Total Revenue

+14.5% (from $3,287M to $3,765M)

Higher overall demand and improved regulatory pricing actions seem to be driving the total revenue increase in Q1 2025 relative to Q1 2024. This growth builds on prior period gains from customer usage and regulated program enhancements, showing a strong recovery and momentum from previous improvements. " "

Distribution Revenue

+9.6% (from $1,767M to $1,936M)

Moderate growth in Distribution revenues was likely influenced by sustained higher customer activity—possibly driven by favorable weather—and adjustments in rider revenues or transmission expense recoveries that had already improved values in the previous period. The increase reflects continuation of trends seen in FY 2024 and earlier quarters. " "

Integrated Segment Revenue

+23% (from $1,095M to $1,349M)

The Integrated segment's substantial 23% YoY growth suggests significant benefits from regulatory base rate adjustments and increased investments, which built on the momentum from Q1 2024. The marked improvement underscores continued returns from higher customer demand, improved retail generation sales, and a broader rate base expansion that was initiated in previous periods. " "

Stand-Alone Transmission Revenue

+12% (from $438M to $491M)

A 12% increase in Stand-Alone Transmission revenue is driven primarily by a higher rate base and better recovery of transmission operating expenses—trends that were first noted in FY 2024. Although partially offset by expected refund charges associated with regulatory decisions, these revenue drivers remained influential in Q1 2025. " "

Electric Revenue within Distribution

Dramatic jump (from ~$1–2M to $1,896M)

The exceptional increase in Electric Revenue within Distribution reflects an accounting reclassification or one-time event rather than organic growth. The reclassification has led to an apparent surge in Q1 2025 figures compared to minimal values in previous quarters, marking a significant, albeit non-recurring, change in how revenue is reported. " " "

Core EPS Guidance

FY 2025

$2.40–$2.60 per share, representing 5.5% growth from 2024’s $2.37 (7% adj) "

$2.40–$2.60 per share, with target in top half of range " "

no change

Core Earnings Growth Rate

FY 2025

6%–8% "

6%–8% " "

no change

Capital Investment Plan

FY 2025

$5 billion in regulated properties "

$5 billion in customer-focused investments " " "

no change

Dividend Guidance

FY 2025

Annual dividend of $1.78 per share "

Quarterly dividend of $0.445 per share (annualized to $1.78 per share) "

no change

Debt Financing Plan

FY 2025

~$3.6 billion total, including $2 billion in new money "

Approximately ~$3.6 billion with $2 billion new money "

no change

Operating & Maintenance Expense

FY 2025

no prior guidance

Base O&M of $1.365 billion; Q1 O&M of $340 million (3.5% lower than Q1 2024) " "

no prior guidance

Total Shareholder Return

FY 2025

no prior guidance

10%–12% "

no prior guidance

Cash Flow Guidance

FY 2025

no prior guidance

Q1 2025 cash flow of $637 million "

no prior guidance

Return on Equity (ROE)

FY 2025

Target of 9.5%–10% "

no current guidance

no current guidance

Ohio Regulatory Developments

In Q4 2024, discussion focused on ESP transitions, base rate case updates, and legislative discussions with uncertainty around recovery mechanisms. " " " In Q2 2024, there was emphasis on a base rate review, ESP V uncertainties, settlement opportunities, and rehearing applications. " " "

Q1 2025 provided clearer timelines with expected legislation in May/June 2025, productive base rate case settlement discussions, and a view that regulatory changes are manageable via multiyear rate plans and CapEx reallocation. " " "

Improved clarity and constructive sentiment with a path toward regulatory certainty.

Capital Expenditures

Q4 2024 noted investments of $4.5B in 2024 with planned increases to $5B in 2025 along with projects like Grid Mod II and detailed long-term plans in LTIP filings. " " " Q2 2024 highlighted a 44% increase in CapEx spending driven by the Energize365 plan and confirmed significant infrastructure investments. " " "

Q1 2025 reaffirmed the $5B core investment plan for 2025 along with further plans for $28B through 2029, an increase in Q1 spending by 15% compared to the prior year, and noted flexible CapEx reallocation and data center opportunities. " "

Consistent upward momentum with an expanding and flexible investment strategy.

