Evergy (EVRG) 7 Nov 242024 Q3 Earnings call transcript

Good day, and thank you for standing by. Welcome to the Third Quarter 2024 Evergy, Inc. Earnings Conference Call. [Operator Instructions]

Please be advised that conference is being recorded. to Peter conference Relations. Flynn, like first to now today, speaker Director would hand over the your I of Investor go ahead. Please

Third Thank Welcome Call. good and Quarter Evergy's you, Conference XXXX morning, Earnings Jill, to everyone.

webcast Investor website our Our available Relations and information at supplemental are slides on investors.evergy.com. financial

expectations. the materially cause list also discussion of of measures. They and Slide the will from future SEC on our factors financial information. forward-looking in Today's could results some differ to filings our include that information non-GAAP additional X disclosure contain include a our

Bryan Joining of regulatory call. Chief provide outlook. David highlights, members guidance. us long-term cover on will legislative be and the today's will and will Vice to over call quarter Buckler, available with and Officer. our turn Other trends are discuss quarter sales our David David. third updates Campbell, agendas results, us and the on financial Executive Chairman and during our President and I'll cover portion Financial our to Officer; and generation updates now Chief retail the our Executive call and Bryan of are management third Q&A plans

investments by adjusted good expense. growth, share a we begin higher This depreciation I'll morning, reported offset The demand sales amortization and increase cooler $X.XX partially ago. FERC compared and year by was of on X. primarily third new year Slide Pete, Thanks, to driven everyone. $X.XX share summer quarter earnings weather per morning, per last and and over retail

ago. adjusted per to $X.XX a Our year $X.XX earnings share compared are year-to-date per share

$X.XX share. $X.XX adjusted year-to-date, our per results reaffirming share solid XXXX these EPS guidance With are range of per to we

of these in his discuss the more detail will earnings in Bryan call. drivers portion

and Officer. he brings company as Bryan, you experience of be Financial to our strong X October of a Speaking team. as leadership to addition a track our our Chief he'll of tremendous joined Evergy record Bryan know, on many

his will know for organization. for interim Geoff look like mentor working I leader great would We all a also to thank variable forward he role. the be service financial and I Ley to our and in Bryan, with

X% to today's of establishing X% are EPS $X.XX share. $X.XX XXXX, a through $X.XX the being with part From XXXX our per a $X.XX to As We're XXXX guidance we of in midpoint XXXX baseline. long-term share. share to the XXXX range relative XXXX, anticipate of of half to share also on we based per of top adjusted guidance per target per growth establishing range the of this midpoint announcement,

provide details X% happy $X.XX XX% quarterly our slides. in upcoming per target or is increase updated and our also of toward consistent outlook growth on with the our the I'll midpoint This working more annualized XX% payout I'm to increase an a ratio. share basis. to dividend announce in

move on Missouri. economic that Slide investments where will highlight and help to Kansas historic announced I'll generation the opportunities Let's in X, new development our enable recently

across goal uncertain As Integrated most our the we customers serves outlined resilient is cost-effective plan overarching to reliably future Plans, our in Resource XXXX and our that identify scenarios.

that maintaining development resource achieve by complemented for we to to renewable expect dispatchable new efficient electric while additions, that approach emissions-free all We reliable rates through service. resources that most affordable technologies generation, and use we balanced provide a support latest, the the the new of goal economic communities serve, including in ensuring

our renewable plants X generation Kansas. flexible plants will plans These XX, the in October region. we with and stringent pairs meets well high-efficiency baseload gas resources County invest cycle On new Reno emission to provide natural Sumner announced that in abundant standards combined in County, and

the constructive revenues. phase other for staff, required create and new Kansas process a substantial will skilled yesterday, craft property Corporation and for be of tax with Commission jobs we KCC X,XXX parties generate with look these forward working outcome. jobs to launched which Over the CURB will construction plants, and the We

and XXXX simple or we in be in work gas as under Bill Construction is month, XXXX, to will And a if new treatment this be begin plant progress investments share in respectively. applications treatment file CWIP Later these provided in for plants approved, cycle House for Missouri. eligible CCN of of for Kansas these Kansas will the located scheduled construction including XXXX. plants, in Missouri to the

and These of portfolio solar element be at important farms our projects generation company's X our in to We've utility-scale Central adding also announced totaling above Kansas and all megawatts. the solar an first will investments reflecting West in XXX Missouri mix.

projects We We treatment with certificates commercial XX in Commission necessity X in Service projects XXX of anticipate totaling the of Public for eligible Missouri convenience a start to for and both which October operations megawatts, filed Missouri. XXXX. X will on all request be for

the plants. we gas addition, the solar in filing predetermination with In filed natural a for Kansas new a tandem for project for in XXX-megawatt

met advance prepares responsible to transition excited to as in very that are and are meet our Evergy and today their future. our the of demands both growing needs the We ensuring energy customers

Slide forecast, X which XXXX. lays out our extended through has updated been capital expenditure

