Hawaiian Electric Industries (HE) Q4 2025 earnings summary

Executive summary

• Achieved significant progress on wildfire litigation settlements, with class and shareholder actions finalized and funded by insurance proceeds.

• Net income for 2025 was $123.1 million ($0.71/share), a recovery from a $1.4 billion loss in 2024, driven by the absence of large wildfire-related charges.

• Advanced wildfire safety, clean energy targets, and customer affordability initiatives, with regulatory approval for enhanced wildfire safety strategy.

• Maintained strong liquidity, with $1.6 billion available at year-end 2025, supported by expanded credit facilities and successful debt issuance.

• Announced CFO transition, with Paul Ito to succeed Scott DeGhetto in April 2026.

Financial highlights

• FY2025 GAAP net income was $123.1 million ($0.71/share); core net income was $149.3 million ($0.86/share), both impacted by wildfire expenses and asset impairments.

• Total revenues for 2025 were $3.22 billion, up from $3.09 billion in 2024.

• Utility core net income was $177.5 million, down from $180.7 million year-over-year, due to higher O&M, interest, and depreciation.

• Holding company core net loss improved to $28.2 million from $56.4 million in 2024, driven by lower interest expense.

• Ended Q4 with $16 million (holding company) and $486 million (utility) in unrestricted cash; $530 million and $540 million in available liquidity, respectively.

Outlook and guidance

• Utility is on track to meet the 40% renewable portfolio standard by 2030, achieving 37% in 2025.

• Expect to make the first $479 million wildfire settlement payment in the second half of 2026, pending resolution of outstanding appeals.

• 2026 CapEx projected at $550–$700 million; 2027–2028 CapEx expected to rise to $600–$850 million, subject to PUC approvals.

• Wildfire fund and liability cap implementation expected over the next 18–24 months.

• Rebasing proposal for next multi-year rate period to be filed by March 2026, with decision expected by end of 2026.