NextEra Energy Partners (NEP) 24 Jul 242024 Q2 Earnings call transcript

Good day, and welcome to the NextEra Energy and NextEra Energy Partners LP Second Quarter 2024 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Mark [ Edelman ], Director of Investor Relations. Please go ahead.

Thank you, Danielle. Good morning, everyone, and thank you for joining our second quarter 2024 combined financial results conference call for NextEra Energy and NextEra Energy Partners. With me this morning are John Ketchum, Chairman, President and Chief Executive Officer of NextEra Energy; Brian Bolster, Executive Vice President and Chief Financial Officer of NextEra Energy; Rebecca Kujawa, President and Chief Executive Officer of NextEra Energy Resources; and Mark Hickson, Executive Vice President of NextEra Energy, all of whom are also officers of NextEra Energy Partners; as well as Armando Pimentel, President and Chief Executive Officer of Florida Power & Light Company. John will start with opening remarks and then Brian will provide a review of our results.

then to will your team executive be answer available questions. Our

of and this during be earnings which the based section Securities the presentation call risks any could non-GAAP of making to each incorrect presentation and www.nexteraenergypartners.com. statements Factors will today's assumptions because conference our not any this materially are Actual and on made the from differ measures. comments forward-looking Risk our to financial our We in assumptions, with of found We undertake statements. Today's reports also in if and and duty and of company and statements call includes other news forward-looking discussed latest website be results release the expectations or Commission, on www.nexteraenergy.com to subject references during our do are key uncertainties. forward-looking which update or filings can Exchange current factors any

the the measure. With that, historical the information the financial non-GAAP GAAP You of should over to closest call contained measures reconciliations today's refer slides presentation I'll definitional and in to to information for John. accompanying turn

good and morning, everyone. Mark, Thanks,

and per delivered results Energy quarter than with year-over-year. X% adjusted increasing NextEra second more earnings strong share

year. At continued and of Resources through The has in FPL FPL, company settlement adjusted our well deliver increased have recent performance of position addition, continued operational the X.X% our the since strong first In Energy our X earnings its we multiple most the both months at year-over-year. our year, per share for meet financial and XXXX. fronts customers start the to objectives overall for to on rate

battery low-cost in We are and capital generation making storage. smart solar investments

combined modernizations overall nearly to fuel saved We XXXX. since cost our customers are with reduce generation and $XX billion have continuing

culture been to of XX% driver and has we're national our of We productivity. and every compared outperformance saving continuous year $X than where the delivering best-in-class nonfuel our average average, the utility. A our O&M, customers better team billion are improvement big

to is customers. By take and business FPL's do, and FPL the average initiative rate its our to than better a of This making annual of its costs, finding that everything capital national Florida period people unprecedented continues residential every X,XXX growth roughly industrial of in with where customers' the Florida. also the in day. better of too. is on commercial growing and be moving the through cost we far kept we and customer number Florida the this run which in it's Project nearly sector not million the of costs identified ranks one fastest-growing fact investor-owned opportunities of the the the out FPL among demonstrated opportunities utilities. among average to the XX% benefit power savings Velocity. minutes industry, a lowest the Florida during company-wide part reduce proposition Nowhere smart has value best than XXXX, of to most $XXX we year. I'm that proud all residential And which our of per bills U.S. the fuel We're seeing we through call national record to sector. we just continue interrupted states below are by reimagine year, reliability investments in the to deliver XX% and

compared compound X% X-year rate grown of growth, a XXXX, at against a has estimated an annual since As growth that rate period. originally anticipated regulatory employed beginning this compound settlement result accelerated the of capital for growth XX% was FPL's the annual

bills our additional growth this amortization to in interim. without reserve the NPL mechanism shouldered which capital absorb through investments enables have customer cost these We for increasing the

support ROE these year an EPS this of fully XX.X% a case and in $XXX each earn growth our increased next. ranges, XXXX XXXX, be to top ROE deliver to account are expects mechanism And expenditures its financial investment million, or of quarter regulatory has to than XX.X% into expectations, in sufficient year. FPL per filing is expected ability is been amortization which already balance has and our to and to recovery and to amortization remaining the faster which our regulatory in capital share impact have been expected disappointed helped $X.XX have unable the through be and Florida we customers, at adjusted of ended XXXX us NextEra next a rate meet FPL's FPL near results with Energy. at reserve expectation will efforts we of each plan second financial utilized year its earnings if reserve taken these customer our expected. for deliver to While seek

demonstrate to the file benefits reserve continue provides we customers amortization case that next protections mechanism to expect year. We the rate our and when

our is continuing leader vision to franchise the on costs. being high retired cycle but of best low These our outside customers value at well. from benefiting and a on what and to smart higher We Energy demand, the are of to down as to making are low-cost customers doubling battery are only regard by industry of been types on and efficient replacement storage. do Resources, deliver been to we has look two customer cycle believe growth what outstanding renewables delivering attributes less cycle Our have the inside country FPL. Growth cost, former, an demand. we Florida long replacement in for is be for beneficiary a favor bills and proposition they the and FPL to by regulators, forward utility in capital and best, reliability important us. investments important is we we occurring not At generation Florida, where With

