Exceeded 2025 raised financial guidance ranges; returned $1.6 billion of capital to shareholders
Completed acquisition of 13 GW of power generation assets and CPower from LS Power; doubles generation footprint, expands demand response capabilities, and strengthens affordability and reliability solutions for customers
Adjusted Earnings per Share (Adjusted EPS) growth rate target of 14%+ extended through 2030
Closed Texas Energy Fund (TEF) loan agreement for Greens Bayou 443 MW CCGT facility; 1.5 GW across three projects supported by $1.15 Bn in low-interest financing; first project expected online in June 2026
Exceeded raised 2025 Texas residential VPP target

NRG Energy, Inc. (NYSE:NRG) today reported GAAP Net Income of $66 million for the three months ended December 31, 2025 and $0.9 billion for the full year 2025. GAAP EPS — basic was $4.09, Cash Provided by Operating Activities was $1.9 billion, Adjusted Net Income was $1.6 billion, Adjusted EPS was $8.24, Adjusted EBITDA was $4.1 billion, and Free Cash Flow before Growth (FCFbG) was $2.2 billion for the full year 2025.

"We've doubled our generation footprint, advanced 1.5 GW of new generation through three Texas Energy Fund projects, and expanded our demand response and residential VPP capabilities," said Larry Coben, NRG Chair and Chief Executive Officer. "This enhances NRG's ability to provide resilient and affordable solutions to our customers during this power demand supercycle. We expect to add significant new capacity for data centers through our bring your own power strategy and new innovative, affordable products for everyone from the household to the hyperscaler."

Consolidated Financial Results

Table 1

	Three Months Ended				Twelve Months Ended
(In millions, except per share amounts)	12/31/25		12/31/24		12/31/25		12/31/24
GAAP Net Income	$	66	$	643	$	864	$	1,125
Adjusted Net Income^{a b}	$	200	$	316	$	1,606	$	1,408
GAAP EPS — basic^c	$	0.26	$	3.10	$	4.09	$	5.14
Adjusted EPS^{a d}	$	1.04	$	1.56	$	8.24	$	6.83
Adjusted EBITDA^a	$	847	$	902	$	4,087	$	3,789
Cash Provided/(Used) by Operating Activities	$	123	$	952	$	1,913	$	2,306
Free Cash Flow Before Growth Investments (FCFbG)^a	$	175	$	624	$	2,210	$	2,062
^a Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, and FCFbG are non-GAAP financial measures; see Appendix tables A-1 through A-6 for GAAP reconciliations. Adjusted Net Income, Adjusted EPS, and Adjusted EBITDA exclude fair value adjustments related to derivatives
^bAdjusted Net Income as shown here is 'Adjusted Net Income available for common stockholders'; see Appendix tables A-1 through A-4
^cGAAP Income per Weighted Average Common Share - Basic
^dAdjusted EPS calculated based on Adjusted Net Income divided by weighted average number of common shares outstanding - basic

NRG's GAAP Net Income for the full year 2025 was $261 million lower than prior year. The year-over-year change was primarily driven by unrealized non-cash mark-to-market losses on open positions related to economic hedges compared to gains in 2024. Certain economic hedge positions that impact NRG's GAAP Net Income are required to be marked-to-market every period, while the customer contracts related to these items are not, resulting in temporary unrealized non-cash losses or gains on the economic hedges that are not reflective of the expected economics at future settlement. The decrease was also driven by the sale of Airtron in 2024 and the termination of the Cottonwood lease in 2025, partially offset by strong Texas and Vivint Smart Home performance in 2025 and a loss on debt extinguishment recorded in 2024.

Adjusted Net Income for the full year 2025 was $1.6 billion, $198 million higher than prior year, primarily driven by $298 million improvement in Adjusted EBITDA described in the segment results below. This was partially offset by increased interest expense primarily driven by the funding of the acquisition of assets and CPower from LS Power. Adjusted EPS was $8.24 for full year 2025, $1.41 higher than prior year as a result of strong financial and operating performance, as well as reduction of 11 million in the weighted average number of basic common shares outstanding.

Reaffirming 2026 Guidance

On February 2, 2026, NRG announced updated guidance following the close of its acquisition of a portfolio of assets and CPower from LS Power on January 30, 2026. The updated guidance reflects approximately 11 months of ownership of these assets in 2026.

NRG is reaffirming its guidance for 2026 as set forth below.

