01—Abstract
Summary
Summary of the 10-Q filed May 8, 2026. Cited figures are marked; the original filing is the authoritative source.
PPL Corporation's first-quarter 2026 results show net income of $452 milliona, or $0.60 per diluted share, up from $414 million, or $0.56, in the first quarter of 2025.
Operating revenues rose to $2.77 billionb from $2.50 billion, driven mainly by higher Pennsylvania PLR energy prices and volumes, new Kentucky base rates effective January 1, 2026, and higher transmission formula rate revenue. Earnings from Ongoing Operations, a non-GAAP measure, were $478 million versus $444 million. Interest expense rose to $224 million from $190 million on higher long-term debt borrowings.
The balance sheet and financing activity were notable this quarter. In February 2026 PPL issued 23 million equity units for gross proceeds of $1.15 billionc, with proceeds used to repay short-term debt and for general corporate purposes. Capital expenditures for property, plant and equipment were $1.06 billion in the quarter, up from $793 million a year earlier, and short-term debt fell to $220 million from $456 million at year-end 2025.
Total assets reached $46.30 billiond. Several regulatory matters remain pending. PPL Electric's distribution rate case seeks a settlement-based revenue increase of about $275 million, with a PAPUC ruling expected in the second quarter of 2026.
Kentucky rate orders issued February 16, 2026 are subject to LG&E and KU rehearing requests, and the two utilities filed for a potential legal merger. Rhode Island Energy recorded a $26 million liability following a FERC ROE order, and a RIPUC ruling on its distribution rate case is expected in the third quarter of 2026.
02—Key points
Key Highlights
- Net income rose to $452 million ($0.60 per diluted share) from $414 million ($0.56) in the first quarter of 2025.
- Earnings from Ongoing Operations were $478 million versus $444 million, led by Kentucky Regulated at $254 million versus $225 million.
- Operating revenues increased to $2.77 billion from $2.50 billion, with PPL Electric PLR revenue up $111 million.
- Issued 23 million equity units in February 2026 for $1.15 billion in gross proceeds, used to repay short-term debt and for general corporate purposes.
- Capital expenditures for property, plant and equipment were $1.06 billion versus $793 million a year earlier.
- Interest expense rose to $224 million from $190 million, primarily due to higher long-term debt borrowings.
- Rhode Island Energy recorded a $26 million liability after FERC Opinion No. 594 set a 9.57% base transmission ROE, and the NETOs filed for rehearing.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2026filed May 8, 2026Financial Statements
Q1 FY2026 against Q1 FY2025
| Line item | Q1 FY2026Q1 FY2025 | Change |
|---|---|---|
| Revenue | $2.79B$2.54B | +9.4% |
| Operating Income | $745.00M$678.00M | +9.9% |
| Interest Expense | $224.00M$190.00M | +17.9% |
| Net Income | $452.00M$414.00M | +9.2% |
| EPS (Basic) | $0.60$0.56 | +7.1% |
| Shares Outstanding (Basic) | 751.76M738.69M | +1.8% |
| Shares Outstanding (Diluted) | 757.16M741.40M | +2.1% |
05—Questions
Frequently Asked Questions
How did PPL's earnings change in the first quarter of 2026?
Net income was $452 million, or $0.60 per basic and diluted share, compared with $414 million, or $0.56, in the first quarter of 2025. Earnings from Ongoing Operations, a non-GAAP measure, were $478 million versus $444 million. Kentucky Regulated earnings were the main driver of the increase.
What drove the increase in revenue and expenses?
Operating revenues rose $270 million, mainly from higher PPL Electric PLR revenue of $111 million, new Kentucky base rates effective January 1, 2026, and fuel and energy purchase recoveries. Energy purchases rose $144 million, largely from higher PLR prices, and depreciation increased $29 million on higher PP&E additions.
What did PPL do to raise capital this quarter?
In February 2026, PPL issued 23 million equity units for $1.15 billion in gross proceeds, receiving about $1.13 billion net of underwriting discounts. The proceeds were used to repay short-term debt and for general corporate purposes. Short-term debt decreased to $220 million from $456 million at December 31, 2025.
What regulatory decisions are pending that could affect future results?
PPL Electric's distribution rate case, with a settlement proposing an annual increase of about $275 million, awaits a PAPUC ruling expected in the second quarter of 2026. Rhode Island Energy's rate case ruling is anticipated in the third quarter of 2026. LG&E and KU filed for rehearing on the Kentucky rate orders and applied for a legal merger, and PPL states it cannot predict the outcomes.
Are there any material changes to risk factors?
The filing states there have been no material changes in the Registrants' risk factors from those disclosed in the 2025 Form 10-K.
06—Continue