01—Abstract
Summary
Summary of the 10-K filed February 20, 2026. Cited figures are marked; the original filing is the authoritative source.
WEC Energy Group, Inc. reported 2025 net income attributed to common shareholders of $1,557.5 milliona, up from $1,527.2 million in 2024, with diluted EPS of $4.81 versus $4.83.
The increase was driven primarily by the Wisconsin segment, which contributed $1,054.8 millionb (up $191.7 million) on higher margins from the Wisconsin rate orders effective January 1, 2025, higher retail sales volumes and certain income tax benefits. These gains were offset largely by a $130.0 million decline in the Illinois segment, which reflects a $205.0 million pre-tax charge tied to a proposed settlement with the Illinois Attorney General resolving open UEA and QIP rider proceedings, and by a $74.6 million increase in the corporate and other segment net loss driven by higher interest expense. Capital spending rose sharply to $4,398.1 million in 2025 from $2,781.1 million in 2024.
The company plans total capital expenditures for its regulated utilities of approximately $33.4 billionc from 2026 to 2030, plus about $4.1 billion for its share of ATC's projected capex, and has identified large data center load growth in its Wisconsin service territory, including VLC and Bespoke Resources tariffs pending before the PSCW. Total debt was $21,942.2 million at year-end, a debt-to-total-capitalization ratio of 61.7%, and the Board raised the quarterly dividend 6.7% to $0.9525 per share in January 2026.
Key risks highlighted include the pending ICC approval of the PGL and NSG settlement, the outcome of the VLC tariff proceeding, ongoing QIP reconciliations for 2017 through 2023 with approximately $3.0 billiond of aggregate capital costs under review, regulatory and environmental changes, and tax credit transferability under the OBBBA. Operating cash flow was $3,379.4 million, and investing outflows of $4,874.7 million were funded largely by net financing inflows of $1,524.0 million.
02—Key points
Key Highlights
- Net income attributed to common shareholders rose $30.3 million to $1,557.5 million, while diluted EPS slipped to $4.81 from $4.83.
- Wisconsin segment net income increased $191.7 million to $1,054.8 million, driven by PSCW rate orders effective January 1, 2025 and higher retail sales volumes.
- Illinois segment net income fell $130.0 million to $122.1 million after a $205.0 million pre-tax charge related to a proposed settlement of UEA and QIP rider proceedings.
- Capital expenditures increased to $4,398.1 million in 2025 from $2,781.1 million, and the company plans about $33.4 billion of regulated utility capex from 2026 to 2030.
- Total debt reached $21,942.2 million, a 61.7% ratio of debt to total capitalization; the company issued $2,844.5 million of long-term debt and $761.9 million of common stock in 2025.
- The Board increased the quarterly dividend 6.7% to $0.9525 per share in January 2026, equating to an annual dividend of $3.81 per share.
- Large data center demand is expected to drive growth, with proposed VLC and Bespoke Resources tariffs pending PSCW approval and a decision expected in the second quarter of 2026.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Wec Energy Group kept $0.16.
- Revenue$9.80B100.0%
- Cost of revenue−$3.27B33.3%
- Gross profit$6.53B66.7%
- Operating costs−$4.29B43.8%
- Operating income$2.24B22.9%
- Interest, other & tax−$687.4M7.0%
- Net income$1.56B15.9%
Where FY2025 revenue went
$9.80B- Operating costs: $4.29B, 44% of revenue
- Cost of revenue: $3.27B, 33% of revenue
- Net income: $1.56B, 16% of revenue
- Interest, other & tax: $687.4M, 7.0% of revenue
Kept 16% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 20, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $9.80B$8.60B | +14.0% |
| Cost of Revenue | $3.27B$2.66B | +23.0% |
| Gross Profit | $6.53B$5.94B | +9.9% |
| Operating Expenses | $7.56B$6.45B | +17.2% |
| Operating Income | $2.24B$2.15B | +4.3% |
| Net Income | $1.56B$1.53B | +2.0% |
| EPS (Basic) | $4.84$4.83 | +0.2% |
| EPS (Diluted) | $4.81$4.83 | −0.4% |
| Shares Outstanding (Basic) | 321.90M316.20M | +1.8% |
| Shares Outstanding (Diluted) | 323.80M316.50M | +2.3% |
05—Questions
Frequently Asked Questions
Why did Illinois segment earnings decline so sharply in 2025?
The Illinois segment's net income fell $130.0 million to $122.1 million, driven by a $205.0 million pre-tax charge in the fourth quarter of 2025 after PGL and NSG agreed to terms of a proposed settlement with the Illinois Attorney General. The settlement would resolve open UEA and QIP rider proceedings, pending ICC approval. The charge comprised a $130.0 million impairment to PGL's property, plant and equipment and a $75.0 million reduction to revenues. Partly offsetting this was the absence of a $25.3 million pre-tax charge recorded in 2024 related to a QIP disallowance.
What is the scale of the company's capital plan and how will it be funded?
The company expects total capital expenditures for its regulated utilities of approximately $33.4 billion from 2026 to 2030, and its share of ATC's projected capital expenditures of about $4.1 billion over five years. Capital requirements are expected to be met through internal cash from operations and access to capital markets, including commercial paper, long-term debt, and common equity under an at-the-market program with a $3.0 billion capacity established in October 2025. Operating cash flow was $3,379.4 million in 2025.
What are the main risks to the data center growth strategy?
The filing notes that WE is investing heavily in generation and distribution assets to serve a small number of very large customers, subject to pending PSCW approval of the VLC and Bespoke Resources tariffs. Risks include project cancellation or delay, cancellation penalties, potential asset impairments, and the possibility that customers reduce load or fail to meet reimbursement obligations. The company also cites AI technology adoption uncertainty and the possibility that regulators may not allow full cost recovery.
How is the company's regulatory outlook affecting earnings?
Wisconsin rate orders effective January 1, 2025 and 2026 provided significant margin increases, with WE's 2025 electric increase of $144.0 million and 2026 increase of $169.5 million. Pending matters include PGL's 2026 rate request for increases of $201.3 million (20.95%), with an ICC decision anticipated in the fourth quarter of 2026. Ongoing QIP reconciliations for 2017 through 2023 cover approximately $3.0 billion of capital costs, and the outcome could be material if disallowed.
06—Continue