X-year our XXXX. which Our latest to approximately XXXX plan investment X-year $XX.X relative rolling XXXX represents through prior a from billion to $X.X totals increase billion forecast

program and of incremental XXXX. resiliency. billion annualized X% growth The investment distribution improve forecast growth and to expected to of includes support and incremental through generation result billion The is rate reliability $X.X in base investment $X.X

to balance growth rating. this prudent the a a support internally take equity to approach equity-like debt, utilizing financing and mix of plan opportunity our credit cash and sheet investment-grade balanced tremendous represents, securities and strong investment We'll generated flow

and financing options. flexible more remarks. in optionality on execution equity will provide details his timing a our financing to strategy approach around Bryan with take We'll

transition. in portfolio approach responsible forecast capital that result These diversification mix Resource a customers May revised reliably Integrated Our serve the of a significant and in IRPs incorporates a this fuel of prioritize year. cost-effective portion to Plans April, enables balanced and filed

investments, investments states. that objectives new other development and in strategic distribution of our sustainability opportunities and affordability, plan transmission and to support reliability generation economic the advance these us alongside capital tremendous our and the focused of X-year projects our enable on majority And is

Slide On growth guidance X% to top EPS EPS our X% growth the of of which range adjusted an through outlook, introduce grow off X, in to the $X.XX contemplates expectation half updated midpoint the with adjusted XXXX XXXX. we

The target. midpoint guidance with increase of prior XXXX XXXX represents a over X% our the guidance midpoint, consistent

to which the we growth Our capital updated $XX.X growth expect load the includes that our through X% X-year XXXX. outlook is to billion driven by investments X% serve plan,

rate months. We anticipate of XX case a filings regular our approximately every cadence jurisdictions, across

cycle jurisdiction. through every So every be that over in will

large Bryan in today. drivers growth growth in describe will Importantly, announced our details new the more outlook only the remarks. X his customers reflects

which, million, Moving approved base a to provide a Missouri $XX by would with stakeholders calls increase balanced Missouri PSC costs revenue unanimous reduction were for in the in We X. Slide for net pleased of pending reflects rate outcome customers. settlement significant reach a case, our which West a rates. to The and also if settlement fuel

to item needs. clause the our and combined Dogwood sharing solution customers' Dogwood of mechanism an in includes Energy outstanding that generation cycle IRP. The a the of settlement gas share operating Center XX% ruling. provides fuel low-cost our The addition adjustment identified require energy support commission our will remains plant XXXX

split, commission decision. XX% the contemplates which and supported position, maintaining sharing our that believe X% and past existing well is by We record the

investment to evidenced as We view for jurisdiction Missouri rate supportive a continue infrastructure this by case. as

new December by a order and in update commission our On the Missouri. in expect legislative regulatory both priorities January We XX, Slide effective with brief I'll XXXX. on rates X, and Kansas provide

Kansas on became Bill highlight to in of in House pleased XXXX effective regulators legislators, for HB of support passage which support stakeholders XXXX I'm of infrastructure July economic the Kansas, development. and The First, X. investment reflects

look incremental which treatment, plants qualify which and CWIP will earlier, As cycle is capital will and projects, live treatment respectively, described scheduled new ROE our combined in structure to distribution plan workshop serve we support November regulatory our forward to Kansas, XX be for includes and capital profile. workshop investment streamed. credit our which mitigate and for lag gas We and

earlier was a regulatory for litigated importance around Kansas an confines clear out of dialogue proceeding, authorized discussions returns. opportunity workshop structure constructive the of of with year for framework and stable born This and outside presents and stakeholders capital a this the

for that their and much priced Evergy an of investments the for to competitively as serves backdrop exist capital, in for providers constructs and neighboring Missouri framework This capital like Kansas attract states. important other

which the in to As we economic planning rate Kansas opportunity file our for of of in advancing us are Central concert we've Kansas, with generational case, Also committed XXXX. to we first in quarter expect development the stakeholders. always, ahead policymakers and process begun the Kansas

regulators and years case our We in for to and for these a drivers just include reliability investments, multiple we technology forward Kansas as Key as our will advance and over efficiency investments. distribution the the with and customers of working to constructively benefits our recovery deliver the cases forms communities. look of well customer as focused infrastructure and have stakeholders request

December. finalized, but expect the anticipate for the on mentioned X filed yet Kansas filing. the as approximately and the clock Commission we Wednesday, Missouri natural anticipate earlier Predetermination order and for summer Solar has we Lastly, a resolution our been West of proceedings, CCN months XXXX. from rate the on the CCN based X new an prior Sky X-month predetermination plants run for Kansas Missouri, filings procedural our And commission we gas on we Farm. to Hitting schedule to order not proceedings, on after an in

in Moving aggregate, economic megawatts our respective demand X pipeline demand, Missouri to be Slide representing actively largest and with their of The territory. service development XX, X XXX their each and we economic remains both in represents a robust In more will major wins, development Panasonic margin. considering jurisdiction our load by customer highlight approximately gigawatts Kansas Meta. Google, wide than of the overall projects and

