ETR 10-Q Quarter ended Sept. 30, 2025

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Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business.  While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report.  Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein.

Vidalia Purchased Power Agreement

See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement.

Spent Nuclear Fuel Litigation

See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. The following is an update to that discussion.

As discussed in the Form 10-K, in October 2024 the U.S. Court of Federal Claims issued a final judgment in the amount of $ 7 million in favor of Holtec Palisades, LLC (previously Entergy Nuclear Palisades) and against the DOE in the final round Palisades damages case. Holtec, as the current owner, received payment from the U.S. Treasury in March 2025 and subsequently transferred the $ 7 million judgment to Entergy. The effect in 2024 of recording the judgment was a reduction to asset write-offs, impairments, and related charges (credits). The damages awarded included $ 4 million related to costs previously recorded as plant and $ 3 million related to costs previously recorded as other operation and maintenance expenses.

Nuclear Insurance

See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants.

Non-Nuclear Property Insurance

See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program.

Employment and Labor-related Proceedings

See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings.

Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas)

See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation.

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Grand Gulf-Related Agreements

See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements, including the Unit Power Sales Agreement, the Availability Agreement, and the Reallocation Agreement. The following is an update to that discussion.

As discussed in the Form 10-K, System Energy historically sold all of its share of capacity and energy from Grand Gulf to Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans in accordance with specified percentages (Entergy Arkansas - 36 %, Entergy Louisiana - 14 %, Entergy Mississippi - 33 %, and Entergy New Orleans - 17 %) as ordered by the FERC under the Unit Power Sales Agreement. In August 2024 the LPSC approved a settlement with Entergy Louisiana to globally resolve all of the LPSC’s actual and potential claims in multiple docketed proceedings pending before the FERC and with System Energy’s past implementation of the Unit Power Sales Agreement. The settlement was approved by the FERC in November 2024. The terms of the settlement included an agreement that Entergy Louisiana would divest to Entergy Mississippi its 14 % share of capacity and energy from Grand Gulf under the Unit Power Sales Agreement and its 2.43 % share of capacity and energy from Entergy Arkansas under the MSS-4 replacement tariff. This divestiture was being effectuated initially through Entergy Mississippi’s purchases from Entergy Louisiana pursuant to a bridge PPA governed by the MSS-4 replacement tariff (bridge PPA). In September 2024, Entergy Mississippi filed a notice of intent with the MPSC that related to and sought approval of the divestiture. The bridge PPA to effectuate this divestiture was approved by the FERC in November 2024. The MPSC approved the bridge PPA, effective as of January 1, 2025. Under the divestiture, Entergy Mississippi also assumed any and all of Entergy Louisiana’s rights and obligations under the Availability Agreement and agreed to hold Entergy Louisiana harmless with respect thereto, as of January 1, 2025.

Effective October 1, 2025, System Energy began selling all of its share of capacity and energy from Grand Gulf to Entergy Arkansas, Entergy Mississippi, and Entergy New Orleans in accordance with specified percentages (Entergy Arkansas - 24.2 %, Entergy Mississippi - 56.4 %, and Entergy New Orleans - 19.4 %) as approved by the FERC under an amended Unit Power Sales Agreement. The amended Unit Power Sales Agreement removed Entergy Louisiana from the entitlement to purchase power from Grand Gulf and thus on October 1, 2025, the bridge PPA between Entergy Louisiana and Entergy Mississippi terminated. In addition, effective October 1, 2025, System Energy, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans terminated the Availability Agreement, and, immediately thereafter, System Energy, Entergy Arkansas, Entergy Mississippi, and Entergy New Orleans entered into a new Availability Agreement with allocation percentages conforming to their entitlement percentages under the amended Unit Power Sales Agreement. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the System Energy settlement with the LPSC.

Exclusivity Agreement with Major Vendor

Entergy entered into an exclusivity agreement with a major vendor to manufacture power island equipment (PIE) and combustion turbines (CT) for combustion turbine generator set frames larger than 400 MWs. The agreement guarantees Entergy one manufacturing slot per quarter for the shorter of a five-year period or until Entergy fulfills its minimum commitment. The agreement was amended in third quarter 2025, updating the minimum order of 15 sets of PIE and two CTs to a minimum order of 21 sets of PIE and two CTs during that time period. The commitments are fully transferable to any of the Utility operating companies. Cancellation or failure to purchase the minimum commitment amounts will result in a charge.

If any of the Utility operating companies purchases any CTs within the scope of the agreement from another supplier (except as permitted under the agreement), then the vendor has the right to terminate all or a portion of the agreement. In the event of such termination, the Utility operating company would then be obligated to pay 50% of the CT base price for each PIE or CT not yet ordered. The agreement does not establish final pricing and delivery dates of purchases that will go towards meeting the commitments under the agreement. Such terms shall be agreed to in separate agreements.

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Regulatory Assets and Regulatory Liabilities

See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries.  The following are updates to that discussion.

Fuel and purchased power cost recovery

Entergy Arkansas

Energy Cost Recovery Rider

In March 2025, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase in the rate from $ 0.00882 per kWh to $ 0.01333 per kWh. The annual redetermination included a credit related to the remaining balance due to retail customers from the System Energy settlement with the APSC, plus carrying charges and interest. See “ Retail Rate Proceedings - Filings with the APSC (Entergy Arkansas) - Retail Rates - Grand Gulf Credit Rider” below for further discussion. The primary reason for the rate increase is an adjustment to account for projected increases in natural gas prices in 2025. This adjustment is expected to reduce the rate change that will be reflected in its 2026 energy cost rate redetermination. The redetermined rate of $ 0.01333 per kWh became effective with the first billing cycle in April 2025 through the normal operation of the tariff.

Entergy Louisiana

As discussed in the Form 10-K, in January 2023 the LPSC staff provided notice of an audit of Entergy Louisiana’s purchased gas adjustment clause filings. The audit included a review of the reasonableness of charges flowed through Entergy Louisiana’s purchased gas adjustment clause for the period from 2021 through 2022. In April 2025 the LPSC staff issued its audit report (for Entergy Louisiana’s gas operations), which included several prospective recommendations but no financial disallowances. The LPSC accepted the report in June 2025.

In June 2025 the LPSC staff provided notice of an audit of Entergy Louisiana’s purchased gas adjustment clause filings (for Entergy Louisiana’s gas operations). The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s purchased gas adjustment clause for the period from January 2023 through June 2025. Discovery is ongoing, and no audit report has been filed.

Entergy Texas

As discussed in the Form 10-K, in September 2024, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2022 through March 2024. During the reconciliation period, Entergy Texas incurred approximately $ 1.6 billion in eligible fuel and purchased power expenses to generate and purchase electricity to serve its customers, net of certain revenues credited to such expenses and other adjustments. Entergy Texas’s cumulative under-recovery balance for the reconciliation period was approximately $ 30 million, including interest, which Entergy Texas requested authority to carry over as part of the cumulative fuel balance for the subsequent reconciliation period beginning April 2024. In November 2024 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2025, Texas Industrial Energy Consumers, an intervenor, filed testimony regarding the recovery of capacity costs for a certain purchased power agreement, arguing the capacity costs should be imputed and treated as non-reconcilable fuel expense,

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recovered in Entergy Texas’s base rates. In April 2025 the PUCT staff filed testimony and later in April 2025, Entergy Texas filed rebuttal testimony. In May 2025, Entergy Texas filed, and the ALJ with the State Office of Administrative Hearings granted, a request for a paper hearing and to cancel the oral hearing on the merits previously scheduled for later in May 2025. In June 2025, Entergy Texas filed, and the ALJ with the State Office of Administrative Hearings granted, a joint motion to abate the proceeding to give the parties to the proceeding additional time to finalize a settlement. In August 2025, Entergy Texas filed an unopposed settlement agreement that results in no disallowance and establishes a regulatory asset for the future recovery of imputed capacity costs and associated carrying costs related to a certain purchased power agreement, with recovery effective retroactive to June 1, 2024. In October 2025 the PUCT approved the unopposed settlement agreement.

Retail Rate Proceedings

See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion.

Filings with the APSC (Entergy Arkansas)

Retail Rates

2025 Formula Rate Plan Filing

In July 2025, Entergy Arkansas filed with the APSC its 2025 formula rate plan filing to set its formula rate for the 2026 calendar year.  The filing contained an evaluation of Entergy Arkansas’s earnings for the 2026 projected year and a netting adjustment for the 2024 historical year.  The filing showed that Entergy Arkansas’s earned rate of return on common equity for the 2026 projected year was 8.45 % resulting in a revenue deficiency of $ 68.9 million.  The earned rate of return on common equity for the 2024 historical year was 7.71 % resulting in a $ 48.8 million netting adjustment.  The total proposed revenue change for the 2026 projected year and 2024 historical year netting adjustment is $ 117.7 million.  By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint.  Because Entergy Arkansas’s revenue requirement in this filing exceeded the constraint, the resulting increase was limited to $ 92.3 million. The APSC general staff filed their errors and objections in October 2025, proposing an adjustment to the coupon rate for the projected long-term debt issuance in 2026 and an update to annual filing year revenues that increases the constraint to $ 93.9 million. Entergy Arkansas filed its rebuttal in October 2025. A hearing is scheduled for November 2025, and an order is expected in December 2025. Due to no contested issues remaining outstanding among the parties to the proceeding, in October 2025, Entergy Arkansas and the APSC general staff filed a joint motion requesting the APSC cancel the hearing and issue a decision based on the pleadings and testimony in the record.

Grand Gulf Credit Rider

As discussed in the Form 10-K, in June 2024, Entergy Arkansas filed with the APSC a tariff to provide retail customers a credit resulting from the terms of the settlement agreement between Entergy Arkansas, System Energy, additional named Entergy parties, and the APSC pertaining to System Energy’s billings for wholesale sales of energy and capacity from the Grand Gulf nuclear plant. See “ Complaints Against System Energy - System Energy Settlement with the APSC ” in Note 2 to the financial statements in the Form 10-K for discussion of the System Energy settlement with the APSC. In July 2024 the APSC approved the tariff, under which Entergy Arkansas would refund to retail customers a total of $ 100.6 million. Entergy Arkansas refunded $ 92.3 million of the total through one-time bill credits under the Grand Gulf credit rider during the August 2024 billing cycle. In March 2025, Entergy Arkansas included the remaining balance as a credit to retail customers in its energy cost recovery rider rate redetermination filing. See further discussion within " Regulatory Assets and Regulatory Liabilities - Fuel and purchased power cost recovery - Entergy Arkansas - Energy Cost Recovery Rider" above. In April 2025 the APSC approved Entergy Arkansas’s proposal to include the remaining balance in its energy cost

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recovery rider effective with the first billing cycle of April 2025 and the withdrawal of the Grand Gulf credit rider after all credits had been issued. Credits to retail customers were completed in second quarter 2025, and the Grand Gulf credit rider was subsequently withdrawn.

Generating Arkansas Jobs Act Rider

In March 2025 the State of Arkansas passed the Generating Arkansas Jobs Act of 2025, now Act 373 (Act 373), that authorizes the recovery of financing costs during construction of generation and transmission investments through a rider separate from the formula rate plan. Act 373 also permits cost recovery of those investments, when completed and in service, either through the next general rate case proceeding or under the formula rate plan. Act 373 streamlines and simplifies the regulatory approval process and provides increased timeliness and certainty of cost recovery.

In July 2025, Entergy Arkansas submitted a tariff filing with the APSC requesting approval of a strategic investment recovery rider, consistent with the provisions of Act 373. Entergy Arkansas requested the APSC issue an order approving the rider by October 2025. A paper hearing was held in September and October 2025. In October 2025 the APSC issued an order approving the proposed rider with several revisions, including elimination of an annual true-up adjustment, a change in cost allocation methodology, the removal of excess and deficient accumulated deferred income taxes to a separate rider, and the addition of reporting requirements. As directed by the order, in October 2025, Entergy Arkansas made a compliance filing, which the APSC general staff must review by November 2025.

Special Rate Contract and Arkansas Cypress Solar

In September 2025, Entergy Arkansas filed an application with the APSC seeking approval of a long-term special rate contract between Altitude, LLC, a subsidiary of Alphabet, Inc. (Google) and Entergy Arkansas for the sale of electricity to a new large-scale data center in West Memphis, Arkansas. A procedural schedule was established with a hearing to be held in November 2025. In October 2025 the APSC general staff filed testimony finding that based on its evaluation of Entergy Arkansas’s application and the results of the ratepayer impact measure test, the special rate contract meets the requirements of the APSC’s promotional practice rules and is in the public interest. No other parties filed testimony.

Also in September 2025, Entergy Arkansas filed an application with the APSC seeking a certificate of environmental compatibility and public need for the construction and operation of the Arkansas Cypress Solar facility, a planned 600 MW solar photovoltaic array with a 350 MW battery energy storage system and associated transmission facilities interconnecting at Entergy Arkansas’s White Bluff substation. Entergy Arkansas is seeking public interest and prudence findings from the APSC to construct the Arkansas Cypress Solar facility in furtherance of its long-term special rate contract with Google. A procedural schedule has been established with a hearing to be held in December 2025. In October 2025 the APSC general staff filed responsive testimony opposing the project cost and seeking additional information. Subsequently, the APSC general staff submitted supplemental testimony to update its initial conclusion and recommendations, noting the Cypress Solar facility is a reasonable project and recommending the APSC approve the project under certain conditions. The Arkansas Attorney General also filed testimony supporting the project but seeking additional information. Entergy Arkansas proposes to recover the costs of constructing the Arkansas Cypress Solar facility through the Generating Arkansas Jobs Act rider, which was approved by the APSC in October 2025. Subject to receipt of required regulatory approval and other conditions, the facility is expected to be in service by the end of 2028.

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Filings with the LPSC (Entergy Louisiana)

Retail Rates - Electric

2023 Formula Rate Plan Filing

As discussed in the Form 10-K, in August 2024, pursuant to the global stipulated settlement agreement approved by the LPSC also in August 2024, Entergy Louisiana filed its formula rate plan evaluation report for its 2023 calendar year operations. Consistent with the global stipulated settlement agreement, the filing reflected a 9.7 % allowed return on common equity with a bandwidth of 40 basis points above and below the midpoint. For the 2023 test year, however, the bandwidth provisions of the formula rate plan were temporarily suspended and, pursuant to the terms of the global stipulated settlement agreement, Entergy Louisiana implemented the September 2024 formula rate plan rate adjustments effective with the first billing cycle of September 2024. In January 2025, Entergy Louisiana and the LPSC filed a joint report indicating that no disputed issues remained in the proceeding and requesting that the LPSC issue an order accepting Entergy Louisiana’s evaluation report and, ultimately, resolving this matter. In March 2025 the LPSC issued an order accepting the evaluation report.

In December 2024, pursuant to the terms of the global stipulated settlement agreement, Entergy Louisiana filed an interim rate adjustment for the 2023 test year reflecting the return of $ 25.1 million of refunds from the System Energy settlement with the LPSC to customers from January through August 2025. In February 2025, pursuant to the terms of the global stipulated settlement agreement, Entergy Louisiana filed a second interim rate adjustment for the 2023 test year reflecting the divestiture of Entergy Louisiana’s share of Grand Gulf capacity and energy, which was effective as of January 1, 2025. The second interim rate adjustment also reflected a revenue increase of $ 17.8 million for the recovery of Hurricane Francine costs as approved by the LPSC (on an interim basis). The second interim rate adjustment was implemented with the first billing cycle of March 2025. See further discussion of the Hurricane Francine proceeding in “ Storm Cost Recovery Filings with Retail Regulators – Entergy Louisiana – Hurricane Francine” below. See Note 8 to the financial statements in the Form 10-K for discussion of Entergy Louisiana’s divestiture from the Unit Power Sales Agreement. See Note 1 to the financial statements herein for additional information regarding the amended Unit Power Sales Agreement.

2024 Formula Rate Plan Filing

In May 2025, Entergy Louisiana filed its formula rate plan evaluation report for its 2024 calendar year operations. Consistent with the global stipulated settlement agreement approved by the LPSC in August 2024, the filing reflected a 9.7 % allowed return on common equity with a bandwidth of 40 basis points above and below the midpoint. For the test year 2024, however, any earnings above the allowed return on common equity were to be returned to customers through a credit, pursuant to the terms of the global stipulated settlement agreement. The 2024 test year evaluation produced an earned return on common equity of 9.98 %, which was within the approved formula rate plan bandwidth, but above the allowed return on common equity, resulting in customer credits of $ 31.9 million to be returned to customers during September and October 2025.