time, replacement demand a cycle around cycle has been for expect We growth continue. And is to long demand new. this while

has as for few is Florida, demand a static is changing Xx fast With the That's for That of in our low-cost to to being growth prior driven grow expected demand a exception industry which been states as by the power across compared from decades. power X. to new projected such X opportunity growth to deploy decades demand sectors, generation. multiple over next long-term create the is faster

to expect X X XXX as the we years resources demand. help at it has already demand power triple Energy positioned As pipeline, a interconnection half our process couldn't ready. to prior renewables next increased new the for queue conference, better which is be in meet the versus or gigawatt this the we investor is over of highlighted interconnection

us meet our customer our where go. and build it analytical scale, and demands the coupled get relationships required, to base. Underpinning with transmission new of to Our experience to needs and system to power competitive with growing us and capabilities experience enable industrial advantages technology, with power decades commercial where these the are to of operators and data, that our position utilities well ability

Resources best from growing added origination Google storage quarter X,XXX Our meet origination the projects storage. The continued combination never their economies renewables which growth our met by of our be has agreements ever. megawatts demand. help in speaks to our that data for second of results for to of This and evident. importance of new new ability will These backlog support a renewable belief more bulk this meet the center demand demand renewables been marks with power to results the and megawatts over battery power storage come itself. Energy of quarter, drive XXX

continue to has as nation all is above and generation multiple revitalizing and meet paying are must of centers, as a forms alternative to data Renewables domestic sunshine. driving growth to them and in also are rely on the base forward. compared that up investment their They communities extremely shift stood electrify going demand. re-domesticate which increasing wind good center industry strategy of success country's deploy support tax our to American the energy to country to accelerates jobs our importantly, to artificial factories, embrace an making economy electric and growth, fast As significant facilitate independent across across we storage our to intelligence. America. creating and And is rural a vital is And they

for demand customers are experience As energy business. positioned every increasingly we the are the energy right decisions part in them of their solutions, chain clean help value company the to and make uniquely smart with

keep generation. a fuel, operator we are Florida, globally. are particular. whole and and build gas-fired generating of move we needs brighter subject as to time more power aware to realities gas-fired and generation and considerable volatility natural owner has our new power and get prices fleet to Low-cost helped making the the gas well natural states, to unit for expensive turbines. takes the gas is future country X- conscious of fuel the also fast most period price It's in large gas-fired importance down, yet of in all competitive energy delivered to As need of generation never Ultimately, renewables also the the of deploy bridge our a of deploy waiting the been more economy the we in X-year as sector to given as a forms for renewables, forward

As I've NextEra built for Energy our this stronger. future has been been outlook never and saying, moment was

focus outside support building to and our where new Florida is while transmission strategic clean inside low-cost to and Our both energy storage customers deliver required for new generation.

team. the and platform We and win the playbook we environment, have importantly, have most the to any in

industry continue than tomorrow set Energy, demands Our day, for strategic to And creating and the making and to Nobody meet I value every over to I beginning grow NextEra opportunity positioned Brian our the to over believe that anyone. With wouldn't shareholders. energy the of call we and customer I that to FPL. competitive expand providing decades to detailed with difficult results with of will differentiation in continue firmly better is that, is trade replicate. advantages will turn distance X the customers the cover

Good Thank everyone. morning, you, John.

share capital The of FPL the was growth XXXX, increased year-over-year. this of year-over-year. quarter For principal FPL's XX.X% by $X.XX driver performance regulatory of per approximately earnings employed second

to regulatory X billion expect term, over expenditures agreement which capital FPL's annual rate capital We billion. roughly were $X.X full realize investment through approximately be $X year growth and the FPL quarter, expect we to our and in billion XX% capital XXXX to XXXX. FPL's for average current $X.X runs between year continue employed

billion. FPL's year increased to expect weather, retail period approximately customer comparable Over agreement, had due positive which the sales X.X%. current X-year second settlement the to a usage from of we exceed prior X.X% impact per capital quarter warmer on FPL's investments year-over-year $XX

in FPL sales by retail second basis. result, a weather-normalized X.X% the a quarter on grew As roughly

purposes fourth XX.X% the reported will months for December FPL's XX is And realized XX in approximately ROE XXXX. For XXXX, regulatory for the the regulatory months June be be expected ROE ending to mentioned XX.X%. quarter previously, ending the

