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Segments
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
SEGMENTS SEGMENTS
The segment reporting structure uses the Company’s management reporting structure as its foundation to reflect how the Company manages the businesses internally. The management reporting structure is composed of four SBUs, mainly organized by technology, led by our President and Chief Executive Officer, who is our Chief Operating Decision Maker. Using the accounting guidance on segment reporting, the Company determined that its four operating segments are aligned with its four reportable segments corresponding to its SBUs.
•Renewables — Solar, wind, energy storage, and hydro generation facilities;
•Utilities — AES Indiana, AES Ohio, and AES El Salvador regulated utilities and their generation facilities;
•Energy Infrastructure — Natural gas, LNG, coal, pet coke, diesel, and oil generation facilities; and
•New Energy Technologies — Investments in Fluence, Uplight, Maximo, and other new and innovative energy technology businesses.
Prior to the first quarter of 2025, our businesses in Chile (which had a mix of generation sources, including renewables, that were pooled to service our existing PPAs initially entered into for sale of the output of the coal plants) were reported in the Energy Infrastructure SBU. After the sale or disconnection of a significant portion of AES Andes’ coal plants and the expiration of its coal-indexed contracts with regulated customers at the end of 2024, the results of our businesses in Chile, excluding the two remaining coal plants, are now reported as part of the Renewables SBU in financial information regularly reviewed by the Chief Operating Decision Maker. The results of the two remaining coal plants in Chile, Angamos and Cochrane, remain within the Energy Infrastructure SBU. As the composition of the segments changed in the first quarter of 2025, the segment information for prior comparative periods has been retrospectively revised to reflect AES Andes’ renewables partnership with GIP, Chile Renovables, which is separable from the rest of the AES Andes portfolio, as part of the Renewables SBU. We determined that there was no separately identifiable financial information for the other renewables in the AES Andes portfolio as they were servicing the same coal-indexed PPAs as the coal facilities prior to 2025, therefore the rest of the renewables portfolio at AES Andes is presented within the Energy Infrastructure SBU in the 2024 segment information presented. Revenue and Adjusted EBITDA for AES Andes that are presented within the Energy Infrastructure SBU in historical periods and within the Renewables SBU in 2025 were $256 million and $19 million, respectively, during the three months ended September 30, 2025, and $675 million and $53 million, respectively, during the nine months ended September 30, 2025.
Our Renewables, Utilities, and Energy Infrastructure SBUs participate in our generation business line, in which we own and/or operate power plants to generate and sell power to customers, such as utilities, industrial users, and other intermediaries. Our Utilities SBU participates in our utilities business line, in which we own and/or operate utilities to generate or purchase, distribute, transmit, and sell electricity to end-user customers in the residential,
commercial, industrial, and governmental sectors within a defined service area. In certain circumstances, our utilities also generate and sell electricity on the wholesale market. Our New Energy Technologies SBU includes investments in new and innovative technologies to support leading-edge greener energy solutions.
Included in “Corporate and Other” are the results of AES Global Insurance Company, LLC (“AGIC”), AES’ captive insurance company; corporate overhead costs which are not directly associated with the operations of our four reportable segments; and certain intercompany charges such as self-insurance premiums which are fully eliminated in consolidation.
The Company uses Adjusted EBITDA as its primary segment performance measure. Adjusted EBITDA, a non-GAAP measure, is defined by the Company as earnings before interest income and expense, taxes, depreciation, amortization, and accretion of AROs, adjusted for the impact of NCI and interest, taxes, depreciation, amortization, and accretion of AROs of our equity affiliates, and adding back interest income recognized under service concession arrangements; excluding gains or losses of both consolidated entities and entities accounted for under the equity method due to (a) unrealized gains or losses pertaining to derivative transactions, equity securities, and financial assets and liabilities measured using the fair value option; (b) unrealized foreign currency gains or losses; (c) gains, losses, benefits, and costs associated with dispositions and acquisitions of business interests, including early plant closures, and gains and losses recognized at commencement of sales-type leases; (d) losses due to impairments; (e) gains, losses, and costs due to the early retirement of debt or troubled debt restructuring; and (f) costs directly associated with a major restructuring program, including, but not limited to, workforce reduction efforts.