Data Center Growth Opportunities

Q4 2024 projects linked incremental transmission investments and growth in industrial sales (with data centers driving forecasts) as pipeline projects become contracted. " " " Q2 2024 emphasized a notable increase in load study requests, extra transmission capacity availability, and an opportunity worth approximately $800M in transmission investments. " "

In Q1 2025, strong data center interest continued with Meta’s $800M new data center and 15 large load study requests indicating roughly 9 GW potential, confirming robust and growing demand for data center-related investments. " "

Steady and optimistic growth across periods with robust pipeline demand.

Operational Efficiency

Q4 2024 focused on maintaining O&M discipline, optimizing supply chains, and reducing contractor reliance to keep expenses flat while meeting regulatory commitments. " " Q2 2024 detailed efforts on workforce productivity improvements and cost savings achievements (approximately $200M saved, $70M target for 2024). "

Q1 2025 outlined continued efforts in reducing O&M costs relative to a $1.365B base plan, implementing back‑office technology, targeted capital initiatives, and organizational design changes that achieved a 3.5% cost reduction versus the previous year. " " "

A consistent focus on cost reduction with gradual improvements in operational discipline.

Industrial Demand Weakness

Q4 2024 noted that offline steel customers impacted the industrial sector but expected rebound aided by data center activity. " In Q2 2024, there were positive indications with overall industrial demand up (auto +14%, services +7%). "

Q1 2025 mentioned a 3% decline in industrial sales, primarily driven by weakness in the steel sector, yet signaled an anticipated recovery with new data centers expected to bolster future demand. " "

Mixed sentiment: short‑term weakness acknowledged with an expectation of recovery driven by data center growth.

Pension Underfunding

Q4 2024 reported the pension plan ended the year at about 84% funded due to softer asset performance. " In Q2 2024, discussions centered around pension lift‑out transactions to eliminate nonregulated pension liabilities and reduce volatility. " "

Q1 2025 did not mention pension issues, suggesting they are not a primary focus in this period.

Reduced emphasis in Q1 2025 although underlying concerns persist from previous periods.

Legacy Issue Resolution

Q4 2024 highlighted resolution of legacy proceedings in Ohio (withdrawal of ESP V and reverting to ESP IV), along with responses to the Blue Ridge auditor’s report and regulatory milestones achieving de‑risking of significant portions of the rate base. " " " Q2 2024 provided detailed updates on DPA completion, SEC settlement efforts, and progress with the OOCIC and PUCO docketed cases. " "

Q1 2025 did not address legacy or legal issues, implying these topics have receded from the forefront.

A notable receding of focus in Q1 2025 as past issues appear largely resolved.

Grid Modernization and Reliability

Q4 2024 discussed the Ohio Grid Mod II settlement, Pennsylvania’s LTIP 3 investments, and EnergizeNJ efforts aimed at system resiliency and substation modernization. " " Q2 2024 included filings on Grid Mod II, vegetation management programs, and Energize New Jersey proposals along with LTIP 3 for enhanced reliability. " "

Q1 2025 continued the emphasis on grid modernization with significant investments via the Energize365 program (over $1B in Q1) and highlighted improvements in customer demand, particularly in high‑margin residential segments and targeted infrastructure projects. " " "

Consistent focus with a positive shift as improved customer demand supports reliability investments.

Equity Financing Risks

Q4 2024 included discussions on financing options for incremental capital (including potential equity portions for new projects) while maintaining a targeted dividend payout and investment‑grade ratings. " " " Q2 2024 mentioned modest equity needs of up to $100M per year and addressed balance sheet capacity concerns. " "

Q1 2025 did not mention equity financing risks or dilution issues, suggesting stabilization in financing strategies.

Reduced focus in Q1 2025 as previous financing concerns appear to have stabilized.

Challenges in Attracting New Generation

Q2 2024 highlighted significant challenges in PJM with very low new generation clearing in auctions, long lead times (around 6 years), and systemic issues potentially impacting long‑term economic development. " " " Q4 2024 did not mention this topic.

Q1 2025 renewed focus on challenges in attracting new generation in PJM, with resource adequacy issues, high capacity auction prices, and appeals for state‑level leadership to address these hurdles. " "

Re‑emergence of concerns from earlier discussions indicating persistent challenges despite intermittent silence.