8-K
IDACORP INC (IDA)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_______________________
FORM 8-K
_______________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 20, 2025
_______________________
| Exact name of registrants as specified in | |||||||
|---|---|---|---|---|---|---|---|
| Commission | their charters, address of principal executive | IRS Employer | |||||
| File Number | offices and registrants' telephone number | Identification Number | |||||
| 1-14465 | IDACORP, Inc. | 82-0505802 | |||||
| 1-3198 | Idaho Power Company | 82-0130980 | |||||
| 1221 W. Idaho Street | |||||||
| Boise, | Idaho | 83702-5627 | |||||
| (208) | 388-2200 | ||||||
| State or Other Jurisdiction of Incorporation: | Idaho | ||||||
| Former name or former address, if changed since last report: | None |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
|---|---|---|
| Common Stock | IDA | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
□
Item 2.02 Results of Operations and Financial Condition.
On February 20, 2025, IDACORP, Inc. ("IDACORP”) issued a press release reporting its financial results for the quarter and year ended December 31, 2024. A copy of the press release is furnished herewith as Exhibit 99.1. As previously announced, on the same day, members of IDACORP’s management will hold a teleconference to discuss the financial results, and the presentation slides furnished herewith as Exhibit 99.2 will accompany management’s comments.
Item 7.01 Regulation FD Disclosure.
The information set forth in Item 2.02 above is hereby incorporated herein by reference.
______________
The information in Items 2.02 and 7.01 of this report, including the press release and presentation furnished as Exhibits 99.1 and 99.2 hereto, respectively, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing. In addition, the exhibits furnished herewith contain statements intended as “forward-looking statements” that are subject to the cautionary statements about forward-looking statements set forth in such exhibits.
The exhibits furnished with this report contain business segment information for Idaho Power Company. Accordingly, this report is also being furnished on behalf of such registrant.
______________
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits. The following exhibits are being furnished as part of this report.
| Exhibit<br>Number | Description |
|---|---|
| 99.1 | IDACORP, Inc. press release, datedFebruary 20, 2025 |
| 99.2 | IDACORP, Inc. year end 2024 financial teleconference presentation, dated February 20, 2025 |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized.
Dated: February 20, 2025
IDACORP, INC.
By: /s/ Lisa A. Grow
Lisa A. Grow
President and Chief Executive Officer
IDAHO POWER COMPANY
By: /s/ Lisa A. Grow
Lisa A. Grow
President and Chief Executive Officer
Document
Exhibit 99.1
February 20, 2025
IDACORP, Inc. Announces Fourth Quarter and Year-End 2024 Results, Initiates 2025 Earnings Guidance
BOISE, Idaho--IDACORP, Inc. (NYSE: IDA) reported fourth quarter 2024 net income attributable to IDACORP of $37.9 million, or $0.70 per diluted share, compared with $31.3 million, or $0.61 per diluted share, in the fourth quarter of 2023. For the full year ended December 31, 2024, IDACORP reported net income attributable to IDACORP of $289.2 million, or $5.50 per diluted share, compared with $261.2 million, or $5.14 per diluted share, in 2023.
“IDACORP's earnings in 2024 benefited from continued strong customer growth, rate changes, spring and summer weather conditions that contributed to higher customer usage, and the use of tax credits under the company’s Idaho regulatory mechanism,” said IDACORP President and Chief Executive Officer Lisa Grow. "Higher depreciation and financing costs partially offset those benefits during the year, as we continued to acquire resources and build infrastructure to respond to rapidly growing customer needs."
“To support ongoing growth and energy reliability and resiliency for all of our customers, we anticipate another year of substantial capital investment,” Grow added.
IDACORP is initiating its full-year 2025 earnings guidance in the range of $5.65 to $5.85 per diluted share with the expectation that Idaho Power will use between $60 and $77 million of additional tax credits available under the Idaho regulatory mechanism in 2025. The earnings guidance also assumes normal weather conditions and power supply expenses throughout the year.
