Earnings Recap — Q2 FY2026
CY Q3 2026 · Reported July 29, 2026 · Beat 6 of last 7 quarters
The Buildout is a website built on agentic AI tools, currently in beta, and could have factual errors.
Entergy's continued hyperscale pipeline growth and the signing of large data center agreements underscore the accelerating AI infrastructure buildout in the Gulf South. The company's proactive equity raising and capital plan expansion signal sustained investment in generation and transmission to support AI-driven load growth, which could benefit suppliers and contractors in the region.
Entergy reported Q2 adjusted EPS of $1.03, slightly below last year as weather was near normal versus warmer 2025, but retail sales growth was positive excluding weather, driven by 10% industrial growth. The company completed a $2.175B equity forward offering and settled 8.7 million shares for $672M in June. Louisiana Governor Landry signed an executive order setting standards for data centers to qualify for state sales tax exemptions, consistent with Entergy's Fair Share Plus pledge. Entergy Texas closed on a $200M Texas Energy Fund grant, and the company continued progress on multiple regulatory proceedings including the Meta expansion docket and Arkansas rate case.
Management affirmed 2026 adjusted EPS guidance and the 5-year outlook through 2030, with confidence in delivering on the plan. They expect the majority of the year-over-year earnings increase to come in Q4 due to flex spending, with Q3 other O&M expected to be $0.05–$0.10 higher YoY. The company continues to see growing interest in large-scale projects, maintaining a 7–12 GW hyperscale pipeline and 3–5 GW of traditional industrial interest beyond current outlooks. They plan to file Phase 1A accelerated resilience investment in Louisiana in Q3 to bridge the current program and next phase, while managing customer affordability. On new nuclear, they are making progress but have no firm timeline, emphasizing that any deployment must be customer-led and protect customers and balance sheets.
“We remain firmly on track to meet our 2026 adjusted EPS guidance and longer-term outlooks.”
on Guidance
“The White House's Rate Payer Protection Pledge, Governor Landry's recent executive order, and our Fair Share Plus Pledge are all aligned to ensure that we grow and support this transformational investment opportunity and that we do it in a way that creates benefits for all stakeholders.”
on Fair Share Plus
“We are making progress on that, but I do not think we are near where we need to be just yet, to be successful in launching, but we are continuing to have those conversations.”
on New nuclear
Is Entergy actively participating in the state's nuclear advancement negotiations with DOE, and are you seeing incremental movement on the three legs of support for new reactor deployment?
We are in conversations with the state about their interest in new nuclear and are excited about the DOE moving them to the next phase. Our perspective on new nuclear remains as stated at Investor Day—we are working with several parties to work through risk components, but protecting customers and balance sheets remains critical. We are making progress but not near where we need to be to launch, with no firm timeline.
Can you update us on the potential for incremental data center expansions in Mississippi and what size that could reach?
We continue to have robust conversations in Mississippi, with AWS having a significant investment and AVAIO also looking to invest. The state is embracing the opportunity and benefits from these investments. There are other customers potentially interested in Mississippi, but no specific updates or details to share at this time.
Can you provide any flavor or quantification on the interest that has grown since Investor Day?
The interest is in our existing jurisdictions, primarily the three, and it is significant. It is more like indications of interest at this point rather than full-fledged proposals. Our existing portfolio of signed ESAs started as indications of interest as well, so there could be opportunity here.