CENTERPOINT ENERGY INCCNP
CENTERPOINT ENERGY INC Segments Disclosure
Reportable Segments
The Registrants’ determination of reportable segments considers the strategic operating units under which its CODM manages sales, allocates resources and assesses performance of various products and services to wholesale or retail customers in differing regulatory environments.
As of December 31, 2025, reportable segments by Registrant and information about each Registrant’s CODM were as follows:
CenterPoint Energy
•CenterPoint Energy’s Electric reportable segment consisted of (i) electric transmission and distribution services in the Texas Gulf Coast area in the ERCOT region; (ii) electric transmission and distribution services primarily to southwestern Indiana, and (iii) power generation and wholesale power operations in the MISO region.
•CenterPoint Energy’s Natural Gas reportable segment following the closing of the sale of the Louisiana and Mississippi natural gas LDC businesses on March 31, 2025 consisted of (i) intrastate natural gas sales to, and natural gas transportation and distribution for, residential, commercial and industrial customers in Indiana, Minnesota, Ohio and Texas; and (ii) permanent pipeline connections through interconnects with various interstate and intrastate pipeline
companies through CEIP. On October 20, 2025, CenterPoint Energy, through CERC Corp., entered into the Ohio Securities Purchase Agreement to sell all of the issued and outstanding equity interests in CEOH. The transaction is expected to close in the fourth quarter of 2026, subject to the satisfaction of customary closing conditions. For further information, see Note 4 to the consolidated financial statements.
•CenterPoint Energy’s Corporate and Other reportable segment consisted of energy performance contracting and sustainable infrastructure services by Energy Systems Group through June 30, 2023, the date of the sale of Energy Systems Group, and corporate support operations that support all of CenterPoint Energy’s business operations. CenterPoint Energy’s Corporate and Other also includes office buildings and other real estate used for business operations.
CenterPoint Energy’s CODM, the President and Chief Executive Officer, evaluates performance for all of its reportable segments based on segment net income. The CODM uses segment net income to allocate resources as part of the budgeting and forecasting process as well as during periodic budget-to-actual reviews.
Houston Electric
•Houston Electric’s single reportable segment consisted of electric transmission services to transmission service customers in the ERCOT region and distribution service to REPs serving the Texas Gulf Coast area that includes the city of Houston.
Houston Electric’s CODM, the President and Chief Executive Officer, evaluates performance for its single reportable segment based on segment net income. The CODM uses segment net income to allocate resources as part of the budgeting and forecasting process as well as during periodic budget-to-actual reviews.
CERC
•CERC’s single reportable segment following the closing of the sale of the Louisiana and Mississippi natural gas LDC businesses on March 31, 2025 consisted of (i) intrastate natural gas sales to, and natural gas transportation and distribution for, residential, commercial, and industrial customers in Indiana, Minnesota, Ohio and Texas; and (ii) permanent pipeline connections through interconnects with various interstate and intrastate pipeline companies through CEIP. On October 20, 2025, CenterPoint Energy, through CERC Corp., entered into the Ohio Securities Purchase Agreement to sell all of the issued and outstanding equity interests in CEOH. The transaction is expected to close in the fourth quarter of 2026, subject to the satisfaction of customary closing conditions. For further information, see Note 4 to the consolidated financial statements.
CERC’s CODM, the President and Chief Executive Officer, evaluates performance for its single reportable segment based on segment net income. The CODM uses segment net income to allocate resources as part of the budgeting and forecasting process as well as during periodic budget-to-actual reviews.
Expenditures for long-lived assets include property, plant and equipment. Intersegment sales are eliminated in consolidation, except as described in Note 1.