Summary of Financial Results
The following is a summary of net income attributable to IDACORP and IDACORP's earnings per diluted share for the three months and year ended December 31, 2024 and 2023 (in thousands, except earnings per share amounts):
| Three months ended <br>December 31, | Year ended <br>December 31, | |||||||
|---|---|---|---|---|---|---|---|---|
| 2024 | 2023 | 2024 | 2023 | |||||
| Net income attributable to IDACORP, Inc. | $ | 37,876 | $ | 31,259 | $ | 289,174 | $ | 261,195 |
| Weighted average outstanding shares – diluted | 53,919 | 50,934 | 52,615 | 50,806 | ||||
| IDACORP, Inc. earnings per diluted share | $ | 0.70 | $ | 0.61 | $ | 5.50 | $ | 5.14 |
The table below provides a reconciliation of net income attributable to IDACORP for the three months and year ended December 31, 2024, from the same periods in 2023 (items are in millions and are before related income tax impact unless otherwise noted):
| Three months ended | Year ended | |||||
|---|---|---|---|---|---|---|
| Net income attributable to IDACORP, Inc. - December 31, 2023 | $ | 31.3 | $ | 261.2 | ||
| Increase (decrease) in Idaho Power net income: | ||||||
| Retail revenues per megawatt-hour (MWh), net of power cost adjustment and Idaho Fixed Cost Adjustment (FCA) mechanisms | 8.7 | 52.7 | ||||
| Customer growth, net of associated power supply costs and power cost adjustment mechanisms | 1.9 | 19.0 | ||||
| Usage per retail customer, net of associated power supply costs and power cost adjustment mechanisms | 2.5 | 4.5 | ||||
| Transmission wheeling-related revenues, net of Idaho jurisdiction power cost adjustment (PCA) mechanism impacts | — | (3.0) | ||||
| Other operations and maintenance (O&M) expenses | (13.2) | (61.1) | ||||
| Depreciation expense | (6.3) | (28.1) | ||||
| Other changes in operating revenues and expenses, net | 11.8 | 30.8 | ||||
| Increase in Idaho Power operating income | 5.4 | 14.8 | ||||
| Non-operating expense, net | (2.5) | (2.2) | ||||
| Additional accumulated deferred investment tax credits (ADITC) amortization | 14.8 | 29.8 | ||||
| Income tax expense, excluding additional ADITC amortization | (13.9) | (18.6) | ||||
| Total increase in Idaho Power net income | 3.8 | 23.8 | ||||
| Other IDACORP changes (net of tax) | 2.8 | 4.2 | ||||
| Net income attributable to IDACORP, Inc. - December 31, 2024 | $ | 37.9 | $ | 289.2 |
Net Income - Fourth Quarter 2024
IDACORP's net income increased $6.6 million for the fourth quarter of 2024 compared with the fourth quarter of 2023, due primarily to higher net income at Idaho Power.
The net increase in retail revenues per MWh, net of power cost adjustment and FCA mechanisms, increased operating income by $8.7 million in the fourth quarter of 2024 compared with the fourth quarter of 2023. The increase is due primarily to higher Idaho base rates, effective January 1, 2024, per the terms of the settlement stipulation for Idaho Power's 2023 Idaho general rate case (2023 Settlement Stipulation).
Idaho Power's customer growth of 2.6% added $1.9 million to Idaho Power's operating income in the fourth quarter of 2024 compared with the fourth quarter of 2023. Usage per retail customer increased operating income by $2.5 million in the fourth quarter of 2024 compared with the fourth quarter of 2023.
Total other O&M expenses in the fourth quarter of 2024 were $13.2 million higher than the fourth quarter of 2023, mainly driven by approximately $4.7 million of increased pension-related expenses and an approximate $7.5 million increase in wildfire mitigation program and related insurance expenses. Both of these increases in expenses were partially offset by increases in retail revenues, as more costs are now recovered in base rates pursuant to the 2023 Settlement Stipulation.
Depreciation expense increased $6.3 million in the fourth quarter of 2024 compared with the fourth quarter of 2023 due primarily to an increase in plant-in-service.
Other changes in operating revenues and expenses, net, increased operating income by $11.8 million in the fourth quarter of 2024 compared with the fourth quarter of 2023, due primarily from the successful conclusion to multi-year litigation efforts challenging Idaho and Oregon property tax valuations which resulted in refunds of prior year taxes being finalized in the fourth quarter of 2024. The change was also partially due to the timing of recording and adjusting regulatory accruals and deferrals.
Non-operating expense, net, increased $2.5 million in the fourth quarter of 2024 compared with the fourth quarter of 2023. Interest expense on long-term debt increased in the fourth quarter of 2024 compared with the fourth quarter of 2023, due primarily to an increase in long-term debt balances. In addition, Idaho Power's earnings from its investment in Bridger Coal Company (BCC) decreased $2.4 million in the fourth quarter of 2024 compared with the fourth quarter of 2023, due to a decrease in the amount included and recovered in base rates pursuant to the 2023 Settlement Stipulation. These increases were partially offset by an increase in AFUDC income in the fourth quarter of 2024 compared to fourth quarter of 2023, as the average construction work in progress balance was higher. Additionally, interest income increased due to higher average cash balances and interest rates compared with 2023.
The increase in income tax expense was primarily due to fourth quarter 2023 plant-related tax adjustments that resulted in a benefit at Idaho Power. Idaho Power recorded $7.3 million of additional ADITC amortization under its Idaho regulatory settlement stipulation in the fourth quarter of 2024, but reversed $7.5 million of additional ADITC amortization during the fourth quarter of 2023.
Net Income - Full-Year 2024
IDACORP's net income increased $28 million for 2024 compared with 2023, due primarily to higher net income at Idaho Power.
