AMEREN CORP Q1 FY2025 earnings call

• Ameren remains steadfastly committed to its strategic plan, focusing on delivering reliable, affordable energy while making prudent investments in energy infrastructure.
• In the first quarter, key energy infrastructure investments enhanced system reliability for customers. Ameren reported first quarter 2025 earnings of $1.07 per share vs. $1.02 per share in Q1 2024.
• Priorities for 2025 include strategic investments, enhancing regulatory frameworks, and optimizing business processes.
• In Missouri, Ameren filed analysis supporting a change to its preferred resource plan, a rate review settlement was approved, and comprehensive energy legislation was enacted.
• In the first quarter, Ameren supported nearly a dozen projects bringing over $700 million of capital investment and over 1,000 jobs across states.
• 1,200 MW of new generation under development at Ameren Missouri remains on schedule, with contracts executed for turbines and materials for natural gas energy centers.
• MISO transmission planning is underway, focusing on Tranche 2.1 competitive projects.
• Ameren has a robust pipeline of over $63 billion in investment opportunities over the next decade to strengthen the energy grid, support economic growth, and deliver value to stakeholders.
• The five-year growth plan expects 6%-8% compound annual earnings growth from 2025 through 2029, driven by strong rate base growth and strategic infrastructure investment allocation.

In the first quarter of 2025, Ameren reported earnings of $1.07 per share compared to $1.02 per share in the first quarter of 2024. Key energy infrastructure investments are enhancing the reliability and resiliency of the system for 2.5 million electric customers and over 900,000 natural gas customers. Ameren Missouri's total weather-normalized retail sales increased by approximately 3% over the 12 trailing months ended in March.

• Ameren continues to expect 2025 diluted earnings per share to be in the range of $4.85 per share to $5.05 per share.
• Expect earnings growth driven by robust rate base growth and strategic allocation of infrastructure investment.
• In 2025, Ameren expects to issue approximately $600 million of common equity, with $535 million sold forward under its at-the-market (ATM) program, and the remainder to be issued under dividend reinvestment and employee benefit plans.

• Trade tariffs proposed by the current administration pose uncertainties for Ameren's capital budget. However, Ameren expects any impact on the capital budget to be very manageable. The company is closely monitoring the dynamic tariff situation and working to deliver cost-effective energy resources for customers.

Q: Jeremy Tonet inquired about the clarification between the $350 million referenced and the 2.3 gigawatt mentioned, asking if they were separate.

A: Michael Moehn responded that the incremental change is from 1.8 gigawatt to 2.3 gigawatt, with an additional 500 MW of data center construction agreements signed, clarifying the incremental increase.

Q: Julien Dumoulin-Smith followed up on tax credit monetization and offsetting, asking how the $300 million per year of tax credit monetization could be managed without additional equity.

A: Michael Moehn responded that the plan is manageable, with Ameren having a strong balance sheet and financing plan in place, and advocating for favorable regulatory treatment to maintain flexibility.

Q: Carly Davenport asked about the exposure of the overall capital plan to tariffs and specific verticals driving exposure.

A: Michael Moehn responded that labor-related costs make up 65% of the capital plan, with 35% on material side, and historically 85% domestically sourced, expecting tariff impact to be a manageable 2% of the overall capital plan.

Q: Paul Fremont asked about the cost estimate for the Castle Bluff 800-megawatt plant and cost of additional gas fire generation.

A: Michael Moehn responded that the cost estimate for the Castle Bluff plant remains around $900 million, and for additional gas generation, costs are in range with secured turbines and active RFP process for combined cycle plant.

Q: David Paz asked about EPS growth in the second half of the planning period.

A: Marty Lyons responded that Ameren is confident in achieving the upper end of the 6%-8% compound annual earnings growth rate from 2025-2029, driven by load growth and strategic investments.