Good day, and thank you for standing by. Welcome to the OGE Energy Corp. 2025 Second Quarter Earnings and Business Update Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Jason Bailey, Director of Investor Relations. Please go ahead.

Thank you, Marvin, and good morning, everyone, and welcome to our call. With me today is Sean Trauschke, our Chairman, President and CEO; and Chuck Walworth, our CFO and Treasurer. In terms of the call today, we will first hear from Sean, followed by an explanation from Chuck of financial results. And finally, as always, we will answer your questions. I'd like to remind you that this conference is being webcast, and you may follow along at oge.com. In addition, the conference call and accompanying slides will be archived following the call on that same website. Before we begin the presentation, I'd like to direct your attention to the safe harbor statement regarding forward-looking statements. This is an SEC requirement for financial statements and simply states that we cannot guarantee forward-looking financial results, but this is our best estimate to date. I will now turn the call over to Sean for his opening remarks. Sean?

Thank you, Jason, and good morning, everyone. Thank you for joining us today. It's certainly great to be with you. Our service area is continuing to grow, and I couldn't be more excited about this growth we're experiencing. Here in Oklahoma City, we've truly entered the global stage. Our Thunder secured their first NBA championship and more than 0.5 million people descended on downtown to help celebrate during the championship parade. But that's not all. In 2028, we will host the softball and canoe slalom events as part of the Los Angeles Olympics. And as we celebrate these milestones, it's important to stay focused on our goals for the year and the years ahead. So here we are, halfway through the year, and we've achieved a lot, and we're confident in our plans for the year and expect to deliver in the top half of our earnings guidance range. This morning, we reported consolidated earnings of $0.53 per diluted share with the holding company flat for the quarter. We built a strong foundation for future growth and remain committed to providing safe, reliable and affordable service to our customers. The second quarter usually includes severe weather in our service area, and I'm happy to report the system performed well and impacts on our customers were minimal as a result of our investment and outstanding team. I'm very proud of our people and the work they do every day. This month, the weather is heating up, and as always, our system will be prepared. Moving on to customer growth and demand. Our service area is poised for continued growth across all customer segments. Additional generation projects under construction are all on time and all on budget. Our growth and performance continues to excel, providing 3 future opportunities: new generation capacity, transmission…

Thank you, Sean, and thank you, Jason. Good morning, everyone. I'm pleased to review 2025 second quarter and year-to-date results with you and provide an update on our 2025 financial plan. Halfway through the year, we are confident in achieving results in the top half of our earnings guidance range. More importantly, we execute today with an eye on our long-term success. I'm excited to discuss some of those benefits with you today. But first, let's review our recent performance. Starting on Slide 5. For the second quarter, consolidated net income was $108 million or $0.53 per diluted share compared to $102 million or $0.51 per share in the same period of '24. In our core business, the electric company achieved net income of $108 million or $0.53 per diluted share compared to $109 million or $0.54 per share in the same period of '24. The main drivers of the year-over- year net income decrease were milder weather and higher interest and depreciation expense on a growing asset base, partially offset by increased recovery of capital investments, higher weather-normalized load and lower operation and maintenance expense. The holding company reported a small loss of less than $1 million or flat on a per diluted share basis compared to a loss of $7 million or $0.03 per share in the same period of '24. The change was primarily attributed to a onetime pretax benefit of $8.7 million related to our legacy midstream operations. Let's review our load results by turning to Slide 6. Year-over-year customer growth continued at its healthy multiyear pace, near 1% in the second quarter. Our weather-normalized load continues to be historically strong and has grown 6.5% year-to-date compared to the same period in '24. Year-to-date growth of our 2 largest customer classes, residential and commercial, was 1%…

[Operator Instructions] And our first question comes from the line of Nicholas Campanella, Barclays.

It's actually Nathan Richardson on for Nick. Just a few questions here. Can you please provide a little bit of color on what is driving the weaker industrial sales?

