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Image source: The Motley Fool. Monday, Aug. 3, 2026 at 10:30 a.m. ET Investor Relations Manager - Stacey Walters President and Chief Executive Officer - Heather Rosentrater Senior Vice President, Chief Financial Officer, Treasurer and Regulatory Affairs Officer - Kevin Christie Operator: Good day, and welcome to the Avista Corporation Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker, Stacey Walters, Investor Relations Manager. Please go ahead. Stacey Wenz: Good morning. Thank you for joining us. Joining me today is Avista Corp. President and CEO, Heather Rosentrater, who will speak briefly in a few moments on current events. Senior Vice President, CFO, Treasurer and Regulatory Affairs Officer, Kevin Christie, is also here and will be available for questions. As I'm sure you can appreciate, we are going to focus this earnings call on the fires that occurred in Spokane over the weekend. Please refer to our earnings press release and second quarter 10-Q for information that was filed premarket this morning relating to our financial results for the quarter. You can find this information online. Heather, please go ahead. Heather Rosentrater: Thank you, Stacey. As you may have seen in our press release yesterday and the related Form 8-K filed this morning, multiple wildfires are burning near Spokane, Washington. Fueled by dry and windy conditions, these fires spread rapidly and have devastated our community. Thousands of people, including many of our employees, have been displaced and many are still facing great uncertainty. Our hearts are with everyone who has had to evacuate their homes, everyone who has suffered loss and all who continue working on the front lines. Our facilities were not involved in starting any of these fires in the Spokane area. We have restored service to customers whose outages were solely related to the public safety power shutoffs. However, we still have electric and natural gas outages in parts of our service territory because of damaged infrastructure, evacuation restrictions and ongoing safety concerns associated with the fires. At this time, about 7,300 of our 429,000 electric customers are out of power and about 5,300 of our 386,000 natural gas customers are without service. And to reiterate, in areas that were part of the public safety power shutoff event, any remaining outages are no longer tied to that event. They are related to active wildfire conditions and the damage those fires caused. As a result of the fires, we have identified significant impacts to our transmission and distribution infrastructure serving parts of West Spokane. Multiple transmission lines in the area sustained damage from wildfire activity, and the transmission system was operating with reduced capacity due to the damage. I am happy to share that our crews repaired and energized a key transmission line earlier this morning that significantly reduces the risk of new customer outages due to system capacity constraints. However, we are still assessing the full extent of the damage as emergency responders provide access to impacted neighborhoods and fire conditions allow. The situation is still very dynamic and the fires in the Spokane area have yet to be contained. We have shared as much as we currently know. And right now, our primary focus is on assessing damage to our facilities, planning for restoration and supporting our customers and employees have been impacted by this tragic event. We will work to provide additional information as it becomes available. Our first priority throughout these events is the safety of our customers, employees, contractors and the communities we serve. We remain focused on assisting impacted communities, coordinating with emergency responders and community partners and restoring electric and natural gas service as quickly and safely as conditions allow. Stacey Wenz: At this time, we will take questions. Operator: [Operator Instructions] Our first question will come from the line of Shar Pourreza with Wells Fargo Securities. Whitney Mutalemwa: This is Whitney Mutalemwa on for Shar. Yes, definitely, our thoughts are with the Spokane people. Just to -- can you give us a sense of the extent of the damage to the transmission system? How are you thinking about the cost recovery and insurance treatment while this cause is still under investigation? Heather Rosentrater: I can talk about the extent of the damage. We still have -- we have had repairs, like I said, to one of the critical lines and then a couple of other lines that were damaged, we've been able to repair. But we still have a couple of lines that are out, and we do have access to the areas now. And so our crews are starting that repair on the transmission system. That shouldn't take as long as the repair likely to the distribution system. So that damage is still being assessed, and we'll know more in the upcoming days, the extent of that damage and how long it will take. Kevin Christie: And then I'll build on that, Whitney. Of course, many of these assets are long-lived assets. And so from a regulatory lag perspective, there shouldn't be significant impact there. And as we look forward and once the assessment is complete, we can make some determination of whether we file a petition with the UTC. If that ends up making sense, we'll let you know. Operator: One moment for our next question. And that will come from the line of Michael Lonegan with Barclays. Michael Lonegan: So on the wildfires, I was going back to the cost recovery. I was just wondering, the legislation in the state allows for securitization of wildfire-related costs, correct? Just wondering, anything you could share about that would be helpful. Kevin Christie: Yes, they're in the 2 legislative sessions ago, there was a bill that was passed that ultimately allows for securitization. And again, we've said it's too early to assess. Securitization would be for, I would say, much more impactful events than what we're experiencing now. Of course, I don't want it to seem like it's not impactful to all of us that have been involved in the fires or having the fires around us. But from a sheer monetary perspective on the infrastructure, I wouldn't see us being any remotely close to that need. Michael Lonegan: Okay. And then shifting to the data center negotiation pause. Just wondering if there's anything you could talk about whether there's been any progress that's addressing customer community member and local leader concerns. And I know the MOU remains in place, but you removed the 500-megawatt project as upside to your capital plan. Anything you could share there would be helpful. Heather Rosentrater: Yes, I appreciate the question. And I know there's a lot of questions about the data centers, and I want to take the opportunity to just be clear in how we're viewing it. I do appreciate that customer affordability is a shared priority with our investors, our customers and ourselves. And the shared -- that shared interest to support affordability has been front and center to our response to these data requests that we received. And as we've consistently communicated, we will not move forward with a new large data center customer unless we're confident that they will make significant contributions to support affordability for existing customers. And we won't move forward with them unless we are confident that our current customers' reliability will be maintained or enhanced. We expect that there needs to be a net benefit for our current customers, and we want to ensure that there are protections in place for our current customers. And so those things have guided the conversations that we have been having internally related to potential updates to our internal processes. They've guided the conversations that we've had externally with those other stakeholders because as we shared, we know that we are just one part of multiple entities that are required to consider these kinds of requests. And so we have been participating in a broader process, engaging with regulators. There's workshops going on in the Washington regulators, commissioners are holding those. We've been engaging with local partners who are also working through just appropriate new considerations for planning and coordination because the scale of these projects is so unprecedented. So we've appreciated the customer questions that we've gotten. And again, as you noted, that pause in the MOU has helped us to have more time to explore those internal and external processes. And so we are also working on related to ensuring -- providing the appropriate assurances for customers that they will not -- existing customers will not cover any costs. We're considering updates to potential tariffs, hybrid tariff special contract potentially at the regulatory level that we think could provide additional assurances to customers and potentially working at the state level through policy that has already been brought up last year and will likely be brought up this year. And we think it's a good thing to have those assurances for our customers. So those are the kinds of things, kinds of conversations we're having that will inform how we might move forward with any of those large data center requests that we have. Michael Lonegan: And then lastly for me, on the Washington rate case, just wondering if you could share how you're feeling coming out of staff testimony in the settlement conference, key debates, where they could head, likelihood of a settlement. Do you think it's going to be hard to reach a settlement because it's the first 4-year plan filed in the Washington state? Kevin Christie: Mike, it's Kevin. Thanks for the question. Yes, we've been saying all along that there's pretty key or fundamental differences in points of view on the term of the case. We feel strongly about the 4-year. Others, as you can see through their testimony, do not. And so I think that's proving out that settlement will be quite difficult. But as we look forward and see the positions of the parties, for example, if you look at staff and where they're at, there's a discrepancy on how we got there, but they're not that far from where we're at. And so we think that's constructive as the commission