Table 2: Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, and FCFbG Guidance for 2026^a,b

	2026	2026
(In millions, except per share amounts)	Guidance	Guidance Midpoint
Adjusted Net Income	$1,685 - $2,115	$1,900
Adjusted EPS	$7.90 - $9.90	$8.90
Adjusted EBITDA	$5,325 - $5,825	$5,575
FCFbG	$2,800 - $3,300	$3,050
^a Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, and FCFbG are non-GAAP financial measures; see Appendix tables A-8 and A-9 for GAAP reconciliations. Adjusted Net Income, Adjusted EPS, and Adjusted EBITDA exclude fair value adjustments related to derivatives. The Company does not guide to GAAP Net Income due to the impact of such fair value adjustments related to derivatives in a given year
^b Reflects the Company's previously communicated 2026 outlook, updated to incorporate approximately 11 months of ownership of the portfolio acquired from LS Power. The updated guidance therefore includes approximately 90% of the acquired portfolio's estimated full-year 2026 contribution.

Capital Allocation

In 2025, the Company returned $1.6 billion to shareholders through $1.3 billion in share repurchases and $344 million in common stock dividends. On October 8, 2025, the Company issued $4.9 billion of Notes to partially fund the acquisition of assets and CPower from LS Power and refinance its Senior Secured First Lien Notes due in 2025. In addition, the Company executed $310 million in liability management.

For 2026, the Company reiterates its previously announced capital allocation plan, which includes $1.0 billion in share repurchases, and common stock dividends of approximately $400 million. As of January 31, 2026, the Company has executed $100 million in share repurchases.

On January 23, 2026, NRG declared a quarterly dividend of $0.475 per common share, or $1.90 per share on an annualized basis. This dividend represented an 8% increase, in line with the Company's annual dividend target growth rate of 7-9% per share. The dividend was paid on February 17, 2026, to common stockholders of record as of February 2, 2026.

NRG's share repurchase program and common stock dividend are subject to maintaining satisfactory credit metrics, available capital, market conditions, and compliance with associated laws and regulations. The timing and amount of any shares of NRG's common stock repurchased under the share repurchase authorization will be determined by NRG's management based on market conditions and other factors. NRG will only repurchase shares when management believes it would not jeopardize the Company's ability to maintain satisfactory credit ratings.

NRG Strategic Developments

Completed Acquisition of 13 GW of Power Generation Assets and CPower from LS Power

On January 30, 2026, NRG closed on the acquisition of assets and CPower from LS Power. The transaction included 18 natural-gas and dual fuel facilities totaling 13 GW across nine states and CPower's C&I demand response platform. Combined, this highly accretive transaction doubles NRG's generation capacity, boosts upside opportunities from the power demand supercycle, and expands the Company's broad range of affordable and resilient solutions for customers large and small.

Texas Energy Fund (TEF)

On November 20, 2025, NRG entered into a $370 million loan agreement with the Public Utility Commission of Texas (PUCT) under the TEF for a low-interest rate loan at 3% to support development of its 443 MW Greens Bayou generation facility. Initial disbursement of funds occurred in November 2025 and is expected to continue through the projected mid-2028 commercial operations date.

NRG now has three projects funded through the program totaling 1.5 GW of new generation in Texas, supported by $1.15 Bn in low-interest financing. Construction is underway, with all three projects on time and on budget. The Company expects commercial operations at the first project, T.H. Wharton, in June 2026. These projects underscore NRG's commitment to delivering high-quality dispatchable generation to meet the growing energy needs of Texas consumers.

Texas Residential VPP

On August 6, 2025, NRG raised its 2025 Texas Residential Virtual Power Plant target to 150 MW, up from 20 MW, following strong customer adoption of the Home Essentials and other offerings. The program exceeded its 2025 target and remains on track to achieve 650 MW in Texas by 2030 and 1 GW by 2035.

Segment Results

Table 3: Adjusted EBITDA^a

(In millions)	Three Months Ended				Twelve Months Ended
Segment	12/31/25		12/31/24		12/31/25		12/31/24
Texas	$	259	$	327	$	1,877	$	1,582
East		301		282		981		1,006
West/Other^b		12		18		137		190
Vivint Smart Home		275		275		1,092		1,011
Adjusted EBITDA	$	847	$	902	$	4,087	$	3,789
^aAdjusted EBITDA is a non-GAAP financial measure; see Appendix tables A-1 through A-4 for GAAP reconciliation of Adjusted EBITDA (by operating segment) to GAAP Net Income (by operating segment). Adjusted EBITDA excludes fair value adjustments related to derivatives
^bIncludes Corporate activities

Texas: Full year 2025 Adjusted EBITDA was $1,877 million, $295 million higher than the prior year. The increase is primarily driven by improved margins and supply cost optimization, partially offset by higher planned plant maintenance expenditure.

East: Full year 2025 Adjusted EBITDA was $981 million, $25 million lower than prior year. This decrease is primarily driven by higher cost to serve retail load, higher planned plant maintenance expenditure, and retirement of the Indian River facility, partially offset by higher natural gas wholesale margins and higher capacity prices for owned generation.

