Alliant Energy 2025 Q3 Earnings Record Net Income Amid EPS Decline

Alliant Energy (LNT) reported mixed Q3 2025 results, with revenue exceeding estimates but earnings falling short. The company narrowed 2025 guidance and raised 2026 projections, signaling long-term optimism despite near-term profitability challenges.

Revenue

Total revenue rose 11.9% year-over-year to $1.21 billion, driven by robust utility operations. Electric utility sales accounted for $1.12 billion, while gas utility revenue reached $51 million, and other utility contributions added $12 million. Non-utility segments contributed $23 million, reflecting a diversified revenue stream. The performance underscores strong operational execution across core utility services.

Earnings/Net Income

Earnings per share (EPS) declined 5.2% to $1.09, missing estimates, while net income fell 4.7% to $281 million. Despite the drop, the company achieved a record $281 million net income for Q3, the highest in over two decades, highlighting resilience amid cost pressures.

Post-Earnings Price Action Review

Alliant Energy’s revenue beat of $1.21 billion—surpassing consensus by 10%—signaled strong operational performance, though earnings fell short of estimates. The stock gained 1.68% over three months and 15.57% in a year, reflecting cautious optimism. Analyst sentiment remains divided, with seven "buy" ratings offset by one "sell." The company’s narrowed 2025 guidance to $3.17–$3.23 and 2026 target of $3.36–$3.46 (6.6% growth) suggest confidence in long-term prospects. However, mixed earnings results and regulatory uncertainties could trigger short-term volatility. A 30-day holding strategy may benefit from dividend growth and capital expenditure plans but requires vigilance on operational efficiency.

CEO Commentary

CEO Lisa Barton emphasized progress in data center partnerships (e.g., QTS Madison, Google) and infrastructure projects, positioning Alliant Energy to meet 50% peak demand growth by 2030. She highlighted a $13.4 billion CAPEX plan (2025–2029) and regulatory approvals in Iowa and Wisconsin, underscoring a balanced approach to affordability and growth.

Guidance

2025 ongoing EPS guidance is narrowed to $3.17–$3.23, with full-year results trending toward the upper end. For 2026, EPS guidance of $3.36–$3.46 reflects 6.6% growth. The 2026 dividend target increased to $2.14/share (5.4% rise), supported by $1.5–1.6 billion in planned tax credit monetization.

Additional News

1. Capital Expansion: Alliant Energy raised its four-year CAPEX plan to $13.4 billion (17% increase), targeting 12% rate base CAGR through 2029.

2. Dividend Growth: The 2026 common stock dividend target rose to $2.14/share, reflecting a 5.4% annual increase.

3. Strategic Partnerships: New agreements with Google and QTS Madison secured 3 GW of contracted demand, driving future load growth and community economic development.