NextEra Energy (NEE 0.36%) is the undisputed leader in the power sector. The company operates the largest electric utility in the country. It is also the world leader in renewables and storage, operates the country's largest natural gas-fired generation fleet, is a leader in producing nuclear energy, and is an industry leader in electricity transmission.NextEra has invested more than $150 billion into building and maintaining its leading energy infrastructure assets over the past decade. That has helped pow ...

Core Insights - NextEra Energy, Inc. has been recognized as the No. 1 company in the electric and gas utilities industry on Fortune's 2025 list of the "World's Most Admired Companies," marking the 17th time in 19 years the company has received this honor [1][2] Company Performance - NextEra Energy generated more electricity and invested more in energy infrastructure than any other company in the past year [1] - The company owns Florida Power & Light Company, which serves over 6 million customer accounts, translating to approximately 12 million people in Florida [3] - NextEra Energy has invested over $150 billion in energy infrastructure over the last decade, including upgrades to nuclear plants and the development of natural gas pipelines and renewable energy projects [4] Economic Impact - The company has paid nearly $8 billion in annual property taxes and over $1.6 billion in annual land payments, contributing significantly to rural communities [4] - NextEra Energy operates in 49 states and employs more than 16,000 individuals [4] Energy Capacity and Innovation - NextEra Energy is the largest generator of renewable energy in the U.S. and has the largest natural gas fleet, as well as being one of the largest nuclear generators globally [4][5] - In the previous year, the company placed approximately 8.7 gigawatts (GW) of new renewable and storage projects into service and plans to invest around $120 billion over the next four years to expand its fleet to roughly 121 GW [4] Operational Excellence - The company boasts one of the lowest electricity bills in the U.S., more than 30% below the national average, and its smart grid technology helped avoid 2.7 million outages in 2024 [4] - NextEra Energy's non-fuel operations and maintenance costs are 50% better than the second-best in its peer group, saving customers over $24 monthly on a typical 1,000-kilowatt-hour residential bill [4] Strategic Initiatives - NextEra Energy has announced a framework agreement with GE Vernova to develop natural gas generation projects paired with renewable energy and storage, enhancing integrated power solutions for customers [4] - The company is also evaluating the recommissioning of Iowa's Duane Arnold Energy Center, with potential operations resuming by the end of 2028 [4]

Core Viewpoint - NextEra Energy, Inc. reaffirms its long-term financial expectations, maintaining its adjusted earnings per share guidance for 2025, 2026, and 2027, alongside an unchanged funding plan for 2024-2027 [1][2]. Financial Expectations - Adjusted earnings per share are projected to be in the range of $3.45 to $3.70 for 2025, $3.63 to $4.00 for 2026, and $3.85 to $4.32 for 2027 [1]. - The expected funding plan includes equity units of $5 billion to $7 billion and asset recycling of $5 billion to $6 billion [1]. Company Overview - NextEra Energy is a leading clean energy company based in Juno Beach, Florida, owning Florida Power & Light Company, the largest electric utility in the U.S. [2]. - The company serves over 6 million customer accounts, providing clean and reliable electricity to approximately 12 million people in Florida [2]. - NextEra Energy Resources, LLC, a subsidiary, is the world's largest generator of renewable energy from wind and solar [2]. Use of Adjusted Earnings - The management of NextEra Energy utilizes adjusted earnings as a non-GAAP financial measure for internal financial planning, performance analysis, and reporting to the board [3]. - Adjusted earnings are considered to provide a more meaningful representation of the company's fundamental earnings power [3].

