Information
SPOKANE, Wash., Feb. 25, 2026 (GLOBE NEWSWIRE) -- Avista Corp. (NYSE:AVA) today reported net income based on GAAP of $193 million, or $2.38 per diluted share, compared to $180 million, or $2.29 per diluted share, in
Original sourceAI Summary
Avista Corp. announced a net income rise to $193 million in 2025, with non-GAAP utility earnings guidance for 2026 expected between $2.52 and $2.72 per share. However, a significant customer plans to exit power procurement from Avista, likely impacting future earnings. The net impact is a concern for investors in the upcoming quarter.
Sentiment Rationale
The exit of a major customer along with regulatory challenges could lower earnings expectations, impacting share price negatively. Historically, similar issues have led to price drops in utility stocks.
Trading Thesis
Investors should consider a cautious stance on AVA due to earnings guidance challenges.
Market-Moving
- Loss of a major customer could lower future earnings significantly.
- Regulatory decisions affecting cost recovery may impact profitability.
- Increased operating expenses might pressure margins in the near term.
- Positive performance in utility margins could mitigate some earnings risks.
Key Facts
- Avista Corp. reports net income of $193 million in 2025.
- Non-GAAP utility earnings guidance for 2026 set at $2.52 to $2.72 per share.
- Strong performance driven by operational execution and customer growth.
- Large customer plans to procure power independently, impacting earnings guidance.
- Challenges include increased expenses and regulatory issues connected to Colstrip exit.
Companies Mentioned
- Colstrip (N/A): Regulatory challenges related to Colstrip are negatively impacting operational efficiency.
Earnings
This falls under 'Earnings' as Avista Corp. has reported its financial results and future guidance. The disclosure highlights significant operational performance but also key risks that could affect future profitability.