Centerpoint Energy, Inc (holding Co) · NYSE:CNP
Centerpoint Energy, Inc (holding Co) — Q4 2022 Earnings Presentation
22 slides from Centerpoint Energy, Inc (holding Co)'s earnings presentation, Feb 17, 2023
Slide 1: Fourth Quarter 2022 Investor Update
Establishing a path towards PREMIUM T h r o u g h S u s t a i n a b l e G r o w t h … FOURTH QUARTER 2022 INVESTOR UPDATE February 17, 2023 Exhibit 99.2
Slide 2: Cautionary Statement and Other Disclaimers
Cautionary Statement and Other Disclaimers This presentation and the oral statements made in connection herewith contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements other than stat
Slide 3: Premium Value Proposition: Tracking Delivery
Note: Refer to slide 2 for information on forward-looking statements and slide 22 for information on non-GAAP EPS assumptions and non-GAAP measures. (1) Refers to non-GAAP EPS annual growth rate for 2022A – 2030E (2) Refers to 10-year capital plan from 2021A-2030E (3) Refers to proceeds received fro
Slide 4: Focused on a Strong Balance Sheet
Focused on a Strong Balance Sheet Texas securitization proceeds expected to pay down ~$1.1B of floating rate / high coupon debt; continue to target FFO/debt of 14% - 15% through 2030, ending 2022 with ~15%(5) Not Reliant on “Big Bets” Approximately 80% of the $43B capital plan through 2030 expected
Slide 5: Q4 2022 v Q4 2021 Non-GAAP EPS
Q4 2022 v Q4 2021 Non-GAAP EPS(1) Primary Drivers Utility $0.27 Consolidated $0.28 $0.06 $0.02 $0.08 $0.00 $0.01 Midstream (2) $0.09 Q4 2021 Non-GAAP EPS Q4 2022 Non-GAAP EPS Note: Refer to slide 2 for information on forward-looking statements and slide 22 for information on non-GAAP Utility EPS and
Slide 6: FY 2022 v FY 2021 Non-GAAP EPS
Utility $1.27 $0.18 $0.09Midstream(2) $0.37 FY 2021 Non-GAAP EPS FY 2022 Non-GAAP EPS FY 2022 v FY 2021 Non-GAAP EPS(1) Primary Drivers Note: Refer to slide 2 for information on forward-looking statements and slide 22 for information on non-GAAP Utility EPS and non-GAAP EPS assumptions and non-GAAP
Slide 7: Capital Expenditures by Segment
Capital Expenditures by Segment…. 4Q FY FY 5-YR 10-YR 2022 2022 2023(3) Plan Plan Electric(4) ~$1.1B ~$3.1B $~2.1B $12.9B $26B+ Natural Gas ~$0.5B ~$1.7B ~$1.5B $7.3B $17B+ Corporate and Other ~$13MM ~$40MM ~$20MM $0.1B $0.2B Total Capital Expenditures(4) ~$1.6B ~$4.8B ~$3.6B ~$20.3B ~$43B Note: Ref
Slide 8: Indiana IRP Update; Securitization and Other Updates
Indiana IRP Update Electric CPCNs: 130 MW CrossTrack Solar: Approved January 2023(1) Wind Project: Filed January 2023 Issued full notice to proceed to contractor for 460 MW natural gas plant Next IRP filing – target mid 2023 Securitization and Other Updates SIGECO anticipates costs to be
Slide 9: Contacts
Contacts Jackie Richert Vice President Investor Relations and Treasurer Tel. (713) 207 – 9380 jackie.richert@centerpointenergy.com Ben Vallejo Director Investor Relations Tel. (713) 207 – 5461 ben.vallejo@centerpointenergy.com General Contact Tel. (713) 207 – 6500 https://investors.centerpointenergy
Slide 10: Appendix
@ CenterPoint. Energy Appendix
Slide 11: Customer Affordability: Executing capital plan while keeping rates affordable
$43 $48(3) 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Average Monthly CEHE Charges (per 1,000 kWh) Customer Affordability Houston Electric Rates (Based on new capital plan) Customer Growth Structural Headroom O&M Discipline Effective Rates Future Bill Mitigants 1-2% annual customer growth CEH
Slide 12: Capital Plan & Regulatory Mechanisms
