AEE - Earnings call transcript Q2 2024

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Operator

Greetings, and welcome to Ameren Corporation's Second Quarter 2020 Earnings Call. [Operator Instructions]

As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Andrew Kirk, Director of Investor Relations and Corporate Modeling for Ameren Corporation. Thank you, Mr. Kirk.

begin. may You

Andrew Kirk

good and Thank morning. you,

and On the of our our the are as President Lyons, Ameren management me President with Senior as and members Vice Moehn, today Chairman, Michael Chief Marty and Officer; call Executive other Financial Chief team. Executive well Officer;

as and This this redistribution only is broadcast call of date is that data the contains of today's time-sensitive prohibited. accurate of live broadcast,

referenced presentation a the homepage by on our be speakers. We have posted that amereninvestors.com will

Page our the projections, about which of made factors forward-looking and forward-looking this on refer about in to comments statements SEC anticipated. could we that noted statements As the statements. matters, for section contain issued more those conference actual X as future during materially presentation, the from are referred similar call release differ financial information to may results Please commonly well to plans, various expectations, performance the news filings cause as yesterday as

who Page is here X. start Marty, Now will on

Martin Lyons

Thanks, earnings Andrew. we quarter to second have cover developments our morning, today XXXX pleased joining us you and our business as recent across segments. everyone. results Good We're

customers remain was shareholders. strategic take and positive our and Overall, experienced future and very opportunities executing of plan, advantage value on quarter, always, our management significant as a it positioning for productive us to team laser-focused our dedicated well drive to

moment. robust this seen, us development XX-plus is Speaking I'll the period I most I'm years for economic company, opportunities in in the on dynamic the more which growth and our opportunities, utility of tremendously have pipeline a touch about In with excited for the ahead sales industry. my investment

the Yesterday, the $X.XX of are our second the second share And weather-normalized me drivers for share. our benefit we this solid, on driven $X.XX per guidance of of in and encouraging infrastructure XXXX highlighted for share cost year, second earnings months investments sales earnings to of compared track these results control. earnings for our earnings remain been within per XXXX. strong retail disciplined by first $X.XX results share of X Key on per and operations customers, the cover range page. per $X.XX of announced the made and quarter let our deliver to have of quarter First, quarter. results We

Turning to Page X.

our strategic commitment to safe advocating and plan continuous to enhancing for responsible my express on energy through and ongoing sustainable our steadfast energy in We to infrastructure, frameworks regulated Our I'd performance order keep improvement reliable rates unwavering investing in in like policies, designed to to Ameren is this do affordable. while regulatory strategy. operating optimizing for our deliver coworkers manner. by a commitment appreciation rate providing

more execute quarter to we frequent against our in On first the to of key to we The grid severe XXXX accomplishments on investments the X in our X, second the events. the harden as modernize of our Page strategy reliability and maintain are safety designed have objectives. the made weather year the to months infrastructure energy deliver grid and strategic highlight we

and swept Day Memorial hail. Illinois, through weekend, severe ball-sized winds, Missouri thunderstorms golf and strong Over flooding bringing

open restore continue operations, trees quickly stay and repairs to cleared to cool infrastructure quickly and assess safe. make our damage, critical to safely power long allowing hours always, and worked homes possible, to and As the as to businesses teams remain as

million rerouting states to to across minutes outages the the investments rapid over during half detection, storms modernize customer and But over of and were due even power of avoided XX,XXX Illinois first system during grid. by automated Missouri and due of across both restoration outages customer switches were better XX,XXX our prevented XXXX, X.X to

operate to for the investment it's policies. important As regulatory and future jurisdiction look ahead constructive we of customers, on to a benefit legislative our

quarter, slides. will I the cover made more in Michael depth significant coming on and which This we've advancements regulatory

our and our natural resource continue Commission generation regulatory we Service largest gas which At Missouri solar Ameren business integrated to Missouri, segment, plan. make progress supports new the for with Public

County retirement a is The was project commission approved Our which in associated service Island approximately our solar Huck of investment in connection Rush projects with X securitization with order expected Cass solar of of be for Boomtown this represented to and an June Center year, $X along with year. collectively, placed of and X this billion. constructive its also costs in in approved October Energy Finn the

with we the Missouri, continue smart in our and bolster a PSC customers. updates. energy transmission distribution, generation make to Castle generation CCN of regarding In we finally, for significant Bluff June, energy plan to dispatchable projects reliability combination Missouri And and progress our our empower the Overall, filed center. on

Missouri below its which In commission, substantially improvements If Ameren the late Missouri June, rate is Ameren customer made still well would filed plan. Midwest averages. national rates by request with remain approved, electric review this under driven and infrastructure

project all competitive to brownfield and territory. opportunities to portfolio to MISO's investment within our evaluation concluded transmission. competitive which bid April, billion billion process projects continue territory. Ultimately, awarding service to service The $XX Independent Turning three the Tranche System projects or the transmission evolve. the continues for develop plan Operator, they In MISO in greenfield to promises and Mid-Continent X Ameren, $XX our X.X long-range Meaningful Tranche

Finally, rate order in Illinois through Illinois, Commerce of 'XX on Commission XXXX. the plan Ameren for multiyear the Illinois' an rehearing issued

base of reliability supports ongoing the our level the ICC proceeding. grid our earnings the plan in multiyear that XXXX was base order Importantly, our reflects guidance. Further, in of reflected rate rate planned investment order XX%

and of this plans ICC investment on year. We grid an to by the look rate the multiyear decision end forward

we have Michael strong to optimization in a safe, and through seen standardization, with service regulatory enhanced across performance on addition cover energy which advancements, these business affordable In reliable, significant the more operational will delivering focus automation, detail.

