Evergy, Inc. Q4 FY2024 earnings call

David Campbell began by thanking employees for their work in 2024, highlighting a solid year with adjusted earnings of $3.81 per share compared to $3.54 per share in 2023. The company invested $2.3 billion in infrastructure to modernize the grid. In regulatory news, Kansas saw passage of House Bill 2527 supporting infrastructure investment, and Missouri reached a settlement in the rate case including a joint ownership interest in the Dogwood Energy Center. Economic development was strong with wins from large customers like Google, Panasonic, Meta, and others, totaling 800 megawatts of demand. Bryan Buckler discussed 2024 financial results, noting adjusted earnings of $878 million or $3.81 per share, and sales trends with 1.1% weather-normalized retail sales growth. He also provided an update on the financing plan, with a revised $17.5 billion capital plan from 2025 to 2029.

Reaffirmed the 2025 adjusted EPS guidance range of $3.92 to $4.12 per share. Maintained the long-term growth target of 4% to 6% through 2029. The updated five-year capital plan totals $17.5 billion, a $1.3 billion increase from prior forecasts, reflecting investments in grid modernization and new generation facilities.

Q: What's the timeline for finalizing agreements related to the 1.6 gigawatts of load?

A: David Campbell stated discussions are advancing, announcements from customers are expected later in the year, and they'll incorporate load growth into guidance once customers make their announcements.

Q: How does the large load tariff protect existing customers?

A: David Campbell explained the tariff is designed to be well-balanced, including protections like minimum bill, contract periods, and exit fees to cover incremental costs and benefit existing customers while serving new large loads.

Q: What's the status of Missouri's SB 4?

A: David Campbell said SB 4 passed the senate and is in the house, with the legislative session ending in May, and it's transformative for Missouri's regulatory framework regarding generation investment and resource adequacy.

Q: How do additional large customers impact equity needs?

A: Bryan Buckler noted that if additional large customers come online by 2028, it could moderate equity issuances, potentially reducing hundreds of millions of dollars in equity needs over the five-year period if loads play out as expected.