contemplates how to resolve the case at the end of the regulatory process. And even if you look at the position of public counsel, which seems very stark when compared to where we're at, the lion's share of the difference, there are 2 items. One is return. We think they have a return level that is unacceptable. We think the commission will likely see it the same way based on past practice or history. And then they also did not go along with any adjustment to power supply, which, again, I think power supply is proving that over the last several years, unfortunately, we've got pretty clear knowledge of what's been going on. And so with all that data in mind, I think the commission is in a good spot there. Staff's perspective on power supply, again, a little bit of a discrepancy on how we get there, but it's relatively close to where the company is at. So again, I don't believe we'll see a settlement take place. We will go ahead and file our rebuttal case here on the 7th, so Friday. And then we'll have a hearing in September -- September 17 through 18, likely. And then the commission will think about the case, and we'll get an order towards the middle of December. And again, I just want to reiterate that I think from our position, how we position the case overall, the data that we've provided throughout the pendency of the case and as we think about rebuttal and what will be publicly available to you, it's a strong case. And again, the parties for a couple of key issues aren't that far apart from us. Operator: Our next question that will come from the line of Chris Ellinghaus with Siebert Williams Shank. Christopher Ellinghaus: Do you have any sense from what you've been able to ascertain so far, how long you think it will take to normalize your infrastructure? Heather Rosentrater: It's hard to tell right now. Again, we're still getting into the areas that have been affected. And our first priority is the transmission, and we think that we have a good sense of the damage there. And so that should be -- in the near term, we should be able to get that restored. And then with the distribution and there's a significant structure losses has been shared. And so working through how we support the areas that remain, that's what we're trying to understand better right now and how long that will take. So it's still to be determined. Christopher Ellinghaus: Okay. Kevin, vis-a-vis the quarter, can you give us any color for the nonregulated benefit for the quarter? What was going on with presumably mostly funds? Kevin Christie: Yes, absolutely, funds. And again, Chris, thanks. I appreciate the question. We had a good quarter from a nonregulated perspective, and it really gets back to what we said 1 year ago on the call where we had some headwinds that materialized for various reasons. And we said that the market needed to levelize. We thought that, that would likely happen. And then once again, we would be -- and an expression you know we've used is to get paid a little bit to learn. And so it's through EIP. We've been clear about that. There is an investment within EIP that went public. And so we acknowledged or had a gain leading up to that IPO. And then as you can see in our documents, we would expect another gain due to the lag that would show up next quarter and it will introduce volatility into that particular investment because that company, ERock has -- is publicly traded, and you can see what's transpired since then. Most of what will be the gain that we're expecting to recognize next quarter, if you look at current stock price, would then reverse. I'd also share that, that's just one fund in amongst that particular or one investment within that fund, and there will be gains and losses within all of those as well. So there's a netting, but you can take a look at ERock stock price and get a reasonable proxy about what might happen in that fund. We do think that net-net, it's beneficial to us, obviously, when we can exit and we can exit or EIP cannot exit due to the lockup that typically happens with an IPO for some time. But when they can, that will be beneficial from a cash flow perspective and will help to alleviate some of our equity needs. Christopher Ellinghaus: Okay. That's helpful. Lastly, this workshop next week at the UTC, is that going to be particularly helpful to inform your MOU situation? And is that part of the reason why you withdrew so that they could hold this workshop? Kevin Christie: Here's what I would say is that, that process has been underway for a bit. And it is something that absolutely should benefit us as we go forward. And working with the community will also be key to all of that. So the commission can help, Heather highlighted the fact that we've historically used the concept of a special contract for any large load, and that has worked for us, but we need to give better clarity to others that we are properly protecting them. And I think the process that will happen with the commission will define that to some extent. And we'll -- if it doesn't, we will make sure we define it. So everybody can have good trust in the process and the protection for existing customers and benefits for existing customers. So again, it will absolutely be helpful. We've said net benefit. I know it's a term that's used mostly in M&A, but we've been using the net benefit expression in both Washington and Idaho for quite some time about how we view large loads and existing customers. Operator: One moment for our next question. That will come from the line of Julien Dumoulin-Smith with Jefferies. Brian Russo: It's Brian Russo on for Julien. Most of my questions were asked and answered. But just maybe you could just talk a little bit about the wildfire mitigation plan and the initiatives, and the benefits that you were able to capture and offer the community over these last couple of days. And then with the PSPS, it seems like they performed very well or as planned, et cetera. Heather Rosentrater: Yes, absolutely. Thank you. I appreciate that question. And that's what we've been sharing is that we believe that our proactive measures have demonstrated that they've been providing value and have been effective. We know it's really hard to -- for the community to be experiencing proactive outages in the public safety power shutoffs. But we did find on at least one of those lines that had been proactively deenergized. We found several trees that fell into the line during our patrol of those lines that we do on every -- on those theaters before we reenergize. And so that's what we've been able to share, and I think it does give our community a better understanding and appreciation, maybe not appreciation, but a better understanding of why we're doing that. And there's been a lot of conversation about prevention. And that's how we see that tool is it's a tool to prevent the start of wildfires. And that's what we've shared as the situation could have been worse. And we're looking to and appreciate the work that our teams have done to put those things in place, and we do think that they were effective in this really high-risk situation, and that is nice to be able to reinforce the work that we've done there. So yes, the work -- all the work we've done around vegetation management, all the work that we've done around these real-time situational awareness and then operational changes that we've made do seem to be demonstrating their value. Operator: Our next question will come from the line of Sophie Karp with KeyBanc Capital. Michael Pelletier: This is Michael on for Sophie. Does the wildfire and related costs make you rethink seeking a 4-year rate case, specifically around the difficulty with forecasting such events? Kevin Christie: I think it's just too soon to say about that. Right now, based on what I know, I think the 4-year continues to make sense for us for all the reasons we've previously elaborated. And as a reminder, if we have some kind of extreme event or situation arise during the 4-year rate plan, we can with not something we want to do, but we can go ahead and refile and replace years 3 and 4. So if something were to occur, and I don't think it's this event, but something else were to occur, then we could go ahead and do that. That assumes the commission sides with the company and does, in fact, put in place the 4 year. Michael Pelletier: Got it. And then do you expect there will be some opportunity to introduce additional wildfire legislation in the next session? Heather Rosentrater: I don't think we're actively looking at this session. I think we'll have the opportunity to work with our other utilities in the region and other stakeholders and maybe in the future. And there is work at the federal level for legislation that we think would be likely the focus area probably, but in the near term, but that's just more of an ongoing effort to explore what might make sense. Operator: I'm showing no further questions in the queue at this time. I would now like to turn the call over to Stacey Walters for any closing remarks. Stacey Wenz: This does conclude our call today. Thank you all for joining us. Operator: This concludes today's program. Thank you all for participating. You may now disconnect. Before you buy stock in Avista, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Avista wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $399,832!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,374,595!