customer to opportunities. Moving update on now Page growth for an X expanding our

and economic seen would megawatts have increase opportunities represent thousands inquiries center a reviews engineering on data development across then, touched additional in we Illinois, our Ameren we Since call, significant number territory. quarter of of in underway, first combined demand. the formal which service On Missouri of and the collectively,

along with state and working our teams, a and economic these manufacturing opportunities local Our service of other territories. and aggressively to stakeholders attract to development are variety

record has course, of infrastructure and development, to strong a Ameren go the and Of needed track reliable partnerships opportunities. expertise we resources, after have these people,

and Illinois This competitive coupled and Missouri customers. an for our rates access, transmission, proposition with and water commercial industrial tax Further, territories sites attractive value offer includes fiber with incentives. and

we serve and have reliable also to development and clean the growing of assets portfolio economic Missouri, dispatchable In opportunities. expand ability with generation order to these a in

agreement sales XXX-megawatt a which XX% upon Missouri's and center, respectively, a total represent hour this sales, construction has full increase up. megawatt been hour far X% annualized would So completion for and industrial megawatt and Ameren executed year, to data approximate an ramp

in Our services customer data be construction expected completed with distribution through up this ramping the transmission is support to center operations of to to extend XXXX. December XXXX, and XXXX from

customers received serve customers expect expansion contracts and we've smaller megawatts time. other these executed for with generation XX fully addition, to over them, or We load both by manufacturing, of new expanding XXXX new for ramped all to up over data states. be would additional commitments value In and for industries creating sufficient across centers

our which local to excited these state jobs communities. and about and opportunities, be additional in We're will benefit tax base

commitments our weather-normalized expectations center not Importantly, were issued reflected in in guidance included data earnings growth per and customer the sales in the other X-year February. new share

by of expect needs, Of load time, all timing portfolio. we benefits customer stakeholders including Plan, or and Ameren ultimate of to additional February work impact Missouri with customer tariff opportunities communities incremental shareholders. a and To all upon the XXXX, potential careful investment growth evaluation ramp-up customers, dependent our bring net IRP, any update variety the generation load planned our course, currently of Integrated structures. these will that expansion and following our rate generation to we And a of economic be Resource will of end, factors, reviews

X. Turning Page to

diverse serve reliable, We needs. our and building on mix ensure which portfolio customer cleaner of Missouri and to energy focuses maintaining continue to execute generation to resources our a IRP, low-cost a

two quarter. We key developments had this

in First, will subscribe of from this our business serving their serve facility solutions energy the the through to is fourth in to energy the PSC solar customers facility needs CCN Cass which renewables. who approved renewable June, year. receive part all This for program quarter County Missouri of customers the expected XXX-megawatt begin or

programs The Missouri goals. to May up PSC held in ready-made that auction part reach take energy for followed solutions a sustainability approval renewable Missouri across Demand successful their businesses solutions help them bring strong where remains signed the program expansion. in to customers

to ready June, reliable winter on serve we energy center, gas simple-cycle the nights in backup Bluff our PSC CCN Castle to summer Missouri with a days. natural on-demand a most as the XXX-megawatt of and an source for energy facility filed Second, extreme also operate

commission service by to represents approval, in subject million investment the XXXX. of an $XXX be end and Bluff, expected approximately to Castle is

now for cost were update Tranche of its X with referred a Tranche billion initial transmission $XX transmission set billion. Page long-range projects. owners Tranche projects. Moving MISO In projects X MISO June, engage to of as and on to the of X economic continue estimate an the proposed proposed in analysis to X.X to an now of set $XX

the territories. both Tranche varying The Illinois substations transmission portfolio our Ultimately, products and or to territories, our of high-value in and to of levels reflecting identifies greenfield a mix projects X won and new in voltage XXX% service our cost-effective, a we timely, lines deliver need service of ability for brownfield improved communities. our Missouri

customer. similarly we'll Tranche competitive for a projects expect be in compete able X our better We manner to to serve greenfield

Tranche further XXXX of X.X projects North Midwest a plans needs in second of approved, and MISO Tranche propose to X.X the in expects year. projects by end Tranche MISO regions. or X the to to Once approve address set transmission the the

Turning to XX. Page

the that economies. thousands deliver over have our well of of to over $XX stakeholders create we and robust jobs next for ahead value local billion our investment Looking significant a of pipeline opportunities decade, will

In we several business addition, segments. tailwinds across see our forming

a Missouri this ago, generation may investment potential, to we which our are significant and IRP further Ameren and sales reassess Specifically, require us seeing expand few moments I pipeline. discussed growth our

come. growing stakeholders on strong We're amongst see and sessions a we embrace to seeing to generation reliability, need Missouri planning reliability-focused a in focus enhanced legislative policies and

constructive energy the fashion the be policies a investment in Further, support critical of additional MISO's energy growing move Maintaining infrastructure our to while to energy in customers' to meeting our on in delivering identify expectations. that and transitioning region country's cleaner will energy robust needs Midwest needs improve across to region. ability electricity the a future and to maintain reliability transmission opportunities will analysis responsible likely

annual compound growth growth growth earnings business rate X% annual base regulatory February, our segments of from expectation of by primarily allocation updated our XX. through driven infrastructure by based compound is Moving plan, strong This strategic investment to which on of included X-year to of XXXX to rate Page their earnings frameworks. In our we XXXX. growth supported X.X%, X% each

utility dividend, an story. for result X.X%, strong to and growth presents which seeking in Ameren X% growth those attractive in Investment a story. total yields long-term plan opportunity Combined, X% a and attractive an high-quality earnings today our growing return compelling

