Xcel Energy reported 2025 GAAP diluted earnings of $2.02 billion (3.42 per share), up from $1.94 billion (3.44 per share) in 2024, and ongoing earnings of $2.24 billion (3.80 per share), a 14% increase over the prior year’s $1.97 billion (3.50 per share). Total operating revenues rose 9.2% to $14.67 billion, driven by electric sales growth and higher natural gas volumes. Operating expenses increased 9.4% to $12.09 billion, reflecting higher depreciation (up 8% to $2.95 billion), interest and financing costs (up 14% to $1.34 billion), and elevated O&M spend of $2.73 billion, partially offset by a $132 million tax benefit in Q4 relating to state tax rate changes.

In the fourth quarter, Xcel Energy’s total operating revenues reached $3.56 billion, up 14% year-over-year, with electric revenues of $2.81 billion (16% growth) and natural gas revenues of $737 million (6% growth). Electric fuel and purchased power costs held steady at $925 million, while natural gas cost of sales increased 16% to $333 million. Depreciation and amortization expenses rose to $753 million (+7%), and O&M expenses climbed to $679 million (+10%). The company reported net income of $567 million, up 22% from $464 million in Q4 2024, supported by a $114 million gain on asset sales and higher allowance for funds used during construction of $85 million.

During 2025 Xcel placed into service Phase 2 of the Sherco Solar facility (150 MW), converted the 500 MW Harrington coal plant to natural gas, and energized the first two segments of the Colorado Power Pathway transmission project (340 kV). The company secured recovery of $650 million in capital investments through rate proceedings in Minnesota and Colorado, maintaining an ongoing ROE of 9.5%. In December, Xcel filed a multi-year rate plan estimating $1.2 billion of additional infrastructure spending in 2026, subject to approval by state commissions.

For 2026, management reaffirmed earnings guidance of $3.75–3.95 per share ongoing, forecasting 4–6% electric sales growth driven by data center expansions and grid modernization. The company announced a large hyperscale data center customer in Texas representing 200 MW of new load, and entered into strategic partnerships with two leading equipment suppliers to secure eight GW of advanced renewable energy and storage capacity by 2028. Xcel expects capital expenditures of $6.8 billion in 2026, with financing plans including $1.5 billion in debt issuances and up to $400 million in equity over the year.