X,XXX incremental new in share negotiation represent between and of We're to with X advanced that combined, XXX centers we're megawatts data of and stages these happy load.

our reminder, forecast X projects will you announced I growth only a about capital of the date. to many ask timing. and reflect load know As investment

with plans. projects regarding rule, As will customer announce their general tandem on specifics announcements a these we in

environment new new do not the is having these are projects expect while the currently all customers. in very -- potential active to economic course, the And pipeline, Of than development we projects for X more economic we win dialogue gigawatt competitive. with a

in competitiveness a success region on on rate contributor regional an potential a our with Google. affordability support building and of our provides foundation and with Panasonic, tremendous this is focus important pipeline and Our Meta to

our excited customers are as work We very they with to consider region.

in along that of place the exercise, recovery we with at rate the design ensure with large Missouri, rates that are loads. is to adequate development there As economic appropriate and in both new Kansas associated elements and part looking are

through ran Google's weather-normalized center, are X% we forecast XXXX, Based Center, data Data XXXX. X% Meta's on through our and manufacturing of Panasonic's extending facility growth the previously of announcements EV battery demand to

which tenets I'll XX, my -- of highlights strategy. our remarks conclude the on Slide core the highlights core

affordability efforts years. Our and past to progress regional over enhance have improving few rate yielded the competitiveness significant

sustain rate strategic positive time meet Our keeping that by investing line customer in to technology same trajectory with at trajectory our and designed demand. the long-term inflation, plan infrastructure while to in is

development the of supports contribute our potential affordability, to the we robust prioritizing By and economic economic substantial pipeline within ahead states. us

As outlined the service capital customer all investment. customer strong performance in on continue fleet, plan, elements, operational in our public service, modernization including to and safety, will in safety grid to we generation focus invest and related This includes SAIDI reliability, infrastructure and grid our a resiliency. improvements safety of ensure metrics to

new reflected of our to to a a by Missouri look forward a cost-effective focus Our in as Kansas natural reliability years, affordability, resource transition We goal gas always the and over coming farms with hydrogen-enabled sustainability mix on plants to solar advance balanced is primary and in support responsible lead our and customers. additions continuing investments and new to energy sustainability.

And call Bryan. I will over that, the turn to with

front to Thank Kansas very everyone. that employees good been family with start I long-term review enthusiasm for future Pete, I've infrastructure company. and to a first XX Evergy deliver around our of with results parities, help to that, our the of quarter. excitement Thank few like job, our of weeks saying and on for you, the thrilled lot their seize to here on you, team economic join communities efforts lead David's towards growth. by With what the I'm honored and There's a and this of and in Missouri. communities a dedication be needed wonderful I'll Slide opportunities David. to a and customers would morning, impressed I'm start in part My the

quarter of the third earnings third million XXXX, or delivered adjusted share of Evergy to per share in For the $XXX compared of $X.XX or per quarter $XXX XXXX. $X.XX million

right, the drove by decrease the to cooler in As When XXXX. summer First, and EPS estimated a unfavorable a drove from increase $X.XX EPS slide following: $X.XX decrease impact. shown weather days normal, XX% compared year-over-year adjusted driven in of the third compared when was on cooling to left degree a in third quarter an quarter the to

demand $X.XX added by classes, Next, growth per grew X.X%, in weather-normalized which driven X customer all share.

New of the and investments retail $X.XX increased quarter rates contributed $X.XX of recovery FERC-regulated benefit. drove a EPS Kansas in for our

and decrease the a net investment $X.XX $X.XX depreciation higher Next, quarter EPS. the for drove amortization increased due a And tax infrastructure to impact in increase. of items drove expense

on XX. sales Slide to a Turning I'll recent trends. brief update provide

and are usage, side that to operations. increased been The screen, retail weather-normalized you'll commercial driven the solid the On the beginning data residential load year-to-date quarter the of from has primarily sales and Meta's in trend of year-to-date that benefit results left third including start both see by both for growth X.X%. positive center

robust macro Kansas level, area our as remained X.X%. Kansas market areas supported continued below customer a national metro a service by City demand strong and average in the the of At unemployment the labor is Missouri, rates

in customer load. we X% of XXXX As X% the of David demand large growth to his through in earlier expect impact new noted weather-normalized factoring remarks,

While customer credit active EPS in not large gigawatt included upside real yet believe additional with of are plus our and talks customers, we any represents to several we in forecast. plan, the X-year our have pipeline metric X this certainly pipeline

to on plan Let's now our turn financing Slide XX. updated

XXXX, investment incremental of ratio investment X-year billion we $X as targeting including period. an XX% will XXXX Overall, $XX.X XXXX the and plan David capital of earlier, As updated in an debt investments discussed David approximately capital of through from combined. 'XX our throughout our alluded billion rolling forecast to, contemplates FFO prudently to hand

instruments. strong of supplemented equity-like will operations and Our debt, issuance by cash flows the equity be from

the for years million and and consistent Our first annual of 'XX, XXXX each common years. be planned in $XXX in stock are XXXX investments will with approximately issuances XXXX those in at level capital of in and those higher increase

large issuance we we are sheet not guidance opportunistic the as next strength. And EPS pipeline. customer earnings to the there stock year. X-year will I does XXXX timing Our currently balance metric we load balance X-gigawatt of type the and and credit growth common in as funding the and stated upside forecasts, several including deploy plan a contemplate remain throughout flexible and earlier, potential our Though from

