Pinnacle West (PNW) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Mon, May 4, 2026 astatine 12:21 PM CDT 29 min read

Image source: The Motley Fool.

DATE

Monday, May 4, 2026 astatine 12 p.m. ET

CALL PARTICIPANTS

• Chairman, President, and Chief Executive Officer — Theodore N. Geisler

• Executive Vice President and Chief Financial Officer — Andrew D. Cooper

Need a punctuation from a Motley Fool analyst? Email [email protected]

Full Conference Call Transcript

Theodore N. Geisler: Thank you, Amanda, and convey you each for joining america today. We are disconnected to a coagulated commencement successful 2026, delivering archetypal 4th net that enactment the fiscal guidance we provided successful February. Before Andrew reviews the 4th successful much detail, I volition item respective operational, customer, and regulatory developments that underscore the momentum crossed our business. Arizona’s divers system continues to grow astatine a beardown and sustained pace, reinforcing the state’s presumption arsenic a nationalist person successful semiconductor and precocious manufacturing. We are arrogant to enactment TSMC’s accelerated enlargement successful Arizona and are moving intimately with the institution connected the infrastructure needed to powerfulness their growth.

With its 2nd fab complete, TSMC expects to statesman measurement accumulation of 3-nanometer chips successful the 2nd fractional of adjacent year. Construction is underway connected the company’s 3rd fabrication facility, and TSMC has besides begun operation connected its 4th fab and archetypal precocious packaging facility, with those facilities expected to travel online by 2029. Importantly, the momentum extends good beyond TSMC. Activity crossed the semiconductor proviso concatenation continues to intensify passim the region, with cardinal suppliers rapidly establishing and expanding their section footprints to enactment accelerated accumulation timelines. United Integrated Services Corp, Sunlit Chemicals, and Mournstera person each purchased onshore successful North Phoenix.

At the aforesaid time, engineering firms, cleanable country specialists, electromechanical integrators, and instrumentality suppliers are expanding staffing levels and scaling operations crossed the Valley. These investments show beardown assurance successful Arizona’s system and reenforce the sustained maturation we are seeing crossed our work territory. Turning to operations. Our absorption remains connected delivering top-tier reliability, strengthening grid resilience, and investing successful the infrastructure and exertion needed to service our customers safely and efficiently. Across the company, we are utilizing automation and precocious analytics to amended determination making and execution.

For example, we are applying instrumentality learning tools to amended expect instrumentality performance, prioritize plus maintenance, place outage restoration much accurately, and fortify situational consciousness during periods of elevated wildfire oregon upwind risk. These capabilities are helping our teams enactment faster, people investments much effectively, and proceed improving reliability for our customers. We proceed making coagulated advancement connected our procreation and transmission concern plans. Construction is present underway astatine our Red Hawk enlargement project, which volition adhd 8 combustion turbines and astir 400 megawatts of reliable earthy state capableness to the system. We are besides advancing the Desert Sun project, wherever we person secured large instrumentality reservations and continued to advancement done aboriginal improvement activities, including siting and permitting.