AEP Transmission Company, LLC

For the period ended Jun 30, 2026. Filed Jul 30, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Jun 30, 2026 · Filed Jul 30, 2026

AEP$127.84-0.4%Stored close · as of Nov 10, 2026

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Contents

Item 1. CONDENSED CONSOLIDATED STATEMENTS OF INCOME

Three Months Ended · Six Months Ended
	June 30,		June 30,
	2026	2025	2026	2025
REVENUES
Vertically Integrated Utilities	$3,050	$2,934	$6,415	$6,020
Transmission and Distribution Utilities	1,568	1,443	3,162	2,958
Generation & Marketing	693	552	1,624	1,282
Other Revenues	134	158	264	290
TOTAL REVENUES	5,445	5,087	11,465	10,550
EXPENSES
Purchased Electricity, Fuel and Other Consumables Used for Electric Generation	1,603	1,541	3,721	3,394
Other Operation	814	538	1,564	1,290
Maintenance	444	390	855	709
Asset Impairments and Other Related Charges	—	—	31	—
Depreciation and Amortization	910	854	1,817	1,687
Taxes Other Than Income Taxes	427	365	870	787
TOTAL EXPENSES	4,198	3,688	8,858	7,867
OPERATING INCOME	1,247	1,399	2,607	2,683
Other Income (Expense):
Other Income	14	15	20	23
Allowance for Equity Funds Used During Construction	75	57	145	114
Non-Service Cost Components of Net Periodic Benefit Cost	19	35	57	70
Interest Expense	(585)	(489)	(1,137)	(984)
INCOME BEFORE INCOME TAX EXPENSE (BENEFIT) AND EQUITY EARNINGS	770	1,017	1,692	1,906
Income Tax Expense (Benefit)	52	(251)	96	(126)
Equity Earnings of Unconsolidated Subsidiaries	29	21	54	59
NET INCOME	747	1,289	1,650	2,091
Net Income Attributable to Noncontrolling Interests	34	63	63	65
EARNINGS ATTRIBUTABLE TO AEP COMMON SHAREHOLDERS	$713	$1,226	$1,587	$2,026
WEIGHTED AVERAGE NUMBER OF BASIC AEP COMMON SHARES OUTSTANDING	544,163,341	534,283,554	543,127,062	533,839,985
TOTAL BASIC EARNINGS PER SHARE ATTRIBUTABLE TO AEP COMMON SHAREHOLDERS	$1.31	$2.29	$2.92	$3.80
WEIGHTED AVERAGE NUMBER OF DILUTED AEP COMMON SHARES OUTSTANDING	550,628,111	536,425,635	548,846,865	535,547,029
TOTAL DILUTED EARNINGS PER SHARE ATTRIBUTABLE TO AEP COMMON SHAREHOLDERS	$1.30	$2.29	$2.89	$3.78
See Condensed Notes to Condensed Financial Statements of Registrants beginning on page 106.

Three Months Ended · Six Months Ended
	June 30,		June 30,
	2026	2025	2026	2025
Net Income	$747	$1,289	$1,650	$2,091
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAXES
Cash Flow Hedges, Net of Tax of $6 and $(9) for the Three Months Ended June 30, 2026 and 2025, Respectively, and $2 and $(3) for the Six Months Ended June 30, 2026 and 2025, Respectively	22	(33)	7	(10)
Amortization of Pension and OPEB Deferred Costs, Net of Tax of $1 and $0 for the Three Months Ended June 30, 2026 and 2025, Respectively, and $1 and $0 for the Six Months Ended June 30, 2026 and 2025, Respectively	1	—	2	1
TOTAL OTHER COMPREHENSIVE INCOME (LOSS)	23	(33)	9	(9)
TOTAL COMPREHENSIVE INCOME	770	1,256	1,659	2,082
Total Comprehensive Income Attributable To Noncontrolling Interests	34	63	63	65
TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO AEP COMMON SHAREHOLDERS	$736	$1,193	$1,596	$2,017
See Condensed Notes to Condensed Financial Statements of Registrants beginning on page 106.