Shifting discuss key XX, considerations. to XXXX I'll Slide earnings

include Meta previously, are guidance Central. XXXX mentioned plant from EPS growth to introducing share. manufacturing battery we center Missouri ramping Primary of the territory $X.XX the in we EV per As adjusted in $X.XX drivers load data Panasonic West our for up Kansas consideration and

which Kansas an be will in potential fourth new new go projects. a investment January, our partial driven in in as will early rates Growth as Missouri at FERC recovery impact rates of West, also by Central from 'XX, of jurisdictional year effect quarter the ongoing

interest Kansas for the expense, benefits from in PISA expect and both depreciation from We and by positive of to Missouri. net deferral partially offset drivers impact be the these accounting

be will each earnings rates. towards through Panasonic, a CAGR Slide target. run drivers of XXX, foundational key Meta expect our manifest growth of top highlight drive capital X% we investment EPS power XXXX. beyond margin We in to uptick XX. and the will the X% base of to Meaningful will expect to our a their increase half we fortified XXXX full as itself which adjusted Also, the company approximately as significant program, when year growth work load through in of X% Google rate XXXX begin Moving by

increases customer of the our and rate We also to financial ensure to frequent cases plan avoid utilities. to rate stability have large more

$X.XX recap per strikes customers close guidance for our of believe growth. financial solid our we future EPS adjusted we Slide results long-term our strong affordability development of and year-to-date, balance plan will infrastructure In reaffirming an solid a economic communities appropriate With XXXX our XX on and $X.XX for short, EPS I of our are expectations. share. to with

are in X% XXXX. $X.XX adjusted half expect From of EPS with We XXXX. new guidance range the $X.XX the target through to adjusted we the per midpoint XXXX, growth of representing to at grow establishing in X% share, our XXXX to our from top baseline X% $X.XX midpoint also EPS

a high we many in is tailwinds our This plan have for with business. confidence

execution questions. our strategic focused open are and our advance customers. employees we and as call Our And we objectives goals on ensuring of operational that, consistent with your affordability, reliability for for our the financial will of sustainability

Instructions] [Operator

Pourreza question Guggenheim Partners. first Shah with The comes from

earnings first on congrats your Bryan, call.

excited Thanks, be Shah. to here. Very

X% loads earnings we end X% CapEx I'm kind to David, top at this of you the can a today. as industry general of sure. larger Congrats. for as line? us out there coming kind down starting to some plus the at of of look we growth the is earnings see into look trickle class Is gigs give the customer the rolled potential guys sensitivity this

another I could of but end of seem point? context allude kind this you or curious I accretive, differently, you the at top in just to X? deal the it's X guess put mean, to put over X the

great it's comments the only out, confidence A announced our the in laid with customers. some about Bryan's real plan X plan question. Shah, back is includes currently I high tailwinds.

the in customers. So with range X of high XXXX the half we've got announced top confidence through our

loans, would upside additional be opportunity. that land We

ones won't ones a I have and and depends but you and pipeline. see give any rates, active always So big potential from a on tailwinds, of we that customers, real incremental big couple which we how and very real

you question. up your workshop think XXth. helpful that's And obviously, I the cap because structure coming that the answered Okay. on No, then have just,

itself? guess I into on this it thoughts about GR feed updated any any of will or prepared. the how your the And on kind process updated 'XX It's docketed case? a not on decisional exactly talked 'XX You a thoughts

Shah, another question. good

me, -- exactly dialogue of excuse and It's a workshop to a where excited you have one so meeting. to I'm attract and driver ability the it's a frog right, the it have So capital capital. structure about a metro. an opportunity But not important I've decisional Kansas got very competitiveness of is the

a information view to many same share in a landscape it common landscape, proceeding, the for litigated both and So practices the the capital attracting in really we jurisdictions an what are other economic are of of around as when us opportunity the outside the posture, importance manifested and It's year litigated development following. next to have the is be workshop. opportunity It's even will the step. of dialogue. setting robust think, meeting. years case decisional Kansas how results dialogue of not a advances rate up It have a a But outside in that constructive proceeding, kind we

to excited we're We'll We'll have dialogue. that staff. with who and have jointly workshop. largely be presenters there some a outside are have presentations will So

sometime general rate plan as first Kansas to in will the rates Central, quarter effect in of the mentioned, XXXX I the the of year next quarter early well. go terms In of that in in case, file schedule, as fourth the or and in we

discussion So big any investments. we coming look focused in do have forward be reliability to to frame. generation time We it's and going our that along that's that

the be through will rate we more case what investments it last So regular of cadence. made and reflective a

to cadence case. have step So you change a big rate regular I think having it a avoids see customers if

first quarter You'll that next in filed see the year.