We our across investment plans record confident management balance a execution, our I'm have an ability of of strong in and strong and strategies four experienced execute team. a our all business track segments. sheet to

all thank now I'll Michael. call today, you for and over turn joining Again, us to the

Michael Moehn

year delivered morning, presentation. $X.XX the per infrastructure management. the of quarter $X.XX to good driven and earnings share by on compared cost our we investments Page of Marty, share strategic We reported performance everyone. XXXX ago during per disciplined primarily quarter, and earnings XX I'll for strong Thanks, second quarter. begin Yesterday,

favorable earnings levels While saw encouraging usage. see customer to from strong also we weather, of a growth benefit and energy continue

operations part order. were impacts cost the disciplined company-wide controls, items maintenance flat of expenses the Ameren quarter excluding nonrecurring Missouri through when as Further, XXXX and the for from rate

share this Additional increase overall page. on that contribute to factors per $X.XX highlighted the are

the by This results are XXXX, today's been growth prior existing X% XX primarily presentation. analytics from and as Page on digital year sales Notably, weather-normalized of we've large growth significant primary driven in outlined has compared customers industry. data year-to-date period. of strong service our industrial the experienced Year-to-date to

hour we We continued coming across bring to sales in on customers new growth Further, years. growth classes existing expect continue as expansions Missouri. kilowatt in to rate we support customers' weather-normalized all see see the and strong

XX. to Moving Page

per to remain our $X.XX continue the be in confident year, warmer earnings As $X.XX spring range the temperatures share. mild this the XXXX summer we early remainder to range and as weather. about experienced we think guidance quarter in expect flat we for The earnings of quarter are the offset to year-to-date first of and

the meaningful year-over-year you continued our year, XXXX, implemented savings expect initiatives in to call, of outlined half reductions which in we see the several consideration O&M throughout develop second for in first as to of addition, we In to benefits quarter I reflecting cost the encourage earnings remainder these for and year. noted the other year. drivers as earning into the results build you of expectations the take quarterly slide, the on supplemental your

Moving with In October PSC to our Island matters. Energy the regulatory June, Page of associated XX, the XX. in $XXX Rush securitization Center Ameren of approved Missouri a costs million retirement on of approximately scheduled Missouri

expect We in our future original and between to order be the million the of $XXX ask reflected rate difference proceedings. final

capital includes XX. the a under request Page a ratio PSC, for investment December Missouri base this Plan a XX% of increased to and upgrades of to with the filed million is XX, in XXXX a Ameren The equity Missouri electrical late Ameren electric XX% $XX return to Smart Missouri revenue system recover in by In generation. June, estimated Turning equity, rate Energy driven request billion. XX.XX% $XXX investments on investments major increase

a the from expect May We Missouri with decision June new of year. affected next rates XXXX by by PSC

flows Turning such Illinois expired file the or for prior required cash XXXX, which Illinois true-up rate updates to annual any at time of and ratemaking, costs. was in service Ameren to on of to Illinois to formula over systematically of XX. changes Under Ameren Page cost under recovery period end adjust over

million. or increase year. million full months distribution electric decision $XX this in a amount the ICC being in prior to will the request X.X% staff of increase XXXX. a updated year in December be The approximately XXXX's million final replacing rates average $XXX base expected effective July, of With million of the our $XXX customer $XXX is collected new reconciliation residential customers of result ICC rate matter For during this the would from recommended the requirement, revenue This of The adjustment in net XXXX, review next in will impact reconciliation a customer bill. collected and compared ahead. an by total early that

Turning for an rate XXXX to plan the Page XX covering through multiyear XXXX. update on

adequately in safely. our the to from ICC we plan. a level pleased receive the base the of request decision constructive a had Recall January, multiyear of ordered needed rate approving operate ICC are identify our rehearing We that rehearing the grid in upon to investment

a our In analysis X% representing and our stakeholder XXXX, engagement the XX% revenue $XXX increase June, a team, bill cumulative after million for additional of approximately from extensive rehearing by provided and increase ICC approved request average residential XXXX.

of also order will Excluding multiyear plan, revised this OPEB, rehearing rate approximately be request reviewed in the commission included XX% the by rate base the the of represents XX% later base year. our and which rate

level first until were this a effective base rehearing remain in late a and by approved. order. grid investment MYRP revised superseded Interim order June effect a in The was positive rates will in for getting step

the XXXX. Illinois Climate the However, Equitable passed Act laid the there in Jobs be of objectives in to achieve and to is still work done State much in out

grid our grid our safety, in us to operations plan allow And invest energy more equitable an revised affordable, make of preserve the and rate plan towards multiyear energy Approval progress to system. will clean and reliability of transition. appropriately day-to-day

million. July, ICC million request the our increase of $XXX recommended In cumulative staff a updated versus July revenue XXXX of $XXX

rate capital base. With of and the renewal OPEB the from primarily certain variance projects driven by

return actual XXX% on will penalties the revenues do performance Annual year-end requirement. and rate equity or exceed be any not provided costs approved of incentives base recoverable based on for revenue they a adjusted

earlier examination remaining was rates of narrowing by for December issues, an XXXX. and decision January with the expect hearings week, ICC X, this with effective we weighed cross Lastly,

financing update. Page XX. to We a Moving provide

very our feel to about financial continue position. We good

and Parent Moody's Our peer providing credit BaaX respectively, of S&P, flexibility. favorably compare financial BBB+ with to ratings the at and Ameren average, us

million at-the-market end $XXX approximately end while ATM million of our which program consisting forward sold infrastructure we we $XXX credit to had ratings a expect of this expect the By plan issue equity through shares, and $XXX issue XXXX. maintain year. To X.X of a common we million this the of approximately to approximately sheet XXXX, million by or balance strong robust the in fund we of

under with our DRIP support our expected ATM the issuance XXX(k) is equity our and to programs, needs in Together program XXXX. equity

