US-based electric utility company American Electric Power (AEP) has reported generally accepted accounting principles (GAAP) earnings of $874m for the first quarter of 2026 (Q1 2026), up 9.3% from $800m in the same period of 2025.
Earnings per share (EPS) on a GAAP basis increased to $1.61 from $1.50.
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Non-GAAP operating earnings for the quarter reached $891m, an 8.3% increase from $823m, with EPS rising to $1.64 from $1.54.
Revenue for the quarter climbed 10.2% to $6.02bn from $5.46bn.
AEP maintained its full-year 2026 operating earnings guidance, projecting EPS between $6.15 and $6.45.
In segment performance, Vertically Integrated Utilities reported a 42.6% increase in GAAP earnings to $462m from $324m.
The Transmission & Distribution Utilities segment saw earnings grow by 43.6% to $237m in Q1 2026 from $165m in the same quarter of 2025.
Conversely, AEP Transmission Holdco’s earnings for the quarter decreased by 11.1% to $209m from $235m.
AEP chairman, president and CEO Bill Fehrman said: “AEP is executing on our strategic plan at an exceptionally high level during a time of unprecedented opportunity for our industry while keeping an intense focus on affordability.
“We are seeing substantial demand growth across our footprint, particularly from data centres and other large load customers. We are intensely focused on delivering reliability and long-term value for our customers and stakeholders.”
AEP reported growth in demand across its service areas, driven by new load agreements totalling 7GW in Q1, primarily in Ohio and Texas.
The company expects its incremental load to reach 63GW by 2030, supported by agreements with industrial customers, hyperscalers and data centre developers.
AEP Texas alone accounts for 41GW of these new commitments, with the implementation of Texas Senate Bill 6 expected to streamline interconnection processes.
To accommodate this growth, AEP has increased its five-year capital plan to $78bn, up from $72bn, focusing on transmission investments and new natural gas-fired generation in Indiana.
This expansion is projected to yield annual rate-base growth of nearly 11% and an operating earnings compound annual growth rate exceeding 9% through 2030.
AEP’s transmission network is said to be the largest in the US.
The company plans to invest $33bn in transmission projects, representing 42% of its capital plan.
New projects include 765kV transmission lines across the Southwest Power Pool and PJM Interconnection areas, with significant expansions in Oklahoma, Louisiana, Ohio, Indiana and Wisconsin.
AEP also leverages federal grants and loan guarantees to provide customer savings of nearly $600m and enhance grid resilience.
