Entergy Arkansas Reports $85.4 Million Net Income in Q2 2026, Down $13.8 Million Year-Over-Year

Entergy Arkansas, LLC reported a net income of $85.4 million for the second quarter of 2026, a decrease of $13.8 million compared to the same period in 2025. This decline was primarily attributed to higher other operation and maintenance expenses, increased interest expense, and higher depreciation and amortization expenses, partially offset by an increase in retail electric prices. For the first six months of 2026, net income was $167.6 million, a decrease of $17.6 million from the first half of 2025, driven by similar factors including higher interest expense and other operation and maintenance costs, alongside lower volume/weather impacts, though this was partially mitigated by higher retail electric prices and other income.

Operating revenues for Entergy Arkansas saw a slight decrease of $4.1 million to $693.5 million in the second quarter of 2026 compared to $697.7 million in the second quarter of 2025. This change was largely influenced by a $37.1 million decrease in "Fuel, rider, and other revenues that do not significantly affect net income," which was counteracted by a $32.2 million increase in retail electric price. For the first six months of 2026, operating revenues increased by $28.6 million to $1,339.8 million, driven by a $54.7 million rise in retail electric price, despite a $15.3 million reduction in fuel, rider, and other revenues and a $10.8 million decrease attributed to volume/weather.

The company's capital expenditures for the six months ended June 30, 2026, totaled $919.1 million, a significant increase from $493.2 million in the same period of 2025. This rise was primarily due to a $384.9 million increase in non-nuclear generation construction expenditures, notably for the Jefferson Power Station, Cypress Solar, and Ironwood Power Station projects. Additionally, nuclear construction expenditures increased by $72 million. Financing activities provided $738.3 million in cash for the first six months of 2026, an increase from $277.5 million in 2025, largely due to the issuance of $1 billion in mortgage bonds and a $200 million capital contribution from Entergy Corporation.

Entergy Arkansas's planned construction and capital investments through 2030 are projected to be substantial, with $1.95 billion allocated for 2026, including significant investments in generation projects like Ironwood Power Station, Jefferson Power Station, and Arkansas Cypress Solar. The company's debt to capital ratio remained stable at 53.7% as of June 30, 2026, and December 31, 2025. Looking ahead, Entergy Arkansas anticipates continued capital investments focused on modernizing its generation portfolio, supporting customer growth, and enhancing reliability.