Smith comes question with next Julien Jefferies. from . The

congratulations Bryan, again.

of to edge done. you and put you up here, this. a you plan could about talk reflected this separately follow Look, I'm How what that little you with the bit a you other about right? think that maybe think you to continue in robust. needle I what's here will? SPPs about if of remaining? then IRP, up top pretty to into related, on angles, seems do portion think latest when here, ITP And So the line of Shah's of including questioning over So about here. How going you this the update, and do terms on some mean you nicely about significant end what's talk come

always, in Do quickly you read as Julien.

I frame it. do how So

plans echo, great things. Bryan, at customers remarks, clean . We to based the look have. the I in confidence plan in high we have X have important in the on team how execution I and That's his these has tone been front and of is. know taken would in think because it's CapEx -- we've us. And the that content So a we

want So executing. to we there IRP. confidence have high a and we We portion that plan put did substantial of a in out note the

there's that big in a portion online So investment do IRP we the a solar see you coming that XXXX, our main element of PPA. solar suite, through expect the to

CCGT And have there's included. and -- that not yet in a the CT been years, out a

the customers So well. those we're represent what represents I'd is capital. opportunity the that as then And all with having discussions all robust large emphasize additional

of we it what see in Bryan that Go really as But confidence put please. executing exactly out high we plan us was and that's important tailwinds, had done. to ahead, really for And described. a a we've lot

looking the more was on going follow-up. be include about you're earlier? about PPA to the the vector regulatory Or solar back is incremental load Is will that uncertain that them? a what that is trick I No, same CCT not cetera? maybe Why this opportunity an or on ownership the predicated PPA, at talking a of here? it getting sort just after et whether And clarity, you're dynamic the

the -- bifurcate the in of the system. PPA. it's see X ran the gas a I to level do little opportunity current IRP. we clients, needed for the our them I we expect it's would a be based just customers load They that say two,, conservatism. on would a and it's We solar the are to -- announced

we the that So going we're coming but online. those those are to are plants, that expect need plants

in think XXXX XXXX time it's I the frame. to

the through with committee. as a was chairs of we House ago still the the expect a of Governor, House, the made had saw Kansas, gas -- the view weeks in there be enthusiasm local of Speaker their appliances we officials, for of and I key the Senate of support process that this conservatism President and of plants just a couple lot respective a announcements you to we will built we also So level and as the it walk Senate,

of dispatchable support these lot for in a it that for the these the there's generation communities, represents. investments So

-- a plan have we is So upside I in, alongside plan. view have to some and we and real have it, that we want Julien, think confidence we we tailwinds high

Got seems effectively forward read further here. whether accelerates roll you estate it. as period obviously eventually way you as I roll about will. CC the mean, accelerates kind if of plan clarify CCCT, mean this? like to or talked you the Is here the the and CapEx to end I it even a to And of basically, the but Is the start just if basically high include forward, further the you that just ITP? dated, the it's so or long plan,

increase I adding -- be all would would end plan, of capital and it those investment, 'XX, think it X in online gas but the towards 'XX and Those liability relating will prioritizing further again, the the right? alongside of the to come -- plants that affordability back balanced units generation the sustainability. incremental to a growth. mix the reflects IRP investment rate our approach And was further and base be in people and reflected

yes, So adding those additional years the . capital would be outer in the plan. of in

the from with Chopra question Evercore. Durgesh Next of comes line

to congratulations my well. Bryan, you as

sir. Just -- absolutely,

just more a case here X? to will Is upper et So a the half year? chance you tied can talk et rate is of growth sort range you the of hit timing, that long-term X rate of Or to CAGR approach that that each guys, cetera, cetera? about

we've in that consistent half following a -- . that to X% some for expect half In general, year-over-year, execution guidance to just range top in our there can reiterate, to to we're X% to to top be of And dynamics start range. XXXX half. on and relating baseline a the give have XXXX going Durgesh, a good established timing. part top There Yes, be the are question.

and consistent. given jurisdictions we can we what certainly, dynamics size of particular, but see that, all can of the customers guidance, regular some from be our perspective. expect that's don't haven't significant. overall sort can investors that consistency, about it as we balance drive And be help when we'll know a be of a is to strive to ratable but for the our for. in year-over-year. on think impact because like that's but year-over-year that, more what can More to predictable goal rate So timing is well. some relative with our cadence In We goal always customer help cases and variation, and We also then there's there course,

Got it.

linear about to should and we growth more close this more filing great. you've the constructive So you you're just lag in active year-on-year lags out. as to got think how rate about legislation then cycle, That's And in regulatory consistent a throughout X-year going be regulatory just all and state, think our plan?