The Company has concluded Adjusted EBITDA better reflects the underlying business performance of the Company and is the most relevant measure considered in the Company's internal evaluation of the financial performance of its segments. Additionally, given its large number of businesses and overall complexity, the Company concluded that Adjusted EBITDA is a more transparent measure that better assists investors in determining which businesses have the greatest impact on the Company's results.
Revenue and Adjusted EBITDA are presented before inter-segment eliminations, which includes the effect of intercompany transactions with other segments except for charges for certain management fees and the write-off of intercompany balances, as applicable. All intra-segment activity has been eliminated within the segment. Inter-segment activity has been eliminated within the total consolidated results.
The following tables present financial information by segment for the periods indicated (in millions):
Three Months Ended September 30, 2025
Renewables SBUUtilities SBUEnergy Infrastructure SBUNew Energy Technologies SBUTotal
Revenue$817 $1,105 $1,483 $— $3,405 
Corporate and other32 
Eliminations(86)
Total Revenue$3,351 
Less:
Total cost of sales excluding depreciation, amortization, and accretion of AROs (1)
458 775 1,110 3 
Other segment items (2)
63 90 72 — 
Segment Adjusted EBITDA$296 $240 $301 $(3)$834 
Reconciliation to income from continuing operations before taxes:
Corporate and other(10)
Eliminations6 
Interest expense(348)
Interest income76 
Depreciation, amortization, and accretion of AROs(365)
Adjusted for:
Noncontrolling interests and redeemable stock of subsidiaries238 
Income tax expense, interest expense, and depreciation, amortization, and accretion of AROs from equity affiliates(39)
Interest income recognized under service concession arrangements(15)
Unrealized derivatives, equity securities, and financial assets and liabilities gains
20 
Unrealized foreign currency losses(2)
Disposition/acquisition losses(5)
Impairment losses
(61)
Loss on extinguishment of debt and troubled debt restructuring(1)
Income from continuing operations before taxes$328 
_____________________________
(1)Segment-level total cost of sales excluding depreciation, amortization, and accretion of AROs is considered regularly provided to the Chief Operating Decision Maker. Total cost of sales excluding depreciation, amortization, and accretion of AROs includes items such as fuel cost, electricity purchases, transmission charges, supplies, salaries and wages, consulting costs, IT costs, market fees, insurance, and lease expense.
(2)Other segment items for each reportable segment includes:
Renewables SBU — earnings from equity affiliates, business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, and adjustment for noncontrolling interest expense.
Utilities SBU — miscellaneous gains and losses in Other income and Other expense, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
Energy Infrastructure SBU — service concession interest income, earnings from equity affiliates, business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, and adjustment for noncontrolling interest expense.
New Energy Technologies SBU — earnings from equity affiliates, and miscellaneous gains and losses in Other income and Other expense.
Three Months Ended September 30, 2024
Renewables SBUUtilities SBUEnergy Infrastructure SBUNew Energy Technologies SBUTotal
Revenue
$754 $961 $1,614 $1 $3,330 
Corporate and other
33 
Eliminations
(74)
Total Revenue
$3,289 
Less:
Total cost of sales excluding depreciation, amortization, and accretion of AROs (1)
462 678 1,183 1 
Other segment items (2)
78 60 141 7 
Segment Adjusted EBITDA
$214 $223 $290 $(7)$720 
Reconciliation to income from continuing operations before taxes:
Corporate and other
(23)
Eliminations
1 
Interest expense
(379)
Interest income
119 
Depreciation, amortization, and accretion of AROs
(312)
Adjusted for:
Noncontrolling interests and redeemable stock of subsidiaries
233 
Income tax expense, interest expense, and depreciation, amortization, and accretion of AROs from equity affiliates
(31)
Interest income recognized under service concession arrangements(16)
Unrealized derivatives, equity securities, and financial assets and liabilities gains
47 
Unrealized foreign currency losses
(7)
Disposition/acquisition gains
11 
Impairment losses(37)
Loss on extinguishment of debt and troubled debt restructuring
(1)
Income from continuing operations before taxes
$325 
_____________________________
(1)Segment-level total cost of sales excluding depreciation, amortization, and accretion of AROs is considered regularly provided to the Chief Operating Decision Maker. Total cost of sales excluding depreciation, amortization, and accretion of AROs includes items such as fuel cost, electricity purchases, transmission charges, supplies, salaries and wages, consulting costs, IT costs, market fees, insurance, and lease expense.