Energy increased new driven Energy $X.XX by of adjusted per year-over-year. per continued to XX.X% increased $X.XX earnings Resources, Now turn At let's at year-over-year. which Contributions from growth earnings growth year primarily renewables portfolio. reported investments in year-over-year, by -- Resources, adjusted approximately share share per XX.X% our

wind supply you'll in comparative was increase clean Our resource from of during quarter of strong combination a portfolio quarter of resources per the share Energy decreased of by the depletion Texas energy primarily last an the of existing recall XX% certain $X.XX had decreased share in pipelines business, and contribution approximately sale second estimates, our per versus lower from $X.XX The average Partners. per our customer to XXXX. share. Contributions XXXX the to nonrecurring earning the increased by NextEra which the production $X.XX XXX% related infrastructure quarter. Wind business reflecting second for due long-term higher expense gas year, items by

impacts driven new infrastructure any earnings basis allocate pennies and continue origination, and a storage earnings gas Resources by in impact per going adding from reduced again going investment quarter, quarter more saw share. Energy what development on [ contributions had may renewables offset relative renewable we expect increased $X.XX forward. we this to growth to storage strength to the flat megawatts to next Gas the program, While be few to more a backlog. ] than we transmission. Similar to effectively expected new Infrastructure's our by of capital a as we other of slowing X,XXX the renewables, quarter, All forward strong see are growth

providing Energy of With the program our into Resources' great more our which on placed megawatts call, visibility roughly last deliver we these investor to account XX.X in development additions, our backlog at our new totals gigawatts since into than taking projects X,XXX [indiscernible] recently conference. [indiscernible] after expectations, now ability earnings

over to and the the to years We XXX expect the and in ready service few backlog into XXXX. Energy pipeline years go additions into gigawatt next customer respond making is demand. Resources' will

grid transmission have understanding advantages and We competitive constraints.

storage stakeholders Entergy, have collaboration and serving the with is customer renewable We we build and load execute and goals. We order we proprietary power of excited to And energy for couldn't to technology best long-term across system great established their X.X grid. growing build utilities deploy and to more where with be targeting we relationships are needs, increased with the both goals. solutions site on the leverage our our help to new help gigawatts them to work our solutions strong them can customers. A transition meet customer projects these example in demand can

Another example is our with Google. collaboration

quarter's to and in Google additions to said backlog total in XXX support technology brings assets operation That center data and needs. their signed include data customers, including earlier, backlog this John As with with portfolio center megawatts X gigawatts. renewables our

competitive position customer the a Our optionality and new on existing speed while dramatically solar beyond, our the by resource as our as X well wind by even years storage to meet to further also sites co-located existing deploy provides potentially our This utilizing time market X or execute option embedded interconnection for portfolio. on we to with from stretching from needs to advantaged is for improve existing footprint value portfolio can and lines capitalizing interconnection powers. [indiscernible] our unique the operating

Beyond say to we're storage, Pipeline renewables service. that now and is in excited Valley Mountain

XXXX $X.XX share per now year-over-year. earnings to from second consolidated Turning Adjusted Corporate increased results. Other and by quarter

partial the units, wind into entered of a solar billion $XXX Resources quarter, and Energy million. interest for During an Blackstone projects to agreement of recently, issued approximately portfolio $X with and in equity the NextEra sell

expectations, our which at financial long-term stated Our remain last investor unchanged. we month conference,

From flow share 'XX our XXXX at cash be continue adjusted EPS grow year least XXXX, XXXX deliver XXXX annual also adjusted a at able XX% range compound near operating if results XXXX. we at above expect disappointed XXXX, the financial We through to expectations will dividends off be roughly or our rate not And growth will continue we're range. expect XXXX, end annual our in to at of we and per base. growth to in that to top our EPS per average or to

As always, assume our expectations our caveats.

basis, a Partners. X% NextEra quarterly X.XXX or Partners earlier. Energy ] annualized Turning year common declared Board on approximately Yesterday, up next unit per $[ unit to a of common Energy per NextEra $X.XX an distribution from

balance partnership to now call, down [ buyout maturity $XXX of to holdco next renewables $X.X last paid in After this earnings of ] the with the XXXX maturity million roughly month, completed sheet. XXXX Turning the billion cash our equity $XXX NEP Since debt liquidity. million approximately earlier partnership repayment June on our hand. convertible a and of the has

the Let results. detailed me turn to now

Second million. was quarter EBITDA adjusted million $XXX and available cash was for distribution $XXX

quarter assets, New projects, which cash either primarily for the reflect contributions from approximately $XX XXX net and [indiscernible] closed XXXX, megawatts of second EBITDA that of million distribution. adjusted in available commercial $X new or million approximately of XXXX of operations in contributed

XXXX. $XX adjusted quarter from resource long-term approximately quarter during partially approximately XX% and the by by XXX% EBITDA contribution second million in resource generation. Second driven of quarter, average lower year-over-year, the Wind projects offset the existing grew favorable of versus solar by wind primarily was

available Pipeline for the $XX X% which cash of quarter the received by of growth XXXX continues see proceeds the from fourth as declined $X.XX, current the portfolio benefit per distributions expectations divestiture per remaining with assets. From reasonable our LP at Texas million, to respectively, a these annualized partially million of EBITDA at per common interest target and being per an least rate XXXX. distribution the $XX of offset Finally, in unit X% a year distribution of the cash and X% unit sale a of partnership growth adjusted of year range to is through base by approximately from

