Alliant Energy's Q3 Net Income Dips, Revenues Climb on Electric Demand

TL;DR

**Alliant Energy's Q3 net income took a hit, but strong revenue growth and asset expansion signal a bullish long-term outlook despite rising debt.**

AI Summary

Interstate Power & Light Co (IPL) reported a net income attributable to Alliant Energy common shareowners of $281 million for the three months ended September 30, 2025, a decrease from $295 million in the same period of 2024. For the nine months ended September 30, 2025, net income increased to $668 million from $540 million in 2024. Total revenues for Alliant Energy, IPL's parent, rose to $1,210 million for the three months ended September 30, 2025, up from $1,081 million in 2024, driven by a significant increase in electric utility revenue from $999 million to $1,124 million. Operating expenses also increased, with electric production fuel and purchased power rising from $192 million to $239 million for the three-month period. The company's balance sheet shows total assets growing to $24,627 million as of September 30, 2025, from $22,714 million at December 31, 2024, primarily due to an increase in property, plant and equipment, net, from $18,701 million to $19,813 million. Long-term debt, net, increased substantially from $8,677 million to $10,655 million, indicating increased leverage. Key risks include the ability to obtain adequate and timely rate relief, impacts of the retail electric base rate moratorium, and the ability to complete construction projects within cost targets and planned in-service dates.

Why It Matters

This filing reveals Alliant Energy's (LNT) continued capital investment in property, plant, and equipment, which is crucial for future growth and meeting energy demand in its service territories. The increase in long-term debt, however, signals higher leverage, which could impact investor returns and credit ratings if not managed effectively. For customers, the ability to obtain timely rate relief is paramount, as it directly influences utility costs. In a competitive landscape, Alliant's capacity to manage construction costs and secure regulatory approvals will dictate its ability to deliver reliable and affordable energy, impacting its market position against other regional utilities.

Risk Assessment

Risk Level: medium — The risk level is medium due to the substantial increase in long-term debt from $8,677 million to $10,655 million, which could strain financial flexibility. Additionally, the filing highlights significant forward-looking risks such as the ability to obtain adequate and timely rate relief, the impact of IPL's retail electric base rate moratorium, and challenges in completing construction projects within cost targets and planned in-service dates, which could affect profitability and cash flow.

Analyst Insight

Investors should monitor Alliant Energy's (LNT) upcoming rate case decisions and capital expenditure efficiency closely. While revenue growth is positive, the increase in debt warrants attention; assess the company's ability to generate sufficient cash flow to service this debt and fund future projects without further diluting shareholder value.

Financial Highlights

revenue

$1,210M

operating Margin

28.8%

total Assets

$24,627M

total Debt

$11,729M

net Income

$281M

eps

$1.09

cash Position

$503M

revenue Growth

+11.9%

Revenue Breakdown

Key Numbers

• $281M — Net Income (Q3 2025) (Decreased from $295M in Q3 2024 for Alliant Energy common shareowners.)
• $668M — Net Income (9 Months 2025) (Increased from $540M in the same period of 2024 for Alliant Energy common shareowners.)
• $1.21B — Total Revenues (Q3 2025) (Increased from $1.081B in Q3 2024 for Alliant Energy.)
• $1.124B — Electric Utility Revenue (Q3 2025) (Increased from $999M in Q3 2024 for Alliant Energy.)
• $239M — Electric Production Fuel & Purchased Power (Q3 2025) (Increased from $192M in Q3 2024 for Alliant Energy.)
• $19.813B — Property, Plant and Equipment, Net (Sept 30, 2025) (Increased from $18.701B at Dec 31, 2024 for Alliant Energy.)
• $10.655B — Long-term Debt, Net (Sept 30, 2025) (Increased from $8.677B at Dec 31, 2024 for Alliant Energy.)
• 257.0M — Basic Common Shares Outstanding (Q3 2025) (Slightly increased from 256.6M in Q3 2024 for Alliant Energy.)
• $1.09 — Basic EPS (Q3 2025) (Decreased from $1.15 in Q3 2024 for Alliant Energy.)
• $2.60 — Basic EPS (9 Months 2025) (Increased from $2.11 in the same period of 2024 for Alliant Energy.)

