Cms Energy Corporation · NYSE:CMS
Cms Energy — Shareholder Meeting (May 2016)
15 slides from Cms Energy's shareholder meeting presentation, May 6, 2016
Slide 1: Annual Shareholders' Meeting
Annual Shareholders’ Meeting John Russell May 6, 2016
Slide 2: Agenda
Agenda • Strategy • Financial Performance • Operational Performance Safety Reliability Affordability Sustainability • Company Value • Q&A JGR 1
Slide 3: CMS Strategy
CMS Strategy “CMs EERE Consistent FINANCIAL PERFORMANCE Fair & Timely REGULATION CUSTOMER nvestwent | VALUE SAFE crrsarions JGR2
Slide 4: Financial Performance
Financial Performance EPS a Dividend 7% $1.99-$2.02 7% $1.24 $ 1.20 $1.16 5%-7% 6% $1.89 1.10 6% $1.08 7% 14% $1.02 1.00 96¢ $1.77 27% 7% 0.90 84¢ $1.66 7% 0.80 $1.55 0.70 66¢ 7% $1.45 0.60 7% $1.36 0.50 Peer Average b 7% 3.2% 0.40 0.30 0 2010 2011 2012 2013 2014 2015 2016 2010 ___ __ 2011 2012 2013
Slide 5: Stock Performance
Stock Performance $41.35 CMS 281% S&P 500 191% S&P 500 Utilities 172% $14.74 May Sep Jan May Sep Jan May Sep Jan May Sep Jan May Sep Jan May Sep Jan May-4 2010 2011 2012 2013 2014 2015 2016 JGR 4
Slide 6: Safety
Operational Performance: Safety Injury Incident Rate 3.00 2.58 49% 2.00 1.30 1.00 0.00 2010 2015 Consumers Energy Generation: Best in U.S. JGR 5
Slide 7: Reliability
Operational Performance: Reliability Generation Outage Rate Distribution Outage Rate 72% 18% 2010 2015 2010 2015 Reliability improvement in Generation and Distribution. JGR 6
Slide 8: Affordability
Operational Performance: Affordability Residential Electric Price Residential Gas Price 5% 5% National Average 0% 0% National Average -5% -5% -10% -10% -15% -15% -20% -25% -20% 2010 2015 2010 2015 The average customer pays about $3 a day. The average customer pays about $2 a day. Natural gas prices
Slide 9: Customer Satisfaction
Operational Performance: Customer Satisfaction J.D. Power Customer Satisfaction Surveys 1st 2nd 3rd 4th Business Business Residential Residential Electric Gas Electric Gas 2010 2015 1st quartile improvement. JGR 8
Slide 10: Sustainability
Operational Performance: Sustainability • Number 2 overall among 50 U.S. utilities -- Sustainalytics • Environmental Champion, Midwest -- Market Strategies International • Michigan’s Best and Brightest Sustainable Companies -- National Association for Business Resources 4th to 1st quartile performan
Slide 11: Sustainability
Operational Performance: Sustainability • Largest investor-owned utility closure of coal generation in the U.S. • Energy Efficiency • Purchased natural gas generation plant – Jackson • More renewables – wind & solar Cleaner generation portfolio. JGR 10
Slide 12: Environmental Impact
Environmental Impact % Reduction 2010-2016* 0% -10% -20% -17% -30% -40% -39% -40% -50% -60% -62% -70% -80% -79% -90% -91% -100% Carbon Dioxide Water Usage Mercury Particulate Matter Nitrogen Oxides Sulfur Dioxide *2016 YE forecast following coal plant closures Significant reductions. JGR 11
Slide 13: CMS Energy – Company Value
CMS Energy – Company Value $ 12 May 4, 2016 $11.5B 10 8 Market Cap (bils) May 20, 2010 $3.4B 6 Dec 31,1988 $2.0B 4 2 0 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2
Slide 14: Slide 14
Slide 15: Earnings Per Share By Year GAAP Reconciliation
CMS ENERGY CORPORATION Earnings Per Share By Year GAAP Reconciliation (Unaudited) 2010 2011 2012 2013 2014 2015 Reported earnings (loss) per share - GAAP $1.28 $1.58 $1.42 $1.66 $1.74 $1.89 After-tax items: Electric and gas utility 0.03 - 0.17 - - - Enterprises (0.03) (0.11) (0.01) * 0.03 * Corporat