Good afternoon and welcome to WEC Energy Group's conference call for second quarter 2025 results. This call is being recorded for rebroadcast and all lines are in a listen only mode at this time. After the presentation, the conference will be open to analysts for questions and answers. In conjunction with this call, a package of detailed financial information is posted at wecenergygroup.com. A replay will be available approximately two hours after the conclusion of this call. Before the conference call begins, please note that all statements in the presentation other than historical facts are forward-looking statements that involve risks and uncertainties that are subject to change at any time. Such statements are based on management's expectations at the time they are made, in addition to the assumptions and other factors referred to. In conjunction with the statements, factors described in WEC Energy Group's latest Form 10-K and subsequent reports filed with the Securities and Exchange Commission could cause actual results to differ materially from those contemplated during the discussions referenced. Earnings per share will be based on diluted earnings per share unless otherwise noted and it is now my pleasure to introduce Scott Lauber, President and Chief Executive Officer of WEC Energy Group. Good afternoon everyone and thank you for joining us today as we review our results for the second quarter of 2025. Here with me are Xia Liu, our Chief Financial Officer, and Beth Straka, Senior Vice President of Corporate Communications and Investor Relations. As you saw from our news release this morning, we reported earnings of $0.76 a share for the second quarter of 2025. We remain on track to deliver another year of strong results in line with our 2025 earnings guidance of $5.17-$5.27 a share. This of course assumes normal weather for the remainder of the year. We continue to target a 6.5%-7% long term compound annual earnings growth rate supported by a robust capital plan and strong economic growth in our region. In Wisconsin, the unemployment rate stands at 3.2%, continuing a long running trend below the national average. As we've discussed, we're continuing to see strong and significant economic development in our region, especially along the I-94 corridor between Milwaukee and Chicago. Just last month, Yaskawa, one of the world's largest manufacturers of industrial products and robotics, announced it is moving from the company's U.S. headquarters to Wisconsin and consolidating manufacturing operations here. The company stated it plans to invest approximately $180 million to build this new campus which is expected to create 700 jobs. Work continues on Microsoft's data center campus south of Milwaukee. We remain confident in our five year demand growth forecast of 1.8 GW to serve the I-94 corridor. In addition, we're seeing progress for a large data center development just north of Milwaukee. Vantage Data Centers signed on to develop approximately 1,900 acres. While the project is in the early stages, the site has the potential to reach 3.5 GW of demand over time. As a reminder, this project is not. Included in our current demand forecast. These are just samples of the economic growth that we are seeing in our region. Just recently the Wall Street Journal reported that ADP ranked Milwaukee second among metro areas in the U.S. for college graduates landing jobs. Turning to our Capital Plan, during the second quarter, we continue to move forward on major projects. As you know, it's the largest five-year investment plan in our history, totaling $28 billion and supporting economic growth and reliability. It's based on projects that are low risk and highly executable. Many of you have asked about the potential impact of the One Big Beautiful Bill Act on the wind and solar front. We are actively working on completing the safe harboring of the renewable projects in our five-year Capital Plan under the current Treasury guidance. We are awaiting further guidance from the Treasury Department to reflect the executive order issued in early July. As these rules become available, we will of course continue to work with our developers to achieve safe harbor. Now let me give you an update on projects currently underway. In May, the Public Service Commission of Wisconsin unanimously approved our applications to build modern, efficient natural gas generation and storage. We have started construction on 1,100 MW simple cycle combustion turbines with an expected investment of $1.2 billion. These are located at our Oak Creek Power Plant site, also near our existing Paris generation station. We plan to invest approximately $300 million for 128 MW of RICE generation to support the Oak Creek site. Just this month we received verbal approval to build a 2 BCF storage facility for liquefied natural gas. We expect the investment is approximately $456 million to complete this LNG facility by the end of 2027. These are critical projects as part of our all of the above approach to support reliable and affordable energy for our