DTE 10-K & 10-Q changes, risk factors and insider trading

DTE Energy's ability to utilize tax credits may be limited. To promote U.S. climate initiatives, the Internal Revenue Code provides tax credits as an incentive for taxpayers to produce energy from alternative sources. The Registrants have generated tax credits from renewable energy generation and DTE Energy has generated tax credits from renewable gas recovery,recovery and reduced emission fuel, and gas production operations.fuel. If the Registrants' tax credits were disallowed in whole or in part as a result of an IRS audit or changes in tax law, there could be additional tax liabilities owed for previously recognized tax credits that could significantly impact the Registrants' earnings and cash flows.

Construction and capital improvements to the Registrants' power facilities and DTE Energy's distribution systems subject them to risk. The Registrants are managing ongoing, and planning future, significant construction and capital improvement projects at the Registrants' multiple power generation and distribution facilities and at DTE Energy's gas distribution system. Among others, these projects include construction and operation of energy facilities and storage capacity to serve one or more data centers in the Registrants' service territory. Many factors that could cause delays or increased prices for these complex projects are beyond the Registrants' control, including the cost and availability of materials and skilled labor, subcontractor performance, timing and issuance of necessary permits or approvals (including required certificates from regulatory agencies), construction disputes, impediments to acquiring rights-of-way or land rights on a timely basis and on acceptable terms, cost overruns, and weather conditions. Failure to complete these projects on schedule and on budget for any reason could adversely affect the Registrants' financial performance, operations, or expected investment returns at the affected facilities, businesses and development projects.

The supply and/or price of energy commodities and/or related services may impact the Registrants' financial results. The Registrants are dependent on natural gas and coal for much of their electrical generating capacity as well as uranium for their nuclear operations. DTE Energy's access to natural gas supplies is critical to ensure reliability of service for utility gas customers. DTE Energy's non-utility businesses are also dependent upon supplies and prices of energy commodities and services. Price fluctuations and changes in transportation costs, driven by inflation or other factors, as well as fuel supply disruptions, could have a negative impact on the amounts DTE Electric charges utility customers for electricity and DTE Gas charges utility customers for gas, and on the profitability of DTE Energy's non-utility businesses. The Registrants' hedging strategies and regulatory recovery mechanisms may be insufficient to mitigate the negative fluctuations in commodity supply prices at their utility or DTE Energy's non-utility businesses, and the Registrants' financial performance may therefore be negatively impacted by price fluctuations.

Regional, national, and international economic conditionsconditions, and market developments can have an unfavorable impact on the Registrants. The Registrants' utility and DTE Energy's non-utility businesses follow the economic cycles of the customers they serve and credit risk of counterparties they do business with. Should the financial conditions of some of DTE Energy's significant customers deteriorate as a result of regional, national or international economic conditions,conditions or other market developments, reduced volumes of electricity and gas, and demand for energy services DTE Energy supplies, collections of accounts receivable, reductions in federal and state energy assistance funding, and potentially higher levels of lost gas or stolen gas and electricity could result in decreased earnings and cash flows. In addition, import tariffs and other trade policies have the potential to disrupt global supply chains and could cause volatility in the availability and cost of materials and supplies for us and our customers.

Information security risks have increased in recent years as a result of the proliferation of new technologies and the increased sophistication and frequency of cyberattacks, and data security breaches. The Registrants' industry requires the continued operation of sophisticated information and control technology systems and network infrastructure. All of the Registrants' technology systems are vulnerable to disability or failures due to cyber incidents, physical security threats, acts of war or terrorism, and other causes, as well as loss of operational control of the Registrants' electric generation and distribution assetsassets, and,and DTE Energy's gas distribution assets. The Registrants have experienced, and expect to continue to be subject to, cybersecurity threats and incidents. Technological developments, including advances in artificial intelligence, could have the potential to increase the Registrants' vulnerability to these threats. If the Registrants' information technology systems were to fail and they were unable to recover in a timely way, the Registrants may be unable to fulfill critical business functions, which could have a material adverse effect on the Registrants' business, operating results, and financial condition.

