Skip to content
    LNT
    Earnings call· Mar 2026(Q1 FY26)

    ALLIANT ENERGY Q1 FY26 earnings call LNT

    May 1, 2026 Source

    Executive summary

    Alliant Energy Q1 FY26 — Strong Start with Significant Data Center Growth

    Alliant Energy reported a solid start to FY26, reaffirming its full-year earnings guidance despite mild weather impacts. The company highlighted significant progress in securing large data center loads, with 3.4 GW now contracted, and outlined its strategy to support this growth through flexible resource planning and a balanced financing approach. Management emphasized its commitment to affordability for existing customers by ensuring new large loads fund their own infrastructure, positioning the company for sustainable long-term growth.

    Highlights

    5

    • Q1 ongoing earnings of $0.82 per share delivered approximately 25% of the midpoint of full-year guidance.

    • Executed a new 370-megawatt electric service agreement with a hyperscale customer in Iowa, with full load ramp by end of 2030.

    • Now have 5 fully executed data center agreements representing approximately 3.4 gigawatts of contracted demand.

    • Secured a credit rating upgrade for IPL from BBB+ to A- from S&P.

    • Iowa Utility Commission approved settlement for advanced ratemaking principles for up to 1 gigawatt of new wind generation at a 9.8% blended ROE.

    Concerns

    2

    • Mild temperatures in Q1 2026 reduced electric and gas margins by approximately $0.04 per share.

    • Higher operations and maintenance expenses related to new energy resources and planned maintenance, as well as higher depreciation and financing costs, offset positive drivers.

    Guidance & targets

    2
    CategoryTargetConfidence
    Full-year 2026 ongoing earnings
    Reaffirmed
    high materiality
    High
    Compound annual earnings growth rate
    7% plus
    high materiality
    High

    Operational metrics

    17
    Ongoing earnings per share
    $0.82
    Q1 FY26

    Reported Q1 FY26 ongoing earnings.

    GAAP earnings per share
    $0.87
    Q1 FY26

    Reported Q1 FY26 GAAP earnings.

    Impact of temperatures on electric and gas margins
    $0.04vs. $0.03 in prior year
    Q1 FY26

    Reduction in margins due to very mild temperatures.

    Deferred tax asset remeasurement benefit
    $0.05
    Q1 FY26

    Benefit from remeasurement of deferred tax assets, reflecting updated state income tax apportionment assumptions.

    Electric sales
    essentially evenYoY
    Q1 FY26

    Electric sales were essentially even year-over-year, excluding temperature impacts.

    Parent level and Alliant Energy Finance maturities
    $1.1B
    Q1 FY26

    Maturities retired with available cash and new debt issuances.

    Remaining 2026 debt financing plans
    up to $800M
    FY26

    Long-term issuances planned for the remainder of 2026.

    IPL sales of receivable program capacity
    increased from $110M to $180M
    Q1 FY26

    Increased capacity of the sales of receivable program at IPL.

    IPL credit rating
    upgraded to A-from BBB+
    Q1 FY26

    S&P upgraded IPL's credit rating.

    Expected common equity needs
    $2.4B
    next 4 years

    Total expected common equity needs over the next four years.

    Equity raised through forward equity agreements
    $1.3B
    to date

    Equity already raised through forward equity agreements, covering needs through 2027.

    Remaining equity to be raised
    $1B
    through 2029

    Remaining equity needs to be raised through 2029.

    At-the-market program
    $1B
    Q1 FY26

    New ATM program filed during Q1 to enable issuance of remaining equity.

    Iowa natural gas combustion turbine project
    720
    current

    One active Iowa docket for a 720-megawatt natural gas combustion turbine project, filed earlier this week.

    Wisconsin Ventre North wind project
    153
    current

    Approval received from the Public Service Commission of Wisconsin for the 153-megawatt Ventre North wind project.

    Simple cycle natural gas facility capacity
    up to 1.1
    future

    Entered into a contract for up to 1.1 gigawatts for a simple cycle natural gas facility to support new load.

    Typical CT build time
    3 to 4
    future

    Estimated build time for a typical simple cycle gas turbine.

    Industry KPIs

    5
    MetricValueDetails
    Retail sales growthessentially even%
    Regulatory rate base growth—
    Rto market structure reviewMISO accreditation assumptions
    New gas generation builds upgradesup to 1.1GW
    Contracted large load capacity esas loas3.4GW

    Orderbook & backlog

    3
    Contracted data center demand3.4 GWQ1 FY26

    Represents 5 fully executed data center agreements, with 3 projects under active construction. More than a 60% increase in current peak demand.

    New hyperscale customer electric service agreement370 MWApril 2026

    Full load ramp expected by the end of 2030. Part of the 3.4 GW total.

    Future large load opportunities2 to 4 GWQ1 FY26

    Mature opportunities with high confidence, active negotiations, transmission studies ongoing/complete, and land control. Includes new entities and potential expansions.

    Deals & partnerships

    2
    Hyperscale customerElectric service agreement for data center demand

    New 370-megawatt electric service agreement in Iowa.

    High-quality counterpartyAgreement to construct a simple cycle natural gas facility

    Agreement to construct a simple cycle natural gas facility to support the new 370 MW ESA and other load growth.

