Exelon — Third Quarter 2026 Earnings Summary

Financial Performance:

• GAAP net income for the third quarter of 2026 was $0.70 per share, a decrease from $0.86 per share in the third quarter of 2025.
• Adjusted (non-GAAP) operating earnings for the third quarter of 2026 were $0.87 per share, an increase from $0.86 per share in the third quarter of 2025.
• Consolidated operating revenues for the three months ended September 30, 2026, were $7,319 million, compared to $6,705 million in the same period in 2025.
• Consolidated net income attributable to common shareholders for the nine months ended September 30, 2026, was $2,044 million, down from $2,174 million in 2025.
• Adjusted (non-GAAP) operating earnings for the nine months ended September 30, 2026, were $2.20 per share, compared to $2.17 per share in 2025.
• Net cash flows provided by operating activities for the nine months ended September 30, 2026, were $5,404 million, up from $5,010 million in 2025.
• Capital expenditures for the nine months ended September 30, 2026, were $6,799 million, compared to $6,095 million in 2025.
• Total assets as of September 30, 2026, were $122,237 million, compared to $116,570 million as of December 31, 2025.
• Total liabilities as of September 30, 2026, were $92,105 million, compared to $87,772 million as of December 31, 2025.
• Total shareholders' equity as of September 30, 2026, was $30,132 million, compared to $28,798 million as of December 31, 2025.
• Long-term debt as of September 30, 2026, was $50,791 million, compared to $47,413 million as of December 31, 2025.

Guidance and Future Outlook:

• Full year 2026 Adjusted (non-GAAP) operating earnings guidance range narrowed to $2.85-$2.91 per share.
• Affirmed operating EPS compounded annual growth near the top end of 5-7% from 2025 to 2029.
• Management indicated continued advancement of transmission and storage solutions to support growth and affordability.

Business Segments and Product Lines:

• ComEd: GAAP net income increased to $406 million (from $373 million in 2025); Adjusted operating earnings increased to $412 million (from $373 million in 2025), driven by higher distribution and transmission rate base and higher AFUDC.
• PECO: GAAP net income decreased to $165 million (from $250 million in 2025); Adjusted operating earnings decreased to $167 million (from $250 million in 2025), primarily due to higher storm costs and the absence of extraordinary storm cost deferrals recognized in 2025.
• BGE: GAAP net income increased to $90 million (from $82 million in 2025); Adjusted operating earnings increased to $119 million (from $82 million in 2025), driven by approved distribution rates and decreased contracting costs.
• PHI: GAAP net income decreased to $187 million (from $291 million in 2025); Adjusted operating earnings increased to $320 million (from $290 million in 2025), driven by approved distribution rates, partially offset by increased storm costs and depreciation.
• Exelon's utilities now rank 1st, 2nd, 5th, and 6th in the nation for reliability.

Market and Competitive Landscape:

• Exelon serves almost 11 million customers through six fully regulated transmission and distribution utilities.
• Customer rates remained below the national average during the reporting period.
• The company maintained top quartile reliability across its utilities, avoiding outage costs through disciplined investment.

Risks and Challenges:

• Storm costs impacted PECO and PHI earnings, including the absence of extraordinary storm cost deferrals in 2025.
• Higher income taxes and contracting costs affected PECO and PHI results.
• Forward-looking statements highlight risks including unfavorable legislative/regulatory actions, environmental liabilities, extreme weather events, supply chain disruptions, and capital market instability.

Management Commentary and Tone:

• CEO Calvin Butler stated that third-quarter results reflect disciplined investment and consistent performance, preventing outages during severe summer weather.
• CFO Rob Kleczynski noted that investments in the grid continue to deliver for customers and affirmed the earnings growth guidance.
• Management emphasized the "Exelon Promise" to keep bills low through long-term solutions like battery storage and utility-generated power.

Other Key Points:

• The Board of Directors declared a regular quarterly dividend of $0.42 per share on common stock, payable December 15, 2026, to shareholders of record as of December 4, 2026.
• Final orders were issued in the Pepco Maryland base rate case and Maryland Lessons Learned.
• PECO issued $750 million of First Mortgage Bonds (5.00% Series due September 1, 2031) on August 10, 2026, to repay existing indebtedness and for general corporate purposes.
• DPL issued $75 million of First Mortgage Bonds (5.00% Series due September 16, 2036) on September 16, 2026, to repay existing indebtedness and for general corporate purposes.
• Pepco's annual electric distribution base rates increased by $51 million effective August 10, 2026, reflecting an ROE of 9.40%.
• ComEd's distribution earnings are decoupled from actual weather or customer usage patterns.
• BGE's distribution earnings are decoupled from actual weather or customer usage patterns.
• PHI's distribution earnings related to Pepco Maryland, DPL Maryland, Pepco District of Columbia, and ACE are decoupled from actual weather or customer usage patterns.