NextEra Energy (NEE) Q3 2024 earnings summary

Executive summary

• Q3 2024 adjusted EPS rose 10% year-over-year to $1.03, driven by strong performance at FPL and Energy Resources, with GAAP net income of $1.85 billion and adjusted earnings of $2.13 billion.

• FPL grew regulatory capital employed by 9.5% year-over-year, maintained customer bills nearly 40% below the national average, and managed rapid restoration after Hurricanes Helene and Milton, restoring 95% of customers within days.

• NextEra Energy Resources added 3 GW of renewables and storage to its backlog, now totaling over 24 GW, and signed framework agreements with two Fortune 50 customers and Entergy for up to 15 GW by 2030.

• NextEra Energy Partners increased distributions per unit by nearly 6% year-over-year, with a declared quarterly distribution of $0.9175.

• Corporate and Other results declined due to unfavorable hedge activity, especially from interest rate derivatives.

Financial highlights

• Q3 2024 adjusted EPS was $1.03, up from $0.94 in Q3 2023; GAAP EPS was $0.90, up from $0.60.

• FPL Q3 net income: $1.29 billion, up from $1.18 billion; capital expenditures were ~$2 billion for the quarter, with full-year 2024 capex expected between $8–$8.8 billion.

• NextEra Energy Partners Q3 adjusted EBITDA was $453 million; cash available for distribution was $155 million, both down year-over-year due to asset divestitures and higher debt service.

• FPL reversed ~$231 million of reserve amortization; ended Q3 with ~$817 million balance.

• Preliminary estimate of storm restoration costs to be recovered via surcharge is ~$1.2 billion.

Outlook and guidance

• 2024 adjusted EPS expected in the range of $3.23–$3.43; 2025–2027 guidance: $3.45–$3.70 (2025), $3.63–$4.00 (2026), $3.85–$4.32 (2027).

• Dividend per share growth targeted at ~10% per year through at least 2026.

• FPL expects ~10% average annual growth in regulatory capital employed through 2025.

• NextEra Energy Partners expects 2024 run rate adjusted EBITDA of $1.9–$2.1 billion and will provide updated distribution and cash flow guidance by Q4 2024 call.

• FPL expects to file for a $1.2 billion storm surcharge in Q4 2024 to recover restoration costs.