CMS Energy · Earnings release

CMS Energy Announces Strong 2024

Financial Results for the 22nd Consecutive Year, Raises 2025 Adjusted EPS Guidance

JACKSON, Mich.,

Feb. 6, 2025 – CMS Energy announced today reported earnings per share of $3.33 for 2024, compared to $3.01 per share for 2023.

The company’s adjusted earnings per share for 2024 were $3.34, compared to $3.11 per share for 2023. CMS Energy increased its annual

dividend by 11 cents per share to $2.17 for 2025, the 19th increase in as many years.

G1CMS Energy raised

its 2025 adjusted earnings guidance to $3.54 to $3.60 from $3.52 to $3.58 per share (*See below for important information about non-GAAP

measures) and reaffirmed long-term adjusted EPS growth of 6 to 8 percent, with continued confidence toward the high end.

“In addition

to strong financial performance, the company's 2024 highlights include record investments in our electric grid through the Reliability

Roadmap, restoring power to over 93% of customers in less than 24 hours – compared to 87% in 2023. We also landed over 360 megawatts

of new load through our economic development efforts, bringing jobs, and investments to Michigan,” said Garrick Rochow, President

and CEO of CMS Energy and Consumers Energy. “Our customers, communities and investors are well positioned for 2025 due to the hard

work and improvements made by the CMS Energy team.”

CMS Energy (NYSE:

CMS) is a Michigan-based energy provider featuring Consumers Energy as its primary business. It also owns and operates independent power

generation businesses.

# # #

CMS

Energy will hold a webcast to discuss its 2024 year-end results and provide a business and financial outlook on Thursday, February 6,

2025 at 9:30 a.m. (EST). To participate in the webcast, go to CMS Energy’s homepage (cmsenergy.com)

and select “Events and Presentations.”

Important

information for investors about non-GAAP measures and other disclosures.

This news release contains non-Generally

Accepted Accounting Principles (non-GAAP) measures, such as adjusted earnings. All references to net income refer to net income available

to common stockholders and references to earnings per share are on a diluted basis. Adjustments could include items such as discontinued

operations, asset sales, impairments, restructuring costs, business optimization initiative, changes in accounting principles, voluntary

separation program, changes in federal tax policy, regulatory items from prior years, unrealized gains or losses from mark-to-market

adjustments, or other items. Management views adjusted earnings as a key measure of the company's present operating financial performance

and uses adjusted earnings for external communications with analysts and investors. Internally, the company uses adjusted earnings to

measure and assess performance. Because the company is not able to estimate the impact of specific line items, which have the potential

to significantly impact, favorably or unfavorably, the company's reported earnings in future periods, the company is not providing reported

earnings guidance nor is it providing a reconciliation for the comparable future period earnings. The company's adjusted earnings should

be considered supplemental information to assist in understanding our business results, rather than as a substitute for the reported

earnings.

This

news release contains "forward-looking statements." The forward-looking statements are subject to risks and uncertainties that

could cause CMS Energy's and Consumers Energy's results to differ materially. All forward-looking statements should be considered in

the context of the risk and other factors detailed from time to time in CMS Energy's and Consumers Energy's Securities and Exchange Commission

filings.

Investors and

others should note that CMS Energy routinely posts important information on its website and considers the Investor Relations section, www.cmsenergy.com/investor-relations,

a channel of distribution.

Investment Analyst Contact: Travis

2

CMS ENERGY CORPORATION

Consolidated

Statements of Income

(Unaudited)

In Millions, Except Per Share Amounts

Three Months Ended

Twelve Months Ended

Operating revenue

$

$

$

$

Operating expenses

Operating Income

Other income

Interest charges

Income Before Income Taxes

Income tax expense

Income From Continuing Operations

Income from discontinued operations, net of tax

-

-

-

1

Net Income

Loss attributable to noncontrolling interests

)

)

)

)

Net Income Attributable to CMS Energy

Preferred stock dividends

3

3

Net Income Available to Common Stockholders

$

$

$

$

Diluted Earnings Per Average Common Share

$

$

$

$

CMS ENERGY CORPORATION

Summarized Consolidated

Balance Sheets

(Unaudited)

In Millions

As of

Assets

Current assets

Cash and cash equivalents

$

$

Restricted cash and cash equivalents

Other current assets

Total current assets

Non-current assets

Plant, property, and equipment

Other non-current assets

Total Assets

$

$

Liabilities and Equity

Current liabilities (1)

$

$

Non-current liabilities (1)

Capitalization

Debt and finance leases (excluding securitization debt) (2)

Preferred stock and securities

Noncontrolling interests

Common stockholders' equity

Total capitalization (excluding securitization debt)

Securitization debt (2)

Total Liabilities and Equity

$

$

(1)

Excludes

debt and finance leases.

(2)

Includes

current and non-current portions.

CMS ENERGY CORPORATION

Summarized Consolidated Statements of Cash Flows

(Unaudited)

In Millions

Twelve Months Ended

Beginning of Period Cash and Cash Equivalents, Including Restricted Amounts

$

$

Net cash provided by operating activities

Net cash used in investing activities

)

)

Cash flows from operating and investing activities

)

)

Net cash provided by financing activities

Total Cash Flows

$

)

$

End of Period Cash and Cash Equivalents, Including Restricted Amounts

$

$

Page

CMS

ENERGY CORPORATION

Reconciliation

of GAAP Net Income to Non-GAAP Adjusted Net Income

(Unaudited)

In Millions, Except Per Share Amounts

Three Months Ended

Twelve Months Ended

Net Income Available to Common Stockholders

$

$

$

$

Reconciling items:

Disposal of discontinued operations (gain) loss

*

*

*

(1

)

Tax impact

(*

)

(*

)

(*

)

*

Other exclusions from adjusted earnings**

*

3

6

9

Tax impact

(*

)

(1

)

(1

)

(3

)

Voluntary separation program

-

*

*

Tax impact

-

(*

)

(*

)

(8

)

Adjusted net income – non-GAAP

$

$

$

$

Average Common Shares Outstanding - Diluted

Diluted Earnings Per Average Common Share

Reported net income per share

$

$

$

$

Reconciling items:

Disposal of discontinued operations (gain) loss

*

*

*

(*

)

Tax impact

(*

)

(*

)

(*

)

*

Other exclusions from adjusted earnings**

*

Tax impact

(*

)

)

(*

)

)

Voluntary separation program

-

*

*

Tax impact

-

(*

)

(*

)

)

Adjusted net income per share – non-GAAP

$

$

$

$

*

Less than $0.5 million or $0.01 per share.

**

Includes restructuring costs and business optimization initiative.

Management views adjusted (non-Generally Accepted Accounting Principles) earnings as a key measure of the Company's present operating financial performance and uses adjusted earnings for external communications with analysts and investors. Internally, the Company uses adjusted earnings to measure and assess performance. Adjustments could include items such as discontinued operations, asset sales, impairments, restructuring costs, business optimization initiative, changes in accounting principles, voluntary separation program, changes in federal tax policy, regulatory items from prior years, unrealized gains or losses from mark-to-market adjustments, or other items. The adjusted earnings should be considered supplemental information to assist in understanding our business results, rather than as a substitute for reported earnings.