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Pinnacl West Cap Financials

PNW
Source SEC Filings (10-K/10-Q) Updated Dec 31, 2025 Currency USD FYE December

This page shows Pinnacl West Cap (PNW) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 18 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Financial Health Signals

Profitability Growth Leverage Liquidity Cash Flow Returns 36 / 100
Financial Profile 36/100

Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores

Profitability
67

Pinnacl West Cap has an operating margin of 20.0%, meaning the company retains $20 of operating profit per $100 of revenue. This strong profitability earns a score of 67/100, reflecting efficient cost management and pricing power. This is up from 19.8% the prior year.

Growth
40

Pinnacl West Cap's revenue grew a modest 4.2% year-over-year to $5.3B. This slow but positive growth earns a score of 40/100.

Leverage
75

Pinnacl West Cap carries a low D/E ratio of 1.31, meaning only $1.31 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 75/100, indicating a strong balance sheet with room for future borrowing.

Liquidity
5

Pinnacl West Cap's current ratio of 0.54 means current assets barely cover short-term liabilities. This tight liquidity results in a low score of 5/100, which could limit financial flexibility.

Cash Flow
0

While Pinnacl West Cap generated $1.8B in operating cash flow, capex of $2.6B consumed most of it, leaving -$819.5M in free cash flow. This results in a low score of 0/100, reflecting heavy capital investment rather than weak cash generation.

Returns
31

Pinnacl West Cap's ROE of 9.0% shows moderate profitability relative to equity, earning a score of 31/100. This is down from 9.3% the prior year.

Altman Z-Score Distress
0.74

Pinnacl West Cap scores 0.74, below the 1.81 distress threshold. This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.

Piotroski F-Score Neutral
4/9

Pinnacl West Cap passes 4 of 9 financial strength tests. 3 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, neither operating efficiency signal passes.

Earnings Quality Cash-Backed
2.86x

For every $1 of reported earnings, Pinnacl West Cap generates $2.86 in operating cash flow ($1.8B OCF vs $631.6M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage Adequate
2.5x

Pinnacl West Cap earns $2.5 in operating income for every $1 of interest expense ($1.1B vs $422.0M). This adequate coverage means the company can meet its interest obligations, but has limited cushion if earnings fall.

Key Financial Metrics

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Earnings & Revenue

Revenue
$5.3B
YoY+4.2%
5Y CAGR+8.3%
10Y CAGR+4.3%

Pinnacl West Cap generated $5.3B in revenue in fiscal year 2025. This represents an increase of 4.2% from the prior year.

EBITDA
$2.0B
YoY+3.5%
5Y CAGR+6.7%
10Y CAGR+3.6%

Pinnacl West Cap's EBITDA was $2.0B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 3.5% from the prior year.

Net Income
$631.6M
YoY+0.9%
5Y CAGR+2.1%
10Y CAGR+3.3%

Pinnacl West Cap reported $631.6M in net income in fiscal year 2025. This represents an increase of 0.9% from the prior year.

EPS (Diluted)
$5.05
YoY-3.6%
5Y CAGR+0.7%
10Y CAGR+2.6%

Pinnacl West Cap earned $5.05 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 3.6% from the prior year.

Cash & Balance Sheet

Free Cash Flow
-$819.5M
YoY-28.2%

Pinnacl West Cap generated -$819.5M in free cash flow in fiscal year 2025, representing cash available after capex. This represents a decrease of 28.2% from the prior year.

Cash & Debt
$6.6M
YoY+72.1%
5Y CAGR-35.7%
10Y CAGR-16.4%

Pinnacl West Cap held $6.6M in cash against $9.2B in long-term debt as of fiscal year 2025.

Dividends Per Share
$3.61
YoY+1.7%
5Y CAGR+2.2%
10Y CAGR+4.0%

Pinnacl West Cap paid $3.61 per share in dividends in fiscal year 2025. This represents an increase of 1.7% from the prior year.

Shares Outstanding
N/A

Margins & Returns

Gross Margin
63.8%
YoY-0.6pp
5Y CAGR-8.5pp

Pinnacl West Cap's gross margin was 63.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 0.6 percentage points from the prior year.

Operating Margin
20.0%
YoY+0.2pp
5Y CAGR-2.0pp
10Y CAGR-4.5pp

Pinnacl West Cap's operating margin was 20.0% in fiscal year 2025, reflecting core business profitability. This is up 0.2 percentage points from the prior year.

Net Margin
11.8%
YoY-0.4pp
5Y CAGR-4.1pp
10Y CAGR-1.2pp

Pinnacl West Cap's net profit margin was 11.8% in fiscal year 2025, showing the share of revenue converted to profit. This is down 0.4 percentage points from the prior year.