customers. To that end, we announced in June that we plan to extend the operating lives of unit 7 and 8 of our Oak Creek plant through 2026. These are coal units that continue to provide essential capacity at times of high energy demand on the hottest and coldest days of the year. In addition, we expect they'll be needed to meet tightened energy supply requirements in the Midwest power market. Progress continues on our renewable projects as well. In June, the battery portion of the Paris Solar Battery Park came online, providing 110 MW of storage. This is Wisconsin's first large scale battery storage project. As a reminder, we are the 90% owner overall. We are confident in our ability to execute on our capital plan. Now turning to the regulatory front, we currently have no active rate cases in Wisconsin. Our very large customer or VLC tariff remains at the Public Service Commission for review. As we discussed last quarter, the tariff is designed to meet the needs of our very large load customers while protecting all of our other customers. The tariff would provide for a fixed return on equity of 10.48% and an equity ratio of 57%. The terms of the agreement are 20 years for wind and solar and the depreciable lives for natural gas and battery storage assets. We worked with our very large customers in designing the tariff, including the financial parameters, and we believe the tariff is a key component to help make Wisconsin a prime spot for data center investments. We expect a commission decision by the second quarter of next year. In Chicago, we are actively mapping out engineering and permitting plans and coordinating with the city for our pipe replacement program. Recall that the Illinois Commerce Commission directed us to focus on retiring all cast iron and ductile iron pipe with a diameter under 36 inches by January 1st, 2035. We expect that approximately 1,100 miles of older pipe will need to be replaced. While planning is underway, our work continues. In fact, this April we retired the oldest pipe in the system, a gas main that had been in service since 1861. Next up, Xia provided you with more details on our financials. Thank you, Scott. Our second quarter 2025 earning of $0.76 per share reflects a $0.09 increase compared to the second quarter of 2024. Our earnings packet includes a comparison of second quarter results on page 15. I'll walk through the significant drivers starting with our utility operations. Earnings were $0.16 higher versus the second quarter of 2024. Weather positively impacted quarter- over- quarter earnings by approximately $0.04 compared to normal conditions. We estimate that weather had a $0.02 favorable impact in the second quarter of 2025 compared to a $0.02 negative impact in the second quarter of 2024. Rate base growth contributed $0.12 more to earnings. Additionally, timing of fuel expense, tax, and other items added another $0.07. These positive drivers were partially offset by $0.05 from higher depreciation and amortization expense and $0.02 from higher day to day O&M as shared before. We still expect O&M expense to grow 8%-10% for the full year when compared to actual O&M in 2024. As a reminder, this year- over- year growth is largely driven by a few factors including our continued focus on commission approved vegetation management, new assets placed in service, and measures we took last year to offset the mild weather impact. Let me also give you some color on our weather normal retail electric deliveries. Excluding the iron ore mine, compared to the second quarter of 2024, we saw a 1.1% growth in retail electric deliveries led by the large commercial and industrial segment, which grew 1.9% quarter- over- quarter. The residential and small commercial and industrial segments grew 0.4% and 1% respectively when compared to the second quarter of last year. Overall, we're on track for our annual growth forecast. Remember, we expect our annual electric sales growth to be 4.5%-5% for the period 2027 through 2029. Turning to American Transmission Company, capital investment growth contributed an incremental penny to Q2 earnings compared to 2024. At our Energy Infrastructure segment, earnings decreased $0.03 in 2Q25 compared to 2Q24. Higher production tax credits were more than offset by other factors including a loss from storm damage recognized in the second quarter of 2025. Next, you'll see that earnings from the corporate and other segments decreased $0.03 driven by higher interest expense. In terms of common equity, we issued about $425 million through the first half of this year via our ATM program as well as the dividend reinvestment and employee benefit plans. We're on track to issue a total of $700 million-$800 million for this year. This is part of the $2.7 billion-$3.2 billion total common equity we expect to issue through 2029 to finance the capital investment consistent with what we shared before. As we refresh our capital plan this fall, we continue to expect any incremental capital will be funded with 50% equity content. Finally, let me comment on guidance. As