(2)Other segment items for each reportable segment includes:
Renewables SBU — business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
Utilities SBU — miscellaneous gains and losses in Other income and Other expense, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
Energy Infrastructure SBU — service concession interest income, business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
New Energy Technologies SBU — earnings from equity affiliates, and miscellaneous gains and losses in Other income and Other expense.
Nine Months Ended September 30, 2025
Renewables SBUUtilities SBUEnergy Infrastructure SBUNew Energy Technologies SBUTotal
Revenue
$2,127 $3,068 $4,109 $— $9,304 
Corporate and other
111 
Eliminations
(283)
Total Revenue
$9,132 
Less:
Total cost of sales excluding depreciation, amortization, and accretion of AROs (1)
1,346 2,192 3,208 6 
Other segment items (2)
84 217 92 39 
Segment Adjusted EBITDA
$697 $659 $809 $(45)$2,120 
Reconciliation to income from continuing operations before taxes:
Corporate and other
(23)
Eliminations
5 
Interest expense
(1,042)
Interest income
215 
Depreciation, amortization, and accretion of AROs
(1,056)
Adjusted for:
Noncontrolling interests and redeemable stock of subsidiaries
625 
Income tax expense, interest expense, and depreciation, amortization, and accretion of AROs from equity affiliates
(120)
Interest income recognized under service concession arrangements(44)
Unrealized derivatives, equity securities, and financial assets and liabilities losses
(112)
Unrealized foreign currency gains
1 
Disposition/acquisition losses
(172)
Impairment losses
(7)
Loss on extinguishment of debt and troubled debt restructuring
(13)
Restructuring costs
(88)
Income from continuing operations before taxes
$289 
_____________________________
(1)Segment-level total cost of sales excluding depreciation, amortization, and accretion of AROs is considered regularly provided to the Chief Operating Decision Maker. Total cost of sales excluding depreciation, amortization, and accretion of AROs includes items such as fuel cost, electricity purchases, transmission charges, supplies, salaries and wages, consulting costs, IT costs, market fees, insurance, and lease expense.
(2)Other segment items for each reportable segment includes:
Renewables SBU — earnings from equity affiliates, business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, and adjustment for noncontrolling interest expense.
Utilities SBU — miscellaneous gains and losses in Other income and Other expense, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
Energy Infrastructure SBU — service concession interest income, earnings from equity affiliates, business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, and adjustment for noncontrolling interest expense.
New Energy Technologies SBU — miscellaneous gains and losses in Other income and Other expense, earnings from equity affiliates, and business development costs.
Nine Months Ended September 30, 2024
Renewables SBUUtilities SBUEnergy Infrastructure SBUNew Energy Technologies SBUTotal
Revenue
$2,016 $2,730 $4,685 $1 $9,432 
Corporate and other
106 
Eliminations
(222)
Total Revenue
$9,316 
Less:
Total cost of sales excluding depreciation, amortization, and accretion of AROs (1)
1,326 1,947 3,433 5 
Other segment items (2)
211 164 303 34 
Segment Adjusted EBITDA
$479 $619 $949 $(38)$2,009 
Reconciliation to income from continuing operations before taxes:
Corporate and other
(3)
Eliminations
(10)
Interest expense
(1,125)
Interest income
312 
Depreciation, amortization, and accretion of AROs
(945)
Adjusted for:
Noncontrolling interests and redeemable stock of subsidiaries
579 
Income tax expense, interest expense, and depreciation, amortization, and accretion of AROs from equity affiliates
(93)
Interest income recognized under service concession arrangements(49)
Unrealized derivatives, equity securities, and financial assets and liabilities gains
185 
Unrealized foreign currency losses
(10)
Disposition/acquisition losses
(8)
Impairment losses(86)
Loss on extinguishment of debt and troubled debt restructuring
(51)
Income from continuing operations before taxes
$705 
_____________________________
(1)Segment-level total cost of sales excluding depreciation, amortization, and accretion of AROs is considered regularly provided to the Chief Operating Decision Maker. Total cost of sales excluding depreciation, amortization, and accretion of AROs includes items such as fuel cost, electricity purchases, transmission charges, supplies, salaries and wages, consulting costs, IT costs, market fees, insurance, and lease expense.
