Constellation Energy Corporation · NASDAQ:CEG
Constellation Energy — Q1 2025 Earnings Presentation
33 slides from Constellation Energy's earnings presentation, May 6, 2025
Slide 1: Earnings Conference Call First Quarter 2025
Earnings Conference Call First Quarter 2025 May 6, 2025
Slide 2: Cautionary Statements Regarding Forward-Looking Information
Cautionary Statements Regarding Forward-Looking Information This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties. Words such as “could,” “may,” “expects,” “anticipates,” “w
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures The Registrants report their financial results in accordance with accounting principles generally accepted in the United States (GAAP). Constellation supplements the reporting of financial information determined in accordance with GAAP with certain non-GAAP financial meas
Slide 4: Non-GAAP Financial Measures Continued
Non-GAAP Financial Measures Continued This information is intended to enhance an investor’s overall understanding of period over period financial results and provide an indication of Constellation’s operating performance by excluding items that are considered by management to be not directly related
Slide 5: Key Messages
Key Messages Solid financial performance: Q1 GAAP earnings of $0.38 per share (1) Q1 Adjusted Operating Earnings* of $2.14 per share (1) Multiple ways to serve our customers in on-grid, co-located, and behind-the-meter configurations Cost of new build generation substantially higher Nearing long-ter
Slide 6: The Data Economy Is Coming
The Data Economy Is Coming Trump Administration Recognizes National Security Imperative of AI Hyperscalers Reaffirm CapEx Plans • Amazon – “We continue to believe AI is a once-in-a-lifetime “It is the policy of the United States to reinvention of everything we know, the demand is unlike anything sus
Slide 7: Data Centers Pursuing Multiple Jurisdictions for the Same Project
Data Centers Pursuing Multiple Jurisdictions for the Same Project GWs 140 PJM, ERCOT and MISO 140 serve ~46% of US power Third-party Forecasts for US Data Center Demand by 2030 10 demand, but project 120 large load demand 111 41 double the average of 100 third-party estimates for total US data cente
Slide 8: $65 Billion – The Cost of Calpine's Gas Units at Today's New Build Cost
$65 Billion – The Cost of Calpine’s Gas Units at Today’s New Build Cost Current Market Forwards do not Support Cost and Lead Time For Critical Equipment New Build Economics (1) Continues to Grow $/MWh Hybrid: Solar + • “Currently, an electric utility or generation developer that Natural Gas (2) 4hr
Slide 9: Curtailing Peak Load for Less Than 50 Hours Would Enable ~100 GWs of New Load
Curtailing Peak Load for Less Than 50 Hours Would Enable ~100 GWs of New Load to Come Onto the System 98% of the time about 10% of power plants are not running 95% of the time about 20% of power plants are not running 80% of the time about 1/3 of the nation’s power plants are not running 9 Source: N
Slide 10: Constellation is Well-Positioned to Capture Value from the Data Economy
Constellation is Well-Positioned to Capture Value from the Data Economy Existing MWs to meet customer needs, supported by best-in-class operations Aligns with customer desire for reliable, clean power with price certainty for decades Acquired land around sites and procuring long- lead time equipment
Slide 11: Calpine Transaction Remains On Track to Close by Year-end
Calpine Transaction Remains On Track to Close by Year-end The Acquisition of Calpine Better Positions Constellation for the Future On Track to Receive Regulatory Approval Creates leading coast-to-coast generation fleet that is irreplaceable, dispatchable, reliable, and the cleanest in America (1) •
Slide 12: Q1 2025 Results
Q1 2025 Results $/share $2.78 Reaffirming full-year Adjusted Operating Earnings* guidance range of $8.90 – $9.60 per share (3) $2.14 $1.82 Year-over-Year Adj. Operating Earnings* Drivers • Continued strong commercial performance through portfolio optimization, serving more customer demand and lower
Slide 13: Constellation Provides Reliable and Available Emissions-Free Power
Constellation Provides Reliable and Available Emissions-Free Power Historical Nuclear Fleet Capacity Factor (1,2) Best-in-Class Nuclear Operations (1,2) 48 100% • More than 1,150 MWs including Crane Clean Energy Center and uprates, selected for fast-track interconnection 44 95% • Nuclear capacity fa
Slide 14: Leading Customer Platform Enables Businesses to Meet Their Energy and Sustainability Needs
Leading Customer Platform Enables Businesses to Meet Their Energy and Sustainability Needs Customer Operational Metrics (TTM) Q1 2025 Electric Load Served by Region (TWhs) Wholesale Retail 88% 19 80% 7 12 11 2 5 30% 5 11 10 2 4 7 10% 4 C&I Power New C&I Gas New C&I Power Customer C&I Gas Customer Mi
Slide 15: Unprecedented Demand Growth Still Expected Despite Recession Concerns
Unprecedented Demand Growth Still Expected Despite Recession Concerns Global Data Center Demand is Both from U.S. Annual Electricity Sales (1) AI and Non-AI (2) Million MWHs GWs 219 1,700 1,600 181 64 1,500 1,400 153 56 1,300 128 50 1,200 103 45 1,100 82 1,000 40 156 900 38 124 102 800 83 62 700 44
Slide 16: Higher Inflation Adjustment Results in Higher Nuclear PTC Floor Price
Higher Inflation Adjustment Results in Higher Nuclear PTC Floor Price $55 ~$500M in 2028 incremental base revenue when 2025 inflation adjustment falls between PTC was not in place during previous 2.3% and 2.6% (1) economic or power market downturns Market Revenues + PTC $50 ($/MWh) PTC floor value g
Slide 17: Constellation – Our Assets Are Unmatched Today and Tomorrow
Constellation – Our Assets Are Unmatched Today and Tomorrow Visible, Double-Digit Long-Term Base EPS Growth Backed by Nuclear PTC, Contracts and Customer Margins Best and Leading Operator of Clean, Emissions-free and Low-emissions, Reliable Generation, with Coast-to-Coast Presence Growing Product Op
Slide 18: Additional Disclosures
Additional Disclosures —— <= Constellation.
