CON EDISON REPORTS 2026 THIRD QUARTER EARNINGS
Higher electric rate base supported earnings growth, while common-share issuance reduced earnings per share.
Sentiment and the balance of points
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Rhea-AI Summary
Con Edison (NYSE: ED) reported third-quarter 2026 net income of $766 million, up from the same period a year earlier. Earnings per share rose to $2.07 from $1.91, while net income compared with $688 million. Adjusted earnings were $766 million, or $2.07 a share, versus $686 million, or $1.90.
For the first nine months, net income increased to $1,998 million from $1,726 million; earnings per share rose to $5.44 from $4.84. Adjusted earnings reached $1,864 million, or $5.08 a share, versus $1,718 million, or $4.82. The period included a $134 million after-tax gain on the Mountain Valley Pipeline interest sale.
Con Edison expects 2026 adjusted EPS of $6.05–$6.15, narrowing its previous $6.00–$6.20 range. It plans approximately $797 million in climate-resilience investment during 2026–2030. A new Steam business investment plan agreed with its regulator and other stakeholders awaits approval.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate pointThird-quarter GAAP earnings rose to $766 million, or $2.07 a share, from $688 million, or $1.91.
- Moderate pointMountain Valley Pipeline interest sale generated a $134 million after-tax gain during the first nine months.
- Moderate pointSteam investment plan reached agreement with the regulator and other stakeholders.
- Minor pointThird-quarter adjusted earnings rose to $766 million, or $2.07 a share, from $686 million, or $1.90.
- Minor pointNine-month GAAP earnings rose to $1,998 million, or $5.44 a share, from $1,726 million, or $4.84.
8 minor points
- Minor pointNine-month adjusted earnings rose to $1,864 million, or $5.08 a share, from $1,718 million, or $4.82.
- Minor pointCECONY higher electric rate base added $62 million to quarterly net income and $99 million year to date.
- Minor pointCECONY higher gas rate base added $29 million to nine-month net income.
- Minor pointCECONY construction-related equity income added $9 million to quarterly net income and $15 million year to date.
- Minor pointLower CECONY health care costs added $8 million to third-quarter net income.
- Minor pointO&R electric base rate increase added $11 million to quarterly net income and $19 million year to date.
- Minor pointO&R gas base rate increase added $5 million to nine-month net income.
- Minor point. Forward-looking: it has not happened yet and may not happen.Climate-resilience investment is planned at approximately $797 million from 2026 through 2030.
Negative
- Minor pointCommon-share issuance dilution reduced CECONY earnings per share by $0.05 quarterly and $0.14 over nine months.
- Minor pointSteam investment plan remains subject to approval.
- Minor pointO&R long-term debt interest expense reduced nine-month net income by $8 million.
- Minor pointO&R higher operating and maintenance expense reduced net income by $5 million quarterly and year to date.
- Minor pointLower transmission investment income, primarily following the MVP interest sale, reduced third-quarter net income by $5 million.
4 minor points
- Minor pointMVP basis accretion changes reduced net income by $2 million quarterly and $5 million year to date.
- Minor pointMVP and Honeoye review transaction costs totaled $3 million after tax over the first nine months.
- Minor pointHigher other interest expense reduced nine-month net income by $1 million.
- Minor pointClean Energy Businesses sale-related effects reduced nine-month net income by $1 million.
News Explained
The release attributes a year-over-year
Key Figures
- Third-quarter net income
- $766 million vs. $688 million
- 2026 third quarter vs. 2025 third quarter
- Third-quarter earnings per share
- $2.07 vs. $1.91 per share
- Reported earnings, 2026 third quarter vs. 2025 third quarter
- Third-quarter adjusted earnings
- $766 million vs. $686 million
- Non-GAAP, 2026 third quarter vs. 2025 third quarter
- Third-quarter adjusted EPS
- $2.07 vs. $1.90 per share
- Non-GAAP, 2026 third quarter vs. 2025 third quarter
- Nine-month net income
- $1,998 million vs. $1,726 million
- First nine months of 2026 vs. first nine months of 2025
- Nine-month earnings per share
- $5.44 vs. $4.84 per share
- Reported earnings, first nine months of 2026 vs. 2025
- 2026 adjusted EPS guidance
- $6.05–$6.15 per share
- Prior forecast was $6.00–$6.20 per share
Key Terms
non-gaap financial
gaap financial
hypothetical liquidation at book value financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
For the first nine months of 2026, net income was
"Con Edison is a durable, long-term investment, supported by consistent performance, financial strength, and our ability to navigate an evolving landscape," said Tim Cawley, Chairman and CEO of Con Edison. "We're at the center of one of the nation's largest electrification efforts, serving a region with unique needs, complex infrastructure, and vital national assets. We remain focused on delivering world-class reliability to our customers while building the capacity and resilience
"We have a responsibility to protect our equipment and customers from increasingly extreme weather and plan to invest approximately
"We see a bright future as we expand our earnings base with strategic upgrades to our energy delivery systems that help us maintain our industry-leading reliability and provide attractive, steady earnings opportunities," said Kirk Andrews, Senior Vice President and CFO. "We've reached agreement with our regulator and other stakeholders on a new investment plan for our Steam business that is awaiting approval, demonstrating our strong ability to work with diverse parties to find consensus and make our region stronger."
