Xcel Energy Inc. · NASDAQ:XEL
Xcel Energy — Q1 2025 Earnings Presentation
31 slides from Xcel Energy's earnings presentation, Apr 24, 2025
Slide 1: First Quarter 2025 Earnings Report Presentation
FIRST QUARTER 2025 EARNINGS REPORT PRESENTATION April 24, 2025 © 2025 Xcel Energy 1
Slide 2: Safe Harbor
Safe Harbor Except for the historical statements contained in this presentation, the matters discussed herein are forward-looking statements that are subject to certain risks, uncertainties and assumptions. Such forward-looking statements, including those relating to 2025 EPS guidance, long-term EPS
Slide 3: 2025 Q1 Highlights
2025 Q1 Highlights • 2025 Q1 EPS of $0.84 compared to $0.88 in 2024 Q1 • Reaffirming 2025 EPS guidance of $3.75 to $3.85 • Invested $2.3 billion in resilient and reliable energy infrastructure • Continued progress with $10+ billion additional investment pipeline • Minnesota commission approval of ~5
Slide 4: EPS Results by Operating Company
EPS Results by Operating Company First Quarter Operating Company 2025 2024 PSCo $0.45 $0.39 NSPM 0.32 0.38 SPS 0.10 0.10 NSPW 0.07 0.08 Earnings from equity method investments 0.01 0.01 Regulated utility 0.95 0.96 Holding company and other (0.11) (0.08) Total GAAP and Ongoing diluted EPS $ 0.84 $ 0.
Slide 5: Additional Investment Pipeline
Additional Investment Pipeline • MN resource plan settlement for ~5,000 MW Generation RFPs • SPS resource plan targeting 5,000 – 10,000 MW • Colorado resource plan for 5,000 – 14,000 MW $10+ Billion • MISO Tranche 2 Pipeline of Transmission • SPP 2024 ITP Portfolio Additional Investment • Incrementa
Slide 6: Resource Plan Updates
Resource Plan Updates • Filed October 2024 • Forecasted need of 5,000 – 14,000 MW of new capacity from 2028 to 2031 Colorado Resource • Assumes 3 – 7% annual sales growth in resource scenarios Plan • Commission decision expected by Fall 2025 • RFPs expected in early 2026 • MPUC approved settlement F
Slide 7: Keeping Customer Bills Low
Keeping Customer Bills Low 2014-2024 Residential Electric CAGR = ~1.7% Average Xcel Energy Residential Bill to 2014-2024 Natural Gas CAGR = ~(0.6%) National Average Electric Natural Gas $98 $98 $99 $89 $83 $84 $84 $80 $81 $81 $80 $81 Electric $68 $62 -12% $54 $58 $51 $48 $42 $48 $45 $44 Natural Gas
Slide 8: CO Wildfire Mitigation & TX Resiliency Plan Settlements
CO Wildfire Mitigation & TX Resiliency Plan Settlements Settlement Details • Unanimous settlement • Approval of ~$1.9 billion of investments (capital and O&M) • Cost recovery of proposed investments through a WMA rider Colorado Wildfire • Transmission investments continue to be recovered through the
Slide 9: Quarterly GAAP and Ongoing EPS Change
Quarterly GAAP and Ongoing EPS Change $0.15 $0.01 $0.20 -$0.11 Rate Cases 0.08 -$0.10 $0.88 -$0.09 Fuel Cost $0.84 Recovery 0.04 -$0.06 Fuel Cost Recovery 0.08 -$0.04 Other 0.03 Non-Fuel 0.08 Riders Rate 0.04 Cases 2024 Q1 Electric Revenues Natural Gas Other, net O&M Electric Fuel & D&A Interest Cos
Slide 10: Sales and Customer Data
