sps-20260930

Definitions of Abbreviations


Xcel Energy Inc.’s Subsidiaries and Affiliates (current and former)
NSP-Minnesota			Northern States Power Company, a Minnesota corporation
NSP-Wisconsin			Northern States Power Company, a Wisconsin corporation
PSCo			Public Service Company of Colorado
SPS			Southwestern Public Service Company
Utility subsidiaries			NSP-Minnesota, NSP-Wisconsin, PSCo and SPS
Xcel Energy			Xcel Energy Inc. and its subsidiaries

Federal and State Regulatory Agencies

EPA			United States Environmental Protection Agency
FASB			Financial Accounting Standards Board
FERC			Federal Energy Regulatory Commission

NMPRC			New Mexico Public Regulation Commission
PUCT			Public Utility Commission of Texas
SEC			Securities and Exchange Commission

Other
AFUDC			Allowance for funds used during construction




ASU			Accounting standards update
CEO			Chief executive officer
CERCLA			Comprehensive Environmental Response, Compensation, and Liability Act
C&I			Commercial and Industrial
CFO			Chief financial officer


CCN			Certificate of convenience and necessity
CCR			Coal combustion residuals


DSM			Demand side management


ETR			Effective tax rate
FTR			Financial transmission right

GAAP			United States generally accepted accounting principles
GHG			Greenhouse gas
IPP			Independent power producing entity
IRP			Integrated Resource Plan



MGP			Manufactured gas plant

NOx			Nitrogen Oxides
O&M			Operating and maintenance
OATT			Open access transmission tariff

PFAS			Per- and Polyfluoroalkyl Substances
PPA			Power purchase agreement
PTC			Production tax credit
RFP			Request for proposal
ROE			Return on equity
RPS			Renewable portfolio standard
RTO			Regional transmission organization

SPP			Southwest Power Pool, Inc.
VIE			Variable interest entity

Measurements
MW			Megawatts
MWh			Megawatt hours


Forward-Looking Statements

Except for the historical statements contained in this report, the matters discussed herein are forward-looking statements that are subject to certain risks, uncertainties and assumptions. Such forward-looking statements, including those relating to future sales, future expenses, future tax rates, future operating performance, estimated base capital expenditures and financing plans, projected capital additions and forecasted annual revenue requirements with respect to rider filings, expected rate increases or refunds to customers, expectations and intentions regarding regulatory proceedings, expected pension contributions, and expected impact on our results of operations, financial condition and cash flows of interest rate changes, increased credit exposure and legal proceeding outcomes, as well as assumptions and other statements are intended to be identified in this document by the words “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “objective,” “outlook,” “plan,” “project,” “possible,” “potential,” “should,” “will,” “would” and similar expressions. Actual results may vary materially. Forward-looking statements speak only as of the date they are made, and we expressly disclaim any obligation to update any forward-looking information. The following factors, in addition to those discussed in SPS’ Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2025 and subsequent filings with the SEC, could cause actual results to differ materially from management expectations as suggested by such forward-looking information: operational safety; successful long-term operational planning; risks associated with wildfires; commodity risks associated with energy markets and production; rising energy prices and fuel costs; qualified employee workforce and third-party contractor factors; reputational impacts of actions by employees, directors or third-parties; our ability to recover costs; risks associated with the growth in large load customers; changes in regulation; reductions in our credit ratings and the cost of maintaining certain contractual relationships; general economic conditions, including recessionary conditions, inflation rates, monetary fluctuations, supply chain constraints and their impact on capital expenditures and/or the ability of SPS to obtain financing on favorable terms; availability or cost of capital; our customers’ and counterparties’ ability to pay their debts to us; assumptions and costs relating to funding our employee benefit plans and health care benefits; tax laws; uncertainty regarding epidemics; effects of geopolitical events, including war and acts of terrorism; cybersecurity threats and data security breaches; seasonal weather patterns; changes in environmental laws and regulations; climate change and other weather events; natural disaster and resource depletion, including compliance with any accompanying legislative and regulatory changes; costs of potential regulatory penalties and wildfire damages in excess of liability insurance coverage; regulatory changes and/or limitations related to the use of natural gas as an energy source; challenging labor market conditions and our ability to attract and retain a qualified workforce; and our ability to execute on our strategies or achieve expectations related to environmental, social and governance matters including as a result of evolving legal, regulatory and other standards, processes, and assumptions, the pace of scientific and technological developments, increased costs, the availability of requisite financing and changes in carbon markets.


	Nine Months Ended Sept. 30
	2026		2025
Operating activities
Net income	$	423	$	320
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	374		348
Deferred income taxes	33		24
Allowance for equity funds used during construction	(44)		(20)
Provision for bad debts	7		6
Changes in operating assets and liabilities:
Accounts receivable	(44)		(66)
Accrued unbilled revenues	(18)		(45)
Inventories	(61)		(51)
Prepayments and other	178		98
Accounts payable	72		40
Net regulatory assets and liabilities	(39)		(16)
Other current liabilities	23		(125)
Pension and other employee benefit obligations	—		(2)
Other, net	1		4
Net cash provided by operating activities	905		515

Investing activities
Utility capital/construction expenditures	(1,538)		(1,106)
Investments in utility money pool arrangement	(105)		(322)
Repayments from utility money pool arrangement	105		322
Net cash used in investing activities	(1,538)		(1,106)

Financing activities
Repayments of short-term borrowings, net	(220)		(145)
Proceeds from issuance of long-term debt, net	1,186		493
Borrowings under utility money pool arrangement	425		518
Repayments under utility money pool arrangement	(487)		(525)
Capital contributions from parent	800		563

Dividends paid to parent	(176)		(271)

Net cash provided by financing activities	1,528		633

Net change in cash, cash equivalents and restricted cash	895		42
Cash, cash equivalents and restricted cash at beginning of period	9		14
Cash, cash equivalents and restricted cash at end of period	$	904	$	56

Supplemental disclosure of cash flow information:
Cash paid for interest (net of amounts capitalized)	$	(103)	$	(100)


Supplemental disclosure of non-cash investing and financing transactions:
Accrued property, plant and equipment additions	$	307	$	132
Inventory transfers to property, plant and equipment	53		73

Allowance for equity funds used during construction	44		20


	Sept. 30, 2026		Dec. 31, 2025
Assets
Current assets
Cash and cash equivalents	$	904	$	9
Accounts receivable, net	179		159
Accounts receivable from affiliates	27		25

Accrued unbilled revenues	163		144
Inventories	92		84
Regulatory assets	40		24
Derivative instruments	64		79

