WPL Parent Alliant Energy Sees Q3 Net Income Dip, YTD Soars

TL;DR

**Alliant Energy's Q3 net income dipped, but strong year-to-date growth and massive asset expansion make it a solid long-term hold for utility investors.**

AI Summary

WISCONSIN POWER & LIGHT CO (WPL) 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 significantly to $668 million from $540 million in 2024. Total revenues for Alliant Energy, WPL's parent, rose to $1,210 million for the three months ended September 30, 2025, up from $1,081 million in 2024, primarily driven by an increase in electric utility revenues 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 total assets grew to $24,627 million as of September 30, 2025, from $22,714 million at December 31, 2024, largely due to an increase in property, plant and equipment, net, from $18,701 million to $19,813 million. Long-term debt, net, increased from $8,677 million to $10,655 million, reflecting significant capital investments. Diluted earnings per share for Alliant Energy decreased from $1.15 to $1.09 for the three-month period but increased from $2.10 to $2.59 for the nine-month period.

Why It Matters

For investors, the mixed earnings performance—a quarterly dip but strong year-to-date growth—suggests underlying operational strength despite short-term fluctuations, crucial for dividend stability and long-term capital appreciation. Employees benefit from a stable utility with significant asset growth, indicating continued investment and job security. Customers in Wisconsin and Iowa face potential rate adjustments as WPL and IPL seek regulatory approval to recover increased operating and capital costs, impacting their energy bills. In the broader market, Alliant Energy's substantial capital expenditures in property, plant, and equipment, increasing from $18,701 million to $19,813 million, signal ongoing infrastructure development and a commitment to grid modernization, potentially influencing regional economic activity and competitive dynamics within the utility sector.

Risk Assessment

Risk Level: medium — The filing highlights significant risks, including the ability to obtain adequate and timely rate relief to recover costs, especially with IPL's retail electric base rate moratorium, and the ability to complete construction projects within cost targets due to inflation and supply chain issues. Long-term debt increased by nearly $2 billion, from $8,677 million to $10,655 million, which could impact financial flexibility if interest rates continue to rise.

Analyst Insight

Investors should monitor WPL's (and its parent Alliant Energy's) regulatory filings closely for rate case outcomes and construction project approvals, as these will directly impact future revenue and cost recovery. Given the increased long-term debt to $10,655 million, assess the company's debt-to-equity ratio and interest coverage to ensure financial health remains robust amidst rising interest rates.

Financial Highlights

revenue

$1,210M

total Assets

$24,627M

total Debt

$10,655M

net Income

$281M

eps

$1.09

cash Position

$503M

revenue Growth

+12.0%

Revenue Breakdown

Key Numbers

• $281M — Q3 2025 Net Income (Decreased from $295M in Q3 2024 for Alliant Energy common shareowners.)
• $668M — YTD Q3 2025 Net Income (Increased from $540M in YTD Q3 2024 for Alliant Energy common shareowners.)
• $1.09 — Q3 2025 Diluted EPS (Decreased from $1.15 in Q3 2024 for Alliant Energy common shareowners.)
• $2.59 — YTD Q3 2025 Diluted EPS (Increased from $2.10 in YTD Q3 2024 for Alliant Energy common shareowners.)
• $1,124M — Q3 2025 Electric Utility Revenue (Increased from $999M in Q3 2024, driving overall revenue growth.)
• $239M — Q3 2025 Electric Production Fuel & Purchased Power (Increased from $192M in Q3 2024, contributing to higher operating expenses.)
• $19,813M — Property, Plant and Equipment, Net (Increased from $18,701M at Dec 31, 2024, indicating significant capital investment.)
• $10,655M — Long-term Debt, Net (Increased from $8,677M at Dec 31, 2024, reflecting increased financing needs.)
• $24,627M — Total Assets (Increased from $22,714M at Dec 31, 2024, showing overall company growth.)