Scott mentioned earlier, we are reaffirming our 2025 earnings guidance of $5.17-$5.27 per share, assuming normal weather for the rest of the year. We're also reaffirming our long term EPS CAGR of 6.5%-7%. For the third quarter, we're expecting a range of $0.74-$0.80 per share. This accounts for July weather and assumes normal weather for the rest of the quarter. We look forward to updating you in the fall as we refresh our capital and financing plan. With that, I'll turn it back to Scott. Thank you, Xia. Finally, a quick reminder about the dividend. Our annualized dividend stands at $3.57 per share. We continue to target a payout ratio of 65%-70% of earnings. We're tracking in that range now. Expect the dividend growth will continue. Be in line with the growth in. Our earnings per share. Overall. We're optimistic about continued growth in our region and our company's future. Operator we are now ready for the question and answer portion of the call. Now we will take your questions. The question and answer session will be conducted electronically. To ask a question, please press the star key followed by the digit one on your phone. If you are using a speakerphone, turn off your mute function to allow your signal to reach our equipment. We will take as many questions as time permits. Once again, press star and the number one on your phone to ask a question. Our first question comes from the line of Nicholas Campanella with Barclays. Please go ahead. Hey, good afternoon everyone. Thanks for taking my question. Absolutely. Nic, how are you? I'm good, I'm good. Hope you're doing well. Great to see the economic development activity, especially with Vantage. I was just wondering if you can maybe talk about the three and a half gigs of demand and how you're thinking about procuring generation for that. Just where does the system stand today in terms of being long or short capacity and energy, and you know, just given the lead time to build new assets, how are you kind of thinking about being able to supplement that demand with either, you know, a bilateral contract or maybe a new build asset? Thanks. Sure. Now, great question. We are actively working with. Our large customers as that demand looks. Vantage, that site longer term is 3.5 GW. That site capacity can be there. We're looking now, you know, what is. The short term and working with them. With our plans and they've said they're trying to get to about 1.3 GW by the end of 2027. We are actively working with them and we mean that is, you know, working. On purchase cancellation agreements with them. How do we get orders in place? We're looking at a variety of items here because the system here is very tight. As you can see, we extended the. Coal units for another year because of the tight capacity and those coal units. Will be retired as we bring on those new CTs. You know, we're looking at all. Our generation planning team is actively working with all our large customers to make sure we meet their demand needs. Okay, still tbd, but we're looking for more. Yeah, we'll have more in our third quarter call on our capital plan. Fantastic. Fantastic. Maybe as we kind of think through on that capital update, you know, the CAGR, we all love the precision, but it is probably one of the thinner ones out there across the sector. Just, you know, there is an upward bias to capital. I know that you have to finance that, but how are you just thinking about whether that puts you higher in the plan or not and how you're thinking about the growth rate as we get to the next quarter update? That's a great question and very like. You said, really excited about the economic development we're having in the region. It's not just the large, very large customers. It's also what we're seeing throughout the. Region with housing and other development. We are pulling all that together right now. Xia and I and the rest. Of the team will be looking at our growth pattern along with this fall. As we present our updates to the. Board and we'll roll it out on our third quarter call. We're feeling good with what, what. The region is providing us. One last one, if I can, just the large load tariff docket, is there any, just based on the timeline for that proceeding, would you have clarity on that ahead of the third quarter call? Like, I guess, could you settle that proceeding or do you expect because it's a new tariff that it, you know, goes through kind of a fully litigated outcome at the commission? I'll answer it two fold. We kind of settled it because we walked in with all the large customers and all agreed that this is a proper tariff. I think the commission's going to take time, as they should, along with all intervenors, to make sure the processes. How we plan on allocating costs. That makes sure that the very large customers are paying their fair share. I don't know if it's really contested or just being actively reviewed, but. I'd say we pretty much have a. Settlement at this point with our very. Large customers that it's reasonable and appropriately paying their fair share of the