Prepayments and other	131		271
Total current assets	1,600		795

Property, plant and equipment, net	11,846		10,426

Other assets
Regulatory assets	414		376

Operating lease right-of-use assets	310		337

Other	65		64
Total other assets	789		777
Total assets	$	14,235	$	11,998

Liabilities and Equity
Current liabilities

Short-term debt	$	—	$	220
Borrowings under utility money pool arrangement	—		62
Accounts payable	494		281
Accounts payable to affiliates	68		46

Regulatory liabilities	98		118
Taxes accrued	82		74
Accrued interest	78		40
Dividends payable to parent	62		47

Operating lease liabilities	37		36
Other	110		99
Total current liabilities	1,029		1,023

Deferred credits and other liabilities
Deferred income taxes	849		813
Regulatory liabilities	777		772
Asset retirement obligations	187		174

Pension and employee benefit obligations	11		12
Operating lease liabilities	273		301
Other	16		15
Total deferred credits and other liabilities	2,113		2,087

Commitments and contingencies
Capitalization
Long-term debt	5,077		4,046
Long-term debt - related parties	158		—
Common stock — 200 shares authorized of $1.00 par value; 100 shares outstanding at Sept. 30, 2026 and Dec. 31, 2025, respectively	—		—
Additional paid in capital	5,005		4,221
Retained earnings	854		622
Accumulated other comprehensive loss	(1)		(1)
Total common stockholder's equity	5,858		4,842
Total liabilities and equity	$	14,235	$	11,998

SOUTHWESTERN PUBLIC SERVICE COMPANY

Notes to Financial Statements (UNAUDITED)

In the opinion of management, the accompanying unaudited financial statements contain all adjustments necessary to present fairly, in accordance with GAAP, the financial position of SPS as of Sept. 30, 2026 and Dec. 31, 2025; the results of SPS’ operations, including the components of net income and changes in stockholder’s equity for the three and nine months ended Sept. 30, 2026 and 2025; and SPS’ cash flows for the nine months ended Sept. 30, 2026 and 2025.

All adjustments are of a normal, recurring nature, except as otherwise disclosed. Management has also evaluated the impact of events occurring after Sept. 30, 2026 up to the date of issuance of these financial statements. These statements contain all necessary adjustments and disclosures resulting from that evaluation. The Dec. 31, 2025 balance sheet information has been derived from the audited 2025 financial statements included in the SPS Annual Report on Form 10-K for the year ended Dec. 31, 2025.

Notes to the financial statements have been prepared pursuant to the rules and regulations of the SEC for Quarterly Reports on Form 10-Q. Certain information and note disclosures normally included in financial statements prepared in accordance with GAAP on an annual basis have been condensed or omitted pursuant to such rules and regulations. For further information, refer to the financial statements and notes thereto included in the SPS Annual Report on Form 10-K for the year ended Dec. 31, 2025, filed with the SEC on Feb. 25, 2026.

Due to the seasonality of SPS’ electric sales, interim results are not necessarily an appropriate base from which to project annual results.


1. Summary of Significant Accounting Policies

The significant accounting policies set forth in Note 1 to the financial statements in the SPS Annual Report on Form 10-K for the year ended Dec. 31, 2025 appropriately represent, in all material respects, the current status of accounting policies and are incorporated herein by reference.


2. Accounting Pronouncements

Recently Issued

Disaggregation of Income Statement Expenses — In November 2024, the FASB issued ASU 2024-03 – Expense Disaggregation Disclosures (Subtopic 220-40), which requires disclosure of additional detail for certain categories of income statement expenses. The ASU is effective for annual reporting periods beginning after Dec. 15, 2026 and interim reporting periods beginning after Dec. 15, 2027. SPS is evaluating the impact of the new disclosure guidance.

Environmental Credits — In May 2026, the FASB issued ASU 2026-02 – Environmental Credits and Environmental Credit Obligations (Topic 818), which establishes accounting and disclosure requirements for certain environmental instruments, including renewable energy credits and emissions allowances, as well as for compliance obligations that will be satisfied with such credits. The ASU is effective for annual and interim periods beginning after Dec. 15, 2027. SPS is evaluating the impact of the new accounting and disclosure guidance.


3. Selected Balance Sheet Data


(Millions of Dollars)	Sept. 30, 2026		Dec. 31, 2025
Accounts receivable, net
Accounts receivable	$	189	$	169
Less allowance for bad debts	(10)		(10)
Accounts receivable, net	$	179	$	159


(Millions of Dollars)	Sept. 30, 2026		Dec. 31, 2025
Inventories
Materials and supplies	$	84	$	74
Fuel	8		10
Total inventories	$	92	$	84


(Millions of Dollars)	Sept. 30, 2026		Dec. 31, 2025
Property, plant and equipment, net
Electric plant	$	13,312	$	12,210
Plant to be retired (a)	161		162
Construction work in progress	1,667		1,117
Total property, plant and equipment	15,140		13,489
Less accumulated depreciation	(3,294)		(3,063)
Property, plant and equipment, net	$	11,846	$	10,426

(a)Amounts include Tolk Unit 1 and 2. Amounts are reported net of accumulated depreciation.


4. Borrowings and Other Financing Instruments

Short-Term Borrowings

SPS meets its short-term liquidity requirements primarily through the issuance of commercial paper and borrowings under its credit facility and the money pool.

Money Pool — Xcel Energy Inc. and its utility subsidiaries have established a money pool arrangement that allows for short-term investments in and borrowings between the utility subsidiaries. Xcel Energy Inc. may make investments in the utility subsidiaries at market-based interest rates; however, the money pool arrangement does not allow the utility subsidiaries to make investments in Xcel Energy Inc.

Money pool borrowings:


(Amounts in Millions, Except Interest Rates)	Three Months Ended Sept. 30, 2026		Year Ended Dec. 31, 2025
Borrowing limit	$	100	$	100
Amount outstanding at period end	—		62
Average amount outstanding	—		31
Maximum amount outstanding	—		100
Weighted average interest rate, computed on a daily basis	N/A		4.19		%
Weighted average interest rate at period end	N/A		3.88

Commercial Paper — Commercial paper outstanding:


(Amounts in Millions, Except Interest Rates)	Three Months Ended Sept. 30, 2026		Year Ended Dec. 31, 2025
Borrowing limit	$	600	$	600
Amount outstanding at period end	—		220
Average amount outstanding	—		97
Maximum amount outstanding	—		314
Weighted average interest rate, computed on a daily basis	N/A		4.51		%
Weighted average interest rate at period end	N/A		3.93

Revolving Credit Facility — In order to issue its commercial paper, SPS must have a revolving credit facility equal to or greater than the commercial paper borrowing limit and cannot issue commercial paper exceeding available capacity under this credit facility. The credit facility provides short-term financing in the form of notes payable to banks, letters of credit and back-up support for commercial paper borrowings.

