Nrg Energy, Inc. · NYSE:NRG

Nrg Energy — Q4 2025 Earnings Presentation

52 slides from Nrg Energy's earnings presentation, Feb 24, 2026

  1. Slide 1: Fourth Quarter and Full Year 2025 Earnings Presentation

    NRG ENERGY INC. FOURTH QUARTER AND FULL YEAR 2025 EARNINGS PRESENTATION February 24, 2026 1

  2. Slide 2: Safe Harbor

    SAFE HARBOR Forward-Looking Statements In addition to historical information, the information presented in this presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Exchange Act. These statements involve estimates, ex

  3. Slide 3: Agenda

    • Results & Business Review • Financial Highlights • Closing Remarks • Q&A AGENDA Dr. Larry Coben Bruce Chung Chair & CEO Executive Vice President & CFO NRG 4Q25 Earnings 3

  4. Slide 4: Key Messages

    KEY MESSAGES Exceeded Raised 2025 Guidance; Initiated 2026 Guidance Ranges, Inclusive of LS Power Portfolio Closed Acquisition of LS Power Portfolio and CPower Platform Refreshing Long-Term Outlook; Extending 14%+ Adjusted EPS CAGR Through 2030 Bring Your Own Power and Load Management Solutions Supp

  5. Slide 5: 2025 Business and Financial Highlights

    2025 BUSINESS AND FINANCIAL HIGHLIGHTS ($ millions, except per share amounts) 2025 Financial Results 2025 Priorities Scorecard Financial & Operational Results Adj EPS1 Adj EBITDA ✓ Exceeded the raised midpoint across all guidance metrics ✓ Top decile safety performance +21% +8% $8.24 $4,087 Growth I

  6. Slide 6: LS Power Portfolio Transaction Closed

    LS POWER PORTFOLIO TRANSACTION CLOSED ` Competitive Generation Capacity Doubled ~25 GW Competitive generation fleet following LS Power portfolio acquisition Pre-Acquisition Post-Acquisition Fuel 52% Natural Gas1 76% Natural Gas1 Type 48% Coal & Other 24% Coal & Other +10.8 GW EAST I +2.1 GW ERCOT Ac

  7. Slide 7: Near & Long-Term Earnings Growth Outlook

    NEAR & LONG-TERM EARNINGS GROWTH OUTLOOK ($ millions, except per share amounts) Initiated 2026 Guidance Targeting Long-Term Adj EPS Base CAGR of 14%+2 (Includes 11 months of LS Power) (Growth rate will vary from year to year) 2026 Guidance Long-Term Adj EPS Base CAGR Adjusted Earnings per Share $7.9

  8. Slide 8: Our Approach to Affordability

    OUR APPROACH TO AFFORDABILITY Bring Your Own Power (BYOP) Smart Energy Savings Grid Reliability at Scale Large loads fund the capacity they require Lower bills through intelligent energy use Investments that benefit all customers > 6.4 GW Incremental Natural 1 GW Residential VPP and Leading 1.5 GW T

  9. Slide 9: Financial Highlights

    FINANCIAL HIGHLIGHTS NRG 4Q25 Earnings 9

  10. Slide 10: 2025 Financial Results

    2025 FINANCIAL RESULTS ($ millions, except per share amounts) Adjusted EPS1 Record Full Year 2025 Results Driven by +21% Superior Financial and Operational Performance $7.85 $8.24 $6.83 $7.25 • Texas benefitted from improved margins, supply cost optimization, and favorable weather • East includes ga

  11. Slide 11: Reaffirming 2026 Guidance

    REAFFIRMING 2026 GUIDANCE ($ millions, except per share amounts) 2026 Guidance1 Adjusted EBITDA $5,325 - $5,825 (Midpoint $5,575) Adjusted Net Income2 $1,685 - $2,115 (Midpoint $1,900) Adjusted EPS2 $7.90 - $9.90 (Midpoint $8.90) Free Cash Flow before Growth (FCFbG) $2,800 - $3,300 (Midpoint $3,050)

  12. Slide 12: 2026 Capital Allocation

    2026 CAPITAL ALLOCATION ($ millions) $3,050 1,097 No Change from Previously Disclosed $950 LS Power Indicates Change from Previously Disclosed (midpoint) 123 1,113 $2,100 Legacy FCFbG (midpoint) 407 $310 2026 Liability Management Integration Share Common Plant & Other Excess Cash1 & Pref. Divs. Cost

