PPL PPL Corp

Overview and Growth

In fiscal 2025, PPL Corp recorded $9.04B of revenue, net income of $1.18B, and an operating cash inflow of $2.63B. The $9.04B revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Compared with $8.46B in fiscal 2024, revenue recorded a 6.9% year-over-year increase. The company reported diluted EPS of $1.59, adding a shareholder-level measure to the absolute income figures considered below. The per-share result recorded a 32.5% increase from fiscal 2024 diluted EPS of $1.20. Asset turnover was 0.2x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

Operating income was $2.13B, the earnings remaining from reported operations after the company’s recognized operating cost structure. Operating margin measured 23.5%, showing the portion of revenue preserved after the full set of operating costs. The bottom-line result was net income of $1.18B, after the operating, financing, tax, and other items recognized for the period. Net margin was 13.1%, meaning that this portion of revenue remained as net income after all recognized expenses. Pretax income was $1.47B, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Measured against revenue, pretax income equaled 16.3%, adding a pre-tax profitability layer between revenue and net income. The reported income-tax provision was $291.00M, the amount recognized between pretax income and the final net-income result. The income-tax provision equaled 19.8% of pretax income, showing the tax burden absorbed by the year’s earnings. The relationship between net income and period-end equity was 7.9%, indicating the profitability achieved on book capital. Return on period-end assets was 2.6%, connecting net income with the company’s total asset base.

Liquidity and Capital Structure

The company held $45.24B of assets against $30.36B of liabilities and $14.88B of equity, revealing how the asset base was financed. At period end, current assets of $3.93B compared with current liabilities of $4.55B, defining the company’s short-term resource position. Current assets covered only 0.86x of current liabilities, so current liabilities exceeded current assets at period end. Reported cash and equivalents were $1.07B, separating immediately recognizable cash resources from the rest of the current-asset base. The cash balance equaled 23.6% of current liabilities, showing how much near-term coverage came from cash alone. Borrowings totaled $18.89B, adding a fixed financing obligation alongside the company’s equity capital. Debt equaled 1.27x of book equity, describing the relative scale of borrowing and shareholder capital. Relative to total assets, debt measured 41.8%, showing how much of the asset base was matched by borrowing. Liabilities represented 67.1% of total assets, quantifying the liability-funded share of the company’s resource base. The cash-to-assets relationship was 2.4%, comparing reported cash and equivalents with the full positive asset balance. The asset base changed 10.2% from $41.07B in fiscal 2024, leaving current total assets higher year over year.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $2.63B, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. The operating-cash-flow-to-net-income relationship was 2.23x, comparing cash generated by operations with the bottom-line earnings result. Capital spending was $4.03B, absorbing part of the cash generated from operations before free cash flow. Capital spending absorbed 153.3% of operating cash flow, quantifying the share of cash from operations directed to investment. Negative free cash flow was $1.40B, leaving a cash deficit after capital spending and reducing financial flexibility. Relative to revenue, the post-investment cash deficit represented 15.5%. The free-cash-flow deficit equaled 3.1% of total assets, placing the cash shortfall against the company’s resource base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.