NEE Q2'26 Conference Call Notes

Three things from NextEra Energy's call, starting with: The S-4 filing reveals Energy Resources EBITDA $4B higher than December guidance, driven by better-than-expected renewables/storage returns

Three things that matter from NextEra Energy (NEE) in its Q2’26 call:

1. The S-4 filing reveals Energy Resources EBITDA $4B higher than December guidance, driven by better-than-expected renewables/storage returns: Management buried the lead: their internal forecast shows NEER EBITDA ~$4B above December investor day projections for 2032, with Mike Dunne confirming ‘the performance we are seeing in our originations on the renewables and storage side is better than what we had anticipated.’

2. Federal hub definitive agreements slipping from ‘2-3 months’ to ‘continuing to progress’: The 9.5 GW U.S.-Japan gas projects that were supposed to close in ‘2-3 months’ (per Q1) are now just ‘continuing to progress’ with no timeline, suggesting government negotiations hitting snags.

3. FPL’s 21 GW of large load ‘interest’ hasn’t converted to a single signed deal yet: Despite taking large load expectations from 6 GW to 8 GW and having ‘12 GW in advanced discussions,’ they still haven’t announced a single transaction under the new tariff.

Disclosure Quality: B- | Financial Quality: C

Track NEE’s promise history and grade trend: callsheetdaily.com/tickers/nee

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Delta Sheet

• ▼ Adjusted EPS: $1.04 (10% YoY) → $1.15 (9.8% YoY through H1) (Decelerating growth)

• - FPL Customer Additions: ~100,000 YoY → 90,000+ YoY (Still strong but moderating)

• ▲ FPL Retail Sales (weather-normalized): 0.3% YoY → 0.6% YoY (+30 bps acceleration)

• ▲ FPL Regulatory Capital Employed Growth: 8.8% → 9.3% (+50 bps improvement)

• ▲ Energy Resources Backlog: 33 GW → 35.1 GW (2.1 GW net adds)

• ▼ Quarterly Backlog Additions: 4.0 GW (Q1 record) → 3.6 GW (-400 MW sequential decline)

• ▲ Battery Storage Additions: 1.3 GW → 2.0 GW (+700 MW acceleration)

• ▼ Renewables Recontracting: 600 MW @ 18-year terms → 500 MW @ 15-year terms (Shorter duration, lower volume)

• - Recontracting Premium: $20/MWh above realized → $20/MWh above realized (Stable pricing power)

• ▼ Data Center Hub Count: 30 hubs → 30 hubs (targeting 40 by year-end) (No new hubs added)

• ▲ FPL Rate Stabilization Reserve: $1.2B after-tax → $1.3B after-tax ($110M reversed (building cushion))

• ▲ Interest Rate Hedging Program: $43B → $46B ($3B increase)

• ▲ Energy Resources EBITDA 2032 (per S-4): December guidance baseline → $4B above December guidance (Massive upward revision)

• - FPL Large Load Pipeline: Not disclosed → 21 GW interest, 12 GW advanced discussions (First quantification)

• ▲ Operating Cash Flow Growth Expectation: Not specified → At or above EPS CAGR (New disclosure)