Company: WELPM
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0000107815-25-000204
Chunk: 149

Company: WISCONSIN ELECTRIC POWER CO
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 8
Chunk 149
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 driven by an increase in PTCs and the increased benefit from the flow through of tax repairs in connection with our rate order approved by the PSCW, effective January 1, 2025. Also reducing income tax expense were increases in income tax benefits associated with AFUDC-Equity, driven by continued capital investment and increases in the protected deferred tax benefits associated with the Tax Legislation. These positive income tax impacts were partially offset by higher pre-tax income. 

LIQUIDITY AND CAPITAL RESOURCES

Overview

We expect to maintain adequate liquidity to meet our cash requirements for the operation of our business and implementation of our corporate strategy through the internal generation of cash from operations and access to the capital markets.

Cash Flows

The following table summarizes our cash flows during the six months ended June 30:

(in millions)20252024Change in 2025 Over 2024Cash provided by (used in):Operating activities$567.7 $616.8 $(49.1)Investing activities(847.0)(641.9)(205.1)Financing activities280.9 18.2 262.7 

06/30/2025 Form 10-Q37Wisconsin Electric Power Company

Operating Activities

Net cash provided by operating activities decreased $49.1 million during the six months ended June 30, 2025, compared with the same period in 2024, driven by:

•A $161.7 million decrease in cash related to higher payments for other operation and maintenance expenses, driven by the timing of payments for accounts payable during the six months ended June 30, 2025, compared with the same period in 2024, as well as higher transmission costs.

•A $9.2 million decrease in cash from higher payments for interest driven by the issuance of long-term debt in 2024.

These decreases in net cash provided by operating activities were partially offset by:

•A $58.3 million increase in cash from higher overall collections from customers during the six months ended June 30, 2025, compared with the same period in 2024. This increase was driven by the impact of our rate order approved by the PSCW, effective January 1, 2025, a higher per-unit cost of natural gas, and higher sales volumes from the impact of colder weather during the six months ended June 30, 2025, compared with the same period in 2024.

•A $51.7 million increase in