Company: EAI
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000065984-25-000046
Chunk: 93

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 4
Chunk 93
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760,670 Net loss(1,818)(30,462)(32,280)Capital contribution from parent— 275,000 275,000 Distributions to noncontrolling interest(250)— (250)Balance at March 31, 2024$19,531 $3,983,609 $4,003,140 Balance at December 31, 2024$15,168 $4,448,837 $4,464,005 Net income (loss)(1,191)87,714 86,523 Distributions to noncontrolling interest(181)— (181)Balance at March 31, 2025$13,796 $4,536,551 $4,550,347 See Notes to Financial Statements.

80

ENTERGY LOUISIANA, LLC AND SUBSIDIARIES

MANAGEMENT’S FINANCIAL DISCUSSION AND ANALYSIS

Results of Operations

Net Income

Net income increased $71.5 million primarily due to higher volume/weather and higher other income, partially offset by higher interest expense and higher depreciation and amortization expense.

Operating Revenues

Following is an analysis of the change in operating revenues comparing the first quarter 2025 to the first quarter 2024:

Amount(In Millions)2024 operating revenues$1,202.4 Fuel, rider, and other revenues that do not significantly affect net income43.3 Volume/weather33.3 Retail electric price22.5 2025 operating revenues$1,301.5 

Entergy Louisiana’s results include revenues from rate mechanisms designed to recover fuel, purchased power, and other costs such that the revenues and expenses associated with these items generally offset and do not affect net income.  “Fuel, rider, and other revenues that do not significantly affect net income” includes the revenue variance associated with these items.

The volume/weather variance is primarily due to the effect of more favorable weather on residential sales and an increase in industrial usage.  The increase in industrial usage is primarily due to an increase in demand from large industrial customers, primarily in the petroleum refining and chlor-alkali industries.

The retail electric price variance is primarily due to an increase in formula rate plan revenues, including an increase in the distribution recovery mechanism, effective September 2024, partially offset by decreases in formula rate plan revenues due to interim formula rate plan rate adjustments effective January 2025 and March 2025.  See Note 2 to