Suppliers, vendors, contractors, and information technology providers have access to systems that support the Registrants’ operations and maintain customer and employee data. A breach of these third-party systems could adversely affect the Registrants' business as if it waswere a breach of ourtheir own system. Also, because the Registrants’ generation and distribution systems are part of an interconnected system, a disruption caused by a cyber incident at another utility, electric generator, system operator, or commodity supplier could also adversely affect the Registrants’ businesses, operating results, and financial condition.

The increase in 2025 Net Income Attributable to DTE Energy Company was primarily due to higher earnings in the Electric, Gas, and DTE Vantage segments, partially offset by lower earnings at Corporate and Other. The increase in 2024 Net Income Attributable to DTE Energy Company was primarily due to higher earnings in the Electric segment, partially offset by lower earnings in the Energy Trading, Gas, and DTE Vantage segments and Corporate and Other. The increase in 2023 Net Income Attributable to DTE Energy Company was primarily due to higher earnings in the Energy Trading, DTE Vantage, and Gas segments, partially offset by lower earnings in the Electric segment and Corporate and Other.

DTE Energy's utilities are investing capital to support a modern, reliable grid and cleaner, affordable energy through investments in base infrastructure and new generation. Increasing intensity of windstorms and other weather events, coupled with increasing electric vehicle adoption and potential forfuture data centers,center load, will drive a continued need for substantial grid investment over the long-term.

DTE Energy expects that these initiatives at the electric and gas utilities will continue to provide significant opportunities for capital investments and result in earnings growth. DTE Energy is focused on executing its plans to achieve operational excellence and customer satisfaction with a focus on customer affordability. To support its goals for customer affordability, DTE Energy is working to implement operational efficiencies and optimize opportunities from the Inflation Reduction Act to generate tax credits relating to renewable energy, nuclear generation, energy storage, and carbon capture and sequestration. These tax credits may reduce the cost of owning related assets and reduce customer rate impacts from any future cost recoveries. DTE Energy's utilities operate in a constructive regulatory environment and have solid relationships with their regulators.

DTE Electric has retired all eleven coal-fired generation units at the Trenton Channel, River Rouge, and St. Clair facilities, andas planswell toas repurposeone unit at the TrentonBelle ChannelRiver plant to a battery energy storage system in 2026.facility. DTE Electric has also announced plans to retire its remaining sixfive coal-fired generating units, including converting the tworemaining unitsunit at the Belle River facility from a base load coal plant to a natural gas peaking resource in 2025-2026.2026. The four units at the Monroe facility are expected to be retired in two stages in 2028 and 2032. DTE Electric plans to repurpose the Trenton Channel facility to a battery energy storage system in 2026, and convert the Belle River facility from a base load coal plant to a natural gas peaking resource in 2026. Generation from the retired facilities will continue to be replaced or offset with a combination of renewables, energy waste reduction, demand response, battery storage, and natural gas fueled generation.

DTE Energy's non-utility businesses' capital investments are primarily for expansion, growth, and ongoing maintenance in the DTE Vantage segment, including approximately $1.5 billion to $2.0 billion from 2025-20292026-2030 for custom energy solutions and renewable energy, while expanding into carbon capture and sequestration.

•employee engagement,engagement and health, safetysafety, and wellbeing, and diversity, equity, and inclusionwellbeing;

Operating Revenues increased $642 million in 2025 and $475 million in 2024 and decreased $594 million in 2023.2024. Revenues associated with certain mechanisms and surcharges, including recovery of fuel and purchased power, are offset by related expenses elsewhere in the Registrants' Consolidated Statements of Operations. The change in both periods was due to the following:

DTE Electric sales and deliveries increased in 2025 primarily due to favorable weather compared to 2024. The increase in 2024 was primarily due to favorable weather compared to 2023. The decrease in 2023 was primarily due to unfavorable weather compared to 2022.

Fuel and purchased power — utility expense increased $199 million in 2025 and $124 million in 2024 and decreased $497 million in 2023.2024. The change in both periods was due to the following:

Operation and maintenance expense increased $22 million in 2024 and decreased $147 million in 2023. The increase in 2024 was primarily due to one-time costs of $32 million resulting from the voluntary separation incentive program,program noted above, higher RPS expense of $25 million, higher EWR expense of $17 million, higher uncollectible expense of $12 million, higher corporate support costs of $12 million, higher sales and marketing expense of $10 million, higher legal expense of $9 million, higher planning and development expense of $7 million, and higher plant generation expense of $3 million, partially offset by lower distribution operations expense of $106 million (primarily due to lower storm restoration costs).

