Avista Shares Rise 5% After Third-Quarter Earnings
The utility reported $49 million in quarterly net income while pausing new large data center applications.
Updated on Nov. 4, 2026 in Corporate Finance
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Should your local utility keep pausing new large data center projects?
Avista Corp. shares rose 5% after the company reported third-quarter earnings, with net income of $49 million for the quarter ending Sept. 30. Revenues reached $421 million, up from $403 million in the same quarter last year, though the utility business slightly missed Wall Street expectations.
Why it matters
Around a third of Avista's profit came from gains on a private investment that went public, a reliance that shapes how investors read its results. The company's pause on new large data center projects, following public pushback and a city moratorium in Spokane, signals how local opposition can reshape utility growth plans in Washington.
Avista reported $421 million in quarterly revenue, up from $403 million a year earlier, and $49 million in net income for the quarter ending Sept. 30. The company's stock had shed nearly 11% over August and September before the earnings report lifted shares 5%.
The players
Avista Corp.
A Spokane-based utility company serving electric and natural gas customers across the Pacific Northwest.
Heather Rosentrater
The chief executive officer of Avista Corp., who has led the company's decisions on large-load customer agreements.
Washington Utilities and Transportation Commission
The state agency that regulates investor-owned utilities in Washington and will decide Avista's pending rate case.
The details
Avista CEO Heather Rosentrater said the company will not move forward with a new large data center customer unless it is confident that customer will cover its own costs. The pause followed protests and public pushback over a prospective deal, and it respects the moratorium in place in the City of Spokane and Spokane County.
Timeline
August 2026: Avista stock began shedding value, falling nearly 11% over August and September.
September 2026: The Federal Reserve raised rates and Avista paused processing new large data center applications.
Nov. 4, 2026: Avista reported third-quarter earnings and shares rose 5%.
Dec. 15, 2026: The Washington Utilities and Transportation Commission is scheduled to decide Avista's rate case.
Market Dynamics
Avista's pause on large data center projects comes as Wall Street expects Democratic wins to slow the pace of data-center buildout nationally. The Spokane moratorium shows how local regulatory limits can shape a utility's capital plans even as demand for power grows.
Investors holding Avista shares face a company whose earnings depend partly on a single private investment's gains, so future quarters may swing with that holding. Utility customers in the region should watch the December rate decision, since the commission's ruling sets what customers pay.
The takeaway
Utility earnings can be lifted by one-time gains, so investors should look at core operating results when judging a company's health. Local moratoriums on large power users are becoming a factor that utilities must plan around alongside rate cases and demand growth.
What happens next
The Washington Utilities and Transportation Commission is scheduled to decide Avista's rate case by Dec. 15, which will determine how the company's customers are billed going forward.
Further reading
Explore more coverage in Corporate Finance for context on how utilities and their investors are responding to shifting energy demand.
Source note: This article includes information reported by The Spokesman Review.
Live Poll
Should your local utility keep pausing new large data center projects?
