CenterPoint Energy — Q3 2026 Earnings Summary

Financial Performance:

• Reported Q3 2026 net income of $331 million, or $0.50 per diluted share on a GAAP basis, compared to $0.45 per diluted share in Q3 2025.
• Reported Q3 2026 non-GAAP EPS of $0.53 per diluted share, compared to $0.50 per diluted share in Q3 2025.
• Q3 2026 non-GAAP income was $354 million, compared to $328 million in Q3 2025.
• Year-to-date (nine months ended September 30, 2026) GAAP net income was $891 million ($1.34 EPS), while non-GAAP income was $990 million ($1.49 EPS).
• Favorable variance drivers for Q3 2026 included growth and rate recovery ($0.09 per share) and weather/usage ($0.03 per share).
• Unfavorable variance drivers for Q3 2026 included higher financing expenses ($0.04 per share) and other items, primarily the absence of a one-time tax optimization benefit recorded in the prior year ($0.05 per share).
• O&M expenses were flat for the quarter compared to Q3 2025.

Guidance and Future Outlook:

• Raised 2026 non-GAAP EPS guidance range to $1.90–$1.92, representing nearly 9% growth at the midpoint over 2025 delivered results.
• Initiated 2027 non-GAAP EPS guidance range of $2.07–$2.09, representing approximately 9% growth at the midpoint over the increased 2026 guidance.
• Extended non-GAAP EPS growth expectations at the mid-to-high end of the 7%–9% annual range through 2030.
• Maintained incremental capital investment opportunities of at least $10 billion through 2035.

Business Segments and Product Lines:

• Increased the 10-year capital investment plan by $4.0 billion to $70.7 billion (up from $66.7 billion).
• Accelerated $1.5 billion of investments into the 2026–2030 period to support accelerating customer demand in the Greater Houston area.
• The accelerated capital plan supports a rate base CAGR of more than 14% through 2030.
• Completed the divestiture of the Ohio natural gas LDC business on October 1, 2026.
• Released 15 large temporary emergency electric energy facilities (TEEEF) units to the San Antonio area.
• The company serves nearly 7 million metered customers in Indiana, Minnesota, and Texas.

Market and Competitive Landscape:

• Greater Houston is identified as a region with a speed-to-market advantage creating a compelling pipeline of customer-driven investment opportunities.
• Expected growth in the Greater Houston area will drive approximately $5 billion in savings for Texas residential and commercial customers over the next decade.
• Growth drivers include industrial load growth, data centers, energy refining, exports, advanced manufacturing, and logistics.

Risks and Challenges:

• Forward-looking non-GAAP diluted EPS cannot be quantitatively reconciled without unreasonable effort due to the unpredictability of changes in the value of ZENS (2.0% Zero-Premium Exchangeable Subordinated Notes due 2029), future impairments, and other unusual items.
• Risks include delays or cancellations of large-load customer connections, regulatory approvals (ERCOT), and legislative or government actions.
• Potential impacts from severe weather events, natural disasters, climate-related impacts, and supply chain disruptions.
• Risks related to the execution of capital projects within budget, financing activities, interest rates, and credit rating agency actions.
• Regulatory proceedings related to Hurricane Beryl, TEEEF units, and the February 2021 winter storm event.

Management Commentary and Tone:

• Jason Wells, Chair, President, and CEO, stated that accelerated growth opportunities in Greater Houston support affordability and system reliability.
• Management emphasized a disciplined investment approach and a customer-driven strategy to sustain competitive advantage and prepare for the next wave of customer demand.
• The tone reflects confidence in delivering a tangible and executable long-term growth plan for stakeholders.

Other Key Points:

• The 2026 and 2027 non-GAAP EPS guidance excludes earnings or losses from the change in value of ZENS, gains/losses from mergers and divestitures (including the Louisiana, Mississippi, and Ohio natural gas LDC businesses), and impacts related to TEEEF units removed from rate-regulated business.
• Q3 2026 non-GAAP adjustments included a $17 million loss on equity securities (net of tax) and a $19 million gain on indexed debt securities (net of tax).
• Q3 2026 non-GAAP adjustments included a $2 million gain associated with mergers and divestitures (net of tax), which included an $8 million gain on early extinguishment of debt related to the Ohio natural gas LDC divestiture.
• Q3 2026 non-GAAP adjustments included a $19 million impact related to TEEEF units removed from the rate base (net of tax).
• The company filed its Form 10-Q for the quarter ended September 30, 2026, with the SEC.
• An earnings conference call was hosted on October 27, 2026.