Vistra 2025 Q2 Earnings Revenue Grows 10.5% to $4.25 Billion, Net Income Falls 30% to $327 Million

Vistra (VST) reported mixed 2025 Q2 results, with revenue beating expectations but net income falling short. The company reaffirmed its 2025 guidance and raised 2026 EBITDA midpoint estimates.

Revenue

Vistra’s total revenue increased by 10.5% to $4.25 billion in 2025 Q2 compared to $3.85 billion in 2024 Q2. This growth reflects strong performance across multiple business segments, including Retail, Texas, and East operations. Specifically, the Retail segment contributed $756 million, while Texas and East segments added $142 million and $418 million, respectively. The West segment reported $49 million in revenue. However, the Corporate and Other segment reported a negative contribution of $16 million, and the Asset Closure segment recorded a loss of $17 million.

Earnings/Net Income

Vistra’s EPS declined 10.4% to $0.83 in 2025 Q2 from $0.92 in 2024 Q2. Meanwhile, the company's net income fell to $327 million in 2025 Q2, a 30.0% drop from $467 million in 2024 Q2. The decline in net income was primarily due to higher plant outage expenses and increased depreciation and amortization costs. This indicates a challenging operational environment, despite the revenue growth.

Price Action

The stock price of Vistra has jumped 8.09% during the latest trading day, has edged down 1.41% during the most recent full trading week, and has jumped 8.10% month-to-date.

Post-Earnings Price Action Review

The strategy of buying Vistra (VST) shares after a revenue raise quarter-over-quarter on the financial report released date and holding for 30 days delivered impressive returns over the past three years. The strategy achieved a 726.03% return, vastly outperforming the benchmark return of 48.67%. The excess return was 677.36%, indicating the strategy's significant advantage over a passive approach. With a CAGR of 106.66% and a maximum drawdown of 0.00%, the strategy also showcased robust risk-adjusted returns and minimal downside risk.

CEO Commentary

Jim Burke, President and CEO of Vistra, emphasized the company’s commitment to reliable power generation amid rising demand and highlighted operational performance across diverse market conditions. He noted the execution of a definitive agreement to acquire 2,600 MW of natural gas capacity across key markets and the Nuclear Regulatory Commission’s approval to extend the Perry Nuclear Power Plant’s license to 2046. Burke expressed confidence in Q2 results and reiterated 2025 guidance, while increasing the 2026 midpoint opportunity for Ongoing Operations Adjusted EBITDA to over $6.8 billion, excluding the Lotus acquisition. The tone conveyed optimism about operational momentum and future execution.

Guidance

Vistra reaffirmed its 2025 guidance ranges for Ongoing Operations Adjusted EBITDA of $5.5 billion to $6.1 billion and Ongoing Operations Adjusted FCFbG of $3.0 billion to $3.6 billion. It increased the midpoint opportunity for 2026 Ongoing Operations Adjusted EBITDA to over $6.8 billion, excluding any benefit from the Lotus acquisition. The company reported 100% hedging of expected generation volumes for 2025 and 95% for 2026, supporting its guidance.

Additional News

Vistra executed a definitive agreement to acquire seven natural gas facilities, totaling approximately 2,600 MW of capacity, from Lotus Infrastructure Partners, further geographically diversifying its natural gas fleet. This strategic acquisition supports Vistra's long-term growth objectives and aligns with its integrated business model. Additionally, Vistra received approval from the Nuclear Regulatory Commission to extend the operating license of its Perry Nuclear Power Plant for an additional 20 years, through 2046, ensuring continued reliable energy production. The company also announced plans to begin construction on its third Illinois Coal to Solar & Energy Storage Initiative project, Newton Solar & Energy Storage Facility, and obtained a power purchase agreement for the Deer Creek Solar & Energy Storage Facility. These developments underscore Vistra’s commitment to expanding its clean energy portfolio and enhancing its operational capabilities.