Taxes other than income increased $29 million in 2025 and $14 million 2024 and had no change in 2023.2024. The increase in 2024both periods was primarily due to higher property taxes.

Other (Income) and Deductions increased $34 million in 2025 and $32 million in 20242024. andThe $40 millionincrease in 2023.2025 was primarily due to higher net interest expense of $53 million, partially offset by higher AFUDC equity of $19 million. The increase in 2024 was primarily due to higher net interest expense of $79 million, partially offset by higher AFUDC equity of $44 million and lower non-operating retirement benefits of $7 million. The increase in 2023 was primarily due to higher net interest expense of $48 million and higher non-operating retirement benefits expense of $26 million, partially offset by a favorable change in investment earnings of $19 million and higher AFUDC equity of $14 million.

Income Tax Expense (Benefit) changed $104 million in 2025 and $109 million in 20242024. The change in 2025 was primarily due to a decrease in tax credits and increasedhigher $53 million in 2023.earnings. The change in 2024 was primarily due to an increase in tax credits, partially offset by higher earnings. The increase in 2023 was primarily due to lower amortization of the TCJA regulatory liability, partially offset by lower earnings.

Operating Revenues — Utility operations increased $254 million in 2025 and $50 million in 2024 and decreased $176 million in 2023.2024. Revenues associated with certain mechanisms and surcharges, including recovery of the cost of gas, are offset by related expenses elsewhere in DTE Energy's Consolidated Statements of Operations. The change in both periods was due to the following:

The change in sales in 20242025 was primarily due to unfavorablefavorable weather. The change in sales in 20232024 was primarily due to unfavorable weather. Intermediate transportation volumes fluctuate period to period based on available market opportunities.

Cost of gas — utility expense increased $112 million in 2025 and $15 million in 20242024. The increase in 2025 was primarily due to higher sales volumes of $102 million and decreasedhigher $163cost millionof ingas 2023.of $10 million. The increase in 2024 was primarily due to a higher cost of gas of $40 million, partially offset by lower sales volumes of $25 million. The decrease in 2023 was primarily due to a lower cost of gas of $92 million and lower sales volumes of $71 million.

Operation and maintenance expense increased $71 million in 2025 and $47 million in 20242024. The increase in 2025 was primarily due to higher gas operations expense of $54 million, higher corporate asset usage expense of $7 million, higher corporate support costs of $7 million, higher legal expense of $6 million, higher benefits and decreasedother $64compensation expense of $2 million, and higher uncollectible expense of $2 million, partially offset by one-time costs in 2024 of $8 million inresulting 2023.from the voluntary separation incentive program. The increase in 2024 was primarily due to higher gas operations expensesexpense of $24 million, one-time costs of $8 million resulting from the voluntary separation incentive program ofnoted $8 million,above, higher uncollectible expense of $6 million, higher benefits and other compensation expense of $3 million, higher EWR expense of $3 million, and higher corporate support costs of $3 million. The decrease in 2023 was primarily due to lower gas operations expense of $36 million, lower corporate support costs of $24 million, and lower benefits and other compensation expense of $7 million, partially offset by higher legal expense of $3 million.

Taxes other than income increased $10 million in 2024both 2025 and $7 million in 2023.2024. The increase in both periods was primarily due to higher property taxes.

Asset (gains) losses and impairments, net decreased $6 million in 2025 and increased $6 million in 20242024. and had noThe change in 2023.both The increase in 2024periods was primarily due to the write-off of capital expenditures,expenditures in 2024, of which $3 million was disallowed by the MPSC in the November 2024 rate order.

Other (Income) and Deductions increased $14 million in 2025 and $13 million in 2024 and had no change in 2023.2024. The increase in 2024both periods was primarily due to higher net interest expense of $14 million.expense.

Income Tax Expense increased $11 million in 2025 and decreased $16 million in 20242024. andThe increased $5 millionincrease in 2023.2025 was primarily due to higher earnings. The decrease in 2024 was primarily due to lower earnings. The increase in 2023 was primarily due to higher earnings.