the around Yes, really of have it's as PISA going 'XX, I'll and Missouri. right corner, question plan David XXXX in think to tailwinds And XXXX both regulatory plan take to cadence, -- add lag around and beyond. the that. have And certainly case what our but are beginning to you pleased about kick in I'll are and we in on your and I for rate is certainly just X-year Durgesh, in that said before, think we a lot momentum and Kansas and

CWEP our we we That's as make As know, large new rates important these generation. really our customers. credit gas you for metrics have help investments to for

important So regulatory investments. on be an recoveries not investment, regulatory of years, any, some of that stay managed we current lag. lag large of going profile to that the our PISA is certainly not the be And X better under to next forward. with And still going it's going over there's this provisions there's

as all. a every roughly months about described, not it So that's see why Think XX for you'll as cadence, bit most being us jurisdictions, David more our regular in but

utilities to to I cadence. in -- but add regulatory want lead earnings the to the the as that manage we've and utilities for mitigate in contribution you the creates framework think well, a cadence a doesn't a just is a where got I'd Missouri helps PISA Missouri all seen regular jurisdiction. superior Durgesh other you pretty can And have we've PISA regular reflecting lags, Missouri there's lag, in still

not support investment but development Kansas, in regulatory only support widespread in economic enacted consistent Kansas it PISA have provisions to pleased for really the reflects mitigation, to and we're the state. for So because lag the in

there in So deferral the mechanisms Missouri we've because provision of now XX% slightly yet Missouri XX% on and got Kansas is not ahead they're on side, Kansas the side. actually the around SWIP an

to think as regular customers little cadence lag, longer increases. of again, beneficial manage case we more will predictable opposed there perspective, at having is a regular step And that more function are So to also be for but my rate tools important. then from regulatory delays a and

But on very just roll you out should want in regulatory how as that improvement it, to you we Maybe I capital discussion, you Dave, point a don't about lag quantify just if this X-year it? kind directionally of are substantial Or finer think appreciate plan? helpful. modeling putting that?

Yes. doubt. directionally, no there's I mean

As some through I'm this had as was went we company David the to into We come Durgesh. fortunate modeling, XXXX. in way, significant some -- company there -- it when with quite give not achievements the you some but mentioned, I say, fresh come in that after to I'll we lenses, would the to

second quarter. Missouri of legislation in and the constructive We've Google then case the talked about rate Kansas the announcement support in settlement in

very So the the team much planning. certainly, been has detailed through

We've X%. past, very growth. versus mentioned, strong embedded earnings base XXXX, but growth. to I expect, now growth was load tailwinds That's We the at with it looked in That come. is We've corner. X% that which right rate as around beginning have more the is we

of things growth the X% X% being confidence those XXXX. us in through tremendous that to give all half top So in

rate, at future. David we're work mentioned, the we regulatory being in in sure, conservative is was speaking, directionally growth a for less the provisions burdensome do and lag we in streams I of want it messaging, given because than plans across to think execute as firmly hopefully, the previous our But land our have. higher law

The Sullivan Wolfe. from next question comes Michael with

up I think upper Just picking on high growth base you the EPS if that and were should a then kind midpoint that X to X.X all point translating at half? point, percentage think going up you I up by about how percentage level, to CAGR guess guess, about points just rate last taking making. only of we

mean, can I from you way model the Michael, all think, it I about, think expect. So we

over it If in years. is look the the That's base the get the accelerated larger XX X% you plan going significantly to our to of at rate that average be the more years out in from reflected time, growth capital also they XX. out investments

a sort outlook overall that we be we've going of into provide an tailwinds some as to -- growth that's XXXX. integrated going and So did Bryan described, got

upside I Michael, we outlook in get overall confident drivers half of when of starting baseline years. in that some it, particularly we over out at profitability off the is that got drive look back and an in So potential, and time tailwinds are executing amplify XXXX. believe way into potential, that we've provide that to significant we XXXX There's the we're plan, the as we the

also increase. the kind mean equity it on part And more I Yes. half helpful. I color think And is was of I a much think looking is is the the the I just of well. you're that's growth you're introduction Okay. dividend just actually bit -- No, more little equity. moderating amount as of also of of for how CapEx than maybe introducing

that how just the about do of think we on funding So side things?

And I'll in. let Bryan Yes.

we anticipate, As the what plan, was that issuances based you capital know, prior on before the XXXX. not equity did we said past in

begin Michael, Now issuances XXXX know, as that is you implicit in and equity that, would in XXXX.

about Hopefully, not with do to the as sense. also need what is today you well to the respect think about we made. talking we're described encourage issuances would equity we've investments -- was also incremental that the we before for as -- funding makes I we in plan what to So that what

It does.

