Utilities Q1 2026 Postview

Research evidence excerpt

Utilities Q1 2026 Postview

May 13, 2026 Utilities Q1 2026 Postview

Large load tailwinds keep the good news comingUTILITIES Alex Kania

WHAT YOU SHOULD KNOW: The first quarter marked another upbeat earnings season (212) 527-3572 akania@btig.com

for the utility sector. Overall large load backlogs continue to drift higher and long-term Will Paterno earnings trajectories are also going up as well. We don't see these trends abating for (332) 400-5158 wpaterno@btig.com

now, as hyperscaler capex continues to move higher and we are seeing more signs of

Julia Messina commercial and industrial sales growth. Politics and affordability remain the biggest

(212) 588-6563 jmessina@btig.com risk.INDUSTRY

■ A lot more beats than misses in Q1; outlooks picking up. Fully 18 out of our

coverage of 20 names beat or were in line with consensus estimates for Q1

earnings, and this was despite relatively mild weather conditions vs. normal. While

still early in the year both American Electric Power Company (AEP, Neutral) andREPORT Entergy (ETR, Buy, $131 PT) boosted LT growth outlooks on large load backlogs.

■ Large load - great to see the backlog keeps building. Across the board the

consistent message was the demand picture continues to get even stronger,

particularly on the large load front. This has been the theme over the past 24

months and as of yet there are few signs of that potential slowing at this time.

We count about 20 GW of additional high probability large load coming into

forecasts vs. Q4-25 earnings to 166 GW. These should drive continued momentum

on outlooks.

■ The aspirational backlogs may need rationalization. The total backlog from our

names total over 800 GW - which is higher than the country's current peak demand.