For the year of 2026, Con Edison expects its adjusted earnings per share (non-GAAP) to be in the range of
See Attachment A to this press release for a reconciliation of Con Edison's reported earnings per share to adjusted earnings per share and reported net income to adjusted earnings for the three and nine months ended September 30, 2026 and 2025. See Attachments B and C for the estimated effect of major factors resulting in variations in earnings per share and net income for the three and nine months ended September 30, 2026 compared to the respective 2025 periods.
The company's 2026 Third Quarter Form 10-Q is being filed with the Securities and Exchange Commission. A third quarter 2026 earnings release presentation will be available at www.conedison.com (Select "For Investors" and then select "Press Releases").
This press release contains forward-looking statements that are intended to qualify for the safe-harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are statements of future expectations and not facts. Words such as "forecasts," "expects," "estimates," "anticipates," "intends," "believes," "plans," "will," "target," "guidance," "potential," "goal," "consider" and similar expressions identify forward-looking statements. The forward-looking statements reflect information available and assumptions at the time the statements are made, and accordingly speak only as of that time.
Actual results or developments might differ materially from those included in the forward-looking statements because of various factors such as those identified in reports Con Edison has filed with the Securities and Exchange Commission, including that: Con Edison's subsidiaries are extensively regulated and may be subject to substantial penalties; its utility subsidiaries' rate plans may not provide a reasonable return; it may be adversely affected by changes to the utility subsidiaries' rate plans; the failure of, or damage to, its subsidiaries' facilities could adversely affect it; a cyber attack could adversely affect it; artificial intelligence is an emerging area of technology that has the potential to impact various aspects of its and its subsidiaries' business operations and customer interactions; the failure of processes and systems, the failure to retain and attract employees and contractors, and their negative performance could adversely affect it; it is exposed to risks from the environmental consequences of its subsidiaries' operations, including increased costs related to climate change; its ability to pay dividends or interest depends on dividends from its subsidiaries; changes to tax laws could adversely affect it; it requires access to capital markets to satisfy funding requirements; a disruption in the wholesale energy markets, increased commodity costs or failure by an energy supplier or customer could adversely affect it; it faces risks related to health epidemics and other outbreaks; its strategies may not be effective to address changes in the external business environment; it faces risks related to supply chain disruptions, inflation and the imposition of tariffs (or subsequent changes to tariffs once announced or implemented); and it also faces other risks that are beyond its control. This list of factors is not all-inclusive because it is not possible to predict all factors that could cause actual results or developments to differ from the forward-looking statements. Con Edison assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
This press release also contains financial measures, adjusted earnings and adjusted earnings per share, that are not determined in accordance with GAAP. These non-GAAP financial measures should not be considered as an alternative to net income or net income per share, respectively, each of which is an indicator of financial performance determined in accordance with GAAP. Adjusted earnings and adjusted earnings per share exclude from net income and net income per share, respectively, certain items that Con Edison does not consider indicative of its ongoing financial performance such as the gain on the sale of Con Edison's equity interest in MVP, accretion of the basis difference of Con Edison's equity interest in MVP, transaction costs associated with the strategic alternatives review of Con Edison's equity interests in MVP and Honeoye and the effects of HLBV accounting for tax equity investments. Management uses these non-GAAP financial measures to facilitate the analysis of Con Edison's financial performance as compared to its internal budgets and previous financial results and to communicate to investors and others Con Edison's expectations regarding its future earnings and dividends on its common stock. Management believes that these non-GAAP financial measures are also useful and meaningful to investors to facilitate their analysis of Con Edison's financial performance.