Return on Equity
9.0%
YoY-0.3pp
5Y CAGR-1.2pp
10Y CAGR-1.0pp

Pinnacl West Cap's ROE was 9.0% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.3 percentage points from the prior year.

Capital Allocation

R&D Spending
N/A
Share Buybacks
N/A
Capital Expenditures
$2.6B
YoY+16.7%
5Y CAGR+14.6%
10Y CAGR+9.3%

Pinnacl West Cap invested $2.6B in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 16.7% from the prior year.

PNW Income Statement

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Revenue $1.1B-38.0% $1.8B+34.0% $1.4B+31.6% $1.0B-5.8% $1.1B-38.1% $1.8B+35.1% $1.3B+37.5% $951.7M
Cost of Revenue $420.4M-35.9% $656.0M+37.5% $477.0M+25.5% $380.1M-4.1% $396.1M-37.3% $631.4M+44.4% $437.2M+22.2% $357.9M
Gross Profit $707.8M-39.2% $1.2B+32.1% $881.7M+35.2% $652.2M-6.7% $699.3M-38.5% $1.1B+30.5% $871.8M+46.8% $593.8M
R&D Expenses N/A N/A N/A N/A N/A N/A N/A N/A
SG&A Expenses N/A N/A N/A N/A N/A N/A N/A N/A
Operating Income $121.0M-79.2% $581.8M+89.2% $307.6M+437.5% $57.2M-32.3% $84.5M-84.5% $547.0M+74.3% $313.7M+369.7% $66.8M
Interest Expense $114.0M+2.5% $111.2M+9.1% $102.0M+7.5% $94.8M-0.1% $95.0M-3.1% $98.0M+0.2% $97.9M+13.0% $86.6M
Income Tax -$3K-100.0% $77.9M+122.4% $35.0M+666.4% -$6.2M-61730.0% -$10K-100.0% $74.2M+128.9% $32.4M+733.2% $3.9M
Net Income $17.6M-95.8% $417.5M+112.1% $196.9M+58345.6% -$338K+86.6% -$2.5M-100.6% $399.3M+91.9% $208.1M+883.1% $21.2M
EPS (Diluted) N/A $3.39+114.6% $1.58+4050.0% $-0.04 N/A $3.37+91.5% $1.76+1073.3% $0.15

PNW Balance Sheet

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Total Assets $30.0B+0.5% $29.9B+2.2% $29.2B+7.3% $27.2B+4.3% $26.1B-0.8% $26.3B+2.4% $25.7B+3.4% $24.8B
Current Assets $1.7B-14.8% $2.0B+11.9% $1.8B+12.5% $1.6B-5.9% $1.7B-25.4% $2.3B+10.5% $2.0B+15.0% $1.8B
Cash & Equivalents $6.6M-78.6% $30.9M+63.9% $18.8M+87.5% $10.0M+161.8% $3.8M-92.2% $49.2M+1127.1% $4.0M-58.4% $9.6M
Inventory N/A N/A N/A N/A N/A N/A N/A N/A
Accounts Receivable N/A N/A N/A N/A N/A N/A N/A N/A
Goodwill N/A N/A N/A N/A N/A N/A N/A N/A
Total Liabilities $23.0B+1.1% $22.7B+1.0% $22.5B+9.8% $20.5B+5.9% $19.3B-1.7% $19.7B+1.0% $19.5B+4.5% $18.6B
Current Liabilities $3.2B+6.6% $3.0B-13.5% $3.4B+8.2% $3.2B+11.4% $2.8B-11.1% $3.2B+2.7% $3.1B+1.8% $3.1B
Long-Term Debt $9.2B0.0% $9.2B+8.2% $8.5B+5.5% $8.1B0.0% $8.1B0.0% $8.1B0.0% $8.1B+6.8% $7.5B
Total Equity $7.0B-1.7% $7.2B+6.6% $6.7B-0.2% $6.7B-0.2% $6.8B+2.1% $6.6B+6.5% $6.2B+0.2% $6.2B
Retained Earnings $3.9B-5.0% $4.1B+11.3% $3.6B-0.6% $3.7B-0.1% $3.7B-5.5% $3.9B+11.3% $3.5B+0.1% $3.5B

