Alliant Energy Corp. 2026 Q1 Filing Summary
Business Context and Reporting Period
This Form 10-Q covers the quarterly period ended March 31, 2026, for Alliant Energy Corporation (Alliant Energy) and its utility subsidiaries, Interstate Power and Light Company (IPL) and Wisconsin Power and Light Company (WPL). The registrants operate regulated electric and gas utilities in Iowa and Wisconsin. Alliant Energy is a large accelerated filer, while IPL and WPL are non-accelerated filers.
Key Financial Metrics
| Metric (in millions) | Q1 2026 | Q1 2025 |
|---|---|---|
| Total Revenues | $1,184 | $1,128 |
| Operating Income | $249 | $257 |
| Net Income | $224 | $213 |
| Diluted EPS | $0.87 | $0.83 |
| Operating Cash Flow | $368 | $249 |
| Capital Expenditures (Utility) | ($342) | ($554) |
| Long-Term Debt | $11,007 | $10,954 |
| Cash & Equivalents | $115 | $556 |
Segment Performance: WPL reported net income of $117 million (up from $110 million), while IPL reported $94 million (down from $110 million). Total utility segment net income was $211 million.
Material Changes vs. Prior Period
- Revenue Growth: Total revenues increased $56 million (5%) year-over-year, driven by higher gas utility revenues ($31 million increase) and electric utility revenues ($35 million increase). Gas revenue growth was primarily due to higher gas costs passed through to customers. Electric revenue growth was driven by higher revenue requirements and bulk power sales, partially offset by lower wholesale volumes.
- Expense Increases: Total operating expenses rose $64 million. Notable increases included cost of gas sold ($36 million higher due to price/volume changes), other operation and maintenance ($20 million higher), and depreciation ($12 million higher due to energy storage assets placed in service in 2025).
- Interest Expense: Interest expense increased $23 million to $142 million, primarily due to financings completed in 2025.
- Tax Benefit: A $12 million reduction in income tax expense occurred due to a change in state income tax apportionment following a customer's decision to locate a data center in Iowa (IPL territory) rather than Wisconsin (WPL territory).
- Cash Position: Cash and cash equivalents decreased significantly from $556 million to $115 million, driven by a net decrease in cash of $441 million due to financing activities (debt retirements and dividends) and investing activities.
Guidance, Outlook, and Risks
Management Commentary & Outlook:
- Capital Projects: In March 2026, the Iowa Utilities Commission (IUC) approved advance rate-making principles for up to 1,000 MW of new wind generation for IPL. WPL filed for approval to upgrade its Riverside Energy Center, and IPL filed for a 720 MW natural gas-fired unit.
- Load Growth: IPL entered an electric service agreement in April 2026 for a data center with a contracted peak demand of approximately 370 MW.
- Regulatory: Wisconsin enacted legislation requiring utilities to include capacity costs and revenues in annual fuel cost plans, effective for plans filed after January 1, 2027.
Risks and Contingencies:
- Tariffs: Following a Supreme Court ruling in February 2026 regarding the International Emergency Economic Powers Act, the company is evaluating potential refunds for previously paid tariffs on imported equipment but has not recognized any recovery as of March 31, 2026 due to uncertainty.
- Environmental: Ongoing evaluation of the EPA's proposed rule to reduce the scope of the Coal Combustion Residuals (CCR) Rule. Estimated future costs for Manufactured Gas Plant (MGP) site remediation range from $11 million to $34 million.
- Guarantees: Significant off-balance sheet guarantees exist for electric transmission infrastructure related to data centers ($163 million for IPL, $75 million for WPL) and renewable tax credit transfers ($380 million for IPL, $309 million for WPL).
Investor Verification Checklist
- Debt Refinancing: Verify the impact of the $575 million convertible senior notes maturity in March 2026, which was settled via cash and stock issuance.
- State Tax Apportionment: Confirm the sustainability of the $12 million tax benefit derived from the shift in data center location from Wisconsin to Iowa.
- Capital Expenditure Pace: Monitor the reduction in utility construction expenditures ($342 million in Q1 2026 vs. $554 million in Q1 2025) and its impact on future rate base growth.
- Liquidity Management: Review the significant drawdown in cash reserves ($441 million decrease) and the reliance on short-term borrowings ($400 million term loan) to fund operations and dividends.
- Tariff Recovery: Track the status of potential tariff refunds on construction materials following the March 2026 Court of International Trade order.