AVISTA CORP

Operating Activities

Net cash provided by operating activities was $301 million for the six months ended June 30, 2026, compared to $224 million for the six months ended June 30, 2025. Net income increased $33 million; however, the majority of the increase was related to non-cash realized and unrealized gains on investments, compared to losses in the first half of 2025. The change in other current assets increased operating cash flows by $43 million compared to the prior year, and is primarily associated with increases to prepaid insurance proceeds receivable and prepayments in the first half of 2025. The change in accounts receivable also increased operating cash flows by $34 million, and the change in income taxes receivable increased operating cash flows by $26 million, primarily resulting from a refund received in the first half of 2026. These increases were partially offset by a larger portion of our revenues being from decoupling surcharges in the first half of 2026, which will be recovered from customers in future periods.

Investing Activities

Net cash used in investing activities was $334 million for the six months ended June 30, 2026, compared to $248 million for the six months ended June 30, 2025. We paid $326 million for utility capital expenditures in 2026, compared to $246 million in 2025.

Financing Activities

Net cash provided by financing activities was $39 million for the six months ended June 30, 2026, compared to $3 million for the six months ended June 30, 2025. We issued $160 million of long-term debt in the first half of 2026, with no long-term debt issuances in the first half of 2025. In the first half of 2026, we repaid $92 million in short term borrowings, compared to increasing our borrowings $51 million in the first half of 2025. We issued $58 million of common stock and paid $82 million in dividends in the six months ended June 30, 2026, compared to issuing $35 million of common stock and paying $79 million in dividends in the six months ended June 30, 2025.