Other changes in formula rate plan revenue were driven by higher nuclear depreciation rates, additions to transmission and distribution plant in service reflected through the transmission recovery mechanism and distribution recovery mechanism, and the expiration of customer credits related to the LPSC’s order, offset by increased customer credits resulting from an increase in net MISO revenues reflected through the MISO cost recovery mechanism and the reduction in the Louisiana corporate income tax rate effective January 1, 2025, reflected through the tax adjustment mechanism, as discussed below. Excluding the customer credit for earnings above the authorized return on common equity discussed above, the net result of these changes on an annualized basis was a $ 2 million increase in formula rate plan revenue.

As noted above, the 2024 evaluation report included the effects of the change in Louisiana state tax law that reduced the corporate income tax rate to a flat 5.5 % (from the then-current highest marginal rate of 7.5 %) effective

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January 1, 2025. As such, the 2024 evaluation report reflected the calculation of current and deferred income tax expenses as well as the revaluation of accumulated deferred income taxes based on the income tax laws currently in effect. The 2024 evaluation report proposed that the rate effects associated with the revaluation of accumulated deferred income taxes, including the collection of any net accumulated deferred income tax deficiency and any related effects on rate base, should be reflected in the tax adjustment mechanism consistent with the treatment of similar Tax Cuts and Jobs Act and prior state tax change-related impacts. The effects of the change in tax law on Entergy Louisiana’s authorized return on rate base were also reflected in the 2024 evaluation report consistent with the treatment cited above, including a credit in the extraordinary cost change mechanism for the prospective change in Entergy Louisiana’s authorized return and a credit within the tax adjustment mechanism for over-collection of income tax expense through August 2025. Subject to LPSC review, the resulting changes from the 2024 formula rate plan evaluation report became effective for bills rendered during the first billing cycle of September 2025, subject to refund. In August 2025 the LPSC staff filed its errors and objections report, as required by the formula rate plan’s process, and found that Entergy Louisiana’s formula rate plan is in compliance with the LPSC’s requirements and the global stipulated settlement agreement. The LPSC staff reserved the right to determine whether Entergy Louisiana appropriately credited certain revenues to customers during the September and October 2025 billing cycles.

Additional Generation and Transmission Resources

As discussed in the Form 10-K, in October 2024, Entergy Louisiana filed an application with the LPSC seeking approval of a variety of generation and transmission resources proposed in connection with establishing service to a new data center to be developed by a subsidiary of Meta Platforms, Inc. in north Louisiana, for which an electric service agreement has been executed. The filing requests LPSC certification of three new combined cycle combustion turbine generation resources totaling 2,262 MW, each of which will be enabled for future carbon capture and storage, a new 500 kV transmission line, and 500 kV substation upgrades. Two of the new combined cycle combustion turbine generation resources are to be located at Franklin Farms in north Louisiana (Franklin Farms Power Station Units 1 and 2). The application also requests approval to implement a corporate sustainability rider applicable to the new customer. The corporate sustainability rider contemplates the new customer contributing to the costs of the future addition of 1,500 MW of new solar and energy storage resources, agreements involving carbon capture and storage at Entergy Louisiana’s existing Lake Charles Power Station, and potential future wind and nuclear resources. Entergy Louisiana anticipates funding the incremental cost to serve the customer through direct financial contributions from the customer and the revenues it expects to earn under the electric service agreement. The electric service agreement also contains provisions for termination payments that will help ensure that there is no harm to Entergy Louisiana and its customers in the event of early termination. A directive was issued at the LPSC’s November 2024 meeting for the matter to be decided by October 2025. In February 2025 intervenors filed a motion asking the LPSC to deny Entergy Louisiana’s requested exemption from the LPSC’s order addressing competitive solicitation procedures and further asking the LPSC to dismiss the application. The ALJ issued an order denying the motion to dismiss the application and deferring the LPSC’s consideration of the motion regarding the competitive solicitation procedures until the hearing. In March 2025 the same intervenors filed a motion requesting the LPSC to require the customer and its parent company to be joined as parties to the proceeding or dismiss the application. In April 2025 the ALJ issued an order denying the March 2025 motion, and the moving parties filed a motion asking the LPSC to review and reverse the ALJ’s decision.

In February 2025, Entergy Louisiana filed supplemental testimony with the LPSC stating that the third combined cycle combustion turbine resource presented in the October 2024 application (Waterford 5 Power Station) would be sited at Entergy Louisiana’s Waterford site in Killona, Louisiana, alongside existing Entergy Louisiana generation resources. The testimony also notes that Entergy Louisiana is negotiating with the customer in response to the customer’s request to increase the load associated with its project in north Louisiana. The testimony indicates further that the additional load can be served without additional generation capacity beyond what was presented in the October 2024 application, but that additional transmission facilities, which will be funded directly by the customer, are needed to serve this additional load .

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In April 2025 and May 2025 the LPSC staff and certain intervenors each filed their direct testimony and cross-answering testimony, respectively. The LPSC staff’s testimony discussed the significant projected benefits associated with the data center project; however, both the LPSC staff and such intervenors also identified purported risks associated with constructing the requested resources based on the terms and conditions under which the customer would be taking service. Both the LPSC staff and such intervenors also recommended that the LPSC impose certain conditions on its approval which, if adopted, would support approval of Entergy Louisiana’s application. The LPSC staff’s recommendations included a condition that would require, under specified circumstances, certain sharing of net revenues from service to the project with Entergy Louisiana’s other customers. The LPSC staff also recommended that the LPSC deny approval of the corporate sustainability rider terms providing for the customer to supply funding toward the cost of installing carbon capture and storage infrastructure at Entergy Louisiana’s Lake Charles Power Station. The Louisiana Energy Users Group and other intervenors recommended that the LPSC require various changes to the terms of the electric service agreement with the customer that would shift additional risk and cost to the customer rather than Entergy Louisiana’s broader customer base. Certain intervenors also challenged approval on the basis that Entergy Louisiana did not conduct a request for proposals to procure the proposed generation resources to serve the customer’s project; these intervenors also advocated that Entergy Louisiana be required to procure more renewable generation and evaluate transmission alternatives rather than proceeding with development of all of the proposed new generation resources. In May 2025, Entergy Louisiana filed its rebuttal testimony responding to the direct and cross-answering testimony of the LPSC staff and intervenors. The rebuttal testimony expressed support for or no opposition to the LPSC’s adoption of certain of the proposed recommendations and identified why other proposed recommendations should not be adopted. In addition, the rebuttal testimony stated that the negotiations related to the increase in the load amount for the customer’s project had concluded and that a rider to the electric service agreement reflecting this increase had been executed. In advance of the July 2025 hearing, Entergy Louisiana reached a settlement agreement with the LPSC staff and three separate intervenors. In August 2025, Entergy Louisiana, the LPSC staff, and the three separate intervenors jointly moved for consideration of the settlement agreement, and the LPSC issued an order accepting the settlement agreement. Franklin Farms Power Station Units 1 and 2 are expected to be in service in 2028, and Waterford 5 Power Station is expected to be in service in 2029.

COVID-19 Orders

As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $ 1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset, as well as to conduct additional outside right-of-way vegetation management activities and fund the minor storm reserve account. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. The LPSC approved Entergy Louisiana’s requested relief in June 2023. In November 2024, Entergy Louisiana submitted a filing to the LPSC requesting that the LPSC review Entergy Louisiana’s computation of the COVID-19 regulatory asset as well as Entergy Louisiana’s proposal to offset the regulatory asset against the net interest earned on the short-term debt funds, resulting in no increased costs to customers. In granting Entergy Louisiana’s requested relief in June 2023, the LPSC ordered that any amount of earnings exceeding the amount of the COVID-19 regulatory asset be transferred to Entergy Louisiana’s storm reserve escrow account. In May 2025 the LPSC staff filed direct testimony finding that Entergy Louisiana had complied with the relevant orders and recommending approval of the requested treatment. In June 2025, Entergy Louisiana and the LPSC staff filed a joint motion requesting a hearing for the admission of an uncontested stipulated settlement agreement in the matter. A settlement hearing took place in July 2025. The LPSC voted to approve the settlement at its September 2025 meeting and issued an order accepting the settlement in October 2025. Pursuant to the terms of the approved settlement, in third quarter 2025 Entergy Louisiana offset the COVID-19

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regulatory asset with a regulatory liability for the deferred earnings related to certain low interest debt, as described above.

Filings with the MPSC (Entergy Mississippi)

Retail Rates

2025 Formula Rate Plan Filing

In February 2025, Entergy Mississippi submitted its formula rate plan 2025 test year filing and 2024 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2024 calendar year to be within the formula rate plan bandwidth and projected earned return for the 2025 calendar year also to be within the formula rate plan bandwidth. The 2025 test year filing showed an earned return on rate base of 7.64 % and reflected no change in formula rate plan revenues. The 2024 look-back filing compared actual 2024 results to the approved benchmark return on rate base and reflected no change in formula rate plan revenues, although Entergy Mississippi proposed to adjust interim rates by $ 135 thousand to reflect two outside-the-bandwidth changes: (1) the completion of Entergy Mississippi’s return to customers of credits under its restructuring credit rider; and (2) a true-up of demand side management costs.

In June 2025, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed the 2025 test year filing, with the exception of immaterial adjustments to certain operation and maintenance expenses. The formula rate plan reflected an earned return on rate base of 7.68 % for calendar year 2025, resulting in no change in formula rate plan revenues for 2025. Pursuant to the stipulation, Entergy Mississippi’s 2024 look-back filing reflected an earned return on rate base of 7.55 %, which also resulted in no change in formula rate plan revenues for 2024. In addition, the stipulation included the recovery of the two outside-the-bandwidth changes discussed above as well as the ratemaking treatment of customer contributions (deferred revenue and prepaid contributions in aid of construction). In June 2025 the MPSC approved the joint stipulation with rates effective in July 2025.

Interim Facilities Rate Adjustments to the Formula Rate Plan

In May 2024, Entergy Mississippi received approval from the MPSC for formula rate plan revisions that were necessary for Entergy Mississippi to comply with state legislation passed in January 2024. The legislation allows Entergy Mississippi to make interim rate adjustments to recover the non-fuel related annual ownership cost of certain facilities that directly or indirectly provide service to customers who own certain data processing center projects as specified in the legislation. Entergy Mississippi filed the first of its annual interim facilities rate adjustment reports in May 2024 to recover approximately $ 8.7 million of these costs over a six-month period with rates effective beginning in July 2024. Entergy Mississippi filed its second interim facilities rate adjustment report in November 2024 to recover approximately $ 46.7 million of these costs over a 12-month period with rates effective beginning in January 2025. In February 2025, Entergy Mississippi filed a true-up interim facilities rate adjustment report to the initial annual interim facilities rate adjustment report filed in May 2024, reflecting the recovery of an additional approximately $ 1.0 million of costs over a 12-month period with rates effective with the first billing cycle of April 2025.

Filings with the City Council (Entergy New Orleans)

Retail Rates

2025 Formula Rate Plan Filing

In April 2025, Entergy New Orleans submitted to the City Council its formula rate plan 2024 test year filing. The 2024 evaluation report produced an electric earned return on equity of 10.98 % compared to the

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authorized return on equity of 9.35 %. Without adjustments, this would have resulted in a decrease in electric rates of $ 13.8 million. The decrease in electric rates was driven by the realignment of regulatory liabilities into the formula from a separate rate mechanism, partially offset by the cost of known and measurable electric capital additions. The filing also commenced the previously authorized recovery of certain regulatory costs and requested a revenue-neutral recovery to offset a proposed reduction in bill payment late fees. Taking into account these proposed adjustments, the filing presented a decrease in authorized electric revenues of $ 8.6 million. The City Council’s advisors issued their report in July 2025 seeking a reduction in Entergy New Orleans’s requested electric formula rate plan revenues of approximately $ 7.2 million due to certain proposed cost realignments and disallowances, of which $ 4.1 million is associated with Entergy New Orleans’s proposed implementation, on a revenue neutral basis, of a proposed reduction in customer late fees. The City Council’s advisors also proposed rate mitigation in the amount of $ 4.4 million through offsets to the formula rate plan funded by certain regulatory liabilities. In August 2025 the City Council approved an agreement to settle the 2025 formula rate plan filing. Effective with the first billing cycle of September 2025, Entergy New Orleans implemented rates reflecting an amount agreed upon by Entergy New Orleans and the City Council, per the approved process for formula rate implementation. The electric formula rate plan decrease implemented was $ 19.2 million.

Filings with the PUCT and Texas Cities (Entergy Texas)

Retail Rates

Distribution Cost Recovery Factor (DCRF) Rider

In April 2025, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The amended rider was designed to collect from Entergy Texas’s retail customers approximately $ 77.8 million annually, or $ 29.3 million in incremental annual revenues beyond Entergy Texas’s then-effective DCRF rider based on its capital invested in distribution between July 1, 2024 and December 31, 2024, including distribution-related restoration costs associated with Hurricane Beryl. In June 2025 the PUCT approved the DCRF rider, consistent with Entergy Texas’s as-filed request, and rates became effective on June 25, 2025.

In September 2025, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $ 94.7 million annually, or $ 16.9 million in incremental annual revenues beyond Entergy Texas’s currently effective DCRF rider based on its capital invested in distribution between January 1, 2025 and June 30, 2025. A PUCT decision is expected in fourth quarter 2025.

Transmission Cost Recovery Factor (TCRF) Rider

As discussed in the Form 10-K, in October 2024, Entergy Texas filed with the PUCT a request to amend its TCRF rider, which was previously reset to zero in June 2023 as a result of the 2022 base rate case. The amended rider was designed to collect from Entergy Texas’s retail customers approximately $ 9.7 million annually based on its capital invested in transmission between January 1, 2022 and June 30, 2024 and changes in other transmission charges. In April 2025 the PUCT approved the TCRF rider, consistent with Entergy Texas’s as-filed request, and rates became effective for usage on and after April 7, 2025.

In October 2025, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $ 30.3 million annually, or $ 20.6 million in incremental annual revenues beyond Entergy Texas’s currently effective TCRF rider based on its capital invested in transmission between July 1, 2024 and June 30, 2025 and changes in other transmission charges. Entergy Texas requested that the PUCT issue a decision in first quarter 2026 unless a hearing on the merits is requested.

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Entergy Arkansas Opportunity Sales Proceeding

As discussed in the Form 10-K, in September 2020, Entergy Arkansas filed a complaint in the U.S. District Court for the Eastern District of Arkansas challenging the APSC’s denial of recovery of $ 135 million of payments to other Utility operating companies in December 2018 relating to off-system sales of electricity from 2002-2009, as ordered by the FERC. The complaint also involved a challenge to the $ 13.7 million, plus interest, of related refunds ordered by the APSC and paid by Entergy Arkansas in August 2020. The trial was held in February 2023.

In March 2024 the U.S. District Court for the Eastern District of Arkansas issued a judgment in favor of the APSC and against Entergy Arkansas. In March 2024 Entergy Arkansas filed a notice of appeal and a motion to expedite oral arguments with the United States Court of Appeals for the Eighth Circuit and the court granted the motion to expedite. As a result of the adverse decision by the U.S. District Court for the Eastern District of Arkansas, Entergy Arkansas concluded that it could no longer support the recognition of its $ 131.8 million regulatory asset reflecting the previously-expected recovery of a portion of the costs at issue in the opportunity sales proceeding and recorded a $ 131.8 million ($ 99.1 million net-of-tax) charge to earnings in first quarter 2024. In December 2024 the United States Court of Appeals for the Eighth Circuit affirmed the decision of the U.S. District Court for the Eastern District of Arkansas, and Entergy Arkansas filed a petition for rehearing en banc. In January 2025 the United States Court of Appeals for the Eighth Circuit denied Entergy Arkansas’s petition. In April 2025, Entergy Arkansas filed a petition for certiorari with the United States Supreme Court. In June 2025 the United States Supreme Court denied Entergy Arkansas’s petition for certiorari.

MSS-4 Replacement Tariff - Net Operating Loss Carryforward Proceeding

See Note 2 to the financial statements in the Form 10-K for discussion of the MSS-4 replacement tariff net operating loss carryforward proceeding.

The MSS-4 replacement tariff, a tariff governing the sales of energy and capacity among the Utility operating companies, includes protocols that provide for the disclosure of cost inputs, an opportunity for informal discovery procedures, and a challenge process. In April 2025, pursuant to such protocols, the City Council filed with the FERC a formal challenge relating to Entergy Services’ inclusion and allocation of net operating loss carryforward accumulated deferred income taxes in the MSS-4 replacement tariff rates charged to Entergy New Orleans’s monthly bills for calendar year 2023. In May 2025, Entergy Services filed a response to the formal challenge and is awaiting a response from the FERC.

Complaints Against System Energy

See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy and the settlements approved by the FERC that resolved all significant aspects of these complaints. The following are updates to that discussion.

Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue

As discussed in the Form 10-K, in February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the June 2022 MPSC settlement, Entergy Mississippi would continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. In March 2023 the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argued that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. In February 2025, System Energy and the MPSC resolved their dispute concerning the sale-leaseback renewal costs. As a result, the MPSC withdrew its protest at the FERC on System Energy’s tariff compliance filing. Entergy Mississippi will continue to pay the allocated sale-leaseback renewal costs of approximately $ 5.7 million annually and there are no refunds due

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for prior periods. In March 2025, System Energy filed a status report with the FERC explaining that the dispute is resolved. In April 2025 the FERC accepted System Energy’s tariff compliance filing.

System Energy Settlement with the LPSC

As discussed in the Form 10-K, in 2024, System Energy reached a settlement with the LPSC to globally resolve all of the LPSC’s actual and potential claims in multiple docketed proceedings pending before the FERC (including all docketed proceedings resolved by the MPSC, the APSC, and the City Council settlements) and associated with System Energy’s past implementation of the Unit Power Sales Agreement. In compliance with the settlement, in May 2025, System Energy, Entergy Louisiana, and Entergy Mississippi submitted the following filings with the FERC: (1) a Federal Power Act Section 203 application seeking approval for the permanent divestiture by Entergy Louisiana to Entergy Mississippi of its rights to capacity and energy from Grand Gulf; and (2) a Federal Power Act Section 205 application seeking approval to modify the entitlement percentages of the remaining purchasers under the Unit Power Sales Agreement in connection with the foregoing divestiture. In July 2025 the FERC issued an order accepting the Federal Power Act Section 205 application to remove Entergy Louisiana as a party to the Unit Power Sales Agreement. As a result of the order, the Unit Power Sales Agreement entitlement percentages of the remaining purchasers were permanently modified to exclude Entergy Louisiana effective October 2025. The FERC also issued an order dismissing the Federal Power Act Section 203 application based on lack of jurisdiction. See Note 1 to the financial statements herein for additional information regarding the amended Unit Power Sales Agreement.

Storm Cost Recovery Filings with Retail Regulators

See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion.

Entergy Louisiana

Hurricane Francine

In September 2024, Hurricane Francine caused damage to the areas served by Entergy Louisiana. The storm resulted in widespread power outages, primarily due to damage to distribution infrastructure as a result of strong winds and heavy rain, and the loss of sales during the power outages.

In December 2024, and subsequently amended in an errata filed in February 2025, Entergy Louisiana submitted an application to the LPSC seeking a determination that approximately $ 183.6 million in storm restoration costs associated with Hurricane Francine were reasonable and necessary and, therefore, eligible for recovery from customers, as well as approval to recover approximately $ 3.6 million in certain carrying costs from customers. In February 2025, Entergy Louisiana filed a second interim rate adjustment for the 2023 test year reflecting a revenue increase of $ 17.8 million from funds approved by the LPSC (on an interim basis) for Hurricane Francine recovery costs. The second interim rate adjustment was implemented with the first billing cycle of March 2025. See further discussion of the 2023 formula rate plan filing above. Also in February 2025, Entergy Louisiana withdrew $ 33.5 million from its funded storm reserves. In June 2025 the LPSC staff filed direct testimony. The LPSC staff recommended approval of Entergy Louisiana’s as-requested storm restoration costs with the exception of approximately $ 10.6 million, comprised primarily of estimates of mutual assistance invoices that had not yet been received at the time of filing and that ultimately exceeded the actual amounts invoiced, as well as certain incentive compensation, and $ 1.8 million associated with certain carrying costs. In September 2025, Entergy Louisiana reached a settlement with the LPSC staff pursuant to which Entergy Louisiana and the LPSC staff agreed on the amounts recoverable by Entergy Louisiana in connection with Hurricane Francine. Both intervenors in the proceeding stated they did not oppose the settlement. A hearing on the proposed settlement before the ALJ occurred in October 2025, and the proposed settlement is expected to be considered by the LPSC at its November 2025 meeting.

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Common Stock

Earnings per Share

Historical share and share-based data presented in the accompanying financial statements has been retroactively adjusted to reflect the two -for-one forward stock split of Entergy Corporation common stock effective December 12, 2024. See Note 7 to the financial statements in the Form 10-K for discussion of the stock split.

The following tables present Entergy’s basic and diluted earnings per share calculations for the three and nine months ended September 30, 2025 and 2024, included on the consolidated income statements:

			For the Three Months Ended September 30,
			2025												2024
			(Dollars In Thousands, Except Per Share Data; Shares in Millions)
									$/share												$/share
Consolidated net income			$ 698,424												$ 645,754
Less: Preferred dividend requirements of subsidiaries and noncontrolling interests			4,624												814
Net income attributable to Entergy Corporation			$ 693,800												$ 644,940
Basic shares and earnings per average common share			446.5						$ 1.55						428.0						$ 1.51
Average dilutive effect of:
Stock options			1.1						—						0.5						—
Other equity plans			1.4						—						1.4						—
Equity forwards			4.6						( 0.02 )						1.5						( 0.01 )
Diluted shares and earnings per average common share			453.6						$ 1.53						431.4						$ 1.50

			For the Nine Months Ended September 30,
			2025												2024
			(Dollars In Thousands, Except Per Share Data; Shares in Millions)
									$/share												$/share
Consolidated net income			$ 1,532,800												$ 774,022
Less: Preferred dividend requirements of subsidiaries and noncontrolling interests			10,310												4,879
Net income attributable to Entergy Corporation			$ 1,522,490												$ 769,143
Basic shares and earnings per average common share			438.7						$ 3.47						427.2						$ 1.80
Average dilutive effect of:
Stock options			1.0						( 0.01 )						0.6						—
Other equity plans			1.5						( 0.01 )						1.1						( 0.01 )
Equity forwards			6.1						( 0.05 )						0.6						—
Diluted shares and earnings per average common share			447.3						$ 3.40						429.5						$ 1.79

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Earnings per share dilution resulting from stock options outstanding and other equity plans is determined under the treasury stock method. The calculation of diluted earnings per share excluded 366,136 stock options outstanding for the three months ended September 30, 2025 and 1,548,386 stock options outstanding for the three months ended September 30, 2024 because their effect would have been antidilutive. The calculation of diluted earnings per share excluded 325,454 stock options outstanding for the nine months ended September 30, 2025 and 2,477,756 stock options outstanding for the nine months ended September 30, 2024 because their effect would have been antidilutive. Until settlement of the forward sale agreements discussed below in “ Equity Distribution Program ” and “ Equity Forward Sale Agreements, ” earnings per share dilution resulting from the agreements, if any, is determined under the treasury stock method. Share dilution occurs when the average market price of Entergy Corporation’s common stock is higher than the average forward sales price. The calculation of diluted earnings per share excluded 94,446 shares for the three months ended September 30, 2025 and 3,485,736 shares for the three months ended September 30, 2024 under forward sale agreements outstanding because their effect would have been antidilutive. The calculation of diluted earnings per share excluded 901,408 shares for the nine months ended September 30, 2025 and 3,164,908 shares for the nine months ended September 30, 2024 under forward sale agreements outstanding because their effect would have been antidilutive.

Entergy’s stock options and other equity compensation plans are discussed in Note 5 to the financial statements herein and in Note 12 to the financial statements in the Form 10-K.

Dividends declared per common share were $ 0.60 for the three months ended September 30, 2025 and $ 0.57 for the three months ended September 30, 2024. Dividends declared per common share were $ 1.80 for the nine months ended September 30, 2025 and $ 1.70 for the nine months ended September 30, 2024.

(System Energy)

In February 2025, System Energy paid its parent, Entergy Corporation, a $ 20 million distribution out of its common stock.

In May 2025, System Energy paid its parent, Entergy Corporation, a $ 30 million distribution out of its common stock.

Equity Distribution Program

See Note 7 to the financial statements in the Form 10-K for discussion of Entergy Corporation’s at the market equity distribution program. The following are updates to that discussion.

In February 2025, Entergy Corporation increased by an additional $ 1.5 billion the aggregate gross sales price authorized under its at the market equity distribution program pursuant to the terms of the equity distribution sales agreement for such program. The aggregate number of shares of common stock sold under this sales agreement and under any forward sale agreement may not exceed an aggregate gross sales price of $ 4.5 billion. As of September 30, 2025, an aggregate gross sales price of approximately $ 2.8 billion has been sold under the at the market equity distribution program.

During the nine months ended September 30, 2025 and 2024, there were no shares of common stock directly issued under the at the market equity distribution program.

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The following forward sale agreements were entered into by Entergy Corporation under its at the market equity distribution program during the nine months ended September 30, 2025:

Effective Date

Shares of Common Stock per Forward Sale Agreement

Maturity Date

Forward Sale Price per Share

Gross Sales Price

Forward Sellers Fees

(Dollars In Thousands, Except Per Share Data)

March 2025

2,713,790

August 2026

$ 84.77

$ 232,216

$ 2,322

During the nine months ended September 30, 2025, Entergy Corporation physically settled its obligations under the following forward sale agreements:

			Effective Date of Forward Sale Agreements						Shares of Common Stock Issued						Gross Sales Price						Forward Sellers Fees						Forward Sale Price per Share						Cash Proceeds at Settlement
															(Dollars In Thousands, Except Per Share Data)
Forward sale agreements settled in May 2025:
			December 2023						5,506,492						$ 280,459						$ 2,805
			March 2024						569,844						$ 29,318						$ 293
			March 2024						2,320,830						$ 119,153						$ 1,192
			May 2024						2,556,832						$ 142,387						$ 1,424
			May 2024						2,466,470						$ 134,396						$ 1,344
			June 2024						2,140,006						$ 114,540						$ 1,145
Total									15,560,474																		$ 51.78						$ 805,669

Entergy Corporation incurred an aggregate amount of approximately $ 1.0 million of general issuance costs associated with the May 2025 settlement. Entergy Corporation used the net proceeds for general corporate purposes, which included repayment of commercial paper, outstanding loans under Entergy Corporation’s revolving credit facility, and other debt.

In September 2025, Entergy Corporation amended certain terms and conditions of the September 2024 forward sale agreements replacing the original maturity date of October 2025 with October 2026.

In October 2025, Entergy Corporation physically settled its obligations under the August 2024 forward sale agreements by delivering 5,692,604 shares of common stock in exchange for cash proceeds of $ 332 million. The forward sale price used to determine the cash proceeds received by Entergy Corporation was calculated based on the initial forward sale price of $ 58.30 per share as adjusted in accordance with the forward sale agreements. Entergy Corporation incurred an aggregate amount of approximately $ 0.4 million of general issuance costs with the settlement.

Equity Forward Sale Agreements

In March 2025, Entergy marketed an equity offering of 17.8 million shares of Entergy Corporation common stock. In lieu of issuing equity at the time of the offering, Entergy entered into forward sale agreements with several forward counterparties. No amounts have been or will be recorded on Entergy’s balance sheet with respect to the equity offering until settlements of the forward sale agreements occur. The forward sale agreements require Entergy to, at its election on or prior to September 30, 2026, either (1) physically settle the transactions by issuing the total of 17.8 million shares of its common stock to the forward counterparties in exchange for net proceeds at the then-applicable forward sale price specified by the agreements (initially $ 81.87 per share) or (2) net settle the transactions in whole or in part through the delivery or receipt of cash or shares. The forward sale price is subject to

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adjustment on a daily basis based on a floating interest rate factor and will decrease by other fixed amounts specified in the agreements.

Until settlement of the forward sale agreements, earnings per share dilution resulting from the agreements, if any, will be determined under the treasury stock method. Share dilution occurs when the average market price of Entergy’s common stock is higher than the average forward sales price. If Entergy had elected to net share settle the forward sale agreements as of September 30, 2025, Entergy would have been required to deliver 2.1 million shares.

Treasury Stock

During the nine months ended September 30, 2025, Entergy Corporation reissued 1,456,014 shares of its previously repurchased common stock to satisfy stock option exercises, vesting of shares of restricted stock, and other stock-based awards.  Entergy Corporation did not repurchase any of its common stock during the nine months ended September 30, 2025.

Retained Earnings

On October 31, 2025, Entergy Corporation’s Board of Directors declared a common stock dividend of $ 0.64 per share, payable on December 1, 2025 to holders of record as of November 13, 2025.

Comprehensive Income

Accumulated other comprehensive income (loss) is included in the equity section of the balance sheets of Entergy and Entergy Louisiana. The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended September 30, 2025 and 2024:

			Pension and Other Postretirement Plan Changes
			2025						2024
			(In Thousands)
Beginning balance, July 1,			$ 34,438						$ 80,361
Amounts reclassified from accumulated other comprehensive income (loss)			( 4,083 )						( 4,176 )
Net other comprehensive loss for the period			( 4,083 )						( 4,176 )
Ending balance, September 30,			$ 30,355						$ 76,185

The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the nine months ended September 30, 2025 and 2024:

			Pension and Other Postretirement Plan Changes
			2025						2024
			(In Thousands)
Beginning balance, January 1,			$ 42,769						($ 162,460 )
Amounts reclassified from accumulated other comprehensive income (loss)			( 12,414 )						238,645
Net other comprehensive income (loss) for the period			( 12,414 )						238,645
Ending balance, September 30,			$ 30,355						$ 76,185

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The following table presents changes in accumulated other comprehensive income for Entergy Louisiana for the three months ended September 30, 2025 and 2024:

			Pension and Other Postretirement Plan Changes
			2025						2024
			(In Thousands)
Beginning balance, July 1,			$ 50,555						$ 50,751
Amounts reclassified from accumulated other comprehensive income			( 1,818 )						( 2,024 )
Net other comprehensive loss for the period			( 1,818 )						( 2,024 )
Ending balance, September 30,			$ 48,737						$ 48,727

The following table presents changes in accumulated other comprehensive income for Entergy Louisiana for the nine months ended September 30, 2025 and 2024:

			Pension and Other Postretirement Plan Changes
			2025						2024
			(In Thousands)
Beginning balance, January 1,			$ 53,658						$ 54,798
Amounts reclassified from accumulated other comprehensive income			( 4,921 )						( 6,071 )
Net other comprehensive loss for the period			( 4,921 )						( 6,071 )
Ending balance, September 30,			$ 48,737						$ 48,727

Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) for Entergy for the three months ended September 30, 2025 and 2024 are as follows:

			Amounts reclassified from AOCI												Income Statement Location
			2025						2024
			(In Thousands)
Pension and other postretirement plan changes
Amortization of prior service credit			$ 3,463						$ 3,473						(a)
Amortization of net gain			2,265						2,130						(a)
Settlement loss			( 405 )						—						(a)
Total amortization and settlement loss			5,323						5,603
Income taxes			( 1,240 )						( 1,427 )						Income taxes
Total amortization and settlement loss (net of tax)			$ 4,083						$ 4,176
Total reclassifications for the period (net of tax)			$ 4,083						$ 4,176

(a) These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details.

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Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) for Entergy for the nine months ended September 30, 2025 and 2024 are as follows:

			Amounts reclassified from AOCI												Income Statement Location
			2025						2024
			(In Thousands)
Pension and other postretirement plan changes
Amortization of prior service credit			$ 10,387						$ 10,419						(a)
Amortization of net gain			7,367						5,167						(a)
Settlement loss			( 405 )						( 316,974 )						(a)
Total amortization and settlement loss			17,349						( 301,388 )
Income taxes			( 4,935 )						62,743						Income taxes
Total amortization and settlement loss (net of tax)			$ 12,414						($ 238,645 )
Total reclassifications for the period (net of tax)			$ 12,414						($ 238,645 )

(a) These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details.

Total reclassifications out of accumulated other comprehensive income (AOCI) for Entergy Louisiana for the three months ended September 30, 2025 and 2024 are as follows:

						Amounts reclassified from AOCI												Income Statement Location
						2025						2024
						(In Thousands)
Pension and other postretirement plan changes
Amortization of prior service credit						$ 1,136						$ 1,136						(a)
Amortization of net gain						1,406						1,634						(a)
Settlement loss						( 106 )						—						(a)
Total amortization and settlement loss						2,436						2,770
Income taxes						( 618 )						( 746 )						Income taxes
Total amortization and settlement loss (net of tax)						$ 1,818						$ 2,024
Total reclassifications for the period (net of tax)						$ 1,818						$ 2,024

(a) These accumulated other comprehensive income components are included in the computation of net periodic pension and other postretirement cost.  See Note 6 to the financial statements herein for additional details.