[ to XXXX. to XXs NextEra the ratio ] through the in be expects Energy Partners high partner's mid- payout

on that common is be payable per the expect annualized of unit. to fourth We XXXX, and $X.XX quarter XXXX rate February distribution the

with next growth same continuing now. a partnership's time, of Energy we portfolio is of convertible for secure the for at as to terms address the NextEra remains all the look have In Partners, steps distribution discussed the At previously, competitive buyouts. to And to equity capital. X% you partnership remaining financing target cost options

target acquisition-related Partners to XXXX does not in meet growth until need XXXX. Energy need not equity an and a NextEra financing does X%

portfolio clean the of assets organic owns large and repowering Partners from attractive portfolio. high-quality, long-term existing Energy growth partnership the of has a contracted its NextEra energy

in we We coming as the expect address to share these quarters more objectives.

Partners to for cash Energy forecasted and NextEra run million, XXXX, billion EBITDA from million for range December be $XXX and adjusted in portfolio $X.X available contributions of its respectively. rate expects XX, distribution at $XXX the $X.X to billion to

portfolio from reflect contributions at forecasted XXXX. As year-end run a calendar projections XXXX year-end the rate reminder, XXXX year

As our a our are concludes questions. further with And that, we'll reminder, line remarks. subject prepared the to expectations open for caveats. That our

from first The Steve comes question Fleishman Instructions] Research. from Wolfe [Operator

Can you hear me?

you. can Yes. Steve, hear we

Just the reserve what's ramped back a Could the Is planned? on maybe update driven of ROE. and the first increased -- it the just a earned kind to lot you just on amortization that just John, more on comment. again, of the little in color give comments capital you've than on quicker usage? Or go that terms just initially that up

absolutely, Steve. No, Yes.

we've a that A we lot service regulatory into we around our capital accommodated in So When thought settlement growth. have has of entered XX% as It's territory. employed be of first lot we X%. the our actually back agreement had been in population around Florida. growth to impacted that 'XX,

strong for has because and that plans plans amortization into full XX.X% capital 'XX $X.XX% It's that 'XX. is probably folded surplus expect is in a to look right and that think, demonstrates a expectations the as on impact here next got point around I'll it it. And believe the forget that for investments $XXX 'XX growth we've impact financial we balance CapEx in of account year a last Steve, the next see. We -- our forward a around that $X.XX be don't into we we big these based this good today million concern make right surplus we the already into see of year. so I full next filing. and our about additional recovery our ability help an And this we that can year for with a really the from ROE in the it really further to are, very and will are those [indiscernible] that's terms plus which And FPL business, how to full made, would take heading we where year and the this, for not fact customers. And mechanism have cover capital still is, year that

remember the So really this is to investments the that at -- additional as to with the surplus regulatory we accommodate FPL make just mechanism intended deal new growth. to lag

So addressing very we is financial in impact something next. like and about and feel we're expectations about this. not that where up feel This will is doesn't year comfortable we worried something we that our this end

you on that that the any in the portfolio Okay. then $XXX And just the million, was mentioned, the financing of the on portfolio? stake And sold? size Blackstone or information that --

was of a there's we the we mix takeaway a the private portfolio, able here just investors I really the mean a assets. being as that demand in is growth, equity gigawatt do. I for were quarter this X.X renewable of gigawatts real X is And the developer. given a recognized great all And Yes. think and to positive market real example are the NextEra It for assets. top

a forward. a And of work the as years, us is opportunities has and really working X with them. we equity and win-win trajectory to for long or strong going us, equity potential private it going a have back for good history have X last private We with

the And they we our With table. do. in of the we really lot terms capability between what to there's organization, of two a organizations the that Blackstone like crossover bring

good this us. so fit for was And a

the stake, is And stake just the a ]? [ -- [ -- is the X.X ] what's piece of X.X percent their or

They invested alongside us. capital

X.X And so they have gigawatts. a that partial interest portfolio in

at your And but the the know not [ just wind, recent seeing turbine with know this issue. turbine recent maybe by and Vineyard feeling about any just a And issue issues? talk And to just then doing was on last ] you're question, performance lawsuit Can you're with them? are how I just GE that? you there filed -- Wind, turbines I offshore AP. you

Yes.

we the I'll a win first, top For recognized the in as mean, us, I I we partnership operator with really start GE. the are have decile wind, with operator that business. fact of real best think, look, a And

turbines have time. when parts, to look, from they'll runs so moving issues But with GE And time years. our XX have partnership

in And we're so structure getting we've arrangements And them. always able really issues never fixed. win-win to with any had things

any conciliatory future. they've way well as a in and the managed problems been with So always arise portfolio, to GE addressed and

comes question next Pourreza Guggenheim from The Shahriar Partners. of

some you current use quick, continuing mean, timing NEP. the just something of believe on you're new options guys dividend I pricing pressure mean it get you So I I before under options. we but the somewhat in on range standard or reiterated are for language get guess obviously, not." Can have around goes we the a language, can what 'XX? evaluate start sense is "which of I about? confident CAGR, done to all how word at now And thinking level Brian, want to the obviously also favorable

we NEP looking that put cost way better is sets around makes sense terms we're success solutions for Thanks, us And capital, alternatives which in are of the to you improve a are the in that be we back various at in Yes. lot NEP the that of both in And of going cost and on capital we as of remarks, the really spending prepared would required forward. successfully time at [indiscernible]. said do looking tackle attention address what what in all really on, and terms our requires to back-end are able options constructive the Obviously, a position then how how be do to the getting those is this of to in do Shar. table. a

