Duke Energy Corporation Q3 FY2025 earnings call

• Adjusted earnings per share in the third quarter was $1.81, up from $1.62 last year, driven by growth in electric utilities. - Narrowed full-year guidance range to $6.25 to $6.35. - New 5-year capital plan is between $95 billion and $105 billion, with a focus on generation build to add over 13 gigawatts of capacity in the next 5 years. - Carrying out ambitious generation build, with over 8.5 gigawatts of new dispatchable generation expected across service territories in the next 5 years, including work on projects like Person County combined cycle units and others in Carolinas and Indiana. - Converting economic development prospects into projects, with approximately 3 gigawatts of signed electric service agreements with data centers this year, and over $11 billion of capital commitments from other commercial and industrial customers in 2025, expected to bring 25,000 jobs. - Recognized with EEI's Outstanding Customer Engagement Award. - Worked with regulators on storm cost recovery, issued North Carolina storm securitization bonds, and expects South Carolina bonds by year-end, with securitization helping mitigate rate increases for customers.

Electric Utilities and Infrastructure was up $0.24, driven by higher retail sales volumes and the implementation of new rates across many jurisdictions. Gas Utilities and Infrastructure results were largely flat to the prior year, consistent with the seasonality of the LDC business. The Other segment was down $0.04, primarily due to higher interest expense. Electric Utilities and Infrastructure contributed to the growth in adjusted earnings per share, with higher retail sales volumes and new rates being key drivers.

• Narrowed full-year EPS guidance to $6.25 to $6.35. - Reaffirmed long-term EPS growth rate of 5% to 7% through 2029 and confident to earn the top half of the range beginning in 2028. - New 5-year capital plan is between $95 billion and $105 billion, with the step-up related to investments in new generation driving earnings base growth of more than 8.5% through 2030.

Q: Can you speak a little bit to the incremental capital that you guys are looking at? How is it layered in, and the cadence of data center ramp?

A: Brian Savoy said it's adding capital in every year of the plan as they get more firm contracts and visibility into infrastructure needs. Harry Sideris added it's a dynamic environment with updates due to data center growth and economic development.

Q: On the Carolinas IRP and nuclear, can you speak to Duke's role?

A: Harry Sideris said nuclear is important, they're evaluating SMRs and large water reactors, need to resolve cost overrun protection and balance sheet issues.

Q: On earnings outlook and capital, how does incremental capital factor?

A: Brian Savoy said top half of growth range in 2028 is contemplated in all capital scenarios.

Q: On large-load pipeline, can you remind on pipeline?

A: Harry Sideris said they have a large diverse pipeline, focused on credible hyperscalers and third-party developers, signed 3 gigawatts of ESAs this year.

Q: On equity funding for capital, what determines lower end?

A: Brian Savoy said faster recovery investments would be in lower end of 30% to 50% equity funding range.