West/Other: Full year 2025 Adjusted EBITDA was $137 million, $53 million lower than prior year. This decrease is primarily driven by the sale of Airtron in September 2024 and termination of the Cottonwood lease in May 2025, partially offset by higher retail power margins.

Vivint Smart Home: Full year Adjusted EBITDA was $1,092 million, $81 million higher than prior year. The increase is attributable to growth in customer count, driven by record new customer adds and continued strong customer retention, and an increase in monthly recurring service margin per customer.

Liquidity and Capital Resources

Table 4: Corporate Liquidity

(In millions)	12/31/25		12/31/24
Cash and Cash Equivalents	$	4,708	$	966
Restricted Cash		30		8
Total	$	4,738	$	974
Total credit facility availability		4,890		4,469
Total Liquidity, excluding collateral received	$	9,628	$	5,443

As of December 31, 2025, NRG's unrestricted cash was $4.7 billion, and $4.9 billion was available under the Company's credit facilities. Total liquidity was $9.6 billion, which was $4.2 billion higher than December 31, 2024. The increase was driven by $4.9 billion of newly-issued secured and unsecured corporate debt primarily to fund the acquisition of assets and CPower from LS Power.

Earnings Conference Call

On February 24, 2026, NRG will host a conference call at 9:00 a.m. Eastern (8:00 a.m. Central) to discuss these results. Investors, the news media and others may access the live webcast of the conference call and accompanying presentation materials through the investor relations website under "presentations and webcasts" on investors.nrg.com. The webcast will be archived on the site for those unable to listen in real-time.

About NRG

NRG is a leading provider of electricity, natural gas, and smart home solutions to eight million customers across North America. The company operates a customer-first platform supported by a diversified supply strategy and the safe, reliable operation of approximately 25 GW of power generation. NRG plays a meaningful role in competitive energy markets and our innovative team is creating the flexible and affordable solutions that households and large businesses need today and in the future. Visit nrg.com for more information, and connect with us on Facebook, Instagram, LinkedIn, and X.

Safe Harbor

In addition to historical information, the information presented in this press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Exchange Act. These statements involve estimates, expectations, projections, goals, assumptions, known and unknown risks and uncertainties and can typically be identified by terminology such as "may," "should," "could," "objective," "projection," "forecast," "goal," "guidance," "outlook," "expect," "intend," "seek," "plan," "think," "anticipate," "estimate," "predict," "target," "potential" or "continue" or the negative of these terms or other comparable terminology. Such forward-looking statements include, but are not limited to, statements about NRG's future revenues, income, indebtedness, capital structure, plans, expectations, objectives, projected financial performance and/or business results and other future events, and views of economic and market conditions.

Although NRG believes that its expectations are reasonable, it can give no assurance that these expectations will prove to be correct, and actual results may vary materially. Factors that could cause actual results to differ materially from those contemplated herein include, among others, general economic conditions, the imposition of tariffs and escalation of international trade disputes (and inflationary impacts resulting therefrom), risks associated with the integration of the assets acquired from LS Power, including potential disruption to ongoing operations and other transition difficulties, the inability of the combined company to realize expected synergies and benefits of integration (or that it takes longer than expected) which may result in the combined company not operating as effectively as expected, hazards customary in the power industry, weather conditions and extreme weather events, competition in wholesale power, gas and smart home markets, the volatility of energy and fuel prices, the volatility in demand for power and gas, customer affordability concerns that may constrain the pricing of the Company's products and services and limit its ability to recover costs, failure of customers or counterparties to perform under contracts, changes in the wholesale power and gas markets, the failure of NRG's expectations regarding load growth to materialize, changes in government or market regulations, the condition of capital markets generally and NRG's ability to access capital markets, NRG's ability to execute its market operations and supply strategy, risks related to data privacy, cyberterrorism and inadequate cybersecurity, the loss of data, unanticipated outages at NRG's generation facilities, operational and reputational risks related to the use of artificial intelligence and the adherence to developing laws and regulations related to the use thereof, NRG's ability to achieve its net debt targets, adverse results in current and future litigation, complaints, product liability claims and/or adverse publicity, failure to identify, execute or successfully implement acquisitions or asset sales, risks of the smart home and security industry, including risks of and publicity surrounding the sales, customer origination and retention process, the impact of changes in consumer spending patterns, consumer preferences, geopolitical tensions, demographic trends, supply chain disruptions, NRG's ability to implement value enhancing improvements to plant operations and company-wide processes, NRG's ability to achieve or maintain investment grade credit metrics, NRG's ability to proceed with projects under development or the inability to complete the construction of such projects on schedule or within budget, the inability to maintain or create successful partnering relationships, NRG's ability to operate its business efficiently, NRG's ability to retain retail customers, the ability to successfully integrate businesses of acquired assets or companies, NRG's ability to realize anticipated benefits of transactions (including expected cost savings and other synergies) or the risk that anticipated benefits may take longer to realize than expected, NRG's ability to execute its capital allocation plan, and the other risks and uncertainties discussed in this release and in our Forms 10-K, 10-Q, and 8-K filed with or furnished to the SEC.

