Company: EAI
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0000065984-25-000087
Chunk: 174

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 4
Chunk 174
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 Hurricane Francine” below for discussion of the Hurricane Francine proceeding.

Financing Activities

Net cash flow provided by financing activities decreased $13.6 million for the six months ended June 30, 2025 compared to the six months ended June 30, 2024 primarily due to the issuances of $65 million of 6.41% Series mortgage bonds, $50 million of 6.54% Series mortgage bonds, and $35 million of 6.25% Series mortgage bonds, each in May 2024, and the repayment, at maturity, of $78 million of 3.00% Series mortgage bonds in March 2025.  The decrease was partially offset by the repayment, at maturity, of an $85 million unsecured term loan in June 2024, proceeds received in March 2025 from an $80 million unsecured term loan (subsequently repaid in July 2025), and money pool activity.

Increases in Entergy New Orleans’s payable to the money pool are a source of cash flow, and Entergy New Orleans’s payable to the money pool increased $20.9 million for the six months ended June 30, 2025 compared to decreasing by $21.7 million for the six months ended June 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.

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

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 New Orleans’s debt to capital ratio is shown in the following table.

June 30, 2025December 31, 2024Debt to capital50.5%51.5%Effect of subtracting cash—%(1.1%)Net debt to net capital (non-GAAP)50.5%50.4%

Net debt consists of debt less cash and cash equivalents.  Debt consists of short-term borrowings, finance lease obligations, long-term debt, including the currently maturing portion, and the long-term payable due to an associated company.  Capital consists of debt and equity.  Net capital consists of capital less cash and cash equivalents.  Entergy