Key Players & Entities

• INTERSTATE POWER & LIGHT CO (company) — Registrant for 10-Q filing
• ALLIANT ENERGY CORPORATION (company) — Parent company of IPL and WPL, common shareowner
• WISCONSIN POWER & LIGHT CO (company) — Subsidiary of Alliant Energy Corporation
• U.S. SECURITIES AND EXCHANGE COMMISSION (regulator) — Governing body for 10-Q filings
• $281 million (dollar_amount) — Net income attributable to Alliant Energy common shareowners for Q3 2025
• $295 million (dollar_amount) — Net income attributable to Alliant Energy common shareowners for Q3 2024
• $1,210 million (dollar_amount) — Total revenues for Alliant Energy for Q3 2025
• $1,081 million (dollar_amount) — Total revenues for Alliant Energy for Q3 2024
• $10,655 million (dollar_amount) — Long-term debt, net, for Alliant Energy as of September 30, 2025
• $8,677 million (dollar_amount) — Long-term debt, net, for Alliant Energy as of December 31, 2024

FAQ

Risk Factors

• Rate Relief and Moratoriums [high — regulatory]: The company faces risks related to obtaining adequate and timely rate relief. Additionally, the retail electric base rate moratorium poses a significant challenge, potentially impacting revenue and profitability.
• Construction Project Execution [medium — operational]: A key risk is the ability to complete construction projects within cost targets and planned in-service dates. Delays or cost overruns can negatively affect financial performance.
• Increased Leverage [medium — financial]: Long-term debt, net, increased substantially from $8,677 million at December 31, 2024, to $10,655 million as of September 30, 2025, indicating increased financial leverage and potential interest rate sensitivity.
• Fuel and Purchased Power Costs [medium — market]: Electric production fuel and purchased power expenses increased significantly to $239 million for the three months ended September 30, 2025, up from $192 million in the prior year period, highlighting exposure to volatile energy commodity prices.

Industry Context

The utility sector is characterized by significant capital investment in infrastructure and a highly regulated operating environment. Trends include the transition to cleaner energy sources, grid modernization, and increasing focus on cybersecurity. Utilities often face challenges in balancing cost recovery with customer affordability and environmental mandates.

Regulatory Implications

Interstate Power & Light Co operates under strict regulatory oversight, which directly impacts its ability to set rates and recover costs. The mention of a retail electric base rate moratorium and the need for timely rate relief highlights the critical dependence on regulatory decisions for financial health and investment recovery.

What Investors Should Do

1. Monitor regulatory filings and decisions closely.
2. Analyze capital expenditure plans and project execution.
3. Evaluate the impact of increased debt levels.

Glossary

Allowance for funds used during construction (AFUDC)

A component of the cost of self-constructed assets, representing the cost of borrowed funds and equity capital used during the construction period. It is capitalized into the cost of the asset and then depreciated over its service life. (This is a non-cash item that reduces current income but increases the asset base, impacting future depreciation and rate base.)

Regulatory assets

Costs that have been incurred but are not yet recognized as expenses in the income statement. They are expected to be recovered from customers in the future through rates, as allowed by regulatory authorities. (Represents significant future revenue potential but also depends on regulatory approval for recovery.)

Regulatory liabilities

Amounts collected from customers that are not yet recognized as revenue. These are typically related to future costs or refunds that will be settled with customers. (Indicates amounts that may need to be refunded or expensed in the future, impacting net income.)

Asset valuation charge

A charge taken to reflect a reduction in the carrying value of an asset, often due to impairment or obsolescence. In this case, it relates to IPL's Lansing Generating Station. (A one-time charge that reduced prior period operating expenses, making current period comparisons appear stronger on an operating basis.)