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

	AEP Common Shareholders
Common Stock · Accumulated Other Comprehensive Income (Loss)
Shares · Amount · Paid-in Capital · Retained Earnings · Noncontrolling Interests · Total
TOTAL EQUITY – DECEMBER 31, 2024	534	$3,472		$9,606		$13,869			$(3)			$42	$26,986
Issuance of Common Stock	1	7		68								75
Common Stock Dividends				(500)(a)				(1)			(501)
Other Changes in Equity			(22)							(22)
Net Income				800				2			802
Other Comprehensive Income					24					24
TOTAL EQUITY – MARCH 31, 2025	535	3,479		9,652		14,169			21			43	27,364
Issuance of Common Stock	1	4		53								57
Common Stock Dividends				(499)(a)				(1)			(500)
Other Changes in Equity			8							8
Midwest Transmission Holdings Noncontrolling Interest Transaction			1,791					992			2,783
Net Income				1,226				63			1,289
Other Comprehensive Loss					(33)					(33)
TOTAL EQUITY – JUNE 30, 2025	536	$3,483		$11,504		$14,896			$(12)			$1,097	$30,968
TOTAL EQUITY – DECEMBER 31, 2025	542	$3,523		$12,138		$15,441			$36			$1,080	$32,218
Issuance of Common Stock	3	21		337								358
Capital Contributions from Noncontrolling Interest							96			96
Common Stock Dividends				(520)(b)						(520)
Dividends Paid to Noncontrolling Interest							(35)			(35)
Other Changes in Equity			(28)							(28)
Net Income				874				29			903
Other Comprehensive Loss					(14)					(14)
TOTAL EQUITY – MARCH 31, 2026	545	3,544		12,447		15,795			22			1,170	32,978
Issuance of Common Stock	1	2		45								47
Capital Contributions from Noncontrolling Interest							60			60
Common Stock Dividends				(519)(b)						(519)
Dividends Paid to Noncontrolling Interest							(54)			(54)
Other Changes in Equity			7							7
Net Income				713				34			747
Other Comprehensive Income					23					23
TOTAL EQUITY – JUNE 30, 2026	546	$3,546		$12,499		$15,989			$45			$1,210	$33,289

(a)Cash dividends declared per AEP common share were $0.93.

(b)Cash dividends declared per AEP common share were $0.95.

See Condensed Notes to Condensed Financial Statements of Registrants beginning on page 106.

ASSETS

	June 30,	December 31,
	2026	2025
CURRENT ASSETS
Cash and Cash Equivalents	$375	$197
Restricted Cash(June 30, 2026 and December 31, 2025 Amounts Include $72 and $71, Respectively, Related to Restoration Funding, Appalachian Consumer Rate Relief Funding, Appalachian Recovery Funding, Storm Recovery Funding and Cost Recovery Funding)	72	71
Other Temporary Investments(June 30, 2026 and December 31, 2025 Amounts Include $220 and $209, Respectively, Related to EIS)	228	220
Accounts Receivable:
Customers	1,266	1,166
Accrued Unbilled Revenues	360	421
Pledged Accounts Receivable – AEP Credit	1,396	1,272
Miscellaneous	70	60
Allowance for Credit Losses	(57)	(52)
Total Accounts Receivable	3,035	2,867
Fuel	606	576
Materials and Supplies	1,183	1,046
Risk Management Assets	533	352
Accrued Tax Benefits	278	85
Regulatory Asset for Under-Recovered Fuel Costs	525	426
Prepayments and Other Current Assets	299	212
TOTAL CURRENT ASSETS	7,134	6,052
PROPERTY, PLANT AND EQUIPMENT
Electric:
Generation	26,707	28,388
Transmission	43,764	42,557
Distribution	34,626	33,364
Other Property, Plant and Equipment (Including Coal Mining and Nuclear Fuel)	9,406	8,635
Construction Work in Progress	9,696	7,635
Total Property, Plant and Equipment	124,199	120,579
Accumulated Depreciation and Amortization	27,526	28,205
TOTAL PROPERTY, PLANT AND EQUIPMENT – NET	96,673	92,374
OTHER NONCURRENT ASSETS
Regulatory Assets	5,021	4,804
Securitized Assets	2,252	933
Spent Nuclear Fuel and Decommissioning Trusts	5,241	4,916
Goodwill	53	53
Long-term Risk Management Assets	235	265
Operating Lease Assets	642	661
Deferred Charges and Other Noncurrent Assets	4,319	4,402
TOTAL OTHER NONCURRENT ASSETS	17,763	16,034
TOTAL ASSETS	$121,570	$114,460
See Condensed Notes to Condensed Financial Statements of Registrants beginning on page 106.