PNW Cash Flow Statement

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Operating Cash Flow $476.8M-28.3% $665.0M+154.4% $261.4M-35.0% $401.9M-8.6% $439.5M-30.6% $633.2M+233.6% $189.8M-45.4% $347.4M
Capital Expenditures $669.5M+7.5% $623.0M-12.2% $709.5M+14.0% $622.6M+17.1% $531.6M-20.2% $665.8M+24.7% $534.0M+3.1% $517.8M
Free Cash Flow -$192.7M-559.4% $42.0M+109.4% -$448.1M-103.1% -$220.7M-139.5% -$92.1M-182.2% -$32.7M+90.5% -$344.2M-102.0% -$170.4M
Investing Cash Flow -$545.6M+5.9% -$579.8M+13.1% -$667.2M-13.8% -$586.1M-26.2% -$464.3M+20.3% -$582.2M-25.7% -$463.0M-9.2% -$424.1M
Financing Cash Flow $44.5M+160.8% -$73.2M-117.6% $414.6M+117.7% $190.4M+1028.1% -$20.5M-252.5% -$5.8M-102.2% $267.6M+228.7% $81.4M
Dividends Paid $107.3M+1.9% $105.3M+0.1% $105.2M+0.3% $104.9M+4.9% $100.1M+1.8% $98.3M+0.1% $98.2M+0.1% $98.1M
Share Buybacks N/A N/A N/A N/A N/A -$423K N/A N/A

PNW Financial Ratios

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Gross Margin 62.7%-1.2pp 64.0%-0.9pp 64.9%+1.7pp 63.2%-0.7pp 63.8%-0.5pp 64.3%-2.3pp 66.6%+4.2pp 62.4%
Operating Margin 10.7%-21.2pp 32.0%+9.3pp 22.6%+17.1pp 5.5%-2.2pp 7.7%-23.2pp 30.9%+6.9pp 24.0%+16.9pp 7.0%
Net Margin 1.6%-21.4pp 22.9%+8.4pp 14.5%+14.5pp -0.0%+0.2pp -0.2%-22.8pp 22.6%+6.7pp 15.9%+13.7pp 2.2%
Return on Equity 0.3%-5.6pp 5.8%+2.9pp 2.9%+2.9pp -0.0%+0.0pp -0.0%-6.1pp 6.0%+2.7pp 3.4%+3.0pp 0.3%
Return on Assets 0.1%-1.3pp 1.4%+0.7pp 0.7%+0.7pp 0.0%+0.0pp -0.0%-1.5pp 1.5%+0.7pp 0.8%+0.7pp 0.1%
Current Ratio 0.54-0.1 0.67+0.2 0.52+0.0 0.50-0.1 0.59-0.1 0.71+0.1 0.66+0.1 0.58
Debt-to-Equity 1.31+0.0 1.28+0.0 1.26+0.1 1.200.0 1.19-0.0 1.22-0.1 1.30+0.1 1.22
FCF Margin -17.1%-19.4pp 2.3%+35.3pp -33.0%-11.6pp -21.4%-13.0pp -8.4%-6.6pp -1.8%+24.4pp -26.3%-8.4pp -17.9%

Note: The current ratio is below 1.0 (0.54), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.

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Frequently Asked Questions

Pinnacl West Cap (PNW) reported $5.3B in total revenue for fiscal year 2025. This represents a 4.2% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

Pinnacl West Cap (PNW) revenue grew by 4.2% year-over-year, from $5.1B to $5.3B in fiscal year 2025.

Yes, Pinnacl West Cap (PNW) reported a net income of $631.6M in fiscal year 2025, with a net profit margin of 11.8%.

Pinnacl West Cap (PNW) reported diluted earnings per share of $5.05 for fiscal year 2025. This represents a -3.6% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Pinnacl West Cap (PNW) had EBITDA of $2.0B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

As of fiscal year 2025, Pinnacl West Cap (PNW) had $6.6M in cash and equivalents against $9.2B in long-term debt.

Pinnacl West Cap (PNW) had a gross margin of 63.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

Pinnacl West Cap (PNW) had an operating margin of 20.0% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

Pinnacl West Cap (PNW) had a net profit margin of 11.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Yes, Pinnacl West Cap (PNW) paid $3.61 per share in dividends during fiscal year 2025.

Pinnacl West Cap (PNW) has a return on equity of 9.0% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

Pinnacl West Cap (PNW) generated -$819.5M in free cash flow during fiscal year 2025. This represents a -28.2% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

Pinnacl West Cap (PNW) generated $1.8B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

Pinnacl West Cap (PNW) had $30.0B in total assets as of fiscal year 2025, including both current and long-term assets.

Pinnacl West Cap (PNW) invested $2.6B in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Pinnacl West Cap (PNW) had a current ratio of 0.54 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.

Pinnacl West Cap (PNW) had a debt-to-equity ratio of 1.31 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

Pinnacl West Cap (PNW) had a return on assets of 2.1% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Pinnacl West Cap (PNW) has an Altman Z-Score of 0.74, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

Pinnacl West Cap (PNW) has a Piotroski F-Score of 4 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Pinnacl West Cap (PNW) has an earnings quality ratio of 2.86x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Pinnacl West Cap (PNW) has an interest coverage ratio of 2.5x, meaning it can adequately cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

Pinnacl West Cap (PNW) scores 36 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.

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