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Total reclassifications out of accumulated other comprehensive income (AOCI) for Entergy Louisiana for the nine months ended September 30, 2025 and 2024 are as follows:

						Amounts reclassified from AOCI												Income Statement Location
						2025						2024
						(In Thousands)
Pension and other postretirement plan changes
Amortization of prior service credit						$ 3,408						$ 3,408						(a)
Amortization of net gain						4,844						4,900						(a)
Settlement loss						( 106 )						—						(a)
Total amortization and settlement loss						8,146						8,308
Income taxes						( 3,225 )						( 2,237 )						Income taxes
Total amortization and settlement loss (net of tax)						$ 4,921						$ 6,071
Total reclassifications for the period (net of tax)						$ 4,921						$ 6,071

(a) These accumulated other comprehensive income components are included in the computation of net periodic pension and other postretirement cost.  See Note 6 to the financial statements herein for additional details.

Entergy Corporation has in place a credit facility that has a borrowing capacity of $ 3 billion and expires in June 2030. The facility includes fronting commitments for the issuance of letters of credit against $ 20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225 % of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation.  As there were no borrowings under the facility for the nine months ended September 30, 2025, the estimated interest rate as of September 30, 2025 that would have been applied to outstanding borrowings under the facility was 5.76 %. The following is a summary of the amounts outstanding and capacity available under the credit facility as of September 30, 2025:

Capacity						Borrowings						Letters of Credit						Capacity Available
(In Millions)
$ 3,000						$ —						$ 3						$ 2,997

Entergy Corporation’s credit facility includes a covenant requiring Entergy to maintain a consolidated debt ratio, as defined, of 65 % or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans and System Energy) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur.

Entergy Corporation has a commercial paper program with a Board-approved program limit of $ 2 billion.  As of September 30, 2025, Entergy Corporation had $ 1,398 million of commercial paper outstanding. The weighted-average interest rate for the nine months ended September 30, 2025 was 4.64 %.

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Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of September 30, 2025 as follows:

Company						Expiration Date						Amount of Facility						Interest Rate (a)						Amount Drawn as of September 30, 2025						Letters of Credit Outstanding as of September 30, 2025
Entergy Arkansas						April 2026						$ 25 million (b)						6.11 %						$ —						$ —
Entergy Arkansas						June 2030						$ 300 million (c)						5.39 %						$ —						$ —
Entergy Louisiana						June 2030						$ 400 million (c)						5.51 %						$ —						$ —
Entergy Mississippi						June 2030						$ 300 million (c)						5.39 %						$ —						$ —
Entergy New Orleans						June 2027						$ 25 million (c)						5.89 %						$ —						$ —
Entergy Texas						June 2030						$ 300 million (c)						5.51 %						$ —						$ 1.1 million

(a) The interest rate is the estimated interest rate as of September 30, 2025 that would have been applied to outstanding borrowings under the facility.

(b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option.

(c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $ 5 million for Entergy Arkansas; $ 15 million for Entergy Louisiana; $ 5 million for Entergy Mississippi; $ 10 million for Entergy New Orleans; and $ 25 million for Entergy Texas.

The commitment fees on the credit facilities range from 0.075 % to 0.375 % of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65 % or less of its total capitalization.  Each Registrant Subsidiary is in compliance with this covenant.

In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each has one or more uncommitted standby letter of credit facilities as a means to post collateral to support its obligations to MISO and for other purposes. The following is a summary of the uncommitted standby letter of credit facilities as of September 30, 2025:

Company

Amount of Uncommitted Facility

Letter of Credit Fee

Letters of Credit Issued as of September 30, 2025 (a)

Entergy Arkansas

$ 25 million

0.78 %

$ 19.8 million

Entergy Arkansas

$ 75 million

0.50 %

$ 15.6 million

Entergy Louisiana

$ 125 million

0.78 %

$ 117.0 million

Entergy Louisiana

$ 45 million

0.50 %

$ 45.0 million

Entergy Mississippi

$ 65 million

0.78 %

$ 62.2 million (b)

Entergy Mississippi

$ 65 million

0.50 %

$ 43.0 million

Entergy New Orleans

$ 1 million

1.625 %

$ 0.5 million

Entergy Texas

$ 150 million

1.250 %

$ 51.5 million

Entergy Texas

$ 160 million

1.05 %

$ —

(a) As of September 30, 2025, letters of credit posted with MISO covered financial transmission rights exposure of $ 2.1 million for Entergy Arkansas, $ 0.5 million for Entergy Louisiana, and $ 1.2 million for Entergy Mississippi. See Note 8 to the financial statements herein for discussion of financial transmission rights.

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(b) As of September 30, 2025, the letters of credit issued for Entergy Mississippi include $ 60.9 million in MISO letters of credit and $ 1.3 million in non-MISO letters of credit outstanding under this facility.

The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy have FERC-authorized short-term borrowing limits effective through January 2027. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy system money pool and from other internal short-term borrowing arrangements.  The money pool is an intercompany cash management program that makes possible intercompany borrowing and lending arrangements, and the money pool and the other internal borrowing arrangements are designed to reduce the Registrant Subsidiaries’ dependence on external short-term borrowings.  Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following are the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of September 30, 2025 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries:

			Authorized						Borrowings
			(In Millions)
Entergy Arkansas			$ 250						$ —
Entergy Louisiana			$ 450						$ —
Entergy Mississippi			$ 200						$ —
Entergy New Orleans			$ 150						$ —
Entergy Texas			$ 200						$ 142
System Energy			$ 200						$ —

Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy)

See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of September 30, 2025:

Company						Expiration Date						Amount of Facility						Weighted- Average Interest Rate on Borrowings (a)						Amount Outstanding as of September 30, 2025
												(Dollars in Millions)
Entergy Arkansas VIE						June 2027						$ 80						5.43 %						$ 24.1
Entergy Louisiana River Bend VIE						June 2027						$ 105						5.43 %						$ 61.4
Entergy Louisiana Waterford VIE						June 2027						$ 105						5.43 %						$ 58.4
System Energy VIE						June 2027						$ 120						5.43 %						$ 39.6

(a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility.

The commitment fees on the credit facilities are 0.100 % of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs.  Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70 % or less of its total capitalization. Each lessee is in compliance with this covenant.

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The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of September 30, 2025 as follows:

Company

Description

Amount

Entergy Arkansas VIE

1.84 % Series N due July 2026

$ 90 million

Entergy Arkansas VIE

5.54 % Series O due May 2029

$ 70 million

Entergy Louisiana River Bend VIE

2.51 % Series V due June 2027

$ 70 million

Entergy Louisiana Waterford VIE

5.94 % Series J due September 2026

$ 70 million

System Energy VIE

2.05 % Series K due September 2027

$ 90 million

In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense.

As of September 30, 2025, Entergy Arkansas, Entergy Louisiana, and System Energy each has obtained financing authorization from the FERC that extends through January 2027 for issuances by its nuclear fuel company VIEs.

Debt Issuances and Retirements

(Entergy Corporation)

In September 2025, Entergy Corporation redeemed, at maturity, $ 800 million of 0.90 % Senior notes.

(Entergy Arkansas)

In May 2025, Entergy Arkansas issued $ 300 million of 5.45 % Series mortgage bonds due June 2034. Entergy Arkansas expects to use the proceeds, together with other funds, to finance the construction of Ironwood Power Station (formerly Lake Catherine Unit 5), and for general corporate purposes.

(Entergy Louisiana)

In January 2025, Entergy Louisiana issued $ 750 million of 5.80 % Series mortgage bonds due March 2055. Entergy Louisiana used the proceeds, together with other funds: (1) to repay, prior to maturity, its $ 190 million of 3.78 % Series mortgage bonds due April 2025; (2) to repay, prior to maturity, its $ 110 million of 3.78 % Series mortgage bonds due April 2025; (3) for capital expenditures; and (4) for general corporate purposes.

(Entergy Mississippi)

In March 2025, Entergy Mississippi issued $ 600 million of 5.80 % Series mortgage bonds due April 2055. Entergy Mississippi is using the proceeds, together with other funds, to finance a portion of the construction of the Delta Blues Advanced Power Station, the Delta Solar facility, and the Penton Solar facility, and for general corporate purposes.

(Entergy New Orleans)

In February 2025, Entergy New Orleans entered into a term loan credit agreement providing a $ 80 million unsecured term loan due March 2026. The term loan bore interest at a variable interest rate based on an adjusted term Secured Overnight Financing Rate plus the applicable adjustment. Entergy New Orleans received the funds in March 2025 and used the proceeds to repay, at maturity, its $ 78 million of 3.00 % Series mortgage bonds due March 2025, and for general corporate purposes. The term loan was subsequently repaid, prior to its maturity, in July 2025.

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(Entergy Texas)

In February 2025, Entergy Texas issued $ 500 million of 5.25 % Series mortgage bonds due April 2035. Entergy Texas expects to use the proceeds, together with other funds, to finance the construction of the Orange County Advanced Power Station and the Lone Star Power Station, and for general corporate purposes.

(System Energy)

In May 2025, System Energy issued $ 240 million of 5.30 % Series mortgage bonds due December 2034. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $ 200 million of 2.14 % Series mortgage bonds due December 2025, and for general corporate purposes.

Fair Value

The book value and the fair value of long-term debt for Entergy and the Registrant Subsidiaries as of September 30, 2025 were as follows:

			Book Value of Long-Term Debt						Fair Value of Long-Term Debt (a)
			(In Thousands)
Entergy			$ 29,033,259						$ 27,046,970
Entergy Arkansas			$ 5,431,589						$ 4,964,743
Entergy Louisiana			$ 10,390,778						$ 9,582,488
Entergy Mississippi			$ 3,020,984						$ 2,782,423
Entergy New Orleans			$ 657,870						$ 623,753
Entergy Texas			$ 4,039,013						$ 3,791,754
System Energy			$ 1,090,762						$ 1,106,257

(a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein.

The book value and the fair value of long-term debt for Entergy and the Registrant Subsidiaries as of December 31, 2024 were as follows:

			Book Value of Long-Term Debt						Fair Value of Long-Term Debt (a)
			(In Thousands)
Entergy			$ 27,991,595						$ 25,181,802
Entergy Arkansas			$ 5,122,494						$ 4,546,643
Entergy Louisiana			$ 9,866,453						$ 8,751,266
Entergy Mississippi			$ 2,427,073						$ 2,116,246
Entergy New Orleans			$ 735,467						$ 697,466
Entergy Texas			$ 3,552,443						$ 3,176,230
System Energy			$ 1,089,736						$ 1,063,946

(a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein.

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Entergy grants stock and stock-based awards, which are described more fully in Note 12 to the financial statements in the Form 10-K.  Awards under Entergy’s plans generally vest over three years.

Stock Options

In February 2025 the Board approved and Entergy granted long-term incentive awards in the form of options on 366,136 shares of its common stock under the 2019 Omnibus Incentive Plan with a fair value of $ 17.43 per option.  As of September 30, 2025, there were options on 2,946,252 shares of common stock outstanding with a weighted-average exercise price of $ 56.51 .  The intrinsic value, which has no effect on net income, of the outstanding stock options is calculated by the positive difference between the weighted-average exercise price of the stock options granted and Entergy Corporation’s common stock price as of September 30, 2025.  The aggregate intrinsic value of the stock options outstanding as of September 30, 2025 was $ 101.3 million.

The following table includes financial information for stock options for the three and nine months ended September 30, 2025 and 2024:

			Three Months Ended												Nine Months Ended
			2025						2024						2025						2024
			(In Millions)
Compensation expense included in Entergy’s consolidated net income			$ 1.0						$ 0.8						$ 3.1						$ 3.0
Tax benefit recognized in Entergy’s consolidated net income			$ 0.2						$ 0.2						$ 0.7						$ 0.8
Compensation cost capitalized as part of fixed assets and materials and supplies			$ 0.5						$ 0.4						$ 1.5						$ 1.4

Other Equity Awards

In February 2025 the Board approved and Entergy granted long-term incentive awards in the form of 510,009 restricted stock awards and 187,036 performance units under the 2019 Omnibus Incentive Plan.  The restricted stock awards were made effective on February 6, 2025 and were valued at $ 82.79 per share, which was the closing price of Entergy Corporation’s common stock on the grant date.  Shares of restricted stock have the same dividend and voting rights as other common stock, are considered issued and outstanding shares of Entergy upon vesting, and are expensed ratably over the three-year vesting period. One-third of the restricted stock awards and accrued dividends will vest upon each anniversary of the grant date.

The performance units represent the value of, and are settled with, one share of Entergy Corporation common stock at the end of the three-year performance period, plus dividends accrued during the performance period on the number of performance units earned. To emphasize the importance of environmental stewardship, specifically of carbon-free generation and resilience, an environmental achievement measure was selected as one of the performance measures for the 2025-2027 performance period. For the 2025-2027 performance period, performance will be measured based eighty percent on relative total shareholder return and twenty percent on the environmental achievement measure.  The performance units were granted on February 6, 2025 and eighty percent were valued at $ 115.13 per share based on various factors, primarily market conditions; and twenty percent were valued at $ 82.79 per share, the closing price of Entergy Corporation’s common stock on the grant date.  Performance units have the same dividend and voting rights as other common stock, are considered issued and outstanding shares of Entergy upon vesting, and are expensed ratably over the three-year vesting period, and compensation cost for the portion of the award based on the selected environmental achievement measure will be adjusted based on the number of units that ultimately vest. See Note 12 to the financial statements in the Form 10-K for a description of the Long-Term Performance Unit Program.

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The following table includes financial information for other outstanding equity awards for the three and nine months ended September 30, 2025 and 2024:

			Three Months Ended												Nine Months Ended
			2025						2024						2025						2024
			(In Millions)
Compensation expense included in Entergy’s consolidated net income			$ 9.7						$ 9.6						$ 29.1						$ 29.3
Tax benefit recognized in Entergy’s consolidated net income			$ 2.4						$ 2.4						$ 7.2						$ 7.4
Compensation cost capitalized as part of fixed assets and materials and supplies			$ 5.0						$ 4.6						$ 14.5						$ 13.7

Components of Qualified Net Pension Cost

Entergy’s qualified pension costs, including amounts capitalized, for the third quarters of 2025 and 2024, included the following components:

			2025						2024
			(In Thousands)
Service cost - benefits earned during the period			$ 23,454						$ 23,358
Interest cost on projected benefit obligation			58,145						56,631
Expected return on assets			( 75,383 )						( 76,557 )
Recognized net loss			13,086						14,322
Settlement charges			23,874						—
Asset transfer gain (a)			( 5,780 )						—
Net pension cost			$ 37,396						$ 17,754

Entergy’s qualified pension costs, including amounts capitalized, for the nine months ended September 30, 2025 and 2024, included the following components:

			2025						2024
			(In Thousands)
Service cost - benefits earned during the period			$ 70,688						$ 70,104
Interest cost on projected benefit obligation			177,505						193,218
Expected return on assets			( 225,943 )						( 262,043 )
Recognized net loss			39,704						44,296
Settlement charges			23,874						325,253
Asset transfer gain (a)			( 5,780 )						—
Net pension cost			$ 80,048						$ 370,828

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The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their current and former employees for the third quarters of 2025 and 2024, included the following components:

2025						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 4,385						$ 5,403						$ 1,296						$ 410						$ 1,008						$ 1,352
Interest cost on projected benefit obligation						13,580						14,347						3,661						1,613						2,917						3,497
Expected return on assets						( 17,791 )						( 18,981 )						( 5,039 )						( 1,946 )						( 3,890 )						( 4,605 )
Recognized net loss						4,171						2,367						750						703						454						954
Settlement charges						1,454						5,982						146						6,195						617						512
Asset transfer gain (a)						—						( 2,472 )						—						( 1,934 )						—						—
Net pension cost						$ 5,799						$ 6,646						$ 814						$ 5,041						$ 1,106						$ 1,710

2024						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 4,101						$ 5,550						$ 1,284						$ 441						$ 963						$ 1,380
Interest cost on projected benefit obligation						13,218						13,962						3,522						1,569						2,832						3,375
Expected return on assets						( 18,156 )						( 19,446 )						( 5,112 )						( 2,202 )						( 4,077 )						( 4,602 )
Recognized net loss						5,745						2,601						1,140						471						393						1,155
Net pension cost						$ 4,908						$ 2,667						$ 834						$ 279						$ 111						$ 1,308

The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their current and former employees for the nine months ended September 30, 2025 and 2024, included the following components:

2025						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 13,239						$ 16,311						$ 3,904						$ 1,232						$ 3,056						$ 4,096
Interest cost on projected benefit obligation						41,208						43,755						11,059						4,907						8,863						10,667
Expected return on assets						( 53,143 )						( 56,775 )						( 14,937 )						( 6,294 )						( 11,668 )						( 13,755 )
Recognized net loss						13,753						6,903						2,394						1,533						1,362						3,182
Settlement charges						1,454						5,982						146						6,195						617						512
Asset transfer gain (a)						—						( 2,472 )						—						( 1,934 )						—						—
Net pension cost						$ 16,511						$ 13,704						$ 2,566						$ 5,639						$ 2,230						$ 4,702

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2024						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 12,300						$ 16,652						$ 3,852						$ 1,321						$ 2,886						$ 4,147
Interest cost on projected benefit obligation						39,652						41,884						10,564						4,707						8,494						10,152
Expected return on assets						( 54,466 )						( 58,340 )						( 15,338 )						( 6,609 )						( 12,231 )						( 13,883 )
Recognized net loss						17,237						7,805						3,420						1,411						1,179						3,482
Settlement charges						—						—						—						—						—						611
Net pension cost						$ 14,723						$ 8,001						$ 2,498						$ 830						$ 328						$ 4,509

(a)     See Note 13 to the financial statements herein for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

Non-Qualified Net Pension Cost

Entergy recognized $ 6.1 million and $ 2.7 million in pension cost for its non-qualified pension plans for the third quarters of 2025 and 2024, respectively. Reflected in the pension cost for non-qualified pension plans in the third quarter of 2025 were settlement charges of $ 3.6 million related to the payment of lump sum benefits out of the plan. In the third quarter of 2024, there were no settlement charges related to the payment of lump sum benefits out of the plan. Entergy recognized $ 11.1 million and $ 8.2 million in pension cost for its non-qualified pension plans for the nine months ended September 30, 2025 and 2024, respectively. Reflected in the pension cost for non-qualified pension plans for the nine months ended September 30, 2025 were settlement charges of $ 3.6 million related to the payment of lump sum benefits out of the plan. For the nine months ended September 30, 2024, there were no settlement charges related to the payment of lump sum benefits out of the plan.