XX. At continuously our to eliminating And review spending to contractor of and deferring initiatives, Page sustainable instituted ways all to customers. find some on hiring more detailed for of the opportunities reduce reducing workforce. reductions. focus start with spans or and discretionary to we strives Ameren while the for efficiently cost savings identified further layers, consultant Turning our year, we work cost costs including a of several a

disciplined we numerous initiatives collaboration then, customer in and have enhanced greater will business. through Since affordability our provide improvement efforts that across management our continuous cost coordination

standardization to savings. optimization, automation, we streamlining company-wide eliminating and redundant capabilities work are processes, and provide leveraging sustainable shared cost Through

behalf prudently providing quality service leadership team to committed Our is of while on and managing costs reliability. our customers,

XX. Turning to growth deliver We're year a continue off as half in the expect first strategy. in successfully and solid to earnings business comprehensive the XXXX Page of strong to our start to execute we

expect driven rate per cost We by robust growth share and earnings continue management. growth strong to base disciplined

As years the and several tailwinds we in forming Marty mentioned, ahead. see months

create continue an the strategy, total, value will favorably We We opportunities have compare to story. our customers growth peers. we return right believe for growth In total shareholder this offer with the our an of and shareholders. our investors attractive Ameren have shares attractive and team to dividend.

invite your questions. That concludes our now prepared remarks. We

Operator

a now session. question-and-answer We'll Instructions]. conduct [Operator

from with Shar Partners. Pourreza Guggenheim question first is Our

Shahriar Pourreza

the that where media range? timing million guys quick a Any read bid-ask, to on process could within you through of sort third-party from few ago. Rush the So $XXX just got days real of that or saw land Island a kind

Martin Lyons

little case. provides appendix, The posted a the of background We in the just be listening in Slide XX. to Shar. a Thanks, bit Yes. slide

the that will constructive settlement some ordered pleased between the negotiations which mediation, judge were we lead hopefully parties. But to

mediation place in settlement a expect mediation summer the the successful take this between party. that reaching We to the isn't event in

We would the expect year hearings of this have in still a evidence year. that case the September, and judge get would resolution we'd likely

we'll exactly So I don't step think, that on up think we nonetheless, where end forward. a positive but -- any through read between spread, in bid-ask

Shahriar Pourreza

it X.X, on topical side, transmission and Okay. the Tranche then just Perfect. little And on obviously, as a of X.X. the part was

remind versus Any in-service how are what it of to line, think greenfield color Is within these, line associated the about just dates? on spend at point competitive on by allocation with And potential this brownfield? that? timing us

Martin Lyons

good All Shar. Yes, questions.

So you Tranche see -- the provided kV those look of some at Illinois. see in breakdown XXX the when on Missouri lines, you you and that X.X and a we at you lines and the look Page XXX map and between X, kV

We're pretty brownfield, more red shaping green see being excited respect greenfield. we dotted those the about as more this With the overall. up lines, is likely way to the lines likely

point, see those specific And mix so there. no lines those this estimates a you in that At our service territory. cost things run of for

overall The breakdown If but our course, if us. give expect those. compete greenfield, numbers would to $XX footprint. billion total we the in can't $XX would to of billion a on to MISOs to we right you And expect them portfolio, allocated that are estimates those or for now for give the be brownfield, we the

ability our projects. Tranche And pleased compete we were for with the X very to

to job at and And way are operating of territory. in a we way. a in we these great and remarks, think a them. three good end deliver projects on the to in And we winning feel munis, at can make in speaks ability As timely prepared done great that we contractors to at our partnering like the others day, our our service these were co-ops, noted deliver. cost-effective we've with it really Again, our -- sure we Shar, all constructing

the respect X the time we really to with Tranche construction Now XXXX the line expect projects, to of from XXXX. those to on extend

the think X-year our X.X plan respect And we our largely $X.X X think probably Tranche billion have projects. I that with X-year I Tranche of so projects, about then outside or spend plan. is those to in for

these with However, and projects Tranche the there's some we'll also Tranche X. to Illinois Tranche this X.X happen there. be these of our sequentially the have excited in but footprint. started again, that on about X.X really any projects no expect problem and can Missouri see in more work No overlap even of Tranche that that And extent reason X.X, to

here pleased so the very to again, And just the MISO process. and overall, in responsiveness with the doing work stakeholders is

Operator

Our Campanella Nick next Barclays. with question is from

Nicholas Campanella

focusing but have on I XX-plus turning to the capacity third really right. just center just have system on to where that megawatts, The So of to -- ask this construction It seems data wanted looks Missouri you're supplement of slide. only opportunity. seems gigawatts like you I'm things kind if is

really you'll And megawatts the think kind tipping clarity But you have fine accelerate get by next this IRP? you point that realistically many is what the procurements to guess time line? do in on more how to of you have think I do

Martin Lyons

thousands and there, Yes. from And Nick, observations fact, pipeline or is the takeaways right, graph opportunity. economic true. have the information gigawatts we those that are When you on we all the that good in of X. Slide megawatts at we look talk provided on of development about

have it got left, studies, that just say pay and mentioned center, for we a out equipment. all extend is on means importantly, have that I to with that's of which we doing when confirms great. cost obligates What and turning. the ourselves of are for you down executed of however, and And service lines, payments would between are agreements, -- the and time customer interconnection number an data transmission capacity, to we've Those service initial construction a reviews processes. extension they're So engineering agreement parties cetera. called et we