NRG undertakes 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. The Adjusted Net Income, Adjusted EPS, Adjusted EBITDA and Free Cash Flow before Growth guidance are estimates as of February 24, 2026. These estimates are based on assumptions NRG believed to be reasonable as of that date. NRG disclaims any current intention to update such guidance, except as required by law. The foregoing review of factors that could cause NRG's actual results to differ materially from those contemplated in the forward-looking statements included in this press release should be considered in connection with information regarding risks and uncertainties that may affect NRG's future results included in NRG's filings with the Securities and Exchange Commission at www.sec.gov. For a more detailed discussion of these factors, see the information under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in NRG's most recent Annual Report on Form 10-K, and in subsequent SEC filings. NRG's forward-looking statements speak only as of the date of this communication or as of the date they are made.

NRG ENERGY, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

	For the Year Ended December 31,
(In millions, except per share amounts)	2025			2024			2023
Revenue
Revenue	$	30,713		$	28,130		$	28,823
Operating Costs and Expenses
Cost of operations (excluding depreciation and amortization shown below)		24,761			22,100			26,483
Depreciation and amortization		1,406			1,403			1,295
Impairment losses		—			36			26
Selling, general and administrative costs (excluding amortization of customer acquisition costs of $295, $204 and $125, respectively, which are included in depreciation and amortization shown separately above)		2,602			2,345			2,094
Acquisition-related transaction and integration costs		74			30			119
Total operating costs and expenses		28,843			25,914			30,017
(Loss)/Gain on sale of assets		(25	)		208			1,578
Operating Income		1,845			2,424			384
Other Income/(Expense)
Equity in earnings of unconsolidated affiliates		11			20			16
Impairment losses on investments		(39	)		(7	)		(102	)
Other income, net		68			44			47
(Loss)/Gain on debt extinguishment		(10	)		(382	)		109
Interest expense		(741	)		(651	)		(667	)
Total other expense		(711	)		(976	)		(597	)
Income/(Loss) Before Income Taxes		1,134			1,448			(213	)
Income tax expense/(benefit)		270			323			(11	)
Net Income/(Loss)		864			1,125			(202	)
Less: Cumulative dividends attributable to Series A Preferred Stock		67			67			54
Net Income/(Loss) Available for Common Stockholders	$	797		$	1,058		$	(256	)
Income/(Loss) Per Share
Weighted average number of common shares outstanding — basic		195			206			228
Income/(Loss) per Weighted Average Common Share — Basic	$	4.09		$	5.14		$	(1.12	)
Weighted average number of common shares outstanding — diluted		199			212			228
Income/(Loss) per Weighted Average Common Share — Diluted	$	4.01		$	4.99		$	(1.12	)

NRG ENERGY, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME/(LOSS)

	For the Year Ended December 31,
(In millions)	2025		2024			2023
Net Income/(Loss)	$	864	$	1,125		$	(202	)
Other Comprehensive Income/(Loss), net of tax
Foreign currency translation adjustments		21		(22	)		9
Defined benefit plans		15		(4	)		30
Other comprehensive income/(loss)		36		(26	)		39
Comprehensive Income/(Loss)	$	900	$	1,099		$	(163	)

NRG ENERGY, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

	As of December 31,
(In millions)	2025		2024
ASSETS
Current Assets
Cash and cash equivalents	$	4,708	$	966
Funds deposited by counterparties		260		199
Restricted cash		30		8
Accounts receivable, net		4,065		3,488
Inventory		461		478
Derivative instruments		2,189		2,686
Cash collateral paid in support of energy risk management activities		365		309
Prepayments and other current assets		1,069		830
Total current assets		13,147		8,964
Property, plant and equipment, net		3,632		2,021
Other Assets
Equity investments in affiliates		16		45
Operating lease right-of-use assets, net		130		151
Goodwill		5,017		5,011
Customer relationships, net		1,203		1,538
Other intangible assets, net		1,106		1,370
Derivative instruments		1,568		1,710
Deferred income taxes		1,843		2,067
Other non-current assets		1,478		1,145
Total other assets		12,361		13,037
Total Assets

NRG Energy, Inc. Reports Full Year 2025 Financial Results