cost. It's more of a process now to go through and people have the. Opportunity to ask questions on the processes. How we look at things. The commission has a lot in front of their plate that we've asked. Them to approve as we continue to build out the infrastructure here in Wisconsin. All right, thanks so much. Have a great rest of your summer. Thank you. Sounds good. Thank you. Your next question comes from the line of Julian Dumalon Smith with Jefferies. Please go ahead. Hi, it's Brian Russo on for Julian. Hey, Brian, how are you doing? Good, thanks. Hey, just to follow up on the CapEx update, I think the early indications are 1.3 GW for Vantage in 2027. I suppose that could ramp up closer to that 3.5 GW maybe towards the latter half of that plan. Or is that still too early in the development process? I'd say it's really early in the. Development process yet before we can work with that. We're working with them right now every week on providing their first load and working with them for the rest of the timeframe here. Early, early yet in that process. We'll have some good numbers in our five year plan as we pull it together. Okay, great. Can we talk about some of the other CapEx opportunities you have as you roll forward or update in the fall? First on the Peoples Gas PRP and then also on the ATC upside CapEx. I think it would be tied to MISO tranche 2.1, and you could have, you know, some early CapEx that in 2030. Sure. Initially you asked about Peoples Gas. You saw we retired a pipe from 1861. There is a lot of pipe there that they asked us to retire by. 1231, 2034, about 1,100 miles of that older pipe. We're going through a process and we're starting to retire some as you saw. In our prepared remarks. That's going to take a while to ramp up till we get to about a run rate. I think in about 2028 it'll be about a little over $500 million in order to be completed in that timeframe based on our assumptions today. We're fine tuning those assumptions as. We roll out the fall capital plan. Right now, as you recall, we only put $90 million a year in our capital plan. This will take a couple years. To ramp up, but it may be up to that $500 million a year. There is some definite additional capital in the five year plan coming related to that. As you look at American Transmission Company, there's a couple items we. Will be factoring in the remainder of that tranche one, they'll be looking at tranche two, as you said, it's a. It's a big capital plan in tranche two. The other driver as you think of the capital plan is the economic development. When you think of substations and other. Growth that's going on and hooking up the generation and renewables. I haven't seen where that capital plan will go, but I imagine it'll. Be slightly higher than what we saw before. We'll see some growth in the. ATC capital plan along with the gas side of the business. Of course we'll look at our generation needs to meet this build out in Wisconsin. Okay, great. Just one more question, I'm curious. Will the PB PPA and also I believe it's Port Washington unit one expires in July 2030. Will those two items need to be contemplated and assessed in this upcoming CapEx. Update on the Port Washington. We are actively looking at the lease and that item and how we look at that. In fact, we are looking at opportunities. Is there even an opportunity to get? More power out of the Port Washington site? We're in the analysis of that and that'll be updated in our five year plan. And then on the Point Beach, you. Know we've had good discussions with NextEra. They've been really productive. I expect we'll have something here by the end of the year. We'll see if we'll get it. Hopefully we get in our five year plan or by the end of the year. Things have been moving along really well. More to come on that. Okay, great. Thank you very much. Thank you. Your next question comes from the line of Michael Sullivan with Wolfe Research. Please go ahead. Hey, good afternoon. Hi Michael. Hey Scott, wanted to just unpack the load growth a little bit more. You spoke to what you're seeing on the, on the Vantage side. I guess how do we assess what you need tangibly to include it formally in your plan? Is there anything else that's kind of crept into the plan on top of the 1.8 GW that you've got embedded currently? When you look at advantage, we. I mean I feel pretty comfortable we will be factoring something in our five year plan as it relates to Vantage, what they're moving and from Cloverleaf now to Vantage. I feel good we'll put something in our five year plan as it relates to Vantage. On anything else in the economic development, like we said, we've got a lot of industries that have come into Wisconsin. In our prepared remarks we had a couple. There was an article in the paper the other day about three or four other companies adding 200-500 jobs. Quite a bit of growth in Wisconsin. I think when you look at. It, we're also seeing good residential growth. I saw housing starts starting construction in 2024 and 2025, about 4,000 of them in just two counties here. Good growth that we're seeing in southeastern Wisconsin. All that will be factored in. Our, into our load forecast. Okay, great. Sorry, just another one. On the supply side, do you have the ability to push out any of your planned coal shutdowns any further? On the new build side, are you still thinking mostly CTs or at some point are you going to have to add a new CCGT? Sure. Right now we have CTs in the plan. We will probably be looking at a combined cycle as we continue to, you know, evolve here with the additional demand. That's more to come potentially in our five year plan. Here on the coal, I mean we extended Oak Creek. 