Pension and Other Postretirement Plans

6 Months Ended

Jun. 30, 2025

Retirement Benefits [Abstract]

Pension and Other Postretirement Plans

Pension and Other Postretirement Plans - MGE Energy and MGE.

MGE maintains qualified and nonqualified pension plans, health care, and life insurance benefits and defined contribution 401(k) benefit plans for its employees and retirees.

The components of net periodic benefit cost, other than the service cost component, are recorded in "Other income, net" on the consolidated statements of income. The service cost component is recorded in "Other operations and maintenance" on the consolidated statements of income. MGE has regulatory treatment and recognizes regulatory assets or liabilities for timing differences between when net periodic benefit costs are recovered and when costs are recognized.

The following table presents the components of net periodic benefit costs recognized.

	Three Months Ended						Six Months Ended
	June 30,						June 30,
(In thousands)	2025			2024			2025			2024
Pension Benefits
Components of net periodic benefit cost:
Service cost	$	655		$	780		$	1,306		$	1,539
Interest cost		4,313			4,315			8,569			8,559
Expected return on assets		(7,246	)		(7,148	)		(14,507	)		(14,299	)
Amortization of:
Actuarial loss		102			313			150			429
Net periodic benefit (credit) cost	$	(2,176	)	$	(1,740	)	$	(4,482	)	$	(3,772	)
Postretirement Benefits
Components of net periodic benefit cost:
Service cost	$	188		$	217		$	371		$	428
Interest cost		754			779			1,514			1,576
Expected return on assets		(634	)		(693	)		(1,358	)		(1,384	)
Amortization of:
Transition obligation		—			—			1			1
Prior service credit		—			(4	)		—			(8	)
Actuarial gain		(173	)		(129	)		(321	)		(206	)
Net periodic benefit cost	$	135		$	170		$	207		$	407

As approved by the PSCW, MGE is allowed to defer differences between actual employee benefit plan costs and costs reflected in current rates. The deferred costs may be recovered or refunded in MGE's next rate filing. During the three and six months ended June 30, 2025, MGE recovered $0.1 million and $0.7 million, respectively, of pension and other postretirement costs previously deferred, compared to $1.2 million and $2.6 million for the same periods in 2024. These costs have not been reflected in the table above.