So as part all of that, are we obviously alternatives. exploring

that one The as thing potential mentioned we is we've good there private avenue well. time. capital have So as

have said We We've market, in until planned do growth don't equity 'XX, anything. time needs 'XX. to drops have for don't [indiscernible] the have XXXX. to we We

And so around being our we thoughtful are approach NEP. about

think, Got out it. a of mentioned take in direction next to get definitive this that I of to Is maybe not the mouth, sort year? quarters. couple words something And this but -- we'll just is some Brian, of his

it, Sure. I use language solution Yes. once we over on put quarters. the sense, obviously, want then. deadline think think don't we is next but we but I that to will makes not a the a that identified firm few then until And we share have

on as large the obviously, of definitely you're supply sort of Perfect. hyperscalers? then levels, [indiscernible] quarter. to Google kind a existing the just Okay. bottlenecks and was to meet strategy backlog beyond, space And expand navigate just these year, you're your conditions in to chain, the congrats to was especially contract on we've some a right? It of contributor. I the as and of higher seen like chain these become maybe very do So development a the of kind much like needs as key maybe end, guess, look strong governor can customers, energy-intensive on challenges supply around trying through continuing that higher 'XX right, we protections

Yes. Good question, Shar.

matters how I at then lot spent the been one, ADCB ever our impacted. not more and made June, supply We're this chain. in a around the and time things. tariffs of attention those in about filing at we business. So than and and I comment, still this March And both Number some conference there's in investor here's think

the our would also and the supply our from have made that program, data that effort we the last very analytical is perspective sure around perform. more have a transfer And years, incentive to and risk think over making lot spent to So leverage a we bigger And our provide an time it investor supplier. we around chain. really of have security have the conscientious about adequate we capability and I investment in around made the of have we couple way

suppliers. want to to case So we on and have with AD seen are you're haven't with where also risk the or for they've X our the we forward, of quarter gigawatts build any whatever reason, that? The our position have reason ultimately company. arrange is able when their had able transfer up related terrific of lot that that been CVD put have contractors we going -- and over really Why that to and for work a is in to projects. type numbers tariff have haven't a financing smaller a vendors That's developers follow-through expect or us. for been to not like And

put And been would that a But greater ever. risks emphasis, even obvious to more want I that not to making are taking left means is our that us so what suppliers might we there's we the with always work things than in where sure position your are by on you say, list. a around

that forward. the our chain been into ever over happy our with years of couple risk very job we've in done folded and so lessons how team the have And I contractually supply perspective. approach really last has a going from feel better than the about where all we learned and that we stand agreements

next The Dumelansmith from question Jefferies. ] [ comes from Joanne

period? mean curious sell-down, I'm it's think notable in think core business, being focusing about specifically with about about and these on of these as about, right, year. portfolio how forecast pair monetization after speak the related, mentioned I focus, do you sort back here? of asset sale instance, then different as the you how the Blackstone to to continuing as that on ongoing transmission you latest back the do gas the to assets earlier. you about like, portfolios Can how infras recycling asset other pare think headlines renewables think How renewable think of you you here? As through you or you for you But if will? And relative last streamlining some or sales assets mix do XX-XX FCG

]. Yes. question, No, [ good Julien

standpoint, the for than options that of have feel have we the recycling I a going terms forward in better from So ever portfolio.

we asset have are attract assets, are and of capital on recycle obviously, the renewable renewables, history a the to about of making always terms ability to effort. market reputation great that, In mix conscientious and in a able had portfolio. But we we our around terrific think which look, around being how capital which we've I a think also

we're comments I think investor outside wind, it's inside that transmission, conference core it's is Florida, both I at Florida. it's our looking solar, the of storage, right? at Our battery made these core business, business

That to do so capital we And you extent infrastructure to will around recycling our of top as raised the business. some well. continue targeted mind. Transmission, be gas can

side opportunities. the identifying new job, being success of We target, a having has return sense there's partner And deals. a in a could I just good And terrific we team the some lot are done on of think, to of based those competitive transmission. on that the transmission in structure on

the those we so have think about lose think, two and recycling as at those about over conference, at targets. From in mix portfolio. And don't perspective, we to I things look those in assets opportunities we how where numbers certainly been sleep us is But investor I a a gave been we that renewable well which are meet manage that certainly to ability targeting we the terms as it your business to any last puts continue that they future. have position contribute question. think But And in the to future. the of addition capital the obviously, the those those as we opportunities

folks forecast go we are our beyond You know, on even very that looking phone at know rigorous X-year most and that. about I think and the

in mix a what and have our are we headroom, of lot we're undertakings the our headroom obligations are agencies. business mix. looking And at so our lot a and constantly with And of

well plan, So is concern. mix. what on are not recycling issue. undertakings a That is And business headroom the plenty but I fits not our of there, that an with think capital