Consolidated Edison, Inc. is a holding company that provides a wide range of energy-related products and services to its customers through the following subsidiaries: Consolidated Edison Company of New York, Inc. (CECONY), a regulated utility providing electric service in New York City and New York's Westchester County, gas service in Manhattan, the Bronx, parts of Queens and parts of Westchester, and steam service in Manhattan; Orange and Rockland Utilities, Inc. (O&R), a regulated utility serving customers in a 1,300-square-mile area in southeastern New York State and northern New Jersey; and Con Edison Transmission, Inc., a regulated company primarily under the oversight of the Federal Energy Regulatory Commission, that develops and owns interests in electric transmission projects.
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Attachment A |
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For the Three Months Ended |
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For the Nine Months Ended |
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September 30, |
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September 30, |
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Earnings per Share |
Net Income (Millions of Dollars) |
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Earnings per Share |
Net Income (Millions of Dollars) |
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2026 |
2025 |
2026 |
2025 |
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2026 |
2025 |
2026 |
2025 |
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Reported earnings per share (basic) and net income (GAAP basis) |
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Loss (gain) and other impacts related to the sale of the Clean Energy Businesses (pre-tax) |
— |
— |
— |
— |
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— |
— |
— |
— |
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Income taxes |
— |
— |
— |
— |
|
— |
— |
— |
(1) |
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Loss (gain) and other impacts related to the sale of the Clean Energy Businesses (net of tax) |
— |
— |
— |
— |
|
— |
— |
— |
(1) |
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Accretion of the basis difference of Con Edison's equity interest in MVP (pre-tax) |
— |
(0.01) |
— |
(3) |
|
— |
(0.02) |
(3) |
(9) |
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Income taxes (a) |
— |
— |
— |
1 |
|
— |
— |
1 |
2 |
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Accretion of the basis difference of Con Edison's equity interest in MVP (net of tax) |
— |
(0.01) |
— |
(2) |
|
— |
(0.02) |
(2) |
(7) |
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Transaction costs associated with the strategic alternatives review of Con Edison's equity interests in MVP and |
— |
— |
— |
— |
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0.01 |
— |
4 |
— |
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Income taxes (b) |
— |
— |
— |
— |
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— |
— |
(1) |
— |
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Transaction costs associated with the strategic alternatives review of Con Edison's equity interests in MVP and |
— |
— |
— |
— |
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0.01 |
— |
3 |
— |
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Gain on the sale of Con Edison's equity interest in MVP (pre-tax) |
— |
— |
— |
— |
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(0.52) |
— |
(189) |
— |
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Income taxes (c) |
— |
— |
— |
— |
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0.15 |
— |
55 |
— |
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Gain on the sale of Con Edison's equity interest in MVP (net of tax) |
— |
— |
— |
— |
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(0.37) |
— |
(134) |
— |
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HLBV effects (pre-tax) |
— |
— |
— |
— |
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— |
— |
(1) |
— |
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Income taxes |
— |
— |
— |
— |
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— |
— |
— |
— |
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HLBV effects (net of tax) |
— |
— |
— |
— |
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— |
— |
(1) |
— |
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Adjusted earnings per share and adjusted earnings (non-GAAP basis) |
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(a) |
The amount of income taxes was calculated using a combined federal and state income tax rate of |
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(b) |
The amount of income taxes was calculated using a combined federal and state income tax rate of |
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(c) |
The amount of income taxes was calculated using a combined federal and state income tax rate of |
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Attachment B |
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Variation for the Three Months Ended September 30, 2026 vs. 2025 |
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Net Income (Net of Tax) |
Earnings per Share |
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CECONY (a) |
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Higher electric rate base |
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Higher income from allowance for equity funds used during construction |
9 |
0.03 |
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Lower operation and maintenance expense from health care costs |
8 |
0.02 |
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Dilutive effect of issuance of common shares |
— |
(0.05) |
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Other |
1 |
— |
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Total CECONY |
80 |
0.17 |
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O&R (a) |
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Electric base rate increase |
11 |
0.03 |
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Higher electric and gas operation and maintenance expense |
(5) |
(0.01) |
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Other |
(3) |
(0.01) |
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Total O&R |
3 |
0.01 |
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Con Edison Transmission |
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Lower investment income primarily due to the sale of Con Edison's equity interest in MVP |
(5) |
(0.01) |
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Accretion of the basis difference of Con Edison's equity interest in MVP |