Core Insights - NextEra Energy reported strong financial results for 2024, achieving an adjusted earnings per share (EPS) growth of over 8% compared to 2023, generating $6 billion or $3.43 per share, exceeding its annual target range of 6% to 8% [3][4] - The company has maintained a compound annual growth in adjusted EPS of over 10% since 2021 and approximately 10% over the past decade, outperforming its peers significantly [4] - Heavy investments in renewable energy have positioned NextEra Energy as a leader in the sector, with the company placing approximately 8.7 gigawatts (GW) of new renewable and storage projects into service in 2024 [6] Financial Performance - NextEra Energy's adjusted EPS for 2024 was $3.43, marking an 8.2% increase from 2023 [3] - The company has consistently delivered long-term value for shareholders, with growth rates more than double the peer-group average over the last three to five years [4] Growth Drivers - The company added over 12 GW of new renewable energy and battery storage projects to its backlog, ending the year with more than 25 GW of projects [8] - Strong demand from commercial and industrial customers for low-cost energy has been a significant factor in driving growth [8] Future Outlook - NextEra Energy expects to grow its adjusted EPS by 6% to 8% annually through 2027, supported by a robust backlog of projects [9] - The company aims to increase its dividend by about 10% annually through at least 2026, driven by high-end growth expectations and a lower dividend payout ratio [10] Strategic Initiatives - The company is evaluating the potential recommissioning of the Duane Arnold Energy Center in Iowa, which could restart as early as the end of 2028 to meet rising power demand [11] - Framework agreements with large companies to deploy another 15 GW of renewable energy capacity through 2030 provide additional visibility into long-term growth potential [12] Conclusion - NextEra Energy continues to demonstrate sector-leading earnings growth, supported by a strong backlog and increasing visibility into future growth opportunities, positioning the company for strong total returns in the coming years [13]

Core Insights - NextEra Energy's stock surged 5.8% following strong Q4 and full-year 2024 results, with a positive outlook through 2027, including solid dividend growth potential [1][2][6] Financial Performance - Adjusted EPS grew by approximately 2% year-over-year in Q4, while full-year adjusted EPS increased by 8.2%, hitting the top end of the company's growth target of 6% to 8% through 2027 [3][6] - The company expects to grow its annual dividend per share by around 10% through at least 2026 [6] Business Contributions - Both utility and renewable energy sectors contributed positively to NextEra Energy's bottom line in 2024, with the company owning the largest electric utility in the U.S. and being a leader in wind, solar energy, and battery storage [4][5] Growth Initiatives - In 2024, NextEra Energy commissioned 8.7 gigawatts (GW) of new renewable and storage projects and added over 12 GW of new renewables and storage to its backlog [5] - The company is collaborating with GE Vernova to develop natural-gas-fired power generation projects across the U.S. [7] Future Prospects - NextEra Energy aims to restart its Duane Arnold nuclear plant in Iowa by the end of 2028, which could further enhance its growth potential [7]

Fourth Quarter and Full Year 2024 Earnings Conference Call January 24, 2025 NextEra Energy 1 Cautionary Statements and Risk Factors That May Affect Future Results This presentation includes forward-looking statements within the meaning of the federal securities laws. Actual results could differ materially from such forward-looking statements. Factors that could cause actual results to differ are discussed in the Appendix herein and in NextEra Energy's SEC filings. Non-GAAP Financial Information This present ...

Financial Data and Key Metrics Changes - NextEra Energy reported its fourth quarter and full year 2024 financial results, with specific metrics to be detailed by the CFO later in the call [3]. Business Line Data and Key Metrics Changes - The executive team, including the CEO of Florida Power & Light Company and the CEO of NextEra Energy Resources, will provide insights into the performance of various business lines during the call [3]. Market Data and Key Metrics Changes - Market-specific data and metrics will be discussed, highlighting the company's performance in different regions and sectors [3]. Company Strategy and Development Direction and Industry Competition - The company will outline its strategic direction and competitive positioning within the energy sector, emphasizing its focus on renewable energy and sustainability [3]. Management's Comments on Operating Environment and Future Outlook - Management will provide commentary on the current operating environment and future outlook, addressing potential risks and uncertainties that could impact results [4]. Other Important Information - The call will include forward-looking statements based on current expectations, with a caution that actual results may differ due to various risks and uncertainties [4]. Q&A Session All Questions and Answers Question: What are the expectations for future growth? - The management team will address questions regarding growth expectations and strategic initiatives during the Q&A session [3].

