CenterPoint Energy confirmed its record $65 billion, 10-year CAPEX plan, anchored by surging industrial demand in Houston Electric — up 17% quarter-over-quarter and 11% year-to-date. Management reiterated 9% EPS growth for 2025 ($1.75–$1.77) and 8% for 2026, signaling strong regulatory confidence despite rising financing costs. Q3 EPS of $0.50 benefited from a $0.12 per share reduction in O&M expenses, largely from non-recurring storm restoration savings.
The company faces a balancing act: sustaining high growth and funding massive infrastructure upgrades amid a $0.04 per share headwind from higher interest expenses. Capital recycling, including early debt extinguishment from LDC divestiture proceeds, provides breathing room—but future equity issuance timing remains a key watchpoint.
Source: Material-Car261