Dte Energy Company · NYSE:DTE
Dte Energy — Corporate Update (December 2024)
26 slides from Dte Energy's corporate update, Dec 16, 2024
Slide 1: Business Update
Business Update December 16, 2024
Slide 2: Safe harbor statement
Safe harbor statement The information contained herein is as of the date of this document. DTE Energy expressly disclaims any current intention to update any forward-looking statements contained in this document as a result of new information or future events or developments. Words such as “anticipa
Slide 3: Recent business development progress supports long-term growth
Recent business development progress supports long-term growth • Significant legislation recently passed through the Michigan House and Senate — Championed legislation that expands eligibility and doubles state funding for energy assistance for low-income customers — Strongly advocated for legislati
Slide 4: Well-positioned for growth; investing heavily in utilities and delivering premium shareholder value
Well-positioned for growth; investing heavily in utilities and delivering premium shareholder value • Highly engaged employees focusing on delivering for customers; ranked #1 in customer satisfaction with business natural gas service in the Midwest by J.D. Power1 • Advancing regulatory proceedings t
Slide 5: Economic development fuels Michigan’s growth
Economic development fuels Michigan’s growth • Michigan ranked in the top 10 by CNBC for America’s Top States for Business in 2024 • Maintaining strong collaboration on business development in Michigan to attract a range of customers, including data centers • Significant investment in Michigan, supp
Slide 6: Executing on customer-focused capital investment plan while maintaining affordability
Executing on customer-focused capital investment plan while maintaining affordability Investing in customer-focused initiatives… …while maintaining affordability • Modernizing electric grid: preparing for impacts of increased • Distinctive continuous improvement culture drives cost extreme weather e
Slide 7: DTE Electric: transformational investments in distribution and generation
DTE Electric: transformational investments in distribution and generation • Progressing toward constructive rate order • Received constructive feedback from third-party audit of electric distribution system — Highlights the importance of strategic investment to achieve the most impactful results for
Slide 8: DTE Gas: replacing aging infrastructure to ensure reliability and transition to net zero emissions
DTE Gas: replacing aging infrastructure to ensure reliability and transition to net zero1 emissions • Capital investment plan focused on infrastructure improvements and decarbonization, with a continued focus on safety and affordability for our customers — Significant investment recovered through In
Slide 9: DTE Vantage: strategic focus on decarbonization solutions for customers
DTE Vantage: strategic focus on decarbonization solutions for customers • Continued progress on project development — Expanded long-term, fixed-fee custom energy solutions agreement with Ford Motor Company in Tennessee to build, own, operate and maintain its central utility plant and distribution in
Slide 10: Maintaining strong cash flows, balance sheet and credit profile
Maintaining strong cash flows, balance sheet and credit profile Strong balance sheet supports robust customer-focused investment agenda • Customer-focused capital investment plan is supported by consistent, healthy cash flows • Targeting minimal equity issuances of $0 - $100 million annually through
Slide 11: Appendix
Appendix 11
Slide 12: Highly engaged team committed to delivering best-in-class results for our stakeholders
Highly engaged team committed to delivering best-in-class results for our stakeholders Continuing best-in-class engagement, health and safety of our employees ✓ 2024 Best Place to Work for Disability Inclusion Award Addressing our customers’ most vital needs ✓ Ranked #1 in customer satisfaction with
Slide 13: Committed to maintaining affordability for our customers; top quartile in bill growth
Committed to maintaining affordability for our customers; top quartile in bill growth over the last 3 years State comparison – electric residential bill change % from 2021 to 20241 1st quartile 2nd quartile 3rd quartile 4th quartile U.S. average 16.4% Great Lakes average 9.6% 0.6% DTE Great Lake pee
Slide 14: 2024 operating EPS guidance midpoint provides 7% growth over 2023 original guidance midpoint
2024 operating EPS1 guidance midpoint provides 7% growth over 2023 original guidance midpoint (millions, except EPS) 2024 guidance DTE Electric $1,100 - $1,120 DTE Gas 295 – 305 Warmer weather DTE Vantage 125 - 135 Continued strong performance of contracted physical power and Energy Trading 30 - 40