Year-Over-Year Comparison

Compared to the prior year, Alliant Energy (IPL's parent) saw a notable increase in total revenues for the three months ended September 30, 2025, rising by 11.9% to $1,210 million, primarily driven by a 12.5% surge in electric utility revenue. However, net income attributable to common shareowners for the quarter decreased slightly to $281 million from $295 million, impacted by higher operating expenses, particularly electric production fuel and purchased power which rose 24.5%. While long-term debt increased significantly, total assets also grew, reflecting continued investment in property, plant, and equipment.

Key Financial Figures

• $0.01 — liant Energy Corporation, Common Stock, $0.01 Par Value , Trading Symbol LNT , Nasdaq
• $2.50 — Power and Light Company, Common Stock, $2.50 par value, 13,370,788 shares outstandin
• $5 — Power and Light Company, Common Stock, $5 par value, 13,236,601 shares outstandin

Filing Documents

• lnt-20250930.htm (10-Q) — 2660KB
• lnt930202510-qex311.htm (EX-31.1) — 9KB
• lnt930202510-qex312.htm (EX-31.2) — 9KB
• lnt930202510-qex313.htm (EX-31.3) — 9KB
• lnt930202510-qex314.htm (EX-31.4) — 9KB
• lnt930202510-qex315.htm (EX-31.5) — 9KB
• lnt930202510-qex316.htm (EX-31.6) — 9KB
• lnt930202510-qex321.htm (EX-32.1) — 4KB
• lnt930202510-qex322.htm (EX-32.2) — 4KB
• lnt930202510-qex323.htm (EX-32.3) — 4KB
• lnt-20250930_g1.jpg (GRAPHIC) — 312KB
• lnt-20250930_g2.jpg (GRAPHIC) — 15KB
• lnt-20250930_g3.jpg (GRAPHIC) — 11KB
• lnt-20250930_g4.jpg (GRAPHIC) — 12KB
• 0000352541-25-000081.txt ( ) — 21180KB
• lnt-20250930.xsd (EX-101.SCH) — 60KB
• lnt-20250930_cal.xml (EX-101.CAL) — 61KB
• lnt-20250930_def.xml (EX-101.DEF) — 640KB
• lnt-20250930_lab.xml (EX-101.LAB) — 721KB
• lnt-20250930_pre.xml (EX-101.PRE) — 716KB
• lnt-20250930_htm.xml (XML) — 6616KB

Forward-looking Statements

Forward-looking Statements 1

Financial Information

Part I. Financial Information 3

Condensed Consolidated Financial Statements (Unaudited)

Item 1. Condensed Consolidated Financial Statements (Unaudited) 3 Alliant Energy Corporation 3 Interstate Power and Light Company 6 Wisconsin Power and Light Company 9 Combined Notes to Condensed Consolidated Financial Statements 12 1. Summary of Significant Accounting Policies 12 2. Regulatory Matters 12 3. Property, Plant and Equipment 13 4 . Receivables 13 5 . Investments 14 6 . Common Equity 14 7 . Debt 16 8 . Revenues 18 9 . Income Taxes 19 10 . Benefit Plans 20 1 1 . Derivative Instruments 21 1 2 . Fair Value Measurements 22 1 3 . Commitments and Contingencies 24 1 4 . Segments of Business 26 1 5 . Related Parties 27