SPS has the right to request an extension of the revolving credit facility termination date for two additional one-year periods. All extension requests are subject to majority bank group approval.

As of Sept. 30, 2026, SPS had the following committed revolving credit facility available (in millions of dollars):


Credit Facility (a)		Drawn (b)		Available
$	600	$	—	$	600

(a)Expires in December 2029.

(b)Includes outstanding commercial paper and letters of credit.

All credit facility bank borrowings, outstanding letters of credit and outstanding commercial paper reduce the available capacity under the credit facility. SPS had no direct advances on the credit facility outstanding as of Sept. 30, 2026 and Dec. 31, 2025.

Letters of Credit — SPS uses letters of credit, generally with terms of one year, to provide financial guarantees for certain obligations. At both Sept. 30, 2026 and Dec. 31, 2025, there were no letters of credit outstanding under the credit facility.

Additionally, in March 2026, SPS entered into an uncommitted letter of credit agreement with an overall limit of $150 million to provide additional letter of credit capacity outside of the revolving credit facility. As of Sept. 30, 2026, no letters of credit were outstanding under this continuing letter of credit agreement.

Long-Term Borrowings

During the nine months ended Sept. 30, 2026, SPS issued $650 million in aggregate principal amount of 5.30% First Mortgage Bonds, Series No. 13 due August 15, 2036 and $550 million in aggregate principal amount of 5.875% First Mortgage Bonds, Series No. 14 due August 15, 2056.

Xcel Energy Inc.’s Purchase of SPS’ First Mortgage Bonds — During the nine months ended Sept. 30, 2026, Xcel Energy Inc. purchased $158 million in aggregate principal amounts of SPS First Mortgage Bonds for $112 million. Bonds purchased by Xcel Energy Inc. are reported in long-term debt - related parties on SPS’ balance sheet.


5. Revenues

Revenue is classified by the type of goods/services rendered and market/customer type. SPS’ operating revenues consisted of the following:


	Three Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Major revenue types
Revenue from contracts with customers:
Residential	$	204	$	153
C&I	385		359
Other	19		16
Total retail	608		528
Wholesale	27		33
Transmission	93		84
Other	1		—
Total revenue from contracts with customers	729		645
Alternative revenue and other	9		10
Total revenues	$	738	$	655


	Nine Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Major revenue types
Revenue from contracts with customers:
Residential	$	373	$	362
C&I	877		936
Other	40		39
Total retail	1,290		1,337
Wholesale	76		81
Transmission	263		238
Other	4		2
Total revenue from contracts with customers	1,633		1,658
Alternative revenue and other	24		26
Total revenues	$	1,657	$	1,684


6. Income Taxes

Total income tax expense from operations differs from the amount computed by applying the statutory federal income tax rate to income before income tax expense.

Effective income tax reconciliation:


	Nine Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Income before income taxes (domestic)	$	388	$	303

Federal statutory rate impact	82		64
(Decreases) increases in tax from:
Tax credits
PTCs (a)	(104)		(83)
Other	(1)		(1)
Regulatory adjustments (b)
AFUDC equity	(14)		(5)
Plant related excess deferred taxes	(8)		(10)
Adjustment to tax reform implementation	—		10
Other	2		2
State income taxes, net of federal tax effect (c)	7		9
Other	1		(3)
Income tax benefit	$	(35)	$	(17)


	Nine Months Ended Sept. 30
	2026		2025
Federal statutory rate	21.0	%	21.0	%
(Decreases) increases in tax from:
Tax credits
PTCs (a)	(26.8)		(27.5)
Other	(0.3)		(0.3)
Regulatory adjustments (b)
AFUDC equity	(3.5)		(1.7)
Plant related excess deferred taxes	(1.9)		(3.5)
Adjustment to tax reform implementation	—		3.2
Other	0.7		0.8
State income taxes, net of federal tax effect (c)	1.8		2.8
Other	—		(0.4)
Effective income tax rate	(9.0)	%	(5.6)	%

(a)Wind PTCs (net of transfer discounts) are generally credited to customers (reduction to revenue) and do not materially impact earnings.

(b)Regulatory adjustments primarily relate to the credit of plant related excess deferred taxes to customers for tax rate changes as well as the capitalization of AFUDC equity for book purposes only. Income tax benefits associated with the credit of excess deferred taxes are offset by corresponding revenue reductions.

(c)State and local income taxes are primarily New Mexico state taxes.


7. Fair Value of Financial Assets and Liabilities

Fair Value Measurements

Accounting guidance for fair value measurements and disclosures provides a hierarchical framework for disclosing the observability of the inputs utilized in measuring assets and liabilities at fair value.

•Level 1 — Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. The types of assets and liabilities included in Level 1 are actively traded instruments with observable actual trading prices.

•Level 2 — Pricing inputs are other than actual trading prices in active markets but are either directly or indirectly observable as of the reporting date. The types of assets and liabilities included in Level 2 are typically either comparable to actively traded securities or contracts or priced with models using highly observable inputs.

•Level 3 — Significant inputs to pricing have little or no observability as of the reporting date. The types of assets and liabilities included in Level 3 include those valued with models requiring significant judgment or estimation.

Specific valuation methods include:

Interest rate derivatives — Fair values of interest rate derivatives are based on broker quotes that utilize current market interest rate forecasts.

Commodity derivatives — Methods used to measure the fair value of commodity derivative forwards and options utilize forward prices and volatilities, as well as pricing adjustments for specific delivery locations, and are generally assigned a Level 2 classification. When contracts relate to inactive delivery locations or extend to periods beyond those readily observable on active exchanges, the significance of the use of less observable inputs on a valuation is evaluated, and may result in Level 3 classification.

Electric commodity derivatives held by SPS include transmission congestion instruments, generally referred to as FTRs. FTRs purchased from an RTO are financial instruments that entitle or obligate the holder to monthly revenues or charges based on transmission congestion across a given transmission path.

The values of these instruments are derived from, and designed to offset, the costs of transmission congestion. In addition to overall transmission load, congestion is also influenced by the operating schedules of power plants and the consumption of electricity pertinent to a given transmission path. Unplanned plant outages, scheduled plant maintenance, changes in the relative costs of fuels used in generation, weather and overall changes in demand for electricity can each impact the operating schedules of the power plants on the transmission grid and the value of these instruments.