Excellent. clarification the And just question. last a on

Just bookings, is bit milestone the new an here quarter in there. that be with the to Just kind is for of a run getting size to up X to counterparties, it good terms of here? respect down gigawatt going fairly set new little expectation here? rate trying that quarter-to-quarter and again, these moving lumpy of Or of given a

going to Rebecca. one to turn I'm Absolutely. over that

caveat of each Each in first little couple ago. over where it a then that lower quarterly the top even last second excited consistently more think last quarter said we be couldn't best it's topping And quarter, being X being today. I a origination, in the bit than that years. additions ironically, I've we've to ever a origination them where the quarter, We their this can a produce them, only be had. I'll of we been Julian. of that quarters that the are quarters and said right about lumpy. couple quarters we've set bit little today that able the it own the I record obviously, not of

a -- with of last always little month, all there's see that today, continue about investor growth the combination and a over is conference the long is to the bit there. But opening consistent outlook bumpiness replacement made talked very we remarks comments in what So just the we cycle that and in John cycle tremendously positive his the that term. the of us at for

as we materialize the Some on of growth little this last longer side, take month. a also highlighted is bit to to going

we some of and even 'XX some to those see of what today notably added we see you'll stronger our -- the 'XX in our X and beyond. strong the years 'XX that value But overall, proposition of megawatts very to added the particularly the we outlook. backlog that gigawatts additions customers is our As bright a team and execution bring and to and

Campanella question Nick The Barclays. from comes from next

today. Shar's all Thanks for information up follow I on just want the comments. to

extent kind kind the they higher of You talked materialize. through about to tariff of being these to of pass able some costs

also kind a Day in And previous return changes can just the for of for Analyst how projection at Just about there's if that this communicated ] I'm kind of NIR quarters. [ rate the that you you year. cuts curious talk two

just If on that. us update you could

Sure.

always all, labor, of it's are of to in cost know, you as around those one of And our it's not also only First -- investment equipment cost, locking we locking looking in locking is manage only not risk it's decisions. risks but capital. in our capital

products been very sure mindful swaps regard. our we've So we making of capital are in as hedge that of renewable cost that rate in locking we our through interest portfolio, approach

in future forward, those think plans X, we where financing moving -- of those time, Obviously, very have exposure -- the rate same risk I for and cuts, have be if that the fronts. business. the that those up X given we about financial risk at and end who we have As ultimately the on the account rate and the would expectations, we But we're materialize, knows prudent top rate don't managing our those already into business. taken the the tailwinds the the interest on across

supplement John, new the kind of you've have I And lot I this you how nuclear how [ about Duane been kind you'd a the that's ability contracted, this even of this demand ] I potential nuclear I That's do there Is were juncture? restart. of to also portfolio. Arnold something of And positioning strategic pretty kind portfolio? helpful. think with realistic inflection consider that we power your then headlines about but renewables. about understand think clear -- just is that? at of guess And

of we not is around it is lot And of as to that Duane regard for from that ], demand Nick, Thanks, can a associated thought. service a is the well. Arnold it. looking to real assessment lot Obviously, Arnold is Duane able with plant with but something obviously, With go be a you [ something ]. And something are that were the there a that of on market without lot Sure. at, risks into thought bringing there opportunities that to has would do question [ do think nuclear nuclear. if into and back a I we

it, plenty sure, looking is through. we with risk-free the would would a are we're that essentially at at a of few do looking work to if are mitigants but so it. that And things in there only it approach. But And around yes, we could have way we we it do

Jeremy Tonet from comes question next The from JPMorgan.

Just to benefit point? you trends comments wanted in And get Analyst market could see what at that on -- going in very wondering Day, you've the PPA the forward? of demand potentially going bit And just the right now, more market. as to some strong the back discussed, a how this color little renewables pricing NextEra at

Thanks, we're adding the in we value to think need Jeremy. shareholder confident We've to what returns continued see strong order highly and we that I respect questions. conversation to with appreciate be almost and at at minimum there's out And I we that point. thresholds where investor there opportunities we this is significant laid have are about would that think customer the returns the conference demand. very

which make we a We to of last the difficult pricing, disruption we seeing market years and minimum have on and both side unique was attractive returns. I'd customers. returns. or It marketplace and the And a [indiscernible] risk our more equipment backdrop, seen couple fortunately, our to even in supply either and chain an sure dynamic. the it's capital side the a declining product over price positioning say were when for is at also and certainly very helpful providing stable decreasing attractive very positive that we've our attractive get increasing slightly

