Constellation Energy Corp

Constellation Energy Corporation operates as a competitive energy company, generating and selling electricity and natural gas across multiple geographic regions. The company's owned generating resources had a total capacity of 31,676 MWs ¹ at December 31, 2025, consisting of nuclear, natural gas and oil, and renewable facilities including wind, hydroelectric, and solar assets. Following the merger with Calpine in January 2026, the company describes itself as the largest private-sector power producer in the world and the nation's largest producer of clean and reliable energy, with 55 GWs of capacity from nuclear, natural gas, geothermal, hydro, wind and solar facilities ², providing about 10% of the nation's clean energy ³.

The company states it is the largest nuclear energy company in the U.S. and a leading competitive retail supplier, serving approximately 2.5 million customer accounts nationwide ⁴, including three-fourths of the Fortune 100 ⁵. Based on data from EEI, the company is the nation's largest energy supplier for commercial and industrial and residential power volumes. The company's fleet is described as the cleanest large generation portfolio in the country according to the 2025 ERM Report: Benchmarking Air Emissions of the 100 Largest Electric Power Producers in the United States. The company serves approximately 2 million total customer accounts ⁶, including approximately 1.4 million residential customers ⁷.

The company generates revenue through its integrated business operations, selling electricity, natural gas, and other energy-related products and sustainable solutions to distribution utilities, municipalities, cooperatives, and commercial, industrial, public sector, and residential customers. The company serves approximately 204 TWhs in 2025 through sales to retail customers and wholesale load auctions ⁸. The company is a leader in retail energy supply, serving approximately 147 TWhs of electric power retail load ⁹ primarily to commercial and industrial customers, and also served approximately 800 Bcf of gas in 2025 ¹⁰. The company's customer-facing business provides stable and durable margins, with retail customer renewal rates of 77% for commercial and industrial power customers and 84% for commercial and industrial gas customers in 2025 ¹¹.

The company's nuclear fleet is the nation's largest, with current generating capacity of approximately 22 GWs ¹², producing 183 TWhs of zero-emissions electricity during 2025 ¹³. The company has ownership interests in 14 nuclear generating stations currently in service, consisting of 25 units. During 2025, 2024, and 2023, the nuclear generating facilities achieved capacity factors of 94.7% ¹⁴, 94.6% ¹⁵, and 94.4% ¹⁶, respectively, at ownership percentage. In 2025, the company achieved an average refueling outage duration of 22 days for units it operates ¹⁷. The company operates approximately 7 GWs of natural gas and oil-fueled generation assets ¹⁸. The renewable portfolio includes approximately 2.6 GWs of hydroelectric, wind, and solar generation assets ¹⁹. The company also had contracted generation with a total capacity of 4,798 MWs at December 31, 2025 ²⁰.

On January 7, 2026, Constellation acquired all of the outstanding equity interests of Calpine Corporation in a cash and stock transaction for a purchase price of approximately $22 billion ²¹. The merger consideration consisted of 50 million newly issued shares of common stock ²² and approximately $4.5 billion in cash on hand ²³. After considering divestitures, Calpine added approximately 23 GWs across 72 generation and battery storage assets ²⁴. In September 2024, the company executed a 20-year PPA with Microsoft that will support the restart of Three Mile Island Unit 1, renamed as the Crane Clean Energy Center, which will have approximately 835 MWs of emissions-free capacity ²⁵. In November 2025, the DOE issued a guarantee for up to $1.0 billion as an unsecured loan to support the restart ²⁶. In June 2025, the company signed a 20-year PPA with Meta Platforms, Inc. for the output of the Clinton Clean Energy Center ²⁷. Since 2023, the Board of Directors authorized the repurchase of up to $3 billion of the company's outstanding common stock ²⁸. As of December 31, 2025, there was $593 million of remaining authority to repurchase shares ²⁹.

For the year ended December 31, 2025, total operating revenues were $24.441 billion ³⁰, compared to $24.935 billion ³¹ for the year ended December 31, 2024. Net income attributable to common shareholders was $3.770 billion ³² for 2025, compared to $3.820 billion ³³ for 2024. Diluted earnings per share was $10.37 ³⁴ for 2025, compared to $10.29 ³⁵ for 2024. Adjusted operating revenues net of purchased power and fuel expense was $6.316 billion ³⁶ for 2025, compared to $6.179 billion ³⁷ for 2024. Cash flows from operations were $6.248 billion ³⁸ for 2025, compared to $5.696 billion ³⁹ for 2024.

The company identifies rapid data center growth as a key demand driver, noting that data centers are amongst the most energy-intensive building types, consuming 10 to 50 times more energy per square foot than a typical commercial office building ⁴⁰. The company also highlights the onshoring of manufacturing driven by the CHIPS and Science Act and the IRA as a growth vector, stating this resurgence in domestic industrial activity is driving a meaningful increase in electricity demand. The company further points to electrification across the economy, including transportation, buildings, and industrial processes, as a driver of increased electricity demand. The company's strategy includes pursuing growth opportunities such as opportunistic energy acquisitions, nuclear uprates and license extensions, repowering of renewables, serving data economy customers, long-term power purchase agreements, and growing solutions for customers focused on clean energy, efficiency, storage and electrification.

