CMS Energy · Earnings release

CMS Energy Announces Strong

Second Quarter Results, Reaffirms 2025 Adjusted EPS Guidance

Energy announced today reported earnings per share of $0.66 for the second quarter of 2025, compared to $0.65 per share for 2024. The

company’s adjusted earnings per share for the second quarter were $0.71, compared to $0.66 per share for the same quarter in 2024.

For the first six months of the year, the company reported $1.67 per share compared to $1.61 per share for the same timeframe in 2024.

On an adjusted earnings per share basis year to date, the company reported $1.73 per share in 2025, compared to $1.63 per share in 2024,

driven by constructive regulatory outcomes, cost-reduction initiatives and favorable weather.

CMS Energy reaffirmed its 2025 adjusted earnings

guidance of $3.54 to $3.60 per share (*See below for important information about non-GAAP measures) and long-term adjusted EPS growth

of 6 to 8 percent, with continued confidence toward the high end.

“Given the team’s strong performance

in the second quarter, we are on track to deliver on our earnings guidance and key operational objectives for the year, prioritizing investments

in our electric and gas businesses to the benefit of our customers, investors and the communities we serve,” said Garrick Rochow,

President and CEO of CMS Energy and Consumers Energy. “I am also pleased to announce we have

reached an agreement with a new data center, which is expected to add up to 1 gigawatt of load growth in our service territory, along

with additional economic benefits for Michigan.”

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 2025 second quarter

results and provide a business and financial outlook on Thursday, July 31 at 9:30 a.m. (EDT). 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, major enterprise resource planning software implementations,

changes in accounting principles, voluntary separation program, changes in federal and state tax policy, regulatory items from prior years, unrealized

gains or losses from mark-to-market adjustments, recognized in net income related to NorthStar Clean Energy's interest expense, 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.

2

CMS ENERGY CORPORATION

Consolidated Statements

of Income

(Unaudited)

In Millions, Except Per Share Amounts

Three Months Ended

Six Months Ended

Operating revenue

$

$

$

$

Operating expenses

Operating Income

Other income

Interest charges

Income Before Income Taxes

Income tax expense

Net Income

Loss attributable to noncontrolling interests

(8

)

)

)

)

Net Income Attributable to CMS Energy

Preferred stock dividends

3

3

5

5

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

Six 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

$

$

CMS ENERGY CORPORATION

Reconciliation of GAAP Net Income to Non-GAAP

Adjusted Net Income

(Unaudited)

In Millions, Except Per Share Amounts

Three Months Ended

Six Months Ended

Net Income Available to Common Stockholders

$

$

$

$

Reconciling items:

Other exclusions from adjusted earnings**

5

2

8

6

Tax impact

(1

)

(*

)

(2

)

(1

)

State tax policy change

-

-

Voluntary separation program

-

-

-

*

Tax impact

-

-

-

(*

)

Adjusted net income – non-GAAP

$

$

$

$

Average Common Shares Outstanding - Diluted

Diluted Earnings Per Average Common Share

Reported net income per share

$

$

$

$

Reconciling items:

Other exclusions from adjusted earnings**

Tax impact

(*

)

(*

)

(*

)

(*

)

State tax policy change

-

-

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, major enterprise resource planning software implementations, changes in accounting principles, voluntary separation program, changes in federal and state tax policy, regulatory items from prior years, unrealized gains or losses from mark-to-market adjustments, recognized in net income related to NorthStar Clean Energy's interest expense, 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.