FTRs are recognized at fair value and adjusted each period prior to settlement. Given the limited observability of certain variables underlying the reported auction values of FTRs, these fair value measurements have been assigned a Level 3 classification.

Net congestion costs, including the impact of FTR settlements, are shared through fuel and purchased energy cost recovery mechanisms. As such, the fair value of the unsettled instruments (i.e., derivative asset or liability) is offset/deferred as a regulatory asset or liability.

Derivative Activities and Fair Value Measurements

SPS enters into derivative instruments, including forward contracts, for trading purposes and to manage risk in connection with changes in interest rates and utility commodity prices.

Changes in Level 3 commodity derivatives:


	Three Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Balance at July 1	$	87	$	184

Settlements (a)	(9)		(39)
Net transactions recorded during the period:
Net losses recognized as regulatory assets and liabilities (a)	(14)		(5)
Balance at Sept. 30	$	64	$	140

	Nine Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Balance at Jan. 1	$	79	$	67
Purchases (a)	151		199
Settlements (a)	(69)		(161)
Net transactions recorded during the period:
Net (losses) gains recognized as regulatory assets and liabilities (a)	(97)		35
Balance at Sept. 30	$	64	$	140

(a)Relates primarily to FTR instruments administered by SPP.

Fair Value of Long-Term Debt

Other financial instruments for which the carrying amount did not equal fair value:


	Sept. 30, 2026				Dec. 31, 2025
(Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Long-term debt, including current portion	$	5,077	$	4,252	$	4,046	$	3,529
Long-term debt - related parties	158		107		—		—

Fair value of SPS’ long-term debt is estimated based on recent trades and observable spreads from benchmark interest rates for similar securities. Fair value estimates are based on information available to management as of Sept. 30, 2026 and Dec. 31, 2025, and given the observability of the inputs, fair values presented for long-term debt were assigned as Level 2.


8. Benefit Plans and Other Postretirement Benefits

Components of Net Periodic Benefit Cost


	Three Months Ended Sept. 30
	2026		2025
(Millions of Dollars)	Pension Benefits
Service cost	$	2	$	1
Interest cost (a)	7		5
Expected return on plan assets (a)	(8)		(8)

Amortization of net loss (a)	1		1

Net periodic benefit cost (credit)	2		(1)
Effects of regulation	—		—
Net benefit cost (credit) recognized for financial reporting	$	2	$	(1)


	Nine Months Ended Sept. 30
	2026		2025
(Millions of Dollars)	Pension Benefits
Service cost	$	6	$	5
Interest cost (a)	18		17
Expected return on plan assets (a)	(23)		(24)

Amortization of net loss (a)	4		2

Net periodic benefit cost (credit)	5		—
Effects of regulation	—		1
Net benefit cost recognized for financial reporting	$	5	$	1

(a)The components of net periodic cost other than the service cost component are included in the line item “Other income, net” in the statements of income or capitalized on the balance sheets as a regulatory asset.

Postretirement plan net periodic benefit cost was immaterial for the three and nine months ended Sept. 30, 2026 and 2025.

In January 2026, contributions totaling $75 million were made across Xcel Energy’s pension plans, $2 million of which was attributable to SPS. Xcel Energy does not expect additional pension contributions during 2026.


9. Commitments and Contingencies

Legal

SPS is involved in various litigation matters in the ordinary course of business. The assessment of whether a loss is probable or is a reasonable possibility, and whether the loss or a range of loss is estimable, often involves a series of complex judgments about future events. Management maintains accruals for losses probable of being incurred and subject to reasonable estimation. Management is sometimes unable to estimate an amount or range of a reasonably possible loss in certain situations, including but not limited to when (1) the damages sought are indeterminate, (2) the proceedings are in the early stages, or (3) the matters involve novel or unsettled legal theories.

In such cases, there is considerable uncertainty regarding the timing or ultimate resolution, including a possible eventual loss. For current proceedings not specifically reported herein, management does not anticipate that the ultimate liabilities, if any, would have a material effect on SPS’ financial statements. Legal fees are generally expensed as incurred.

2024 Smokehouse Creek Fire Complex — On February 26, 2024, multiple wildfires began in the Texas Panhandle, including the Smokehouse Creek Fire and the 687 Reamer Fire, which burned into the perimeter of the Smokehouse Creek Fire (together, referred to herein as the “Smokehouse Creek Fire Complex”). The Texas A&M Forest Service issued incident reports that determined that the Smokehouse Creek Fire and the 687 Reamer Fire were caused by power lines owned by SPS after wooden poles near each fire origin failed. According to the Texas A&M Forest Service’s Incident Viewer and news reports, the Smokehouse Creek Fire Complex burned approximately 1,055,000 acres.

SPS is aware of outstanding complaints and claims representing an estimated 141 plaintiff groups (for example, members of the same family and any associated business, or affiliated corporations). The complaints generally allege that SPS’ equipment ignited the Smokehouse Creek Fire Complex and seek compensation for losses resulting from the fire, asserting various causes of action under Texas law. In addition to seeking compensatory damages, certain of the complaints also seek exemplary damages. The generally applicable two-year statute of limitations for property damage in Texas was reached in March 2026.

In total, SPS has settled 358 complaints and claims related to the fire. SPS has settled claims related to both fatalities believed to be associated with the Smokehouse Creek Fire Complex. Settlements have also been reached with the subrogated insurer plaintiffs as well as the three largest claims asserted from the fire, as measured by fire-impacted acreage. Settlements reached as of the date of this filing total $410 million of expected loss payments, of which $405 million and $374 million were paid through Sept. 30, 2026 and Dec. 31, 2025, respectively.

In December 2025, the Texas Attorney General’s office filed a lawsuit against SPS regarding the Smokehouse Creek Fire, seeking monetary damages and civil penalties for losses to property and wildlife resulting from the fires. In February 2026, pending resolution of the lawsuit, SPS and the Texas Attorney General’s office jointly filed a temporary injunction agreeing to certain distribution pole replacement procedures, largely consistent with current procedures. The Texas Attorney General’s claims are in the discovery phase, which is anticipated to continue into 2027.

Based on the current state of the law and the facts and circumstances available as of the date of this filing, Xcel Energy has recorded $65 million of remaining estimated probable losses for the matter (before available insurance), for a total estimated loss of $475 million. Additionally, approximately $50 million in legal costs have been incurred as of Sept. 30, 2026, resulting in total estimated losses and incurred costs related to this proceeding of $525 million as of Sept. 30, 2026. An estimated liability of $70 million and $56 million for estimated losses is presented in other current liabilities as of Sept. 30, 2026 and Dec. 31, 2025, respectively.