So to things you're begun right, take shape. have

it that really its would into we up about of size. talking category of terms in what see move that's ramp time how kind the we felt so the we And like when can overall of line,

up And starting and a we center data through excited XXXX. so see to have that there ramping pretty XXXX to use XXX-megawatt in service

time. development about XX nice going this megawatts an XX from period other just that data of megawatts. then going mentioned of And We're a as really economic course, that that And tailwind of centers usage standpoint, is a data centers, over manufacturing mix et others. after you cetera. we smaller and manufacturing, after really not mentioned And think that's that

concentration extent grows, So I that may mentioned load certainly, -- very pretty we to there's we're think And an of excited. in Look, our that this interest There's you Missouri. require well the a would to provide update IRP. a that

and we're expect economic we'll to we coming would some means months our a right over we again, development now, firming and next other thought that what and of that give as So where that thinking the load opportunities. what with update these X year. that we so That's our February it of portfolio. sales, to of or in see to our mind we we to generation expect further assess that need IRP means

Michael Moehn

That's putting is is though, Louis just the just the this region perspective, think St. from this in here. Michael update I I Nick, opportunity. from a positive great an add. center even I Marty aside might backdrop macro mean, data overall

the this noted slide, industrial residential we X.X%, commercial year-to-date think sales I in X.X%. up X.X%,

So bit which we've X% over a past. little been where the change is in mark a year-to-date,

there are jobs St. in the happening the Louis And year so things really some XX,XXX about in past created region. positive

hotter the of rates average. kind the job markets national running of unemployment here, One below

that I Marty all So all well respect about of the to well. with those think, things talked as things, bode

Nicholas Campanella

when quarter of Absolutely. this the to color X%. just guess there. guidance to count fourth I you things set a from kind changed X% Yes. that of And few have

coming. IRP The is

dated understand doing that that's clarity MISO. rehearing that bit kind kind year-to-date, up plan? if accretion, visibility this and Obviously, million a also your year $XXX that, with more stock But help I through of still have Tranche financing X also have you're on process. of your the is Illinois the a should more You we to little longer

And the in tracking of you towards the X.X%. fourth kind quarter, about talked

said to when X.X% X% of kind X%. discussing the You

do that your X% tailwinds? Just think of improved position the bit, How we within now? that? about to about a how feel these Has you with should some X%

Martin Lyons

question/statement. was that Nick. you great Yes. I'd tell Yes, a

it right. you got think I

If above look XX-plus our of that as at today at sit the where deliver number X%. here at our the earnings agree which midpoint record growing you track months ago, to I a have tailwinds past we that's been are our years, versus back that of or is per there you over we've north And goal, share been I range. were And forming. with of X EPS growth

have moderating. been Stock interest been has been price improving. has rates Inflation

all right those things. all You're on

data Michael all outlook has just St. Louis been growth other. demand X, the we exciting. We're the improving Greater excited and about X.X, X.X, that seeing investment Tranche have some in Our these with prospects of Tranche centers talked Tranche with really we're transmission about job region. very

to We still grid and have able it transition to investment done. we've energy sheet and get a really tremendous balance amount clean modernization the be of needed a for got strong

the second of I'm what was able to So in those our quarter, we very excited of terms proud very about prospects and when again, that accomplish look back overall. in just team

really tailwinds during from I have the a given time, And investments team the our this to overcame and really very future is all customer operations set position at team second same we an have. cost Page of think We say success the we'll in on customers. continue by for out was years that benefit the a And -- great half dozen completed make the a that on ahead. things lot for also, of quarter I affordability. accomplished initiatives again, us to X, year standpoint. focused the earnings strong some that really delivered the up this and you're set put for that and we're And well and We we of a in right, savings place quarter

Operator

with from Tonet Jeremy question next is JPMorgan. Our

Jeremy Tonet

here. that In going the Just Or doctrine with guess, share up could wanted to thoughts Chevron impact you pick forward? changes, process any your -- start I there? thought does recent

Martin Lyons

is I Chevron to thought changes for really federal it proceedings process Nick, core know and Obviously, implications don't agencies far-reaching have Yes. forward. going going going that forward. our probably

Of prior question prior this Hey, Court call Chevron, said, course, any when they Supreme think it doesn't on affect mean ruled any cases. doesn't cases. basically into I I the

rule EPA, cetera. ongoing makings and But my of relates coming coming as things out will it to court things FERC or out it impact et sense is of reviews

So assess that there'll it all but the to matters far-reaching those again, how it impacts, lawyers I think to may are be working I'll things. through leave impact

Jeremy Tonet

Got up still conversion with is rate to as as a like that talking good opportunity. all and seems about But multiple maybe set gigs vast friend, far I like opportunity -- here. the sizable think you're guess, It so -- it about, there? we're just just it. how on This a But you follow Jeremy. a the Nick's seems

counting about just out talks double wondering, there. there But

I about So that just think wondering how whole guess, you, process?

Martin Lyons

Jeremy. think in question. But did, good Nick, if Jeremy, any don't a it's I apologize. you Yes, but event, I called I I

I to think, earlier, would into conservative, I did say, in respond be to again, I bring we I our these we're guidance. Nick that, again, going things when how think

of year, load our Obviously, guidance beginning when gave we at growth our in projections. of the was the none this

And thoughtful going so to we're about be it.

