PPL Corp Q2 2026 Earnings: Estimates Missed, but Data Center Growth Keeps Guidance Intact
PPL's profit and revenue missed Wall Street estimates for the quarter, but new Pennsylvania rate increases and a fast-growing data center pipeline kept 2026 guidance unchanged.
| Q2 2026 | Reported | Expected | Surprise |
|---|---|---|---|
| EPS | $0.33 | $0.35 | -5.0% |
| Revenue | $2.11B | $2.21B | -4.6% |
Key takeaways
- Adjusted profit and revenue both came in below Wall Street forecasts for the quarter, even though revenue was up roughly 4% from the same quarter last year — a sign the company grew, just not as fast as analysts had penciled in.
- A $275 million rate increase for PPL Electric customers in Pennsylvania took effect during the quarter, one of the main reasons operating income rose faster than revenue — the company kept a tighter lid on operating costs while collecting more from the new rates.
- Rhode Island regulators are reviewing PPL’s first base-rate request there in eight years, with a decision expected in September; if approved, it would be another step up in what the company can charge customers to cover grid costs.
- Demand from data centers continues to build across PPL’s territories: the company’s Pennsylvania pipeline of planned data-center projects has grown to about 32 gigawatts, with roughly 11 GW now under signed contracts, and Kentucky’s pipeline reached nearly 14 GW — a leading indicator of years of future electricity sales growth.
- PPL’s Invitium Energy joint venture with Blackstone, aimed at building new power plants to serve that data-center demand, is advancing land and equipment reservations toward a potential $12.5-15 billion buildout, of which PPL would own just over half.
- Management reaffirmed full-year 2026 guidance of $1.90 to $1.98 per share in adjusted profit, and stuck with its longer-term target of growing earnings 6% to 8% a year through at least 2029 — signaling the quarterly miss didn’t change the company’s outlook.
- CEO Vince Sorgi said the quarter’s results “demonstrate continued execution across our regulated utility portfolio and keep us on track to deliver our 2026 commitments,” framing the miss versus estimates as a timing issue rather than a change in trajectory.
- The company’s underlying profitability stayed healthy — operating and net margins near 39% and 22% over the past year, respectively, typical for a regulated utility that earns a set return on its infrastructure investment rather than competing on price.
How the stock took it
PPL Corp closed at $34.62 on Aug 6, 2026, the last session before the report, and at $34.99 on Aug 10, 2026, the first session after it — +1.1% across the report.
| Earlier report | Close before | Close after | Change |
|---|---|---|---|
| May 8, 2026 | $36.77 | $36.24 | -1.4% |
| Nov 5, 2025 | $36.25 | $36.50 | +0.7% |
| Jul 31, 2025 | $36.04 | $35.66 | -1.1% |
Closes from the market's daily record. Each figure spans the report date — from the last session that closed before it to the first that closed after — because a company may report before the open or after the close.
Fundamentals
| Metric | Value | Period |
|---|---|---|
| Operating margin | 38.8% | Trailing 12 months |
| Net profit margin | 21.7% | Trailing 12 months |
| Pretax margin | 28.8% | Trailing 12 months |
| EPS | $1.63 | Trailing 12 months |
| Revenue growth (YoY) | -58.8% | Trailing 12 months |
| EPS growth (YoY) | 21.2% | Trailing 12 months |
| Return on equity | 8.3% | Trailing 12 months |
Sources: company report · earnings call