Sales and Customer Data 2025 Q1 W/A Retail Electric Sales Growth 2025 Q1 YoY Electric Customer Growth (leap year adjusted) 4.8% 1.1% 1.2% 1.1% 1.1% 0.6% 1.3% 1.4% 1.9% 0.1% NSPM NSPW PSCo SPS Xcel Energy NSPM NSPW PSCo SPS Xcel Energy 2025 Q1 W/A Natural Gas Sales Growth 2025 Q1 YoY Natural Gas Cust
Slide 11: NSPM Rate Case Updates
NSPM Rate Case Updates Minnesota Electric North Dakota Electric Minnesota Natural Gas Proceeding No. 24-320 Proceeding No. 24-376 Proceeding No. 23-413 November 2024 request December 2024 request November 2023 request • Base rate increase of ~$473 million • Base rate increase of ~$45 million • Base
Slide 12: NSPW Rate Case Updates
NSPW Rate Case Updates March 2025 request • Electric: base rate increase of ~$94 million in 2026 and an incremental ~$57 million in 2027 (~$151 million total) • Natural Gas: base rate increase of ~$20 million in 2026 and an incremental ~$4 million in 2027 (~$24 million total) Wisconsin Electric & •
Slide 13: Data Center Growth
Data Center Growth Data Center Load Growth 1 GW Data Center Total Customer Requests = ~8,900 MW Data Center ~1 Million Sales CAGR Residential Customers +2.6% 2024 2029 ~3 GW Renewable & Firm Dispatchable Contracted Data Centers Base Case Forecast Additional Opportunity 13
Slide 14: 2025 Ongoing EPS Guidance: $3.75 - $3.85
2025 Ongoing EPS Guidance: $3.75 - $3.85 Earnings Drivers Key Assumptions (as compared to 2024 levels unless noted) Constructive outcomes in all pending proceedings, including requests for deferral of Regulatory proceedings incremental insurance costs associated with wildfire risk and recovery of O&
Slide 15: Balanced Investment Thesis
Balanced Investment Thesis 6-8% EPS Growth ~9-11% Total Shareholder Return ~3-4% Dividend Yield 4-6% CAGR | 50-60% Payout Ratio 15
Slide 16: Balanced Investment Thesis
Balanced Investment Thesis • Met or exceeded earnings guidance for 20 consecutive years Regulated Utility that • Dividend increases for 22 consecutive years Consistently Delivers • Strong balance sheet and credit metrics • Low customer bills and declining share of customer wallet Resilient, Reliable
Slide 17: Appendix
APPENDIX 17
Slide 18: RFP Schedule
RFP Schedule RFP In-Service By Status • MPUC approved settlement February 2025 800 MW Firm Dispatchable 2028 • 420 MW company-owned gas CT • 300 MW company-owned battery 1,200 MW Build-Own-Transfer Wind* 2028 NSP • Multiple recommendation filings in 2025-2026 • ~2,800 MW company-owned wind 650 MW So
Slide 19: ROE Results – Ongoing Earnings
ROE Results – Ongoing Earnings Ongoing ROE* 2024E Rate Base Twelve Months Ended 3/31/2025 SPS 10.43% 16% 8.75% 9.41% 8.48% NSPM 8.40% 7.88% ~$47 37% Billion PSCo 41% NSPM NSPW PSCo SPS Total Xcel Energy NSPW OpCo 6% * Ongoing ROEs exclude impact of Sherco Unit 3 2011 outage refunds 19
Slide 20: 2025 Q1 W/A Electric Sales Growth
2025 Q1 W/A Electric Sales Growth NSPM NSPW PSCo SPS Residential C&I Total Retail 4.5% 5.0% 4.8% 3.1% 1.3% 1.3% 1.3% 1.4% 1.1% 0.7% 0.1% -0.2% Leap year adjusted Extreme weather variations, windchill and cloud cover may not be reflected in estimates 20
Slide 21: Xcel Energy W/A Sales Growth