Financial data for reportable segments is as follows for the periods presented:
CenterPoint Energy
Year Ended December 31, 2025 | |||||||||||||||||||||||||||||||||||
Electric | Natural Gas | Corporate and Other | Total Reportable Segments | Eliminations | Total | ||||||||||||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||||||||||||||
Revenues from external customers | $ | 4,866 | $ | 4,483 | $ | 8 | $ | 9,357 | $ | — | $ | 9,357 | |||||||||||||||||||||||
Intersegment revenues | — | 3 | — | 3 | (3) | — | |||||||||||||||||||||||||||||
| Utility natural gas, fuel and purchased power | 270 | 1,846 | — | 2,116 | (3) | 2,113 | |||||||||||||||||||||||||||||
| Non-utility cost of revenues, including natural gas | — | 4 | — | 4 | — | 4 | |||||||||||||||||||||||||||||
| Operation and maintenance expenses | 2,084 | 931 | 9 | 3,024 | — | 3,024 | |||||||||||||||||||||||||||||
| Depreciation and amortization | 946 | 563 | 21 | 1,530 | — | 1,530 | |||||||||||||||||||||||||||||
| Taxes other than income taxes | 321 | 245 | 10 | 576 | — | 576 | |||||||||||||||||||||||||||||
| Interest expense and other finance charges | 445 | 208 | 282 | 935 | (32) | 903 | |||||||||||||||||||||||||||||
| Interest income (1) | (15) | (11) | (17) | (43) | 32 | (11) | |||||||||||||||||||||||||||||
Other expense (income), net (2) | (62) | 33 | — | (29) | — | (29) | |||||||||||||||||||||||||||||
| Income tax expense (benefit) | 172 | 97 | (74) | 195 | — | 195 | |||||||||||||||||||||||||||||
Net income (loss) | $ | 705 | $ | 570 | $ | (223) | $ | 1,052 | $ | — | $ | 1,052 | |||||||||||||||||||||||
Year Ended December 31, 2024 | |||||||||||||||||||||||||||||||||||
| Electric | Natural Gas | Corporate and Other | Total Reportable Segments | Eliminations | Total | ||||||||||||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||||||||||||||
| Revenues from external customers | $ | 4,590 | $ | 4,048 | $ | 5 | $ | 8,643 | $ | — | $ | 8,643 | |||||||||||||||||||||||
| Intersegment revenues | — | 2 | — | 2 | (2) | — | |||||||||||||||||||||||||||||
| Utility natural gas, fuel and purchased power | 198 | 1,520 | (1) | 1,717 | (2) | 1,715 | |||||||||||||||||||||||||||||
| Non-utility cost of revenues, including natural gas | — | 3 | — | 3 | — | 3 | |||||||||||||||||||||||||||||
| Operation and maintenance expenses | 2,072 | 881 | (4) | 2,949 | — | 2,949 | |||||||||||||||||||||||||||||
| Depreciation and amortization | 877 | 542 | 20 | 1,439 | — | 1,439 | |||||||||||||||||||||||||||||
| Taxes other than income taxes | 304 | 237 | 6 | 547 | — | 547 | |||||||||||||||||||||||||||||
| Interest expense and other finance charges | 372 | 207 | 286 | 865 | (27) | 838 | |||||||||||||||||||||||||||||
| Interest income (1) | (18) | (2) | (14) | (34) | 27 | (7) | |||||||||||||||||||||||||||||
Other income, net (2) | (43) | (12) | — | (55) | — | (55) | |||||||||||||||||||||||||||||
| Income tax expense (benefit) | 157 | 108 | (70) | 195 | — | 195 | |||||||||||||||||||||||||||||
| Net income (loss) | $ | 671 | $ | 566 | $ | (218) | $ | 1,019 | $ | — | $ | 1,019 | |||||||||||||||||||||||
Year Ended December 31, 2023 | |||||||||||||||||||||||||||||||||||
| Electric | Natural Gas | Corporate and Other | Total Reportable Segments | Eliminations | Total | ||||||||||||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||||||||||||||
| Revenues from external customers | $ | 4,290 | $ | 4,276 | $ | 130 | $ | 8,696 | $ | — | $ | 8,696 | |||||||||||||||||||||||
| Intersegment revenues | — | 3 | — | 3 | (3) | — | |||||||||||||||||||||||||||||
| Utility natural gas, fuel and purchased power | 176 | 1,888 | — | 2,064 | (3) | 2,061 | |||||||||||||||||||||||||||||
| Non-utility cost of revenues, including natural gas | — | 3 | 96 | 99 | — | 99 | |||||||||||||||||||||||||||||
| Operation and maintenance expenses | 1,880 | 949 | 21 | 2,850 | — | 2,850 | |||||||||||||||||||||||||||||
| Depreciation and amortization | 872 | 513 | 16 | 1,401 | — | 1,401 | |||||||||||||||||||||||||||||
| Taxes other than income taxes | 272 | 245 | 8 | 525 | — | 525 | |||||||||||||||||||||||||||||
| Interest expense and other finance charges | 303 | 188 | 264 | 755 | (54) | 701 | |||||||||||||||||||||||||||||
| Interest income (1) | (19) | (10) | (34) | (63) | 54 | (9) | |||||||||||||||||||||||||||||
Other expense (income), net (2) | (37) | (5) | 23 | (19) | — | (19) | |||||||||||||||||||||||||||||
| Income tax expense (benefit) | $ | 189 | $ | (25) | $ | 6 | $ | 170 | $ | — | $ | 170 | |||||||||||||||||||||||
| Net income (loss) | $ | 654 | $ | 533 | $ | (270) | $ | 917 | $ | — | $ | 917 | |||||||||||||||||||||||
(1) Interest income from Securitization Bonds of $1 million, $3 million, and $4 million for the years ended December 31, 2025, 2024 and 2023, respectively, is included in Other income (expense), net on CenterPoint Energy’s Statements of Consolidated Income.
