WEC Energy Group delivered a solid Q3 2025 top-line performance with revenue of $2.104 billion, up 12.9% year over year and 4.7% quarter over quarter, underscoring the resilience of its regulated utility franchise. The company posted gross profits of $1.4959 billion (gross margin ~71.1%), operating income of $449.6 million (operating margin ~21.37%), and net income of $271.3 million, translating to diluted EPS of $0.83–$0.84 for the quarter. EBITDA reached $901.6 million with an EBITDAR ratio of 0.4285, highlighting strong operating profitability even as capital intensity remains elevated in the period.
On the cash-flow front, operating cash flow per share (OCF/share) was $2.90, while free cash flow per share (FCF/share) was negative at approximately $(1.93). This dichotomy reflects ongoing capital expenditure and working capital dynamics typical of regulated utilities investing in grid modernization and reliability projects, coupled with a cash flow profile that can lag earnings in a high-capex environment. Balance-sheet metrics show liquidity pressures in the near term (current ratio ~0.45, quick ratio ~0.28, cash ratio ~0.01), but leverage remains modest (debt-to-capitalization ~8.25%, debt ratio ~7.08%) with an interest-coverage ratio near 2.0x. The dividend payout ratio sits above 100% (1.064x), signaling the need for disciplined capital allocation to sustain distributions.
Looking ahead, no explicit forward guidance is provided in the dataset; thus, investors should monitor regulatory rate-case outcomes, capex execution and efficiency, and the trajectory of working capital and liquidity. WEC’s earnings trajectory remains anchored to its regulated utilities framework, but the sustainability and growth of cash returns will hinge on regulatory support for rate relief, capex monetization, and capital allocation decisions.