6 and or 7 and 8. Those two plants in fact have to. Be retired because we're using the same. Interconnect for the new CTs. Actually, we really could not extend them much longer. We really took the time and spent looking at the plants to see if we would build or limp them along for another year without making major capital investments. If you want to extend them longer, it would need a lot of capital investment. You know, that one we are not going to be able to extend anymore. When you think about the other plants, we really have them kind of running only a couple of them like 2030, 2031. We will evaluate where the EPA rules go. Remember our big workhorses, the Elm Road Generating Station, the power of the future units, we're in the process. Of converting those to natural gas. Those are designed that eventually we'll. Be able to run them on coal or gas. The key is we don't have any, you know, we're not losing any capacity with that. We're also looking at gas for. The Weston 4 units. We're not losing any capacity, it's just running in a little cleaner fuel. More to come this fall. That's kind of our thought process. When you think about the big coal units. Okay, that's really helpful. Just a quick one for Xia, the Q2 storm damage that you booked. Just more color on that. Thank you. Sure. We've had several windstorms impacting the Texas solar facilities in the past several years. In the quarter we came to the conclusion that we couldn't just rely on insurance recovery for the storm damage. We needed to take some accounting entry. We're working actively with the insurance providers, contractors and parts manufacturers to fully restore the lost capacity. As we continue to make progress there, we could recover some of the damage, the loss we recognized in the quarter. More to come. Thanks again. Sounds good. Thank you. Your next question comes from the line of Andrew Wiesel with Scotiabank. Please go ahead. Hi. Thanks everybody. Scott, I think you said in your o pening remarks, you're still working to safe harbor equipment to qualify for renewable tax credits under the OBBB. How much of your plan is already safe harbored? To whatever degree you might not qualify, whether because you're unable to safe harbor equipment or maybe potential challenges related to the executive order, what would be your backup plan? As a follow up, does anything about the OBBB change your thinking about WEC Infrastructure or the opportunity to build renewables outside of the utility? Sure, good question. We've got several vintages of safe. Harboring in our plan. We've got some all the way back. To 2023, some in 2024. We're actively there in 2025. We probably have 40%-50% under. The, you know, already safe harbor and working on the rest. We really want to see what those new. Treasury requirements are to make sure we're in compliance so we don't have. Any surprises in the future? Now when you think of that in. The future, you know, this is really saving money for customers, but we really. Need the energy and a lot of capacity and energy to supply the demand. Growth that we're seeing on the system. We'll evaluate if combined cycle makes sense. Is there other ways to provide it? Batteries, of course. In fact, batteries provide IPC even longer into the plan. Batteries, the first battery we got. Up and running that we talked about. Was very beneficial during the hot spell we saw in June. More to come as we analyze. It, and of course we'll look at. Every piece of information that comes in. On the WECI side, you saw we have so much growth in utilities. So we put our last, you know. WEC Infrastructure project in earlier in the. Year and now we're really concentrating on all the growth and generation of renewables and natural gas and LNG that we need in Wisconsin to support the Wisconsin economic development. Okay, very good then. Lastly, can you elaborate on extending the useful lives of the Oak Creek coal units? Was that a function of stronger than expected near term demand or any delays in construction of the new supply coming online or possibly any political pressure or involvement like some of your neighbors have seen? Just hoping you can elaborate on that. Is there any CapEx related to that? I imagine that would be coming either this year or next year. If you could comment on that please. Sure. We were looking at this quite a bit as we look at how do we run the units during the year and could we get some more