Core Insights - NextEra Energy, Inc. (NEE) reported fourth-quarter 2024 adjusted earnings of 53 cents per share, exceeding the Zacks Consensus Estimate of 51 cents by 3.9% and showing a year-over-year increase of nearly 1.9% [1] - The company's total revenues for the fourth quarter were $5.38 billion, falling short of the Zacks Consensus Estimate of $6.49 billion by 17% and representing a 21.7% decline year over year [3] - NextEra Energy reaffirmed its 2025 earnings guidance in the range of $3.45-$3.70 per share, with the midpoint lower than the Zacks Consensus Estimate of $3.68 [12] Financial Performance - GAAP earnings per share for the fourth quarter were 58 cents, compared to 59 cents in the same period last year [2] - Adjusted earnings for 2024 were $3.43 per share, an 8.2% increase from $3.17 in 2023, matching the upper end of the guided range [2] - Operating revenues for 2024 totaled $24.8 billion, down from $28.1 billion in 2023 [3] Segment Results - Florida Power & Light Company (FPL) generated revenues of nearly $3.86 billion, an 8.1% decrease from $4.19 billion in the prior year, with earnings per share remaining at 41 cents [4] - NextEra Energy Resources reported revenues of $1.44 billion, down 45.5% from $2.56 billion in the previous year, with earnings per share increasing to 22 cents from 18 cents [4] - Corporate and Other segment revenues were $82 million, up from $25 million in the year-ago period, but the operating loss widened to 10 cents per share from a loss of 7 cents [5] Operational Highlights - FPL's non-fuel O&M cost per customer is 50% lower than the second-best in its peer group, saving customers over $24 monthly on a typical residential bill [6] - FPL's typical residential customer bill is nearly 40% below the national average [7] - NextEra Energy Resources expanded its contracted renewables backlog by adding nearly 3.3 gigawatts (GW) of renewable projects, bringing the total backlog to over 25 GW [8] Financial Position - As of December 31, 2024, NEE had cash and cash equivalents of nearly $1.49 billion, down from $2.7 billion a year earlier [10] - Long-term debt increased to $72.4 billion from $61.4 billion on December 31, 2023 [11] - Cash flow from operating activities in 2024 was $13.26 billion, compared to $8.42 billion in 2023 [11] Future Outlook - For 2026 and 2027, NextEra Energy expects adjusted earnings per share to be in the range of $3.63 to $4.00 and $3.85 to $4.32, respectively [12] - The company aims to grow its dividend per share at a roughly 10% rate per year through at least 2026, based on 2024 figures [12] - NextEra Energy Resources plans to add 36,500-46,500 MW of renewable power projects to its portfolio from 2024 to 2027 [13]

Core Insights - NextEra Energy (NEE) reported quarterly earnings of $0.53 per share, exceeding the Zacks Consensus Estimate of $0.51 per share, and showing a slight increase from $0.52 per share a year ago, resulting in an earnings surprise of 3.92% [1] - The company posted revenues of $5.39 billion for the quarter ended December 2024, which fell short of the Zacks Consensus Estimate by 17.33%, and represented a decline from $6.88 billion in the same quarter last year [2] - NextEra has consistently surpassed consensus EPS estimates over the last four quarters, but has not been able to beat revenue estimates during the same period [2] Earnings Outlook - The future performance of NextEra's stock will largely depend on management's commentary during the earnings call and the revisions of earnings estimates [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.06 on revenues of $7.01 billion, and for the current fiscal year, it is $3.68 on revenues of $29.81 billion [7] Industry Context - The Utility - Electric Power industry, to which NextEra belongs, is currently ranked in the top 38% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked using tools like the Zacks Rank [5][6]

