Pinnacle West reports Q4 profit vs year-ago loss on customer growth

Pinnacle West Capital

25/02/2026 13:34

Overview

U.S. energy holding company's Q4 EPS beat analyst expectations

Q4 net income returns to profit from a loss in the prior year

Company's Q4 revenue increased, driven by customer growth and higher energy consumption

Outlook

Pinnacle West estimates 2026 EPS between $4.55 and $4.75

APS expects annual sales growth of 5% to 7% over next five years

Company aims to keep customer bills low amid inflation pressures

Result Drivers

CUSTOMER GROWTH - Pinnacle West's results were driven by significant customer growth of 2.4% in 2025, attributed to population and business expansion in Arizona

SALES INCREASE - Weather-normalized retail electricity sales grew 5% in 2025, driven by increased energy consumption and new commercial facilities

PEAK DEMAND - APS set three all-time peak demand records in 2025, with peak demand rising over 5% from the prior year

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Operating Revenue
$1.13 bln
Q4 EPS
Beat
$0.13
$0.04 (10 Analysts)
Q4 Net Income
$17.60 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 14 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the electric utilities peer group is "buy."

Wall Street's median 12-month price target for Pinnacle West Capital Corp is $97.00, about 3% below its February 24 closing price of $100.05

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 19 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)