Nrg Energy, Inc. · NYSE:NRG
Nrg Energy — Q3 2025 Earnings Presentation
42 slides from Nrg Energy's earnings presentation, Nov 6, 2025
Slide 1: Third Quarter 2025 Earnings Presentation
NRG ENERGY INC . THIRD QUARTER 2025 EARNINGS PRESENTATION November 6, 2025 1
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, e
Slide 3: Agenda
• 3Q Results & Business Review • Financial Highlights • Closing Remarks • Q&A AGENDA Dr. Larry Coben Bruce Chung Chair, President & CEO Executive Vice President & CFO NRG 3Q25 Earnings 3
Slide 4: Key Messages
KEY MESSAGES Strong Third Quarter & Year-to-Date Performance, Reaffirming Raised 2025 Guidance Ranges Introducing NRG Standalone 2026 Financial Guidance1, Consistent with Long-Term Growth Plan Data Center Agreements Expanded to 445 MW LS Power Portfolio Transaction Advancing Toward Expected 1Q26 Clo
Slide 5: 3Q25 Business and Financial Highlights
3Q25 BUSINESS AND FINANCIAL HIGHLIGHTS ($ millions, except per share amounts) Adjusted EPS1 Initiating 2026 Standalone Financial Guidance (Excludes LS Power Portfolio Acquisition) Third Quarter Year-to-Date +36% 2026 Guidance +32% $7.17 Adjusted EBITDA $3,925 - $4,175 $2.78 $5.28 $2.10 Free Cash Flo
Slide 6: Market Update
MARKET UPDATE STRONG DEMAND GROWTH WITH ROBUST OUTLOOK 2025 Market Conditions Demand Outlook NRG Strategic Actions Growing load and low pricing Demand outlook outpacing new supply additions Expanding capacity to meet growing demand ERCOT Total Electric Consumption ERCOT Peak Load Outlook1 ~3 GW Acqu
Slide 7: Expanding Data Center Power Agreements
EXPANDING DATA CENTER POWER AGREEMENTS 445 MW SIGNED TO DATE Additional 150 MW Data Center Retail Power Commitments Data Center Portfolio Data Center Agreements Incremental 150 MW 445 MW SIGNED AGREEMENTS 2Q25 295 • 10-year term, extendable up to 20 1 ▲ +51% vs. 2Q25 +51% • Located in Illinois and M
Slide 8: LS Power Portfolio Acquisition Update
LS POWER PORTFOLIO ACQUISITION UPDATE Transaction Status Financial Outlook1 Provided at Announcement Acquisition Summary • $12 Bn Enterprise Value; 7.5x ’26E EV/EBITDA1 Adjusted EBITDA Free Cash Flow before Growth • Expands scale and flexibility across PJM, ERCOT, NYISO, and ISO-NE >$1.6 Bn >$1.0 Bn
Slide 9: Financial Highlights
FINANCIAL HIGHLIGHTS NRG 3Q25 Earnings 9
Slide 10: 3Q25 Financial Update
3Q25 FINANCIAL UPDATE ($ millions, except per share amounts) Three Months Ended Nine Months Ended 2025 Raised 9/30/2025 9/30/2024 9/30/2025 9/30/2024 Guidance Adjusted EBITDA $1,205 $1,055 $3,240 $2,887 $3,875 - $4,025 (Original $3,725 - $3,975) Adjusted Net Income $537 $434 $1,406 $1,092 $1,470 - $
Slide 11: 2025 Capital Allocation
2025 CAPITAL ALLOCATION Excludes $4.4 Bn5 proceeds from October 2025 debt ($ millions) issuance intended to fund a portion of the cash component of the LS Power portfolio acquisition $2,700 437 130 1,400 No change from Previously Disclosed Indicates change from Previously Disclosed $2,175 FCFbG (Rai
Slide 12: Introducing 2026 Guidance
INTRODUCING 2026 GUIDANCE ($ millions) 2026 Guidance Pro LS Power1 NRG Standalone Forma Adjusted EBITDA $3,925 - $4,175 $1,600 $5,525 - $5,775 Free Cash Flow before Growth (FCFbG) $1,975 - $2,225 $1,000 $2,975 - $3,225 80 (70) $4,050 60 Adjusted $3,850 130 EBITDA 2025 Original Growth Plan Rockland T
Slide 13: 2026 Capital Allocation
2026 CAPITAL ALLOCATION Excludes $4.4 Bn5 proceeds from October 2025 debt ($ millions) issuance intended to fund a portion of the cash component of the LS Power portfolio acquisition $2,258 463 1,110 $2,100 FCFbG (midpoint) 360 $325 $158 - 2025 Remaining CAFA 2026 Liability Management Share Common P
