Avista Reaffirms 2026 Utility Earnings Outlook

The Tip Desk · November 10, 2026 · 4 min read

GAAP net income was $49 million, or $0.57 a share, as non-GAAP utility earnings reached $33 million, or $0.38 a share, and the company kept 2026 guidance at $2.52 to $2.72 a share.

Avista Corp. (AVA) reported GAAP net income of $49 million, or $0.57 a share, for the third quarter of 2026, compared with $29 million, or $0.36 a share, a year earlier. Non-GAAP utility earnings were $33 million, or $0.38 a share. The energy company confirmed its 2026 non-GAAP utility earnings guidance of $2.52 to $2.72 a share for the third consecutive quarter.

President and CEO Heather Rosentrater said utility earnings for the third quarter remain on track for the year and that the company continues to expect to be at the midpoint of that range. Guidance assumptions include normal weather for the remainder of the year, a negative Energy Recovery Mechanism impact of $0.09 a share within the 90% customer and 10% company sharing band, a 12% effective tax rate, and capital expenditures of $615 million for the year. Over the long term, the company said it expects non-GAAP utility earnings to grow 4 to 6 percent from the midpoint of 2025 earnings guidance.

Avista Utilities non-GAAP utility earnings increased $3 million, or $0.01 a share, versus the year-ago quarter, reversing a $1 million decline in the second quarter of 2026 versus the year-ago second quarter. Electric revenues added $11 million, or $0.14 a share, to third-quarter utility earnings versus the year-ago quarter, after contributing zero in the second quarter versus the year-ago second quarter. The company said electric revenues increased in the third quarter as a result of increases in retail rates. Electric resource costs reduced third-quarter utility earnings by $12 million, or $0.14 a share, versus the year-ago quarter. The company attributed the third-quarter increase to higher volume and price of power purchased and higher authorized power supply costs from general rate cases, partly offset by lower generation fuel after Colstrip’s removal.

Natural gas revenues added $2 million, or $0.02 a share, versus the year-ago quarter. Natural gas resource costs reduced third-quarter utility earnings by $2 million, or $0.03 a share. Other operating expenses added $3 million, or $0.05 a share, versus the year-ago quarter, after reducing earnings by $9 million, or $0.11 a share, in the second quarter versus the year-ago second quarter.

Non-regulated other businesses generated $16 million of income in the third quarter of 2026, versus a $1 million loss in the third quarter of 2025. The company said the swing was primarily related to net investment gains in the second and third quarters of 2026 from equity-method investments, compared with net investment losses in 2025. GAAP net income for the three months ended Sept. 30, 2026 increased primarily due to investment performance at those other businesses.

For the nine months ended Sept. 30, 2026, GAAP net income was $176 million, or $2.11 a share, compared with $122 million, or $1.51 a share, a year earlier. Non-GAAP utility earnings were $147 million, or $1.76 a share. The company said nine-month net income also increased as a result of the impacts of general rate cases. Non-regulated other businesses generated $29 million of income in the first three quarters of 2026, compared with losses of $13 million in the first three quarters of 2025.

Avista Utilities capital expenditures were $496 million in the first three quarters of 2026. Expected 2026 base capital expenditures remain $615 million. The company presented a 7.3% projected rate-base CAGR from forecast 2027 AMA rate base.

The company issued $230 million of long-term debt during the first three quarters of 2026 and said it does not expect further long-term debt issuances in 2026. Due to increased regulatory deferrals and delayed recovery, it plans to obtain a short-term loan of up to $100 million by the end of the fourth quarter of 2026. In 2027, it expects to issue approximately $220 million of long-term debt and up to $110 million of common stock. As of Sept. 30, 2026, available liquidity was $168 million under the Avista Corp. committed line of credit and $57 million under a letter of credit facility.