CMS Energy (CMS) Q4 2025 earnings summary

Executive summary

• 2025 adjusted EPS reached $3.61, up over 8% year-over-year, exceeding guidance, driven by strong utility and NorthStar Clean Energy performance and constructive regulatory outcomes.

• Annual dividend per share increased to $2.28 for 2026, marking the 20th consecutive annual increase.

• Approved a 20-year renewable energy plan, unlocking $14 billion in customer investment opportunities and adding 8 GW of solar and 2.8 GW of wind.

• Large Load Tariff approved, supporting data center growth and protecting existing customers from cost impacts.

• Delivered over $100M in cost savings through operational efficiencies.

Financial highlights

• 2025 adjusted EPS of $3.61, up from $3.34 in 2024, and total operating revenue of $8.54B, up from $7.52B.

• Net income available to common stockholders was $1.06B, up from $993M year-over-year.

• Utility capital plan increased to $24B for 2026–2030, up $4B from the prior plan.

• Maintained solid investment-grade credit ratings, affirmed by all major agencies.

• Dividend payout ratio targeted at approximately 55% over time, with continued annual growth.

Outlook and guidance

• 2026 adjusted EPS guidance raised to $3.83–$3.90, implying 6%–8% growth off 2025 actuals, with confidence toward the high end.

• Long-term adjusted EPS growth guidance reaffirmed at 6%–8% annually, compounding off actuals.

• Five-year plan supports 10.5% rate base CAGR through 2030, with rate base expected to grow from $28.4B in 2025 to $46.8B in 2030.

• Planned equity issuance of ~$700M in 2026 and ~$750M per year through 2030.

• Expecting 3% weather-normalized load growth in 2026, with 2%–3% run rate in subsequent years.