The estimated remaining probable losses for complaints and claims in connection with the Smokehouse Creek Fire Complex (before available insurance) represents the low end of the range for remaining reasonably estimable losses and is subject to change as additional information becomes available. This estimate does not include amounts for (i) potential penalties or fines that may be imposed by governmental entities on Xcel Energy, (ii) exemplary or punitive damages, (iii) compensation claims by federal, state, county and local government entities or agencies, (iv) unsettled compensation claims for damage to oil and gas equipment, or (v) other amounts that are not reasonably estimable.

SPS remains unable to reasonably estimate any additional loss or the upper end of the range because there are a number of unknown facts and legal considerations that may impact the amount of any potential liability, including the nature of demands that may be made. Resolution of remaining complaints and claims associated with the Smokehouse Creek Fire Complex could exceed our insurance coverage of $525 million for the annual policy period and could have a material adverse effect on our financial condition, results of operations or cash flows.

The process for estimating losses associated with potential claims related to the Smokehouse Creek Fire Complex requires management to exercise significant judgment based on a number of assumptions and subjective factors, including the factors identified above and estimates based on currently available information and prior experience with wildfires. As more information becomes available, management estimates and assumptions regarding the potential financial impact of the Smokehouse Creek Fire Complex may change.

Texas law does not apply strict liability in determining an electric utility company’s liability for fire-related damages. For negligence claims under Texas law, a public utility has a duty to exercise ordinary and reasonable care.

Potential liabilities related to the Smokehouse Creek Fire Complex depend on various factors, including the cause of the equipment failure and the extent and magnitude of potential damages, including damages to residential and commercial structures, personal property, vegetation, livestock and livestock feed (including replacement feed), personal injuries and any other damages, penalties, fines or restitution that may be imposed by courts or other governmental entities if SPS is found to have been negligent.

SPS records insurance recoveries when it is deemed probable that recovery will occur, and SPS can reasonably estimate the amount or range. Insurance receivables for estimated losses of approximately $96 million and $195 million, net of recoveries received are presented in prepayments and other current assets as of Sept. 30, 2026 and Dec. 31, 2025, respectively. While SPS plans to seek recovery of all insured losses, it is unable to predict the ultimate amount and timing of such insurance recoveries.

Rate Matters and Other

SPS is involved in various regulatory proceedings arising in the ordinary course of business. Until resolution, typically in the form of a rate order, uncertainties may exist regarding the ultimate rate treatment for certain activities and transactions. Amounts have been recognized for probable and reasonably estimable losses that may result. Unless otherwise disclosed, any reasonably possible range of loss in excess of any recognized amount is not expected to have a material effect on the financial statements.

SPP OATT Upgrade Costs — SPP had not been charging its customers for certain transmission upgrades, even though the SPP OATT had allowed SPP to do so since 2008, and in 2016 the FERC granted SPP’s request to recover previously unbilled charges. SPP subsequently billed SPS approximately $13 million. In 2019, following an appeal by SPS, the FERC reversed its 2016 decision and ordered SPP to refund charges retroactively collected from its transmission customers, including SPS, related to periods before September 2015. In September 2026, SPS received $13 million of resettlements, which is expected to be shared with retail customers along with any additional refunds received, subject to PUCT and NMPRC approvals.

Environmental

New and changing federal and state environmental mandates can create financial liabilities for SPS, which are normally recovered through the regulated rate process.

Site Remediation

Various federal and state environmental laws impose liability where hazardous substances or other regulated materials have been released to the environment. SPS may sometimes pay all or a portion of the cost to remediate sites where past activities of their predecessors or other parties have caused environmental contamination.

Environmental contingencies could arise from various situations, including sites of former MGPs; and third-party sites, such as landfills, for which SPS is alleged to have sent wastes to that site.

MGP, Landfill and Disposal Sites

SPS is investigating, remediating or performing post-closure actions at three historical MGP, landfill or other disposal sites across its service territories, excluding sites that are being addressed under current coal ash regulations (see below).

SPS has recognized an immaterial amount of remaining liabilities for resolution of these issues, however, the final outcome and timing are unknown. In addition, there may be regulatory recovery, insurance recovery and/or recovery from other potentially responsible parties, offsetting a portion of costs incurred.

Water and Waste

Coal Ash Regulation — SPS is subject to the CCR Rule, which imposes requirements for handling, storage, treatment and disposal of coal ash and other solid waste.

In May 2024, final amendments to the CCR Rule were published, widening its scope to include legacy CCR surface impoundments at inactive facilities and previously exempt areas where CCR was placed directly on land at CCR-regulated facilities, including areas of beneficial use.

As a requirement of the CCR Rule, utilities must complete facility evaluations and groundwater sampling around their subject landfills, surface impoundments and certain other areas where coal ash was placed on land.

If certain impacts to groundwater are detected, utilities are required to perform additional groundwater investigations and/or perform corrective actions.

SPS continues to perform site investigation activities related to the CCR Rule, which may result in updates to estimated costs as well as identification of additional required corrective actions.

In February 2026, the EPA issued a final rule amending the CCR Legacy rule. The ruling extends deadlines for various regulatory actions and clarifies previous information regarding implementation of the rule. SPS anticipates impacts to be consistent with prior accruals.

In April 2026, the EPA published a new proposed rule with additional amendments to the CCR Legacy Rule. SPS is evaluating this proposed rule and its potential impacts.

Air

Clean Air Act NOx Allowance Allocations — In June 2023, the EPA published final regulations for ozone under the “Good Neighbor” provisions of the Clean Air Act that established NOx allowance budgets for fossil fuel-fired electric generating facilities in subject states. The final rule establishes a federal plan and applies to generation facilities in Texas, as well as other states outside of our service territory. The EPA later proposed to include New Mexico in the federal plan.

If the rule is implemented, SPS anticipates the annual costs could be significant but recoverable through regulatory mechanisms. However, the plan is subject to both judicial and administrative stays while the EPA reconsiders the rule. In January 2026, the EPA proposed Phase 1 of its reconsideration of the “Good Neighbor” rule. SPS will continue to evaluate any additional phases of the reconsideration of this rule as they are published by the EPA.

Leases

PPA operating lease payments are included in electric fuel and purchased power, and expense for other operating leases is included in O&M expense and electric fuel and purchased power.

