MGE Energy Reports Fourth-Quarter and Full-Year 2025 Earnings

Key Terms

gaap financial

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

battery energy storage system technical

A battery energy storage system is a device that stores electricity for later use, much like a rechargeable battery for a phone or laptop. It allows energy generated during times of low demand or from renewable sources to be saved and released when needed, helping to balance supply and demand. For investors, it represents a way to support reliable energy flow and capitalize on the increasing demand for flexible, clean power solutions.

bess technical

BESS stands for Battery Energy Storage System, a technology that stores electricity for later use. Think of it as a large rechargeable battery that can hold excess power generated during times of low demand and release it when usage is high, helping balance supply and demand. This is important for investors because it supports the stability of energy grids, enables the integration of renewable sources, and can create new opportunities for profitability in the energy market.

therm technical

A therm is a standard unit for measuring heat energy commonly used in the natural gas and utilities industry; one therm equals 100,000 British thermal units (BTU), roughly the energy needed to heat a typical home for a few days. Investors watch therm-based measures because gas contracts, utility bills, storage volumes and commodity prices are often quoted or settled by therms, so changes in therm demand or price affect company revenues, costs and profit margins much like tracking gallons for oil.

MADISON, Wis.--(BUSINESS WIRE)-- MGE Energy, Inc. (Nasdaq: MGEE), today reported financial results for the fourth quarter and full year of 2025.

MGE Energy's GAAP (Generally Accepted Accounting Principles) earnings for the full year of 2025 were $135.9 million, or $3.72 per share, compared to $120.6 million, or $3.33 per share, for the same period in the prior year.

MGE Energy's earnings for the fourth quarter of 2025 were $23.3 million, or 64 cents per share, compared to $22.0 million, or 61 cents per share, for the same period in the prior year.

Electric segment earnings increased $11.3 million for 2025 compared to 2024. This growth was largely driven by the successful deployment of key renewable energy projects. The Darien Solar Project in Rock and Walworth counties became operational in March 2025, followed by the Paris Battery Energy Storage System (BESS) in June 2025. MGE owns 25 MW of solar capacity from the Darien Solar Project and 11 MW of battery capacity from the Paris BESS.

Gas segment earnings increased $2.5 million for 2025 compared to 2024. During 2025, gas retail therm deliveries increased approximately 14% compared to the prior year, primarily due to warmer-than-normal weather in 2024.

MGE Energy, Inc.
(In thousands, except per-share amounts)
(Unaudited)
Three Months Ended December 31,		2025				2024
Operating Revenues		$	189,553			$	171,415
Operating Income		$	32,490			$	27,642
Net Income		$	23,302			$	22,022
Earnings Per Share - basic		$	0.64			$	0.61
Earnings Per Share - diluted		$	0.64			$	0.61
Weighted average shares outstanding - basic			36,542				36,312
Weighted average shares outstanding - diluted			36,578				36,347
Year Ended December 31,		2025				2024
Operating Revenues		$	743,654			$	676,944
Operating Income		$	170,653			$	146,262
Net Income		$	135,889			$	120,569
Earnings Per Share - basic		$	3.72			$	3.33
Earnings Per Share - diluted		$	3.72			$	3.33
Weighted average shares outstanding - basic			36,534				36,210
Weighted average shares outstanding - diluted			36,571				36,239

About MGE Energy

MGE Energy is a public utility holding company. Its principal subsidiary, Madison Gas and Electric, generates and distributes electricity to 170,000 customers in Dane County, Wis., and purchases and distributes natural gas to 180,000 customers in seven south-central and western Wisconsin counties. MGE's roots in the Madison area date back more than 150 years.

Forward-looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements are based on MGE Energy's current expectations, estimates and assumptions regarding future events, which are inherently uncertain. We caution you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. We undertake no obligation to revise or update publicly any such forward-looking statements to reflect any change in expectations or in events, conditions or circumstances on which any such statements may be based. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to our business in general, please refer to the “Risk Factors” sections in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260224526788/en/

Steve B. Schultz

Media Relations

608-252-7219 | sbschultz@mge.com

Ken Frassetto

Investor Relations

608-252-4723 | kfrassetto@mge.com

Source: MGE Energy, Inc.