Fuel, purchased power, and gas — non-utility expense decreased $37 million in 2025 and $43 million in 20242024. andThe $10 millionchange in 2023.both Theperiods changes werewas due to the following:

Operation and maintenance expense increased $4 million in 2025 and $29 million in 20242024. andThe decreasedincrease $35in 2025 was primarily due to estimated litigation penalties in the Steel business of $13 million, including $8 million related to EES Coke, partially offset by lower costs in 2023.the Renewables business of $10 million. The increase in 2024 increase was primarily due to a new project in the On-site business of $7 million and higher costs in the On-site business of $11 million, Renewables business of $6 million, and Steel business of $6 million. The 2023 decrease was primarily due to lower operating costs in the Renewables business of $13 million and lower operating costs in the On-site business of $24 million, which was primarily driven by a decrease of $11 million due to the sale of a project.

Depreciation and amortization expense had no change in 2025 and increased $6 million in 2024 and $1 million in 2023.2024. The increase in 2024 was primarily due to new projects in the Renewables business.

Asset (gains) losses and impairments, net decreased $8 million in 2025 and changed by $20 million in 20242024. fromThe thedecrease netin gain2025 was primarily due to a write-off of $10 million in 2023,2024, andpartially changedoffset by $3storm millionrelated property loss in 2023 from the netRenewables gainbusiness of $7$3 million in 2022.million. The change in 2024 was primarily due to the write-off noted above of carbon capture and sequestration assets of $10 million in 2024 and net gains of $10 million from 2023 that did not repeat in the current year.2024.

Other (Income) and Deductions increased $14 million in 2025 and $37 million in 20242024. The increase in 2025 was primarily due to higher interest income of $10 million associated with new projects in the On-site business and $12higher millionequity earnings of $5 million. The increase in 2023. The 2024 increase was primarily due to higher interest income of $41 million associated with a new project in the On-site business and a gain in the Renewable business of $25 million attributed to the sale of a partnership interest, partially offset by a write-off of an equity investment in the Renewables business due to impairment of $23 million and higher net interest expense of $9 million. The 2023 increase was primarily due to $7 million higher equity investment earnings in the Renewables business and $4 million higher interest income associated with a new project in the Steel business.

Income Taxes — Expense decreased $11 million in 2025 and $4 million in 2024 and increased $11 million in 2023.2024. The decrease in 20242025 was primarily due to a $6$7 million impact from lower pre-tax income, partially offset by a $2 million higher deferred tax expense related to the reduction in tax basis on property that generated ITCs. The increasedecrease in 20232024 was primarily due to a $6 million impact from higherlower pre-tax income. The increase was also due to $5 million higher deferred tax expense related to the reduction in tax basis on property that generated ITCs.

Income Taxes — Tax Credits increased $13 million in 2025 and $11 million in 2024. The increase in 2025 was primarily due to production tax credits generated in the Renewables business of $82 million, partially offset by a new project in the On-site business in 2024 andof $51$60 million that did not repeat in 2023.2025. The increase in 2024 was primarily due to a new project in the On-site business of $60 million,million noted above, partially offset by 2023 tax credits of $48 million from new projects in the prior year2023 that did not repeat. The increase in 2023 was primarily due to ITCs of $39 million related to new projects in the Renewables business and $9 million for a new project in the On-site business.

Outlook — DTE Vantage will continue to leverage its extensive energy-related operating experience and project management capability to develop additional renewable natural gas projects and other projects that provide customer specific energy solutions. DTE Vantage is also developing decarbonization opportunities relating to carbon capture and sequestration projects.

Operating Revenues — Non-utility operations increased $2,634 million in 2025 and decreased $769 million in 2024 and $5,696 million in 2023.2024. The following tables detail changes relative to the comparable prior periods:

Purchased power, gas, and other — non-utility expense increased $2,612 million in 2025 and decreased $506 million in 2024 and $6,263 million in 2023.2024. The following tables detail changes relative to the comparable prior periods:

Operation and maintenance expense increased $5 million in 2024both 2025 and $142024. millionThe increase in 2023.2025 was primarily due to higher compensation and software costs. The increase in 2024 and 2023 was primarily due to higher compensation costs.

