v3.25.2
Reportable Segments
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Reportable Segments Reportable Segments
The Registrants’ determination of reportable segments considers the strategic operating units under which the CODM manages sales, allocates resources and assesses performance of various products and services to wholesale or retail customers in differing regulatory environments.

As of June 30, 2025, reportable segments by Registrant and information about each Registrant’s CODM were as follows:

CenterPoint Energy

•CenterPoint Energy’s Electric reportable segment consists of electric transmission and distribution services in the Texas Gulf Coast area in the ERCOT region and electric transmission and distribution services primarily to southwestern Indiana and includes power generation and wholesale power operations in the MISO region.

•CenterPoint Energy’s Natural Gas reportable segment consists 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.

•CenterPoint Energy’s Corporate and Other category consists of 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 consists of electric transmission services to transmission service customers in the ERCOT region and distribution services 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 Restructuring and 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.

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:

CenterPoint Energy
Three Months Ended June 30, 2025
Electric
Natural Gas
Corporate and Other
Total Reportable Segments
Eliminations
Total
(in millions)
Revenues from external customers
$1,191 $750 $3 $1,944 $— $1,944 
Intersegment revenues
— 1 — 1 (1)— 
Utility natural gas, fuel and purchased power65 236 — 301 (1)300 
Non-utility cost of revenues, including natural gas— 2 — 2 — 2 
Operation and maintenance expenses
523 195 (3)715 — 715 
Depreciation and amortization
230 137 3 370 — 370 
Taxes other than income taxes
80 56 4 140 — 140 
Interest expense
106 43 60 209 (14)195 
Income tax expense
41 11 3 55 — 55 
Interest income (1)
(7)(10)3 (14)14 — 
Other income, net (2)
(18)(5)(8)(31)— (31)
Net income (loss)
$171 $86 $(59)$198 $— $198 
Six Months Ended June 30, 2025
Electric
Natural Gas
Corporate and Other
Total Reportable Segments
Eliminations
Total
(in millions)
Revenues from external customers
$2,257 $2,602 $5 $4,864 $— $4,864 
Intersegment revenues
— 2 — 2 (2)— 
Utility natural gas, fuel and purchased power139 1,169 — 1,308 (2)1,306 
Non-utility cost of revenues, including natural gas— 3 — 3 — 3 
Operation and maintenance expenses
1,007 460 (5)1,462 — 1,462 
Depreciation and amortization
440 284 9 733 — 733 
Taxes other than income taxes
158 130 6 294 — 294 
Interest expense
207 102 145 454 (21)433 
Income tax expense (benefit)
66 116 (46)136 — 136 
Interest income (1)
(11)(10)— (21)21 — 
Other expense (income), net (2)
(28)36 (6)2 — 2 
Net income (loss)
$279 $314 $(98)$495 $— $495 

Three Months Ended June 30, 2024
Electric
Natural Gas
Corporate and Other
Total Reportable Segments
Eliminations
Total
(in millions)
Revenues from external customers
$1,207 $695 $3 $1,905 $— $1,905 
Utility natural gas, fuel and purchased power50 183 — 233 — 233 
Operation and maintenance expenses
497 189 (8)678 — 678 
Depreciation and amortization
237 142 7 386 — 386 
Taxes other than income taxes
77 61 3 141 — 141 
Interest expense
97 61 69 227 (10)217 
Income tax expense (benefit)
47 16 (30)33 — 33 
Interest income (1)
(6)(1)(3)(10)10 — 
Other income, net (2)
(7)(3)(1)(11)— (11)
Net income (loss)
$215 $47 $(34)$228 $— $228 

Six Months Ended June 30, 2024
Electric
Natural Gas
Corporate and Other
Total Reportable Segments
Eliminations
Total
(in millions)
Revenues from external customers
$2,256 $2,265 $4 $4,525 $— $4,525 
Utility natural gas, fuel and purchased power93 927 — 1,020 — 1,020 
Non-utility cost of revenues, including natural gas— 1 — 1 — 1 
Operation and maintenance expenses
972 423 (8)1,387 — 1,387 
Depreciation and amortization
463 274 12 749 — 749 
Taxes other than income taxes
155 126 4 285 — 285 
Interest expense
188 112 138 438 (17)421 
Income tax expense (benefit)
78 79 (46)111 — 111 
Interest income (1)
(11)(1)(5)(17)17 — 
Other income, net (2)
(18)(6)(3)(27)— (27)
Net income (loss)
$336 $330 $(88)$578 $— $578 
(1) Interest income from Securitization Bonds of less than $1 million and $1 million for the three months ended June 30, 2025 and 2024, respectively, and less than $1 million and $2 million for the six months ended June 30, 2025 and 2024, respectively, is included in Other income (expense), net on CenterPoint Energy’s Statements of Consolidated Income.
(2) Amount primarily includes AFUDC equity, non-service cost for pension and postretirement benefits, Gain (loss) on equity securities, Gain (loss) on indexed debt securities and Loss on sale.

Expenditures for Long-lived Assets
Six Months Ended June 30,
20252024
(in millions)
Electric$1,716 $951 
Natural Gas 696 712 
Corporate and Other
18 7 
Consolidated$2,430 $1,670 

Total Assets
June 30, 2025December 31, 2024
(in millions)
Electric$25,231 $23,936 
Natural Gas 17,090 18,583 
Corporate and Other (1)
1,778 1,249 
Consolidated$44,099 $43,768 

(1)Total assets included pension and other postemployment-related regulatory assets of $372 million and $384 million as of June 30, 2025 and December 31, 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. Expenditures for long-lived assets were $1.2 billion and $846 million for the six months ended June 30, 2025 and 2024, respectively. Financial data related to interest income is as follows:

Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
(in millions)(in millions)
Interest income (1)
$7 $7 $9 $11 
(1)Reflected in Other income, 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. Expenditures for long-lived assets were $667 million and $683 million for the six months ended June 30, 2025 and 2024, respectively. Financial data related to interest income is as follows:

Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
(in millions)(in millions)
Interest income (1)
$9 $1 $10 $1 
(1)Reflected in Other income, net on CERC’s Statements of Consolidated Income.