The net increase in retail revenues per MWh, net of power cost adjustment and FCA mechanisms, increased operating income by $52.7 million in 2024 compared with 2023. This benefit was primarily due to an overall increase in Idaho base rates, effective January 1, 2024, per the terms of the 2023 Settlement Stipulation.
Idaho Power's customer growth of 2.6 percent added $19.0 million to Idaho Power's operating income in 2024 compared with 2023. Usage per retail customer increased operating income by $4.5 million in 2024 compared with 2023. Overall, usage per customer was relatively flat for most customer classes, with irrigation customers representing an increase, as higher temperatures during the summer led irrigation customers to run irrigation pumps more frequently.
Transmission wheeling-related revenues, net of PCA impacts, decreased $3.0 million during 2024 compared with 2023. Effective January 1, 2024, financial settlement of transmission line losses were subject to the PCA mechanism, as approved in the 2023 Settlement Stipulation, resulting in a smaller contribution of those revenues to net income compared with 2023 when the financial settlement of transmission losses was not subject to the PCA mechanism.
Other O&M expenses in 2024 were $61.1 million higher than in 2023, primarily related to approximately $17.7 million of increased pension-related expenses and an approximate $29.5 million increase in wildfire mitigation program and related insurance expenses. Both of these increases were partially offset by increases in retail revenues, as more of those costs are now recovered in base rates pursuant to the 2023 Settlement Stipulation. Inflationary pressures on labor-related costs also contributed to the increase in other O&M expenses. These increases were partially offset by an $8.5 million increase in deferral of other O&M expenses related to the conversion from coal to natural gas for two units at the Jim Bridger plant.
Depreciation expense increased $28.1 million in 2024 compared to 2023, due primarily to an increase in plant-in-service.
Other changes in operating revenues and expenses, net, increased operating income by $30.8 million in 2024 compared to 2023, due partially to a decrease in net power supply expenses that were not deferred for future recovery in rates through Idaho Power's power cost adjustment mechanisms. More moderate wholesale natural gas and power market prices in the western United States and increased wholesale energy sales decreased Idaho Power's net power supply expenses in 2024 compared with 2023. In addition, property taxes contributed to the increase from 2023 to 2024, due primarily to the successful conclusion of multi-year litigation efforts challenging Idaho and Oregon property tax valuations, which resulted in refunds of prior year taxes being finalized in 2024. The change was also partially due to the timing of recording and adjusting regulatory accruals and deferrals.
Non-operating expense, net, increased $2.2 million in 2024 compared with 2023. Interest expense on long-term debt increased in 2024 compared with 2023, due primarily to an increase in long-term debt balances. In
addition, Idaho Power's earnings from its investment in BCC decreased due to a decrease in the amount included and recovered in base rates pursuant to the 2023 Settlement Stipulation. These increases were partially offset by an increase in AFUDC income in 2024 compared with 2023, as the average construction work in progress balance was higher. Additionally, interest income increased due to higher average cash balances and interest rates compared with 2023.
Idaho Power recorded $29.8 million of additional ADITC amortization under its Idaho regulatory settlement stipulation during 2024, but recorded no additional ADITC amortization during 2023. The $18.6 million increase in income tax expense, excluding additional ADITC amortization, in 2024 compared with 2023 was primarily due to higher income before income taxes and variances in flow-through tax adjustments.
Annual Earnings Guidance and Key Operating and Financial Metrics
IDACORP is initiating its earnings guidance estimate for 2025. The 2025 guidance incorporates all of the key operating and financial assumptions listed in the table that follows (in millions, except per share amounts):
| 2025 Estimate(1) | 2024 Actual(2) | |
|---|---|---|
| IDACORP Earnings Guidance (per diluted share) | $ 5.65 – $ 5.85 | $ 5.50 |
| Idaho Power Additional ADITCs | $ 60 – $ 77 | $ 29.8 |
| Idaho Power O&M Expense | $ 465 – $ 475 | $ 461 |
| Idaho Power Capital Expenditures, Excluding AFUDC | $ 1,000 – $ 1,100 | $ 943 |
| Idaho Power Hydropower Generation (MWh) | 6.5 – 8.5 | 7.2 |
(1) As of February 20, 2025. Assumes normal weather conditions and power supply expenses through the end of 2025.
(2) On an accrual basis.
More detailed financial and operational information is provided in IDACORP’s Annual Report on Form 10-K filed today with the U.S. Securities and Exchange Commission, which is also available for review on IDACORP’s website at www.idacorpinc.com.