  13. Slide 13: Adjusted EPS & FCFbG/Share Growth Plan

    ADJUSTED EPS & FCFbG/SHARE GROWTH PLAN ($ per share) Adjusted EPS CAGR FCFbG CAGR $14.00+ $22.00+ 14%+ 14%+ $8.90 $14.50 $7.25 $11.20 2025 Original Guidance 2026 Guidance 2030E 2025 Original Guidance 2026 Guidance 2030E (midpoint)1 (midpoint)2 Pro Forma (midpoint)3 (midpoint)4 Pro Forma 14%+ EPS and

  14. Slide 14: Long-Term Capital Allocation Growth

    LONG-TERM CAPITAL ALLOCATION GROWTH ($ billions) 2026E-2029E Capital Allocation Growth Updated 2026E-2030E Capital Allocation2 $18.3 $2.9 +55% $14.4 $2.2 $3.5 $9.3 $1.6 $0.4 $1.8 $11.0 $7.5 $5.7 $1.4 $1.8 $2.2 ’26E-’29E ’26E-’29E ’26E-’30E Original Update (3Q24) (4Q25) Liability Management / Other1

  15. Slide 15: Closing Remarks

    CLOSING REMARKS NRG 4Q25 Earnings 15

  16. Slide 16: 2026 Priorities

    2026 PRIORITIES ❑ Deliver Financial, Operational, Safety, and Business Objectives ❑ Deliver on Growth Initiatives  Deliver 2026 organic growth in line with 2025-2029 $750 MM growth plan  Close LS Power portfolio acquisition  Complete construction of T.H. Wharton by June 2026  Execute toward 1 GW

  17. Slide 17: Appendix: Upside Opportunities

    APPENDIX: UPSIDE OPPORTUNITIES NRG 4Q25 Earnings 17

  18. Slide 18: Texas Generation Fleet

    TEXAS GENERATION FLEET SIGNIFICANT UPSIDE OPPORTUNITY FROM RISING POWER PRICES ($ millions) Gross Margin: Illustrative Mark-to-Market for Texas Generation-Only Portfolio Gas Sensitivity Case 1 2 3 Open +$0.25 -$0.25 Forward Curves Do Not Reflect Demand Outlook % Hedge1 95-100% ~50% <25% 0% Guidance

  19. Slide 19: PJM Generation Fleet

    PJM GENERATION FLEET SIGNIFICANT UPSIDE OPPORTUNITY FROM RISING POWER PRICES ($ millions) Gross Margin: Illustrative Mark-to-Market for PJM Generation-Only Portfolio Gas Sensitivity Case 1 2 3 Open +$0.25 -$0.25 Forward Curves Do Not Reflect Demand Outlook % Hedge1 50% 25% 10% 0% Guidance Date Curre

  20. Slide 20: Powering the Future of Data Centers

    POWERING THE FUTURE OF DATA CENTERS POSITIONED TO LEAD LARGE LOAD GROWTH Turbines and EPC Secured for Critical Equipment & Bridge Power Sites Advancing and 5.4 GW of New Build Opportunities Secured for Initial Buildout Incremental Capacity Upside 2029E 2030E 2031E 2032E ✓ Multiple GW of key electric

  21. Slide 21: NRG, GE Vernova & Kiewit Venture

    NRG, GE VERNOVA & KIEWIT VENTURE POWERING THE FUTURE OF DATA CENTERS U.S.-Based Fully Integrated Venture Signed Project Development Agreement GE Vernova, Kiewit-TIC, NRG: Developer, Operator, OEM and EPC Venture Benefits Status ✓ Coordinated development, power equipment and EPC ✓ 1.2 GW CCGTs in-ser

  22. Slide 22: Appendix: Operations

    APPENDIX: OPERATIONS NRG 4Q25 Earnings 22

  23. Slide 23: Energy & Smart Home Performance

    ENERGY & SMART HOME PERFORMANCE 2025 REVIEW Texas Continues to Realize Load Growth Business & Operation Highlights ERCOT Peak Demand • 10th consecutive year of top decile safety Hit 6 New Record Peaks in 2025 90 performance 80 70 • 1.3 GW battery storage capacity contracted in GW 60 ERCOT with avera

  24. Slide 24: PJM Capacity Positions

    PJM CAPACITY POSITIONS¹ ($ millions, unless otherwise stated) Capacity Revenue by Calendar Year Market 2026 2027 PJM $644 $729 Planning Year Average Price ($/MW-Day) Cleared Position (MW) 2025-2026 $298 5,770 2026-2027 $329 6,005 2027-2028 $333 6,015 1 Includes 11 months of LS Power assets ownership