terms levels, is and go with sort and actually, overall maybe of over want our flexible again expected Bryan, timing you this size or in Bryan and think of is and cadence opportunistic. time in we'll to I that And Yes. recognizing be

stock absolutely. issuance be XXXX. we're FFO contemplate this you in to XX% understand, the not throughout. Yes, say, discussed common target XXXX as I does to a as And And I guidance our targeting would new earlier, Michael, going debt EPS

just be want to clear I that. So about

top As as the we up increasing X% to question, to 'XX. capital years, to the lot 'XX -- in capital to 'XX X does because half not plan grows. the in needs X increasing X% as added 'XX, the that to the at as and in of equity plan But staying you X% base again, X%, X%. about began 'XX think 'XX rate and going grow out far It a in the and of yet

tailwinds, expectations tailwinds. I lot a said, certainly, periodically lot to deliver execute plan, we there's answer David And and your question of As to our we'll a got meet want this think reevaluate of the on short growth prospects. and long-term or because is conservatism beat we and

I you the plants, appreciate the could If rough quick. more there? X estimate do Cost can any color. real I gas us just give of Okay.

in with published. utilities out. that No, I seen have the no that We're question prior have couple had what in estimates since been that that of with there's a other utilities line There we think we you've of have costs some the IRP the gone the filed. that have risen

So in we out as that's for the and you'll have a go as update EPC now. our do particular have we filings, see numbers the -- we'll we an our through proposal

an have we'll But filing So updated it's the quarter. line. in first in

of seen numbers. couple put a You've out have that utilities

Power we're technology a it's -- a in and little pleased with asked needs. think fully timing. I growth have too. But another customers the So Island. world for know it's important still around We've certainly in stage. And I the good -- to for meet it's our our selection in progress our higher portfolio we justified progress, made last probably they're pretty question our is than the balanced and

turbine selected. turbine as we've who is as . the to steam That's But and generator, and forward. that as that's confidential and equipment. moving the turbine moving So process the generator still well related gas

with Morningstar. Travis next Miller question from The comes

Bryan, become getting just wondering requirement or chosen that a yet you've was the job. I'm if a for if

I assure can great question. a That's you was. it that

Okay. Very good. that. I'll note

Second how the much T&D versus part, that was of question generation? roughly is, new incremental CapEx,

Yes.

$X.X generation, because, obviously, reliability primarily investment billion in well. distribution the as incremental billion of of is serving and portion So growth $X.X about of about $X.X billion needs products, the incremental is that distribution drives

those primarily. categories, So X

XXXX Okay. the plants triple clarify, number, are then in gas to And right? not just the

The because we script in plan. in substantial Resource gas Plan. our that you CapEx described good so my was Integrated thank definitely release question. a for clarifying Julien the a there in plants portion question of we've the plants yes, are included forward -- Gas asked the

in not XXXX So megawatts Resource we've included X,XXX are are CCGT gas plants our It's included Plan CT Integrated this in together. yet XXXX the about that time. at and through a XXXX. and There's that

that ones included? the Of aren't

IRP and in And online come late Correct. the XXXX in XXXX. those

years for move investments systematically. out we'll they'll is the broad-based first service again, work call a the important but we in so that of we plan, of in the but our And with and set, through spirit us we -- capital it's, those it's this be It's our the of in launched So process be very conservatism. constructively kind through think for needed, focused We'll regulators as this for always territory, as just closely to do to this. march process. on will obviously go we support

some you predetermination? the on just Understood. And the E&C RFP Great. equipment Are supply Okay. ago I through getting the question minute and before able my go procure of answered chain. a process you think to

predetermination. of bulk The of spend would, follow course, question. insightful an the it's Well,

practices profit key beforehand. line take vast line with will relative but the the robust of majority risk gating and have But up risk otherwise, up to spend. a predetermination what we're of course, -- is slots some to modest So size, we how we the and steps and for but item contracting taking overall

from question next Citi. comes with Ryan Levine Our

follow-up. X guess I

shape In pace conversations incremental and how these And terms with point your chain, the that period? time of be eligible hyperscaler or customers, is your engagement any looking you're with not when would available say the supply until it of at this safe at these generation customers? to beyond XXXX does that

of the the Well, metric conversation. it's part of

to with around else like one's up we've next No ability up years. the to with customers right in middle interest potentially the X,XXX plans additional we this We, much -- specific their needs. front in opportunities of us of rate line couple advanced being to couple of XXX customers. potential the that of more a their primarily have megawatts believe the discussions low incremental We the down and part it, is we that is and have lot as continue down everyone comes ramp incremental We're country. with we over But speed we able opportunities the the capacity of that distribution to meet well. sign for stage. transmission at got So active got to believe availability that to discussion the as of A and it's -- the megawatts. well

able we with maybe time discussions that generation lines, ensuring line needs the love can just having we're have available. and think up needs, even reach we've about and we and ground capacity here, that But their but got me distribution So middle be both . they have meet a can customer that to recognizing where we we to transmission we everywhere, to faster. the good go feel like

the The question from Associates. with Paul line next of Patterson Glenrock comes

Just clarification a questions. few

in distinguishment -- between to is comments? your just any I'm and saying securities is kind potential stuff? equity-linked equity? equity no XXXX. it Does need for common -- the any that referring Or what or that that there I in are common is for X On also with you associated -- also is the of there guess

question, Paul. common plans equity for Great No in XXXX. Yes.