Components of lease expense:


	Three Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Operating leases
PPA capacity payments	$	13	$	10
Other operating leases (a)	1		1
Total operating lease expense	$	14	$	11


	Nine Months Ended Sept. 30
(Millions of Dollars)	2026		2025
Operating leases
PPA capacity payments	$	35	$	28
Other operating leases (a)	3		3
Total operating lease expense	$	38	$	31

(a)Includes immaterial short-term lease expense.

Commitments under operating leases as of Sept. 30, 2026:


(Millions of Dollars)	PPA Operating Leases		Other Operating Leases		Total Operating Leases
Total minimum obligation	$	324	$	40	$	364
Interest component of obligation	(46)		(8)		(54)
Present value of minimum obligation	$	278	$	32	310
Less current portion					(37)
Noncurrent operating lease liabilities					$	273

Variable Interest Entities

Under certain PPAs, SPS purchases power from IPPs for which SPS is required to reimburse fuel costs, or to participate in tolling arrangements under which SPS procures the natural gas required to produce the energy that it purchases. SPS has determined that certain IPPs are VIEs. SPS is not directly subject to risk of loss from the operations of these entities, and no additional significant financial support is required other than contractual payments for energy and capacity.

In addition, certain solar PPAs provide an option to purchase emission allowances or sharing provisions for specified transactions. These specific PPAs create a variable interest in the IPP.

SPS evaluated each of these VIEs for possible consolidation and concluded that these entities are not required to be consolidated in its financial statements because it does not have the power to direct the activities that most significantly impact the entities’ economic performance.

SPS had 1,197 MW of capacity under long-term PPAs at both Sept. 30, 2026 and Dec. 31, 2025 with entities that have been determined to be VIEs. These agreements have expiration dates through 2048.


10. Segment Information

Segment information:


	Three Months Ended Sept. 30
	2026		2025
(Millions of Dollars)	Regulated electric utility		Regulated electric utility
Operating revenues	$	738	$	655
Electric fuel and purchased power	216		208
O&M expenses	99		86
Depreciation and amortization	128		118
Other segment expenses, net	12		18
Interest charges and financing costs	58		45
Income tax expense	9		20
Net income	$	216	$	160


	Nine Months Ended Sept. 30
	2026		2025
(Millions of Dollars)	Regulated electric utility		Regulated electric utility
Operating revenues	$	1,657	$	1,684
Electric fuel and purchased power	432		582
O&M expenses	270		257
Depreciation and amortization	372		345
Other segment expenses, net	47		64
Interest charges and financing costs	148		133
Income tax benefit	(35)		(17)
Net income	$	423	$	320

Other segment expenses, net, includes conservation and DSM expenses, taxes (other than income taxes), other income, net and AFUDC - equity.


ITEM 2 — MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Discussion of financial condition and liquidity for SPS is omitted per conditions set forth in General Instructions H(1)(a) and (b) of Form 10-Q for wholly owned subsidiaries. It is replaced with management’s narrative analysis of the results of operations set forth in General Instruction H(2)(a) of Form 10-Q for wholly owned subsidiaries (reduced disclosure format).

Non-GAAP Financial Measures

The following discussion includes financial information prepared in accordance with GAAP, as well as certain non-GAAP financial measures such as ongoing earnings. Generally, a non-GAAP financial measure is a measure of a company’s financial performance, financial position or cash flows that adjusts measures calculated and presented in accordance with GAAP.

SPS’ management uses non-GAAP measures for financial planning and analysis, for reporting of results to the Board of Directors, in determining performance-based compensation, and communicating its earnings outlook to analysts and investors. Non-GAAP financial measures are intended to supplement investors’ understanding of our performance and should not be considered alternatives for financial measures presented in accordance with GAAP. These measures are discussed in more detail below and may not be comparable to other companies’ similarly titled non-GAAP financial measures.

Earnings Adjusted for Certain Items (Ongoing Earnings)

Ongoing earnings reflect adjustments to GAAP earnings (net income) for certain items. We use this non-GAAP financial measure to evaluate and provide details of SPS’ core earnings and underlying performance.

We believe this measurement is useful to investors to evaluate the actual and projected financial performance and contribution of SPS. For the three and nine months ended Sept. 30, 2026 and 2025, there were no such adjustments to GAAP earnings and therefore GAAP earnings equal ongoing earnings.


Results of Operations

SPS’ net income was $423 million for the nine months ended Sept. 30, 2026 compared with $320 million for the prior year. The change was driven by sales growth, weather, and higher recovery of electric infrastructure investments, partially offset by increased depreciation expense and interest charges.

Electric Revenue

Electric revenues are impacted by fluctuations in the price of natural gas and coal, regulatory outcomes, market prices and seasonality. In addition, electric customers receive a credit for PTCs generated, which reduce electric revenue and income taxes.


(Millions of Dollars)	Nine Months Ended Sept. 30, 2026 vs. 2025
Recovery of lower cost of electric fuel and purchased power	$	(157)
PTCs flowed back to customers (offset by lower ETR)	(19)

Sales and demand	54
Non-fuel riders	41
Estimated impact of weather	29
Wholesale transmission	25

Total decrease	$	(27)

Electric Fuel and Purchased Power — Expenses incurred for electric fuel and purchased power are impacted by fluctuations in market prices of natural gas and coal, as well as seasonality. These incurred expenses are generally recovered through various regulatory recovery mechanisms. As a result, changes in these expenses are largely offset in operating revenues and have minimal earnings impact.

Electric fuel and purchased power expenses decreased $150 million year-to-date. The decrease is primarily due to decreased regional commodity prices.

Non-Fuel Operating Expense and Other Items

Depreciation and Amortization — Depreciation and amortization increased $27 million year-to-date, largely due to system investment.

Interest Charges — Interest charges increased $25 million year-to-date, largely due to higher debt levels.

AFUDC, Equity and Debt — AFUDC increased $34 million year-to-date, largely due to system investment.


Public Utility Regulation and Other

The FERC and state and local regulatory commissions regulate SPS. SPS is subject to rate regulation by state utility regulatory agencies, which have jurisdiction with respect to the rates of electric distribution companies in New Mexico and Texas.

Rates are designed to recover plant investment, operating costs and an allowed return on investment. SPS requests changes in utility rates through commission filings. Changes in operating costs can affect SPS’ financial results, depending on the timing of rate cases and implementation of final rates. Other factors affecting rate filings are new investments, sales, conservation and demand side management efforts and the cost of capital.

In addition, the regulatory commissions authorize the ROE, capital structure and depreciation rates in rate proceedings. Decisions by these regulators can significantly impact SPS’ results of operations and credit quality.