Web Cast / Conference Call
IDACORP will hold an analyst conference call today at 2:30 p.m. Mountain Time (4:30 p.m. Eastern Time). All parties interested in listening may do so through a live webcast on IDACORP's website (www.idacorpinc.com), or by calling (855) 761-5600 for listen-only mode. The passcode for the call is 9290150. The conference call logistics are also posted on IDACORP's website. Slides will be included during the conference call. To access the slide deck, please visit www.idacorpinc.com/investor-relations. A replay of the conference call will be available on the company's website for 12 months and will be available shortly after the call.
Background Information
IDACORP, Inc. (NYSE: IDA), Boise, Idaho-based and formed in 1998, is a holding company comprised of Idaho Power, a regulated electric utility; IDACORP Financial, an investor in affordable housing and other real estate tax credit investments; and Ida-West Energy, an operator of small hydroelectric generation projects that satisfy the requirements of the Public Utility Regulatory Policies Act of 1978. Idaho Power, headquartered in vibrant and fast-growing Boise, Idaho, has been a locally operated energy company since 1916. Today, it serves a 24,000-square-mile service area in Idaho and Oregon. Idaho Power’s goal to provide 100% clean energy by 2045 builds on its long history as a clean-energy leader that provides reliable service at affordable prices. With 17 low-cost hydropower projects at the core of its diverse energy mix, Idaho Power’s residential, business, and agricultural customers pay among the nation's lowest prices for electricity. Its 2,100 employees proudly serve more than 650,000 customers with a culture of safety first, integrity always, and respect for all. To learn more about IDACORP or Idaho Power, visit www.idacorpinc.com or www.idahopower.com.
Forward-Looking Statements
In addition to the historical information contained in this press release, this press release contains (and oral communications made by IDACORP, Inc. (IDACORP) and Idaho Power Company (Idaho Power) may contain) statements that relate to future events and expectations, such as statements regarding projected or future financial performance, power generation, cash flows, capital expenditures, regulatory filings, dividends, capital structure or ratios, load forecasts, strategic goals, challenges, objectives, and plans for future operations. Such statements constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions, or future events or performance, often, but not always, through the use of words or phrases such as "anticipates," "believes," "could," "estimates," "expects," "intends," "potential," "plans," "predicts," "preliminary," "projects," "targets," "may," "may result," or similar expressions, are not statements of historical facts and may be forward-looking. Forward-looking statements are not guarantees of future performance, involve estimates, assumptions, risks, and uncertainties, and may differ materially from actual results, performance, or outcomes. In addition to any assumptions and other factors and matters referred to specifically in connection with such forward-looking statements, factors that could cause actual results or outcomes to differ materially from those contained in forward-looking statements include those factors set forth in this press release, IDACORP's and Idaho Power's most recent Annual Report on Form 10-K, particularly Part I, Item 1A - "Risk Factors" and Part II, Item 7 - "Management’s Discussion and Analysis of Financial Condition and Results of Operations" of that report, subsequent reports filed by IDACORP and Idaho Power with the U.S. Securities and Exchange Commission (SEC), and the following important factors: (a) decisions or actions by the Idaho and Oregon public utilities commissions and the Federal Energy Regulatory Commission that impact Idaho Power's ability to recover costs and earn a return on investment; (b) changes to or the elimination of Idaho Power's regulatory cost recovery mechanisms; (c) expenses and risks associated with capital expenditures and contractual obligations for, and the permitting and construction of, utility infrastructure projects that Idaho Power may be unable to complete, are delayed, or that may not be deemed prudent by regulators for cost recovery or return on investment; (d) expenses and risks associated with supplier and contractor delays and failure to satisfy project quality and performance standards on utility infrastructure projects, and the potential impacts of those delays and failures on Idaho Power's ability to serve customers and generate revenues; (e) the rapid addition of new industrial and commercial customer load and the volatility of such new load demand, resulting in increased risks and costs of power demand potentially exceeding available supply; (f) the potential financial impacts of industrial customers not meeting forecasted power usage ramp rates or amounts; (g) impacts of economic conditions, including an inflationary or recessionary environment and interest rates, on items such as operations and capital investments, supply costs and delivery delays, supply scarcity and shortages, population growth or decline in Idaho Power's service area, changes in customer demand for electricity, revenue from sales of excess power, credit quality of counterparties and suppliers and their ability to meet financial and operational commitments and on the timing and extent of counterparties’ power usage, and collection of receivables; (h) changes in residential, commercial, and industrial growth and demographic patterns within Idaho Power's service area, and the associated impacts on loads and load growth; (i) employee workforce factors, including the operational and financial costs of unionization or the attempt to unionize all or part of the companies' workforce, the cost and ability to attract and retain skilled workers and third-party contractors and suppliers, the cost of living and the related impact on recruiting