LIABILITIES AND EQUITY

	June 30,	December 31,
	2026	2025
CURRENT LIABILITIES
Accounts Payable	$3,969	$3,429
Short-term Debt:
Securitized Debt for Receivables – AEP Credit	900	900
Other Short-term Debt	1,128	608
Total Short-term Debt	2,028	1,508
Long-term Debt Due Within One Year (June 30, 2026 and December 31, 2025 Amounts Include $215 and $207, Respectively, Related to DCC Fuel, Restoration Funding, Appalachian Consumer Rate Relief Funding, Appalachian Recovery Funding, Storm Recovery Funding, Transource Energy and Cost Recovery Funding)	2,821	3,194
Risk Management Liabilities	152	132
Customer Deposits	515	507
Accrued Taxes	1,799	2,002
Accrued Interest	590	544
Obligations Under Operating Leases	94	100
Other Current Liabilities	2,187	1,898
TOTAL CURRENT LIABILITIES	14,155	13,314
NONCURRENT LIABILITIES
Long-term Debt(June 30, 2026 and December 31, 2025 Amounts Include $2,566 and $1,294, Respectively, Related to DCC Fuel, Restoration Funding, Appalachian Consumer Rate Relief Funding, Appalachian Recovery Funding, Storm Recovery Funding, Transource Energy and Cost Recovery Funding)	47,987	44,128
Long-term Risk Management Liabilities	175	178
Deferred Income Taxes	11,485	10,951
Regulatory Liabilities and Deferred Investment Tax Credits	8,622	8,362
Asset Retirement Obligations	3,645	3,556
Employee Benefits and Pension Obligations	267	232
Obligations Under Operating Leases	568	578
Deferred Credits and Other Noncurrent Liabilities	1,313	905
TOTAL NONCURRENT LIABILITIES	74,062	68,890
TOTAL LIABILITIES	88,217	82,204
Rate Matters (Note 4)
Commitments, Guarantees and Contingencies (Note 5)
Contingently Redeemable Performance Share Awards	64	38
EQUITY
Common Stock – Par Value – $6.50 Per Share:
	2026	2025
Shares Authorized	900,000,000	600,000,000
Shares Issued	545,549,444	542,048,288
(1,186,815 Shares were Held in Treasury as of June 30, 2026 and December 31, 2025, Respectively)	3,546	3,523
Paid-in Capital	12,499	12,138
Retained Earnings	15,989	15,441
Accumulated Other Comprehensive Income (Loss)	45	36
TOTAL AEP COMMON SHAREHOLDERS’ EQUITY	32,079	31,138
Noncontrolling Interests	1,210	1,080
TOTAL EQUITY	33,289	32,218
TOTAL LIABILITIES AND EQUITY	$121,570	$114,460
See Condensed Notes to Condensed Financial Statements of Registrants beginning on page 106.

	Six Months Ended June 30,
	2026	2025
OPERATING ACTIVITIES
Net Income	$1,650	$2,091
Adjustments to Reconcile Net Income to Net Cash Flows from Operating Activities:
Depreciation and Amortization	1,817	1,687
Deferred Income Taxes	332	(54)
Asset Impairments and Other Related Charges	31	—
Allowance for Equity Funds Used During Construction	(145)	(114)
Mark-to-Market of Risk Management Contracts	(123)	(241)
Pension Contributions to Qualified Plan Trust	—	(95)
Property Taxes	238	241
Deferred Fuel Over/Under-Recovery, Net	31	(41)
Change in Other Noncurrent Assets	(628)	(440)
Change in Other Noncurrent Liabilities	581	41
Changes in Certain Components of Working Capital:
Accounts Receivable, Net	(62)	(176)
Fuel, Materials and Supplies	(162)	114
Accounts Payable	408	287
Accrued Taxes, Net	(397)	(469)
Other Current Assets	(27)	11
Other Current Liabilities	(123)	(171)
Net Cash Flows from Operating Activities	3,421	2,671
INVESTING ACTIVITIES
Construction Expenditures	(5,606)	(4,020)
Purchases of Investment Securities	(1,264)	(1,337)
Sales of Investment Securities	1,216	1,311
Acquisitions of Generation Facilities	(1,315)	(1,359)
Acquisitions of Nuclear Fuel	(51)	(45)
Contribution in Aid of Construction Advances	425	106
Other Investing Activities	(7)	(3)
Net Cash Flows Used for Investing Activities	(6,602)	(5,347)
FINANCING ACTIVITIES
Capital Contribution from Noncontrolling Interest	156	—
Issuance of Common Stock	405	132
Issuance of Long-term Debt	5,045	3,163
Issuance of Short-term Debt with Original Maturities greater than 90 Days	—	320
Change in Short-term Debt with Original Maturities less than 90 Days, Net	520	(764)
Retirement of Long-term Debt	(1,578)	(1,324)
Redemption of Short-term Debt with Original Maturities Greater than 90 Days	—	(578)
Proceeds from the Midwest Transmission Holdings Noncontrolling Interest Transaction, Net of Transaction Costs	—	2,783
Dividends Paid on Common Stock	(1,039)	(999)
Dividends Paid to Noncontrolling Interest	(89)	(2)
Other Financing Activities	(60)	(22)
Net Cash Flows from Financing Activities	3,360	2,709
Net Increase in Cash, Cash Equivalents and Restricted Cash	179	33
Cash, Cash Equivalents and Restricted Cash at Beginning of Period	268	246
Cash, Cash Equivalents and Restricted Cash at End of Period	$447	$279
See Condensed Notes to Condensed Financial Statements of Registrants beginning on page 106.

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The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.