Key Players & Entities

• WISCONSIN POWER & LIGHT CO (company) — registrant in 10-Q filing
• Alliant Energy Corporation (company) — parent company and primary registrant
• Interstate Power and Light Company (company) — sister company and co-registrant
• $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
• $668 million (dollar_amount) — Net income attributable to Alliant Energy common shareowners for YTD Q3 2025
• $540 million (dollar_amount) — Net income attributable to Alliant Energy common shareowners for YTD 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
• $19,813 million (dollar_amount) — Property, plant and equipment, net, as of September 30, 2025

FAQ

Risk Factors

• Regulatory Environment Changes [high — regulatory]: Changes in regulations, including environmental standards and rate-setting policies, can impact WPL's operating costs and profitability. The company's ability to recover costs through customer rates is subject to regulatory approval, which can be a lengthy and uncertain process.
• Operational Disruptions [medium — operational]: The company relies on its physical infrastructure for electricity and gas generation and delivery. Disruptions due to extreme weather events, equipment failures, or cyberattacks could lead to service interruptions and significant financial losses. For example, electric production fuel and purchased power costs increased by $47 million in Q3 2025.
• Interest Rate Fluctuations [medium — financial]: As of September 30, 2025, WPL's long-term debt increased to $10,655 million from $8,677 million at December 31, 2024. Rising interest rates could increase the cost of servicing this debt, impacting net income.
• Commodity Price Volatility [medium — market]: Fluctuations in the price of natural gas and other fuel sources directly impact operating expenses. The increase in electric production fuel and purchased power costs by $47 million in Q3 2025 highlights this sensitivity.
• Capital Investment Requirements [medium — financial]: Significant capital investments are being made, as evidenced by the increase in property, plant and equipment, net, to $19,813 million from $18,701 million. Failure to achieve expected returns on these investments or manage associated financing costs could negatively affect financial performance.

Industry Context

Wisconsin Power & Light Co. operates within the regulated utility sector, characterized by stable demand but significant capital intensity and regulatory oversight. The industry is increasingly focused on renewable energy integration, grid modernization, and managing the transition away from fossil fuels. Competitors face similar challenges in balancing infrastructure investment with ratepayer affordability and environmental compliance.

Regulatory Implications

The company's operations are heavily influenced by state and federal regulatory bodies, particularly regarding rate setting and environmental standards. Changes in these regulations, such as new emissions requirements or shifts in approved rate structures, can materially affect financial performance and require significant compliance investments.

What Investors Should Do

1. Monitor regulatory filings and rate case outcomes.
2. Analyze the impact of rising interest rates on debt servicing costs.
3. Evaluate the efficiency of capital deployment in property, plant, and equipment.
4. Assess the trend in operating expenses, particularly fuel and purchased power.

Glossary

Allowance for funds used during construction (AFUDC)

A regulatory accounting concept that allows utilities to include the cost of financing construction projects in the cost of the asset being built. This cost is then recovered from customers over the life of the asset once it is placed in service. (This is a non-cash item that reduces reported income before taxes but is a mechanism for recovering capital costs.)

Asset valuation charge

A charge taken to write down the value of an asset on the balance sheet, often due to impairment or obsolescence. (The absence of a charge for Lansing Generating Station in Q3 2025 compared to $60 million in Q3 2024 indicates a change in asset status or accounting treatment.)

Regulatory assets

Costs that have been incurred by a utility but have not yet been recovered from customers through rates. These are recorded on the balance sheet and are expected to be recovered in future periods. (The significant balance of regulatory assets ($2,171 million as of Sept 30, 2025) indicates substantial costs awaiting rate recovery.)

Regulatory liabilities

Amounts that a utility owes to customers or others, often related to over-recovery of costs in past periods or deferred credits. (The balance of regulatory liabilities ($58 million as of Sept 30, 2025) represents obligations to customers or other parties.)

Commercial paper

Short-term, unsecured promissory notes issued by corporations to finance short-term liabilities. (The decrease in commercial paper outstanding from $558 million to $192 million suggests a shift in short-term financing strategy or reduced immediate liquidity needs.)

Year-Over-Year Comparison

Compared to the prior year's nine-month period, WPL (Alliant Energy) has shown robust net income growth, increasing from $540 million to $668 million, and a corresponding rise in diluted EPS from $2.10 to $2.59. This is supported by a significant increase in total revenues, driven primarily by electric utility revenues which grew from $2,579 million to $2,828 million year-to-date. However, operating expenses have also climbed, with electric production fuel and purchased power up by $71 million year-to-date. The company's balance sheet reflects substantial investment, with total assets growing to $24,627 million and long-term debt increasing to $10,655 million, indicating a strategy of expansion financed through debt.

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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View this 10-Q filing on SEC EDGAR