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 10, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Avista (AVA) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management confirmed that Avista facilities were not involved in starting the Spokane-area wildfires, which were fueled by extreme dry and windy conditions. The company successfully utilized Public Safety Power Shutoffs (PSPS) to prevent further ignitions, discovering several trees that had fallen into de-energized lines during patrols. Significant damage was identified in transmission and distribution infrastructure in West Spokane, though a key transmission line was repaired early to mitigate capacity-driven outages. The pause in data center negotiations reflects a strategic commitment to ensuring new large-load customers provide a net benefit to existing customers without compromising reliability. Management is engaging with regulators and local partners to develop new internal processes and potential tariff updates to address the unprecedented scale of data center requests. Non-regulated performance improved due to investment gains within the Energy Impact Partners (EIP) fund, specifically related to an IPO for ERock. Avista remains committed to its 4-year rate plan in Washington, asserting that the framework allows for refiling if extreme events occur during the term. The company expects to file a rebuttal case on August 7, with a The final commission order is anticipated by mid-December 2026. Management anticipates continued volatility in non-regulated earnings due to the mark-to-market nature of publicly traded investments like ERock within their venture funds. Future data center agreements will likely require 'special contracts' or hybrid tariffs to provide explicit assurances that existing customers will not bear infrastructure costs. Full assessment of distribution system damage is ongoing and depends on emergency responder access to impacted neighborhoods. Approximately 7,300 electric and 5,300 natural gas customers remain without service due to active fire conditions and physical infrastructure damage. Management believes current wildfire costs do not yet reach the threshold required for securitization under existing Washington state legislation. The company may file a petition with the Utilities and Transportation Commission (UTC) for cost recovery once the full financial assessment of the fires is complete. A lockup period currently prevents the exit of certain EIP investments, though future exits are expected to alleviate some equity needs. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management noted that because many impacted assets are long-lived, regulatory lag should not have a significant impact. The company will determine whether to file a petition with the UTC for specific cost recovery after the damage assessment is finalized. The pause in the MOU allows time to explore internal and external processes to ensure customer affordability and reliability. Avista is considering updates to tariffs and state-level policy to ensure existing customers are protected from costs associated with large-scale loads. Management believes a settlement is unlikely due to fundamental differences regarding the 4-year term and power supply adjustments. Despite the lack of settlement, the company views the staff's position on power supply as constructive and relatively close to their own. Management stated that proactive measures, including vegetation management and situational awareness, demonstrated their value during the high-risk event. The discovery of trees on de-energized lines confirmed that the PSPS prevented potential fire starts.

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Avista (AVA) just reported second quarter 2026 results, with revenue of US$413 million and net income of US$35 million, alongside updated figures for the first half of the year. See our latest analysis for Avista. The latest earnings come as Avista’s share price has been relatively steady year to date, with a 2.14% share price gain and a 1 year total shareholder return of 8.59% that indicates modest momentum rather than a sharp rerating. If this update has you thinking about where else capital could work in essential infrastructure, it may be worth scanning 36 power grid technology and infrastructure stocks With Avista shares only edging higher over the past year despite stronger recent earnings, investors are left weighing business progress against market hesitation. Does the current valuation lean more toward fundamentals or sentiment drift? The most followed narrative sees Avista’s fair value at $42.80, a touch above the last close at $39.55, which frames a modest valuation gap that hinges on how its regulated growth plans play out. Read the complete narrative. The narrative leans on steady revenue gains, fatter margins, and a higher future earnings multiple. One key assumption does most of the heavy lifting. The exact mix of growth, profitability, and discount rate behind that $42.80 figure is where the real story sits. Result: Fair Value of $42.80 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Avista’s relatively concentrated Pacific Northwest footprint, along with rising grid modernization and wildfire mitigation costs, could pressure earnings if regulators limit full cost recovery. Find out about the key risks to this Avista narrative. While the popular narrative sees Avista trading below a modeled fair value of $42.80, the Simply Wall St DCF model points the other way. On that cash flow view, Avista at $39.55 sits above an estimated value of $35.98, which frames the stock as overvalued. Which set of assumptions do you trust more? Look into how the SWS DCF model arrives at its fair value. Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Avista for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 53 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity. This mix of optimism and caution around Avista creates a real split in sentiment, so it makes sense to move quickly and test the assumptions against the facts yourself. To help you weigh both sides of the story in one place, start with the 4 key rewards and 2 important warning signs. If Avista has sharpened your focus on utilities, do not stop there. Use curated stock ideas to pressure test your portfolio and avoid missing potential opportunities. Target consistent income by reviewing companies that qualify as 7 dividend fortresses and see which payouts look built to endure. Sharpen your value hunting by scanning the 53 high quality undervalued stocks and compare their metrics with what you see at Avista. Strengthen your defense by checking out the 82 resilient stocks with low risk scores and see which businesses line up with your tolerance for volatility. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AVA. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Interested in Avista Corporation? Here are five stocks we like better. Wildfires near Spokane caused significant outages and infrastructure damage: Approximately 7,300 electric customers and 5,300 natural gas customers remained without service, while Avista worked to repair damaged transmission and distribution facilities. The full scope and timeline of distribution-system restoration remain uncertain. Avista is still evaluating wildfire-related costs and recovery options. Management said securitization was unlikely to be appropriate because the event does not appear large enough financially, while wildfire mitigation measures—including public safety power shutoffs and vegetation management—helped reduce ignition and safety risks. Large data-center discussions remain paused as Avista reviews tariffs and customer protections to ensure new loads benefit existing customers without undermining affordability or reliability. The company also expects a difficult Washington rate-case process, with hearings scheduled for September and a commission decision expected around mid-December. Avista (NYSE:AVA) used its second-quarter 2026 earnings call to focus primarily on wildfires near Spokane, Washington, which have damaged parts of its electric transmission and distribution system, displaced residents and employees, and left thousands of customers without electric or natural gas service. President and CEO Heather Rosentrater said multiple fires, fueled by dry and windy conditions, spread rapidly over the weekend and remain uncontained. She said the company’s facilities were not involved in starting any of the Spokane-area fires. → Lost in Space: Why Aerospace Valuations Are Plummeting Right Now “Thousands of people, including many of our employees, have been displaced and many are still facing great uncertainty,” Rosentrater said. “Our hearts are with everyone who has had to evacuate their homes, everyone who has suffered loss, and all who continue working on the front lines.” At the time of the call, about 7,300 of Avista’s 429,000 electric customers were without power, while approximately 5,300 of its 386,000 natural gas customers were without service. The remaining outages were related to active wildfire conditions, damaged infrastructure, evacuation restrictions and safety concerns, rather than the company’s public safety power shutoff event, Rosentrater said. → MarketBeat Week in Review – 07/27- 07/31 The company identified significant impacts to transmission and distribution facilities serving parts of West Spokane. Several transmission lines sustained wildfire damage, reducing system capacity. Avista repaired and energized one key transmission line on the morning of the call, which Rosentrater said significantly reduced the risk of additional customer outages caused by capacity constraints. Avista has also repaired some other damaged lines, but several remain out of service. Crews have gained access to affected areas and begun repairs to the transmission system. Rosentrater said the transmission restoration work should take less time than repairs to the distribution system, where the full extent of the damage remains under assessment. → GE HealthCare Stock Climbs on Vital Diagnostics Demand “With the distribution, there’s a significant structure loss,” Rosentrater said in response to a question about the expected timing for normalizing infrastructure. “Working through how we support the areas that remain, that’s what we’re trying to understand better right now and how long that will take. It’s still to be determined.” Senior Vice President, CFO, Treasurer and Regulatory Affairs Officer Kevin Christie said the company was still assessing the damage and had not determined whether it would seek a regulatory filing related to recovery of wildfire-related costs. He noted that many of the affected assets are long-lived, which should limit the effect of regulatory lag. Christie said Washington legislation enacted two legislative sessions earlier permits the securitization of wildfire-related costs. However, he said the current event did not appear to approach the level of monetary impact that would warrant securitization. “Securitization would be for, I