Talen Energy Corp. reported a GAAP net loss of $219 million for the full year 2025, while adjusted EBITDA reached $1.035 billion and adjusted free cash flow stood at $524 million. The results reflect the impact of the company’s recent acquisitions of Freedom Generating Station and Guernsey Power Station, which were completed in November 2025 and added roughly 2.8 GW of efficient gas‑fired capacity to the portfolio.
The acquisitions have already begun to lift cash‑flow generation, with the new assets contributing to the year‑end adjusted EBITDA and free‑cash‑flow figures. The added capacity also expands dispatch flexibility in the PJM market, supporting Talen’s data‑center‑focused strategy and the broader “Talen Flywheel” approach to scaling generation assets for cash‑flow growth.
Talen reiterated its 2026 guidance, maintaining the adjusted EBITDA range of $1.75 billion to $2.05 billion and the adjusted free‑cash‑flow range of $980 million to $1.18 billion. CEO Mark McFarland said, "We are well positioned to continue executing our Talen Flywheel strategy in 2026 and remain focused on creating additional value through free cash flow per share growth." CFO Cole Muller added, "All of this remains consistent with our Investor Day guidance and does not include any contribution from the pending Cornerstone acquisition."
Investors remained cautious after the release, citing valuation concerns despite the strong financial performance. The market reaction was tempered by the fact that the company’s guidance for 2026 remains unchanged, and analysts noted that the company’s liquidity position—over $2 billion in cash—provides a buffer for future investments.
The results reinforce Talen’s strategic pivot toward high‑growth data‑center power markets and underscore the effectiveness of its acquisition strategy. With the new capacity in place, the company is positioned to capture additional dispatch opportunities and strengthen its competitive stance in the PJM region, while the reaffirmed guidance signals confidence in continued execution of the flywheel strategy.
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