Equity (Tables)

3 Months Ended

Mar. 31, 2026

Components Of Accumulated Other Comprehensive Income

The following table summarizes the changes in AOCL by component, net of tax and NCI, for the three months ended March 31, 2026 (in millions):


	Foreign currency translation adjustments, net		Change in fair value of derivatives, net		Pension adjustments, net		Change in fair value option liabilities, net		Total
Balance at the beginning of the period	$	(1,168)	$	483	$	(16)	$	3	$	(698)
Other comprehensive income before reclassifications	2		3		—		—		5
Amount reclassified to earnings	—		(4)		—		—		(4)
Other comprehensive income (loss)	2		(1)		—		—		1
Reclassification from NCI due to share repurchases	—		1		—		—		1
Balance at the end of the period	$	(1,166)	$	483	$	(16)	$	3	$	(696)

Schedule Of Amounts Reclassified Out Of Accumulated Other Comprehensive Income

Reclassifications out of AOCL are presented in the following table. The Company’s accounting policy for releasing the income tax effects from AOCL occurs on a portfolio basis. Amounts for the periods indicated are in millions and those in parentheses indicate debits to the Condensed Consolidated Statements of Operations:


AOCL Components		Three Months Ended March 31,
			2026		2025





Change in fair value of derivatives, net
	Non-regulated revenue		$	1	$	—
	Non-regulated cost of sales		(2)		1
	Interest expense		(2)		16


	Foreign currency transaction gains (losses)		2		3
	Income (loss) from continuing operations before taxes and equity in earnings of affiliates		(1)		20
	Income tax benefit (expense)		(1)		(6)


	Net income (loss)		(2)		14
	Less: Net loss attributable to noncontrolling interests and redeemable stock of subsidiaries		6		1
	Net income (loss) attributable to The AES Corporation		$	4	$	15