N)=(E+K) 5,521 5,700
Net liquidity (non-GAAP) (N-G+L+M) 7,631 5,915
Entergy Corporation notes:
Due September 2025 800 800
Due September 2026 750 750
Due June 2028 650 650
Due June 2030 600 600
Due June 2031 650 650
Due June 2050 600 600
Junior subordinated debentures due December 2054 1,200 1,200
Total Parent long-term debt
(O) 5,250 5,250
Revolver drawn
(P)
Unamortized debt issuance costs and discounts
(Q) (42) (48)
Total Parent debt (R)=(G+O+P+Q) 5,667 6,134
Adjusted Parent debt (non-GAAP) (S)=(R-C) 5,067 5,534
Adjusted Parent debt to total adjusted debt (non-GAAP)
(S/D) 17 % 20 %
Calculations may differ due to rounding
(t) Reflects adjustments, including for common dividends between contracting
and settlement.
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SOURCE Entergy Corporation
