PPL (PPL) Q1 2026 earnings summary

Executive summary

• Delivered strong Q1 2026 financial and operational results, with GAAP EPS of $0.60 and ongoing EPS of $0.63, up $0.03 year-over-year, and net income of $452 million, up from $414 million in Q1 2025.

• Reaffirmed 2026 ongoing EPS guidance of $1.90–$1.98, midpoint $1.94, and long-term 6–8% annual EPS growth target through 2029, expecting growth near the top end.

• On track for $5.1B planned investments in 2026 and $23B through 2029, supporting 10.3% average annual rate base growth.

• Regulatory approvals and settlements in Kentucky and Pennsylvania enabled significant base rate increases and new cost recovery mechanisms.

• Advancing major regulatory settlements, innovative partnerships, and infrastructure investments to support demand growth and system reliability.

Financial highlights

• Q1 2026 GAAP EPS: $0.60 vs. $0.56 in Q1 2025; ongoing EPS: $0.63, up $0.03 year-over-year; net income: $452 million; operating revenues: $2.77 billion.

• Special items of $0.03 per share related to ISO-NE ROE reduction and system integration, partially offset by regulatory asset treatment.

• Higher base rate recovery in Kentucky and increased transmission revenues drove earnings growth, partially offset by higher depreciation and financing costs.

• Maintains strong credit ratings (A- S&P, Baa1 Moody’s) and significant financial flexibility.

• $1.15B equity units offering executed in February, de-risking two-thirds of equity needs for the current capex plan.

Outlook and guidance

• Reaffirmed 2026 ongoing EPS guidance of $1.90–$1.98, targeting midpoint $1.94.

• Long-term EPS growth target of 6–8% annually through at least 2029, with growth expected near the top end.

• Annual dividend growth targeted at 4–6%.

• Capital plan on track, with upside potential from incremental data center demand and joint venture opportunities.

• New base rates in Kentucky and Pennsylvania expected to support revenue growth, with no further increases for two years in Pennsylvania.