(2) Other income (expense), net primarily includes AFUDC equity, non-service cost for pension and postretirement benefits, Gain (loss) on equity securities, Gain (loss) on indexed debt securities and Gain (loss) on sale.
| Total Assets | Expenditures for Long-lived Assets | ||||||||||||||||||||||||||||
As of December 31, | Year Ended December 31, | ||||||||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2023 | |||||||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||||||||
| Electric | $ | 26,649 | $ | 23,936 | $ | 3,683 | $ | 3,099 | $ | 2,660 | |||||||||||||||||||
| Natural Gas | 18,405 | 18,583 | 1,657 | 1,524 | 1,697 | ||||||||||||||||||||||||
| Corporate and Other, net of eliminations (1) | 1,480 | 1,249 | 65 | 26 | 13 | ||||||||||||||||||||||||
| Consolidated | $ | 46,534 | $ | 43,768 | $ | 5,405 | $ | 4,649 | $ | 4,370 | |||||||||||||||||||
(1)Total assets included pension and other postemployment-related regulatory assets of $383 million and $384 million as of December 31, 2025 and 2024, respectively.
Houston Electric
Houston Electric consists of a single reportable segment. For financial data related to income and expenses for the single reportable segment, see Houston Electric’s Statements of Consolidated Income. For financial data related to segment total assets, see Houston Electric’s Consolidated Balance Sheets. Financial data related to interest income and expenditures for long-lived assets is as follows for the periods presented:
| Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (in millions) | |||||||||||||||||
Interest income (1) | $ | 13 | $ | 16 | $ | 14 | |||||||||||
Expenditures for long-lived assets | 2,918 | 2,738 | 2,309 | ||||||||||||||
(1)Reflected in Other income (expense), net on Houston Electric’s Statements of Consolidated Income.
CERC
CERC consists of a single reportable segment. For financial data related to income and expenses for the single reportable segment, see CERC’s Statements of Consolidated Income. For financial data related to segment total assets, see CERC’s Consolidated Balance Sheets. Financial data related to interest income and expenditures for long-lived assets is as follows for the periods presented:
| Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (in millions) | |||||||||||||||||
Interest income (1) | $ | 10 | $ | 2 | $ | 10 | |||||||||||
Expenditures for long-lived assets | 1,581 | 1,485 | 1,568 | ||||||||||||||
(1)Reflected in Other income (expense), net on CERC’s Statements of Consolidated Income.
Major Customers (Houston Electric)
Houston Electric’s revenues from major external customers are as follows for the periods presented:
| Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (in millions) | |||||||||||||||||
| Affiliates of NRG | $ | 1,229 | $ | 1,169 | $ | 1,106 | |||||||||||
| Affiliates of Vistra Energy Corp. | 693 | 605 | 539 | ||||||||||||||
Revenues by Products and Services
| Year Ended December 31, | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2025 | 2024 | 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| CenterPoint Energy | Houston Electric | CERC | CenterPoint Energy | Houston Electric | CERC | CenterPoint Energy | Houston Electric | CERC | ||||||||||||||||||||||||||||||||||||||||||||||||
| (in millions) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Electric delivery | $ | 4,109 | $ | 4,084 | $ | — | $ | 3,963 | $ | 3,939 | $ | — | $ | 3,701 | $ | 3,677 | $ | — | ||||||||||||||||||||||||||||||||||||||
| Retail electric sales | 736 | — | — | 622 | — | — | 569 | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
| Wholesale electric sales | 19 | — | — | 4 | — | — | 20 | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
| Retail gas sales | 4,266 | — | 4,126 | 3,837 | — | 3,716 | 4,078 | — | 3,951 | |||||||||||||||||||||||||||||||||||||||||||||||
| Gas transportation | 11 | — | 11 | 11 | — | 11 | 11 | — | 11 | |||||||||||||||||||||||||||||||||||||||||||||||
| Energy products and services | 216 | — | 207 | 206 | — | 198 | 317 | — | 187 | |||||||||||||||||||||||||||||||||||||||||||||||
| Total | $ | 9,357 | $ | 4,084 | $ | 4,344 | $ | 8,643 | $ | 3,939 | $ | 3,925 | $ | 8,696 | $ | 3,677 | $ | 4,149 | ||||||||||||||||||||||||||||||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 19, 2026 | Showing above |
| 2022 | Feb 17, 2023 | |
| 2019 | Feb 27, 2020 | |
| 2017 | Feb 22, 2018 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 26, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.