Ameren beats quarterly profit estimates on higher electricity rates

Feb 11 (Reuters) - Utility company Ameren Corp AEE.N narrowly beat Wall Street estimates for fourth-quarter profit on Wednesday, helped by higher electricity rates and stronger retail sales in its Missouri unit.

Utilities aim to shift higher grid-modernization costs to customers by lifting power rates, as extreme weather and surging demand from industry electrification and expanding data‑center buildouts pressure the nation's power networks.

U.S. electricity use reached record highs in 2025 and is expected to continue rising this year, driven by the expansion of AI as well as the transition of homes and businesses from fossil fuels to electric heat and vehicles.

The company said Ameren Missouri has received approval from the Missouri Public Service Commission to proceed with its Big Hollow Energy Center, a new hybrid facility expected to begin serving customers in 2028.

The approval covers construction of an 800‑megawatt (MW) simple‑cycle natural gas plant paired with a large‑scale battery storage facility at a single site in Jefferson County.

Ameren said it plans to add 1,000 MW of battery storage by 2030 and expand that to 1,800 MW across multiple sites by 2042.

The company reaffirmed its 2026 profit forecast of $5.25 to $5.45 per share.

Ameren Missouri, its largest segment by profit, reported electric sales of 8,405 million kilowatt hours, compared to 7,806 million last year.

The utility also reported fourth-quarter revenue of $1.78 billion, beating analysts' estimate of $1.67 billion, according to data compiled by LSEG.

Revenue from its gas segment rose to $337 million, from $321 million a year earlier.

The St. Louis, Missouri‑based company reported a profit of 78 cents per share for the quarter ended December 31, narrowly beating analysts' estimates of 77 cents per share.

The utility company serves 2.5 million electric customers and more than 900,000 natural gas customers in a 64,000-square-mile area through its Ameren Missouri and Ameren Illinois rate-regulated utility subsidiaries.