would say, much more impactful events than what we’re experiencing now,” Christie said, while emphasizing that the fires remain significant for affected communities and employees. Rosentrater said the company’s wildfire mitigation measures, including public safety power shutoffs, vegetation management, real-time situational awareness and operational changes, demonstrated value during the event. During inspections before restoring service to proactively de-energized feeders, crews found several trees that had fallen into one line, she said. Rosentrater described public safety power shutoffs as a tool to help prevent wildfire ignitions, though she acknowledged the difficulty those outages can create for communities. Avista also addressed its ongoing review of potential large data center loads. Rosentrater said the company would not move forward with a new large data center customer unless it is confident the customer would make significant contributions supporting affordability for existing customers and would maintain or enhance reliability. The company expects any large-load arrangement to provide a net benefit to current customers and include protections ensuring existing customers do not bear associated costs, she said. Avista has been considering potential tariff updates, hybrid tariffs, special contracts and possible state-level policy measures. The company has paused activity under a memorandum of understanding related to a proposed 500-megawatt data center project, which Avista removed as upside from its capital plan. Rosentrater said the pause has allowed more time to review internal processes and engage with regulators, local partners and other stakeholders. Christie said an upcoming Washington Utilities and Transportation Commission workshop should help inform the process. He said Avista has historically used special contracts for large-load customers and wants to provide clearer assurances that existing customers are protected and receive benefits. On Avista’s Washington rate case, Christie said a settlement appears likely to be difficult because parties hold fundamentally different views on the company’s proposed four-year rate plan. He said the company continues to support the four-year structure. Christie said staff testimony was relatively close to Avista’s position in some areas, despite differences in methodology. He identified return levels proposed by public counsel and the lack of a proposed power-supply adjustment as major points of disagreement. Avista planned to file rebuttal testimony on Aug. 7, followed by hearings expected Sept. 17-18. Christie said the company expects a commission order around the middle of December. He added that, if an extreme event occurred during a four-year plan, Avista could refile and replace the third and fourth years of the plan, though he said the company does not believe the current wildfire event would require that action. Avista Corporation operates as an integrated energy company providing electric and natural gas delivery services to residential, commercial and industrial customers in the Pacific Northwest. Through its regulated utility operations, the company maintains and upgrades an extensive transmission and distribution network, delivering reliable energy to approximately 400,000 electric customers and 324,000 natural gas customers across Washington, Oregon and Idaho. In addition to its core utility business, Avista invests in owned generation assets, including hydroelectric, natural gas–fired, coal and wind facilities, to support system reliability and long-term supply planning. Founded in 1889 as the Spokane and Inland Empire Water Power Company, the business adopted the Avista name in 1999 to reflect its growing energy portfolio and strategic focus on innovation. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Avista Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Electric Customers Out of Power: Approximately 7,300 of 429,000 electric customers are without power due to wildfire damage and safety concerns. Natural Gas Customers Without Service: Approximately 5,300 of 386,000 natural gas customers are without service. Release Date: August 03, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Avista Corp (NYSE:AVA) successfully restored a key transmission line, significantly reducing the risk of new customer outages due to system capacity constraints. The company's proactive wildfire mitigation measures, including public safety power shutoffs and vegetation management, proved effective in preventing potential fire ignitions. Avista Corp (NYSE:AVA) has access to regulatory mechanisms, such as securitization, for wildfire-related cost recovery, though the current event may not require it. The company's non-regulated business, particularly EIP, performed well, with gains from an IPO expected to benefit cash flow and reduce equity needs. Avista Corp (NYSE:AVA) is actively engaging with regulators and stakeholders to develop processes that ensure large data center customers provide net benefits to existing customers. Avista Corp (NYSE:AVA) faces significant uncertainty regarding the full extent of damage to its transmission and distribution infrastructure from the Spokane wildfires. Approximately 7,300 electric and 5,300 natural gas customers remain without service due to damaged infrastructure and ongoing safety concerns. The company expects difficulty in reaching a settlement in its Washington rate case due to fundamental differences with parties on the four-year plan, potentially leading to a prolonged regulatory process. The pause on the data center MOU and removal of the 500-megawatt project from capital plans could limit growth opportunities. The recognition of gains from the EIP investment is subject to volatility, as the public stock price of EROC could reverse expected gains. Warning! GuruFocus has detected 13 Warning Signs with AVA. Is AVA fairly valued? Test your thesis with our free DCF calculator. Q: Can you give us a sense of the extent of the damage to the transmission system from the wildfires? How are you thinking about the cost recovery and insurance treatment while this cause is still under investigation?A: Heather Rosentrater (CEO) stated that while one critical transmission line has been repaired and energized, other lines remain damaged. Crews are beginning repairs on the transmission system, which should not take as long as distribution repairs, but the full extent of the damage is still being assessed. Kevin Christie (CFO) added that since these are long-lived assets, there shouldn't be significant regulatory lag impact. Once the assessment is complete, they will determine if a petition with the UTC is necessary. Q: On the data center negotiation pause, is there any progress on addressing customer and community leader concerns? The MOU remains in place, but you removed the 500-megawatt project as upside to your capital plan.A: Heather Rosentrater (CEO) clarified that they will not move forward with a new large data center customer unless they are confident the customer will make significant contributions to support affordability for existing customers and that reliability will be maintained or enhanced. She noted they are engaging with regulators, participating in workshops, and exploring updates to internal processes, tariffs, and potential state-level policy to provide additional assurances for existing customers. Q: On the Washington rate case, how are you feeling coming out of staff testimony and the settlement conference? Do you think it will be hard to reach a settlement because it's the first four-year plan filed in Washington state?A: Kevin Christie (CFO) stated that fundamental differences on the term of the case make a settlement quite difficult. However, he noted that staff's position is not far from the company's, which is constructive. He highlighted that the main differences with public counsel are on return level and power supply adjustments. The company will file its rebuttal case on the 7th, with a hearing scheduled for September 17-18, and expects an order towards the middle of December. Q: Do you have any sense from what you've been able to ascertain so far, how long you think it will take to normalize your infrastructure?A: Heather Rosentrater (CEO) said it is hard to tell right now as they are still getting into affected areas. The first priority is transmission, which they have a good sense of and should be restored in the near term. For distribution, there is significant structural loss, and they are working to understand how long restoration will take, which is still to be determined. Q: Can you give us any color for the non-regulated benefit for the quarter? What was going on with presumably mostly funds?A: Kevin Christie (CFO) explained that the non-regulated business had a good quarter, driven by a gain from an EIP investment that went public (EROC). He noted that another gain is expected next quarter due to the lag, but it will introduce volatility as the stock is publicly traded. He added that when EIP can exit the position after the lockup period, it will be beneficial from a cash flow perspective and help alleviate equity needs. Q: Is the workshop next week at the UTC going to be particularly helpful to inform your MOU situation? Is that part of the reason why you withdrew, so that they could hold this workshop?A: Kevin Christie (CFO) said the process has been underway for a bit and should benefit them going forward. He highlighted that they have historically used the concept of a special contract for large loads, but need to give better clarity to others that they are properly protecting them. The Commission process will help define this, and if it doesn't, they will make sure they define it to build trust in the protections and benefits for existing customers. Q: Could you talk a little bit about the wildfire mitigation plan and the initiatives and the benefits you were able to capture and offer the community over these last couple days? With the PSPS, it seems like it performed very well or as planned.A: Heather Rosentrater (CEO) stated that their proactive measures have demonstrated value and effectiveness. She noted that on at least one proactively de-energized line, they found several trees that had fallen into the line during patrols. She emphasized that the PSPS is a prevention tool, and the situation could have been worse. The work on vegetation management, real-time situational awareness, and operational changes has shown its value in this high-risk situation. Q: Does the wildfire and related cost make you rethink seeking a four-year rate case, specifically around the difficulty with forecasting such events?A: Kevin Christie (CFO) said it is too soon to say, but based on what he knows, the four-year plan continues to make sense. He reminded that if an extreme event arises during the four-year plan, they can refile and replace years three and four, assuming the commission sides with the company on the four-year structure. Q: Do you expect there will be some opportunity to introduce additional wildfire legislation in the next session?A: Heather Rosentrater (CEO) said they are not actively looking at this session, but will have the opportunity to work with other utilities and stakeholders in the future. She noted there is work at the federal level for legislation that would likely be the focus area in the near term, as part of an ongoing effort to explore what might make sense. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

