Talen Energy Corporation: Mixed — EPS $2.88, Revenue $1.33B
Mixed ResultQ3 2026 · Pre-market
Did Talen Energy Corporation (TLN) beat earnings today?
It was a mixed report for Q3 2026 — Talen Energy Corporation (TLN) beat on EPS but missed on revenue.
Earnings Per Share-66.51% surprise
$2.88Actual
Expected: $8.60
vs. year ago -35.8%
Total Revenue+2.87% surprise
$1.33BActual
Expected: $1.29B
vs. year ago +63.4%
Released Nov 03 · 7:00 AM ET
Earning Report
| Metric | Q3 2026 | Q3 2025 | YoY Change % |
|---|---|---|---|
| Operating Revenues | $1.33B | $812.00M | +63.4% |
| Operating Revenues breakdown | |||
| └─Energy and other revenues | $1.19B | $604.00M | +96.5% |
| └─Capacity revenues | $323.00M | $166.00M | +94.6% |
| └─Unrealized gain (loss) | $(183) million | $42.00M | -535.7% |
| Net Income (Loss) | $138.00M | $207.00M | -33.3% |
| Basic EPS | $2.90 | $4.52 | -35.8% |
| Diluted EPS | $2.88 | $4.25 | -32.2% |
Financial Outlook / Guidance
| Metric | FY26 Outlook | FY27 Outlook |
|---|---|---|
| Guidance | Guidance | |
| Adjusted EBITDA | $2,050M-$2,200M | $2,500M-$2,850M |
| Adjusted Free Cash Flow | $1,225M-$1,325M | $1,500M-$1,750M |
FY26 Outlook
- Adjusted EBITDA
- Guidance$2,050M-$2,200M
- Adjusted Free Cash Flow
- Guidance$1,225M-$1,325M
FY27 Outlook
- Adjusted EBITDA
- Guidance$2,500M-$2,850M
- Adjusted Free Cash Flow
- Guidance$1,500M-$1,750M
Business Highlights
- ➤Upsized the share repurchase program to $3.0 billion through December 31, 2028.
- ➤Entered a $1.5 billion accelerated share repurchase program.
- ➤Received and retired approximately 3.8 million shares under the ASR on October 1.
- ➤Repurchased 600,000 shares for approximately $204 million during the third quarter, excluding ASR.
- ➤Closed a PJM capacity monetization agreement on October 1.
- ➤Sold rights to future PJM capacity cash flows for the 2027/2028 and 2028/2029 capacity years.
- ➤Funded the ASR with $1.3 billion of net proceeds from capacity monetization and cash on hand.
- ➤Hedged approximately 80% of expected generation volumes for October–December 2026.
- ➤Operates approximately 15.5 GW of U.S. power infrastructure, including 2.2 GW of nuclear power.
Management Commentary
Mac McFarland, Chief Executive Officer
“Talen delivered $669 million of Adjusted EBITDA and $433 million of Adjusted Free Cash Flow in the third quarter. With nine months behind us, we are reaffirming the midpoint and are narrowing the range of our 2026 guidance. We are also introducing our 2027 guidance that reflects strong PJM fundamentals and a full year of contributions from our recently acquired assets.”
Terry Nutt, President
“Share repurchases remain the benchmark against which we evaluate capital allocation. This quarter, we increased our share repurchase program to $3.0 billion, including a $1.5 billion accelerated share repurchase program. We have now repurchased more than one third of the shares outstanding at emergence.”
Terry Nutt, President
“Growing demand across PJM strengthens the outlook for our fleet and supports our focus on increasing Adjusted Free Cash Flow per share over the coming years.”