Company: EAI
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000065984-25-000132
Chunk: 479

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 1
Chunk 479
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 of Capital - Segno Solar and Votaw Solar” below for discussion of the facilities and transfer;

•a decrease of $15.2 million in transmission construction expenditures primarily due to decreased spending on various transmission projects in 2025; and

•a decrease of $12.3 million in information technology capital expenditures primarily due to decreased spending on technology upgrade projects in 2025.

Decreases in Entergy Texas’s receivable from the money pool are a source of cash flow, and Entergy Texas’s receivable from the money pool decreased $18.5 million for the nine months ended September 30, 2025 compared to decreasing by $280.9 million for the nine months ended September 30, 2024.  The money pool is an intercompany cash management program that makes possible intercompany borrowing and lending arrangements, and the money pool and other borrowing arrangements are designed to reduce the Registrant Subsidiaries’ dependence on external short-term borrowings.

Financing Activities

Net cash flow provided by financing activities increased $246.4 million for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 primarily due to the issuance of $500 million of 5.25% Series mortgage bonds in February 2025 and money pool activity.  The increase was partially offset by the issuance of $350 million of 5.55% Series mortgage bonds in August 2024 and a decrease of $58.5 million in advance payments from customers for construction related to transmission, distribution, and generator interconnection agreements.

Increases in Entergy Texas’s payable to the money pool are a source of cash flow, and Entergy Texas’s payable to the money pool increased $142.2 million for the nine months ended September 30, 2025.

See Note 4 to the financial statements herein and Note 5 to the financial statements in the Form 10-K for more details on long-term debt.

Capital Structure

Entergy Texas’s debt to capital ratio is shown in the following table.  The increase in the debt to capital ratio for Entergy Texas is primarily due to the net issuance of long-term debt in 2025.

September 30, 2025December 31, 2024Debt to capital52.8%51.6%Effect of excluding securitization bonds(1.4%)(1.7%)Debt to capital, excluding securitization bonds (non-GAAP) (a)51