Xcel Energy Inc. (NASDAQ:XEL) reported fourth-quarter ongoing earnings on Thursday that met analyst expectations, supported by continued infrastructure investment and growth in electricity demand.
The utility’s shares moved slightly higher in premarket trading, rising by about 0.01% following the earnings release.
For the fourth quarter of 2025, Xcel Energy reported ongoing earnings of $0.96 per share, matching analyst forecasts. Revenue totalled $3.56 billion, slightly below the consensus estimate of $3.64 billion. On a GAAP basis, earnings reached $0.95 per share, compared with $0.81 per share in the same quarter a year earlier.
For the full year 2025, ongoing earnings increased to $3.80 per share, up from $3.50 per share in 2024, representing year-on-year growth of 8.6%. The improvement was primarily driven by higher recovery of infrastructure investment costs and increased electricity sales, partially offset by rising interest, depreciation and operating expenses.
“In 2025, Xcel Energy delivered on our earnings guidance for the 21st year in a row – one of the best track records in the industry,” said Bob Frenzel, chairman, president and CEO of Xcel Energy. “We placed in service critical infrastructure to serve our customers, including Phase 2 of our Sherco Solar facility, the conversion of our Harrington coal plant to natural gas, and the first two segments of our Colorado Power Pathway.”
Weather-normalised retail electricity sales rose 1.4% during the fourth quarter and increased 2.0% for the full year, reflecting customer growth and stronger demand from commercial and industrial users.
Looking ahead, Xcel Energy reaffirmed its 2026 earnings guidance, projecting earnings per share between $4.04 and $4.16. The outlook aligns with the company’s long-term goal of achieving annual EPS growth of 6% to more than 8%, based on its 2025 earnings of $3.80 per share. The company also maintained its target of increasing annual dividends by 4% to 6%.
Xcel Energy continues to progress its long-term investment programme, with plans to spend approximately $60 billion in base capital expenditures between 2026 and 2030. Investments are expected to focus on electricity transmission, renewable energy projects and distribution network upgrades.