Here are a few analogies to describe MGE Energy (MGEE):

• Like Consolidated Edison (Con Edison), but serving parts of Wisconsin with electricity and natural gas instead of New York.
• Like your local Comcast or Verizon Fios, but instead of delivering internet and TV, it delivers electricity and natural gas to homes and businesses in its service area.
• Like Waste Management (WM), but instead of managing waste, it manages the delivery of essential electricity and natural gas services to homes and businesses.

• Electric Utility Services: Provides electricity generation, transmission, and distribution to residential, commercial, and industrial customers.
• Natural Gas Utility Services: Distributes and sells natural gas to residential, commercial, and industrial customers.

MGE Energy (symbol: MGEE) is a utility holding company whose primary subsidiary, Madison Gas and Electric (MGE), provides electricity and natural gas services in south-central Wisconsin. As a utility, it sells directly to end-users within its defined service territory rather than primarily to a few other companies as major corporate customers.

MGE Energy's customer base is categorized as follows:

• Residential Customers: This category includes individual households and residences that use electricity and/or natural gas for heating, cooling, lighting, and appliances. These are individuals who live in single-family homes, apartments, and other residential dwellings.
• Commercial Customers: This segment comprises a wide range of businesses, organizations, and institutions within MGE's service area. This typically includes retail stores, offices, restaurants, schools, hospitals, small to medium-sized businesses, and government buildings that consume energy for their operations.
• Industrial Customers: This category consists of larger manufacturing facilities, industrial plants, and other major energy-intensive businesses that require substantial amounts of electricity and/or natural gas for their production processes.

• NextEra Energy, Inc. (NYSE: NEE)

Jeffrey M. Keebler Chairman, President and Chief Executive Officer

Mr. Keebler has served as President and Chief Executive Officer of MGE Energy and its subsidiary Madison Gas and Electric (MGE) since March 1, 2017, and became Chairman of the Boards of both companies on October 1, 2018. He has over 25 years of experience with MGE, having started in 1995 as a gas rate analyst. Prior to his current role, he held the position of Senior Vice President of Energy Supply and Planning. Mr. Keebler's career has been entirely within MGE and MGE Energy; he has not founded, managed, or sold other companies, nor does he have a pattern of managing companies backed by private equity firms.

Jared J. Bushek Vice President, Chief Financial Officer and Treasurer

Mr. Bushek has served as Vice President, Chief Financial Officer, and Treasurer of MGE Energy since 2020. He joined MGE in 2010. Prior to his appointment as CFO, he was the Assistant Vice President and Chief Information Officer, a role he held since 2015. Mr. Bushek's career appears to be primarily with MGE Energy; there is no information indicating he founded, managed, or sold other companies, or has a pattern of managing companies backed by private equity firms.

Cari Anne Renlund Vice President, General Counsel and Secretary

Ms. Renlund has been a Vice President and General Counsel at Madison Gas and Electric Company since November 2015. She also serves as Secretary of the company.

Lynn K. Hobbie Executive Vice President of Marketing & Communications

Ms. Hobbie has been Executive Vice President of Marketing & Communications at Madison Gas and Electric Company since 2017. She has been with the company since 1985.

James J. Lorenz Vice President of Energy Operations

Mr. Lorenz serves as Vice President of Energy Operations for MGE Energy. He has been with Madison Gas and Electric Company since 1987.

The key risks to MGE Energy (symbol: MGEE) primarily stem from its highly regulated operating environment, the significant transition towards renewable energy, and the inherent volatility in commodity markets.

1. Regulatory and Policy Changes, including Rate Case Uncertainty: As a regulated utility, MGE Energy's operations, costs, and ability to recover investments and generate earnings are heavily influenced by state and federal government regulations. Changes in environmental laws, particularly those related to greenhouse gas emissions and climate change, can lead to increased costs and liabilities. A significant aspect of this risk is rate case uncertainty, where decisions by regulatory bodies like the Public Service Commission of Wisconsin (PSCW) on rate increases directly impact the company's financial performance and its ability to recover capital investments.
2. Transition to Renewable Energy and Environmental Pressures: MGE Energy is committed to transitioning its energy mix away from fossil fuels, notably coal, towards renewable sources with a goal of net-zero carbon electricity by 2050. This transition involves substantial capital expenditures for new renewable energy projects, which carry risks such as cost overruns and delays. There are also financial implications associated with the retirement or transition of existing coal-fired generation assets, and the ongoing need to comply with evolving environmental regulations related to decarbonization.
3. Commodity Price Volatility: MGE Energy is exposed to fluctuations in the market prices of key commodities such as natural gas, electricity, and coal. Variations in these prices can directly impact the company's operational costs and overall financial performance.