(2)Other segment items for each reportable segment includes:
Renewables SBU — business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
Utilities SBU — miscellaneous gains and losses in Other income and Other expense, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
Energy Infrastructure SBU — service concession interest income, business development costs, miscellaneous gains and losses in Other income and Other expense, realized foreign currency gains and losses, earnings from equity affiliates, and adjustment for noncontrolling interest expense.
New Energy Technologies SBU — earnings from equity affiliates, and miscellaneous gains and losses in Other income and Other expense.
The Company uses long-lived assets as its measure of segment assets. Long-lived assets include amounts recorded in Property, plant and equipment, net and right-of-use assets for operating leases recorded in Other noncurrent assets on the Condensed Consolidated Balance Sheets.
Long-Lived AssetsSeptember 30, 2025December 31, 2024
Renewables SBU$22,744 $19,151 
Utilities SBU9,093 8,535 
Energy Infrastructure SBU5,029 5,805 
New Energy Technologies SBU27 22 
Corporate and Other23 25 
Long-Lived Assets36,916 33,538 
Current assets6,820 6,831 
Investments in and advances to affiliates1,030 1,124 
Debt service reserves and other deposits102 78 
Goodwill345 345 
Other intangible assets2,016 1,947 
Deferred income taxes404 365 
Loan receivable781 — 
Other noncurrent assets, excluding right-of-use assets for operating leases2,369 2,545 
Noncurrent held-for-sale assets
— 633 
Total Assets$50,783 $47,406 
Depreciation, Amortization, and Accretion of AROsThree Months Ended September 30,Nine Months Ended September 30,
(in millions)
2025202420252024
Renewables SBU$146 $103 $413 $340 
Utilities SBU133 119 388 342 
Energy Infrastructure SBU84 88 248 256 
New Energy Technologies SBU— — 1 1 
Corporate and Other2 2 6 6 
Total$365 $312 $1,056 $945 
Capital ExpendituresThree Months Ended September 30,Nine Months Ended September 30,
(in millions)
2025202420252024
Renewables SBU$1,416 $1,375 $3,472 $4,088 
Utilities SBU369 367 861 1,229 
Energy Infrastructure SBU24 86 77 342 
New Energy Technologies SBU2 3 5 7 
Corporate and Other4 10 7 28 
Total$1,815 $1,841 $4,422 $5,694 
Interest IncomeThree Months Ended September 30,Nine Months Ended September 30,
(in millions)
2025202420252024
Renewables SBU$26 $30 $67 $90 
Utilities SBU2 2 8 9 
Energy Infrastructure SBU39 80 121 193 
New Energy Technologies SBU2 2 6 5 
Corporate and Other7 5 13 15 
Total$76 $119 $215 $312 
Interest ExpenseThree Months Ended September 30,Nine Months Ended September 30,
(in millions)
2025202420252024
Renewables SBU$123 $99 $373 $309 
Utilities SBU72 75 226 223 
Energy Infrastructure SBU71 120 221 381 
New Energy Technologies SBU— — — — 
Corporate and Other82 85 222 212 
Total$348 $379 $1,042 $1,125 
Net Equity in Earnings (Losses) of AffiliatesThree Months Ended September 30,Nine Months Ended September 30,
(in millions)
2025202420252024
Renewables SBU$4 $7 $(11)$29 
Utilities SBU2 1 6 4 
Energy Infrastructure SBU1 — 8 5 
New Energy Technologies SBU(3)(6)(47)(34)
Corporate and Other(3)(11)(11)(25)
Total$1 $(9)$(55)$(21)