So XX% excited storage, of getting projects our connected, the to speed talked and the of today, renewables market, those queue position. month more portion the the of And last United attractive fact are to across healthy be States our those. as renewables between storage well in that about and as be clean attribute the of have price, couldn't all and I a the the we about as we megawatts,

So shareholder a many to add a ahead. we're I in think of in great continue lot the value years to shape

Stanley. The comes David next from question Arcaro from Morgan

think much into center be these of coming of that's Or month really now their potentially just is utilities here? nail demand. I'm by as we hearing just learning in down, seem numbers renewables in just It getting already your some pipelines, could to you see wave territories? wondering, be demand of more, month, another your megawatts requests. targets load fast-growing how service rapidly, with around do country We're moving data thousands the they seems utilities more to of

Rebecca. numbers requests that industry I'll the Yes, challenging lot see seen we is operators from a but interest certainly that customers a center power chime how don't of center the are bit it's it's here. much the same for and various that ultimately before. or any hearing little these customers, think has our is data of I from whether across large are in things no David, the data sector to the data fact escaping -- that is very numbers there utility multiple potentially hyperscalers. It center,

a it's demand only long it, be time, megawatts out that So how take but it online the power we our both figure that strong transmission customers. be. From it sector comments and and as see well being term consistent as to you month, perspective, the if to to as lot might bring we from data seeing is going not the of and to and rationalize up ends customers the interest, with this going are center procure address last required also to on serve think our it, hyperscalers as some we over

of show even up that in 'XX you're in our But and now and of that origination. some that seeing -- clearly You're 'XX. of show also some more 'XX up time seeing frame this

projects to online they our utility are when support for we up come will customers. lining As these

to to to terrific utilities sector it a to really a I So think for it. in I see for But going very are couple It to But growth that's a this haven't our us. standpoint, it's for do couple absorb practical of take from a is very years the interesting able think decades. and excited. materialize serve seen we all this of we be backdrop that

I to help Some of these difficult there's and no our partner are challenges going believe to company solve, to them. better customers, solve with be

interested locations? single was or And projects Yes, these location when technologies here? that in hyperscaler the Is deals? And idea you any bigger then Are these Thanks then make coming of understood. you're solar, just timing what you Are are location that on? would these in be multi-gigawatt, details an deals. of color. provide it pursuing relationship multiple be some kind sense the wind, Google for customers? of on products other same terms you maybe hyperscaler that hyperscaler around maybe for multiple framework? or I would along Is multiyear able embedding storage, curious there lines, with those a Just to a

David, reasons, Well, a of it specific more than one variety certainly I'll to broadly just including for sensitivities. Sure. answer customer,

those But they would variety competitive percentage data sent -- they positioning. the these technologies, I And shift the from hyperscalers an or wind, to solar with these comments interested speaking, of specifically new projects then for are to trying of be associated that own them for a is data broadly many contracts change probably center were storage. perspective, Some build. customer their are for support increasing were certainly are would very say biggest and they specifically of that had. And otherwise that them centers battery in demand hyperscalers of our a and more these a

want project to sure interest it's So I in less just as these the U.S. are time. at in the they anywhere online same getting and resources be power come virtual those support my could the local there are centers connected utilities to purchase the make -- where data a to pure to agreement in jurisdictions can

side So very important it's of more the and load a partners much which really in expected and becoming perform up are that. show deliver that one other they market on and the because physical their as

perspective. that's proposition a So our very attractive from

the making to that most variety on add we come a listen, forms in customers. relates different of were it and these As sure factors. focused But structured agreements, value could for That we need delivering there value you and really And when those but structures them with we'll update it's they being focused as evolve, and creating us. is focus around for them. for primary our

comes Sachs. question Carly from Goldman next The Davenport from

has lot election a in landscape since earnings start, obviously to last your U.S. just call. Maybe changed the

just expectations us what development through that the implications on you plans? So on to IRA legislation talk on your impact modification any can and potential have latest your might renewable

and election said, who from incentive single is those House from is look change U.S. that drive doesn't seen to more investments. renewables lower the that country the of that in dictate And energy electricity to where about quanassential, ahead take that. jobs. by that further recent And in forget quickest power and in the energy And And I some in in. And any time, NextEra. base remarks some above play, the important developments. And is when And state an really forget are of and dollars of benefiting incentives hundreds money those economic It's tax curtail with the make every aisle. That invested helps at but Republican state. let's go go They the number is credits create states, going The create fast-to-deploy we've favor the investment that tax particularly light work going renewables across in my tariffs, the a one market dominance years option our that going. made we've of property in at I'll almost go that script down we communities. of think billions in electricity let's tariffs I lowest growth the Senate, generated renewables to to clean also sectors, I -- industrial customers both power infrastructure and to demand to from. aisle and Otherwise, time with Renewables transforms and real are to role of let's all company. both kind today, independents. that in not our every in data the sides up not thin the in of some low-cost, and from Energy Republican embracing the the in I've communities, invest fuel going select different, centers, they the are volatility. not And than the to of Carly. the subject to I'm of low of country. this from only around Sure, day of And bills and through been we're are new been sectors with start power directly slow Energy almost going are and why. And as growth bills and the the to which states attract cost the are working we power chip investment with really American have able don't manufacturers credits that to sun think the need sides and American down, XX ever. next, likely increase to can to the investments I price that laws are and always their are across within to the which semiconductor hard very and we've the Low-cost energy also It's wind. from in IRA And to they U.S. the margins the bringing driven other is difficult away renewables are are which country own here. in see And very to looking impact states invest prices. positive lawmakers going in turn overturn. form we're every