employees, and the ability to adjust to fluctuations in labor costs; (j) changes in, failure to comply with, and costs of compliance with laws, regulations, policies, orders, and licenses, which may result in penalties and fines, increase compliance and operational costs, and impact recovery associated with increased costs through rates; (k) abnormal or severe weather conditions, wildfires, droughts, earthquakes, and other natural phenomena and natural disasters, which affect customer sales, hydropower generation, repair costs, service interruptions, public safety power shutoffs and de-energization, liability for damage caused by utility property, and the availability and cost of fuel for generation plants or purchased power to serve customers; (l) advancement and adoption of self-generation, energy storage, energy efficiency, alternative energy sources, and other technologies that may reduce Idaho Power's sale or delivery of electric power or introduce operational vulnerabilities to the power grid; (m) variable hydrological conditions and over-appropriation of surface and groundwater in the Snake River Basin, which may impact the amount of power generated by Idaho Power's hydropower facilities and power supply costs; (n) ability to acquire equipment, materials, fuel, power, and transmission capacity on reasonable terms and prices, particularly in the event of unanticipated or abnormally high resource demands, price volatility (including as a result of new or increased tariffs), lack of physical availability, transportation constraints, outages due to maintenance or repairs to generation or transmission facilities, disruptions in the supply chain, or reduced credit quality or lack of counterparty and supplier credit; (o) inability to timely obtain and the cost of obtaining and complying with required governmental permits and approvals, licenses, rights-of-way, and siting for transmission and generation projects and hydropower facilities; (p) disruptions or outages of Idaho Power's generation or transmission systems or of any interconnected transmission systems, which can result in liability for Idaho Power, increased power supply costs and repair expenses, and reduced revenues; (q) accidents, electrical contacts, fires (either affecting or caused by Idaho Power facilities or infrastructure), explosions, infrastructure failures, general system damage or dysfunction, and other unplanned events that may occur while operating and maintaining assets, which can cause unplanned outages; reduce generating output; damage company assets, operations, or reputation; subject Idaho Power to third-party claims for property damage, personal injury, or loss of life; or result in the imposition of fines and penalties; (r) acts or threats of terrorism, acts of war, social unrest, cyber or physical security attacks, and other malicious acts of individuals or groups seeking to disrupt Idaho Power's operations or the electric power grid or compromise data, or the disruption or damage to the companies’ business, operations, or reputation resulting from such events; (s) Idaho Power's concentration in one industry and one region, and the resulting exposure to regional economic conditions and regional legislation and regulation; (t) unaligned goals and positions with co-owners of Idaho Power’s existing and planned generation and transmission assets; (u) changes in tax laws or related regulations or interpretations of applicable laws or regulations by federal, state, or local taxing jurisdictions, and the availability of expected tax credits or other tax benefits; (v) ability to obtain debt and equity financing or refinance existing debt when necessary and on satisfactory terms, which can be affected by factors such as credit ratings, reputational harm, volatility or disruptions in the financial markets, interest rates, decisions by the Idaho, Oregon, or Wyoming public utility commissions, and the companies' past or projected financial performance; (w) ability to enter into financial and physical commodity hedges with creditworthy counterparties to manage price and commodity risk for fuel, power, and transmission, and the failure of any such risk management and hedging strategies to work as intended, and the potential losses the companies may incur on those hedges, which can be affected by factors such as the volume of hedging transactions and degree of price volatility; (x) changes in actuarial assumptions, changes in interest rates, increasing health care costs, and the actual and projected return on plan assets for pension and other postretirement plans, which can affect future pension and other postretirement plan funding obligations, costs, and liabilities and the companies' cash flows; (y) remediation costs associated with planned cessation of coal-fired operations at Idaho Power's co-owned coal plants and conversion of the plants to natural gas; (z) ability to continue to pay
dividends and achieve target dividend payout ratios based on financial performance and capital requirements, and in light of credit rating considerations, contractual covenants and restrictions, cash flows, and regulatory limitations; (aa) adoption of or changes in accounting policies and principles, changes in accounting estimates, and new SEC or New York Stock Exchange requirements or new interpretations of existing requirements; and (bb) changing market dynamics due to the emergence of day ahead or other energy and transmission markets in the western United States and surrounding regions. Any forward-looking statement speaks only as of the date on which such statement is made. New factors emerge from time to time and it is not possible for the companies to predict all such factors, nor can they assess the impact of any such factor on the business or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement. IDACORP and Idaho Power disclaim any obligation to update publicly any forward-looking information, whether in response to new information, future events, or otherwise, except as required by applicable law.