Except to the extent noted below, the circumstances set forth in Public Utility Regulation included in Item 7 of SPS’ Annual Report on Form 10-K for the year ended Dec. 31, 2025, appropriately represent, in all material respects, the current status of public utility regulation and are incorporated herein by reference.

Pending and Recently Concluded Regulatory Proceedings

2025 New Mexico Electric Rate Case — In November 2025, SPS filed an electric rate case with the NMPRC. As updated in March 2026, SPS requested a revenue increase of $168 million (16.0%). The request was based on a future test year period ending Nov. 30, 2027, a ROE of 10.5%, an equity ratio of 56% and retail rate base of $3.9 billion.

In June 2026, SPS, New Mexico Department of Justice, New Mexico Large Customer Group and various other parties filed a comprehensive non-unanimous stipulation. NMPRC Staff opposes certain components of the stipulation.

Terms of the stipulation include:

•Base rate revenue increase of $90 million (7.7% total, or an annual average of 2.4% since the last rate case), based on the filed future test year.

•ROE of 9.5%.

•Equity ratio of 54.70%.

A hearing on the non-unanimous stipulation took place in July 2026. On Oct. 23, 2026, SPS received the Hearing Examiners’ Report, which recommended NMPRC approval with certain minor modifications. Any exceptions are required to be filed by Nov. 2, 2026. An NMPRC decision is anticipated in the fourth quarter of 2026, with implementation of rates expected in December 2026.

SPS 2023 Integrated Resource Plan — In October 2023, SPS filed its IRP with the NMPRC, which supports projected load growth and increasing reliability requirements, and secures replacement energy and capacity for retiring resources.

In July 2024, SPS issued a RFP, seeking approximately 3,200 MW of accredited capacity by 2030. In July 2025, the portfolio selection report was publicly filed with the NMPRC. SPS filed for approval of approximately 2,800 MW of accredited resources, including approximately 4,000 MW of nameplate capacity company owned resources and approximately 500 MW of nameplate capacity PPAs. SPS has received NMPRC approval of the CCN filings for the assets. In October 2026, the PUCT approved the self build portfolio with the exception of the Plant X battery storage project. The approval includes performance and cost cap guarantees. SPS will be seeking rehearing on this decision.

In October 2025, SPS issued a RFP to solicit 870 MW of accredited capacity through 2032 (approximately 1,500 MW to 3,000 MW nameplate capacity, or more depending on resource mix), with additional resources to be evaluated to meet the New Mexico RPS compliance need. The portfolio selection report was publicly filed with the NMPRC in July 2026, with a preferred portfolio that contains approximately 2,600 MW of nameplate capacity company owned resources and approximately 1,300 MW of nameplate capacity PPAs. Project CCNs are expected to be filed in early 2027.

SPS 2026 IRP — In October 2026, SPS filed its 2026 IRP with the NMPRC, which demonstrates projected load growth and shows energy and capacity resource portfolio needs under three different load forecast scenarios. Based on these forecast scenarios and the progress of existing resource acquisition processes, SPS' initial IRP modeling identified resource needs of approximately 2,000 MW of incremental accredited capacity by 2034. Following NMPRC action on the IRP, SPS expects to issue a competitive all-source solicitation for new generation in mid-2027 with project selection expected in early 2028.

Other

Tariffs, Trade Complaints and Federal Actions

Several trade cases related to anti-dumping and countervailing duty investigations are ongoing and we continue to monitor the potential impacts of these cases.

Executive orders have been issued imposing new global and country-specific tariffs on many imports, which may impact our procurement and development activities. Additionally, executive orders and actions from government agencies may impact the permitting of wind and solar facilities and the retirement of coal facilities.

SPS continues to assess the impacts of these tariffs, executive orders, trade complaints and federal policies on its business, including company owned projects and PPAs. SPS may seek regulatory relief, if required, in its jurisdictions.

Continued and/or further policy actions or other restrictions, disruptions in imports from key suppliers, or any new trade complaint could impact viability, timelines and costs of various projects and PPAs.

Large Load/Data Center Tariffs — In the third quarter of 2026, SPS filed proposed tariff modifications in Texas to address new and certain existing loads over 75 MW. The proposed tariff includes a minimum initial term of 15 years, minimum bill provisions, termination and exit fees, and credit requirements. SPS expects to propose an incremental cost test applicable to this tariff in its next rate case. A decision is expected in 2027.

SPS expects to file similar tariff modifications in New Mexico in the fourth quarter of 2026.

Environmental Regulation

Throughout 2025 and 2026, the EPA has announced various regulatory actions addressing a wide range of environmental regulations. SPS will continue to monitor proposed rules as they move toward final action. Additionally, any other amendments and changes to rules will be evaluated as proposed by the EPA.

Clean Air Act

Power Plant Greenhouse Gas Regulations — In April 2024, the EPA published final rules addressing greenhouse gas emissions from the power sector. The rules establish requirements for new natural gas-fired generating units and emission guidelines for existing coal and certain natural gas generation. In September 2026, the EPA issued a final rule repealing portions of the 2024 rules, including carbon capture and storage (CCS) standards. The EPA simultaneously proposed to rescind the remaining power plant GHG regulations.

Endangerment Finding — In February 2026, the EPA issued a final rule repealing the 2009 Endangerment Finding and associated regulations addressing GHG emissions from new motor vehicles and engines under the Clean Air Act. SPS will monitor any additional actions and evaluate the impacts.

Emerging Contaminants of Concern

PFAS are man-made chemicals that are widely used in consumer products and can persist and bio-accumulate in the environment. SPS does not manufacture PFAS, but because PFAS are so ubiquitous in products and the environment, it may impact our operations.

In June 2024, the EPA finalized a rule that designated certain PFAS as hazardous substances under CERCLA. In July 2024, the EPA finalized another rule that set enforceable drinking water standards for certain PFAS.

Potential costs for these rules and any additional proposed regulations related to PFAS are uncertain and will be determined on a site specific basis where applicable. If costs are incurred, SPS believes the costs would be recoverable through rates based on prior state commission practices.


ITEM 4 — CONTROLS AND PROCEDURES

Disclosure Controls and Procedures

SPS maintains a set of disclosure controls and procedures designed to ensure that information required to be disclosed in reports that it files or submits under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms.

In addition, the disclosure controls and procedures ensure that information required to be disclosed is accumulated and communicated to management, including the CEO and CFO, allowing timely decisions regarding required disclosure.