Operating Income (Loss)increased decreased $268$17 million in 2024,2025, which includes a $167$70 million unfavorable change in timing-related gains primarily related to gas strategies subject to reversal in future periods as the underlying contracts settle. The decreaseincrease also includes a $107$48 million unfavorablefavorable change in timing-related gains and losses primarily related to gas strategies that were recognized in previous periods and subsequently reversed as the underlying contracts settled.

Operating Income (Loss)decreased increased $558$268 million in 2023,2024, which includes a $429$167 million favorableunfavorable change in timing-related gains and losses primarily related to gas strategies subject to reversal in future periods as the underlying contracts settle. The increasedecrease also includes a $19$107 million favorableunfavorable change in timing-related gains and losses primarily related to gas strategies that were recognized in previous periods and subsequently reversed as the underlying contracts settled.

Other (Income) and Deductions increased $13$20 million in 20242025 and decreased $13 million in 2023.2024. The increase in 2025 was primarily due to $17 million higher contributions to not-for-profit organizations and lower net interest income of $3 million. The increase in 2024 was primarily due to $22 million of higher contributions to not-for-profit organizations, partially offset by higher net interest income of $9 million. The decrease in 2023 was primarily due to $10 million of lower contributions to not-for-profit organizations and lower net interest expense of $3 million.

Corporate and Other includes various holding company activities, holds certain non-utility debt, and holds certain investments, including investments supporting regional development and economic growth. The 20242025 net loss of $185$268 million represents an increase of $27$83 million from the 20232024 net loss of $158$185 million. This increase was primarily due to higher net interest expense and higher federal and state income taxes, including the $16 million impact from the One Big Beautiful Bill impact to the charitable contribution valuation allowance, as well as the $14 million impact from the Illinois state tax law change, partially offset by lowera gain on the sale of an equity investment losses.of $27 million.

The 20232024 net loss of $158$185 million represents an increase of $13$27 million from the 20222023 net loss of $145$158 million. This increase was primarily due to higher net interest expense,expense and higher state income taxes, partially offset by lower equity investment losses, lower valuation allowances, lower corporate overhead costs, and lower benefits expense.losses.

DTE Energy uses cash to maintain and invest in the electric and natural gas utilities, to grow the non-utility businesses, to retire and pay interest on long-term debt, and to pay dividends. DTE Energy believes it will have sufficient internal and external capital resources to fund anticipated capital and operating requirements. DTE Energy expects that cash from operations in 20252026 will be approximately $3.3$3.9 billion. DTE Energy anticipates base level utility capital investments, including environmental, renewable, and energy waste reduction expenditures, and expenditures for non-utility businesses of approximately $4.9$6.8 billion in 2025.2026. DTE Energy plans to seek regulatory approval to include utility capital expenditures in regulatory rate base consistent with prior treatment. Capital spending for growth of existing or new non-utility businesses will depend on the existence of opportunities that meet strict risk-return and value creation criteria.

Net cash used for investing activities increased $856$353 million in 20242025 primarily due to the Acquisition, net of cash acquired and $664an millionincrease in 2023 due primarily to increases in utility plant and equipment expenditures and cash used related to NotesInvestment in notes receivable.

The decreaseincrease in Net Income Attributable to DTE Energy Company for the three months ended MarchJune 31,30, 2026 was primarily due to higher earnings in the Energy Trading segment and Corporate and Other, partially offset by lower earnings in the Electric segment. The decrease for the six-month period was primarily due to lower earnings in the DTE Vantage and Energy Trading and DTE Vantage segmentssegments, and Corporate and Other, partially offset by higher earnings in the Electric segment.

Additionally, as a result of legislation passed by the state of Michigan in 2023, DTE Energy will be required to meet a 100% clean energy portfolio standard by 2040. Clean energy sources include renewables, nuclear, and natural gas-fired plants equipped with a carbon capture and storage system that is at least 90% effective in reducing carbon emissions to the atmosphere. The legislation also requires 50% of an electric utility's energy to be generated from renewable sources by 2030 and 60% by 2035. DTE Energy is currently assessing the impacts of this legislation and will include updates in its next Integrated Resource Plan, currently planned for the third quarter of 2026, to comply with the new requirements.

