v3.26.1
Segments
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segments
18. Segments
Talen’s operating segments are based on the market areas in which our generation facilities operate and reflect the manner in which our Chief Executive Officer, who is the chief operating decision maker (the “CODM”), reviews results. Adjusted EBITDA is the key profit metric used by the CODM to review segment performance and allocate resources as it provides a clearer view of segment profitability by focusing on operational performance. Total assets or other asset metrics are not considered a key metric or reviewed by the chief operating decision maker.
“PJM” represents electricity generation, marketing activities, and commodity risk and fuel management within the PJM market and is comprised of Susquehanna and Talen’s natural gas and coal generation facilities in PJM.
“Other” represents an operating segment that includes the operating and marketing activities of Talen Montana’s proportionate share of Colstrip in the WECC market and other non-material operating and development activities.
“Corporate and Eliminations” represents a non-reportable segment that includes: (i) general and administrative expenses incurred by our corporate function; (ii) interest expense and other corporate activities not allocated to our operating segments; and (iii) intercompany eliminations. This grouping is presented to reconcile the reportable segments to our consolidated results.
PJMOtherCorporate and EliminationsTotal
Three Months Ended June 30, 2026
Operating revenues$740 $13 $(6)$747 
Operation, maintenance and development expenses (a)
202 8 
Interest expense and other finance charges— — 214 214 
Other segment items (b)
160 
Adjusted EBITDA378 
Capital expenditures52 124 2 178 
Three Months Ended June 30, 2025
Operating revenues$638 $(1)$(7)$630 
Operation, maintenance and development expenses (a)
180 12 
Interest expense and other finance charges— — 62 62 
Other segment items (b)
343 
Adjusted EBITDA115 
Capital expenditures33 4 — 37 
PJMOtherCorporate and EliminationsTotal
Six Months Ended June 30, 2026
Operating revenues$1,850 $41 $(15)$1,876 
Operation, maintenance and development expenses (a)
360 15 
Interest expense and other finance charges— — 333 333 
Other segment items (b)
633 
Adjusted EBITDA
857 
Capital expenditures119 126 2 247 
Six Months Ended June 30, 2025
Operating revenues$1,005 $41 $(26)$1,020 
Operation, maintenance and development expenses (a)
318 20 
Interest expense and other finance charges— — 136 136 
Other segment items (b)
363 
Adjusted EBITDA
324 
Capital expenditures95 5 1 101 
__________________
(a)This significant segment expense category aligns with the segment-level information that is regularly reviewed by the CODM.
(b)Other segment items are primarily comprised of fuel and energy purchases.
Reconciliation of Segment Adjusted EBITDA to Income (Loss) Before Income Taxes:
 Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
PJM Segment Adjusted EBITDA$378 $115 $857 $324 
Reconciling Items:
Interest expense and other finance charges$(214)$(62)$(333)$(136)
Depreciation, amortization and accretion (a)
(88)(67)(151)(137)
Nuclear fuel amortization (a)
(22)(18)(46)(44)
Unrealized gain (loss) on commodity derivative contracts(211)92 (365)(90)
Nuclear decommissioning trust funds gain (loss), net134 80 112 68 
Stock-based and other long-term incentive compensation expense
(71)(18)(73)(31)
Acquisition and divestiture activities (b)
(28)3 (37)(4)
"Other" operating segment6 (1)15 8 
Corporate and Eliminations(10)(24)(25)(42)
Other items(3)(3)(2)(6)
Income (Loss) Before Income Taxes$(129)$97 $(48)$(90)
__________________
(a)Includes the periodic amortization of fair value adjustments associated with acquired fuel supply contract liabilities and intangible assets.
(b)Includes the non-recurring: (i) advisory fees associated with completed acquisitions and divestitures; (ii) remaining settlements on contracts of divested assets; and (iii) non-recurring finance fees charged to the Consolidated Statement of Operations associated with acquisition financing fee arrangements.