The Registrant Subsidiaries recognized the following pension cost for their current and former employees for their non-qualified pension plans for third quarters of 2025 and 2024:

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
			(In Thousands)
2025			$ 46						$ 35						$ 301						$ 34						$ 39
2024			$ 68						$ 51						$ 83						$ 31						$ 62

The Registrant Subsidiaries recognized the following pension cost for their current and former employees for their non-qualified pension plans for the nine months ended September 30, 2025 and 2024:

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
			(In Thousands)
2025			$ 140						$ 107						$ 481						$ 104						$ 117
2024			$ 204						$ 153						$ 249						$ 93						$ 186

For the third quarter of 2025, there were settlement charges of $ 215 thousand for Entergy Mississippi included in the non-qualified pension costs above related to the payment of lump sum benefits out of the plan. For the third quarter of 2024, there were no settlement charges for the Registrant Subsidiaries related to the payment of lump sums benefits out of the plan. For the nine months ended September 30, 2025, there were settlement charges of $ 215 thousand for Entergy Mississippi included in the non-qualified pension costs above related to the payment

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of lump sum benefits out of the plan. For the nine months ended September 30, 2024, there were no settlement charges for the Registrant Subsidiaries related to the payment of lump sum benefits out of the plan.

Components of Net Other Postretirement Benefits Cost (Income)

Entergy’s other postretirement benefits cost (income), including amounts capitalized, for the third quarters of 2025 and 2024, included the following components:

			2025						2024
			(In Thousands)
Service cost - benefits earned during the period			$ 2,702						$ 3,126
Interest cost on accumulated postretirement benefit obligation (APBO)			9,447						9,852
Expected return on assets			( 9,830 )						( 10,569 )
Amortization of prior service credit			( 5,661 )						( 5,720 )
Recognized net gain			( 3,679 )						( 2,761 )
Settlement credit			( 2,957 )						—
Curtailment credit			( 2,202 )						—
Asset transfer loss (a)			13,725						—
Net other postretirement benefits cost (income)			$ 1,545						($ 6,072 )

Entergy’s other postretirement benefits income, including amounts capitalized, for the nine months ended September 30, 2025 and 2024, included the following components:

			2025						2024
			(In Thousands)
Service cost - benefits earned during the period			$ 8,216						$ 9,378
Interest cost on APBO			28,827						29,556
Expected return on assets			( 30,248 )						( 31,707 )
Amortization of prior service credit			( 17,101 )						( 17,160 )
Recognized net gain			( 11,419 )						( 8,283 )
Settlement credit			( 2,957 )						—
Curtailment credit			( 2,202 )						—
Asset transfer loss (a)			13,725						—
Net other postretirement benefits income			($ 13,159 )						($ 18,216 )

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The Registrant Subsidiaries’ other postretirement benefits cost (income), including amounts capitalized, for their current and former employees for the third quarters of 2025 and 2024 included the following components:

2025						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 571						$ 632						$ 162						$ 32						$ 158						$ 175
Interest cost on APBO						1,775						1,932						489						203						581						394
Expected return on assets						( 4,225 )						—						( 1,327 )						( 1,065 )						( 2,451 )						( 703 )
Amortization of prior service cost (credit)						524						( 1,136 )						( 239 )						( 170 )						( 1,093 )						( 73 )
Recognized net (gain) loss						( 353 )						( 1,500 )						( 58 )						( 83 )						154						( 7 )
Settlement credit						—						( 1,014 )						—						( 1,345 )						—						—
Curtailment credit						—						( 1,094 )						—						( 268 )						—						—
Asset transfer (gain) loss (a)						—						( 2,541 )						—						18,793						—						—
Net other postretirement benefits cost (income)						($ 1,708 )						($ 4,721 )						($ 973 )						$ 16,097						($ 2,651 )						($ 214 )

2024						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 642						$ 700						$ 184						$ 51						$ 168						$ 175
Interest cost on APBO						1,833						1,999						486						253						603						398
Expected return on assets						( 4,384 )						—						( 1,372 )						( 1,479 )						( 2,539 )						( 728 )
Amortization of prior service cost (credit)						524						( 1,136 )						( 239 )						( 229 )						( 1,093 )						( 73 )
Recognized net (gain) loss						—						( 1,738 )						15						19						148						—
Net other postretirement benefits income						($ 1,385 )						($ 175 )						($ 926 )						($ 1,385 )						($ 2,713 )						($ 228 )

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The Registrant Subsidiaries’ other postretirement benefits cost (income), including amounts capitalized, for their current and former employees for the nine months ended September 30, 2025 and 2024 included the following components:

2025						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 1,715						$ 1,974						$ 486						$ 136						$ 476						$ 523
Interest cost on APBO						5,325						5,956						1,467						701						1,745						1,182
Expected return on assets						( 12,675 )						—						( 3,983 )						( 3,955 )						( 7,355 )						( 2,107 )
Amortization of prior service cost (credit)						1,572						( 3,408 )						( 717 )						( 628 )						( 3,279 )						( 219 )
Recognized net (gain) loss						( 1,059 )						( 5,122 )						( 172 )						( 137 )						460						( 21 )
Settlement credit						—						( 1,014 )						—						( 1,345 )						—						—
Curtailment credit						—						( 1,094 )						—						( 268 )						—						—
Asset transfer (gain) loss (a)						—						( 2,541 )						—						18,793						—						—
Net other postretirement benefits cost (income)						($ 5,122 )						($ 5,249 )						($ 2,919 )						$ 13,297						($ 7,953 )						($ 642 )

2024						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
						(In Thousands)
Service cost - benefits earned during the period						$ 1,926						$ 2,100						$ 552						$ 153						$ 504						$ 525
Interest cost on APBO						5,499						5,997						1,458						759						1,809						1,194
Expected return on assets						( 13,152 )						—						( 4,116 )						( 4,437 )						( 7,617 )						( 2,184 )
Amortization of prior service cost (credit)						1,572						( 3,408 )						( 717 )						( 687 )						( 3,279 )						( 219 )
Recognized net (gain) loss						—						( 5,214 )						45						57						444						—
Net other postretirement benefits income						($ 4,155 )						($ 525 )						($ 2,778 )						($ 4,155 )						($ 8,139 )						($ 684 )

(a)     See Note 13 to the financial statements herein for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

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Reclassification out of Accumulated Other Comprehensive Income (Loss)

Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the third quarters of 2025 and 2024:

2025						Qualified Pension Costs						Other Postretirement Costs						Non-Qualified Pension Costs						Total
						(In Thousands)
Entergy
Amortization of prior service credit (cost)						$ —						$ 3,494						($ 31 )						$ 3,463
Amortization of net gain (loss)						( 418 )						2,786						( 103 )						2,265
Settlement loss						( 167 )						—						( 238 )						( 405 )
						($ 585 )						$ 6,280						($ 372 )						$ 5,323
Entergy Louisiana
Amortization of prior service credit						$ —						$ 1,136						$ —						$ 1,136
Amortization of net gain (loss)						( 94 )						1,500						—						1,406
Settlement loss						( 106 )						—						—						( 106 )
						($ 200 )						$ 2,636						$ —						$ 2,436

2024						Qualified Pension Costs						Other Postretirement Costs						Non-Qualified Pension Costs						Total
						(In Thousands)
Entergy
Amortization of prior service credit (cost)						$ —						$ 3,513						($ 40 )						$ 3,473
Amortization of net gain (loss)						( 405 )						2,615						( 80 )						2,130
						($ 405 )						$ 6,128						($ 120 )						$ 5,603
Entergy Louisiana
Amortization of prior service credit						$ —						$ 1,136						$ —						$ 1,136
Amortization of net gain (loss)						( 104 )						1,738						—						1,634
						($ 104 )						$ 2,874						$ —						$ 2,770

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Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the nine months ended September 30, 2025 and 2024:

2025						Qualified Pension Costs						Other Postretirement Costs						Non-Qualified Pension Costs						Total
						(In Thousands)
Entergy
Amortization of prior service credit (cost)						$ —						$ 10,480						($ 93 )						$ 10,387
Amortization of net gain (loss)						( 1,240 )						8,926						( 319 )						7,367
Settlement loss						( 167 )						—						( 238 )						( 405 )
						($ 1,407 )						$ 19,406						($ 650 )						$ 17,349
Entergy Louisiana
Amortization of prior service credit						$ —						$ 3,408						$ —						$ 3,408
Amortization of net gain (loss)						( 276 )						5,122						( 2 )						4,844
Settlement loss						( 106 )						—						—						( 106 )
						($ 382 )						$ 8,530						($ 2 )						$ 8,146

2024						Qualified Pension Costs						Other Postretirement Costs						Non-Qualified Pension Costs						Total
						(In Thousands)
Entergy
Amortization of prior service credit (cost)						$ —						$ 10,539						($ 120 )						$ 10,419
Amortization of net gain (loss)						( 2,438 )						7,845						( 240 )						5,167
Settlement loss						( 316,974 )						—						—						( 316,974 )
						($ 319,412 )						$ 18,384						($ 360 )						($ 301,388 )
Entergy Louisiana
Amortization of prior service credit						$ —						$ 3,408						$ —						$ 3,408
Amortization of net gain (loss)						( 312 )						5,214						( 2 )						4,900
						($ 312 )						$ 8,622						($ 2 )						$ 8,308

Accounting for Pension and Other Postretirement Benefits

In accordance with accounting standards, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income.

Qualified Pension Settlement Costs

The Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees were remeasured with the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025, resulting in settlement charges of $ 12.1 million as a result of ongoing payments of lump sum benefits from the plans and settlement charges of $ 11.8 million as a result of the sale. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and

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incurred settlement costs. See Note 13 to the financial statements herein for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred.

In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, to track the surplus or deficit in the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amounts recorded are evaluated in each rate case filed by Entergy Texas and an amortization period is determined at that time.

See Note 11 to the financial statements in the Form 10-K for further discussion of pension and other postretirement benefits costs.

Employer Contributions

Based on current assumptions, Entergy expects to contribute $ 240 million to its qualified pension plans in 2025.  As of September 30, 2025, Entergy had contributed $ 147.6 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their current and former employees in 2025:

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas						System Energy
			(In Thousands)
Expected 2025 pension contributions			$ 35,544						$ 41,253						$ 8,064						$ 5,016						$ 7,725						$ 15,668
Pension contributions made through September 2025			$ 23,160						$ 25,383						$ 5,322						$ 3,080						$ 4,735						$ 9,498
Remaining estimated pension contributions to be made in 2025			$ 12,384						$ 15,870						$ 2,742						$ 1,936						$ 2,990						$ 6,170

Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Mississippi, Texas, and Louisiana, including the City of New Orleans; and included operation of a small natural gas distribution business in portions of Louisiana through June 30, 2025. See Note 13 to the financial statements herein for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.  Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business, which is an operating segment that does not meet the quantitative thresholds for determining reportable segments.

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The following table includes operating revenues and significant expense categories regularly provided to the chief operating decision maker for the Utility segment, a reconciliation of Utility operating revenues to Entergy’s consolidated operating revenues, and a reconciliation of Utility net income to consolidated net income and net income attributable to Entergy Corporation for the three and nine months ended September 30, 2025 and 2024:

						Three Months Ended												Nine Months Ended
						2025						2024						2025						2024
						(In Thousands)												(In Thousands)
Utility operating revenues						$ 3,797,332						$ 3,370,138						$ 9,942,652						$ 9,083,715
Reconciliation of revenues:
Other revenues (a)						14,709						18,985						45,157						53,687
Elimination of intersegment revenues						( 22 )						( 23 )						( 67 )						( 54 )
Consolidated operating revenues						3,812,019						3,389,100						9,987,742						9,137,348
Less Utility expenses and other items:
Fuel, fuel-related expenses, and gas purchased for resale						817,038						637,074						1,787,794						1,755,701
Purchased power						265,629						205,144						980,555						617,348
Other operation and maintenance expenses						763,966						714,162						2,139,736						2,080,867
Other regulatory charges (credits) - net						( 23,815 )						( 102,911 )						( 96,615 )						132,043
Other Utility items (b)						1,159,927						1,129,807						3,223,380						3,071,595
Utility net income						814,587						786,862						1,907,802						1,426,161
Reconciliation of net income:
Non-cash pension settlement charge (c)						—						—						—						( 316,738 )
Income taxes on reconciling item noted above						—						—						—						66,515
Other loss						( 42,982 )						( 63,526 )						( 152,032 )						( 165,888 )
Elimination of intersegment loss						( 73,181 )						( 77,582 )						( 222,970 )						( 236,028 )
Consolidated net income						698,424						645,754						1,532,800						774,022
Preferred dividend requirements of subsidiaries and noncontrolling interests (d)						4,624						814						10,310						4,879
Net income attributable to Entergy Corporation						$ 693,800						$ 644,940						$ 1,522,490						$ 769,143

(a) See Note 12 to the financial statements herein and Note 19 to the financial statements in the Form 10-K for discussion of other revenues.

(b) Other Utility items includes nuclear refueling outage expenses, asset write-offs, decommissioning expenses, taxes other than income taxes, depreciation and amortization expenses, other income, interest expense, and income tax expense.

(c) See Note 11 to the financial statements in the Form 10-K for discussion of the one-time non-cash pension settlement charge resulting from a group annuity contract purchased in second quarter 2024 to settle certain pension liabilities, of which $ 8 million was recorded at Utility and $ 317 million was recorded at Parent & Other.

(d) Preferred dividend requirements of subsidiaries and noncontrolling interests is substantially derived from the Utility segment. See Note 6 to the financial statements in the Form 10-K for discussion of preferred stock and noncontrolling interests.