Xcel Energy W/A Sales Growth Residential C&I Total Retail Electric Natural Gas Electric Natural Gas 1.8% 1.0% 1.5% 1.9% 1.9% 1.4% 1.2% 1.0% 1.0% 0.5% -0.1% -0.7% YTD YTD YTD YTD 2023 2024* 2025* 2023 2024* 2025* 2023 2024* 2025* 2023 2024* 2025* * Leap year adjusted Extreme weather variations, windc
Slide 22: Base Capital Expenditures by Function
Base Capital Expenditures by Function $ Millions 2025 2026 2027 2028 2029 Total Electric Distribution $2,570 $3,000 $3,400 $3,320 $3,540 $15,830 Electric Transmission $2,260 $2,860 $2,740 $2,390 $2,310 $12,560 Renewables $3,360 $1,400 $260 $0 $0 $5,020 Electric Generation $1,210 $1,150 $910 $580 $62
Slide 23: Base Capital Expenditures by Company
Base Capital Expenditures by Company $ Millions 2025 2026 2027 2028 2029 Total NSPM $3,240 $2,500 $2,830 $2,080 $2,570 $13,220 NSPW $640 $650 $690 $660 $670 $3,310 PSCo $5,820 $5,190 $3,940 $3,780 $3,550 $22,280 SPS $1,400 $1,540 $1,280 $1,040 $1,040 $6,300 Other* ($100) ($40) $10 $10 $10 ($110) Tot
Slide 24: Financing Plan 2025 – 2029
Financing Plan 2025 – 2029* $ Millions $4,000 $500 $15,180 $3,730 $3,730 $45,000 $25,320 CFO** Maturing Refinanced Incremental Equity Equity Base Plan LT Debt LT Debt Debt (Other) (DRIP) * Financing plans reflect tax credit transferability and are subject to change ** Cash from operations is net of
Slide 25: 2025 Debt Financing Plan
2025 Debt Financing Plan $ Millions Issuer Security Amount Status Tenor Coupon 3-Yr 4.75% Hold Co Unsecured Bonds $1,100 Complete 10-Yr 5.60% 9-Yr 5.35% PSCo First Mortgage Bonds $1,000 Complete 30-Yr 5.85% 10-Yr NSPM First Mortgage Bonds $1,100 Q2 N/A 30-Yr SPS First Mortgage Bonds $450 Q2 30-Yr N/
Slide 26: Strong Balance Sheet and Credit Metrics
Strong Balance Sheet and Credit Metrics Plan 2025E 2026E 2027E 2028E 2029E FFO/Debt ~17% ~17% ~17% ~17% ~17% Debt/EBITDA 5.6x 5.4x 5.3x 5.1x 5.0x Equity Ratio 41% 41% 41% 41% 41% Hold Co Debt/Total Debt 23% 21% 22% 22% 22% Credit Ratings Moody’s S&P Fitch Xcel Energy Unsecured Baa1 BBB BBB+ NSPM Sec
Slide 27: Smokehouse Creek Fire
Smokehouse Creek Fire • Our distribution poles appear to have been involved in an ignition of the Smokehouse Creek Fire and the smaller Reamer Fire (which burned into the Smokehouse Creek Fire) – We dispute claims that we acted negligently in maintaining and operating our infrastructure – We have es
Slide 28: Marshall Wildfire
Marshall Wildfire • Xcel Energy agrees with the Sheriff’s report that Twelve Tribes caused the first ignition – which was burning for more than an hour before the second ignition • We dispute the conclusions in the Sheriff’s report that our equipment caused the second ignition, which reportedly star
Slide 29: Marshall Fire Spread Timeline
Marshall Fire Spread Timeline By the time of the second ignition (~12:20 p.m.), fire from first ignition had already spread to Superior (1) Approximately 11 a.m. – First ignition on Twelve Tribe’s property (2) 12:03 p.m. – Fire reported past Howard Barry Water Treatment Plant 2 (3) 12:06 p.m. – “F
Slide 30: Marshall Fire Spread Timeline
Marshall Fire Spread Timeline Red/Orange Dots Show Property Damage Fire Spread Leading to Time of Second Ignition Source: Denver Post 30
Slide 31: © 2025 Xcel Energy
© 2025 Xcel Energy 31