| Investor and Analyst Contact | Media Contact |
|---|---|
| John R. Wonderlich | Jordan Rodriguez |
| Investor Relations Manager | Corporate Communications |
| Phone: (208) 388-5413 | Phone: (208) 388-2460 |
| JWonderlich@idahopower.com | JRodriguez@idahopower.com |
a2024-q4idacorpconferenc
Earnings Conference Call 4th Quarter & Year-End 2024 February 20, 2025 Exhibit 99.2
Forward-Looking Statements This presentation (and oral statements relating to this presentation) contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements, other than statements of historical facts, that express or involve discussions of expectations, beliefs, plans, objectives, outlooks, assumptions, or future events or performance are forward-looking. Forward-looking statements are not guarantees of future performance, involve estimates, assumptions, risks, and uncertainties, and may differ materially from actual results, performance, or outcomes. Factors that may cause actual results or outcomes to differ materially from those contained in forward-looking statements include those listed in IDACORP, Inc.'s and Idaho Power Company's most recently filed periodic reports on Form 10-K and Form 10-Q, including (but not limited to) the “Risk Factors” and “Management's Discussion and Analysis of Financial Condition and Results of Operations” sections, and in other reports the companies file with the U.S. Securities and Exchange Commission. Those factors also include the following, among others: • Decisions or actions by state and federal regulators affecting Idaho Power's ability to recover costs and earn a return on investment; • Changes to or elimination of Idaho Power’s regulatory cost recovery mechanisms; • Ability to timely obtain permits and construct, and expenses and risks of capital expenditures and contractual obligations for, utility infrastructure, including the impacts of inflation, price volatility (including due to tariffs), supply chain constraints, and supplier and contractor delays and failure to satisfy project quality and performance standards; • Impacts of economic conditions, including an inflationary or recessionary environment and interest rates, on items such as operations and capital investments and changes in customer demand; • The rapid addition of new industrial and commercial customer load and the volatility of such new load demand, resulting in increased risks and costs of power demand potentially exceeding available supply; • The potential financial impacts of industrial customers not meeting forecasted power usage ramp rates or amounts; • Risks of operating an electric utility system, including compliance with regulatory obligations and potential liability for fires, outages, and personal injury or property damage; • Acts or threats of terrorism, cyber or physical security attacks, and other acts seeking to disrupt Idaho Power's operations or the electric power grid or compromise data; • Abnormal or severe weather conditions, wildfires, droughts, earthquakes, and other natural phenomena and natural disasters; • Ability to acquire equipment, materials, fuel, power, and transmission capacity on reasonable terms and prices; • Impacts of current and future governmental regulation and ability to timely obtain, and the cost of obtaining and complying with, government permits and approvals, licenses, and rights-of-way and siting for transmission and generation projects; • Ability to obtain debt and equity financing when necessary and on satisfactory terms; • Ability to continue to pay dividends and achieve target dividend-payout ratios, and contractual and regulatory restrictions on those dividends; and • Changing market dynamics due to the emergence of day ahead or other energy and transmission markets in the western United States and surrounding regions. New factors emerge from time to time, and it is not possible for the companies to predict all such factors, nor can they assess the impact of any such factor on the business or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement. IDACORP and Idaho Power disclaim any obligation to update publicly any forward-looking information, whether in response to new information, future events, or otherwise, except as required by applicable law. 2
Presenting Today Amy Shaw IDACORP Vice President of Finance, Compliance & Risk Brian Buckham IDACORP Senior Vice President, Chief Financial Officer & Treasurer Lisa Grow IDACORP President & Chief Executive Officer John Wonderlich IDACORP Investor Relations Manager 3
IDACORP Earnings Performance Three months ended December 31 Year ended December 31 2024 2023 2024 2023 Net income (thousands) $ 37,876 $ 31,259 $ 289,174 $ 261,195 Weighted average common shares outstanding – diluted (thousands) 53,919 50,934 52,615 50,806 Diluted earnings per share $ 0.70 $ 0.61 $ 5.50 $ 5.14 4
17 Consecutive Years of EPS Growth(1) (1)Earnings per diluted share. 2008-2012 data adjusted for effect of a change in accounting method for IDACORP Financial Services affordable housing investment amortization. Earnings grew each of these years, even prior to the accounting method change. $1.86 $2.17 $2.68 $3.00 $3.43 $3.46 $3.64 $3.85 $3.87 $3.94 $4.21 $4.49 $4.61 $4.69 $4.85 $5.11 $5.14 $5.50 $1.80 $2.20 $2.60 $3.00 $3.40 $3.80 $4.20 $4.60 $5.00 $5.40 $5.80 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 ~7% CAGR since 2007 5
Growth and Economic Expansion Moody’s GDP Growth Projections for Idaho Power’s Service Area: • 2025: 4.5% • 2026: 3.7% 2.6% (Year-over- year) Idaho Power Customer Growth 580,000 590,000 600,000 610,000 620,000 630,000 640,000 650,000 2020 2021 2022 2023 2024 6
Oregon General Rate Case • Filed with the OPUC in December 2023 • In September 2024, the OPUC issued an order approving settlement stipulations • Rates became effective October 15, 2024 – Increase of $6.7 million, or 12.14%, in total Oregon jurisdictional revenue – 9.5% Oregon-jurisdiction ROE – 7.302% Oregon-jurisdiction overall rate of return • Settlement stipulations do not preclude Idaho Power from filing another general rate case or other limited issue proceeding in Oregon at any time in the future Idaho and Oregon Rate Case Activity Idaho Limited-Issue Rate Case • Filed with the IPUC in May 2024 • In December 2024, the IPUC issued an order approving a rate increase • Rates became effective January 1, 2025 – Increase of $50.1 million, or 3.7%, in total Idaho jurisdictional revenue – No change to Idaho-jurisdiction ROE (9.6% from 2023 general rate case) • The limited-issue request focused on revenue requirements for 2024 incremental plant additions and incremental ongoing labor costs 7
2025 IRP Load Growth Projections 5-Year Forecasted Annual Growth Rate 20-Year Forecasted Annual Growth Rate Retail Sales (Billed MWh) Annual Peak (Peak Demand) Retail Sales (Billed MWh) Annual Peak (Peak Demand) 2025 IRP 8.3% 5.1% 2.7% 1.9% 2023 IRP 5.5% 3.7% 2.1% 1.8% 2021 IRP 2.6% 2.1% 1.4% 1.4% 2025 IRP Load Forecast(1) vs. Prior IRPs 8 (1) Included in the above table are the load forecast assumptions the company anticipates using in the 2025 IRP as of February 2025.