  25. Slide 25: Texas Energy Fund Development Portfolio

    TEXAS ENERGY FUND DEVELOPMENT PORTFOLIO T.H. Wharton Cedar Bayou 5 Greens Bayou 6 Portfolio Highlights Simple Cycle Combined Cycle Simple Cycle Technology Siemens SGT6-5000F Mitsubishi M501JAC GE 7HA.03  $1.15 Bn Texas Energy Fund financing at 3%; completed for all 3 projects Capacity (MW) 1 415 68

  26. Slide 26: Home Integrated Retail Supply Procurement

    HOME INTEGRATED RETAIL SUPPLY PROCUREMENT 2026 Net Home Position1 Supply Position Highlights (Avg. On-Peak MWh) ERCOT East/Other ✓ Balance net generation and market purchases against priced load Total Expected Load2 (normal weather) ✓ Manage current financial exposure while planning for 88% physical

  27. Slide 27: NRG Generation Fleet

    NRG GENERATION FLEET LS Power LS Power Portfolio Portfolio Operating Assets1 Capacity, GW 24% Coal & Other Natural Gas2 12.9 48% 12.9 25.8 52% GW GW GW 76% 100% Operating Assets1 Geography, GW 16% ERCOT NYISO 84% 7% ISO-NE PJM 12.9 12.9 39% 25.8 50% GW GW 61% GW 16% 16% 8% 3% Doubles Generation Flee

  28. Slide 28: NRG Assets & Development Projects

    NRG ASSETS & DEVELOPMENT PROJECTS Plant Name MW Fuel Tech ISO LDA Plant Name MW Fuel Tech ISO LDA State Texas East Cedar Bayou 1,495 Natural Gas ST ERCOT Houston Chalk Point 80 Natural Gas/Oil CT PJM PEPCO MD Cedar Bayou 4 252 Natural Gas CCGT ERCOT Houston Fisk 171 Oil CT PJM ComEd IL Chamon 92 Nat

  29. Slide 29: LS Power Assets

    LS POWER ASSETS Plant Name MW Fuel Tech ISO LDA State Plant Name MW Fuel Tech ISO LDA State East East Armstrong 780 Natural Gas/Oil CT PJM RTO PA Ocean State 600 Natural Gas/Oil CCGT ISO-NE SENE RI Aurora 1,050 Natural Gas CT PJM ComEd IL Ravenswood CC 250 Natural Gas/Oil CCGT NYISO Zone J NY Chambe

  30. Slide 30: Appendix: Finance

    APPENDIX: FINANCE NRG 4Q25 Earnings 30

  31. Slide 31: Key Assumptions for Outlook

    KEY ASSUMPTIONS FOR OUTLOOK 2026 2027-2030 Assumptions Pro Forma Outlook Assumptions Power Price - ERCOT ATC ($/MWh) $52 $52 flat, see sensitivity table (slide 18) Power Price - PJM ATC ($/MWh) $53 $53 flat, see sensitivity table (slide 19) PJM Capacity Prices ($/MW-Day) Cleared Auction Prices Assum

  32. Slide 32: Historical Consolidated Metrics

    HISTORICAL CONSOLIDATED METRICS1 ($ millions, except per share amounts) 1Q24 2Q24 3Q24 4Q24 2024 1Q25 2Q25 3Q25 4Q25 2025 Adjusted EBITDA $870 $962 $1,055 $902 $3,789 $1,126 $909 $1,205 $847 $4,087 Adjusted Net Income2 $305 $353 $434 $316 $1,408 $531 $339 $537 $200 $1,606 Adjusted EPS2 $1.46 $1.70 $

  33. Slide 33: Debt Maturity Schedule

    DEBT MATURITY SCHEDULE BALANCE AS OF 1/31/2026 ($ millions) Recourse Debt Principal Non-recourse Debt Principal 5.75% Senior Notes, due 2028 $821 7.25% Lightning Senior Secured Notes, due 2032 $1,500 5.25% Senior Notes, due 2029 733 Lightning Term Loan B, due 2031 1,728 3.375% Senior Notes, due 2029

  34. Slide 34: Energy Modeling Aid

    ENERGY MODELING AID 2026 METRICS 2026E East/West/ Texas Other (EWO) Operational Statistics1 Retail Energy Sales: Home Power Expected Load (TWh) ~40 ~17 Business Power Expected Load (TWh) ~45 ~70 Total Power Expected Load (TWh) ~85 ~87 Total Natural Gas Expected Sales (MMDths) -- ~1,850 Generation St