accelerated. credits look power that, jobs, a So much in customers that property text-based you that and at new that America rural why investments to would needed that creating lower flow when It place, that needed battery all you creating prices, attract make stores. at reasons, expect just cut remain are in deploy And we provide the when a wouldn't fast for result the sense. in all credits the to resource is wind, the demand these to time solar,

both we while stand. long to Again, where a we engagement campaign, aisle. would have the heated expect things about through all, feel sides the in history fall of constructive we with rhetoric all So hear good of

sign really a being Awesome. potential And the to wind was demand particular The helpful. bit an quarter you of an in that? from Wind that's of I color. you'd weaker this think follow-up point the in just It's on a Anything acceleration driving backlog. that saw bit on the a inflection several. of sort side? all do last appreciate in

to complementary we the very it's consistent backlog. necessarily wouldn't Things what the we're any terrific with to again, presentation hopeful with our part the kind as around and is our draw over excited we were able backlog to over of John I add the these immensely on about customers maybe, remain laid valuable SaaS we have, optimistic, month as last And look years. But in as month, wind early comments and are conclusion. cycle been with where going the potentially customers. of consistent solar and to whom Carly, I our today that Rebecca. to the contract add expectations last cost terms our we made believe out to may I just that maybe the lines the that them. additional right It's and storage we and backlog. X materials as the that back going lower make But of am now, X-year projects I too strongly in comments to with conservative this it. area some were time. of after side did low and the in pleased technologies partnership We wind, period, highlighted, next deploy, targets as battery obviously that are say projects It prior additional to lumpy be is to have

And create so we'll we our period continue base over for of availability having of time. to three, think the value customer all long a

Andrew next The Scotiabank comes from [ question from Weisel ].

how the purely many of just clarify, that year or include sense I you you you've you please. Just X pace, right, transmission? numbers, per you round one If been tech give also clarify, data does roughly a a us and with to maybe add? And storage? Can then of terms have solar to could customers. center in think quick heard said is also I gigawatts megawatts total adding in just that if expect wind, you Or

Andrew, it's Rebecca.

are seen technology in of we mix we what probably fairly technologies, with gigawatts just with coming So trends service overall are in backlog gigawatts years. build that that consistent is a a development. for project ones the now already and roughly to the those is over X roughly plan companies, that X the renewables trend-wise, It are have of for

wind weighted are storage, and entered then time, towards that for time. And are hyperscalers to but to starting service balanced service. over with be those as already that new get of I the period deliberately weighted demand likely data more solar center and operators of more longer are a heavily put these we've to they're So even expect now, as particularly center towards projects in projects in backlog, out relationships these products in over terms data as into more

seeing new trends. of development ultimately with directly need certainly bringing them X-way be on with well both in utilities as are data them kind overall to a to of and demand, lot continue serve that will with as are, themselves. consistent these collaborations these the roughly they And them speaking, we broadly centers we'll adding and as So

what working the Do centers? of on transmission Great. data Or with see side more your is you on were Okay. much you describing? an opportunity focus

the very a operators the with to and system getting storage the whether renewables perspective, by -- accelerated and themselves. transmission demand, a replacement it and resources and to all built it of and both to that's transmission. We to from important bit. little owners this built. a in as further say not need that changing it they're of would I is transmission be supportive is consumed, new gets incredibly order you understand able demand, hyperscalers center complex changing be optimally particularly growth see served understand transmission how data to transmission and But need is cycle build what's demand it historical now it and was where gets get which and and generated, transmission the most But operators interest interact they're most is from optimally to from the operators the the technically

So wanting us in transmission, are don't having gets ensure that own long-term to objectives. others support it build they and necessarily their them to but see I built very interested

comes ISI. from Evercore next from Chopra Durgesh The question

all -- answered. been my Just questions have other

and Any [indiscernible] origination, on that political that impacting of away Is that questions future? is much of from of actually up much on customers but contracts on in keeping appreciated. your signing quarter that Just one repeal contracts? Is is -- renewable color -- that a Carly's potential your election quick sign on the How strong come that you negotiations? how had really unstability ability to your does risks. follow-up into

they did if not Yes. that modifications is is I for But which all. there reasons through. only not curtailing believe to were went demand, believe at the Durgesh, certainly short If demand not. really it's accelerate something we answer anything, that be absolutely the that going

This today's the concluded. has now conference concludes our attending question-and-answer you Thank presentation. for and session,

disconnect. now may You