Slide 14: Closing Remarks
CLOSING REMARKS NRG 3Q25 Earnings 14
Slide 15: 2026 NRG Standalone Priorities
2026 NRG STANDALONE PRIORITIES ❑ Deliver Financial, Operational, Safety, and Business Objectives ❑ Deliver on Growth Initiatives $130 MM Adjusted EBITDA organic growth in 2026 ($750 MM growth plan for 2025-2029 on track) Close LS Power portfolio acquisition Complete construction at T.H. Wharto
Slide 16: Appendix: Upside Opportunities
APPENDIX: UPSIDE OPPORTUNITIES NRG 3Q25 Earnings 16
Slide 17: Executing High-Value Data Center Retail Agreements
EXECUTING HIGH-VALUE DATA CENTER RETAIL AGREEMENTS Long-Term Data Center Retail Power Agreements First Full Modeling Assumptions Announced Locations Capacity Term 1 Capex Delivery Capacity 2Q25 Texas 295 MW 10-20 years Minimal 2H26 2H30 • Assumed Load Factor: >80% 3Q25 East2 150 MW 10-20 years Minim
Slide 18: 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
Slide 19: NRG Texas Energy Fund Development Portfolio
NRG TEXAS ENERGY FUND DEVELOPMENT PORTFOLIO Power Market Review – Texas Benefits from Texas Legislation • Texas has approved legislation to incentivize new dispatchable • Low-interest rate (3%) loans from the Texas Energy generation resources Fund – SB 2627 • Completion Bonus Grants of $80-120k per
Slide 20: Appendix: Operations
APPENDIX: OPERATIONS NRG 3Q25 Earnings 20
Slide 21: Energy & Smart Home Performance
ENERGY & SMART HOME PERFORMANCE THIRD QUARTER REVIEW Texas Continues to Realize Load Growth Business Highlights Hit 6 New Record Peaks in Last 12 Months • Top decile safety performance 90 Peak Demand (GW) 80 • 9% Smart Home customer growth1 YoY 70 60 • Cedar Bayou 5 due diligence complete and initia
Slide 22: Home Integrated Retail Supply Procurement
HOME INTEGRATED RETAIL SUPPLY PROCUREMENT Net Home Position1 (Avg. On-Peak MWh) Supply Position Highlights Texas East/Other Total Expected Load2 ✓ Balance net generation and market (normal weather) purchases against priced load 82% 72% ✓ Manage current financial exposure while planning for physical
Slide 23: Committed to Sustainability
COMMITTED TO SUSTAINABILITY Progress U.S. CO2e Emissions (MMtCO 2e)2 Highlights1 NRG Targets3 Carbon Reduction Target: 50% by 20251 Net-Zero by 2050 58 57% Reduction in CO 2e 25 29 Net-Zero emissions (2024) 2014 2024 2025 2050 75% Reduction in SO2 emissions (2024) Social Leadership: • Consistent top
Slide 24: Appendix: Finance
APPENDIX: FINANCE NRG 3Q25 Earnings 24
Slide 25: Historical Consolidated Metrics
HISTORICAL CONSOLIDATED METRICS1 ($ millions, except per share amounts) 1Q24 2Q24 3Q24 4Q24 2024 1Q25 2Q25 3Q25 Adjusted EBITDA $870 $962 $1,055 $902 $3,789 $1,126 $909 $1,205 Adjusted Net Income $305 $353 $434 $316 $1,408 $531 $339 $537 Adjusted EPS2 $1.46 $1.70 $2.10 $1.56 $6.83 $2.68 $1.73 $2.78
Slide 26: 2025 Corporate Credit Profile
2025 CORPORATE CREDIT PROFILE 2025 ($ millions) Guidance Corporate Debt1 $10,892 Credit Rating Term Loan B Payments (18) Agency Rating Debt for Rockland Acquisition2 560 Debt for Texas New Builds2 200 S&P BB / Stable TEF Loans 3 400 Moody’s Ba1 / Stable Revolver Draw 200 Minimum Cash Balance (750) F
Slide 27: Debt Maturity Schedule
DEBT MATURITY SCHEDULE BALANCE AS OF 10/31/2025 ($ millions) Recourse Debt (as of 10/31/25) Principal 5.75% Senior Notes, due 2028 $821 5.25% Senior Notes, due 2029 733 3.375% Senior Notes, due 2029 500 5.75% Senior Notes, due 2029 798 3.625% Senior Notes, due 2031 1,030 Key Actions Taken Since 9/30
Slide 28: Energy Modeling Aid
