Research memoExelon Corporation (EXC) · NASDAQMemo of October 19, 2026

Exelon dividend: cash coverage and outlook

Exelon pays a regular quarterly dividend, recently raised to $0.42 per share. Exelon’s cash does not currently cover that payout: 2025 free cash flow was negative $2,275 million against $1,617 million of dividends.

1.60
Dividend paid per share, 2025
3.9%
Dividend yield
-5.2%
Real free cash flow yield
-5.1%
Free cash flow yield
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Every number traced to Exelon's filings8 chapters · 17,749 words253 sources cited

How much does Exelon pay per share?

The balance sheet shows the cost of that choice. Net debt rose from $33,868 million at the end of 2021 to $49,454 million at the end of 2025. The board also increased the regular quarterly dividend to $0.42 per share on February 12, 2026. More income for shareholders means more cash to find alongside the investment programme, while higher interest expense reduces the benefit of improved operating results.

Dividend per share against free cash flow per share (US$ per share)1.5320211.3520221.44-2.7320231.52-1.5620241.60-2.292025Dividends paid, per shareReal free cash flow per share
ResultsUS$ millions
20252024202320222021
Revenue24,25823,02821,72719,07817,938
EPS, diluted2.732.452.342.081.65
Dividend per share1.601.521.441.351.53

What this means. The gross profit is an estimate because it subtracts only purchased power and fuel, leaving out other costs of delivering electricity.

Does Exelon’s dividend come from its cash?

Negative free cash flow does not automatically mean those investments failed. Free cash flow is the cash left after operations and capital spending, while regulators allow a utility to recover approved investment through customer bills over many years. But in 2025, negative free cash flow was $2,275 million and dividends were $1,617 million. Exelon therefore needed outside funding even before considering growth elsewhere.

Follow the money: where the free cash flow wentUS$ millions
20252024202320222021
Free cash flow-2,275-1,528-2,705
− Dividends paid1,6171,5241,4331,3341,497
− Share buybacks00000
= Paid out more than the free cash flow3,8923,0524,138
Paid out, % of free cash flownot meaningfulnot meaningfulnot meaningful

What this means. The company paid dividends even though its free cash flow was negative, so it had to rely on new borrowing and its debt increased.

What could change Exelon’s dividend?

Management guides to 2026 adjusted operating EPS of $2.81–$2.91. It targets 5%–7% annual adjusted EPS growth through 2029. The plan calls for $41,700 million of capital spending and 7.9% rate-base growth. Funding includes $3,400 million of planned equity through 2029, alongside a 5% annual dividend-growth target.

Exelon can grow EPS only if regulators approve investment, customers can afford the resulting bills and large-load commitments become paying customers.

The forecast's tablebase case, then bear / bull in brackets; USD millions, per share in USD, unless shown
October 2027October 2028October 2029
Earnings3,060 (2,730 / 3,150)3,230 (2,670 / 3,410)3,400 (2,700 / 3,650)
Shares (millions)1,060 (1,064 / 1,057)1,081 (1,089 / 1,075)1,102 (1,114 / 1,093)
Dividends per share1.74 (1.68 / 1.76)1.85 (1.68 / 1.87)1.94 (1.68 / 1.98)
Price to earnings14.50 (13.50 / 15.50)14.50 (12.50 / 16.00)14.50 (12.00 / 16.50)

What is Exelon’s dividend yield against its price?

Free cash flow is what remains after capital spending. Exelon’s negative free-cash-flow yield signals a funding gap rather than distributable cash. The plan includes $3.4 billion of equity through 2029. That is about $850 million annually. Equity funds about 40% of incremental capital, and about 37% of those equity needs had been priced through forward contracts by July. At $43.50, $850 million would illustrate roughly 19.5 million shares. A forward contract prices a future sale; it does not mean those shares already exist. The useful test is therefore earnings per share, not total earnings.

From the full memo · 1. The business

Exelon sells dependable access to electricity and natural gas through local delivery networks. Its customers pay for power to reach their premises, a meter to record use, and a utility responsible for maintenance and outage restoration.

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Where these numbers come from

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