Financial Performance - NextEra Energy reported 2024 fourth-quarter net income of $1.203 billion, or $0.58 per share, compared to $1.210 billion, or $0.59 per share, in Q4 2023[2] - Full-year 2024 adjusted earnings per share grew by 8.2% year-over-year to $3.43, compared to $3.17 in 2023[3] - NextEra Energy expects 2025 adjusted earnings per share to be in the range of $3.45 to $3.70, with continued dividend growth of approximately 10% annually through at least 2026[15] - Operating revenues for NextEra Energy totaled $5.385 billion for the three months ended December 31, 2024, with FPL contributing $3.855 billion and NEER contributing $1.448 billion[27] - Net income attributable to NextEra Energy, Inc. was $1.203 billion, with FPL contributing $845 million and NEER reporting a net loss of $442 million[27] - Adjusted earnings for NextEra Energy were $1.095 billion, with FPL contributing $845 million and NEER contributing $446 million[27] - Earnings per share (EPS) attributable to NextEra Energy, Inc. was $0.58, with adjusted EPS at $0.53[27] - NextEra Energy's operating revenues for Q4 2023 were $6.877 billion, with FPL contributing $4.196 billion and NEER contributing $2.656 billion[29] - Net income attributable to NextEra Energy, Inc. for Q4 2023 was $1.210 billion, with FPL contributing $1.146 billion and NEER contributing $885 million[29] - Adjusted earnings for NextEra Energy, Inc. in Q4 2023 were $1.067 billion, with FPL contributing $846 million and NEER contributing $361 million[29] - Earnings per share (EPS) attributable to NextEra Energy, Inc. for Q4 2023 was $0.59, with adjusted EPS at $0.52[29] - Operating revenues for NextEra Energy totaled $24.753 billion, with FPL contributing $17.019 billion and NEER contributing $7.542 billion[31] - Net income attributable to NextEra Energy, Inc. was $6.946 billion, with FPL contributing $4.543 billion and NEER contributing $2.299 billion[31] - Adjusted earnings for NextEra Energy were $7.063 billion, with FPL contributing $4.543 billion and NEER contributing $3.118 billion[31] - Earnings per share (EPS) attributable to NextEra Energy, Inc. was $3.37, with adjusted EPS at $3.43[31] - NextEra Energy's total operating revenues for the twelve months ended December 31, 2023, were $28.114 billion, with FPL contributing $18.365 billion and NEER contributing $9.672 billion[34] - Net income attributable to NextEra Energy, Inc. for the twelve months ended December 31, 2023, was $7.310 billion, with FPL contributing $4.552 billion and NEER contributing $3.558 billion[34] - Adjusted earnings for NextEra Energy, Inc. for the twelve months ended December 31, 2023, were $6.441 billion, with FPL contributing $4.251 billion and NEER contributing $2.757 billion[34] - Earnings per share attributable to NextEra Energy, Inc. (assuming dilution) for the twelve months ended December 31, 2023, were $3.60, with FPL contributing $2.24 and NEER contributing $1.75[34] - Adjusted earnings per share for NextEra Energy, Inc. for the twelve months ended December 31, 2023, were $3.17, with FPL contributing $2.09 and NEER contributing $1.36[34] - Net income for the twelve months ended December 31, 2024, was $5.698 billion, with FPL contributing $4.543 billion and NEER contributing $1.051 billion[40] - Net income for the twelve months ended December 31, 2023, was $6.282 billion, with FPL contributing $4.552 billion and NEER reporting a loss of $800 million[42] - 2023 earnings per share attributable to NextEra Energy, Inc. was $3.60, with FPL contributing $2.24 and NEER contributing $1.75[43] - 2024 earnings per share attributable to NextEra Energy, Inc. is projected to be $3.37, with FPL contributing $2.21 and NEER contributing $1.12[43] - Adjusted earnings per share for 2024 is projected to be $3.43, up from $2.55 in 2021 and $1.33 in 2014[45] Renewable Energy and Storage Projects - NextEra Energy placed approximately 8.7 gigawatts of new renewables and storage projects into service in 2024, expanding its leadership in power generation[4] - FPL commissioned roughly 2.2 gigawatts of new solar capacity in 2024, contributing to customer savings of nearly $16 billion since 2001[7][8] - NextEra Energy Resources added more than 12 gigawatts of new renewables and battery storage projects to its backlog in 2024, bringing the total backlog to over 25 gigawatts[12] - NextEra Energy Resources is evaluating the recommissioning of its Duane Arnold Energy Center, with potential restart of operations as early as the end of 2028[13] Capital Investments and Expenditures - FPL's full-year 2024 capital investments totaled approximately $8.2 billion, with regulatory capital employed increasing by 10% year-over-year[6] - Capital expenditures for FPL during the twelve months ended December 31, 2024, were $7.992 billion, while NEER's independent power and other investments amounted to $16.215 billion[40] - Capital expenditures for FPL were $9.302 billion, while