The company discusses the Crane Clean Energy Center restart, supported by a 20-year PPA with Microsoft, with the site expected to have approximately 835 MWs of emissions-free capacity ⁴¹. The restart is subject to certain regulatory approvals, including NRC comprehensive safety and environmental review, and the company plans to pursue a subsequent license renewal for Crane in 2029. The company also signed a 20-year PPA with Meta for the output of the Clinton Clean Energy Center, beginning in June 2027, which supports the relicensing and continued operations of Clinton for another two decades. This deal will expand Clinton's clean energy output by 30 megawatts through plant uprates ⁴², expected to be fully complete in 2029. The company intends to file applications to extend the licenses of its nuclear units to 80 years where long-term policy support continues to be available.

The company discusses the impact of the One Big Beautiful Bill Act, signed into law in July 2025, which preserves certain federal tax credits from the IRA and enhances certain credits to allow advanced nuclear facilities to qualify for the energy communities bonus adder. The company states the OBBBA reinforces the long-term economic viability of its nuclear generation assets. The company also notes that the nuclear PTC enacted in the IRA and maintained under the OBBBA provides increasing levels of support as unit revenues decline below levels established in the IRA. The company's cost structure is influenced by its ability to manage scheduled refueling outages, with an average refueling outage duration of 22 days in 2025 ⁴³.

The company discusses its capital allocation strategy, stating that available cash flow will first be used to meet investment grade credit targets, with incremental capital allocated towards disciplined growth and shareholder return. The company's Board of Directors approved a 10% increase in the 2026 quarterly dividend per share compared to the 2025 quarterly dividend per share, with the 2026 quarterly dividend set at $0.4265 per share ⁴⁴. The company's dividend policy currently targets a 10% annual growth rate. As of December 31, 2025, there was $593 million of remaining authority to repurchase shares of the company's outstanding common stock ⁴⁵.

The company identifies several headwinds and constraints. The company notes that PJM is considering market rule changes as part of its stakeholder process, and the Trump administration, in conjunction with Governors of PJM states, have proposed a framework to govern new load connection and the generation that can serve that load, with the outcome of this process being uncertain. The company also notes that FERC's December 2025 order in the PJM Show Cause Proceeding found PJM's tariff unjust and unreasonable regarding rules for serving co-located load, and directed PJM to make new transmission services available, with rates, terms and conditions to be developed in upcoming compliance filings. The company further notes that the Russia and Ukraine conflict has yielded sanctions impacting the imports of Russian nuclear fuel, including the Prohibiting Russian Uranium Imports Act which bans the import of low-enriched uranium into the U.S. that is produced in Russia or by Russian entities, absent a waiver from the DOE.

The company is exposed to commodity price risk for fuel and the unhedged portion of its generation portfolio, with earnings and cash flows exposed to variability of spot and forward market prices. The company depends on nuclear fuel, natural gas, and oil, and the supply markets are subject to price fluctuations, availability restrictions, tariffs, counterparty default, and geopolitical risk, including the ongoing Russia and Ukraine conflict which has yielded sanctions such as the Prohibiting Russian Uranium Imports Act banning the import of low-enriched uranium into the U.S. that is produced in Russia or by Russian entities, absent a waiver from the DOE. Approximately 70% of the company's generating resources are in the area encompassed by PJM, and changes in market rules, including the proposed PJM market reforms and FERC's December 2025 order in the PJM Show Cause Proceeding, could adversely affect the company. The company faces risks associated with the operation of nuclear facilities, including the consequences of a major incident, with the company carrying the maximum available amount of nuclear liability insurance of $500 million for each operating site ⁴⁶ under the Price-Anderson Act, and claims exceeding that amount covered through mandatory participation in a financial protection pool with a $16.3 billion limit for a single incident ⁴⁷. The company's acquisition of Calpine introduces integration challenges, including the potential loss of key employees and customers, and the company may not realize all the expected benefits of the merger.

Management's message emphasizes that shareholder value is built on a foundation of operational excellence and the pairing of the reliable energy fleet with the customer-facing platform. The company is committed to maintaining investment grade credit ratings and focuses on optimizing cash returns through a disciplined approach to safe and efficient operations and cost management, underpinned by stable and durable margins from the customer-facing business. Management states the company is committed to maintaining a strong balance sheet, providing customers with cost-effective and sustainable solutions, and returning value to shareholders. The company's strategy was realized, in part, with the acquisition of Calpine, a combination that brings together premier nuclear, natural gas, and geothermal fleets with a leading commercial platform. The company's Board of Directors approved a 10% increase in the 2026 quarterly dividend per share compared to the 2025 quarterly dividend per share, with the 2026 quarterly dividend set at $0.4265 per share ⁴⁸.