Pinnacle West Capital Corporation, parent of Arizona Public Service (APS), provides an overview of its regulated electric utility business for the year ended December 31, 2025. The company reports consolidated assets of approximately $30 billion and derives essentially all revenue and earnings from APS.
APS serves about 1.4 million customers, recorded a 2025 peak demand of 8,648 MW, and notes that roughly 58% of its 2025 energy supply came from clean resources including nuclear, renewables, and demand-side management. The filing details a large resource mix centered on the Palo Verde nuclear plant, extensive solar and battery projects, long-term power purchase agreements, and plans for additional flexible natural gas generation. It also describes the April 2025 retirement of the coal-fired Cholla units, ongoing Four Corners coal operations, significant environmental and climate-related regulatory developments, and long-term obligations for nuclear decommissioning and coal ash management.
Pinnacle West Capital Corporation reported 2025 net income attributable to common shareholders of $616.5 million, or $5.05 per diluted share, slightly above $608.8 million, or $5.24 per diluted share, in 2024. Operating revenues rose to $5.34 billion from $5.12 billion as strong customer and sales growth offset higher fuel, interest and operating costs.
Fourth-quarter 2025 results improved to net income of $15.4 million, or $0.13 per diluted share, compared with a net loss of $6.8 million, or $0.06 per share, a year earlier. APS delivered 2.4% customer growth and 5.0% weather‑normalized retail electricity sales growth in 2025, driven by new residents, businesses and large commercial and manufacturing projects.
For 2026, the company estimates consolidated earnings of $4.55 to $4.75 per diluted share on a weather‑normalized basis and targets long‑term EPS growth of 5% to 7% off its original 2024 midpoint. Management highlighted continued infrastructure investment, a capital plan totaling about $10.35 billion for 2025‑2028 at APS, and an ongoing focus on reliability, wildfire mitigation and keeping customer bills as low as possible.
Pinnacle West Capital EVP and COO Jacob Tetlow reported multiple equity award transactions in the form of Restricted Stock Units and common stock on February 20, 2026. Several RSU awards were exercised and settled in shares, consistent with footnotes stating each unit equals one share of common stock and includes dividend-equivalent units tied to cash dividends. To cover tax obligations and issuer-related settlements, Tetlow delivered portions of the common shares back to the company at $98.34 per share under disposition and tax-withholding codes. After these transactions, he held 2,692 common shares directly and 2,471 shares indirectly through a 401(k), reflecting a mix of award vesting, tax withholding, and ongoing ownership rather than open-market buying or selling.
Pinnacle West Capital EVP & CNO Adam C. Heflin reported multiple equity award transactions in company stock. On February 20, 2026, he exercised several batches of Restricted Stock Units (RSUs), which convert into an equal number of common shares and are settled 100% in stock according to the footnotes.
The filing also records related dispositions of common shares back to the company and for tax withholding, with several transactions priced at $98.34 per share. After these exercises and withholding-related dispositions, Heflin directly held 28,120 shares of Pinnacle West common stock, plus a small indirect holding of 6 shares in a trust.
Pinnacle West Capital director and Chairman, CEO and President Theodore N. Geisler reported a series of equity compensation transactions in company stock. On February 20, 2026, multiple tranches of Restricted Stock Units were exercised and converted into shares of common stock at a stated price of $98.34 per share for related tax and settlement entries. A portion of the resulting shares was retained by the company to satisfy tax withholding obligations, while other shares reflected cash settlement of dividend-equivalent rights tied to prior RSU awards. After these moves, Geisler transferred 5,319 shares as a bona fide gift to a revocable family trust, resulting in 37,567 shares of common stock reported as held indirectly by the trust. The activity reflects equity award vesting, tax management, and estate planning rather than open-market buying or selling.
Pinnacle West Capital senior vice president Jose Luis Esparza Jr. reported a mix of equity award vesting and related share movements. On February 20, 2026, he exercised several blocks of restricted stock units into common stock, which convert one-for-one into shares and are settled entirely in stock. Some of the resulting shares were surrendered back to the company at $98.34 per share to cover tax withholding and other obligations. After these transactions, Esparza directly owned 4,746 shares of Pinnacle West common stock and held 1,563 restricted stock units, including amounts accrued from dividend equivalent rights.
Pinnacle West Capital’s SVP & CFO Andrew D. Cooper reported a series of equity compensation transactions on February 20, 2026. He exercised multiple Restricted Stock Units (RSUs), receiving common shares at a stated price of $0.00 per share through derivative exercises.
Some of the newly issued shares were delivered back to the company or withheld to satisfy obligations, including tax-withholding dispositions at $98.34 per share. Footnotes explain that each RSU equals one common share, with awards granted between 2022 and 2025, vesting annually and accruing dividend-equivalent RSUs. After these transactions, Cooper directly owns 19,600 shares of Pinnacle West common stock.
Pinnacle West Capital VP, Controller and CAO Elizabeth A. Blankenship reported multiple equity compensation transactions dated February 20, 2026. She exercised Restricted Stock Units that convert into common stock at no exercise price and received shares accordingly.
Some of the newly issued common shares were surrendered back to the company and withheld at $98.34 per share to cover tax and related obligations, while she retained the remaining shares. After these transactions, she directly held 9,874 shares of common stock and indirectly held 54 shares through a 401(k) plan.
Pinnacle West Capital VP and Treasurer Christopher R. Bauer reported several equity transactions involving restricted stock units and common shares of the company on February 20, 2026. He exercised restricted stock units covering 272 and 291 units, each unit representing the economic equivalent of one share of common stock and settled entirely in shares. These exercises resulted in corresponding acquisitions of company common shares at a stated price of $0.00 per share.
Bauer also disposed of small blocks of common shares back to the company and to satisfy tax obligations. Dispositions included 17 and 12 shares classified as transfers to the issuer, and 81 and 89 shares withheld at $98.34 per share to cover tax liabilities, while he retained the remaining shares from these awards.