NEER's independent power and other investments totaled $15.565 billion for the twelve months ended December 31, 2023[42] Rate Adjustments and Customer Impact - FPL estimates a proposed rate adjustment would increase typical residential customer bills by an average annual rate of approximately 2.5% from 2025 through 2029[9] Operating Expenses and Costs - Total operating expenses for NextEra Energy were $4.478 billion, with fuel, purchased power, and interchange costs accounting for $1.092 billion[27] - Total operating expenses for Q4 2023 were $4.611 billion, with FPL accounting for $2.908 billion and NEER accounting for $1.593 billion[29] - Total operating expenses for NextEra Energy were $17.626 billion, with fuel, purchased power, and interchange costs accounting for $5.029 billion[31] Interest and Tax Expenses - Interest expense for NextEra Energy totaled $725 million, with FPL accounting for $304 million and NEER for $47 million[27] - Interest expense for Q4 2023 was $1.981 billion, with NEER contributing $584 million and Corporate and Other contributing $1.090 billion[29] - Income tax expense for NextEra Energy was $171 million, with FPL contributing $157 million and NEER benefiting from a $258 million tax benefit[27] - Interest expense for NextEra Energy totaled $(2.235) billion, with FPL contributing $(1.178) billion and NEER contributing $(1.114) billion[31] Investment Gains and Losses - XPLR Infrastructure, LP investment gains contributed $1.033 billion pretax and $781 million after tax to NEER's results[27][28] - XPLR Infrastructure, LP investment gains contributed $1.129 billion to pretax earnings and $852 million after tax[31][32] - Net losses associated with non-qualifying hedges had an after-tax impact of $(666) million, reducing EPS by $(0.32)[32] - Change in unrealized losses on equity securities held in NEER's nuclear decommissioning funds reduced after-tax earnings by $(74) million and EPS by $(0.03)[32] - Net losses (gains) associated with non-qualifying hedges had an after-tax impact of $(1.497) billion, with NEER contributing $(1.729) billion and Corporate and Other contributing $232 million[35] - Net losses associated with non-qualifying hedges for 2024 are projected to be $0.45, compared to $1.04 in 2021 and $0.18 in 2014[45] - XPLR Infrastructure, LP investment gains for 2024 are projected to be $0.55, compared to $0.02 in 2021 and $0 in 2014[45] - Change in unrealized losses on equity securities held in NEER's nuclear decommissioning funds for 2024 is projected to be $0.05, compared to $0.14 in 2021 and $0 in 2014[45] Asset and Liability Management - Total current assets as of December 31, 2024, were $11.951 billion, with FPL contributing $4.783 billion and NEER contributing $6.403 billion[37] - Total other assets as of December 31, 2024, were $178.193 billion, with FPL contributing $93.358 billion and NEER contributing $82.995 billion[37] - Total liabilities as of December 31, 2024, were $129.283 billion, with FPL contributing $55.065 billion and NEER contributing $35.509 billion[37] - Total equity as of December 31, 2024, was $60.460 billion, with FPL contributing $43.076 billion and NEER contributing $53.488 billion[37] - Total assets for NextEra Energy as of December 31, 2023, amounted to $177.489 billion, with current assets at $15.361 billion and other assets at $162.128 billion[38] - Total current liabilities as of December 31, 2023, were $27.963 billion, with FPL at $8.076 billion and NEER at $13.086 billion[38] - Total equity as of December 31, 2023, was $57.768 billion, with common shareholders' equity at $47.468 billion and noncontrolling interests at $10.300 billion[38] Cash Flow and Financing Activities - Net cash provided by operating activities for the twelve months ended December 31, 2024, was $13.260 billion, with FPL contributing $8.506 billion and NEER contributing $4.527 billion[40] - Long-term debt issuances for the twelve months ended December 31, 2024, totaled $24.769 billion, with FPL issuing $3.205 billion and NEER issuing $7.971 billion[40] - Retirements of long-term debt for the twelve months ended December 31, 2024, amounted to $10.113 billion, with FPL retiring $1.721 billion and NEER retiring $2.381 billion[40] - Net cash used in investing activities for the twelve months ended December 31, 2024, was $22.264 billion, with FPL using $8.384 billion and NEER using $13.532 billion[40] - Net cash provided by financing activities for the twelve months ended December 31, 2024, was $7.000 billion, with FPL using $61 million and NEER providing $8.402 billion[40] - Net cash provided by operating activities for the twelve months ended December 31, 2023, was $11.301 billion, with FPL contributing $8.296 billion and NEER contributing $3.539 billion[42] Corporate and Other Segment - Corporate and Other segment reported a net loss of $0.39 per share for 2023, with a projected net gain of $0.04 per share for 2024[43]