Latest quarter
Evergy reported third-quarter revenue of $2.1 billion, up from $1.8 billion a year earlier, and diluted earnings per share of $2.59, compared with $2.03. Its operating margin rose to 38.6% from 36.4%, while quarterly free cash flow fell to $85.3 million from $225.4 million.
The filing attributed higher net income primarily to weather-driven retail sales, higher demand after adjusting for weather, new Kansas Central retail rates and higher corporate-owned life insurance proceeds. Higher operating and maintenance, interest and income tax expenses partially offset those gains.
Evergy said demand included a data center customer that began taking service during the year and higher demand from a large industrial customer. The filing also said higher vegetation management and contractor costs contributed to increased operating and maintenance expenses. For the year to date, Evergy reported higher cash used in investing activities, driven primarily by spending on capital projects, including new generating facilities.
| Q3 FY2026 | Q3 FY2025 | Change | |
|---|---|---|---|
| Revenue | $2.1 billion | $1.8 billion | 15.8% |
| Diluted EPS | $2.59 | $2.03 | 27.6% |
| Gross margin | 50.2% | 54.8% | −4.6 percentage points |
| Operating margin | 38.6% | 36.4% | 2.2 percentage points |
| Free cash flow | $85.3 million | $225.4 million | −62.2% |
| Against the consensus | Reported | Consensus | Result |
|---|---|---|---|
| Adjusted EPS | $0.88 | $0.82 | Beat by 7.32% |
| Revenue | $1.5 billion | $1.5 billion | Beat by 1.71% |
Adjusted EPS is the figure the consensus estimates, not the GAAP EPS above.
What management said on the call
In its filing, Evergy attributed part of its quarterly margin increase to higher demand from commercial and residential customers, including a data center customer, as well as higher demand from a large industrial customer. The company also cited new Kansas Central retail rates and higher transmission revenue.
Guidance
Evergy’s filing said Evergy Metro expects a Missouri regulatory order before year-end, with new rates expected to take effect in January. Evergy Missouri West has requested higher retail revenue to recover investment and financing costs, and expects new rates to take effect in October of the following year.
| Metric | For | Guide | Previous guide | Change |
|---|---|---|---|---|
| EPS, non-GAAP | FY2026 | $4.14–$4.34 | — | New |