XEL

Xcel Energy Inc.

DOUBTFUL — SCREEN DOES NOT PASSstock

Is XEL Halal?

Regulated electric and gas utility — a permissible activity, but heavy interest-bearing debt usually pushes the leverage screen above the threshold.

What You Should Know

Xcel Energy Inc. is a regulated electric and natural-gas utility with significant renewable-generation investment. Its March 31, 2026 Form 10-Q reports assets of $84,828 million, interest-bearing debt of $37,033 million, cash of $1,760 million, available-for-sale debt securities of $982 million and receivables of $2,117 million. Debt/assets is 43.66%, liquidity/assets is 3.23% and receivables-plus-cash/assets is 4.57%; the debt screen fails across the examined asset-based methods. The filing does not provide a reproducible non-compliant-income numerator.

⚠️ Concerns

  • Debt/assets is 43.66%, above examined 33% limits
  • Capital-intensive utility financing is the decisive concern
  • Renewable and conventional generation mix still requires qualitative review
  • No reproducible gross non-compliant-income numerator is disclosed
  • Re-screen before each purchase given persistent leverage

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
43.66%Above limit
Below 33.333% under FTSE Yasaar

37,033 / 84,828

Cash + interest-bearing securities / assets
3.23%Within limit
Below 33.333% under FTSE Yasaar

2,742 / 84,828

Receivables + cash / assets
4.57%Within limit
Below 50% under FTSE Yasaar

3,877 / 84,828

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets is 43.66%, above the examined 33.333% limit; the utility activity is generally permissible but the financing screen fails.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Debt/assets is 43.66%, above the examined MSCI limit; the asset-based screen fails.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

Debt/assets is 43.66%, above the examined Malaysia limit; this is not an official classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Fails

A properly licensed and reproducible historical market-cap series is not stored; the debt screen already fails.

Business-activity disclosure

Xcel is a regulated electric and natural-gas utility with substantial renewable-generation investment. Supplying electricity and gas is generally permissible, while its capital structure relies on interest-bearing debt.

Limitation: The filing does not allocate revenue by end use or provide a universal prohibited-revenue or non-compliant-income numerator.

Purification

No reproducible gross non-compliant-income numerator is disclosed; interest expense is not an income proxy.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Xcel Energy's March 31, 2026 Form 10-Q.
  • Debt combines current debt and capital leases of $1,001 million, short-term borrowings of $1,480 million and noncurrent debt and lease obligations of $34,552 million.
  • Cash is $1,760 million. Interest-bearing securities use disclosed available-for-sale debt maturity fair values totaling $982 million as a transparent proxy.
  • Receivables combine net accounts receivable of $1,346 million, accrued unbilled revenues of $746 million and insurance settlements receivable of $25 million.
  • The filing does not provide a reproducible non-compliant-income numerator; interest expense is not treated as income.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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