SPOKANE, Wash., Aug. 03, 2026 (GLOBE NEWSWIRE) -- Avista Corp. (NYSE: AVA) today reported the following results for the second quarter of 2026 and the six months ended June 30, 2026 as compared to the respective periods in 2025 (dollars in millions, except per-share amounts): Avista Corp. is confirming its 2026 non-GAAP utility earnings guidance2 with a range of $2.52 to $2.72 per diluted share. CEO Perspective “Strong execution of our operational priorities and disciplined cost management reinforce confidence in our outlook and long-term strategy. Results for the quarter also benefited from the recovery of non-utility investment losses recognized in 2025. By maintaining a balanced approach to investments in our system and affordability, we continue to position the company to deliver value for both our customers and shareholders,” said Heather Rosentrater, President and CEO of Avista. Analysis of 2026 GAAP Earnings Net income for the three and six months ended June 30, 2026 increased compared to the respective periods in 2025 primarily due to investment performance at our other businesses. We recognized net investment gains in 2026, compared to net investment losses in 2025. For the six months ended June 30, 2026, net income also increased as a result of the impacts of our general rate cases. ¹ See reconciliations to GAAP measures and further information in the "Non-GAAP Financial Measures" section within this press release. ² Avista Corp. is unable to provide GAAP earnings guidance or present a quantitative reconciliation of forward-looking non-GAAP utility earnings and utility growth guidance without unreasonable effort because certain reconciling items are not estimable. For instance, investment gains and losses, which have historically made up the majority of our non-regulated other business earnings and can be significant to our overall results, are difficult to predict due to various factors outside of management's control. These items are uncertain, depend on various factors, and may have a material impact on our future GAAP results. Analysis of 2026 Non-GAAP Utility Earnings The following table presents the changes in non-GAAP utility earnings and non-GAAP utility earnings per diluted share for the second quarter and year-to-date 2026, as compared to the same periods of 2025. It also outlines the various after-tax factors that contributed to these changes (dollars in millions, except per-share data): (a)    The tax impact of each line item was calculated using Avista Corp.'s federal statutory tax rate of 21 percent.(b)    Electric revenues decreased year-to-date as a result of decreased wholesale revenues, the removal of revenues related to the recovery of Colstrip costs, and decreased industrial sales volumes associated with the departure of a large industrial customer. These decreases were partially offset by other effects of our general rate cases.(c)    Natural gas revenues decreased year-to-date due to purchased gas adjustments (PGAs) and Climate Commitment Act (CCA) related revenues, with corresponding decreases to natural gas resource costs.(d)    Electric resource costs decreased due to decreased fuel costs, consistent with lower thermal generation, as well as decreased expense recognized under the Energy Recovery Mechanism (ERM). For the second quarter, the ERM resulted in a $6 million pre-tax expense in 2026, compared to a $1 million pre-tax expense in 2025. The ERM resulted in a $7 million pre-tax expense for the first half of 2026, compared to a $9 million pre-tax expense in the same period in 2025.(e)    Natural gas resource costs decreased due to decreased volumes purchased, decreased net deferrals and amortizations of previously deferred costs under our PGAs, as well as decreased costs associated with the CCA.(f)    Other operating expenses increased primarily due to increased employee salaries and benefit costs, partially offset by a decrease from the removal of Colstrip related costs.(g)    Depreciation and amortization decreased primarily due to our exit from Colstrip in 2026. This decrease was partially offset by increases from additions to plant.(h)    Other increases to earnings include increased interest income compared to the prior year and decreased taxes other than income taxes.(i)    Our effective tax rate in the first half of 2026 was 12% compared to 14% in the same period of 2025. Analysis of Non-Regulated Other Business Income Income at our non-regulated other businesses was $13 million in the first half of 2026, compared to losses of $12 million in the first half of 2025. The fluctuation in results is primarily related to net investment gains in the second quarter of 2026 from our equity method investments, compared to net investment losses in the second quarter of 2025. In June 2026, an underlying investment held by one of the funds in which we are invested completed an initial public offering and is now publicly traded. We estimate our portion of the fair value increase associated with this underlying investment in the second quarter of 2026 to be $17 million, which we will recognize in the third quarter as we record our activity related to this fund on a quarter lag. While actual results for the fourth quarter will reflect the fair value on Sept. 30, we estimate a loss of $13 million based on the fair value of the underlying investment on July 31. We will recognize valuation changes for other investments held, as appropriate. Liquidity and Capital Resources Liquidity As of June 30, 2026, we had $199 million of available liquidity under the Avista Corp. committed line of credit and $59 million of available liquidity under our letter of credit facility. We expect to issue up to $90 million of common stock in 2026, including $58 million issued in the first half of 2026. We also expect to issue $230 million of long-term debt during 2026 (including $160 million issued in the first half of 2026). Due to increased regulatory deferrals and delayed recovery, we are evaluating the need for up to $100 million of additional short-term liquidity by the end of the fourth quarter of 2026. Capital Expenditures In the first half of 2026, Avista Utilities' capital expenditures were $314 million. For Avista Utilities, we expect base capital expenditures as follows through 2030 (dollars in millions): These estimates include expenditures for the projects selected through our 2025 request for proposal. These estimates do not include incremental transmission projects, like regional grid expansion, or additional generation. Potential additional capital expenditures associated with integrating new large load customers, if any, are also excluded. 2026 Utility Earnings Guidance and Outlook Avista Corp. is confirming its 2026 non-GAAP utility earnings guidance with a range of $2.52 to $2.72 per diluted share. This non-GAAP utility earnings guidance is based on the following assumptions: Normal weather for the remainder of the year A negative impact from the ERM of ($0.10) cents per diluted share within the 90% customer, 10% company sharing band An effective tax rate of 12 percent Capital expenditures of $615 million for the year Over the long term, we expect non-GAAP utility earnings to grow 4 to 6 percent from the midpoint of our 2025 earnings guidance. Our guidance does not include the effect of unusual or non-recurring items until the effects are probable. Various factors could cause actual results to differ materially from our expectations. Please refer to our 10-K for 2025, our 10-Q for the second quarter of 2026, and the cautionary statements below for a full discussion of these factors. Non-GAAP Financial Measures This press release includes non-GAAP financial measures, including utility earnings and utility earnings per diluted share. We present these non-GAAP measures in order to facilitate meaningful evaluation of our operating performance across periods, and we utilize these non-GAAP measures to assess current and forecast performance, as well as for communications with shareholders, analysts and investors. Non-GAAP measures are supplementary information that should be considered in addition to, but not as a substitute for, the information prepared in accordance with GAAP. Non-GAAP utility earnings and utility earnings per diluted share exclude non-regulated other business activity, primarily consisting of realized and unrealized investment gains and losses. The presentation of utility earnings is intended to enhance the understanding of the Company's utility-specific operating performance. The following table reconciles GAAP net income to non-GAAP utility earnings, and GAAP earnings per diluted share to non-GAAP utility earnings per diluted share for the three and six months ended June 30 (dollars in millions, except per share amounts): NOTE: We will host a conference call with financial analysts and investors on Aug. 3, 2026 at 10:30 a.m. ET to discuss this news release. This call can be accessed on Avista’s website at investor.avistacorp.com. You must