Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 941

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 941
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 planned sale of the Entergy New Orleans natural gas distribution business.

Liquidity and Capital Resources

Cash Flow

Cash flows for the years ended December 31, 2024, 2023, and 2022 were as follows:

 202420232022 (In Thousands)Cash and cash equivalents at beginning of period$26 $4,464 $42,862 Net cash provided by (used in):   Operating activities286,729 202,956 363,763 Investing activities(163,481)(18,802)(403,790)Financing activities(91,497)(188,592)1,629 Net increase (decrease) in cash and cash equivalents31,751 (4,438)(38,398)Cash and cash equivalents at end of period$31,777 $26 $4,464 

2024 Compared to 2023

Operating Activities

Net cash flow provided by operating activities increased $83.8 million in 2024 primarily due to:

•the receipt of $98.1 million in settlement proceeds in 2024 as a result of the System Energy settlement with the City Council. See Note 2 to the financial statements for discussion of the System Energy settlement agreement with the City Council;

•lower fuel payments in 2024 as compared to 2023;

•the timing of payments to vendors; and

•income tax refunds of $17.9 million in 2024 compared to income tax payments of $14.1 million in 2023.  Entergy New Orleans received income tax refunds in 2024 primarily in accordance with an intercompany income tax allocation agreement.  Entergy New Orleans made net income tax payments in 2023 primarily related to the resolution of the 2016-2018 IRS audit and estimated federal and state income taxes.

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Table of ContentsEntergy New Orleans, LLC and SubsidiariesManagement’s Financial Discussion and Analysis

The increase was partially offset by the refund of $34 million received from System Energy in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC and lower collections from customers.  See Note 2 to the financial statements for discussion of the January 2023 refund received from System Energy and the related proceedings and Note 3 to the financial statements for further discussion of the resolution of the 2016-2018 IRS audit.

Investing