AMEREN CORP Q3 FY2024 earnings call

• Marty Lyons started by discussing third quarter 2024 adjusted earnings of $1.87 per share, in line with expectations. The results excluded two charges related to ongoing proceedings. • The company has a strong investment pipeline driving earnings growth, with economic growth in the Greater St. Louis region reflected in strong retail sales growth. • They have invested $3 billion year-to-date in replacing aging infrastructure and building new infrastructure. • Highlights include closing on three solar energy centers totaling 500 MW, approval of the Castle Bluff natural gas energy center in Missouri, and a settlement agreement in principle with the US Department of Justice for the Rush Island Energy Center. • Operational performance remains strong with focus on safer, more reliable, and affordable energy through grid hardening, etc. • Michael Moehn discussed earnings reconciliation, noting adjusted earnings of $1.87 per share for Q3 2024, excluding charges related to Rush Island and FERC order. • Sales trends for Ameren Missouri and Illinois Electric Distribution were highlighted, with weather-normalized retail sales remaining strong.

No detailed segment performance with revenue contribution percentages provided in the transcript.

• Expect 2024 adjusted earnings within $4.55 per share to $4.69 per share range. • Expect 2025 earnings per share to be in the range of $4.85 and $5.05, with midpoint representing a 7.1% increase over the midpoint of 2024 adjusted guidance range. • Provided 2025 guidance earlier than usual to reinforce confidence in delivering on 6% to 8% earnings per share growth expectations. • Will provide long-term earnings growth guidance and capital and financing plans on year-end call in February.

• Potential regulatory outcomes could affect guidance. • Double counting in economic development opportunities where potential customers may be considering multiple utilities. • Uncertainties in transmission project approvals and timing of customer load growth coming to fruition.

Q: Could you elaborate on the strategy given ongoing regulatory proceedings and how to think about 2025 range relative to potential regulatory outcomes?

A: Marty Lyons stated they have strong conviction in their ability to deliver within the range, delivering 2025 guidance earlier than usual as they believe they can adjust plans to hit the mark despite regulatory unfoldings. Michael Moehn added about constructive data points from the ALJ and interveners recommending approval of the grid plan.

Q: Thoughts on potential double counting in economic development opportunities with customers submitting to other utilities?

A: Marty Lyons mentioned there is duplication in potential new demand from developers and hyperscalers, but they are working methodically with counterparties, expecting to narrow down opportunities over time and update plans in February.

Q: Thoughts on refilled group plan oral arguments and customer call side impact on customers?

A: Marty Lyons said to look at the benefit-to-cost ratios of projects, with customer benefits in a range of 1.3 to 5.6 times portfolio cost. Michael Moehn added about constructive data from the ALJ and interveners recommending approval of the grid plan.

Q: Elaboration on O&M reductions and 4Q efficiency?

A: Michael Moehn discussed O&M reduction programs, mentioning $0.05 impact in Missouri and $0.03 and $0.01 in Illinois Natural Gas for 4Q, with focus on headcount, discretionary spend, simplification, and benchmarking to drive efficiencies.

Q: Thoughts on 2025 growth and upside potential?

A: Marty Lyons and Michael Moehn discussed strong track record of delivering above midpoint, positive data points like slow growth, potential load growth, robust investment pipeline including $55 billion pipeline, and economic data in Missouri territory being strong.

Q: Ameren Transmission growth and Missouri legislative session involvement?

A: Marty Lyons discussed advocating for expansion of PISA, right of first refusal on transmission, and focusing on economic development, job creation, and reliable energy portfolio. Michael Moehn added about $55 billion pipeline and LRTP projects.

Q: Transpiration of agreements with large load customers and regulator facilitation?

A: Marty Lyons discussed need to consider incremental resources for load growth, updating integrated resource plan, and ongoing dialogue with entities. Michael Moehn mentioned transition away from older plants and evaluating generation needs for IRP update.

Q: 2025 EPS growth guidance and capital impact?

A: Marty Lyons said they will update based on 2025 midpoint, and Michael Moehn discussed capital planning, $21.9 billion capital plan, and financing assumptions with strong ratings and margin.

Q: Election impact on EPA-driven investments and transferability cash flow?

A: Marty Lyons discussed that company strategy doesn't change, focus on infrastructure and economic development, tax policy being significant, less likely to see corporate tax increase with Republican leadership, and engagement with policymakers on clean energy tax provisions.