(2) |
(0.01) |
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Other |
2 |
— |
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Total Con Edison Transmission |
(5) |
(0.02) |
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Other, including parent company expenses (b) |
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Total Other, including parent company expenses |
— |
— |
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Total Reported (GAAP basis) |
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Accretion of the basis difference of Con Edison's equity interest in MVP |
2 |
0.01 |
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Total Adjusted (Non-GAAP basis) |
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(a) |
Under the revenue decoupling mechanisms in the Utilities' |
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(b) |
Other includes the parent company, Con Edison's tax equity investments and consolidation adjustments. |
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Attachment C |
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Variation for the Nine Months Ended September 30, 2026 vs. 2025 |
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Net Income (Net of Tax) |
Earnings per Share |
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CECONY (a) |
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Higher electric rate base |
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Higher gas rate base |
29 |
0.08 |
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Higher income from allowance for equity funds used during construction |
15 |
0.04 |
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Dilutive effect of issuance of common shares |
— |
(0.14) |
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Other |
(1) |
— |
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Total CECONY |
142 |
0.25 |
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O&R (a) |
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Electric base rate increase |
19 |
0.05 |
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Gas base rate increase |
5 |
0.01 |
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Higher interest expense on long-term debt |
(8) |
(0.02) |
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Higher electric and gas operation and maintenance expense |
(5) |
(0.01) |
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Other |
(2) |
(0.01) |
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Total O&R |
9 |
0.02 |
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Con Edison Transmission |
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Gain on the sale of Con Edison's equity interest in MVP |
134 |
0.37 |
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Accretion of the basis difference of Con Edison's equity interest in MVP |
(5) |
(0.02) |
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Transaction costs associated with strategic alternatives review of Con Edison's equity interests in MVP and |
(3) |
(0.01) |
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Other |
(1) |
(0.01) |
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Total Con Edison Transmission |
125 |
0.33 |
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Other, including parent company expenses (b) |
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Higher other interest expense |
(1) |
— |
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Loss and other impacts related to the sale of the Clean Energy Businesses |
(1) |
— |
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HLBV effects |
1 |
— |
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Other |
(3) |
— |
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Total Other, including parent company expenses |
(4) |
— |
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Total Reported (GAAP basis) |
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Gain on the sale of Con Edison's equity interest in MVP |
(134) |
(0.37) |
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HLBV effects |
(1) |
— |
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Accretion of the basis difference of Con Edison's equity interest in MVP |
5 |
0.02 |
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Transaction costs associated with the strategic alternatives review of Con Edison's equity interests in MVP and |
3 |
0.01 |
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Loss and other impacts related to the sale of the Clean Energy Businesses |
1 |
— |
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Total Adjusted (Non-GAAP basis) |
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(a) |
Under the revenue decoupling mechanisms in the Utilities' |
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(b) |
Other includes the parent company, Con Edison's tax equity investments, consolidation adjustments and Broken Bow II, the deferred project that was classified as held for sale at December 31, 2024, the sale and transfer of which was completed in January 2025. |
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SOURCE Consolidated Edison, Inc.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were Con Edison's third-quarter 2026 earnings?
Con Edison earned $766 million, or $2.07 a share, compared with $688 million, or $1.91 a share, in the third quarter of 2025. Adjusted earnings were also $766 million, or $2.07 a share, compared with $686 million, or $1.90 a share.
What is Con Edison's updated 2026 earnings guidance?
Con Edison expects adjusted earnings per share of $6.05 to $6.15 for 2026, compared with its previous forecast of $6.00 to $6.20. The revised range raises the lower end and lowers the upper end.
Why is Con Edison not providing a GAAP equivalent of its 2026 adjusted earnings forecast?
Con Edison cannot provide equivalent GAAP guidance because certain excluded amounts will not be determinable until year-end. These include transaction costs associated with reviewing alternatives for its MVP and Honeoye interests and the effects of hypothetical liquidation at book value, an accounting method for tax equity investments.
How do delivery volumes and energy purchase costs affect Con Edison's utility results?
Revenue-decoupling mechanisms generally prevent changes in delivery volumes from affecting revenues relative to levels assumed in approved New York electric and gas rates. The utilities generally recover fuel, purchased gas and purchased power costs on a current basis, so those costs generally do not affect operating results. Gas and CECONY steam delivery revenues also reflect normal heating-season weather through weather normalization.