CMS Energy Announces Strong Third Quarter Results, Raises 2025 Adjusted EPS, Initiates 2026 Guidance

CMS ENERGY CORPORATION

Consolidated Statements of Income

(Unaudited)

In Millions, Except Per Share Amounts

Three Months Ended

Nine Months Ended

9/30/25

9/30/24

9/30/25

9/30/24

Operating revenue

$

2,021

$

1,743

$

6,306

$

5,526

Operating expenses

1,540

1,376

5,014

4,464

Operating Income

481

367

1,292

1,062

Other income

62

84

249

283

Interest charges

203

178

588

528

Income Before Income Taxes

340

273

953

817

Income tax expense

68

26

193

125

Net Income

272

247

760

692

Loss attributable to noncontrolling interests

(5)

(6)

(22)

(46)

Net Income Attributable to CMS Energy

277

253

782

738

Preferred stock dividends

2

2

7

7

Net Income Available to Common Stockholders

$

275

$

251

$

775

$

731

Diluted Earnings Per Average Common Share

$

0.92

$

0.84

$

2.59

$

2.45

CMS ENERGY CORPORATION

Summarized Consolidated Balance Sheets

(Unaudited)

In Millions

As of

9/30/25

12/31/24

Assets

Current assets

Cash and cash equivalents

$

362

$

103

Restricted cash and cash equivalents

70

75

Other current assets

2,313

2,612

Total current assets

2,745

2,790

Non-current assets

Plant, property, and equipment

29,690

27,461

Other non-current assets

5,573

5,669

Total Assets

$

38,008

$

35,920

Liabilities and Equity

Current liabilities ⁽¹⁾

$

1,890

$

2,261

Non-current liabilities ⁽¹⁾

8,614

8,345

Capitalization

Debt and finance leases (excluding securitization debt) ⁽²⁾

17,473

15,866

Preferred stock and securities

224

224

Noncontrolling interests

567

518

Common stockholders' equity

8,640

8,006

Total capitalization (excluding securitization debt)

26,904

24,614

Securitization debt ⁽²⁾

600

700

Total Liabilities and Equity

$

38,008

$

35,920

⁽¹⁾

Excludes debt and finance leases.

⁽²⁾

Includes current and non-current portions.

CMS ENERGY CORPORATION

Summarized Consolidated Statements of Cash Flows

(Unaudited)

In Millions

Nine Months Ended

9/30/25

9/30/24

Beginning of Period Cash and Cash Equivalents, Including Restricted Amounts

$

178

$

248

Net cash provided by operating activities 

1,757

1,967

Net cash used in investing activities

(2,926)

(2,101)

Cash flows from operating and investing activities

(1,169)

(134)

Net cash provided by financing activities

1,423

353

Total Cash Flows

$

254

$

219

End of Period Cash and Cash Equivalents, Including Restricted Amounts 

$

432

$

467

CMS ENERGY CORPORATION

Reconciliation of GAAP Net Income to Non-GAAP Adjusted Net Income

(Unaudited)

In Millions, Except Per Share Amounts

Three Months Ended

Nine Months Ended

9/30/25

9/30/24

9/30/25

9/30/24

Net Income Available to Common Stockholders

$

275

$

251

$

775

$

731

Reconciling items:

Other exclusions from adjusted earnings**

6

* 

14

6

Tax impact

(2)

(*)

(4)

(1)

State tax policy change

-

-

12

-

Voluntary separation program

-

-

-

* 

Tax impact

-

-

-

(*)

Adjusted net income – non-GAAP

$

279

$

251

$

797

$

736

Average Common Shares Outstanding - Diluted

300.4

298.8

299.4

298.2

Diluted Earnings Per Average Common Share

Reported net income per share

$

0.92

$

0.84

$

2.59

$

2.45

Reconciling items:

Other exclusions from adjusted earnings**

0.02

* 

0.04

0.02

Tax impact

(0.01)

(*)

(0.01)

(*)

State tax policy change

-

-

0.04

-

Voluntary separation program

-

-

-

* 

Tax impact

-

-

-

(*)

Adjusted net income per share – non-GAAP

$

0.93

$

0.84

$

2.66

$

2.47

*

Less than $0.5 million or $0.01 per share.

**

Includes restructuring costs and business optimization initiative.

Management views adjusted (non-Generally Accepted Accounting Principles) earnings as a key measure of the Company's present operating financial performance and uses adjusted earnings for external communications with analysts and investors.  Internally, the Company uses adjusted earnings to measure and assess performance.  Adjustments could include items such as discontinued operations, asset sales, impairments, restructuring costs, business optimization initiative, major enterprise resource planning software implementations, changes in accounting principles, voluntary separation program, changes in federal and state tax policy, regulatory items from prior years, unrealized gains or losses from mark-to-market adjustments, recognized in net income related to NorthStar Clean Energy's interest expense, or other items.  The adjusted earnings should be considered supplemental information to assist in understanding our business results, rather than as a substitute for reported earnings.