register for the call via the link at Avista’s website (investor.avistacorp.com) to access the call-in details for the webcast. A replay of the webcast will be available for one year on the Avista Corp. web site at investor.avistacorp.com. Avista Corp. is an energy company involved in the production, transmission and distribution of energy as well as other energy-related businesses. Avista Utilities is our operating division that provides electric service to approximately 429,000 customers and natural gas to 386,000 customers. Our service territory covers 34,000 square miles in eastern Washington, northern Idaho and parts of southern and eastern Oregon, with a population of 1.5 million. AERC is an Avista subsidiary that, through its subsidiary AEL&P, provides retail electric service to 18,000 customers in the city and borough of Juneau, Alaska. Our stock is traded under the ticker symbol “AVA”. For more information about Avista, please visit avistacorp.com. Avista Corp. and the Avista Corp. logo are trademarks of Avista Corporation. This news release contains forward-looking statements, including statements regarding our current expectations for future financial performance and cash flows, capital expenditures, financing plans, our current plans or objectives for future operations and other factors, which may affect the company in the future. Such statements are subject to a variety of risks, uncertainties and other factors, most of which are beyond our control and many of which could have significant impact on our operations, results of operations, financial condition or cash flows and could cause actual results to differ materially from those anticipated in such statements. The following are among the important factors that could cause actual results to differ materially from the forward-looking statements: Utility Regulatory Risk state and federal regulatory decisions or related judicial decisions that affect our ability to recover costs and earn a reasonable return, including, but not limited to, disallowance or delay in the recovery of capital investments, operating costs, commodity costs, the ordering of refunds to customers and discretion over allowed return on investment; the loss of regulatory accounting treatment, which could require the write-off of regulatory assets and the loss of regulatory deferral and recovery mechanisms; Operational Risk weather conditions, which affect both energy demand and electric generating capability, including the impact of precipitation and temperature on hydroelectric resources, the impact of wind patterns on wind-generated power, weather-sensitive customer demand, and similar impacts on supply and demand in the wholesale energy markets; wildfires ignited, or allegedly ignited, by our equipment or facilities could cause significant loss of life and property or result in liability for resulting fire suppression costs and/or damages, thereby causing serious operational, reputational and financial harm; severe weather or natural disasters, including, but not limited to, avalanches, wind storms, wildfires, earthquakes, floods, extreme temperature events, snow and ice storms that could disrupt energy generation, transmission and distribution, as well as the availability and costs of fuel, materials, equipment, supplies and support services; political unrest and/or conflicts between foreign nation-states, which could disrupt the global, national and local economy, result in increases in operating and capital costs, impact energy commodity prices or our ability to access energy resources, create disruption in supply chains, disrupt, weaken or create volatility in capital markets, and increase cyber and physical security risks. In addition, any of these factors could negatively impact our liquidity and limit our access to capital, among other implications; explosions, fires, accidents, mechanical breakdowns or other incidents that could impair assets and may disrupt operations of our generation facilities, transmission, and electric and natural gas distribution systems or other operations and may require us to purchase replacement power or incur costs to repair our facilities; interruptions in the delivery of natural gas by our suppliers, including physical problems with pipelines themselves, can disrupt our service of natural gas to our customers and/or impair our ability to operate gas-fired electric generating facilities; explosions, fires, accidents or other incidents arising from or allegedly arising from our operations that could cause injuries to the public or property damage; dam failure at a company-owned hydroelectric facility; blackouts or disruptions of interconnected transmission systems (the regional power grid); terrorist attacks, cyberattacks or other malicious acts that could disrupt or cause damage to our utility assets or to the national or regional economy in general, including effects of terrorism, cyberattacks, ransomware, or vandalism that damage or disrupt information technology systems; pandemics, which could disrupt our business, as well as the global, national and local economy, resulting in a decline in customer demand, deterioration in the creditworthiness of our customers, increases in operating and capital costs, workforce shortages, losses or disruptions in our workforce due to vaccine mandates, delays in capital projects, disruption in supply chains, and disruption, weakness and volatility in capital markets. In addition, any of these factors could negatively impact our liquidity and limit our access to capital, among other implications; work-force issues, including changes in collective bargaining unit agreements, strikes, work stoppages, the loss of key executives, availability of workers in a variety of skill areas, and our ability to recruit and retain employees; changes in the availability and price of purchased power, fuel and natural gas, as well as transmission capacity; increasing costs of insurance, more restrictive coverage terms and our ability to obtain insurance; delays or changes in construction costs, and/or our ability to obtain required permits and materials for present or prospective facilities; increasing health care costs and cost of health insurance provided to our employees and retirees; increasing operating costs, including effects of inflationary pressures; third party construction of buildings, billboard signs, towers or other structures within our rights of way, or placement of fuel containers within close proximity to our transformers or other equipment, including overbuilding atop natural gas distribution lines; the loss of key suppliers for materials or services or other disruptions to the supply chain; adverse impacts to our Alaska electric utility (AEL&P) that could result from an extended outage of its hydroelectric generating resources or their inability to deliver energy, due to their lack of interconnectivity to other electrical grids and the availability or cost of replacement power (diesel); changing river or reservoir regulation or operations at hydroelectric facilities not owned by us, which could impact our hydroelectric facilities downstream; Climate Change Risk increasing frequency and intensity of severe weather or natural disasters resulting from climate change that could disrupt energy generation, transmission and distribution, as well as the availability and costs of fuel, materials, equipment, supplies and support services; change in the use, availability or abundancy of water resources and/or rights needed for operation of our hydroelectric facilities, including impacts resulting from climate change; changes in the long-term climate and weather could materially affect, among other things, customer demand, the volume and timing of streamflows required for hydroelectric generation, costs of generation, transmission and distribution. Increased or new risks may arise from severe weather or natural disasters, including wildfires as well as their increased occurrence and intensity related to changes in climate; Cybersecurity Risk cyberattacks on the operating systems used in the operation of our electric generation, transmission and distribution facilities and our natural gas distribution facilities, and cyberattacks on such systems of other energy companies with which we are interconnected, which could damage or destroy facilities or systems or disrupt operations for extended periods of time and result in the incurrence of liabilities and costs; cyberattacks on the administrative systems used in the administration of our business, including customer billing and customer service, accounting, communications, compliance and other administrative functions, and cyberattacks on such systems of our vendors and other companies with which we do business, resulting in the disruption of business operations, the release of private information and the incurrence of liabilities and costs; Technology Risk changes in technologies, possibly making some of the current technology we utilize obsolete or introducing new cybersecurity risks and other new risks inherent in the use, by either us or our counterparties, of new technologies in the developmental stage including, without limitation, generative artificial intelligence; changes in the use, perception, or regulation of generative artificial intelligence technologies, which could limit our ability to utilize such technology, create risk of enhanced regulatory scrutiny, generate uncertainty around intellectual property ownership, licensing or use, or which could otherwise result in risk of damage to our business, reputation or financial results; changes in costs that impede our ability to implement new information technology systems or to operate and maintain current production technology; insufficient technology skills, which could lead to the inability to develop, modify or maintain our information systems; Strategic Risk growth or decline of our customer base due to new uses for our services or decline in existing services, including, but not limited to, the effect of the trend toward distributed generation at customer sites; the potential effects of negative publicity regarding our business practices, whether true or not, which could hurt our reputation and result in litigation