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The following table presents segment financial information for Entergy’s single reportable segment, Utility, and a reconciliation to the corresponding consolidated amounts for Entergy Corporation for the three months ended September 30, 2025 and 2024:

						Utility						Parent & Other						Eliminations						Consolidated
						(In Thousands)
2025
Asset write-offs, impairments, and related charges (credits)						$ 12,795						$ —						$ —						$ 12,795
Depreciation, amortization, and decommissioning						$ 580,980						$ 1,718						$ —						$ 582,698
Interest and investment income						$ 177,587						$ 1,878						($ 73,375 )						$ 106,090
Interest expense						$ 268,090						$ 56,983						($ 195 )						$ 324,878
Income taxes						$ 223,065						($ 17,758 )						$ —						$ 205,307
2024
Depreciation, amortization, and decommissioning						$ 552,161						$ 1,640						$ —						$ 553,801
Interest and investment income						$ 137,518						$ 4,274						($ 77,476 )						$ 64,316
Interest expense						$ 228,493						$ 66,545						$ 105						$ 295,143
Income taxes						$ 237,225						($ 21,750 )						$ —						$ 215,475

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The following table presents segment financial information for Entergy’s single reportable segment, Utility, and a reconciliation to the corresponding consolidated amounts for Entergy Corporation for the nine months ended September 30, 2025 and 2024:

						Utility						Parent & Other						Eliminations						Consolidated
						(In Thousands)
2025
Asset write-offs, impairments, and related charges (credits)						$ 12,795						$ —						$ —						$ 12,795
Depreciation, amortization, and decommissioning						$ 1,725,553						$ 5,169						$ —						$ 1,730,722
Interest and investment income						$ 445,010						$ 5,712						($ 223,807 )						$ 226,915
Interest expense						$ 796,254						$ 181,327						($ 838 )						$ 976,743
Income taxes						$ 490,174						($ 46,427 )						$ —						$ 443,747
Total assets as of September 30, 2025						$ 73,992,202						$ 745,682						($ 4,889,477 )						$ 69,848,407
Total expenditures for additions to long-lived assets						$ 5,725,533						$ 1,247						$ —						$ 5,726,780
2024
Asset write-offs, impairments, and related charges (credits)						$ 131,775						$ —						$ —						$ 131,775
Depreciation, amortization, and decommissioning						$ 1,661,613						$ 4,786						$ —						$ 1,666,399
Interest and investment income						$ 504,018						$ 19,628						($ 238,046 )						$ 285,600
Interest expense						$ 666,151						$ 187,786						($ 2,017 )						$ 851,920
Income taxes						$ 384,790						($ 114,687 )						$ —						$ 270,103
Total assets as of December 31, 2024						$ 68,951,564						$ 721,459						($ 4,882,991 )						$ 64,790,032
Total expenditures for additions to long-lived assets						$ 4,015,162						$ 958						$ —						$ 4,016,120

Eliminations are primarily intersegment activity. All of Entergy’s goodwill is related to the Utility segment.

Registrant Subsidiaries

Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each has one operating and reportable segment, an integrated utility business which includes the generation, transmission, and distribution of electric power; and included operation of a small natural gas distribution business at each of Entergy Louisiana and Entergy New Orleans through June 30, 2025. See Note 13 to the financial statements herein for discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025. System Energy has one operating and reportable segment, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. All segment financial information for the Registrant Subsidiaries is as reported on the respective financial statements for each of the Registrant Subsidiaries.

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Market Risk

In the normal course of business, Entergy is exposed to a number of market risks.  Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument.  All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk.  Entergy uses derivatives primarily to mitigate commodity price risk associated with the price of fuel.

The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation.  To the extent approved by their retail regulators, the Utility operating companies use commodity and financial instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers.

Derivatives

Entergy designates a significant portion of its derivative instruments as normal purchase/normal sale transactions due to their physical settlement provisions, including power purchase and sales agreements, fuel purchase agreements, and capacity contracts. Certain derivative instruments do not qualify for designation as normal purchase/normal sale transactions due to their financial settlement provisions. See further discussion below regarding the accounting for these derivative instruments.

Entergy manages fuel price volatility for Entergy Louisiana and Entergy Mississippi through the purchase of natural gas swaps that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi. The maximum length of time over which Entergy has executed natural gas swaps as of September 30, 2025 is 6 months for Entergy Mississippi. The total volume of natural gas swaps outstanding as of September 30, 2025 is 10,249,700 MMBtu for Entergy and Entergy Mississippi. As of September 30, 2025, Entergy Louisiana had no outstanding natural gas swaps. Credit support for these natural gas swaps is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. Prior to the sale of the Entergy New Orleans natural gas distribution business, Entergy also managed fuel price volatility related to projected winter purchases for gas distribution at Entergy New Orleans through the purchase of natural gas swaps. See Note 13 to the financial statements herein for discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025.

During the second quarter 2025, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2025 through May 31, 2026. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by the non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of September 30, 2025 is 72,481 GWh for Entergy, including 15,442 GWh for Entergy Arkansas, 38,388 GWh for Entergy Louisiana, 8,133 GWh for Entergy Mississippi, 2,634 GWh for Entergy New Orleans, and 7,884 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating

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company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations business is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for the non-utility operations business as of September 30, 2025 and December 31, 2024. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Louisiana, and Entergy Mississippi as of September 30, 2025 and for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2024.

The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheets as of September 30, 2025 and December 31, 2024 are shown in the table below.  Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging.

Instrument						Balance Sheet Location						Gross Fair Value (a)						Offsetting Position (b)						Net Fair Value (c) (d)
												(In Millions)
2025
Assets:
Financial transmission rights						Prepayments and other						$ 31						($ 1 )						$ 30
Liabilities:
Natural gas swaps						Other current liabilities						$ 5						$ —						$ 5
2024
Assets:
Natural gas swaps						Prepayments and other						$ 2						$ —						$ 2
Financial transmission rights						Prepayments and other						$ 21						($ 1 )						$ 20
Liabilities:
Financial transmission rights						Other current liabilities						($ — )						$ 1						$ 1

(a) Represents the gross amounts of recognized assets/liabilities

(b) Represents the netting of fair value balances with the same counterparty

(c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets

(d) Excludes letters of credit posted with MISO to cover financial transmission rights exposure in the amount of $ 4 million as of September 30, 2025 and $ 2 million as of December 31, 2024

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The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended September 30, 2025 and 2024 are as follows:

Instrument

Income Statement Location

Amount of gain (loss) recorded in the income statement

(In Millions)

2025

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

(a)

($ 6 )

Financial transmission rights

Purchased power expense

(b)

$ 36

2024

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

(a)

($ 1 )

Financial transmission rights

Purchased power expense

(b)

$ 33

The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the nine months ended September 30, 2025 and 2024 are as follows:

Instrument

Income Statement Location

Amount of gain (loss) recorded in the income statement

(In Millions)

2025

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

(a)

($ 7 )

Financial transmission rights

Purchased power expense

(b)

$ 150

2024

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

(a)

($ 7 )

Financial transmission rights

Purchased power expense

(b)

$ 133

(a) Due to regulatory treatment, the natural gas swaps are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability.  The gains or losses recorded as fuel expenses when the swaps are settled are recovered or refunded through fuel cost recovery mechanisms.

(b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability.  The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms.

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The fair values of derivative instruments not designated as hedging instruments on the Registrant Subsidiaries’ balance sheets as of September 30, 2025 and December 31, 2024 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging.

Instrument						Balance Sheet Location						Gross Fair Value (a)						Offsetting Position (b)						Net Fair Value (c) (d)						Registrant
												(In Millions)
2025
Assets:
Financial transmission rights						Prepayments and other						$ 8.0						$ —						$ 8.0						Entergy Arkansas
Financial transmission rights						Prepayments and other						$ 18.6						($ 0.2 )						$ 18.4						Entergy Louisiana
Financial transmission rights						Prepayments and other						$ 0.4						$ —						$ 0.4						Entergy Mississippi
Financial transmission rights						Prepayments and other						$ 2.2						$ —						$ 2.2						Entergy New Orleans
Financial transmission rights						Prepayments and other						$ 2.0						($ 0.6 )						$ 1.4						Entergy Texas
Liabilities:
Natural gas swaps						Other current liabilities						$ 4.9						$ —						$ 4.9						Entergy Mississippi

Instrument						Balance Sheet Location						Gross Fair Value (a)						Offsetting Position (b)						Net Fair Value (c) (d)						Registrant
												(In Millions)
2024
Assets:
Natural gas swaps						Prepayments and other						$ 1.6						$ —						$ 1.6						Entergy Mississippi
Financial transmission rights						Prepayments and other						$ 8.6						($ 0.1 )						$ 8.5						Entergy Arkansas
Financial transmission rights						Prepayments and other						$ 8.7						($ 0.1 )						$ 8.6						Entergy Louisiana
Financial transmission rights						Prepayments and other						$ 1.3						$ —						$ 1.3						Entergy New Orleans
Financial transmission rights						Prepayments and other						$ 2.0						($ 0.1 )						$ 1.9						Entergy Texas
Liabilities:
Financial transmission rights						Other current liabilities						($ 0.4 )						$ 0.9						$ 0.5						Entergy Mississippi

(a) Represents the gross amounts of recognized assets/liabilities

(b) Represents the netting of fair value balances with the same counterparty

(c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets

(d) Excludes letters of credit posted with MISO to cover financial transmission rights exposure in the amount of $ 2.1 million for Entergy Arkansas, $ 0.5 million for Entergy Louisiana, and $ 1.2 million for Entergy

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Mississippi as of September 30, 2025 and in the amount of $ 0.5 million for Entergy Arkansas, $ 0.1 million for Entergy Louisiana, $ 0.8 million for Entergy Mississippi, $ 0.1 million for Entergy New Orleans, and $ 0.3 million for Entergy Texas as of December 31, 2024

The effects of derivative instruments not designated as hedging instruments on the Registrant Subsidiaries’ income statements for the three months ended September 30, 2025 and 2024 are as follows:

Instrument

Income Statement Location

Amount of gain (loss) recorded in the income statement

Registrant

(In Millions)

2025

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

($ 6.2 )

(a)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 9.7

(b)

Entergy Arkansas

Financial transmission rights

Purchased power expense

$ 16.0

(b)

Entergy Louisiana

Financial transmission rights

Purchased power expense

$ 4.2

(b)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 1.7

(b)

Entergy New Orleans

Financial transmission rights

Purchased power expense

$ 3.9

(b)

Entergy Texas

2024

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

$ 0.9

(a)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 12.5

(b)

Entergy Arkansas

Financial transmission rights

Purchased power expense

$ 14.1

(b)

Entergy Louisiana

Financial transmission rights

Purchased power expense

$ 2.0

(b)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 1.2

(b)

Entergy New Orleans

Financial transmission rights

Purchased power expense

$ 3.4

(b)

Entergy Texas

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The effects of derivative instruments not designated as hedging instruments on the Registrant Subsidiaries’ income statements for the nine months ended September 30, 2025 and 2024 are as follows:

Instrument

Income Statement Location

Amount of gain (loss) recorded in the income statement

Registrant

(In Millions)

2025

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

($ 7.4 )

(a)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 37.9

(b)

Entergy Arkansas

Financial transmission rights

Purchased power expense

$ 80.0

(b)

Entergy Louisiana

Financial transmission rights

Purchased power expense

$ 9.3

(b)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 12.8

(b)

Entergy New Orleans

Financial transmission rights

Purchased power expense

$ 9.8

(b)

Entergy Texas

2024

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

$ 6.2

(a)

Entergy Mississippi

Natural gas swaps

Fuel, fuel-related expenses, and gas purchased for resale

$ 0.5

(a)

Entergy New Orleans

Financial transmission rights

Purchased power expense

$ 51.4

(b)

Entergy Arkansas

Financial transmission rights

Purchased power expense

$ 55.3

(b)

Entergy Louisiana

Financial transmission rights

Purchased power expense

$ 5.1

(b)

Entergy Mississippi

Financial transmission rights

Purchased power expense

$ 5.6

(b)

Entergy New Orleans

Financial transmission rights

Purchased power expense

$ 15.5

(b)

Entergy Texas

(a) Due to regulatory treatment, the natural gas swaps are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability.  The gains or losses recorded as fuel expenses when the swaps are settled are recovered or refunded through fuel cost recovery mechanisms.

(b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability.  The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms.

Fair Values

The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling.  Considerable judgment is required in developing the estimates of fair value.  Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange.  Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments.

Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market

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participants at the date of measurement.  Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value.  The inputs can be readily observable, corroborated by market data, or generally unobservable.  Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value.

Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value.  The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs.

The three levels of the fair value hierarchy are:

• Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis.  Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets.  Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase.

• Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date.  Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads.  Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value.  Level 2 inputs include the following:

– quoted prices for similar assets or liabilities in active markets;

– quoted prices for identical assets or liabilities in inactive markets;

– inputs other than quoted prices that are observable for the asset or liability; or

– inputs that are derived principally from or corroborated by observable market data by correlation or other means.

Level 2 consists primarily of individually-owned debt instruments and gas swaps valued using observable inputs.

• Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources.  These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability.  Level 3 consists primarily of financial transmission rights.

The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices.  They are classified as Level 3 assets and liabilities.  The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight.  The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer.  The Accounting group reports to the Chief Accounting Officer.

The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of September 30, 2025 and December 31, 2024.  The

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assessment of the significance of a particular input to a fair value measurement requires judgment and may affect placement within the fair value hierarchy levels.

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 1,434						$ —						$ —						$ 1,434
Decommissioning trust funds (a):
Equity securities						54						—						—						54
Debt securities						899						1,256						—						2,155
Common trusts (b)																								3,984
Securitization recovery trust account						9						—						—						9
Storm reserve escrow accounts						307						—						—						307
Financial transmission rights						—						—						30						30
						$ 2,703						$ 1,256						$ 30						$ 7,973
Liabilities:
Natural gas swaps						$ —						$ —						$ 5						$ 5

2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 811						$ —						$ —						$ 811
Decommissioning trust funds (a):
Equity securities						30						—						—						30
Debt securities						848						1,199						—						2,047
Common trusts (b)																								3,486
Securitization recovery trust account						4						—						—						4
Storm reserve escrow accounts						340						—						—						340
Natural gas swaps						2						—						—						2
Financial transmission rights						—						—						20						20
						$ 2,035						$ 1,199						$ 20						$ 6,740
Liabilities:
Financial transmission rights						$ —						$ —						$ 1						$ 1

(a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices.  Fixed income securities are held in various governmental and corporate securities.  See Note 9 to the financial statements herein for additional information on the investment portfolios.

(b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date.

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The following table sets forth a reconciliation of changes in the net assets for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended September 30, 2025 and 2024:

			2025						2024
			(In Millions)
Balance as of July 1,			$ 48						$ 48
Gains included as a regulatory liability/asset			18						15
Settlements			( 36 )						( 33 )
Balance as of September 30,			$ 30						$ 30

The following table sets forth a reconciliation of changes in the net assets for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the nine months ended September 30, 2025 and 2024:

									2025						2024
									(In Millions)
Balance as of January 1,									$ 20						$ 20
Issuances of financial transmission rights									49						53
Gains included as a regulatory liability/asset									111						90
Settlements									( 150 )						( 133 )
Balance as of September 30,									$ 30						$ 30

The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO.

The following tables set forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of September 30, 2025 and December 31, 2024.  The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect placement within the fair value hierarchy levels.

Entergy Arkansas

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 465.1						$ —						$ —						$ 465.1
Decommissioning trust funds (a):
Equity securities						19.5						—						—						19.5
Debt securities						274.9						334.4						—						609.3
Common trusts (b)																								1,158.9
Financial transmission rights						—						—						8.0						8.0
						$ 759.5						$ 334.4						$ 8.0						$ 2,260.8

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2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 3.4						$ —						$ —						$ 3.4
Decommissioning trust funds (a):
Equity securities						12.9						—						—						12.9
Debt securities						259.9						319.1						—						579.0
Common trusts (b)																								1,012.5
Financial transmission rights						—						—						8.5						8.5
						$ 276.2						$ 319.1						$ 8.5						$ 1,616.3

Entergy Louisiana

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 374.6						$ —						$ —						$ 374.6
Decommissioning trust funds (a):
Equity securities						29.4						—						—						29.4
Debt securities						339.6						611.8						—						951.4
Common trusts (b)																								1,720.5
Storm reserve escrow account						230.8						—						—						230.8
Financial transmission rights						—						—						18.4						18.4
						$ 974.4						$ 611.8						$ 18.4						$ 3,325.1

2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 326.8						$ —						$ —						$ 326.8
Decommissioning trust funds (a):
Equity securities						14.5						—						—						14.5
Debt securities						326.0						582.1						—						908.1
Common trusts (b)																								1,506.5
Storm reserve escrow account						256.7						—						—						256.7
Financial transmission rights						—						—						8.6						8.6
						$ 924.0						$ 582.1						$ 8.6						$ 3,021.2

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Entergy Mississippi

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 328.0						$ —						$ —						$ 328.0
Financial transmission rights						—						—						0.4						0.4
						$ 328.0						$ —						$ 0.4						$ 328.4
Liabilities:
Natural gas swaps						$ —						$ —						$ 4.9						$ 4.9

2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 155.5						$ —						$ —						$ 155.5
Natural gas swaps						1.6						—						—						1.6
						$ 157.1						$ —						$ —						$ 157.1
Liabilities:
Financial transmission rights						$ —						$ —						$ 0.5						$ 0.5

Entergy New Orleans

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 68.5						$ —						$ —						$ 68.5
Storm reserve escrow account						75.9						—						—						75.9
Financial transmission rights						—						—						2.2						2.2
						$ 144.4						$ —						$ 2.2						$ 146.6

2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 31.4						$ —						$ —						$ 31.4
Securitization recovery trust account						1.6						—						—						1.6
Storm reserve escrow account						83.7						—						—						83.7
Financial transmission rights						—						—						1.3						1.3
						$ 116.7						$ —						$ 1.3						$ 118.0

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Entergy Texas

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets :
Securitization recovery trust account						$ 9.0						$ —						$ —						$ 9.0
Financial transmission rights						—						—						1.4						1.4
						$ 9.0						$ —						$ 1.4						$ 10.4

2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets :
Temporary cash investments						$ 184.7						$ —						$ —						$ 184.7
Securitization recovery trust account						2.7						—						—						2.7
Financial transmission rights						—						—						1.9						1.9
						$ 187.4						$ —						$ 1.9						$ 189.3

System Energy

2025						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 127.3						$ —						$ —						$ 127.3
Decommissioning trust funds (a):
Equity securities						4.8						—						—						4.8
Debt securities						284.9						309.7						—						594.6
Common trusts (b)																								1,104.8
						$ 417.0						$ 309.7						$ —						$ 1,831.5

2024						Level 1						Level 2						Level 3						Total
						(In Millions)
Assets:
Temporary cash investments						$ 28.5						$ —						$ —						$ 28.5
Decommissioning trust funds (a):
Equity securities						2.4						—						—						2.4
Debt securities						262.4						297.4						—						559.8
Common trusts (b)																								966.9
						$ 293.3						$ 297.4						$ —						$ 1,557.6

(a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices.  Fixed income securities are held in various governmental and corporate securities.  See Note 9 to the financial statements herein for additional information on the investment portfolios.