hours on them without significant CapEx? We do not anticipate significant additional CapEx to run those. What really, you know, with the. Final decision we saw the MISO prices. Come out in the summer, the summer demand, they were a little higher. So we decided, let's really pull the trigger here and extend those lives. You know, we did it on our own. There was no political questions or, you know, discussions at all on what we should do. But we looked at what makes sense. In the region here specifically when we. Saw those bicycle demand for the summer. Just to make sure everyone understands, we. Had these in our rate case through 2025. Now we're extending them into 2026. Going forward in 2026, the rate. Order kind of contemplated this that you. Know, if we had shut them early for some reason or extend the lives. We have escrow accounting for the on. Them expenses and of course the fuel. We're working with our fuel team and our annual fuel filing to factor in these coal units into that for that added capacity. It was really a decision we've been watching very closely. With the warm spill in June and the MISO prices, it came to an easy decision. Okay, very good. Thank you. Thank you. Our next question comes from the line of Carly Davenport with Goldman Sachs. Please go ahead. Hey, good afternoon. Thanks so much for taking the questions. Maybe just wanted to get the latest pulse check on the Microsoft ramp up of activity at the data center site and just how you're thinking about the opportunity with them above and beyond, beyond what is baked into the current five year plan. Sure. I, you know we talked to. Microsoft quite a bit. I can't reveal the details, you know. Of our discussions, but you know that's. Why we're really comfortable with what we currently have in that southeastern Wisconsin region with what Microsoft's doing plus the other economic development that supports that 1.8 GW. I drive by the site a couple. Times a month because I'm real close there. I mean a lot of activities going on, a lot of movements going on. They're still developing and growing. When you think about the potential. is dirt and land being moved at about 1,360 acres and then they own another 500 acres just north of that site and another 200 acres a couple miles away in Kenosha. I think there is a lot of future opportunities there as they continue or as they bought that additional land earlier in the year. I am looking forward to it. We will update our plans this fall and continue to work with them to develop what the site and those other sites can provide. Great, thank you for that. I just wanted to follow up on some of the questions earlier on the Vantage site. Just with the tightness that you mentioned in the market currently and as we think about the supply chain cues for, you know, for gas units, for example, you know, being quite lengthy, do you think that that end of 2027 timeframe for their power needs, you know, is achievable and kind of just help us think about what levers, you know, WEC has available to pull to sort of meet that demand in what seems like a fairly short timeframe relative to some of the other projects that we're seeing across the U.S. Sure. We've been working with Cloverleaf now, Vantage, for quite a while here. Our planning team are pulling together multiple ideas on what to do. You know, I don't want to really reveal anything yet until we get to our five year plan, but we do have a plan and we're actively engaged in executing on that plan. More to come on it, but we feel we can deliver the load. Great. We'll keep in tune there. Thank you. Sounds good. Thank you. Our next question comes from the line of Paul Fremont with Landenberg. Please go ahead. Thank you very much and congratulations on a great quarter. Wanted to follow up a little bit on Carly's question. I guess Mount Washington site one for Microsoft is under construction. Are any of the other three identified sites, have they begun construction and has Microsoft updated at all with respect to the pause that it announced in January? Sure. The other two sites I have. Not, I haven't seen any construction on those starting yet. They're really mainly concentrated at 1,300 acres. There may be some work that's happening behind the scenes, but I haven't physically seen it. We've been working with them. They haven't talked at all about a pause or not a pause. I know dirt's being moved on all 1,300 and some acres, and I really, you know, pay attention to the forecast that they give us. I have confidence that they're going to deliver and they're moving dirt to make it happen. I haven't, they haven't told us specifically about a pause or unpausing something, but I can tell you that activity is happening on the site. Great. Thank you very much. Thank you. All right. Thank you, everyone. That concludes our conference call for today. Thank you for participating. If you have any more questions, please feel free to contact Beth Straka at 414-221-4639. Thank you again for joining us today. This does conclude today's conference call. You may now disconnect.