Avista (AVA) investor relations material

Executive summary

• Net income for Q2 2026 was $35 million ($0.43 per diluted share), up from $14 million ($0.17 per share) in Q2 2025, driven by investment gains, rate case effects, and recovery of prior non-utility losses.

• Year-to-date net income reached $127 million, up from $93 million in 2025, with non-GAAP utility earnings at $114 million ($1.38 per share) versus $105 million ($1.30 per share) in 2025.

• Non-GAAP utility EPS for Q2 2026 was $0.29, unchanged from Q2 2025; full-year guidance reaffirmed at $2.52–$2.72 per diluted share.

• Exit from Colstrip generation led to offsetting revenue and cost changes with minimal net income impact.

• Wildfire risk mitigation, above-normal hydro generation, and proactive outage response were operational highlights.

Financial highlights

• Q2 2026 operating revenues were $413 million (vs. $411 million in Q2 2025); six months: $983 million (vs. $1,028 million in 2025).

• Operating cash flow for six months was $301 million (vs. $224 million in 2025); capital expenditures for six months totaled $314 million.

• Debt to total capitalization was 54.4% as of June 30, 2026; available liquidity was $199 million under the main credit line.

• Effective tax rate for H1 2026 was 12%, down from 14% in H1 2025.

• Issued $160 million in long-term debt and $58 million in common stock in H1 2026.

Outlook and guidance

• 2026 non-GAAP utility earnings guidance reaffirmed at $2.52–$2.72 per diluted share, assuming normal weather, a negative ERM impact of $0.10 per share, and a 12% effective tax rate.

• Full-year 2026 capital expenditures forecast at $615 million, rising to $800 million by 2029.

• Evaluating up to $100 million in additional short-term liquidity by year-end due to regulatory deferrals.

• Long-term non-GAAP utility earnings growth expected at 4–6% from the midpoint of 2025 guidance.

• Guidance excludes unusual or non-recurring items until effects are probable.