RFP Update(1) Year Owned Contracted CEYW(2) 2023 120 MW BESS None 40MW Solar 2024 96 MW BESS 100 MW Solar None 2025 80 MW BESS 150 MW BESS 200 MW Solar 2026 250 MW BESS 200 MW Market Purchase 125 MW Solar 2027 300 MW Wind 300 MW Wind; 100 MW Solar; 100 MW BESS 320 MW Solar 2028 Final shortlist published in January 2025 2029 Final shortlist expected to be published in Q3 2025 (1)Distribution site battery storage is excluded. (2)Clean Energy Your Way. 9
High-Voltage Transmission Project Updates • Boardman-to-Hemingway – Expected to break ground in the summer of 2025 – OPUC, IPUC, and WPSC granted respective certificates of public convenience and necessity – Idaho Power’s interest in Boardman-to-Hemingway is ~45% – Long-term transmission service commitment to Bonneville Power Administration’s customers across southern Idaho included in agreement – In-service date expected no earlier than 2027 • Gateway West – Included in 2023 IRP – Idaho Power and PacifiCorp are coordinating construction and segment allocations • Southwest Intertie Project – North – Construction expected to begin as early as 2025 and take approximately two years to complete – IPC agreed to purchase ~11% of the line upon the in-service date – IPC entered into a capacity entitlement agreement for an additional ~11% of the capacity commencing upon the in-service date 10
Scott Madison Appointed to Board of Directors Scott recently retired as Executive Vice President of Business Development and Gas Supply for the MDU Utilities Group. His experience also includes: • Director of the University of Idaho Foundation • Former Chairman of the Northwest Gas Association • Former Chairman of the Idaho Association of Commerce and Industry and the Boise Metro Chamber of Commerce • Former Director for the Association of Washington Business and the Western Energy Institute Scott's ties to Idaho, leadership experience, and deep knowledge of the public utilities industry make him a great addition to our board.Scott W. Madison 11
2023 to 2024 IDACORP, Inc. Net Income (in millions and before related income tax impact unless otherwise noted) Net Income – For the Year Ended December 31, 2023 $ 261.2 Increase (decrease) in Idaho Power net income: Retail revenues per megawatt-hour, net of power cost adjustment and Idaho Fixed Cost Adjustment mechanisms $ 52.7 Customer growth, net of associated power supply costs and power cost adjustment mechanisms 19.0 Usage per retail customer, net of associated power supply costs and power cost adjustment mechanisms 4.5 Transmission wheeling-related revenues, net of Idaho-jurisdiction power cost adjustment mechanism impacts (3.0) Other operations and maintenance expenses (61.1) Depreciation expense (28.1) Other changes in operating revenues and expenses, net 30.8 Increase in Idaho Power operating income 14.8 Non-operating expense, net (2.2) Additional accumulated deferred investment tax credits (ADITC) amortization 29.8 Income tax expense, excluding additional ADITC amortization (18.6) Total increase in Idaho Power net income 23.8 Other IDACORP changes (net of tax) 4.2 Net Income – For the Year Ended December 31, 2024 $ 289.2 12
Capital Expenditures Forecast(1) 2025 – 2029 $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 $1,000 $1,100 $1,200 $1,300 $1,400 $1,500 2025 2026 2027 2028 2029 $ M ill io n s New Capacity & Energy Resources ($0M-$463M) Distribution ($216M-$262M) High Voltage Transmission ($190M-$406M) Transmission ($87M-$222M) Hydro ($107M-$166M) General Plant ($76M-$104M) Thermal ($10M-$68M) (1)As of February 20, 2025. This graphic is a representation of the 5-year capital expenditures forecast. See IDACORP’s 2024 Form 10-K for a summary of project types included in the 5-year forecast. ~$554M actual per year average, previous 5 years ~103% increase ~$1,127M per year average forecast 13
