Constellation Energy Q2 Results
The power producer reported second-quarter revenue of $7.5 billion, missing the analyst consensus estimate of $7.83 billion.
Adjusted earnings rose to $2.55 per share from $1.91 a year earlier, beating analysts’ expectations of $2.28 per share.
CEO Joe Dominguez said the company made progress on restarting the Crane Clean Energy Center, securing new long-term customer agreements and extending the operating lives of nuclear assets to support growing demand for reliable power.
Contracts And Strategic Developments
Constellation signed an additional 920 megawatts of long-term power purchase agreements with investment-grade customers for nuclear generation. The contracts have terms of 15 to 20 years and are scheduled to begin between 2029 and 2032.
The company also received approval from the Federal Energy Regulatory Commission to transfer existing Capacity Interconnection Rights to the Crane Clean Energy Center and approval from the Nuclear Regulatory Commission for its fuel license.
Separately, Constellation agreed to sell the 606-megawatt Brazos Valley Energy Center in ERCOT to LS Power for $860 million, before closing adjustments.
The transaction is the final required asset sale tied to regulatory commitments related to the Calpine acquisition and is expected to close by year-end, subject to customary approvals.
Fleet Performance
Constellation’s nuclear fleet generated 44,160 gigawatt-hours during the quarter, down from 45,170 gigawatt-hours a year earlier.
Excluding the Salem and STP plants, the company’s owned nuclear fleet posted a 93.0% capacity factor. It recorded 86 planned refueling outage days and 20 non-refueling outage days during the quarter.
Following the Calpine acquisition, Constellation began reporting the Equivalent Forced Outage Factor for its expanded natural gas, oil and pumped-storage fleet, which was 6.2% during the quarter. Renewable energy capture was 96.0%, compared with 96.1% a year earlier.
Constellation Energy Outlook Raised
Constellation raised its full-year 2026 adjusted earnings guidance to a range of $11.50 to $12.50 per share from its prior forecast of $11.00 to $12.00. The midpoint of the new range is above the analyst consensus estimate of $11.63.
Chief Financial Officer Shane Smith said the stronger guidance reflects the benefits of the expanded platform, operational execution and disciplined capital allocation.
The company expects base earnings per share to grow more than 20% between 2026 and 2029, supported by its nuclear, natural gas and geothermal generation portfolio.
The outlook excludes potential upside from monetizing available nuclear generation, securing additional natural gas contracts and capital allocation opportunities.
Constellation also reaffirmed its long-term target of more than 10% rolling three-year base EPS growth.
CEG Price Action: Constellation Energy shares were up 6.56% at $282.50 during premarket trading on Thursday, according to Benzinga Pro data.
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