Company: EAI
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000065984-25-000132
Chunk: 7

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 3
Chunk 7
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 10-K for discussion of income tax legislation and regulation.  See Note 10 to the financial statements herein for discussion of the nuclear and solar production tax credits recorded in 2025.

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Table of ContentsEntergy Arkansas, LLC and SubsidiariesManagement's Financial Discussion and Analysis

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$4,747 $3,632 Net cash provided by (used in):Operating activities1,081,700 836,755 Investing activities(896,720)(1,252,242)Financing activities286,679 1,052,038 Net increase in cash and cash equivalents471,659 636,551 Cash and cash equivalents at end of period$476,406 $640,183 

Operating Activities

Net cash flow provided by operating activities increased $244.9 million for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 primarily due to:

•the receipt of $160.2 million in payments related to the sale of nuclear and solar production tax credits in third quarter 2025.  See Note 3 to the financial statements in the Form 10-K and see Note 10 to the financial statements herein for discussion of the nuclear and solar production tax credits;

•higher collections from customers; and

•a decrease of $22.4 million in spending on nuclear refueling outages in 2025 as compared to 2024.

The increase was partially offset by:

•higher fuel and purchased power payments.  See Note 2 to the financial statements herein and in the Form 10-K for a discussion of fuel and purchased power cost recovery; and

•the receipt of $92.7 million in settlement proceeds in 2024 as a result of the System Energy settlement with the APSC, which was subsequently refunded to retail customers in third quarter 2024 with one-time bill credits through the Grand Gulf credit rider.  See Note 2 to the financial statements in the Form 10-K for discussion of the System Energy settlement agreement with the APSC and the Grand Gulf credit rider.

Investing Activities

Net cash flow used in investing activities decreased $355.5 million for the nine months ended September 30, 2025 compared to the nine months