$4.6B $0.4B(2) $1.2B $1.7B $2.1B $0.7B $0.5B $0.7B $3.5 $4.0 $4.5 $5.0 $5.5 $6.0 $6.5 $7.0 $7.5 $8.0 $8.5 $9.0 $9.5 $10.0 $10.5 2024 2025 2026 2027 2028 2029 R at e B as e in $ B ill io n s 2024 2025 -2029 HCC Construction work in progress (CWIP) estimated year-end balance Total System Rate Base Growth Forecast (1) (1) As of February 20, 2025. If the net balances of Idaho Power’s capital additions and retirements since the Idaho Limited Scope rate case and its forecasted capital additions and retirements were approved by its regulators to be included in base rates, Idaho Power’s total system rate base could reach approximately $9.7 billion by the end of 2029, the year through which Idaho Power currently forecasts capital expenditures. Idaho Power’s 2024 Idaho Limited Scope Rate Case provided for a return on a rate base of about $4.4 billion (system total), which excludes net rate base on coal-related assets related to North Valmy and Jim Bridger plants of approximately $0.2 billion which are included through regulatory mechanisms. The 2024 rate base amounts are adjusted in this graphic over time to reflect the ultimate decline in net rate base of coal-related assets. Coal-related rate base is expected to be fully collected by the end of 2028 and 2030, respectively, through separate regulatory orders. 16.1% CAGR 2025-2029 ~$5.1B 14
Net Cash from Operations Issued Repaid Capital Expenditures(2) Dividends ----------------------Debt ---------------------- Equity Content ------------------------Equity ------------------------ $ M ill io n s (1) As of February 20, 2025. Financings plans are for illustrative purposes only and are subject to change. (2) Forecast capital expenditures include allowance for borrowed funds used during construction. (3) Difference between cash inflow versus cash outflow is managed through cash balance as of 12/31/24. Financing Plan Forecast (1) (3) 2025 – 2029 15
Liquidity (millions) As of December 31, 2024 IDACORP(1) Idaho Power Net balance available(2) $ 100.0 $ 380.1 Operating Cash Flows and Liquidity (1) Holding company only. (2) IDACORP’s and Idaho Power’s respective $100 million and $400 million revolving credit facilities, expiring in December 2029, net of commercial paper outstanding and amounts identified for other use. As of December 31, 2024, there was no commercial paper outstanding. Idaho Power repaid the $19.8 million of American Falls Bonds on February 3, 2025. (3) IDACORP fully settled its 2023 FSAs with 3.2 million shares of its common stock in exchange for cash of $292.2 million in 2024. (4) IDACORP entered into an Equity Distribution Agreement (EDA) on May 20, 2024, pursuant to which it may issue, offer, and sell, from time to time, up to an aggregate gross sales price of $300 million of shares of its common stock through an at-the-market offering program, which includes the ability to enter into FSAs. In November and December 2024, IDACORP executed FSAs under its ATM offering program with various counterparties, at an aggregate gross sales price of $92.4 million. IDACORP has a remaining aggregate gross sales price of up to $207.6 million in shares of its common stock available for issuance through the ATM offering program. IDACORP Cash Flows (millions) Twelve Months Ended December 31 2024 2023 Net Cash Provided by Operating Activities $ 594.4 $ 267.0 IDACORP Equity Financing (millions) Remaining as of December 31, 2024 Executed To-Date Settled To-Date Forward Sale Agreements(3) – – $ 292.2 At-the-Market Offering Program(4) $ 207.6 $ 92.4 – 16
2025 Earnings Per Share Guidance and Estimated Key Operating Metrics 2025 Estimate(1) 2024 Actual(2) IDACORP Earnings Guidance (per diluted share) $ 5.65 – $ 5.85 $ 5.50 Idaho Power Additional Amortization of Accumulated Deferred Investment Tax Credits (millions) $ 60 – $ 77 $ 29.8 Idaho Power Operations & Maintenance Expense (millions) $ 465 – $ 475 $ 461 Idaho Power Capital Expenditures, Excluding Allowance for Funds Used During Construction (millions) $ 1,000 – $ 1,100 $ 943 Idaho Power Hydropower Generation (millions megawatt-hours) 6.5 – 8.5 7.2 (1) As of February 20, 2025. Assumes normal weather and normal power supply expenses for 2025. (2) On an accrual basis. 17
Contact Information John R. Wonderlich Investor Relations Manager (208) 388-5413 JWonderlich@idahopower.com Investors & Analysts Jordan Rodriguez Corporate Communications (208) 388-2460 JRodriguez@idahopower.com Media