Slide 15: Cash flow and capital expenditures guidance
Cash flow and capital expenditures guidance Cash flow Capital expenditures (billions) (millions) 2024 2024 guidance guidance Cash from operations1 $3.3 DTE Electric Capital expenditures (4.7) Base infrastructure $630 Free cash flow ($1.4) New generation 1,200 Dividends (0.8) Distribution infrastruct
Slide 16: Environmental, social and governance efforts are key priorities
Environmental, social and governance (ESG) efforts are key priorities; aspiring to be the best in the industry Environment Award-winning commitment to ESG priorities • Transitioning towards net zero emissions at both utilities • Accelerating transition to cleaner generation • Protecting our natural
Slide 17: 2023 IRP settlement outlines accelerated path to cleaner energy
2023 IRP settlement outlines accelerated path to cleaner energy First 5 years (2023 - 2027) Generation mix1 (MWh %) • Ceasing coal use at one Belle River unit in 2025 and remaining unit in 2026; converting to 1,300 MW natural gas peaking resource 1% 3% 2% • Adding 1,200 MW of solar 22% 17% 32% • Add
Slide 18: Energy policy drives Michigan’s clean energy future and supports our cleaner energy journey
Energy policy drives Michigan’s clean energy future and supports our cleaner energy journey • Accelerates the pace of decarbonization and deployment of renewables − Renewable compliance standard of 50% by 2030 and 60% by 2035 − Clean energy standard of 80% by 2035 and 100% by 2040 − Allows MPSC to a
Slide 19: Progressing on EV initiatives
Progressing on EV initiatives Charging Forward Program 2019 • Promoting EV education, infrastructure and adoption program inception • Providing residential and commercial rebates, infrastructure support and fleet advisory services • Offering unique solutions such as EV rebates for low and moderate i
Slide 20: MIGreenPower program continues significant growth
MIGreenPower program continues significant growth ~1,900 • Allows customers to attribute up to 100% of electricity use to business customers renewable sources • Recognized by National Renewable Energy Laboratory as having the largest Green Tariff program in the country, fulfilling more load under co
Slide 21: Natural Gas Balance program empowers customers to manage their carbon footprint
Natural Gas Balance program empowers customers to manage their carbon footprint 2021 program inception • Affordable way to address up to 100% of carbon emissions from natural gas usage in heating, water heaters, cooking and other home uses without adjusting a customer’s energy use or making changes
Slide 22: Building on the momentum of the last decade, committed to Michigan investments and supplier diversity
Building on the momentum of the last decade, committed to Michigan investments and supplier diversity 2023 Michigan spend (millions) $2.7b invested with Michigan businesses in 2023 $890m invested with Detroit suppliers in 2023 $28 invested with suppliers owned by women, minorities, veterans, $990m m
Slide 23: Committed to Diversity, Equity and Inclusion; creating a safe and welcoming environment
Committed to Diversity, Equity and Inclusion (DEI); creating a safe and welcoming environment Employee groups create an inclusive environment where differences Health and safety of our people is a priority are celebrated and a sense of belonging exists for all employees • Multiple safety committees
Slide 24: Governance framework provides shareholder rights and enables sustainable value creation
Governance framework provides shareholder rights and enables sustainable value creation Best-in-class governance practices Composition of DTE Board of Directors • Lead Independent Director 1 8 • All board committees are composed exclusively of independent Directors 33% 92% gender or • Stock ownershi
Slide 25: Executive management compensation plan is aligned with our stakeholder priorities
Executive management compensation plan is aligned with our stakeholder priorities Annual or long-term incentive metrics • Employee engagement Our team • Employee safety • Customer satisfaction Our customers • System reliability • Customer satisfaction Our communities • System reliability • EPS Our i
Slide 26: Reconciliation of reported to operating earnings and definition of net zero
Reconciliation of reported to operating earnings (non-GAAP) Use of Operating Earnings Information – Operating earnings exclude non-recurring items, certain mark-to-market adjustments and discontinued operations. DTE Energy management believes that operating earnings provide a meaningful representati