As good the earlier, we pipeline thought with I and economic to be it's have, said share robust. it'd that we you all development

as those both should and opportunities. good very transmission, We be think fruition. engineering these amount our states to said and are still process excited use fiber, these in water, tax with competitive And access local all stakeholders sales of interconnection reviews prepared both respect about that. our states, studies, and working the state of Illinois the hard large our things, in remarks, of a our workforce, again, and so and to this as Missouri team really well But -- that is to we're I incentives. have bring of as very Again,

do. competitive think XX I of and have two are these our very states that with incentives that we're those just

fruition. They're your to point, sites, our with at folks. to So But to hard to these we they're we're it's bring well very states. these looking and like these looking feel at sites in know some positioned of other Jeremy, convert potentially

And so we're about those going our guidance. to be we how bring conservative into

agreement. update one We have And just comfortable those in. in center firmer construction to because talking incorporate sales felt again agreement. position opportunities guidance a XXX-megawatt has construction February, about we Again, repeating, that's data like we we'll we then are that believe think this firmer be this that our a we a as

Jeremy Tonet

That's seen real stakeholders indicate with helpful the Maybe view constructive out there. to commission guess, state, time picking Missouri kind commentary, and a in the composition. in just coming with I over there, we've of conversations it. quick with of of some Got our the seem up changes stakeholders

share I'm updated see could there? thoughts you just Any you on changes any Missouri. wondering,

Martin Lyons

back which just some dispatchable We I Well, coming commentary accomplished refer of Cass you commission that for County a the Castle for X. The resources center, natural reliability. that we Bluff say on filed out of CCN -- that that and the suggests Missouri approval things and Jeremy, I'd the for the Page past is regulatory energy standpoint back gas of desire more this we would the XXX-megawatt of from project. understanding some even just a the to quarter, need

filing. to got we're we the make of that So the excited approval securitization.

we think state So looking forward, I Missouri, of think is we're going that a about a commission continuation to reliability regulatory the have to thing. what a and that's seeing the constructive in for talk constructive is forum results

need exciting opportunities. so additional we customers make these the and resources future. development Missouri sure our existing again, and the economic we constructive serve up those a that's development think, that seeing has We're economic good for to setting opportunities, forum to

Operator

with from Carly Davenport Goldman next Sachs. is Our question

Carly Davenport

update Maybe early there. to could year. low back have just the to that go element impact growth guys to to you've quickly got you that the start IRP next an file expect recognize

the But expectations you could through a bit of about some work you the EPA as time more also talk around resource have little sort regulations? mix to

Martin Lyons

question. it's this fruition, of trying do work a serve how file come load done, arms really to to will what be around, February, our assess as And Carly, to the lot good to we mentioned, look, want get it. growth, a something of in I we'll Yes. it's

battery at storage think back maintaining cycle simple gas I was the as mix that you it bringing about technologies. resources, IRP of our like in combined look when thinking a mix of cycle renewables, good in dispatchable a dispatchable we filed assets existing XXXX, as September well resources gas,

is probably we to going my the an sense see the means that we're cycle plans if short forward, term, of possibly growth gas. And the batteries and natural that build renewables, acceleration it some additional into very load simple in our of going

we about to greenhouse we the later think by may thought proposed Court whether longer those file how look When and the that, this have give will the we point stay And be term, Supreme issues as to impacted that some rules. year. about your of EPA's you gas

co-firing planned things to well just I have our say mentioned those implications carbon cycle would I again, we with on one the But the Labadie gas as facility capture is for think at as about, rules as Center. combined Energy at prior of our our calls of

thinking things some And the are so of be those about. we'll

will into or And come reflect gas have that think given do forward. in our we ultimately rule uncertainty of how to the we'll whether about effect, going that plans greenhouse don't

think to lot about. a So

you firm up. are So I today, it don't the of those teeing I but for appreciate any some have answer considerations. you

Michael Moehn

Carly, some regrets mentioned that there make rules, thing moves look these The access to sure don't are I we'll only this continue of co-firing have Michael. Yes. is some these add issue, we that gas to might we at. today. of to respect to facilities Marty it's to probably some with that environmental have trying

steps taking prudent will where give rules us are additional think end just there we some up. probably these knowing not flexibility, So to ultimately exactly that some

Carly Davenport

it. Got

there. The Tranche Okay. super addressed X.X MISO we'll earlier. That Tranche on follow-up is bit kind guys you helpful, stay and of a I context is tuned know X. just

you talk came X.X to any from relative ultimately, if But split like a could could sizing tranches also a how kind look you of on of have about Tranche about? that X? little X.X what that views perspective And bit and Tranche the

Martin Lyons

I'll Yes, -- start. this Marty is Carly. I'll again,

Midwest region's cetera. in going goals to generation MISO some some potential at infrastructure might order the these of from is of to out and build ultimately projects is of there think given the believe transition region, in and and to we sees you stakeholders, that of terms required was of MISO how in load, facilities looked all relocation be logical the et -- want heard I terms with clean energy respect what

set some more step less it to of consideration and these think out I or build back So for of the planning and was of what's the and investments things expectation a these next projects. in the logical use then order to

they're that line, line Missouri. I'd XXX this the It that preclude for was which planning for with last XXX the in not presentation have may or mentioned, example, said, Now a presented. in may we need

We see extending also investment the see may Illinois on a of more don't lot current part whole some so map investment Indiana, there. in and southern the of we

year. until But while been to they've at potential XXXX. it MISO of still MISO, get approved these again, on X.X, it's really for expect to lot work finalized done, why Again, there's this into they sometime premature. a expecting which don't get by be Talking working those we'll more to is

might going So Look, of specifically really I the be. to I investment those what of it's think size in to the be it additional premature will be think don't what probably terms talk about premature just speculate. there it's and to insignificant

