Company: DTK
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000936340-25-000223
Chunk: 7

Company: DTE ENERGY CO
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 2
Chunk 7
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 million resulting from the voluntary separation incentive program and lower distribution  operations expense of $20 million.

Depreciation and amortization expense increased $25 million and $77 million in the three and nine months ended September 30, 2025, respectively.  The increase in both periods was primarily due to higher depreciable base.

Taxes other than income increased $11 million and $21 million in the three and nine months ended September 30, 2025, respectively.  The increase in both periods was primarily due to higher property taxes.

Asset (gains) losses and impairments, net increased $47 million in both the three and nine months ended September 30, 2025.  The increase in both periods was primarily due to an accrual of $47 million resulting from management's revisions to the timing and estimate of cash flows related to the decommissioning of Fermi 1.  Refer to Note 6 to the Consolidated Financial Statements, "Asset Retirement Obligations," for additional information.

Other (Income) and Deductions increased $13 million and $33 million in the three and nine months ended September 30, 2025, respectively.  The increase in the third quarter was primarily due to higher net interest expense.  The increase in the nine-month period was primarily due to higher net interest expense of $42 million partially offset by higher AFUDC equity of $11 million.

Income Tax Benefit decreased $87 million and $18 million in the three and nine months ended September 30, 2025, respectively.  The decrease in the third quarter was primarily due to higher earnings, lower production tax credits, and lower investment tax credits.  The decrease in the nine-month period was primarily due to higher earnings.

Outlook — DTE Electric will continue to move forward in its efforts to achieve operational excellence, sustain strong cash flows, and earn its authorized return on equity.  DTE Electric expects that planned significant capital investments will result in earnings growth.  DTE Electric will maintain a strong focus on customers by increasing reliability and satisfaction while working to keep customer rate increases affordable.  Looking forward, additional factors may impact earnings such as weather, the outcome of regulatory proceedings, uncertainty of legislative or regulatory actions regarding environmental compliance, and effects of energy waste reduction programs.

DTE Electric filed a rate case with the MPSC on April 24, 2025 requesting an increase in base rates of $574 million based on a projected twelve-month period ending December 31, 202