Operating Revenues increased $285$89 million and $374 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. Revenues associated with certain mechanisms and surcharges, including recovery of fuel and purchased power, are offset by related expenses elsewhere in the Registrants' Consolidated Statements of Operations. The increase in both periods was due to the following:

Fuel and purchased power — utility expense increased $100$44 million and $144 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was due to the following:

Fuel and purchased power — non-utility expense increased $13$5 million and $18 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was primarily due to the Electric segment acquisition of non-utility assets in the third quarter of 2025.

Operation and maintenance expense increased $52$30 million and $82 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in the second quarter was primarily due to higher plant generation expense of $21 million, higher distribution operations expense of $18$8 million, higher benefits and other compensation expense of $5$7 million, higher RPSEWR expense of $4$6 million, and higher corporate support costs of $6 million, and higher uncollectible expense of $4 million. The increase in the six-month period was primarily due to higher distribution operations expense of $25 million, higher plant generation expense of $23 million, higher benefits and other compensation of $12 million, higher corporate support costs of $10 million, higher uncollectible expense of $7 million, and higher RPS expense of $6 million.

Depreciation and amortization expense increased $27$43 million and $70 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was primarily due to higher depreciable base, including the 15-year amortization of the undepreciated Monroe plant balance which began in February 2025.

Taxes other than income increased $9$12 million and $21 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in the second quarter was primarily due to higher property taxes.taxes of $6 million and higher payroll taxes of $3 million. The increase in the six-month period was primarily due to higher property taxes of $13 million and higher payroll taxes of $5 million.

Income Tax Benefit changedincreased $13 million in the threesix months ended MarchJune 31,30, 2026. The change in the six-month period was primarily due to higher investment tax credits in 2026,credits, partially offset by higher earnings.

Operating Revenues — Utility operations decreased $1 million and increased $56$55 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. Revenues associated with certain mechanisms and surcharges, including recovery of the cost of gas, are offset by related expenses elsewhere in DTE Energy's Consolidated Statements of Operations. The decrease in the second quarter and the increase wasin the six-month period were primarily due to the following:

Cost of gas — utility expense decreased $7 million and increased $47$40 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The decrease in the second quarter was primarily due to lower cost of gas of $4 million and lower sales volumes of $3 million. The increase in the six-month period was primarily due to higher cost of gas of $38$48 millionmillion, andpartially higheroffset by lower sales volumes of $9$8 million.

Depreciation and amortization expense increased $4 million and $8 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was primarily due to higher depreciable base.

OtherTaxes (Income)other than income increased $3 million and Deductions increased $4 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was primarily due to higher interestproperty expense.taxes.

Operating Revenues — Non-utility operations increased $39$31 million and $70 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was due to the following:

Fuel, purchased power, and gas — non-utility expense increased $34$22 million and $56 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in both periods was primarily due to higher demand and prices in the Steel business of $34 million.business.

Operation and maintenance expense increased $118$6 million and $124 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in the second quarter was primarily due to higher costs in the Steel business of $4 million. The increase in the six-month period was primarily due to additional litigation penalties in the Steel business relating to the EES Coke judgment of $112 million and higher costs in the On-site business of $4 million, Steel business of $3 million, and Renewables business of $5$3 million.

Income Taxes — Expense increased $2 million and decreased $6$4 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in the second quarter was primarily due to higher earnings. The decrease in the six-month period was primarily due to lower earnings, partially offset by the non-deductible portion of the EES Coke judgment.

Income Taxes — Tax credits changedincreased $10 million and $20 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The changeincrease in both periods was primarily due to higher production tax credits generated in the Renewables business.

Operating Revenues — Non-utility operations decreased $171 million and increased $325$154 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The following tabletables detailsdetail changes relative to the comparable prior periodperiods:

Purchased power, gas, and other — non-utility expense decreased $266 million and increased $521$255 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The following tabletables detailsdetail changes relative to the comparable prior periodperiods:

Operation and maintenance expense decreasedincreased $8$9 million and $1 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The decreaseincrease in the second quarter was primarily due to lowerhigher compensation costs.