(b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date.

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The following table sets forth a reconciliation of changes in the net assets for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended September 30, 2025.

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
			(In Millions)
Balance as of July 1, 2025			$ 11.1						$ 28.3						$ 1.4						$ 3.0						$ 3.9
Gains included as a regulatory liability/asset			6.6						6.1						3.2						0.9						1.4
Settlements			( 9.7 )						( 16.0 )						( 4.2 )						( 1.7 )						( 3.9 )
Balance as of September 30, 2025			$ 8.0						$ 18.4						$ 0.4						$ 2.2						$ 1.4

The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended September 30, 2024.

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
			(In Millions)
Balance as of July 1, 2024			$ 16.1						$ 19.8						$ 3.6						$ 2.6						$ 6.6
Gains (losses) included as a regulatory liability/asset			9.4						5.9						( 1.9 )						0.6						0.8
Settlements			( 12.5 )						( 14.1 )						( 2.0 )						( 1.2 )						( 3.4 )
Balance as of September 30, 2024			$ 13.0						$ 11.6						($ 0.3 )						$ 2.0						$ 4.0

The following table sets forth a reconciliation of changes in the net assets for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the nine months ended September 30, 2025.

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
			(In Millions)
Balance as of January 1, 2025			$ 8.6						$ 8.6						($ 0.5 )						$ 1.3						$ 1.9
Issuances of financial transmission rights			11.8						28.7						1.5						2.9						4.0
Gains included as a regulatory liability/asset			25.5						61.1						8.7						10.8						5.3
Settlements			( 37.9 )						( 80.0 )						( 9.3 )						( 12.8 )						( 9.8 )
Balance as of September 30, 2025			$ 8.0						$ 18.4						$ 0.4						$ 2.2						$ 1.4

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The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the nine months ended September 30, 2024.

			Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
			(In Millions)
Balance as of January 1, 2024			$ 6.0						$ 9.8						$ 1.3						$ 1.1						$ 2.4
Issuances of financial transmission rights			17.6						21.6						3.9						2.8						7.2
Gains (losses) included as a regulatory liability/asset			40.8						35.5						( 0.4 )						3.7						9.9
Settlements			( 51.4 )						( 55.3 )						( 5.1 )						( 5.6 )						( 15.5 )
Balance as of September 30, 2024			$ 13.0						$ 11.6						($ 0.3 )						$ 2.0						$ 4.0

The NRC requires certain of the Utility operating companies and System Energy to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1 and 2, River Bend, Waterford 3, and Grand Gulf. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents.

Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, for unrealized gains/(losses) on investment securities, the Registrant Subsidiaries record an offsetting amount in other regulatory liabilities/assets.  For the 30 % interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other long-term liabilities on the consolidated balance sheets of Entergy and Entergy Louisiana for the unrealized trust earnings not currently expected to be needed to decommission the plant. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities.

The unrealized gains/(losses) recognized during the three and nine months ended September 30, 2025 on equity securities still held as of September 30, 2025 were $ 277 million and $ 435 million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index.  A relatively small percentage of the equity securities are held in funds that are designed to approximate or somewhat exceed the return of the Wilshire 4500 Index. The debt securities are generally held in individual government and credit issuances.

The available-for-sale debt securities held as of September 30, 2025 and December 31, 2024 are summarized as follows:

						2025						2024
						(In Millions)
Fair value						$ 2,155						$ 2,047
Unrealized gains						$ 28						$ 7
Unrealized losses						$ 46						$ 80

As of September 30, 2025 and December 31, 2024, there were no deferred taxes on unrealized gains/(losses). The amortized cost of available-for-sale debt securities was $ 2,173 million as of September 30, 2025 and $ 2,121 million as of December 31, 2024.  As of September 30, 2025, available-for-sale debt securities had an

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average coupon rate of approximately 4.16 %, an average duration of approximately 6.36 years, and an average maturity of approximately 10.65 years.

The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of September 30, 2025 and December 31, 2024:

						2025												2024
						Fair Value						Gross Unrealized Losses						Fair Value						Gross Unrealized Losses
						(In Millions)
Less than 12 months						$ 273						$ 4						$ 1,102						$ 24
More than 12 months						553						42						510						56
Total						$ 826						$ 46						$ 1,612						$ 80

The fair value of available-for-sale debt securities, summarized by contractual maturities, as of September 30, 2025 and December 31, 2024 were as follows:

			2025						2024
			(In Millions)
Less than 1 year			$ 33						$ 36
1 year - 5 years			639						574
5 years - 10 years			659						629
10 years - 15 years			142						166
15 years - 20 years			210						218
20 years+			472						424
Total			$ 2,155						$ 2,047

The following table summarizes proceeds from the dispositions of available-for-sale debt securities and the related gains and losses from the sales during the three and nine months ended September 30, 2025 and 2024:

						Three Months Ended												Nine Months Ended
						2025						2024						2025						2024
						(In Millions)
Proceeds from disposition of securities						$ 223						$ 173						$ 712						$ 504
Realized gains						$ 2						$ 3						$ 4						$ 3
Realized losses						$ 3						$ 5						$ 11						$ 26

During the three and nine months ended September 30, 2025 and 2024, gross gains and gross losses related to available-for-sale debt securities were reclassified out of other regulatory liabilities/assets into earnings.

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Entergy Arkansas

Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale debt securities held as of September 30, 2025 and December 31, 2024 are summarized as follows:

						2025						2024
						(In Millions)
Fair value						$ 609.3						$ 579.0
Unrealized gains						$ 7.6						$ 1.2
Unrealized losses						$ 14.1						$ 25.8

The amortized cost of available-for-sale debt securities was $ 615.8 million as of September 30, 2025 and $ 603.5 million as of December 31, 2024.  As of September 30, 2025, the available-for-sale debt securities had an average coupon rate of approximately 3.85 %, an average duration of approximately 6.39 years, and an average maturity of approximately 8.70 years.

The unrealized gains/(losses) recognized during the three and nine months ended September 30, 2025 on equity securities still held as of September 30, 2025 were $ 79.9 million and $ 123.6 million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds that are designed to approximate or somewhat exceed the return of the Wilshire 4500 Index. The debt securities are generally held in individual government and credit issuances.

The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of September 30, 2025 and December 31, 2024:

						2025												2024
						Fair Value						Gross Unrealized Losses						Fair Value						Gross Unrealized Losses
						(In Millions)
Less than 12 months						$ 49.6						$ 0.6						$ 282.8						$ 8.2
More than 12 months						224.7						13.5						195.0						17.6
Total						$ 274.3						$ 14.1						$ 477.8						$ 25.8

The fair value of available-for-sale debt securities, summarized by contractual maturities, as of September 30, 2025 and December 31, 2024 were as follows:

			2025						2024
			(In Millions)
Less than 1 year			$ 24.1						$ 31.7
1 year - 5 years			150.6						142.5
5 years - 10 years			263.4						231.0
10 years - 15 years			45.5						62.2
15 years - 20 years			52.8						62.8
20 years+			72.9						48.8
Total			$ 609.3						$ 579.0

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The following table summarizes proceeds from the dispositions of available-for-sale debt securities and the related gains and losses from the sales during the three and nine months ended September 30, 2025 and 2024:

						Three Months Ended												Nine Months Ended
						2025						2024						2025						2024
						(In Millions)
Proceeds from disposition of securities						$ 15.0						$ 4.2						$ 15.0						$ 22.1
Realized gains						$ 0.1						$ —						$ 0.1						$ 0.1
Realized losses						$ 0.1						$ 0.3						$ 0.1						$ 1.2

During three and nine months ended September 30, 2025 and 2024, gross gains and gross losses related to available-for-sale debt securities were reclassified out of other regulatory liabilities/assets into earnings.

Entergy Louisiana

Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale debt securities held as of September 30, 2025 and December 31, 2024 are summarized as follows:

						2025						2024
						(In Millions)
Fair value						$ 951.4						$ 908.1
Unrealized gains						$ 12.6						$ 3.6
Unrealized losses						$ 16.0						$ 26.9

The amortized cost of available-for-sale debt securities was $ 954.8 million as of September 30, 2025 and $ 931.5 million as of December 31, 2024.  As of September 30, 2025, the available-for-sale debt securities had an average coupon rate of approximately 4.40 %, an average duration of approximately 6.33 years, and an average maturity of approximately 12.30 years.

The unrealized gains/(losses) recognized during the three and nine months ended September 30, 2025 on equity securities still held as of September 30, 2025 were $ 120.7 million and $ 192.9 million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds that are designed to approximate or somewhat exceed the return of the Wilshire 4500 Index. The debt securities are generally held in individual government and credit issuances.

The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of September 30, 2025 and December 31, 2024:

						2025												2024
						Fair Value						Gross Unrealized Losses						Fair Value						Gross Unrealized Losses
						(In Millions)
Less than 12 months						$ 154.5						$ 3.2						$ 543.8						$ 8.8
More than 12 months						177.5						12.8						178.4						18.1
Total						$ 332.0						$ 16.0						$ 722.2						$ 26.9

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The fair value of available-for-sale debt securities, summarized by contractual maturities, as of September 30, 2025 and December 31, 2024 were as follows:

			2025						2024
			(In Millions)
Less than 1 year			$ 2.6						$ 4.4
1 year - 5 years			230.3						188.2
5 years - 10 years			235.9						259.4
10 years - 15 years			75.8						80.9
15 years - 20 years			111.2						106.1
20 years+			295.6						269.1
Total			$ 951.4						$ 908.1

The following table summarizes proceeds from the dispositions of available-for-sale debt securities and the related gains and losses from the sales during the three and nine months ended September 30, 2025 and 2024:

						Three Months Ended												Nine Months Ended
						2025						2024						2025						2024
						(In Millions)
Proceeds from disposition of securities						$ 120.8						$ 51.9						$ 302.3						$ 162.8
Realized gains						$ 1.0						$ 0.5						$ 1.2						$ 0.7
Realized losses						$ 1.9						$ 1.5						$ 5.9						$ 9.2

During the three and nine months ended September 30, 2025 and 2024, gross gains and gross losses related to available-for-sale debt securities were reclassified out of other regulatory liabilities/assets into earnings.

System Energy

System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale debt securities held as of September 30, 2025 and December 31, 2024 are summarized as follows:

						2025						2024
						(In Millions)
Fair value						$ 594.6						$ 559.8
Unrealized gains						$ 8.1						$ 1.9
Unrealized losses						$ 16.2						$ 27.6

The amortized cost of available-for-sale debt securities was $ 602.8 million as of September 30, 2025 and $ 585.5 million as of December 31, 2024.  As of September 30, 2025, the available-for-sale debt securities had an average coupon rate of approximately 4.11 %, an average duration of approximately 6.38 years, and an average maturity of approximately 10.01 years.

The unrealized gains/(losses) recognized during the three and nine months ended September 30, 2025 on equity securities still held as of September 30, 2025 were $ 76.4 million and $ 118.8 million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds that are designed to approximate or somewhat exceed the return of the Wilshire 4500 Index. The debt securities are generally held in individual government and credit issuances.

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The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of September 30, 2025 and December 31, 2024:

						2025												2024
						Fair Value						Gross Unrealized Losses						Fair Value						Gross Unrealized Losses
			(In Millions)
Less than 12 months						$ 68.7						$ 0.6						$ 275.6						$ 6.8
More than 12 months						150.9						15.6						136.8						20.8
Total						$ 219.6						$ 16.2						$ 412.4						$ 27.6

The fair value of available-for-sale debt securities, summarized by contractual maturities, as of September 30, 2025 and December 31, 2024 were as follows:

			2025						2024
			(In Millions)
Less than 1 year			$ 6.0						$ 0.2
1 year - 5 years			258.2						243.7
5 years - 10 years			159.2						138.9
10 years - 15 years			20.3						22.7
15 years - 20 years			46.1						49.4
20 years+			104.8						104.9
Total			$ 594.6						$ 559.8

The following table summarizes proceeds from the dispositions of available-for-sale debt securities and the related gains and losses from the sales during the three and nine months ended September 30, 2025 and 2024:

						Three Months Ended												Nine Months Ended
						2025						2024						2025						2024
						(In Millions)
Proceeds from disposition of securities						$ 87.3						$ 117.3						$ 394.9						$ 318.8
Realized gains						$ 1.2						$ 2.2						$ 2.6						$ 2.4
Realized losses						$ 0.6						$ 3.3						$ 4.6						$ 15.2

During the three and nine months ended September 30, 2025 and 2024, gross gains and gross losses related to available-for-sale debt securities were reclassified out of other regulatory liabilities/assets into earnings.

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See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion.

Other Tax Matters

Inflation Reduction Act of 2022

As discussed in the Note 3 to the financial statements in the Form 10-K, the Inflation Reduction Act, signed into law on August 16, 2022, significantly expanded federal tax incentives for clean energy production, including the extension of production tax credits to solar projects and certain qualified nuclear power facilities. Entergy Arkansas, Entergy Louisiana, and System Energy have the potential to generate zero-emission nuclear power production tax credits for electricity generated by their respective nuclear power facilities. Due to the uncertainty of the value, if any, of production tax credits Entergy Arkansas, Entergy Louisiana, or System Energy may receive, such credits for the nuclear power produced in 2024 were not recognized as of December 31, 2024.

In second quarter 2025, Entergy, Entergy Arkansas, Entergy Louisiana, and System Energy determined, based on current analysis and evolving regulatory developments, that it was appropriate to record zero-emission nuclear production tax credits under Internal Revenue Code section 45U for electricity generated in 2024 by their respective nuclear power facilities. Such credits have been claimed on the Entergy 2024 federal income tax return. Because the U.S. Treasury and the IRS have not issued final guidance regarding the application of Internal Revenue Code section 45U, including the definition of “gross receipts,” Entergy treated the full amount of the Internal Revenue Code section 45U credits as an uncertain tax position in accordance with the income tax accounting standards.

The value of the nuclear production tax credits was calculated based on the amount of electricity generated and sold by each nuclear generating unit owned by Entergy Arkansas, Entergy Louisiana, and System Energy during 2024, multiplied by the applicable credit rate (i.e. dollars per kWh). The applicable credit rate included the incremental amount of credit for meeting the “prevailing wages” criteria under the Inflation Reduction Act. Entergy also applied the statutorily required reduction amount in arriving at the value of the nuclear production tax credits. This reduction amount was driven by the “gross receipts” received by each unit for its 2024 energy production. Entergy Arkansas, Entergy Louisiana, and System Energy recognized nuclear production tax credits of $ 221.4 million, $ 208.9 million, and $ 140.9 million, respectively, resulting in Entergy consolidated nuclear production tax credits of $ 571.2 million recognized in second quarter 2025. To the extent future guidance allows Entergy to realize the value of the credits under the provisions of income tax accounting standards, the monetized value of the production tax credits, net of applicable expenses, is expected to be shared with customers.

