Public Service Enterprise Group Incorporated · NYSE:PEG
Public Service Enterprise — Q1 2022 Earnings Presentation
20 slides from Public Service Enterprise's earnings presentation, May 3, 2022
Slide 1: Public Service Enterprise Group Financial Results Presentation
Public Service Enterprise Group Financial Results Presentation May 3, 2022 1st QUARTER 2022 NYSE: PEG 1st QUARTER 2022 NYSE: PEG
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain of the matters discussed in this presentation about our and our subsidiaries’ future performance, including, without limitation, future revenues, earnings, strategies, prospects, consequences and all other statements that are not purely historical constitute “forwa
Slide 3: GAAP Disclaimer
GAAP Disclaimer PSEG presents Operating Earnings in addition to its Net Income/(Loss) reported in accordance with accounting principles generally accepted in the United States (GAAP). Operating Earnings is a non-GAAP financial measure that differs from Net Income/(Loss). Non-GAAP Operating Earnings
Slide 4: Q1 2022
PSEG Q1 2022 • First Quarter Results – On track ꟷ Net Loss of < $0.01 per share driven by mark-to-market adjustments ꟷ Non-GAAP Operating Earnings* of $1.33 per share ꟷ PSE&G Net Income results up 6.7% driven by ongoing T&D investments and implementation of the Conservation Incentive Program ꟷ CFIO
Slide 5: PSE&G's planned investments align with NJ's clean energy goals
PSE&G’s planned investments align with NJ’s clean energy goals Carbon-Free PSEG’s Capital Spending program PSE&G Capital Spending Nuclear aligns with 2021 – 2025E Generation Other 3% 2% Net-Zero 2030 goal 4,000 3,500 Clean Energy Unapproved Transmission 3,000 Programs 13% 22% 2,500 PSEG ($ Millions)
Slide 6: Expanded investment program provides firm compound annual rate base growth
Expanded investment program provides firm compound annual rate base growth over the five year period CAGR PSE&G Year-End Rate Base YE 2021- YE 2020- YE 2025E YE 2025E 7.5% 8% 35,000 6% 6.5% Unapproved 30,000 Programs 25,000 ($ Millions) 20,000 15,000 10,000 5,000 - 2021 2022E 2023E 2024E 2025E Trans
Slide 7: PSEG – Re-affirming Full-Year 2022 Guidance
PSEG – Re-affirming Full-Year 2022 Guidance Non-GAAP Operating Earnings* $3.65 $3.35 – $3.55E $3.35 – $3.55E Multi-year $3.01 EPS growth rate of • Includes PSEG Fossil’s $2.78 $2.85 to PSE&G 5% - 7% to $3.11 results excluding $2.90 from the depreciation expense which ceased when assets 2022 guidance
Slide 8: Regulatory and Policy Initiatives Update
Regulatory and Policy Initiatives Update State Regulatory Proceedings • Infrastructure Advancement Program filing: PSE&G’s jobs, economic stimulus and “last mile” of reliability focused, $848 million, four-year investment proposal – Based on current procedural schedule, NJBPU action expected in fall
Slide 9: PSEG is delivering solid results and sustainable growth
PSEG is delivering solid results and sustainable growth Re-affirming full-year 2022 non-GAAP Operating Earnings guidance of $3.35 - $3.55 per share PSE&G expected to contribute ~90% of 2022 non-GAAP Operating Earnings PSEG’s 2021 – 2025 five-year capital spending forecast of $15B - $17B, with
Slide 10: Q1 2022 Review
#* PSEG PSEG Q1 2022 Review
Slide 11: PSEG – Q1 Results
PSEG – Q1 Results PSEG Summary – Quarter ended March 31 Net Income/(Loss) 2022 2021 Change PSE&G $ 1.02 $ 0.94 $ 0.08 Carbon-Free, Infrastructure & Other $ (1.02) $ 0.34 $ (1.36) Total PSEG $ 0.00 $ 1.28 $ (1.28) Non-GAAP Operating Earnings* 2022 2021 Change PSE&G $ 1.01 $ 0.94 $ 0.07 Carbon-Free, I
Slide 12: PSEG EPS Reconciliation – Q1 2022 versus Q1 2021
PSEG EPS Reconciliation – Q1 2022 versus Q1 2021 $1.40 0.07 (0.02) $1.33 $1.28 $1.28 Electric Gross Margin (0.27) Transmission (0.03) $1.20 Capacity (0.13) Gas Margin 0.08 Generation (0.08) Electric Margin 0.02 Sale of Solar Source (0.02) $1.00 Other Margin 0.02 Re-contracting & Market Distr
Slide 13: PSE&G: Top decile safety and reliability performance
PSE&G: Top decile safety and reliability performance OSHA Incident Rate OSHA Recordable PSE&G SAIDI Open Leaks Better Better Better Better Days Away Rate 7.0 350 30,000 6.0 150.0 300 25,000 5.0 250 20,000 4.0 100.0 200 15,000 3.0 150 10,000 2.0 50.0 100 1.0 50 5,000 - - - - 2017 2018 2019 2020 2021
Slide 14: PSE&G – Q1 Highlights
PSE&G – Q1 Highlights Operations Regulatory and Market Environment • For the trailing 12 months ended March 31, the number of • Infrastructure Advancement Program procedural schedule set, residential electric and gas customers each grew by ~1% settlement negotiations currently taking place; final NJ
Slide 15: Appendix
#* PSEG APPENDIX
Slide 16: PSEG maintains a solid financial position
PSEG maintains a solid financial position PSEG Public Service Electric & Gas PSEG Senior Unsecured Credit Ratings PSE&G Senior Secured Credit Ratings Moody’s = Baa2 / Outlook = Stable S&P = BBB / Outlook = Stable Moody’s = A1 / Outlook = Stable S&P = A / Outlook = Stable PSEG 364-Day Term Loan Outst
Slide 17: PSEG Liquidity as of March 31, 2022
PSEG Liquidity as of March 31, 2022 Expiration Total Available Company Facility Usage Date Facility Liquidity ($ millions) PSE&G Revolving Credit Facility March 2027 $1,000 $18 $982 PSEG Money Pool (A,B) PSEG/PSEG Power Revolving Credit Facility (PSEG) March 2027 $1,500 $428 $1,072 (A) Revolving Cre
Slide 18: Q1 2022 Generation Measures & Hedge Update
Q1 2022 Generation Measures & Hedge Update Quarter ended March 31 Carbon-Free Contracted Energy Sales* Nuclear Generation Measures 2022 2021 Apr – Dec 2023E 2024E Capacity Factor 100.0% 98.6% 2022E Fuel Cost ($ millions) $49 $49 Fuel Nuclear Nuclear Nuclear Generation (GWh) 8,444 8,245 Volume TWh 21
Slide 19: Reconciliation of Non-GAAP Operating Earnings
Reconciliation of Non-GAAP Operating Earnings PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED Consolidated Operating Earnings (non-GAAP) Reconciliation Three Months Ended Year Ended Reconciling Items March 31, December (a) Includes the financial impact from positions with forward delivery months. (b) A
Slide 20: Reconciliation of Non-GAAP Operating Earnings
Reconciliation of Non-GAAP Operating Earnings CFIO Operating Earnings (non-GAAP) Reconciliation (a) Includes the financial impact from positions with forward delivery months. Three Months Ended Year Ended (b) Amount for the three months ended March 31, 2022 includes the results for fossil Reconcilin
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