  35. Slide 35: Energy KPIs Indicators and Modeling Data

    ENERGY KPIs INDICATORS AND MODELING DATA1 Operational KPIs2 4Q25 4Q24 Change FY25 FY24 Change Texas EWO3 Texas EWO3 Texas EWO3 Texas EWO3 Texas EWO3 Texas EWO3 Home Power Load (TWh) 8 4 8 4 0 0 39 18 39 18 (1) 0 Business Power Load (TWh) 9 14 9 13 0 0 39 58 40 57 (1) 1 Total Power Load (TWh) 17 18 1

  36. Slide 36: Smart Home KPIs and Modeling Data

    SMART HOME KPIs AND MODELING DATA Key Metrics1,2 4Q25 4Q24 Change FY25 FY24 Change Portfolio Customers (MM)3,4 2.35 2.15 +9% 2.35 2.15 +9% Customer Lifetime (years)3 ~9 ~9 -- ~9 ~9 -- Retention (%)5 89.9% 89.8% +10 bps 89.9% 89.8% +10 bps Bad Debt as % of Revenue ~3% ~2% ~1% ~2% ~2% -- Per Customer

  37. Slide 37: Appendix: Reg. G Schedules

    APPENDIX: REG. G SCHEDULES NRG 4Q25 Earnings 37

  38. Slide 38: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-1: 2025 Guidance The following table summarizes the 2025 Guidance calculations of Adjusted EBITDA, Adjusted Net Income, and Adjusted EPS and provides a reconciliation from Net Income1 2025 2025 7 7 Original Guidance Raised Guidance 1 Net

  39. Slide 39: Reg. G

    REG. G ($ millions) Appendix Table A-2: 2025 Guidance The following table summarizes the 2025 Guidance calculation of FCFbG providing a reconciliation from Adjusted EBITDA and Cash provided by operating activities 2025 2025 Original Guidance Raised Guidance Adjusted EBITDA $3,725 - $3,975 $3,875 - $

  40. Slide 40: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-3: 2026 Guidance The following table summarizes the 2026 Guidance calculations of Adjusted EBITDA, Adjusted Net Income, and Adjusted EPS and provides a reconciliation from Net Income1 2026 Guidance8,9 1 Net Income $1,325 - $1,755 Interes

  41. Slide 41: Reg. G

    REG. G ($ millions) Appendix Table A-4: 2026 Guidance The following table summarizes 2026 Guidance calculation of FCFbG providing a reconciliation from Adjusted EBITDA and Cash provided by operating activities 2026 4 Guidance Adjusted EBITDA $5,325 - $5,825 1 Interest payments, net (1,100) Income ta

  42. Slide 42: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-5: Three months ended 12/31/25 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Incom

  43. Slide 43: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-6: Three months ended 12/31/24 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Incom

  44. Slide 44: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-7: Twelve months ended 12/31/25 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Inco

  45. Slide 45: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-8: Twelve months ended 12/31/24 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Inco

  46. Slide 46: Reg. G

    REG. G ($ millions) Appendix Table A-9: Three months ended 12/31/25 and 12/31/24 Free Cash Flow before Growth The following table summarizes the calculation of FCFbG and provides a reconciliation from Adjusted EBITDA and Cash provided by operating activities Three Months Ended 12/31/2025 12/31/2024

  47. Slide 47: Reg. G

    REG. G ($ millions) Appendix Table A-10: Twelve months ended 12/31/25 and 12/31/24 Free Cash Flow before Growth The following table summarizes the calculation of FCFbG and provides a reconciliation from Adjusted EBITDA and Cash provided by operating activities Twelve Months Ended 12/31/2025 12/31/20

  48. Slide 48: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-11: Three months ended 3/31/25 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Incom

  49. Slide 49: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-12: Three months ended 6/30/25 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Incom

  50. Slide 50: Reg. G

    REG. G ($ millions, except per share amounts) Appendix Table A-13: Three months ended 9/30/25 Adjusted EBITDA and Adjusted Net Income Reconciliation by Operating Segment and Consolidated Adjusted EPS Reconciliation The following table summarizes the calculation of Adjusted EBITDA, Adjusted Net Incom

  51. Slide 51: Reg. G Definitions

    REG. G DEFINITIONS Non-GAAP Financial Measures NRG reports its financial results in accordance with the accounting principles generally accepted in the United States (GAAP) and supplements with certain non-GAAP financial measures. These measures are not recognized in accordance with GAAP and should

  52. Slide 52: Smart Home Performance Metrics

    SMART HOME PERFORMANCE METRICS DEFINITIONS • New Customers is the aggregate number of new smart home and security customers originated during a given period. This metric excludes new customers acquired by the transfer of a service contract from one customer to another. • Customers is the aggregate n

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