as and during nothing You're to of for absolutely right. conditions think opportunistic about XXXX, roll We'll have be XXXX. our thoughtful we little will we about stock year. as be We we common 'XX the that but on plan out a outstanding through market still financing finish become think bit

that that out see company financing all the whether And term baked do We the issuance potential interest fully neighborhood debt roughly are or note with that. in But our some junior going we're holding in our fill evaluate million. plan. into million, plan EPS unsecured you'll to associated footnotes of $XXX need we to to have We XXXX $XXX debt. costs subordinated

slide of little financing wanted detail So you. bit give that a just on that's that to finer I

potentially what come think discussions, might with then were there something think when to you to . come respect out? if robust And Okay. sort X the to be you or that conclusion do they of announcement an some do of you might --

set up by counterparts discussions, a it's of by line, commercial the our are trying goals we know and year-end those to certainly Paul, with as We advancing the then perspective time well, hope but objectives. wrap can Paul. I you and a something to year-end, goal from

there's it. It case, tango. X to eyes counterparty. X In more it's So on to takes a urgency related both than time this

fully complicated specific to don't loads the we details. very interest, control So strong getting these very What time is large But approaches. these there's of know are are discussions we down do course, active -- that line.

So discussions we are. how can't guarantee anything, few given next but we're targeting the in months

plan? Okay. the it X% the growth, rate I very said, it's then for the -- -- during you. projections impact the in rate the customers base how potential are should time through you what going like of what with that to expectations terms that of we this of vary -- on and Great. the have Obviously, roughly the about sounds finally, XXXX. current think what during but achievable. how we trajectory think on rate -- think But period what's have current you And speaking, just should about your .

We helping And will supporting have I confident. economic and that this point. to because and it closely you opportunities development advance this work we working as in would sized our is implement it I appreciate as think with growth wouldn't area. plan, we our probably the describe Yes, regulators about question the Paul, because highly

with important regional that So we trajectory don't want improving seeing And helps our tremendous target plan and on few in progress us. a diversify competitiveness our with . That's portfolio, but line to the making for dispatchable that's to let inflation. enable to past helping is rate in with lines made up keep rate these the years. we line believe we're We've up on significant the rates inflation. on growth to generation, these that add investments, that. to

on Okay. your to street. that expectation And changing the here if what is for be seems

think of inflation? a are projection when I that what what you generic you inflation, do is? do you about -- just guys -- sort guys have for what -- inflation mean, Or is a you So whatever

tie-in the what mid-Xs obviously on It think range. we're as the in view our There's of some have the X% can I an inflation is. goes, historical your costs. Paul, where going trending forward. is inflation mine. general, Fed as impact be actual the good hopeful we're could But because is what guess to towards with But that In target closer is inflation

the be With expectation maybe general could impact, the the is macroeconomy higher. inflation election in that

our to will more get But not historical that because that maintain again, inflation about goal that make we the are we're are -- is that. and with I with transit game line sure the thoughtful at rate So into view in there our to is many continuing who more competitiveness. and keep advance forefront, it regional affordability our

the finally, And your on that's be or with like for just going stuff. There's and CCS are sounds specific you've or technology plan that -- you're associated or gas the you it then something something Okay. everything, plants very not asking there's something any nothing announced -- -- some it. regular to that new for CCC no -- no there's

something of of I mentioned mean, ordinary. I out I it no but plant about kind Could much I you were that's ready. the technology pretty to think that? things or think me real and sounds hydrogen advanced just Am nothing -- hydrogen, like you regular -- right these

in that that describe the carbon we've or -- are that, but cash highly element as our yes, Paul these or develops hopeful to CCGT technologies, over no plan these efficient. We're time. and they're They're are not CT modern the advanced forecast. -- sequestration -- there's embedded

enough to I to efficient our group, but they accommodate selection in think have the most and They're the technology of that technology. proven have all technologies the our would ask time, deployed. that's and advanced baseline not technology are room sites but would proven over describe relates part been them and highly I And

Ladenburg The of with next Fremont the comes from line Paul question Thalmann.

shot at more I'm the going to take X%. X to X%

X% involving negotiations successful you you all be XXX you to X,XXX of that X%? load, were put if incremental would If above X megawatts within advanced to of -- enough on or the the

in signing but it I loads we've the tailwinds. represent mentioned we is have advanced to of would megawatts got and and that the echo in describe would we couple range. XXX a confidence probably high right, have additional would combined I you What discussions, X,XXX megawatt incremental plan

that. but with down confidence it many all and underway. the have suits X high of that the So Then already it, at leave customers it plan comes tailwinds, large including the with the discussions then announced in

other Campbell this now to I I'm would remarks. back to no At like for time, showing questions. turn it closing David

a Evergy. your Great. your for Thank the Have you, good this you, and and EI. interest Jill. That for see day, call. you we'll closes morning time with Thank everyone, in

for program. you your you in participation conference. the today's does This for conclude Thank

may You disconnect. now