IDACORP NYSE: IDA raised its 2026 earnings guidance after reporting third-quarter results that reflected higher retail revenue, customer growth and increasing contributions from large contract customers.
The company reported third-quarter diluted earnings per share of $2.73, up from $2.26 in the prior-year period. For the first nine months of 2026, diluted EPS was $5.76, compared with $5.13 a year earlier.
IDACORP increased its full-year EPS outlook to a range of $6.40 to $6.50, raising the lower end by $0.10 and the upper end by $0.05. The company said the guidance assumes historically normal weather for the remainder of the year and less than $10 million in additional tax-credit amortization, down from its prior expectation of less than $15 million.
Customer Growth and Large-Load Demand
President and CEO Lisa Grow said growth across Idaho Power’s service area continued across customer classes and industries. Total customer count increased 2.2% from the third quarter of 2025, including 2.4% residential customer growth.
Industrial revenue rose 27% year over year, driven in part by large contract customers that are constructing facilities or beginning operations. Meta began operating its data center south of Boise in September and is ramping up, while Micron’s Fab 1 and Fab 2 projects in Boise continue to advance, Grow said.
The company’s preliminary forecast for its 2027 integrated resource plan calls for a five-year compound annual growth rate of 8.9% in retail sales. That outlook projects load of about 19,000 gigawatt-hours in 2027, rising to roughly 29,000 gigawatt-hours by 2032.
Grow said the forecast for large contract customers includes only customers that have signed contracts or made significant financial commitments toward required infrastructure. During 2026, Idaho Power received 76 inquiries from projects requiring more than one megawatt of energy, putting the company on pace for another year of historically high project activity.
During the question-and-answer session, Executive Vice President and COO Adam Richins said the company has about 4 gigawatts of future load in its active pipeline, excluding Meta 1 and Micron Fab 1. About 1 GW of that amount is considered promising, 1 GW is being actively studied, and about 2 GW is preliminary. Richins added that another 3 GW of preliminary opportunities have entered the pipeline since the company last discussed the 4-GW figure.
Infrastructure and Generation Development
IDACORP said construction on the Boardman-to-Hemingway transmission line remains on schedule for a late-2027 in-service date. More than 1,200 structure pads have been built, 1,100 foundations installed and about 780 towers erected, representing roughly 60% of the total project. The company has also installed around 100 miles of conductor.
Construction continues on the SWIP-North Transmission Project in Nevada, which is expected to be completed in 2028. Idaho Power also has Gateway West transmission construction out for bid.
For generation, the company is building a 167-megawatt natural-gas resource next to its Bennett Mountain plant, with service expected in 2028. It has also filed certificate applications for the 222-MW South Hills project, targeted for 2029, and the 430-MW Peregrine project, targeted for 2030. Idaho Power has equipment supply agreements for all three projects and said it has signed an engineering, procurement and construction contract for Peregrine while negotiating one for South Hills.
The company received more than 100 bids through its 2032 request-for-proposals process and developed a final shortlist of 11 projects. The list includes company-owned gas projects, third-party solar, wind and battery facilities, and market purchase proposals. Grow said Idaho Power does not intend to contract for every project on the list, which collectively represents more capacity than its updated load forecast requires through 2032.
Richins said the company has moved forward on a 430-MW advanced simple-cycle gas project for 2031, for which turbines have been reserved and an EPC contract awarded. Idaho Power is also evaluating a 432-MW combined-cycle project for 2032, which ranked first among projects for that year.
Financial Drivers and Capital Plan
CFO Brian Buckham said higher retail revenue from current base rates and customer growth provided nearly $44 million of benefit in the third quarter and about $90 million year to date. Revenue from large contract customers increased operating income by nearly $12 million during the quarter and about $20 million through the first nine months.
Operations and maintenance expense increased as expected, primarily due to amortization of previously deferred costs at the Jim Bridger and Valmy plants and wildfire mitigation costs. Depreciation and amortization expense increased by more than $7 million as the company placed additional infrastructure into service.
Construction work in progress exceeded $2.1 billion at quarter-end. IDACORP maintained its 2026 capital expenditure outlook of $1.3 billion to $1.5 billion and said spending is trending toward the high end of that range. The company plans to provide an updated capital forecast with its fourth-quarter results.
During the third quarter, IDACORP executed $268 million of additional forward-sale agreements through its 2026 at-the-market equity program, adding to $265 million executed during the first half. Buckham said the company had about $873 million of unsettled forward-sale proceeds available for settlement and expects to blend debt and equity to maintain a roughly 50/50 capital structure.
Regulatory Outlook and Affordability
IDACORP did not file a general rate case in 2026, citing revenue from its prior rate case, large contract customers and customer growth. However, Buckham said the company has begun evaluating a potential June 2027 rate-case filing as major broad-based infrastructure projects, including transmission work and system hardening investments, move from construction work in progress into rate base.
The company expects the sale of its Oregon operations to close in spring 2027, subject to remaining regulatory approvals. Grow said the Federal Energy Regulatory Commission has approved the transaction, while Oregon and Idaho regulatory processes remain underway.
Grow said Idaho Power’s residential rates have increased 24% since 2016, compared with a 41% increase in average national electric rates over the same period. The company said its prices remain 20% to 30% below the national average and emphasized its “growth pays for growth” regulatory approach, under which contracts with large customers are intended to protect existing customers from cost shifting.
About IDACORP (NYSE:IDA)
IDACORP, Inc is a holding company whose principal subsidiary, Idaho Power Company, is a regulated electric utility. Idaho Power generates, purchases, transmits, distributes and sells electricity to residential, commercial, industrial and agricultural customers.
Idaho Power serves customers across southern Idaho and eastern Oregon. Its power supply includes a substantial hydroelectric system, along with energy from thermal, wind, solar and other resources. The company also operates and maintains the transmission and distribution infrastructure needed to deliver electricity throughout its service area.
Idaho Power traces its history to 1916, when it was established to provide electric service in Idaho.
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