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 28

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 39

Controls and Procedures

Item 4. Controls and Procedures 39

Other Information

Part II. Other Information 39

Legal Proceedings

Item 1. Legal Proceedings 39

Risk Factors

Item 1A. Risk Factors 39

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 40

Other Information

Item 5. Other Information 40

Exhibits

Item 6. Exhibits 40

Signatures

Signatures 41 DEFINITIONS The following abbreviations or acronyms used in this report are defined below: Abbreviation or Acronym Definition Abbreviation or Acronym Definition 2024 Form 10-K Combined Annual Report on Form 10-K filed by Alliant Energy, IPL and WPL for the year ended Dec. 31, 2024 IPL Interstate Power and Light Company AEF Alliant Energy Finance, LLC IUC Iowa Utilities Commission Alliant Energy Alliant Energy Corporation MDA Management's Discussion and Analysis of Financial Condition and Results of Operations ATC American Transmission Company LLC MISO Midcontinent Independent System Operator, Inc. ATC Holdings Interest in American Transmission Company LLC and ATC Holdco LLC MW Megawatt Corporate Services Alliant Energy Corporate Services, Inc. MWh Megawatt-hour Dth Dekatherm N/A Not applicable EPA U.S. Environmental Protection Agency Note(s) Combined Notes to Condensed Consolidated Financial Statements EPS Earnings per weighted average common share PSCW Public Service Commission of Wisconsin

Financial Statements Condensed Consolidated Financial Statements U.S. United States of America

Financial Statements Condensed Consolidated Financial Statements U.S. United States of America FTR Financial transmission right West Riverside West Riverside Energy Center and Solar Facility GAAP U.S. generally accepted accounting principles WPL Wisconsin Power and Light Company Table of Contents

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS IPL's and WPL's ability to obtain adequate and timely rate relief to allow for, among other things, recovery of and/or the return on costs, including fuel costs, operating costs, transmission costs, capacity costs, costs of generation projects including such costs that are incurred prior to regulatory approval or exceed initial estimates, deferred expenditures, deferred tax assets, tax expense, interest expense, capital expenditures, marginal costs to service new customers, and remaining costs related to electric generating units (EGUs) that have been or may be permanently closed and certain other retired assets, environmental remediation costs, and decreases in sales volumes, as well as earning their authorized rates of return, payments to their parent of expected levels of dividends, the impact of rate design on current and potential customers and demand for energy in their service territories, and the ability to obtain regulatory approval with acceptable conditions for individual customer rates for large load growth customers; the impact of IPL's ret

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) ALLIANT ENERGY CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) For the Three Months For the Nine Months Ended September 30, Ended September 30, 2025 2024 2025 2024 (in millions, except per share amounts) Revenues: Electric utility $ 1,124 $ 999 $ 2,828 $ 2,579 Gas utility 51 49 366 322 Other utility 12 12 37 36 Non-utility 23 21 67 68 Total revenues 1,210 1,081 3,298 3,005 Operating expenses: Electric production fuel and purchased power 239 192 564 493 Electric transmission service 166 165 474 464 Cost of gas sold 12 13 180 152 Other operation and maintenance: Asset valuation charge for IPL's Lansing Generating Station — — — 60 Other 204 174 530 510 Depreciation and amortization 211 195 631 571 Taxes other than income taxes 29 29 91 90 Total operating expenses 861 768 2,470 2,340 Operating income 349 313 828 665 Other (income) and deductions: Interest expense 128 114 372 329 Equity income from unconsolidated investments, net ( 18 ) ( 14 ) ( 41 ) ( 44 ) Allowance for funds used during construction ( 24 ) ( 20 ) ( 65 ) ( 58 ) Other — — 3 2 Total other (income) and deductions 86 80 269 229 Income before income taxes 263 233 559 436 Income tax benefit ( 18 ) ( 62 ) ( 109 ) ( 104 ) Net income attributable to Alliant Energy common shareowners $ 281 $ 295 $ 668 $ 540 Weighted average number of common shares outstanding: Basic 257.0 256.6 256.9 256.4 Diluted 257.8 256.9 257.5 256.7 Earnings per weighted average common share attributable to Alliant Energy common shareowners: Basic $ 1.09 $ 1.15 $ 2.60 $ 2.11 Diluted $ 1.09 $ 1.15 $ 2.59 $ 2.10 Refer to accompanying Combined Notes to Condensed Consolidated Financial Statements. 3 Table of Contents ALLIANT ENERGY CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) September 30, 2025 December 31, 2024 (in millions, except per share and share amounts) ASSETS Current assets: Cash

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