American Electric Power Company (AEP) investor relations material

Executive summary

• Q1 2026 operating earnings were $1.64 per share ($891M), up from $1.54 per share in Q1 2025, driven by strong regulatory outcomes, robust load growth, and disciplined cost management, especially in Texas and Ohio.

• Full-year 2026 operating earnings guidance reaffirmed at $6.15–$6.45 per share, with an expected CAGR above 9% through 2030.

• Five-year capital plan increased to $78B for 2026–2030, with line of sight to over $10B in additional projects and nearly 11% rate base CAGR.

• Contracted load growth surged to 63 GW expected by 2030, up from 56 GW last quarter, with nearly 90% from data centers and hyperscalers.

• Regulatory progress achieved across multiple states, including rate reductions, improved ROEs, and new tariff structures to protect customers and ensure large load customers cover their costs.

Financial highlights

• Q1 2026 operating earnings: $1.64/share ($891M), up from $1.54/share in Q1 2025; GAAP EPS: $1.61, up from $1.50.

• Revenue for Q1 2026 was $6,020 million, up from $5,463 million in Q1 2025.

• Regulated earned ROE for the quarter increased to 9.3%, expected to reach ~9.5% by 2030.

• Commercial and industrial sales rose 13.6% year-over-year; C&I revenues up 15.5%.

• Residential rates projected to increase ~3.5% annually, mitigated by large load growth and cost offsets.

Outlook and guidance

• Full-year 2026 operating earnings guidance reaffirmed at $6.15–$6.45 per share.

• Premium operating earnings growth rate of 7%–9% for 2026–2030, now expected to exceed 9% due to expanded capital plan.

• Targeted FFO/Debt range of 14%–15% for 2026–2030.

• Expected total annual shareholder return (TSR) of ~10%–13% from 2026–2030.

• Line of sight to over $10B in additional projects beyond the $78B plan, including Piketon Transmission and Wyoming Fuel Cell initiatives.