Exelon — Third Quarter 2026 Earnings Summary

Financial Performance

• GAAP net income for Q3 2026 was $0.70 per share, down from $0.86 per share in Q3 2025; total GAAP net income was $729 million compared to $875 million in the prior year period.
• Adjusted (non-GAAP) operating earnings for Q3 2026 were $0.87 per share, up from $0.86 per share in Q3 2025; total Adjusted operating earnings were $897 million compared to $874 million in the prior year period.
• For the nine months ended September 30, 2026, GAAP net income was $2,044 million ($1.98 per share) compared to $2,174 million ($2.15 per share) in the prior year period.
• For the nine months ended September 30, 2026, Adjusted (non-GAAP) operating earnings were $2,265 million ($2.20 per share) compared to $2,198 million ($2.17 per share) in the prior year period.
• Operating revenues for Q3 2026 were $7,319 million, up from $6,705 million in Q3 2025.
• Operating revenues for the nine months ended September 30, 2026, were $20,528 million, up from $18,846 million in the prior year period.
• Total assets as of September 30, 2026, were $122,237 million, up from $116,570 million as of December 31, 2025.
• Total liabilities as of September 30, 2026, were $92,105 million, up from $87,772 million as of December 31, 2025.
• Shareholders' equity as of September 30, 2026, was $30,132 million, up from $28,798 million as of December 31, 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 the prior year period.
• Capital expenditures for the nine months ended September 30, 2026, were $6,799 million, up from $6,095 million in the prior year period.
• Dividends paid on common stock for the nine months ended September 30, 2026, were $1,294 million, up from $1,212 million in the prior year period.

Guidance and Future Outlook

• Narrowed full-year 2026 Adjusted (non-GAAP) operating earnings guidance range 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 investment in the grid, transmission, and storage solutions to support growth and affordability.

Business Segments and Product Lines

• ComEd: Q3 2026 GAAP net income increased to $406 million (from $373 million); Adjusted operating earnings increased to $412 million (from $373 million), driven by higher distribution and transmission rate bases and higher AFUDC.
• PECO: Q3 2026 GAAP net income decreased to $165 million (from $250 million); Adjusted operating earnings decreased to $167 million (from $250 million), primarily due to higher storm costs (absence of 2025 deferrals), higher income taxes, and increased contracting costs, partially offset by favorable weather and absence of surcharge credits.
• BGE: Q3 2026 GAAP net income increased to $90 million (from $82 million); Adjusted operating earnings increased to $119 million (from $82 million), driven by approved distribution rates and decreased contracting costs.
• PHI: Q3 2026 GAAP net income decreased to $187 million (from $291 million); Adjusted operating earnings increased to $320 million (from $290 million), driven by approved distribution rates, partially offset by higher storm costs, depreciation, and interest expense.
• Utilities now rank 1st, 2nd, 5th, and 6th in the nation for reliability.
• ComEd, BGE, and PHI distribution earnings are decoupled from weather and customer usage patterns.

Market and Competitive Landscape

• Exelon serves almost 11 million customers through six fully regulated transmission and distribution utilities: Atlantic City Electric (ACE), Baltimore Gas and Electric (BGE), Commonwealth Edison (ComEd), Delmarva Power & Light (DPL), PECO Energy Company (PECO), and Potomac Electric Power Company (Pepco).
• Customer rates across Exelon's utilities remain below the national average.
• Final orders were issued in the Pepco Maryland base rate case and Maryland Lessons Learned.

Risks and Challenges

• Forward-looking statements are subject to risks including unfavorable legislative and regulatory actions, uncertainty in regulatory approval proceedings, and environmental liabilities.
• Risks include extreme weather events, natural disasters, operational accidents, and supply chain disruptions.
• Potential impacts from climate change on energy usage, maintenance, and capital costs are noted.
• Risks include instability in capital and credit markets, credit rating downgrades, and significant economic downturns.

Management Commentary and Tone

• CEO Calvin Butler stated results reflect disciplined investment and consistent performance, preventing outages during severe summer weather.
• CFO Rob Kleczynski noted that investments in the grid are delivering for customers and affirmed the narrowed earnings guidance range.
• Management emphasized the "Exelon Promise" to keep bills low and address energy supply crises 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.
• 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.
• The Maryland Public Service Commission approved an increase in Pepco's annual electric distribution base rates of $51 million (reflecting an ROE of 9.40%) effective August 10, 2026.
• Exelon completed 2026 planned debt financings to support continued investment across the utilities.