ENERGY MODELING AID 2026 METRICS 2026E East/West/ Texas Other (EWO) Operational Statistics1 Additional Commentary-Power Retail Energy Sales: Home Power Expected Load (TWh) ~40 ~17 Home Load served primarily by owned Business Power Expected Load (TWh) ~45 ~70 generation and supplemented with third-pa
Slide 29: Energy KPIs Indicators and Modeling Data
ENERGY KPIs INDICATORS AND MODELING DATA Operational KPIs1 3Q25 3Q24 Change Texas EWO2 Texas EWO2 Texas EWO2 Home Power Load (TWh) 12 5 13 5 (1) 0 Business Power Load (TWh) 11 16 11 15 0 1 Total Power Load (TWh) 23 21 24 20 (1) 1 Total Natural Gas Sales (MMDths) -- 343 -- 358 -- (15) Total Owned Gen
Slide 30: Smart Home KPIs and Modeling Data
SMART HOME KPIs AND MODELING DATA Key Metrics1 3Q24 3Q25 Change Portfolio Customers (MM)2,3 2.15 2.35 +9% Customer Lifetime (years)2 ~9 ~9 -- Retention (%)4 89.5% 90.1% +60 bps Bad Debt as % of Revenue ~2% ~2% -- Per Customer Monthly Rec. Revenue per Customer $75.59 $76.17 +1% Monthly Rec. Service R
Slide 31: Appendix: Reg. G Schedules
APPENDIX: REG. G SCHEDULES NRG 3Q25 Earnings 31
Slide 32: Reg. G: 2025 Guidance
REG. G ($ 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 Income 1 2025 2025 7 7 Original Guidance Raised Guidance 1 Ne
Slide 33: Reg. G: 2026 NRG Standalone Guidance
REG. G ($ millions) Appendix Table A-2: 2026 NRG Standalone Guidance The following table summarizes the 2026 NRG Standalone Guidance calculations of Adjusted EBITDA providing a reconciliation from Net Income1 2026 NRG Standalone Guidance 1 Net Income $1,120 - $1,320 Interest expense, net 675 Income
Slide 34: Reg. G: 2025 and 2026 Guidance FCFbG
REG. G ($ millions) Appendix Table A-3: 2025 and 2026 NRG Standalone Guidance The following table summarizes the calculation of FCFbG providing a reconciliation from Adjusted EBITDA and Cash provided byoperating activities 2025 2025 2026 NRG Standalone Original Guidance Raised Guidance Guidance Adju
Slide 35: Reg. G: Three Months Ended 9/30/25
REG. G ($ millions, except per share amounts) Appendix Table A-4: 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 Income
Slide 36: Reg. G: Three Months Ended 9/30/24
REG. G ($ millions, except per share amounts) Appendix Table A-5: Three months ended 9/30/24 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 Income
Slide 37: Reg. G: Nine Months Ended 9/30/25
REG. G ($ millions, except per share amounts) Appendix Table A-6: Nine 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 Income
Slide 38: Reg. G: Nine Months Ended 9/30/24
REG. G ($ millions, except per share amounts) Appendix Table A-7: Nine months ended 9/30/24 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 Income
Slide 39: Reg. G: Three Months Free Cash Flow before Growth
REG. G ($ millions) Appendix Table A-8: Three months ended 9/30/25 and 9/30/24 Free Cash Flow before Growth The following table summarizes the calculation of FCFbG and provides a reconciliation from Adjusted EBITDA and Cash providedby operating activities Three Months Ended 9/30/2025 9/30/2024 Adjus
Slide 40: Reg. G: Nine Months Free Cash Flow before Growth
REG. G ($ millions) Appendix Table A-9: Nine months ended 9/30/25 and 9/30/24 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 Nine Months Ended 9/30/2025 9/30/2024 Adjust
Slide 41: 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
Slide 42: Smart Home Performance Metrics Definitions
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 c ustomers acquired by the transfer of a service contract from one customer to another. • Average Monthly Customers i