or a decline in our common stock price; changes in our strategic business plans, which could be affected by any or all of the foregoing, including the entry into new businesses and/or the exit from existing businesses and the extent of our business development efforts where potential future business is uncertain; wholesale and retail competition including alternative energy sources, growth in customer-owned power resource technologies that displace utility-supplied energy or may be sold back to the utility, and alternative energy suppliers and delivery arrangements; non-regulated activities may increase earnings volatility and result in investment losses; the risk of municipalization or other forms of service territory reduction; External Mandates Risk changes in environmental laws, regulations, decisions and policies, including, but not limited to, regulatory responses to concerns regarding climate change, efforts to restore anadromous fish in areas currently blocked by dams, more stringent requirements related to air quality, water quality and waste management, present and potential environmental remediation costs and our compliance with these matters; the potential effects of initiatives, legislation or administrative rulemaking at the federal, state or local levels, including possible effects on our generating resources, prohibitions or restrictions on new or existing services, or restrictions on greenhouse gas emissions to mitigate concerns over climate changes, including future limitations on the usage and distribution of natural gas; restrictions or changes in government grant programs and/or availability of other public funding used for capital projects; political pressures or regulatory practices that could constrain or place additional cost burdens on our distribution systems through accelerated adoption of distributed generation or electric-powered transportation or on our energy supply sources, such as campaigns to halt fossil fuel-fired power generation and opposition to other thermal generation, wind turbines or hydroelectric facilities; failure to identify changes in legislation, taxation and regulatory issues that could be detrimental or beneficial to our overall business; policy and/or legislative changes in various regulated areas, including, but not limited to, environmental regulation, healthcare regulations and import/export regulations; increasing costs due to potential tariffs applied to energy commodities and/or equipment and materials; Financial Risk our ability to obtain financing through the issuance of debt and/or equity securities and access to our funds held with financial institutions, which could be affected by various factors including our credit ratings, interest rates, other capital market conditions and global economic conditions; changes in interest rates that affect borrowing costs, variable interest rate borrowing and the extent to which we recover interest costs through retail rates collected from customers; volatility in energy commodity markets that affects our ability to effectively hedge energy commodity risks, including cash flow impacts and requirements for collateral; volatility in the carbon emissions allowances market that could result in increased compliance costs; changes in actuarial assumptions, interest rates and the actual return on plan assets for our pension and other postretirement benefit plans, which could affect future funding obligations, pension and other postretirement benefit expense and the related liabilities; the outcome of legal proceedings and other contingencies; economic conditions in our service areas, including the economy's effects on customer demand for utility services; economic conditions nationally may affect the valuation of our unregulated portfolio companies; declining electricity demand related to customer energy efficiency, conservation measures and/or increased distributed generation and declining natural gas demand related to customer energy efficiency, conservation measures and/or increased electrification; industry and geographic concentrations which could increase our exposure to credit risks due to counterparties, suppliers and customers being similarly affected by changing conditions; deterioration in the creditworthiness of our customers; activist shareholders may result in additional costs and resources required in response to activist actions; Energy Commodity Risk volatility and illiquidity in wholesale energy markets, including exchanges, the availability of willing buyers and sellers, changes in wholesale energy prices that could affect operating income, cash requirements to purchase electricity and natural gas, value received for wholesale sales, collateral required of us by individual counterparties and/or exchanges in wholesale energy transactions and credit risk from such transactions, and the market value of derivative assets and liabilities; default or nonperformance on the part of parties from whom we purchase and/or sell capacity or energy; potential environmental regulations or lawsuits affecting our ability to utilize or resulting in the obsolescence of our power supply resources; explosions, fires, accidents, pipeline ruptures or other incidents that could limit energy supply to our facilities or our surrounding territory, which could result in a shortage of commodities in the market that could increase the cost of replacement commodities from other sources; Compliance Risk changes in laws, regulations, decisions and policies at the federal, state or local levels, which could impact both our electric and gas operations and costs of operations; the ability to comply with the terms of the licenses and permits for our hydroelectric or thermal generating facilities at cost-effective levels; Resource Adequacy Risk the ability to source and deliver adequate energy to meet customer demand in periods of high demand or unplanned events; and the potential effects of regional wholesale market strains, including during extreme weather events. For a further discussion of these factors and other important factors, please refer to our Quarterly Report on Form 10-Q for the quarter ended June 30, 2026. The forward-looking statements contained in this news release speak only as of the date hereof. We undertake no obligation to update any forward-looking statement or statements to reflect events or circumstances that occur after the date on which such statement is made or to reflect the occurrence of unanticipated events. New risks, uncertainties and other factors emerge from time to time, and it is not possible for management to predict all of such factors, nor can it assess the impact of each such factor on our business or the extent to which any such factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statement. To unsubscribe from Avista’s news release distribution, send reply message to [email protected]. Issued by: Avista Corporation Contact:Investors: Stacey Walters (509) 495-2046 [email protected]: Lena Funston (509) 495-8090 [email protected] 24/7 Media Access (509) 495-4174

The market expects Pinnacle West (PNW) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on August 4. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This power company is expected to post quarterly earnings of $1.49 per share in its upcoming report, which represents a year-over-year change of -5.7%. Revenues are expected to be $1.4 billion, up 3.1% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.97% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Pinnacle West, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.95%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that Pinnacle West will most likely beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Pinnacle West would post a loss of$0.03 per share when it actually produced earnings of $0.27, delivering a surprise of +1,000.00%. Over the last four quarters, the company has beaten consensus EPS estimates three times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Pinnacle West appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Utility - Electric Power industry, Avista (AVA), is soon expected to post earnings of $0.14 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of -17.7%. This quarter's revenue is expected to be $419.2 million, up 2% from the year-ago quarter. The consensus EPS estimate for Avista has remained unchanged over the last 30 days. However, an equal Most Accurate Estimate has resulted in an Earnings ESP of 0.00%. This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that Avista will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Pinnacle West Capital Corporation (PNW) : Free Stock Analysis Report Avista Corporation (AVA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Wall Street expects a year-over-year decline in earnings on higher revenues when Avista (AVA) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on August 3, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This utility is expected to post quarterly earnings of $0.14 per share in its upcoming report, which represents a year-over-year change of -17.7%. Revenues are expected to be $419.2 million, up 2% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Avista, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that Avista will beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Avista would post earnings of $1.08 per share when it actually produced earnings of $1.10, delivering a surprise of +1.85%. Over the last four quarters, the company has beaten consensus EPS estimates two times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Avista doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Another stock from the Zacks Utility - Electric Power industry, American Electric Power (AEP), is soon expected to post earnings of $1.49 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +4.2%. Revenues for the quarter are expected to be $5.26 billion, up 3.4% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for AEP has been revised 2.4% up to the current level. Nevertheless, the company now has an Earnings ESP of -0.36%, reflecting a lower Most Accurate Estimate. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP makes it difficult to conclusively predict that AEP will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Avista Corporation (AVA) : Free Stock Analysis Report American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Avista reported higher Q1 results with consolidated EPS of $1.11 (vs. $0.98 a year earlier) and non‑GAAP utility EPS of $1.10 (vs. $1.01), and reaffirmed 2026 non‑GAAP utility guidance of $2.52–$2.72 per share (including an expected $0.10 ERM headwind). The company is negotiating with a prospective data‑center customer that could add up to 500 MW (targeting an MOU by May 31), while its vetted large‑load pipeline has narrowed to about 1.1 GW from 1.7 GW. Avista is prioritizing grid hardening and wildfire mitigation (citing faster storm restorations in March) and plans significant investment — $615M in 2026 and $3.4B from 2026–2030 — with financing plans including $230M of long‑term debt and up to $90M of equity in 2026 and regulatory outcomes (Washington rate‑case conference on the 22nd) key to cost recovery. Interested in Avista Corporation? Here are five stocks we like better. Avista (NYSE:AVA) reported higher first-quarter 2026 earnings and reiterated its full-year outlook as executives pointed to grid resilience work, ongoing regulatory proceedings, and continued discussions with prospective large-load customers as key themes shaping the year. Investor Relations Manager Stacey Walters said Avista’s consolidated first-quarter 2026 earnings were $1.11 per diluted share, up from $0.98 in the first quarter of 2025. On a non-GAAP utility basis—defined as results from the Avista Utilities and AEL&P segment—Walters said first-quarter 2026 earnings were $1.10 per diluted share, compared to $1.01 a year earlier. → 3 Emerging Markets ETFs to Maximize Exposure to High-Potential Countries Walters noted the company’s non-GAAP utility earnings presentation reflects management’s focus on its “core utility business,” and excludes certain unrealized gains and losses in non-regulated other businesses that can be “significant,” difficult to predict, and outside management’s control. President and CEO Heather Rosentrater said Avista entered 2026 with “real momentum,” highlighting ongoing investments to “strengthen reliability and resilience,” pursue growth opportunities, and support long-term resource adequacy. → The Real SpaceX Play: 5 Chip Stocks Powering the IPO Before It Launches Rosentrater emphasized that the company’s grid hardening and resilience efforts—particularly vegetation management tied to wildfire mitigation programs—have delivered broader benefits beyond wildfire season. She said predictive tools originally developed to monitor wildfire weather conditions have improved the company’s ability to anticipate other weather-related outage risks, enabling earlier staging of crews and materials and customer outreach when appropriate. Rosentrater pointed to a March wind event as an example of operational improvements. “In March, nearly 60,000 customers were impacted by outages from high winds,” she said, adding that preparation through predictive tools and material pre-staging helped support faster restoration. She commended employees and partners involved in restoration efforts, including replacing poles and rebuilding infrastructure. → Tyson Foods' Total Returns: Tasty Treats for Income Investors? Rosentrater said Avista remains optimistic about load growth opportunities and is planning for growth identified in its most recent Integrated Resource Plan, as well as potential new large-load customer demand, with an emphasis on affordability, reliability, and compliance with clean energy requirements. She said negotiations are ongoing with a prospective data center developer that could add “up to 500 MW” of incremental load. Rosentrater said customer protections are a key element of those talks, and the company expects a large-load customer to make “a significant contribution to support affordability for our existing customers.” Avista is targeting a signed memorandum of understanding with the customer by May 31, she said. In response to a Barclays question about timing beyond an MOU, Rosentrater said the next-step timeline would be identified through the agreement, adding, “I don't think we have a clear understanding of what that next step will be, but we're looking towards that May 31st date.” Rosentrater also provided an update on Avista’s broader large-load pipeline. While the company previously referenced 1.7 gigawatts in its queue, she said it is now “about 1.1 GW” as the company continues to vet opportunities and build confidence in what demand may ultimately materialize. She also said Avista is evaluating geographic locations with available capacity and working to be more proactive in identifying “curated opportunities for customers.” On the supply side, Rosentrater said Avista continues work toward final contracts for a project selected from a recent request for proposal process, including a build-transfer battery energy storage project in the base capital plan targeted to come online in 2028. She added that work has begun on the 2027 electric Integrated Resource Plan, and noted that the company’s Clean Energy Implementation Plan was recently updated and approved by the Washington Commission. Senior Vice President, CFO, Treasurer, and Regulatory Affairs Officer Kevin Christie said the company’s first-quarter performance reflected “discipline cost management,” and he framed regulatory outcomes as central to Avista’s progress. Christie said the first settlement conference for Avista’s Washington general rate case is scheduled for the 22nd of the month. Asked about the likelihood of settlement in Washington—where Avista has filed a four-year plan—Christie said the company is “deep in the discovery process” and preparing for settlement. “I'd like to think there's an opportunity for us to settle at least some, if not all, of the case,” he said, while adding that the four-year structure introduces issues that parties are still working through. “I can't give you a probability of settlement, but I think everybody's gonna give it a shot,” Christie said. Christie also addressed how Avista plans to manage risk in the four-year framework. He said the company can file a replacement for years three and four after the first year, given the 11-month process, if inflation or incremental investment levels warrant changes. Christie pointed to deferral mechanisms established in Washington in recent years and said Avista is requesting a new mechanism related to employee benefits, which he described as “one of the remaining more volatile, harder to control items.” On Oregon, Christie said it was difficult to prioritize among issues surrounding the FAIR Act transition and the shift toward a multi-year rate plan, calling interim rate relief, a strong first-year starting point, and the ability to earn a fair shareholder return all important considerations. For capital spending, Christie said Avista now expects $615 million of capital expenditures at Avista Utilities in 2026, based on updated project costs. He said the company expects $3.4 billion of capital expenditures from 2026 through 2030. Christie added that Avista continues to estimate potential incremental capital investment of up to $350 million associated with integrating a new large-load customer, separate from the $3.4 billion five-year plan, and said incorporating that investment would result in “rate-based growth of 8%.” Regarding financing, Christie said Avista expects to issue $230 million of long-term debt and up to $90 million of common stock in 2026, including $14 million issued in the first quarter. Christie said Avista is affirming its 2026 non-GAAP utility earnings guidance of $2.52 to $2.72 per diluted share. He said guidance assumes a negative $0.10 impact from the energy recovery mechanism (ERM) under a “90% customer, 10% company sharing band.” With current hydro forecasts showing above-normal generation, Christie said the company does not expect a material change to its ERM position. He said the ERM resulted in $0.01 expense in the first quarter, and the remaining $0.09 is expected to be recognized evenly over the second and third quarters. Christie said expected long-term return on equity at Avista Utilities is approximately 9%, excluding ERM impacts, and said this reflects expected structural lag of 0.6%. Over the long term, he reiterated expectations that earnings will grow 4% to 6% from the midpoint of 2025 earnings guidance. In the Q&A, Christie also addressed “other business” results, saying it was “nice to see that things have leveled off” compared to roughly a year ago and that he would expect relatively minor adjustments overall with calmer market conditions. He also said the company would consider exiting a “non-core investment” in a bioscience company when it makes sense, and that any value created could help with equity needs and potentially reduce equity issuance for a period of time. Separately, Rosentrater said the company continues to look for future regional transmission investment opportunities, noting broader recognition of increased transmission needs and Avista’s geographic position between load growth and new resources. She added that the North Plains Connector opportunity discussed previously is likely beyond the five-year capital budget. Avista Corporation operates as an integrated energy company providing electric and natural gas delivery services to residential, commercial and industrial customers in the Pacific Northwest. Through its regulated utility operations, the company maintains and upgrades an extensive transmission and distribution network, delivering reliable energy to approximately 400,000 electric customers and 324,000 natural gas customers across Washington, Oregon and Idaho. In addition to its core utility business, Avista invests in owned generation assets, including hydroelectric, natural gas–fired, coal and wind facilities, to support system reliability and long-term supply planning. Founded in 1889 as the Spokane and Inland Empire Water Power Company, the business adopted the Avista name in 1999 to reflect its growing energy portfolio and strategic focus on innovation. The article "Avista Q1 Earnings Call Highlights" was originally published by MarketBeat.