0001587732-26-000021
SEC filingFirst quarter results reflect solid earnings growth, with operating income rising 5.0% to $189.6 million. However, operating cash flow declined due to working capital timing tied to regulatory assets.
Diluted earnings per share were $2.04, compared to $1.98 in the same period last year. The growth in earnings demonstrates the effectiveness of the company's rate structures in maintaining financial stability.
In contrast to earnings growth, operating cash flows were lower for the three months ended March 31, 2026, compared with the prior period. Net cash provided by operating activities was $176.3 million, down from $277.5 million in the first quarter of 2025. This variance was driven primarily by working capital changes related to an increase in regulatory assets, a timing difference that does not reflect the underlying earnings quality.
Free cash flow for the quarter was $19.8 million. Despite the decline in operating cash flow relative to the prior year, the company maintains a stable financial profile supported by its regulatory framework and customer base composition.