SECO Energy’s 2025 American Customer Satisfaction Index (ACSI) score is 88* out of 100. *Compared to publicly measured energy utilities in the ACSI® survey of customers rating their own energy utility. Results based on data provided by SECO Energy, collected between December 12 and 18, 2025. ACSI did not regulate the survey administration or sample size. ACSI and its logo are registered trademarks of the American Customer Satisfaction Index L.L.C. For more about the ACSI, visit www.theACSI.org.
Momentum at SECO Energy doesn’t happen by accident – it is built through thoughtful planning, disciplined execution, and an unwavering commitment to progress. In 2025, we transformed vision into action through our successful completion of the Board-approved initiatives listed on our 2023 - 2025 Strategic Map.The momentum we experienced was not the result of a single year, but of years of preparation, investment and alignment now accelerating SECO into its next chapter. Guided by a unified strategy focused on reliability, affordability, innovation, and above all, service to you – our members – we continued moving SECO forward with purpose.
One of the most significant milestones in SECO’s nearly 90-year history was the completion of our Advanced Metering Infrastructure (AMI) upgrade. This transformative initiative fundamentally modernized how SECO operates and how members interact with their energy use. AMI enhances system visibility, improves billing accuracy and strengthens our ability to detect outages and irregular usage – creating a smarter, more responsive electric system.
For members, AMI delivers greater transparency and control. Through SmartHub, you can now view your energy usage in near real-time, empowering you with deeper insight into how and when you use electricity. This technology puts information directly in your hands, helping you make informed decisions about your energy habits. For the most accurate insights, we encourage you to take a few minutes to Build Your Home Profile in SmartHub.
We continued advancing our Conservation Voltage Reduction (CVR) program, which optimizes voltage levels to reduce peak demand and supports longterm system efficiency. These efforts help strengthen reliability while laying the foundation for future automated voltage controls.
Another key achievement was the expansion of Smart Connect, SECO’s Distributed Energy Resource Management System (DERMS). Smart Connect, together with member participation, supports grid reliability by enabling smarter management of energy demand. Members who enroll their smart thermostats, EV charging connectivity, and battery systems play an active role in helping balance the grid and are eligible for incentives. This partnership represents an important step toward a more flexible and resilient energy future.
Behind the scenes, SECO strengthened critical infrastructure by modernizing our wireless network and integrating advanced outage management and analytics platforms. These investments enhance operational intelligence, streamline processes and support faster response during outages.
Operational excellence extended well beyond the grid through investments in overhead-tounderground conversions and the construction of a new substation. We also elevated cybersecurity and risk management efforts, expanded community and legislative engagement, and modernized our human resources systems to attract and develop talent.
We reached several meaningful milestones in 2025. SECO welcomed its 500th employee, reflecting the growth of our cooperative and the strength of our workforce. The Board of Trustees approved a Capital Credits retirement of $4.04 million to current and former members, and SECO successfully recovered $14 million in disaster-related funds reimbursements – clear demonstrations of strong governance, financial stewardship and the Cooperative Difference. Every accomplishment in our 2025 Annual Report was made possible by the trust and engagement from our members, the dedication of SECO’s 500plus employees, and the leadership of our Board of Trustees and Executive Leadership Team. Thank you for being a member of SECO Energy – a cooperative that continues to build momentum, convert progress into performance and deliver lasting value – today, tomorrow, and for generations to come.
With gratitude,
LARGEST SEVENTH
13,160
NEW SERVICES IN 2025
BOARD OF TRUSTEES
OUR YEAR BY THE NUMBERS
264,862
TOTAL ACCOUNTS SERVED
4.3 BILLION KWH SOLD
SECO Energy’s 2025 reliability performance reflects sustained momentum built through disciplined planning, strategic investment and a “Best in Class” mindset. We understand that reliable electricity is essential to you, your neighbors, and the communities we serve – and our continued focus on readiness and response drives measurable improvements in how quickly and effectively we restore power.
System Average Interruption Frequency Index (SAIFI)
Frequency of electric interruptions per year.
Number of minutes to restore a power outage.
The average number of minutes required to restore service following an outage.
In 2025, SECO Energy advanced its grid modernization strategy – delivering immediate benefits to members while strengthening reliability for the future. Through targeted investments in technology and infrastructure, SECO continues to enhance service, improve efficiency, and support a more resilient energy system.
A key milestone was the completion of SECO’s Advanced Metering Infrastructure (AMI) upgrade –one of the most transformative projects in its nearly 90-year history. AMI enhances system visibility, enables faster outage detection and restoration, and gives members greater control over their energy use through SmartHub.
SECO also expanded its Conservation Voltage Reduction (CVR) program to optimize voltage levels, reduce peak demand, and improve system efficiency – laying the foundation for future automated grid controls.