    Capital programs

    4
    4-year capital planunderway
    Funding: balanced mix of cash from operations, proceeds from ongoing tax credit monetization, new financings (debt, pipe instruments, common equity)

    The 4-year capital plan is funded through a balanced mix of sources.

    Iowa new wind generationapproved

    Benefit: up to 1 GW

    Iowa Utility Commission approved settlement for advanced ratemaking principles for up to 1 gigawatt of new wind generation at a current blended ROE of 9.8%.

    Wisconsin Ventre North wind projectapproved

    Benefit: 153 MW

    Approval received from the Public Service Commission of Wisconsin for the 153-megawatt Ventre North wind project.

    Simple cycle natural gas facilityunderway

    Benefit: up to 1.1 GW

    Entered into an agreement with a high-quality counterparty to construct a simple cycle natural gas facility to support new large load.

    Risks & headwinds

    5
    Mild temperaturesQ1 FY26

    $0.04 per share reduction in electric and gas margins

    Higher operating costsQ1 FY26

    Higher operations and maintenance expenses, depreciation, and financing costs

    Wisconsin data center pushback/rhetoricOngoing

    Qualitative, 'rhetoric that's out there that I think is spillover, quite frankly, from PJM'

    Mitigation: Actively addressing and countering rhetoric, emphasizing customer pledge that existing customers are not paying for data centers.

    MISO accreditation assumptions changesExpected Q3 FY26

    Qualitative, potential impact on resource planning and generation needs

    Mitigation: Will be reflected in updated Iowa resource plan in Q3.

    FERC policy timeline for self-funded network interconnection upgradesUncertain

    Qualitative, no line of sight on timeline

    What to watch in Q2 FY26

    4

    Updated Iowa resource plan

    Q3 FY26 / EEI
    Current3 GW already in plan
    TargetReflecting incremental load beyond 3 GW and updated MISO accreditation assumptions

    Why it matters

    This plan will detail the generation resources needed for new large loads and the impact of MISO changes, crucial for future capital expenditure and earnings growth.

    Our third quarter update will include a refreshed Iowa resource plan, reflecting any incremental load beyond the 3 gigawatts already in our plan as well as the impact of updated MISO accreditation assumptions.

    Q&A highlights

    6

    Will the new 370 MW ESA and the 2-4 GW pipeline lead to more definable EPS guidance, given the current 7%+ growth and improving visibility?

    Management will provide a full update on the resource plan and EPS growth trajectory, including the generation needed for the 370 MW, during the Q3 earnings call and at EEI.

    “Our third quarter update will include a refreshed Iowa resource plan, reflecting any incremental load beyond the 3 gigawatts already in our plan as well as the impact of updated MISO accreditation assumptions. We expect to finance these incremental investments with a balanced mix of equity and debt to maintain a resilient financial profile.”

    asked by Shahriar Pourreza · answered by Lisa Barton

    2 min read5 chapters

    Detailed Narrative

    01

    Large Load Opportunities and Data Center Growth

    Alliant Energy announced significant progress on large load opportunities, executing a new 370-megawatt electric service agreement with a hyperscale customer in Iowa, with full load ramp expected by the end of 2030. This brings the total to five fully executed data center agreements, representing approximately 3.4 gigawatts of contracted demand, a 60% increase over current peak demand. The company is actively pursuing an additional 2 to 4 gigawatts of future large load opportunities, with updates expected in Q3.

    02

    Resource Planning and Generation Strategy

    To support the growing demand, Alliant Energy has entered into an agreement with a high-quality counterparty to construct a simple cycle natural gas facility, sized up to 1.1 gigawatts. The company's resource planning process is flexible, incorporating low, medium, and high load growth trajectories, and will be updated in Q3 to reflect incremental load and MISO accreditation assumptions. The strategy focuses on batteries and simple cycle gas turbines for speed to market and flexibility, leveraging Iowa's wind-rich resources.

    03

    Regulatory Framework and Customer Affordability

    Alliant Energy emphasizes its commitment to customer affordability, particularly in Iowa, where the regulatory framework is designed to keep base electric rates stable through at least the end of the decade. The company's policy ensures that large incremental demand customers are responsible for funding the required infrastructure, protecting existing ratepayers. This approach creates strong alignment between capital investments and revenue growth, while preserving flexibility for future energy needs.

    04

    Financing Plans and Credit Strength

    The company retired $1.1 billion in parent-level and Alliant Energy Finance maturities in Q1 2026, using available cash and new debt issuances, including a $400 million term loan. Remaining 2026 debt financing plans include up to $800 million in long-term issuances. Alliant Energy has secured $1.3 billion of its $2.4 billion expected common equity needs through 2029 via forward equity agreements, with a new $1 billion at-the-market program filed to cover the remaining equity needs.

    05

    Regulatory Approvals and Agenda

    Alliant Energy received constructive regulatory decisions for new wind projects, including approval for up to 1 gigawatt of new wind generation in Iowa with a 9.8% blended ROE and the 153-megawatt Ventre North wind project in Wisconsin. The company has no active rate reviews planned in 2026, reducing regulatory uncertainty🌐. Several active dockets are ongoing in Iowa and Wisconsin, including a 720-megawatt natural gas combustion turbine project in Iowa and individual customer rate filings for data centers.

    AI-generated summary of the company’s earnings call. Not investment advice.