July 30 (Reuters) - U.S. electric utility Entergy ( ETR )

beat analysts' estimate for second-quarter profit on

Wednesday, helped by higher electricity rates and strong demand

for power.

The company also affirmed its 2025 adjusted profit forecast

of $3.75 to $3.95 per share. Analysts expect a profit of $3.87

per share, according to data compiled by LSEG.

According to the U.S. Energy Information Administration,

power consumption in the country is expected to reach record

highs in 2025 and 2026, driven by rapid expansion of data

centers dedicated to artificial intelligence and cryptocurrency,

and as homes and businesses use more electricity for heat and

transportation.

The S&P index tracking utilities rose 3.5% in the

quarter ended June 30.

The global trade war sparked by the Trump administration

threatens to stall the AI frenzy as companies rethink how they

spend the billions of dollars earmarked for developing AI

infrastructure.

U.S. utilities have been adding billions of dollars to their

capital expenditure budgets as they field massive requests for

new power capacity from Big Tech firms scouring the country for

viable locations for data centers, which could support complex

AI-related tasks.

Entergy ( ETR ), based in New Orleans, Louisiana, provides

electricity to nearly 3 million customers across Arkansas,

Louisiana, Mississippi and Texas.

The company posted an adjusted profit of $1.05 per share for

the three months ended June 30, compared with analysts' average

estimate of 92 cents, according to data compiled by LSEG.