The growth of Smart Connect, SECO’s Distributed Energy Resource Management System (DERMS), empowers members to support grid reliability by reducing energy use during peak periods. By integrating smart thermostats, EV charging, and battery systems, SECO is building a more flexible
Behind the scenes, enhancements to SECO’s wireless communications network are improving reliability, security, and scalability – supporting advanced outage management, real-time analytics, and faster restoration.
Together, these efforts reflect SECO’s commitment to building a smarter, stronger grid – delivering lasting value for members while powering confidently into the future.
Connected technology working together to improve reliability and efficiency
Manual outage detection
Slower restoration
265,000+ AMI meters installed
7,900+ Smart Connect devices
Faster detection and restoration
Automated rerouting
In 2025, SECO Energy realized the initiatives outlined in its first ever Strategy Map that spanned 2023-2025. In just three years, SECO achieved operational excellence –strengthening resilience, deepening partnerships, and positioning the cooperative for sustained success in a rapidly evolving energy environment. From securing critical funding to advancing cybersecurity, workforce development, and safety, these efforts reflect a disciplined focus on stewardship, preparedness, and long-term value for SECO members.
Across every initiative, SECO Energy demonstrated how its 2023–2025 Strategy Map drives results—transforming planning into progress and investment into impact. These accomplishments reinforce SECO’s commitment to operational excellence and position the cooperative as resilient, innovative, and future-ready—delivering reliable, secure, and affordable energy to the communities it serves today and for years to come.
Looking ahead, SECO Energy’s 2026–2028 Strategy Map builds on a strong foundation, with momentum continuing to propel the cooperative forward. Strategic priorities center on grid modernization through expanded automation, advanced technologies, and datadriven decision-making to enhance reliability, efficiency, and member service. Investments in distributed energy resources will further strengthen resilience and adaptability. SECO will also deepen its focus on cybersecurity, workforce development, and member engagement. At the same time, the cooperative remains committed to disciplined financial stewardship and pursuing innovative funding opportunities to maintain affordability and deliver longterm value.
Momentum extends beyond infrastructure into the communities SECO serves. The cooperative supports local growth and economic development initiatives and helping to bring critical projects to life while strengthening relationships with community partners and policymakers. Building on the milestone of reaching 500 employees, SECO has cultivated a skilled, engaged workforce in an effort to achieve its vision of being the preferred employer in the region. Strong financial performance further underscores this commitment, with successful FEMA appeal recoveries, disaster reimbursements, and the continued return of Capital Credits to members.
Together, these initiatives reflect SECO Energy’s unwavering commitment to its members, communities, and achieving its updated initiatives through 2026 and beyond. By aligning strategic investments with operational excellence and sound financial practices, SECO is building a resilient, forward-looking cooperative that is well positioned to meet future energy needs while continuing to deliver reliable, affordable service to the communities it serves.
SECO Energy’s 2025 financial results reflect sound financial management, strong liquidity, and disciplined capital planning. The cooperative maintained a solid financial position while investing in utility plant and system reliability, including $180 million in retained DOE and USDA loan and grant awards, more than $14 million in disaster-related reimbursements, and the retirement of $3.94 million in Capital Credits to members.
Condensed Balance Sheets
December 31, 2025 & 2024
Assets
Total Utility Plant
Investments in Associated Organizations and Other Special Funds Cash and Cash Equivalents Accounts Receivable
Inventories
Other Current and Accrued Assets
Deferred Debits 1,226,682,231 162,032,863 24,434,230 65,617,123 61,182,741 15,902,228 642,589 1,100,152,511 151,179,890 2,170,952 75,235,990 68,163,570 14,401,813 453,434
Total Assets
Equities and Liabilities
$ 483,436,233 403,608,022
$
$ $ 1,556,494,005 $ 1,411,758,160 $ 1,556,494,005 $ $ $
916,279,086 4,253,414 34,384,045 47,757,230 24,656,229 45,727,768 1,073,057,772 805,239,247 4,024,474 51,097,436 79,427,596 24,925,870 43,435,515 1,008,150,138
(net of $256 million and $263 million in accumulated depreciation, respectively) $ 1,411,758,160
Condensed Statements of Revenues & Patronage Capital For the years ended December 31, 2025 & 2024
Revenues
Operating Revenues
Expenses
Cost of Power Operating Depreciation
Interest on Debt
Taxes & Other
Other Margins Non-Operating Margins
Margins
Patronage Capital, Beginning of Year
Reallocation of Unclaimed Patronage Capital (Retirement of Capital Credits) Patronage Capital, End of Year Total Expenses Operating Margins
619,380
The SECO Energy Foundation continues to make a meaningful difference across the communities we serve – helping families in need, supporting students, honoring veterans, and enhancing overall quality of life. These efforts are made possible through the generosity of our members. Thank you, members, for your continued support of this important mission. With your contributions, the SECO Energy Foundation awarded more than $1 million to local non-profit organizations in 2025, directly supporting programs that strengthen our communities and create lasting impact.