Operating Income (Loss) changedincreased $189$88 million for the three months ended MarchJune 31,30, 2026, which includes a $74$46 million unfavorablefavorable change in timing related gains and losses primarily related to gas strategies that will reverse in future periods as the underlying contracts settle. The changeincrease also includes a $40$18 million unfavorablefavorable change in timing related gains and losses primarily related to gas strategies that were recognized in previous periods and reversed in the current period as the underlying contracts settled.

Other (Income) and Deductions expense increased $4$2 million and $6 million in the three and six months ended MarchJune 31,30, 2026.2026, respectively. The increase in the six-month period was primarily due to higher interest expense.

Corporate and Other includes various holding company activities, holds certain non-utility debt, and holds certain investments, including investments supporting regional development and economic growth. The net loss of $44$78 million and $122 million for the three and six months ended MarchJune 31,30, 20262026, respectively, represents a decrease of $32 million and an increase of $54$22 million from the net incomeloss of $10$110 million and $100 million in the comparable 2025 period.periods. The increasedecrease in the second quarter was primarily due to effective income tax rate adjustments and lower state income taxes, including the $14 million impact from the Illinois state tax law change in the second quarter of 2025, partially offset by higher net interest expense,expense. The increase in the six-month period was primarily due to higher net interest expense and effective tax rate adjustments, partially offset by lower federal and state income taxes.

Net cash from operations decreased by $114$50 million in 2026. The decrease was primarily due to lower Net income and a decrease in cash related to Deferred income taxes, partially offset by higher Depreciation and amortization and an increase in cash related to working capital items.

The change in working capital items in 2026 was primarily due to increases in cash related to Accounts receivable, net, Inventories, Derivative assets and liabilities, and Other current and noncurrentRegulatory assets and liabilities, partially offset by decreasesa decrease in cash related to Accounts payable and Regulatory assets and liabilities.payable.

Cash from (used for) Financing Activities

Net cash from financing activities increased by $486$780 million in 2026 primarily due to increaseslower inRedemption cashof relatedlong-term todebt and higher Issuance of long-term debt, net of issuance costsdiscount and lowerissuance Redemption of long-term debt,costs, partially offset by a decrease in cash related tohigher repayment of Short-term borrowings, net.

In December 2025, DTE Energy filed a prospectus supplement and executed an Equity Distribution Agreement, pursuant to which DTE Energy may sell, from time to time, up to an aggregate $1.5 billion of its common stock through an ATM program, including an equity forward sales component. As of MarchJune 31,30, 2026, DTE Energy has not issued any shares under the ATM program. During the threefirst monthsquarter ended March 31,of 2026, DTE Energy entered into various forward sale agreements under the ATM for 2.5 million shares at a weighted average forward price of $144.41$144.41, aswhich includes expected sales commissions. During the second quarter of March2026, 31,DTE 2026,Energy entered into various sale agreements under the ATM program for 1.2 million shares at a weighted average forward price of $141.96, which includes expected sales commissions. For further discussion of the ATM program, see Note 9 to the Consolidated Financial Statements, "Long-Term Financings".

Various subsidiaries and equity investees of DTE Energy have entered into derivative and non-derivative contracts which contain ratings triggers and are guaranteed by DTE Energy. These contracts contain provisions which allow the counterparties to require that DTE Energy post cash or letters of credit as collateral in the event that DTE Energy's credit rating is downgraded below investment grade. Certain of these provisions (known as "hard triggers") state specific circumstances under which DTE Energy can be required to post collateral upon the occurrence of a credit downgrade, while other provisions (known as "soft triggers") are not as specific. For contracts with soft triggers, it is difficult to estimate the amount of collateral which may be requested by counterparties and/or which DTE Energy may ultimately be required to post. The amount of such collateral which could be requested fluctuates based on commodity prices (primarily natural gas, power, and environmental) and the provisions and maturities of the underlying transactions. As of MarchJune 31,30, 2026, DTE Energy's contractual obligation to post collateral in the form of cash or letters of credit in the event of a downgrade to below investment grade, under both hard trigger and soft trigger provisions, was $459$358 million.

DTE Energy has approximately $3.4$3.0 billion of available liquidity at MarchJune 31,30, 2026, consisting primarily of cash and cash equivalents and amounts available under unsecured revolving credit agreements.