Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
CEG reported FY2025 revenue growth of 8.3% to $25.5B, but net income fell 38.1% to $2.3B and operating margin compressed sharply to 12.1% from 18.5%, even as operating cash flow surged to $4.2B from negative territory in the prior year.
Revenue
$25.53B
+8.34% YoY
EPS (Diluted)
$7.40
-37.76% YoY
Operating Income
$3.09B
-29.09% YoY
Source: SEC XBRL
Constellation Energy (CEG) reported FY2025 revenue of $25.53B, up 8.3% year over year. Operating margin was 12.1%, down 6.4 points from 18.5% a year earlier. Operating cash flow was $4.24B.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 2.55 | 2.30 | Beat +10.7% |
| Mar 2026 | 2.74 | 2.59 | Beat +5.7% |
| Dec 2025This filing | 2.30 | 2.25 | Beat +2.3% |
| Sep 2025 | 3.04 | 3.15 | Miss -3.5% |
Reported EPS of $2.30 versus the $2.25 analyst consensus — a +2.3% beat for Dec 2025.
Compiled by AI from this SEC filing
CEG grew total revenue by 8.3% YoY to $25.53B in FY2025, up from $23.57B in the prior year, suggesting stronger realized power prices or increased generation output across its nuclear and other generation fleet.
Source: 10-K Income Statement
Operating income declined 29.1% to $3.09B from $4.35B, and net income fell 38.1% to $2.32B, indicating that cost pressures—likely including fuel, operating, and depreciation costs—outpaced revenue gains and significantly compressed profitability.
Source: 10-K Income Statement
Operating cash flow surged to $4.24B in FY2025 from negative $2.46B in FY2024, a swing of over $6.7B, reflecting improved working capital management and cash earnings quality despite lower reported net income.
Source: 10-K Cash Flow Statement
Long-term debt declined 12.6% to $7.40B from $8.47B, while share buybacks were reduced to $400M from $999M, suggesting the company prioritized debt reduction and balance sheet strengthening over shareholder returns in FY2025.
Source: 10-K Balance Sheet & Cash Flow Statement
Investing cash flow turned sharply negative at -$3.20B versus a positive $7.43B in FY2024 (which likely included asset sale proceeds), indicating meaningful capital expenditure or reinvestment into the generation fleet in FY2025.
Source: 10-K Cash Flow Statement
Compiled by AI from this SEC filing · 3 high, 2 medium, 0 low
CEG's profitability is highly sensitive to wholesale electricity prices, which can fluctuate based on natural gas prices, weather, and grid demand. The 38.1% drop in net income despite 8.3% revenue growth highlights how cost structures can lag price movements, creating earnings volatility. Unhedged generation capacity is particularly exposed to spot market swings.
Source: 10-K Income Statement
With a debt-to-equity ratio of 2.92 and total liabilities of $42.4B against stockholders' equity of $14.5B, CEG carries a substantial debt load. While long-term debt declined 12.6% to $7.4B, the overall liability structure remains elevated, which could constrain financial flexibility in a rising interest rate environment.
Source: 10-K Balance Sheet
As the largest nuclear fleet operator in the U.S., CEG is heavily dependent on favorable regulatory treatment, including nuclear production tax credits and NRC licensing. Any adverse changes to federal energy policy or nuclear subsidy programs could materially impact revenue and profitability.
Source: 10-K, General Business Context
Operating margin fell from 18.5% to 12.1% in FY2025, a decline of approximately 6.4 percentage points, suggesting that operating costs—including labor, maintenance, and regulatory compliance—are rising faster than revenues. Sustained cost inflation could further erode profitability even if power prices remain elevated.
Source: 10-K Income Statement
The shift in investing cash flow from +$7.43B in FY2024 to -$3.20B in FY2025 indicates significant capital deployment, likely for fleet maintenance, upgrades, or new capacity. Nuclear plants require substantial ongoing capital investment, and cost overruns or project delays could strain free cash flow.
Source: 10-K Cash Flow Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 25.53 $B | 23.57 $B | +8.34% |
Operating Income $B | 3.09 $B | 4.35 $B | -29.09% |
Net Income $B | 2.32 $B | 3.75 $B | -38.14% |
EPS (Basic) $ | 7.40 $ | 11.91 $ | -37.87% |
EPS (Diluted) $ | 7.40 $ | 11.89 $ | -37.76% |
Answers draw on this SEC filing and the data on this page
Constellation Energy's Q2 FY2026 revenue grew 23% to $7.5B following the Calpine acquisition, but GAAP net income dropped 38.9% on merger costs and hedge losses, while adjusted EPS rose 33.5% to $2.55.
Constellation Energy Group delivered an extraordinary Q1 2026, with revenue surging 63.8% YoY to $11.1B and net income skyrocketing 1,247.5% to $1.59B, driven by transformative growth that also reflects the impact of the Calpine acquisition.
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