VST · Vistra Corp.

Vistra Corp. delivered strong Q1 2026 results with GAAP Net Income of $1,029 million, a dramatic turnaround from a $268 million loss in Q1 2025, primarily propelled by $723 million in unrealized gains from hedges set to settle in future periods and $1,290 million higher unrealized mark-to-market gains on derivatives overall. Ongoing Operations Adjusted EBITDA rose 20% to $1,494 million, fueled by elevated realized energy and capacity prices, plus contributions from the Lotus acquisition plants, though tempered by milder Texas weather impacting retail ($68 million vs. $184 million prior year). Segment performance shone in Texas ($586 million) and East ($801 million), reflecting robust generation amid Winter Storm Fern volatility. Management, led by CEO Jim Burke, highlighted strategic moves like the pending 5,500-MW Cogentrix acquisition (target close H2 2026) and Meta PPAs at PJM nuclear sites, excluded from guidance. The reaffirmation of 2026 Ongoing Operations Adjusted EBITDA ($6.8-$7.6 billion) and Adjusted FCFbG ($3.925-$4.725 billion) guidance, backed by 98% hedging for 2026 (89% 2027, 65% 2028), underscores execution confidence. Fitch's Investment Grade upgrade, after S&P, validates balance sheet strength, with $4,173 million liquidity supporting operations and $1.5 billion remaining buybacks (~30% shares repurchased since 2021). Focus remains on summer prep, load growth, and dispatchable fleet reliability for sustained stakeholder value.