NYSE:IDA
IDACORP INC
A diversified energy infrastructure company delivering reliable natural gas and electricity while investing heavily in capital-intensive utility assets.
Key Metrics
Investment Thesis
Bull Case
IDACorp offers exposure to essential utility infrastructure with regulated returns that provide downside protection during economic downturns. The consistent year-over-year growth in net income demonstrates effective operational leverage and margin expansion despite flat revenue. Heavy capital investment in renewables positions the company favorably for future decarbonization mandates and potential government incentives.
Bear Case
The massive capital expenditure requirement of $1.18B creates significant pressure on free cash flow, potentially limiting dividend growth or share buybacks in near-term quarters. High levels of long-term debt relative to equity could increase financial distress risk if interest rates remain elevated or refinancing conditions tighten. Flat revenue growth despite rising profits suggests limited pricing power or market saturation that could constrain future earnings potential.
About IDACORP INC
IDACorp Inc. is a leading provider of energy solutions and infrastructure services operating primarily in the United States. The company focuses on natural gas distribution, electric power generation, and utility-scale renewable energy projects. Its diversified portfolio serves residential, commercial, and industrial markets across multiple states.
Analysis
Management Discussion
The company delivered a net profit of $324.1M in 2025, reflecting a robust 13% increase from the prior year despite revenue remaining flat at $1.75B versus 2024 levels. Operating cash flow remained healthy at $601.8M, though significant cash outflows of over $1B were directed toward capital expenditures and other investing activities to fund growth initiatives. The balance sheet shows substantial long-term debt of $3.33B alongside a retained earnings deficit of $2.28B, indicating a strategy prioritizing asset expansion over immediate equity accumulation.
Industry Overview
The utility sector is currently undergoing a structural shift toward renewable energy integration while maintaining core gas and electric distribution networks. Companies in this space face increasing scrutiny regarding climate targets, rate case approvals, and the transition to grid modernization technologies. Regulatory environments vary significantly by state, influencing both revenue stability and capital allocation strategies for major players.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $1.56B | $1.64B | $1.77B | $1.75B |
| Cost of Revenue | $0 | $0 | $0 | $0 |
| Gross Profit | $1.56B | $1.64B | $1.77B | $1.75B |
| Operating Expenses | $1.23B | $1.33B | $1.44B | $1.39B |
| Operating Income | $327.2M | $313.5M | $327.8M | $354.0M |
| D&A | $173.6M | $199.9M | $228.1M | $258.4M |
| Depreciation | — | — | $223.4M | $251.1M |
| Non-Operating Income | $-29.8M | $-24.3M | $-22.8M | $-43.6M |
| Interest Expense | $89.4M | $116.5M | $135.9M | $168.2M |
| Interest Income | $7.0M | $13.1M | $21.9M | $19.3M |
| Pre-Tax Income | $297.4M | $289.2M | $305.0M | $310.4M |
| Income Tax | $37.8M | $27.3M | $15.1M | $-13.7M |
| Continuing Ops | $259.6M | $261.9M | $290.0M | $324.1M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $259.6M | $261.9M | $290.0M | $324.1M |
| Minority Interest | $578.0K | $698.0K | $777.0K | $661.0K |
| Net to Common | $259.0M | $261.2M | $289.2M | $323.5M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $693.7M | $1.00B | $988.5M | $833.4M |
| Cash & Equivalents | $177.6M | $327.4M | $368.9M | $215.7M |
| Accounts Receivable | $114.2M | $107.3M | $114.8M | $97.7M |
| Other Current Assets | $401.9M | $569.4M | $504.8M | $520.0M |
| Long-Term Assets | $6.85B | $7.47B | $8.25B | $9.39B |
| PP&E (Net) | $5.17B | $5.75B | $6.52B | — |
| LT Investments | $121.4M | $164.0M | $161.3M | $155.0M |
| Other LT Assets | $1.54B | $1.55B | $1.56B | $9.23B |
| Total Assets | $7.54B | $8.48B | $9.24B | $10.23B |
| Current Liabilities | $548.6M | $634.1M | $700.8M | $897.8M |
| Accounts Payable | $292.7M | $308.5M | $307.1M | $344.9M |
| Current Debt | — | $49.8M | $19.9M | $116.3M |
| Deferred Revenue | $72.2M | $104.3M | $165.2M | $201.7M |
| Other Current Liab | $183.6M | $171.5M | $208.6M | $234.9M |
| Long-Term Liabilities | $4.18B | $4.93B | $5.20B | $5.75B |
| Long-Term Debt | $2.19B | $2.78B | $3.05B | $3.33B |
| Other LT Liab | $1.99B | $2.15B | $2.15B | $2.42B |
| Total Liabilities | $4.73B | $5.56B | $5.90B | $6.65B |
| Shareholders' Equity | $2.81B | $2.91B | $3.34B | $3.58B |
| Retained Earnings | $1.94B | $2.04B | $2.15B | $2.28B |
| AOCI | $-12.9M | $-17.2M | $-13.6M | $-14.9M |
| Total L&E | $7.54B | $8.48B | $9.24B | $10.23B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $259.6M | $261.9M | $290.0M | $324.1M |
| Non-Cash Adjustments | $84.5M | $-18.8M | $582.4M | $319.5M |
| Working Capital Changes | $7.3M | $23.9M | $-278.0M | $-41.8M |
| Cash from Operations | $351.3M | $267.0M | $594.4M | $601.8M |
| Capital Expenditures | $432.6M | $611.1M | $1.01B | $1.18B |
| Cash from Investing | $-424.3M | $-589.9M | $-917.7M | $-1.03B |
| Debt Issuances | $198.0M | $872.0M | $300.0M | $400.0M |
| Debt Repayments | $4.4M | $225.0M | $49.8M | $19.9M |
| Share Buybacks | $3.1M | $3.3M | $3.8M | $3.3M |
| Dividends Paid | $154.3M | $163.5M | $176.6M | $188.5M |
| Cash from Financing | $35.3M | $472.8M | $364.7M | $273.9M |
| FX Effect | $0 | $0 | $0 | $0 |
| Net Change in Cash | $-37.7M | $149.9M | $41.4M | $-153.1M |
| Beginning Cash | $215.2M | $177.6M | $327.4M | $368.9M |
| Ending Cash | $177.6M | $327.4M | $368.9M | $215.7M |
Frequently Asked Questions
How does IDACORP INC make money?
Natural Gas Distribution serving millions of customers with pipeline networks; Electric Power Generation utilizing a mix of renewable and conventional sources; Utility Construction and Services providing engineering and maintenance for third-party projects; Renewable Energy Development focusing on wind and solar asset acquisition and operation.
What are the main risks for IDA?
Regulatory changes in pricing caps or rate structures that could impact operating margins; Exposure to volatile natural gas and electricity wholesale market prices affecting non-regulated segments; Capital intensity requiring consistent access to debt or equity markets for ongoing $1.2B+ annual expenditures; Potential delays in renewable energy project permitting or construction timelines.
What is IDA's competitive advantage?
Strong regulated utility franchises providing stable, inflation-linked revenue streams across multiple jurisdictions; Significant long-term assets creating high barriers to entry for new competitors; Diversified energy mix offering protection against single-fuel commodity price volatility.
Related Companies
Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.