Yes, Nathan. So we've talked about this -- addressed this in the comments a little bit. I mean these types of customers, first of all, they're a little more chunky, if you will, right? I mean it's -- they're a little more power-intensive customers. And they're going to have cycles for maintenance. And so it's going to be a little noticeable when they go down for areas like that. And like I said earlier, we've got line of sight to many of those coming back online as well as incremental load coming in the foreseeable future. So I think, again, there's just one section. Take a step back and you look at the overall growth, we're at 6.5%. And so you're really seeing strong performance across the portfolio as a whole.

Got it. Okay. That makes sense. And then excluding the midstream operations onetime legacy benefit, how can we think about parent drag for 2025? And how could that grow for the remainder of the forecast period as you finance your growth plan?

So I think the onetime benefit that we mentioned is just that. It's a onetime benefit. So I think you should largely ignore that from that perspective. And so we're really squarely on our guidance for this year, excluding that item.

Okay. Got it. And then just one more. So you're still exploring options for generation capacity additions into '29. You mentioned a few things, but I was wondering how could it end up shaping out for ownership versus PPA? And could there be an update on year-end?

Yes. This is Sean. Absolutely. I think we've expressed our strong preference to own these assets. While we're building them, we do secure kind of short-term bridge capacity to kind of as we're building those out. I would expect -- we're going through all those right now. What we filed for earlier this summer was what we concluded in terms of negotiations, but we're still negotiating other agreements. And when we get those finalized, we'll file for those.

[Operator Instructions] And Our next question comes from the line of Julien Dumoulin-Smith of Jefferies.

It's Brian Russo on for Julien. Just maybe to follow up on the upcoming additional capacity procurement. Can you kind of tie that into what's been outlined in the 2025 draft IRP I think it's at least 800 megawatts maybe by 2030. And what is kind of the update there with, like you mentioned, ongoing negotiations with bidders and own versus PPAs or bridge PPAs?

Yes. What -- I'm sorry, Brian. A couple of things are going on at the same time with the updated RFP, right? I mean, so we've made some assumptions in there for some potential large loads that we're negotiating on. As I said before, those don't all occur at once. There's a ramp schedule. So there's a little bit of movement there. And then the second piece is we're still in negotiations from the last RFP we did. So to the extent we fill some of that, you're looking for what the gap looks like. And I think what we're trying to convey is, we're probably going to continue to add generation capacity over the next few years. But the absolute amount and timing is going to be somewhat dependent upon some of these loads coming in. And so instead of -- I'm not really in a position to give you a definitive number, but I think what I'm doing is giving you a directional number that you should expect us to continue to add capacity.

Okay. Great. And then also the mention of company X and then company Y in the 2025 draft IRP. Just curious, are there any updates on the development of the Google Stillwater data center site?

Yes. I think those negotiations are progressing. And I think we're getting closer and closer to achieving our objectives in terms of protecting our existing customers and make sure it's value accretive to us. And so those negotiations are getting closer and closer.

Okay. Great. And then just lastly, just to clarify, does the -- now that you're at the top end of your guidance, does that include the onetime midstream tax gain? Otherwise, you'd probably still be in the middle? Or is July weather a factor as well?

So just to clarify, we're pointing towards the top half of the range. And yes, that does include the impact. That's -- it's on the earnings we will report at the end of the year. So that would include this benefit that was mentioned.

Our next question comes from the line of Dylan Lipner of Ladenburg Thalmann.

Congrats on a good quarter. Just real quick kind of piggybacking with the 450 megawatts of Horseshoe Lake coming on in 2029, is the company expected to be long capacity at the end of the decade? And if so, how do you see that need being filled?

Yes, I don't anticipate us being long. I think we've been very consistent in saying that we're going to be in a continuous adding capacity mode, and we're doing that into the load growth. So you should expect us to -- if there is any surplus, it's de minimis and will quickly be filled by future growth.

I'm showing no further questions at this time. I would now like to turn it back to Sean Trauschke for closing remarks.

Thank you, Marvin. Well, thank you all for joining us today. Thank you for your interest, and I look forward to seeing everyone very soon. Have a great day.

Thank you for your participation in today's conference. This does conclude the program. You may now disconnect.