In September 2025, Entergy Arkansas, Entergy Louisiana, and System Energy transferred nuclear production tax credits to third parties and received cash of $ 155.1 million, $ 146.4 million, and $ 98.7 million, respectively, resulting in total Entergy cash receipts of $ 400.2 million. The proceeds from the transfers reflected a market-based discount. In addition, Entergy Arkansas sold its solar production tax credits to a third party and received cash receipts of approximately $ 5.1 million. Entergy Arkansas, Entergy Louisiana, System Energy, and the relevant affiliates, as necessary, have submitted filings or are preparing to file with the FERC and their respective retail regulators to determine a fair and reasonable approach, including risk-sharing and timing, to incorporate the net cash proceeds received for nuclear production tax credits into future customer rates, particularly in light of the related provision for the uncertain tax position. In August 2025 the LPSC issued an order approving an agreement between Entergy Louisiana and the LPSC staff regarding the monetization of 2024 nuclear production tax credits. The order allows Entergy Louisiana to retain the net proceeds of the nuclear production tax credits while the associated tax position remains uncertain. While it retains the net proceeds, Entergy Louisiana will accrue

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a liability to its customers at its weighted average cost of capital. It further provides that customers will be responsible for the associated costs should the IRS reduce some or all of the value of the nuclear production tax credits transferred to third parties. Once the IRS makes a final determination affirming the value of the nuclear production tax credits or the audit period expires without the IRS making a final determination disallowing some or all of the value of the nuclear production tax credits, Entergy Louisiana will commence flowing to its customers the value of the nuclear production tax credits, including carrying charges. Entergy will continue to monitor further developments and reassess the uncertain tax position as additional guidance or other information emerges.

Additional cash receipts for the transfer of the remaining 2024 nuclear production tax credits to third parties were received in October 2025 of $ 55 million, $ 51.9 million, and $ 35.1 million by Entergy Arkansas, Entergy Louisiana, and System Energy, respectively, resulting in additional Entergy cash receipts of $ 142 million. The proceeds from these transfers also reflected a market-based discount.

Sale of Natural Gas Distribution Businesses

See Note 13 to the financial statements herein for discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025. Entergy recognized a gain of approximately $ 327 million for tax purposes, with Entergy Louisiana and Entergy New Orleans recognizing $ 148 million and $ 179 million, respectively. Both Entergy and Entergy Louisiana have sufficient federal tax net operating loss carryforwards to offset their respective gains. Accordingly, Entergy does not have a resulting federal income tax obligation as a result of the transaction, nor will Entergy Louisiana be required to make a federal tax payment under the terms of the intercompany income tax allocation agreement. Entergy New Orleans is expected to fully absorb its federal tax net operating loss carryforward in 2025, and its resulting federal tax payment under the intercompany income tax allocation agreement will be dependent on its results of operations for the entire year. Estimated state tax payments for Entergy, Entergy Louisiana, and Entergy New Orleans are not anticipated to be significant.

See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities (VIEs).  See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K for discussion of noncontrolling interests.

Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a VIE and Entergy Louisiana is the primary beneficiary. As of September 30, 2025 and December 31, 2024, the primary asset held by the storm trust I was $ 2.8 billion and $ 2.9 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheets of Entergy Louisiana. The LURC’s 1 % beneficial interest in the storm trust I is recorded as noncontrolling interest on the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $ 28.5 million as of September 30, 2025 and $ 28.8 million as of December 31, 2024.

Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a VIE and Entergy Louisiana is the primary beneficiary. As of September 30, 2025 and December 31, 2024, the primary asset held by the storm trust II was $ 1.3 billion and $ 1.4 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheets of Entergy Louisiana. The LURC’s 1 % beneficial interest in the storm trust II is recorded as noncontrolling interest on the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $ 14.4 million as of September 30, 2025 and $ 13.9 million as of December 31, 2024.

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System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest in the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $ 17.2 million in each of the nine months ended September 30, 2025 and the nine months ended September 30, 2024.

AR Searcy Partnership, LLC is a tax equity partnership that qualifies as a VIE, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of September 30, 2025, AR Searcy Partnership, LLC recorded assets equal to $ 126.7 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $ 114.1 million. As of December 31, 2024, AR Searcy Partnership, LLC recorded assets equal to $ 129.7 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $ 113.2 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest on the consolidated balance sheets of Entergy and Entergy Arkansas.

MS Sunflower Partnership, LLC is a tax equity partnership that qualifies as a VIE, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of September 30, 2025, MS Sunflower Partnership, LLC recorded assets equal to $ 155.4 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $ 136 million. As of December 31, 2024, MS Sunflower Partnership, LLC recorded assets equal to $ 157.8 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $ 132.7 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest on the consolidated balance sheets of Entergy and Entergy Mississippi.

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Operating Revenues

See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended September 30, 2025 and 2024 were as follows:

						2025						2024
						(In Thousands)
Utility:
Residential						$ 1,572,450						$ 1,468,705
Commercial						924,677						855,823
Industrial						1,014,161						870,576
Governmental						75,715						71,482
Total billed retail						3,587,003						3,266,586
Sales for resale (a)						109,255						69,288
Other electric revenues (b)						74,638						( 11,217 )
Revenues from contracts with customers						3,770,896						3,324,657
Other Utility revenues (c)						26,281						13,163
Electric revenues						3,797,177						3,337,820
Natural gas revenues						155						32,318
Other revenues (d)						14,687						18,962
Total operating revenues						$ 3,812,019						$ 3,389,100

Entergy’s total revenues for the nine months ended September 30, 2025 and 2024 were as follows:

						2025						2024
						(In Thousands)
Utility:
Residential						$ 3,776,790						$ 3,548,881
Commercial						2,379,782						2,260,956
Industrial						2,734,181						2,412,254
Governmental						209,156						202,655
Total billed retail						9,099,909						8,424,746
Sales for resale (a)						307,585						202,871
Other electric revenues (b)						384,875						282,631
Revenues from contracts with customers						9,792,369						8,910,248
Other Utility revenues (c)						37,619						40,125
Electric revenues						9,829,988						8,950,373
Natural gas revenues						112,664						133,342
Other revenues (d)						45,090						53,633
Total operating revenues						$ 9,987,742						$ 9,137,348

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The Utility operating companies’ total revenues for the three months ended September 30, 2025 and 2024 were as follows:

2025						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
						(In Thousands)
Residential						$ 359,366						$ 543,879						$ 241,786						$ 107,461						$ 319,958
Commercial						184,715						351,663						181,937						64,068						142,294
Industrial						229,183						560,165						62,651						8,064						154,098
Governmental						5,739						24,034						16,688						21,156						8,098
Total billed retail						779,003						1,479,741						503,062						200,749						624,448
Sales for resale (a)						60,582						117,807						43,811						20,427						2,950
Other electric revenues (b)						21,882						31,191						12,673						( 2,783 )						13,018
Revenues from contracts with customers						861,467						1,628,739						559,546						218,393						640,416
Other revenues (c)						2,596						4,311						17,586						1,897						( 125 )
Electric revenues						864,063						1,633,050						577,132						220,290						640,291
Natural gas revenues						—						147						—						8						—
Total operating revenues						$ 864,063						$ 1,633,197						$ 577,132						$ 220,298						$ 640,291

2024						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
						(In Thousands)
Residential						$ 325,128						$ 514,131						$ 227,867						$ 106,079						$ 295,500
Commercial						169,242						319,065						170,093						64,957						132,466
Industrial						183,636						475,890						52,802						8,148						150,100
Governmental						5,117						21,868						15,495						21,763						7,239
Total billed retail						683,123						1,330,954						466,257						200,947						585,305
Sales for resale (a)						48,078						86,563						25,995						8,627						6,189
Other electric revenues (b)						( 71,403 )						40,413						13,362						2,273						5,480
Revenues from contracts with customers						659,798						1,457,930						505,614						211,847						596,974
Other revenues (c)						2,350						6,697						2,557						1,816						24
Electric revenues						662,148						1,464,627						508,171						213,663						596,998
Natural gas revenues						—						13,466						—						18,852						—
Total operating revenues						$ 662,148						$ 1,478,093						$ 508,171						$ 232,515						$ 596,998

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The Utility operating companies’ total revenues for the nine months ended September 30, 2025 and 2024 were as follows:

2025						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
						(In Thousands)
Residential						$ 846,238						$ 1,330,410						$ 600,669						$ 246,430						$ 753,043
Commercial						457,800						921,779						464,863						169,822						365,518
Industrial						552,803						1,596,175						163,625						21,518						400,060
Governmental						14,869						69,324						44,921						58,342						21,700
Total billed retail						1,871,710						3,917,688						1,274,078						496,112						1,540,321
Sales for resale (a)						181,842						338,599						133,621						34,343						10,542
Other electric revenues (b)						114,822						140,122						62,684						7,804						63,469
Revenues from contracts with customers						2,168,374						4,396,409						1,470,383						538,259						1,614,332
Other revenues (c)						6,887						4,091						22,333						4,737						( 461 )
Electric revenues						2,175,261						4,400,500						1,492,716						542,996						1,613,871
Natural gas revenues						—						44,307						—						68,357						—
Total operating revenues						$ 2,175,261						$ 4,444,807						$ 1,492,716						$ 611,353						$ 1,613,871

2024						Entergy Arkansas						Entergy Louisiana						Entergy Mississippi						Entergy New Orleans						Entergy Texas
						(In Thousands)
Residential						$ 805,702						$ 1,213,133						$ 569,533						$ 245,598						$ 714,915
Commercial						443,499						841,630						444,584						175,542						355,701
Industrial						471,829						1,355,907						148,409						22,727						413,382
Governmental						14,250						64,912						42,886						59,284						21,323
Total billed retail						1,735,280						3,475,582						1,205,412						503,151						1,505,321
Sales for resale (a)						130,885						250,114						95,188						29,702						11,111
Other electric revenues (b)						19,672						153,028						57,878						11,865						44,215
Revenues from contracts with customers						1,885,837						3,878,724						1,358,478						544,718						1,560,647
Other revenues (c)						7,154						20,140						7,443						4,550						( 81 )
Electric revenues						1,892,991						3,898,864						1,365,921						549,268						1,560,566
Natural gas revenues						—						57,793						—						75,549						—
Total operating revenues						$ 1,892,991						$ 3,956,657						$ 1,365,921						$ 624,817						$ 1,560,566

(a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments and includes them as part of customer revenues.

(b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators.

(c) Other Utility revenues include the occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, late fees, and amounts resulting from other operating activities.

(d) Other revenues include the sale of electric power and capacity to wholesale customers, day-ahead sales of energy in a market administered by an ISO, and operation and management services fees.

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Natural Gas Distribution Businesses

As discussed in Note 14 to the financial statements in the Form 10-K, on October 28, 2023, Entergy New Orleans and Entergy Louisiana each entered into separate purchase and sale agreements with respect to the sale of their respective regulated natural gas local distribution company businesses to two separate affiliates of Bernhard Capital Partners Management LP. Under the purchase and sale agreements, Entergy New Orleans agreed to sell its regulated natural gas local distribution company business that serves customers in the Parish of Orleans, Louisiana, and Entergy Louisiana agreed to sell its regulated natural gas local distribution company business that serves customers in the Parish of East Baton Rouge, Louisiana. The Entergy New Orleans and Entergy Louisiana natural gas distribution businesses are reflected in Entergy’s Utility reportable segment and in the respective single reportable segment for each of Entergy New Orleans and Entergy Louisiana through June 30, 2025.

Required regulatory approval was received from the LPSC and the City Council in August 2024 and December 2024, respectively. In February 2025 the Metropolitan Council of the Parish of East Baton Rouge approved the proposed sale of the Entergy Louisiana natural gas distribution business and also approved the assignment of the parish franchise from Entergy Louisiana to Delta Capital Gas Company, LLC (a Bernhard Capital Partners Management LP affiliate).

The transactions had two phases: (1) an “Initial Phase” prior to regulatory approvals in connection with both transactions; and (2) a “Second Phase” following regulatory approvals in connection with both transactions to the extent that certain conditions were satisfied or, where permissible, waived for both transactions. As described above, the transactions received all required regulatory approvals, and the Second Phase commenced on March 5, 2025.

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The Entergy Louisiana and Entergy New Orleans natural gas distribution businesses first met the criteria to be classified as held for sale in the quarter ended December 31, 2024. Neither Entergy Louisiana nor Entergy New Orleans recognized any write downs of the natural gas distribution business assets as a result of their classification as held for sale. The assets and liabilities of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses classified as held for sale on Entergy’s, Entergy Louisiana’s, and Entergy New Orleans’s consolidated balance sheets as of December 31, 2024 included the following amounts:

						December 31, 2024
						Entergy						Entergy Louisiana						Entergy New Orleans
						(In Thousands)
Deferred fuel						$ 5,608						$ 727						$ 4,881
Fuel inventory - at average cost						4,493						702						3,791
Materials and supplies						5,451						1,045						4,406
Prepayments and other						22						—						22
Total current assets held for sale						$ 15,574						$ 2,474						$ 13,100
Property, plant, and equipment - natural gas						$ 679,502						$ 303,193						$ 376,309
Construction work in progress						2,959						1,085						1,874
Less - accumulated depreciation and amortization						( 276,388 )						( 139,556 )						( 136,832 )
Other regulatory assets						35,381						8,947						23,682
Goodwill (a)						6,474						—						—
Pension and other postretirement assets						14,663						—						19,499
Other						206						—						206
Total non-current assets held for sale						$ 462,797						$ 173,669						$ 284,738
Accounts payable						$ 702						$ 702						$ —
Customer deposits						6,214						1,984						4,230
Taxes accrued						13						13						—
Other						1,401						589						812
Total current liabilities held for sale (b)						$ 8,330						$ 3,288						$ 5,042
Regulatory liability for income taxes - net						$ 31,575						$ 4,981						$ 26,594
Other regulatory liabilities						1,611						1,214						397
Pension and other postretirement liabilities						3,976						4,525						1,197
Other						3,844						1,194						2,650
Total non-current liabilities held for sale (c)						$ 41,006						$ 11,914						$ 30,838

(a)    Goodwill was allocated to the natural gas distribution business based on its relative fair value compared to the retained portion of the reporting unit.

(b)    Included within other current liabilities on the respective consolidated balance sheets.

(c)    Included within other non-current liabilities on the respective consolidated balance sheets.

Entergy Louisiana and Entergy New Orleans continued to recognize depreciation on the natural gas distribution businesses assets through June 30, 2025 since they received revenues through utility customer rates through the closing of the transaction, and because the final purchase price for the natural gas distribution businesses was adjusted by an amount equal to that depreciation, among other adjustments.

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The pre-tax income for the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses, excluding interest and corporate allocations, included in Entergy’s, Entergy Louisiana’s, and Entergy New Orleans’s consolidated income statements for the three and nine months ended September 30, 2025 and 2024 is as follows:

						Three Months Ended												Nine Months Ended
						2025						2024						2025						2024
						(In Thousands)												(In Thousands)
Entergy						$ —						$ 7,344						$ 31,500						$ 34,803
Entergy Louisiana						$ —						$ 3,110						$ 12,047						$ 15,968
Entergy New Orleans						$ —						$ 4,234						$ 19,453						$ 18,835

On July 1, 2025, Entergy Louisiana and Entergy New Orleans completed the sale of their natural gas distribution businesses. The base purchase price paid by the buyer of the Entergy Louisiana natural gas distribution business upon closing was $ 203 million, and the base purchase price paid by the buyer of the Entergy New Orleans natural gas distribution business upon closing was $ 288 million. In third quarter 2025, Entergy Louisiana, Entergy New Orleans, and Entergy recognized gains of $ 17 million ($ 13 million net-of-tax), $ 7 million ($ 5 million net-of-tax), and $ 17 million ($ 11 million net-of-tax), respectively, in connection with the completion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses. The gains recognized by Entergy Louisiana, Entergy New Orleans, and Entergy were net of $ 15 million, $ 18 million, and $ 33 million, respectively, in transaction costs, and Entergy’s gain also included the derecognition of $ 7 million of goodwill attributed to the businesses sold following the completion of the sale. In third quarter 2025, Entergy New Orleans and Entergy deferred $ 4 million of their respective gains recognized as a result of the sale of the Entergy New Orleans natural gas distribution business as a regulatory liability. The regulatory liability will be amortized over three years beginning September 2026, as the $ 4 million is credited to customers, as required by the City Council. The gains resulting from the sale of the natural gas distribution businesses for Entergy, Entergy Louisiana, and Entergy New Orleans are included within other operation and maintenance expenses on the respective consolidated income statements. The purchase price for each natural gas distribution business is subject to an additional true-up related to the value of assets and liabilities transferred, which may result in subsequent adjustments to the gains recognized in third quarter 2025. Additionally in third quarter 2025, as a result of the sale, Entergy New Orleans recorded a write-off of $ 13 million of natural gas plant assets that were not included in the sale to Delta New Orleans Gas Company, LLC, and which will not be recovered. Entergy Louisiana did not recognize any write downs of natural gas distribution business assets as a result of the sale. See Note 10 to the financial statements herein for discussion of the tax accounting effects of the sale.

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No director or officer of Entergy or any of the Registrant Subsidiaries adopted, modified, or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement” during the three months ended September 30, 2025.

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