Operator

Our question with Patterson Associates. Glenrock is next from Paul

Paul Patterson

completely up just you. on Is EMEA, Just and year to little weather apologize flat. growth of for a expect Or follow X%. the you would elaborate and And that. I if sales right? the When not be with [ the half that much ], up you on what pretty being clear. bit could have it's that will you

Michael Moehn

the standpoint, X.X% Michael. side this X.X%, commercial again, on a From Paul, the side. is residential and X.X% up is industrial year-to-date on

overall. X.X% about So

in me. just But is mean, than much With overall, it's I don't bit it has I impact, that. have it stronger -- little than it of mean, I EMEA been less a historically it's front right here been. look,

Paul Patterson

was and just seems zero. to looking say like I it, it XX, looked -- I versus Slide at I normal, it if at apologize. was

So least of in the at -- EPS terms impact. on

looking really -- about sounds -- terms Am in of I if keeping impact you I so its have I of -- sort at guys is just efficiency. that? like just working it, Or... wanted I'm on So for I'm right if to it -- it

Michael Moehn

Well, I an energy is from standpoint. some there efficiency certainly mean, impact

think that. here I bit you're one variance. little less in a it's I mean Although of thing that a price seeing than bit the not is

summer rates, sales. in you get of So as some different and price between the kind block you're variances at switching from when

you And growth kind flip of through around as that's a will -- you of like and there it strip little bit move will the so typically does that when out, masking time. should that

-- So an EE I but mean, impact. does have

Martin Lyons

Yes.

at you're that really versus that's has I looking been date weather what think, that to zero normal. meant Paul, the to say if is normal, just

year-to-date quarter weak, weather here In there's is quarter, been Yes. was no weather versus conditions. -- second the quarter In impact strong. weather was normal first What the first saying we're

Paul Patterson

Okay.

Sorry about that.

sense your forecast IRP lot you a you've give I of going wondering happening like to the and obviously can be little respect sounds was bit maybe to a Okay. And then that's of a it to just here. things refreshed. us low got as positive with

up? range -- refreshed maybe terms of at kind in the we looking like of What might how when be when much it's might it go

Michael Moehn

conversation. we Paul, kind we've out up X.X% bit again, flat I I been I that and seeing think, came a of as Yes premature, Michael of to in mean growth. mean probably I here recall get terms to maybe this, into historically Again, in February,

updates year-to-date as we've mean been that. And statistics, I of will and the do here there's I absolutely we went just positive think some then through the I kind moved through year

et feel centers, of Marty I around confidence data make we the sure a think we're to as these mentioned, cetera. just level good wanting about around, number

time, march And processes always through planning of typical as now. our update think, kind do I we, and through going we're we right

fall And then so in we we'll sales think better refresh much a you and forecast, give a that I do refresh that position be and to the here sense. that IRP into as

X% Again, that about used mean our that and industrial represent I an XXX-megawatt project retail in I we've sales just about sales. bit Missouri's would a think increase past. just mean, perspective, Marty the that referenced, from little in statistic an a of increase I overall the XX% -- in industrial

of you give to it. Just sense a

Martin Lyons

existing that and Yes. serve planned mean, ability think, And up resources have of we've we our today comment mix the data Paul, got. to that I Michael's following there, with on I the center additions

in today, about that in we as of update, doing looking set the are be interconnection it's to really might light that working come IRP what And thinking to the IRP going up about with really studies giving those megawatts made more -- of So and changes thought studies, queue its engineering need those? that's thousands and what them to to if fruition? to

Paul Patterson

more that I'm there about think as that megawatt sort earnings more basically follow say spread would if trying help issue And with can resources here happening terms what what going existing just that -- near this think the impacting least should saying, over should guess economic we rates we Is that's term customers your something is, of development is to this how near least I'm then at of the hours or term? you this? Okay. an -- or I being a in serve vis-a-vis cost be this just to at even of consumer all in

Martin Lyons

is in commission any megawatts Yes. signing we well really Well, classes. make the appropriately as the by the tariffs that are are these today, that and utilizing XXX appropriately today vetted megawatts as on are that obviously that have the in put customer tariffs allocated place. of XX-plus costs and customers to the of been sure amongst And have existing goal place spread

here we're sit think think fine. I today, I

be to place communities. have have to if resources We're tariffs for fair sure they need those we customers put to serve what may through different going move price we megawatts all our about a value we that start the and to about we the As to customers them. again, thousands to come of are time, and and fruition, think pay that make thoughtful to appropriate that to accrues of in

Operator

Our Crowdell with Mizuho. Anthony from next question is

Anthony Crowdell

maybe kind regulators responded I the we prices and XX don't of of to country if auction, challenging if Just higher like guys the bullish utilities one where know one, -- PJM kind with capacity, supported a of and exposure real it. to I the some back see to mean follow-up XX, in really part back think and I CapEx I the years that the really to started quick ago, on answer. I but you have think capacity think

or as December, view think, maybe Illinois to more not value prices, their the way added I state. them? down spend but the last the customer really, know CapEx in realize If build to capacity slow to Illinois you're forward to think to you maybe change of our and we tend do the fast maybe infrastructure regulators maybe message PJM the help get maybe power I exposed

Martin Lyons

Illinois. states, Missouri in and I Look, Yes. on adequacy the and concerns exists both I in a the and resource having commission reliability know think forum earlier I mentioned same

And policies over see how and change shift time. so we'll

were look, at and reliability, transition. other But all resource states. both I mindful stakeholders all and in concerned the end the us energy clean service a day, of think providers And certainly as of a and utility affordability adequacy,

support that things the as you and And I and that development things going see your have so is the think pressures because need resource start to or see to policies economic you right to think growth prices to intuition you're like cost grow of capacity adequacy. support those logically, about

So I think your intuition is correct.