As of Sept. 30, 2026, based on an evaluation carried out under the supervision and with the participation of SPS’ management, including the CEO and CFO, of the effectiveness of its disclosure controls and procedures, the CEO and CFO have concluded that SPS’ disclosure controls and procedures were effective.

Internal Control Over Financial Reporting

No changes in SPS’ internal control over financial reporting occurred during the most recent fiscal quarter that materially affected, or are reasonably likely to materially affect, SPS’ internal control over financial reporting.

PART II — OTHER INFORMATION


ITEM 1 — LEGAL PROCEEDINGS

Management is sometimes unable to estimate an amount or range of a reasonably possible loss in certain situations, including but not limited to, when (1) the damages sought are indeterminate, (2) the proceedings are in the early stages or (3) the matters involve novel or unsettled legal theories. In such cases, there is considerable uncertainty regarding the timing or ultimate resolution of such matters, including a possible eventual loss.

For current proceedings not specifically reported herein, management does not anticipate that the ultimate liabilities, if any, would have a material effect on SPS’ financial statements. Legal fees are generally expensed as incurred.

See Note 9 to the financial statements and Part I Item 2 for further information.


ITEM 1A — RISK FACTORS

SPS’ risk factors are documented in Item 1A of Part I of its Annual Report on Form 10-K for the year ended Dec. 31, 2025, which is incorporated herein by reference. There have been no material changes from the risk factors previously disclosed in the Form 10-K.


ITEM 5 — OTHER INFORMATION

None of the Company’s directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement during the Company’s fiscal quarter ended Sept. 30, 2026.


Class						Outstanding at October 29, 2026
Common Stock, $1.00 par value						100 shares


PART I	FINANCIAL INFORMATION
Item 1 —	Financial Statements (unaudited)	4
	Statements of Income	4
	Statements of Cash Flows	5
	Balance Sheets	6
	Statements of Common Stockholder’s Equity	7
	Notes to Financial Statements	8
Item 2 —	Management’s Discussion and Analysis of Financial Condition and Results of Operations	15
Item 4 —	Controls and Procedures	17

PART II	OTHER INFORMATION
Item 1 —	Legal Proceedings	17
Item 1A —	Risk Factors	17
Item 5 —	Other Information	17
Item 6 —	Exhibits	18

SIGNATURES		19


	Common Stock Issued					Retained Earnings		Accumulated Other Comprehensive Loss		Total Common Stockholder's Equity
	Shares	Par Value		Additional Paid In Capital
Three Months Ended Sept. 30, 2026 and 2025
Balance at June 30, 2025	100	$	—	$	4,200	$	647	$	(1)	$	4,846
Net income						160				160

Common dividends declared to parent						(163)				(163)
Contributions of capital by parent				2						2
Balance at Sept. 30, 2025	100	$	—	$	4,202	$	644	$	(1)	$	4,845

Balance at June 30, 2026	100	$	—	$	4,827	$	700	$	(1)	$	5,526
Net income						216				216

Common dividends declared to parent						(62)				(62)
Contributions of capital by parent				178						178
Balance at Sept. 30, 2026	100	$	—	$	5,005	$	854	$	(1)	$	5,858

	Common Stock Issued					Retained Earnings		Accumulated Other Comprehensive Loss		Total Common Stockholder's Equity
	Shares	Par Value		Additional Paid In Capital
Nine Months Ended Sept. 30, 2026 and 2025
Balance at Dec. 31, 2024	100	$	—	$	3,647	$	592	$	(1)	$	4,238
Net income						320				320

Dividends declared to parent						(268)				(268)
Contributions of capital by parent				555						555
Balance at Sept. 30, 2025	100	$	—	$	4,202	$	644	$	(1)	$	4,845

Balance at Dec. 31, 2025	100	$	—	$	4,221	$	622	$	(1)	$	4,842
Net income						423				423

Dividends declared to parent						(191)				(191)
Contributions of capital by parent				784						784

Balance at Sept. 30, 2026	100	$	—	$	5,005	$	854	$	(1)	$	5,858

See Notes to Financial Statements


Exhibit Number	Description	Report or Registration Statement	Exhibit Reference
3.01*	Amended and Restated Articles of Incorporation, dated Sept. 30, 1997	SPS Form 10-Q for the quarter ended Sept. 30, 2017	3.01
3.02*	Amended and Restated Bylaws of SPS, dated Jan. 25, 2019	SPS Form 10-K for the year ended Dec. 31, 2018	3.02
31.01	Principal Executive Officer’s certifications pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.02	Principal Financial Officer’s certifications pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.01	Certifications pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS	Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document
101.SCH	Inline XBRL Schema
101.CAL	Inline XBRL Calculation
101.DEF	Inline XBRL Definition
101.LAB	Inline XBRL Label
101.PRE	Inline XBRL Presentation
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)


		Southwestern Public Service Company

October 29, 2026	By:	/s/ MELISSA L. OSTROM
		Melissa L. Ostrom
		Senior Vice President, Controller
		(Principal Accounting Officer)


	By:	/s/ BRIAN J. VAN ABEL
		Brian J. Van Abel
		Executive Vice President, Chief Financial Officer
		(Principal Financial Officer)


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


Southwestern Public Service Company
(Exact Name of Registrant as Specified in its Charter)


(303)			571-7511
(Registrant’s Telephone Number, Including Area Code)


N/A
(Former name, former address and former fiscal year, if changed since last report)


Pre-Tax Fair Value (Losses) Gains Recognized During the Period in:
(Millions of Dollars)	Regulatory Assets and Liabilities
Three Months Ended Sept. 30, 2026
Other derivative instruments:
Electric commodity	$	(11)
Total	$	(11)

Three Months Ended Sept. 30, 2025
Other derivative instruments:
Electric commodity	$	2
Total	$	2

Nine Months Ended Sept. 30, 2026
Other derivative instruments:
Electric commodity	$	(82)
Total	$	(82)

Nine Months Ended Sept. 30, 2025
Other derivative instruments:
Electric commodity	$	21
Total	$	21


Pre-Tax Losses (Gains) Reclassified into Income During the Period from:
(Millions of Dollars)	Regulatory Assets and Liabilities
Three Months Ended Sept. 30, 2026



Other derivative instruments:

Electric commodity	$	18	(a)
Total	$	18

Three Months Ended Sept. 30, 2025



Other derivative instruments:

Electric commodity	$	2	(a)
Total	$	2

Nine Months Ended Sept. 30, 2026





Electric commodity	$	39	(a)
Total	$	39

Nine Months Ended Sept. 30, 2025



Other derivative instruments:

Electric commodity	$	(27)	(a)
Total	$	(27)