CMS Energy Q2 Earnings Surpass Estimates, Revenues Increase Y/Y

CMS Energy Corporation CMS reported second-quarter 2025 earnings per share (EPS) of 71 cents, which beat the Zacks Consensus Estimate of 67 cents by 6%. The bottom line also increased 7.6% from 66 cents in the prior-year quarter.

The company reported GAAP earnings of 66 cents per share, up from earnings of 65 cents recorded in the year-ago quarter. The year-over-year improvement can be attributed to higher revenues and operating income.

CMS' Revenues

Operating revenues totaled $1.84 billion, which beat the Zacks Consensus Estimate of $1.69 billion by 9%. The top line also increased 14.4% from $1.61 billion in the prior-year quarter.

Operational Performance of CMS

CMS' operating expenses amounted to $1.52 billion, up 14.9% from the year-ago quarter’s figure.

Net income was $193 million, higher than the year-ago quarter’s figure of $182 million. Our model projected a net income of $182.2 million for the second quarter.

Interest charges totaled $199 million, up 15% from those recorded a year ago.

Financial Condition of CMS

CMS Energy had cash and cash equivalents of $844 million as of June 30, 2025 compared with $103 million as of Dec. 31, 2024.

As of June 30, 2025, total debt and financial leases (excluding securitization debt) were $17.40 billion compared with $15.87 billion as of Dec. 31, 2024.

The net cash flow from operating activities amounted to $1.41 billion during the first six months of 2025 compared with $1.66 billion in the prior-year quarter.

CMS' 2025 Guidance

CMS reaffirmed its 2025 bottom-line guidance. The company still expects to generate adjusted EPS in the range of $3.54-$3.60. The Zacks Consensus Estimate for 2025 earnings is currently pegged at $3.58, which is just higher than the midpoint of the company’s guided range.

CMS also reaffirmed its long-term adjusted EPS growth to be in the band of 6-8%.

CMS’ Zacks Rank

CMS Energy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Utility Releases

American Electric Power Company, Inc. AEP reported second-quarter 2025 operating EPS of $1.43, which beat the Zacks Consensus Estimate of $1.28 by 11.7%. The bottom line inched up 14.4% from $1.25 recorded in the year-ago quarter. 

AEP’s revenues of $5.09 billion rose 11.1% from the year-ago quarter’s level of $4.58 billion. The top line also beat the Zacks Consensus Estimate of $4.94 billion by 2.9%.

CenterPoint Energy, Inc. CNP reported second-quarter 2025 adjusted earnings of 29 cents per share, which lagged the Zacks Consensus Estimate of 34 cents by 14.7%. The bottom line also declined 19.4% from the year-ago quarter’s figure of 36 cents.

CNP generated revenues of $1.94 billion, which surpassed the Zacks Consensus Estimate by a whisker. The top line also came in 2% higher than the year-ago quarter’s reported figure of $1.91 billion.

NextEra Energy, Inc. NEE reported second-quarter 2025 adjusted earnings of $1.05 per share, which topped the Zacks Consensus Estimate of $1.02 by 2.9%. The bottom line was also up nearly 9.4% year over year. 

In the second quarter, NextEra Energy’s operating revenues were $6.7 billion, which missed the Zacks Consensus Estimate of $7.22 billion by 7.28%. However, the top line improved 10.4% year over year.

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This article originally published on Zacks Investment Research (zacks.com).

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