Oct 21, 2026 earnings call — Execution of growth plan and federal hubs
Company kept 2026 adjusted earnings per share guidance at $3.92 to $4.02 and is targeting the high end.
Revenue $8.1B (est $8.5B) · EPS $1.24 (est $1.20)
Key quotes
"Starting with the federal hubs, we have signed definitive agreements to develop, construct, and operate 3 projects across Texas and Pennsylvania, totaling approximately 16.5 gigawatts that have secured $5.7 billion in initial funding year to date."
"In preparation for the storm, FPL assembled a restoration workforce of approximately 17,000 men and women from 29 states, pre-positioning crews, equipment, and supplies ahead of the storm so that restoration could begin as soon as conditions were safe."
"We have doubled the residential bill credits from 2 to 4 years, provided an additional $100 million of shareholder-funded support for Dominion Energy's customer bill assistance program through 2038."
Analyst Q&A 10
earnings outlook and Virginia deal
Q (Steve Fleishman · Wolfe): How should we think about rebasing the near-term outlook given tracking to the high end and early federal hub income? Also, what about the governor's office proposals in Virginia and a path to resolution?
A: Management said they expect adjusted EPS of $3.92 to $4.02 this year and are targeting the high end despite expected El Niño wind impacts. They pointed to their S-4 for long-term growth assumptions and said the combined company with Dominion would have 9%+ long-term EPS growth. On Virginia, they outlined affordability, jobs, and clean energy benefits, highlighted almost $2 billion in rate credits and other commitments, and said they will rebut intervener testimony and pursue hearings in mid-November.
"As you noted, we expect to have adjusted earnings per share of $3.92 to $4.02 this year and are targeting the high end of that range." — John Ketchum (CEO·CHAIR)
permitting bill and federal hubs
Q (Paul Zimbardo · Jefferies): What are your thoughts on the permitting reform bill and what did the federal hubs contribute in Q3 and what should we expect in 2026–2027?
A: They said permitting reform is positive and needed to build more linear infrastructure like transmission to meet rising power demand, and they applaud Congress working on it. For federal hubs, management said early years produce relatively modest payments tied to development activity, with modest payments in 2026 and 2027 that grow through 2032, and operating fees from 2032 to 2052 equate to roughly half the EPS as if they owned the facilities.
"In the interim early years, it's going to be a relatively modest payment that is based on the development activities that we are pursuing." — Mike Dunne (CFO)
Florida data centers and equity needs
Q (Constantine Lednev · Wells Fargo): For Florida data center targets, how much visibility and timing do you have and are turbines available? Also, any changes to equity needs or funding plans with market tightening? Any path to concessions in Virginia rebuttal?
A: They said they remain confident on Florida and have a large pipeline of over 20 gigawatts of interest; these deals are complex and they expect to announce a deal before year-end, using battery storage to serve initial gigawatts. On equity needs, they reiterated expected equity issuances of roughly $12 billion-$17 billion through 2032 and noted diversified global funding and project-level partners; and on Virginia they said the rebuttal/hearings can allow compromises on specific issues but stand behind their filing.
"We have a large pipeline of over 20 gigawatts of interest as we've indicated in prior quarters." — Scott Bores (CEO)
asset sales and Florida deal size
Q (Nick Campanella · Barclays): With gas development now capital-light and related earnings retained, can you do fewer asset sales and is that reflected in plans? Also, any comment on the potential size of the Florida data center deal?
A: Management said they plan to hold assets through life and not rely on capital recycling to meet equity needs, though they will recycle when outside parties value assets more than they do. They said the base plan is to hold projects unless opportunistic offers arise. On the Florida deal size, they declined to comment until an announcement.
"But our base plan for how we run our business is to not rely on capital recycling to meet equity needs because we believe these projects are best suited for our investors." — Mike Dunne (CFO)
solar cost pressures and PPAs
Q (Carly Davenport · Goldman Sachs): Are you seeing cost pressures on solar from rates, tariffs, and equipment, and can you pass higher costs through with PPA price increases?
A: They said customer demand for solar remains strong and solar remains a compelling option versus alternatives, and they believe their supply chain gives them a competitive advantage. They also said combining solar with storage (longer duration) increases appeal, and they expect the product mix to remain consistent over time as customers shift between capacity and energy needs.
"First of all, we continue to see in our discussions as we look to the future with customers, strong demand." — John Ketchum (CEO·CHAIR)
Virginia do-no-harm and Point Beach timing
Q (Nick Amicucci · Evercore): How should we think about the do-no-harm standard in Virginia and the Point Beach recontracting and its earnings uplift timing?
A: They said the legal standard is adequate service and just and reasonable rates (the do-no-harm statute) and highlighted affordability measures including 4 years of credits totaling almost $2 billion and a $100 million EnergyShare step-up through 2038, plus local job commitments. On Point Beach recontracting, they said current contracts roll off 2031 to 2033 and a new contract will be put in place, with an expected overall contribution of roughly $0.21 on average under the new contract; management clarified this is recontracting the existing facility, not an upgrade.
"The standard is adequate service, just and reasonable rates, right?" — John Ketchum (CEO·CHAIR)
call connection issue
Q (Jeremy Tonet · JPMorgan): (Analyst line issue) The analyst said sorry about line/mute; no substantive question asked.
A: Analyst apologized for a muted/connected line. No substantive question or management answer occurred in this turn.
call connection follow-up
Q (Jeremy Tonet · JPMorgan): (Analyst greeting) Analyst rejoined the call and said good morning; no question yet.
A: Analyst said "Hi. Good morning." There was no management answer in this brief turn.
nuclear strategy SMR vs large
Q (Jeremy Tonet · JPMorgan): Within NextEra's strategy, is there room for large-scale nuclear or is the focus on SMRs? What are the trade-offs?
A: They said they build for customers and will let customer needs and investor protections guide nuclear choices. Management expressed a bias toward SMRs because of lower capital scale risk as they re-enter new-build, but they will consider large-scale if protections are right and customers prefer it.
"I would say those are going to be our first 2 guiding lights as we look at opportunities, which is, one, what does the customer need?" — Brian Bolster (CEO)
transmission growth and passing rates
Q (David Arcaro · Morgan Stanley): With transmission already growing faster than plan, is there more upside? And can you pass higher cost of capital into new renewable PPAs and returns?
A: They said they expect roughly 20% to 25% CAGR and rate base growth from 2025 through 2032 and believe current actions position them to hit that metric, while additional upside is most likely on gas transmission though expectations are already high. On renewables and rates, they said PPAs lock interest rates at signing, customers need power so they can compete and pass through interest costs, and tax credits also lower wind and solar costs; management added the rate environment is removing low-margin competitors, supporting their position.
"As we look at our transmission broadly, and we looked at roughly 20% to 25% CAGR and rate base growth from 2025 through 2032, we believe that what we are doing today positions us well to hit that overall metric." — Mike Dunne (CFO)