Capital Plan & Regulatory Mechanisms ….No big bets with recovery through established regulatory mechanisms Note: Refer to slide 2 for information on forward-looking statements. (1) Includes capital expenditures that are expected to be recovered through interim mechanisms but requires approval of Cer
Slide 13: Weather and Throughput Data
Weather and Throughput Data Note: Data as of 12/31/2022. (1) End of period average number of metered customers; Natural Gas throughput in Q4 2021 excluding Arkansas and Oklahoma was 165 BCF, representing a 30% increase year over year. Natural gas metered customers in Q4 2021 excluding Arkansas and O
Slide 14: Regulatory Schedule
Regulatory Schedule Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec TX (E) IN (E) TX (G)(3) MN (G) N. IN (G) OH (G) S. IN (G) LA (G) MS (G) EH No Rate Case Until Mid-2024 No Rate Case Until Post-2025 No Rate Case Until Post-2025 Evidentiary Hearing FO Final Order CPCN (Posey) CPCN (Wind) ROE / Equit
Slide 15: Generation Project Timeline
Generation Project Timeline Note: Refer to slide 2 for information on forward-looking statements. 15
Slide 16: Reconciliation: Income and Diluted EPS to non-GAAP
Reconciliation: Income (Loss) and Diluted Earnings (Loss) per share to non-GAAP Income and non-GAAP Diluted EPS used in providing annual earnings guidance (1) Quarterly diluted EPS on both a GAAP and non-GAAP basis are based on the weighted average number of shares of common stock outstanding during
Slide 17: Reconciliation: Income and Diluted EPS to non-GAAP
Reconciliation: Income (Loss) and Diluted Earnings (Loss) per share to non-GAAP Income and non-GAAP Diluted EPS used in providing annual earnings guidance (1) Quarterly diluted EPS on both a GAAP and non-GAAP basis are based on the weighted average number of shares of common stock outstanding during
Slide 18: Reconciliation: Income and Diluted EPS to non-GAAP
Reconciliation: Income (Loss) and Diluted Earnings (Loss) per share to non-GAAP Income and non-GAAP Diluted EPS used in providing annual earnings guidance (1) Quarterly diluted EPS on both a GAAP and non-GAAP basis are based on the weighted average number of shares of common stock outstanding during
Slide 19: Reconciliation: Income and Diluted EPS to non-GAAP
Reconciliation: Income (Loss) and Diluted Earnings (Loss) per share to non-GAAP Income and non-GAAP Diluted EPS used in providing annual earnings guidance (1) Quarterly diluted EPS on both a GAAP and non-GAAP basis are based on the weighted average number of shares of common stock outstanding during
Slide 20: Reconciliation: Operating Cash Flow and Debt to non-GAAP FFO
Reconciliation: Net Cash Provided by Operating Activities and Total Debt, Net to non-GAAP Funds from Operations (FFO) and non-GAAP Rating Agency Adjusted Debt 20 Total Debt, Net Short-term Debt: Short-term borrowings $ 511 Current portion of VIE Securitization Bonds long- term debt 156 Indexed debt,
Slide 21: Regulatory Information
Regulatory Information Information Location Electric Estimated 2021 year-end rate base by jurisdiction Authorized ROE and capital structure by jurisdiction Definition of regulatory mechanisms Projected regulatory filing schedule Regulatory Information – Electric Natural Gas Estimated 2021
Slide 22: Additional Information: Use of Non-GAAP Financial Measures
Additional Information Use of Non-GAAP Financial Measures In this presentation and the oral statements made in connection herewith, CenterPoint Energy presents, based on diluted earnings per share, non-GAAP income, (in 2021) non-GAAP Utility earnings per share (“Utility EPS”) and (in 2022 and 2023)