Operator

next Our with question is David Paz Research. Wolfe from

David Paz

popped just -- just thing your up listen So responses. one a I

industrial of of in EPS sales. increase what provided simple for thumb a sensitivity just X% every rule you on from have Just

Michael Moehn

Yes.

David. We historically, have

way For industrial every X% to think $X.XXX here's good it. on a it's about about the side,

I probably will Now that got the you it's over and thumb as you time today. change of mix, kind I generation et to cetera. move rule think through change mean, of a decent But change

David Paz

questions plenty been making. on the there's know efforts of attracting on and load you're and just here large And discussions, the I

or what the [indiscernible] see -- what them to large the sorry, to we guess what expect And of that maybe just efforts standpoint. expansion are I rate leaders But that you riders Missouri. an from have piece? in telling you to stakeholders could add you need a and of ratemaking amortization trackers or load

Martin Lyons

Yes.

I think consideration. David, for all things

the I other show X, data of and on with again, current a generation megawatts load, industrial current respect ago, we tariffs, few to the and and plan Page use our to data XXX-megawatt that center XX they're we're this them with mentioned center our serve As able able to moments generation.

opportunities to approved. had special any solar to for to special I may thing need to other tariff we think need project tariffs. as So no that Cass said, time, that point we the about to just extent Over fruition, is One these come County there.

our customers that as are customer arrangement to -- was well Cass a base And appropriate tariff those a cost from did into of going there, County. power special of between sort put we place that industrial an there as apportionment to take ensure

additional we be to the on some simple working support as commission that think PISA put pursued forward Certainly, that as we tariffs was giving we experience So was then the dispatchable planning. very we're that to centers that with extension the generation. special that serve. of data And asset spring we planning to assets have with to one to may do place. the And had things combined we're thought able point we'll Such -- be on legislatively I and it move in PISA, of cycle cycle last good your

the And finish support very we we into certainly strong Again, had line, the that. legislative so that but with expect for go ended support good not as again, that getting next across year. session

Operator

Our from with Julien is Dumoulin-Smith Jefferies. next question

Julien Dumoulin-Smith

behind periods we to here PSC process the following process -- as earlier, XXX well resources deal Just There's relatively that's initially. on So enough Perhaps potential process not the behind itself, consistent typically up to think You this, it, alluded there's IRPs at that. these do right? say, it on you just shall right? the the construction a cycle Obviously, to a right? you you that. have You with interims shorter-term as as alluded about behind do procurement -- here, how

potential potential in mentioned the medium-term shorter-term You need. kind of the

adjacent going in We've the we the instance? subsequent seen of a potentially rate tariff that? How your some point dynamics back expediting A; play about you would case about of out the, think just and beyond that say, you current then, do you expect like, some do B, to that, raised, these think How process should jurisdictions? in

Martin Lyons

Yes. All questions, Julien. good

all, opportunities, to respect So these certainly as not I with waiting. first mentioned, of we're

doing We appropriate. are and these facilities able Missouri everything interacting that these states can or locating to and we studies to as folks these aggressively in support and other with either is engineering around interconnection reviews, doing stakeholders them the are be Illinois

we're doing aggressively And so that.

And you we're in hearing that's When up to desire specifically. time. over really usage to through going these from ramp up any XXXX. opportunity. service that look of a There what this talked about ramping we Think at some one XXXX, about of be XXX-megawatt is in

so in And time in the sort we would to would dovetail get of that, potentially is add idea with some this place accelerate IRP, that load as that where the planned resources to grows. additional of would perhaps able we additions, update an the to serve be some it

about that When certainly, between today, think putting get are about you the X XXX-megawatt time cycle limitations. But Castle service construction some when simple we're that that, years think about you plans line, Bluff et in cetera. turbines, our in there to that transformers,

can of kind the rate in both in terms those yes, pace We the a context at able be work filed. IRP all hopefully together able brought with to be sort these So And think have get updated things opportunities, the right of changes these rate any and the feel of data speed. And we or of tariffs. review. to and happen center and a dovetail of of inside we'll like review some outside

there. flexibility think So have we we

Julien Dumoulin-Smith

even just the twist thoughts rare I'm review, in something months. and quickly, Okay. nice. And some AROs of separately on got sounds of just few outside accumulating mind in the new just ash here It about last curious then you right. here. coal already. All rags like the the

Michael Moehn

for Julien, a through a us. significant Michael. of really AROs, It's immaterial really not mean a we couple amount. issue I and go but did

coal really our ash If mean, ago. got in X I this or of issue, standpoint, probably front exposure about years a from X you we think

the here. closed finalized of in process our ponds are or All being of

of of And exposure, bit so a not around little the just stuff additional lot a just edges.

Operator

like time. for closing the to There this are floor Lyons comments. any no back Marty to further I'd questions hand at over

Martin Lyons

Yes. for us everybody, Thanks, joining today.

really the execution strong Appreciate the and this to great of remain year. Some pleased on we you with absolutely focused seeing the coming you overall, our today, look are questions. remainder many forward we to months. of updates Look, dialogue. for we share in And

So thanks. day. Have with a Have great weekend. a great that,

Operator

concludes This conference. today's

You participation. at Thank may lines disconnect time. you your this your for

Ameren (AEE) 2 Aug 242024 Q2 Earnings call transcript