Company: EAI
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000065984-25-000132
Chunk: 187

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 4
Chunk 187
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 higher construction in progress in 2025, including the Vicksburg Advanced Power Station project.

Interest expense increased primarily due to the issuance of $600 million of 5.80% Series mortgage bonds in March 2025, the issuance of $300 million of 5.85% Series mortgage bonds in May 2024, and carrying costs of $10.8 million in 2025 on customer advances for construction.

Income Taxes

The effective income tax rates were 24.1% for the third quarter 2025 and 23.9% for the nine months ended September 30, 2025.  The differences in the effective income tax rates for the third quarter 2025 and the nine months ended September 30, 2025 versus the federal statutory rate of 21% were primarily due to the accrual for state income taxes, partially offset by certain book and tax differences related to utility plant items.

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

The effective income tax rates were 25.0% for the third quarter 2024 and 24.2% for the nine months ended September 30, 2024.  The differences in the effective income tax rates for the third quarter 2024 and the nine months ended September 30, 2024 versus the federal statutory rate of 21% were primarily due to the accrual for state income taxes, partially offset by certain book and tax differences related to utility plant items.

Income Tax Legislation and Regulation

See “MANAGEMENT’S FINANCIAL DISCUSSION AND ANALYSIS - Income Tax Legislation and Regulation” herein and in the Form 10-K for discussion of income tax legislation and regulation.

Liquidity and Capital Resources

Cash Flow

Cash flows for the nine months ended September 30, 2025 and 2024 were as follows:

20252024(In Thousands)Cash and cash equivalents at beginning of period$155,693 $6,630 Net cash provided by (used in):Operating activities559,353 448,253 Investing activities(1,121,132)(481,457)Financing activities734,761 63,707 Net increase in cash and cash equivalents172,982 30,503 Cash and cash equivalents at end of period$328,675 $37,133 

Operating Activities

Net cash flow provided by operating activities increased $111.1 million for the nine months ended September 30