#United States #PNM #TXNM Energy #Albuquerque #Blackstone Infrastructure

TXNM Energy Reports Impressive Performance in Q2 2026

Overview
TXNM Energy (NYSE: TXNM) has recently announced its financial results for the second quarter of 2026, revealing substantial growth in both net and ongoing earnings. The company reported earnings per diluted share of $0.64, a significant increase compared to $0.22 reported in the same quarter of the prior year. The ongoing earnings reached $0.58 per diluted share, up from $0.25 the previous year, showcasing the company's robust financial health.

Financial Highlights
The second quarter results showed net earnings attributable to TXNM Energy of $71.3 million, a notable rise from $21.6 million reported in Q2 2025. Year-to-date, the company reported net earnings of $75 million compared to $30.5 million last year. This impressive performance underlines the effective management strategies and operational efficiencies that TXNM Energy has employed.

Segment Performance
The financial growth can be segmented into various operations, with the Public Service Company of New Mexico (PNM) and Texas New Mexico Power (TNMP) leading the charge.

• - PNM reported GAAP diluted EPS of $0.41 for Q2 2026, up from $0.25 in Q2 2025. The ongoing diluted EPS also rose to $0.30 from $0.12.
• - TNMP contributed significantly with GAAP diluted EPS of $0.36, an improvement from $0.22, while the ongoing diluted EPS increased to $0.39 from $0.27.

These results reflect increased retail load and higher transmission revenues as the company continues to invest in its grid infrastructure to meet the growing demand.

Acquisition and Regulatory Developments
In addition to financial results, TXNM Energy provided updates regarding its proposed acquisition agreement with Blackstone Infrastructure. Originally announced in May 2025, this agreement will see Blackstone acquire the outstanding common stock of TXNM Energy for $61.25 per share. The deal has been approved by shareholders and is on track to secure necessary regulatory approvals.

On July 17, 2026, TXNM Energy and Blackstone Infrastructure agreed to extend the termination date of the acquisition contract to May 31, 2027, allowing time to complete all necessary regulatory approval processes. The anticipated closing of the acquisition is expected to occur in the first half of 2027.

Regulatory Approvals
TXNM Energy has also been proactive in addressing regulatory matters. Recently, the Public Service Company of New Mexico filed its 2029-2032 Resource Portfolio Application with the New Mexico Public Regulation Commission to secure approvals for a balanced energy portfolio that includes significant investments in renewable energy. This portfolio aims to meet the projected shortfalls driven by increasing demand, showcasing TXNM's commitment to sustainability and reliability in energy supply.

Furthermore, the Texas New Mexico Power's base rate review has reached an unopposed settlement, with the PUCT approving a $2.8 billion recovery of the rate base, a substantial return on equity, and a balanced equity ratio.

Conclusion
Overall, TXNM Energy's financial results paint a promising picture of growth and stability. Continuing efforts to expand its operational capacity and commitments to regulatory compliance place them in a strong position as they move closer to their acquisition agreement with Blackstone Infrastructure. Investors and stakeholders alike can anticipate seeing how these developments will unfold in the coming months while maintaining focus on sustainable growth and customer satisfaction.