IDACORP INC (NYSE:IDA) Reports Mixed Q3 2025 Results, Raises Full-Year Guidance

IDACORP INC (NYSE:IDA) reported third-quarter 2025 financial results that presented a mixed picture for investors, with earnings per share narrowly missing analyst expectations while revenue fell significantly short of estimates. The company's updated full-year guidance, however, provided a more optimistic outlook that appears to be influencing market sentiment.

Quarterly Performance Versus Estimates

The utility holding company reported diluted earnings per share of $2.26 for the third quarter of 2025, coming in slightly below the analyst consensus estimate of $2.27. This represents a 6.6% increase from the $2.12 per share reported in the same quarter last year.

Revenue results showed a more substantial deviation from expectations:

• Reported revenue of $524.4 million compared to analyst estimates of $666.8 million
• This represents a revenue miss of approximately $142 million
• Despite the shortfall, revenue increased from the prior year period

The earnings performance was driven by several operational factors that balanced positive and negative contributors to the bottom line.

Key Operational Drivers

IDACORP's performance was primarily influenced by customer growth and rate changes, according to company leadership. The quarter saw approximately 15,000 new customers added, representing 2.3% growth year-over-year. This customer expansion contributed significantly to operating income, though it was partially offset by higher operational costs.

The company faced several headwinds that impacted profitability:

• Increased operations and maintenance expenses due to inflationary pressures on labor costs and professional services
• Higher wildfire mitigation program and related insurance expenses
• Rising depreciation and amortization expenses from increased plant-in-service
• Elevated interest expenses from higher long-term debt balances and transmission customer deposits

Updated Financial Guidance

Management raised its full-year 2025 earnings guidance to a range of $5.80 to $5.90 per diluted share, up from the previous range of $5.70 to $5.85. This revised guidance incorporates expectations of normal weather conditions and power supply expenses for the remainder of the year.

The guidance update includes several key assumptions:

• Idaho Power will utilize between $50 million and $60 million of additional tax credits
• Operations and maintenance expenses projected between $470 million and $480 million
• Hydropower generation forecast revised downward to 6.5-7.0 million MWh from 7.0-8.0 million MWh
• Capital expenditure projections remain unchanged

Market Reaction and Analysis

The market response to IDACORP's earnings release has been cautiously positive despite the revenue miss. The stock showed modest gains in pre-market trading, suggesting investors are focusing more on the raised full-year guidance and the company's ability to grow earnings in a challenging environment.

The positive reaction likely reflects several factors:

• The earnings per share miss was minimal at just $0.01 below estimates
• Year-over-year earnings growth remains strong at 6.6%
• The guidance increase demonstrates management confidence in future performance
• Regulatory stability with the pending approval of the Idaho general rate case settlement

The company's constructive settlement of its Idaho general rate case, now awaiting approval from the Idaho Public Utilities Commission, provides additional visibility into future revenue streams and regulatory recovery mechanisms.

Comparative Analysis with Analyst Expectations

When comparing the company's updated guidance to full-year analyst estimates, IDACORP's projected range of $5.80-$5.90 per share aligns reasonably well with the analyst consensus of $5.91 for 2025. The guidance midpoint of $5.85 sits just slightly below the consensus, suggesting management remains conservative in its outlook.

For the upcoming fourth quarter, analysts are projecting earnings per share of $0.74 on revenue of $370.2 million. The company's ability to meet these targets will depend on several factors, including weather conditions, power supply costs, and the timing of regulatory approvals.

For more detailed earnings information and analyst estimates, visit the IDA Earnings & Estimates page.

Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial analysis, or recommendation to buy or sell any security. Investors should conduct their own research and consult with financial advisors before making investment decisions.