The increasing adoption of decentralized energy generation and distributed energy resources (DERs), such as rooftop solar panels and battery storage systems, by residential and commercial customers. This trend has the potential to reduce reliance on MGE Energy's centralized generation and grid infrastructure, leading to lower demand for grid-supplied electricity and gas, impacting revenue streams, and challenging the traditional utility business model centered on large-scale power production and delivery.

For MGE Energy (symbol: MGEE), the addressable markets for their main products and services are defined by their regulated utility service territory in south-central and western Wisconsin.

• Electric Utility Services: MGE Energy, through its subsidiary Madison Gas and Electric (MGE), provides electricity to approximately 167,000 customers in Dane County and other municipalities in southern Wisconsin. The population served by their electric utility is approximately 369,000.

• Natural Gas Utility Services: MGE distributes natural gas to around 178,000 customers across seven counties in south-central and western Wisconsin, including Columbia, Crawford, Dane, Iowa, Juneau, Monroe, and Vernon counties. The population in their natural gas service area totals approximately 510,000.

MGE Energy (MGEE) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and factors:

1. Strategic Investments in Renewable Energy and Battery Storage: MGE Energy is actively investing in new renewable generation projects, including solar and battery storage facilities. Projects such as the Darien Solar Project and the Paris Battery Energy Storage System (BESS) became operational in 2025, contributing to asset growth and increased electric earnings. The company aims for significant carbon reduction, aligning with customer demand and regulatory trends favoring clean energy, which necessitates ongoing capital deployment in these areas.
2. Rate Base Investment Growth and Regulatory-Approved Rate Increases: Revenue growth is significantly influenced by rate base investment growth. MGE Energy has received regulatory approval for rate increases, including a 2.63% increase for electric and 1.32% for gas in 2025. Furthermore, there are pending regulatory approvals for proposed rate increases for 2026 (4.89% electric and 2.33% gas) and 2027 (4.33% electric and 2.16% gas), which are expected to directly impact future revenues.
3. Grid Modernization and Technological Innovation: The company is committed to technological innovation, including significant investments in grid modernization and smart grid solutions. These initiatives enhance service delivery, customer satisfaction, and operational efficiency. MGE Energy also makes venture capital investments in early-stage companies focused on smart technologies, distributed energy resources, and electrification, which contribute to non-utility earnings.
4. Customer Growth and Increased Sales Volumes: MGE Energy serves a substantial customer base, and future load growth is a factor influencing its financial results. Dane County, within MGE Energy's service territory, is projected for strong population growth, which is expected to support the company's capital spending outlook and lead to increased electric and gas sales volumes.

Share Issuance

• MGE Energy operates a Direct Stock Purchase and Dividend Reinvestment Plan, allowing shareholders and others to purchase common stock directly from the company or in the open market.
• Average shares outstanding increased slightly by 0.1% (46,730 shares) from 36,163,370 in 2023 to 36,210,100 in 2024.
• Shares outstanding at year-end 2024 were 36,489,641, reflecting an increase of 0.9% (326,271 shares) from 2023.

Outbound Investments

• MGE Energy maintains a 3.6% equity ownership interest in American Transmission Co. (ATC) and plans for additional investments through voluntary capital calls.
• ATC is projected to have approximately $5.4 billion in capital expenditures from 2025-2029 for generator interconnections, asset renewal, and the MISO Long Range Transmission Plan.
• The company makes strategic venture capital investments in early-stage companies focused on smart technologies and distributed energy resources.

Capital Expenditures

• MGE Energy experienced a significant surge in capital expenditures, increasing by 55.8% to $255.6 million for the nine months ended September 30, 2025.
• The company has a forecasted capital plan of $1.96 billion between 2025 and 2030, with more than half of projected capital expenditures from 2025-2029 (approximately $850 million) dedicated to generation investments for carbon reduction goals.
• Primary focus of capital expenditures is on renewable generation projects, including the acquisition of 25 MW of West Riverside and the Red Barn wind farm (2023), and future projects like Darien Solar Energy Center (solar online early 2025, battery expected 2026), Paris Solar-Battery Park (solar online late 2024, battery online 2025), and the Nine Springs Solar array (construction expected 2026, operational 2027).