1. PGE reports $62 million net income, down from $72 million in Q2 2024. 2. Demand growth from data centers drives industrial load growth by 16.5%. 3. PGE plans corporate reorganization to enhance financial flexibility for asset management. 4. Seeking $72 million rate increase for distribution system costs from OPUC. 5. Reaffirming 2025 adjusted earnings guidance of $3.13 to $3.33 per diluted share.
PGE's demand growth and reaffirmed earnings guidance could enhance investor confidence, similar to past demand spikes driving price appreciations.
The demand growth and financial adjustments signal potential for increased earnings, directly aligning with POR's operations, making the article highly relevant.
The organizational changes and expansion plans are expected to unfold over the coming years, impacting company stability and revenue positively.
PORTLAND, Ore., July 25, 2025 /PRNewswire/ -- Portland General Electric Company (NYSE: POR) today reported net income based on generally accepted accounting principles (GAAP) of $62 million, or $0.56 per diluted share, for the second quarter of 2025. After adjusting for the impact of business transformation and optimization expenses, second quarter 2025 non-GAAP net income was $73 million, or $0.66 per diluted share. This compares with GAAP net income of $72 million, or $0.69 per diluted share, for the second quarter of 2024.
"The second quarter was a period of execution and solid progress at Portland General Electric," said Maria Pope, President and CEO. "We are focused on safely and reliably serving customers, engaging with stakeholders, driving efficiencies and updating our corporate structure to lower costs and deliver results."
On a GAAP basis, total revenues increased due to continued demand growth from semiconductor manufacturing and technology infrastructure customers, partially offset by lower average price of deliveries from changing customer mix. Purchased power and fuel expense increased given rising prices for purchased power and fuel. Operating and maintenance expenses increased due to wildfire mitigation, vegetation management, and business transformation expenses. Depreciation and amortization expense and interest expense increased due to ongoing capital investment. Income tax expense increased as a result of lower production tax credit generation.
Today, PGE is submitting a formal application to the Oregon Public Utilities Commission (OPUC) for approval of a holding company reorganization. The structure contemplated involves placing a non-operating corporate entity over the Company's existing structure. It would also allow for the formation of a subsidiary to hold existing and future transmission assets. The intent of the reorganization is to provide benefits to customers and shareholders by taking advantage of the financial flexibility provided by a holding company structure, and to support construction of new transmission assets, reliability planning, and economic development.
Also today, PGE is submitting a request to the OPUC for recovery of costs associated with PGE's Distribution System Plan (DSP). PGE's request includes an annualized revenue requirement increase of $72 million, with a proposed rate effective date of April 1, 2026.
On May 30, 2025, PGE submitted a request for recovery of the revenue requirement associated with the Seaside Battery Energy Storage System (Seaside), consistent with the option presented by the OPUC in the 2025 GRC order. PGE's request includes an annualized revenue requirement increase of $46 million, with a proposed rate effective date of October 31, 2025.
PGE entered into a memorandum of understanding with intervenors, which establishes the scope of recovery mechanisms for both Seaside and costs associated with PGE's DSP. PGE is committed to continuing to collaborate with key stakeholders and providing safe, reliable service at the lowest possible cost for customers.
Following the passage of the One Big Beautiful Bill (OBBB), PGE plans to provide an opportunity for all conforming 2023 RFP bidders to refresh their pricing. PGE, in collaboration with an independent evaluator, will work to update scoring and ranking to reflect pricing changes from bidders in the coming months.
PGE continues to expect finalization of contracts in the second half of 2025, with projects in service by the end of 2027. This timing will allow PGE to maximize the impact of important federal tax credits received for each project, as allowed by the OBBB, keeping customer prices as low as possible.
As previously announced, on July 18, 2025, the board of directors of Portland General Electric Company approved a quarterly common stock dividend of $0.525 per share. The quarterly dividend is payable on or before October 15, 2025 to shareholders of record at the close of business on September 25, 2025.
PGE is reaffirming its estimate for full-year 2025 adjusted earnings guidance of $3.13 to $3.33 per diluted share based on the following assumptions:
PGE will host a conference call with financial analysts and investors on Friday, July 25, 2025, at 11 a.m. ET. The conference call will be webcast live on the PGE website at investors.portlandgeneral.com. A webcast replay will also be available on PGE's investor website "Events & Presentations" page beginning at 2 p.m. ET on July 25, 2025.
Maria Pope, President and CEO; Joe Trpik, Senior Vice President of Finance and CFO; and Nick White, Manager of Investor Relations, will participate in the call. Management will respond to questions following formal comments.
The attached unaudited condensed consolidated statements of income and comprehensive income, balance sheets and statements of cash flows, as well as the supplemental operating statistics, are an integral part of this earnings release.
This press release contains certain non-GAAP measures, such as adjusted earnings, adjusted EPS and adjusted earnings guidance. These non-GAAP financial measures exclude significant items that are generally not related to our ongoing business activities, are infrequent in nature, or both. PGE believes that excluding the effects of these items provides a meaningful representation of the Company's comparative earnings per share and enables investors to evaluate the Company's ongoing operating financial performance. Management utilizes non-GAAP measures to assess the Company's current and forecasted performance, and for communications with shareholders, analysts and investors. Non-GAAP financial measures are supplementary information that should be considered in addition to, but not as a substitute for, the information prepared in accordance with GAAP.
Items in the periods presented, which PGE believes impact the comparability of comparative earnings and do not represent ongoing operating financial performance, include the following:
Portland General Electric (NYSE: POR) is an integrated energy company that generates, transmits and distributes electricity to over 950,000 customers serving an area of 1.9 million Oregonians. Since 1889, Portland General Electric (PGE) has been powering social progress, delivering safe, affordable, reliable and increasingly clean electricity while working to transform energy systems to meet evolving customer needs. PGE customers have set the standard for prioritizing clean energy with the No. 1 voluntary renewable energy program in the country. PGE was ranked the No. 1 utility in the 2024 Forrester U.S. Customer Experience Index and is committed to reducing emissions from its retail power supply by 80% by 2030 and 100% by 2040. In 2024, PGE employees, retirees and the PGE Foundation donated $5.5 million and volunteered nearly 23,000 hours to more than 480 nonprofit organizations. For more information visit www.portlandgeneral.com/news.
Statements in this press release that relate to future plans, objectives, expectations, performance, events and the like may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements represent our estimates and assumptions as of the date of this report. The Company assumes no obligation to update or revise any forward-looking statement as a result of new information, future events or other factors.
Media Contact:
Drew Hanson
Corporate Communications
Phone: 503-464-2067
Investor Contact:
Nick White
Investor Relations
Phone: 503-464-8073