Slide 19: Complementary Capabilities Will Create Value for Combined Company
Complementary Capabilities Will Create Value for Combined Company Combined Combined Largest Nuclear Fleet Strong Management Team Leading Natural Gas Fleet Best Operator of Nuclear Plants Assets Largest Geothermal Fleet People Leading Operator of Natural Gas Battery Storage Best Customer Platform Ren
Slide 20: PTC Provides Support for Nuclear Units When Revenues Fall Below $44.75/MWh
PTC Provides Support for Nuclear Units When Revenues Fall Below $44.75/MWh (1,2) Illustrative Payoff Dynamics for Non-State-Supported Units in 2025 (2) 60 • The PTC provides support of up to $15.00/MWh for units when PTC provides revenues are between $26.00/MWh and $44.75/MWh while 55 support from $
Slide 21: Inflation of Nuclear Production Tax Credit
Inflation of Nuclear Production Tax Credit (1) Example Assuming 2%, 3% and 4% PTC Overview Inflation Adjustment (2) • The PTC is in effect through 12/31/32 2% Inflation Adjustment 3% Inflation Adjustment 4% Inflation Adjustment • In 2025, Constellation qualifies for the nuclear PTC up to $15.00/MWh;
Slide 22: Our Investment Grade Balance Sheet is a Competitive Advantage
Our Investment Grade Balance Sheet is a Competitive Advantage Long-Term Debt Maturity Profile (2) As of 3/31/2025 Long-Term Debt Balances (3) ($M) Recourse $7.0B Non-Recourse $1.4B Total Long-Term Debt $8.4B $334 Current Credit Ratings (1) Moody’s Baa1; stable outlook S&P BBB+; stable outlook $900 $
Slide 23: Modeling Slides
23 Modeling Slides —— <= Constellation.
Slide 24: Base Earnings Give Visibility into Constellation's Stability and Growth
Base Earnings Give Visibility into Constellation’s Stability and Growth Adjusted Operating Earnings* Guidance Range $8.90 - $9.60 BASE EARNINGS ENHANCED EARNINGS • Earnings that are consistent, visible, and • Earnings that reflect additional value easy to calculate that will grow over time above bas
Slide 25: Standalone Constellation Visible 13%+ Adjusted Operating Earnings Growth on Base Earnings Through 2030
Standalone Constellation Visible 13%+ Adjusted Operating Earnings* Growth on Base Earnings Through 2030 Long-term Growth Rate of at Least 13% from 2024-2030 but Will Vary from Year to Year Factors 2025 2026 2027 2028 2029 PTC Step-Up (2% Inflation Adjustment) $44.75 $44.75 $45.75 $45.75 $49.88 $34.5
Slide 26: Standalone Constellation Modeling Tools for Base Earnings
Standalone Constellation Modeling Tools for Base Earnings 2025 2026 Quantity Prices Quantity Prices Gross Margin* (Base Only) (1) (million MWhs) ($/MWh) (million MWhs) ($/MWh) Nuclear (2) Illinois CMC Units (3) 55 $33.47 53 $34.09 NY Units (4) 26 $61 - $62 25 $61 - $63 Remaining Units (PTC) 101 $44.
Slide 27: Standalone Constellation Detailed Modeling Inputs for Base Earnings
Standalone Constellation Detailed Modeling Inputs for Base Earnings Expected Generation (million MWhs) (1) Nuclear 2025 2026 2027 2028 2029 IL CMC Units 55 53 23 - - NY Units 26 25 26 25 26 Remaining Units 101 102 132 158 157 Crane - - - 3 6 Total Nuclear 182 180 180 187 188 Number of Planned Refuel
Slide 28: Standalone Constellation Detailed Modeling Inputs for Base Earnings (continued)
Standalone Constellation Detailed Modeling Inputs for Base Earnings (continued) Expected Generation (million MWhs) Modeling Prices Non-Nuclear (Energy) 2025 2026 ($/MWh) (1) Wind/Solar 5 5 Historical renewable contracts $60 - $70 Hydro 2 2 Hydro revenue price ($/MWh) $45 Natural Gas, Oil, Other 20 1
Slide 29: Standalone Constellation Additional Modeling Inputs and Information
Standalone Constellation Additional Modeling Inputs and Information Other Modeling Inputs ($M) 2025 2026 Additional Information 2025 2026 Adjusted Gross Margin* (Enhanced Only) $1,050 - $1,300 $1,175 - $1,550 Power Margins Above 10-year Average $0.35 - Performance Incentive Adjustment Percentage of
Slide 30: Appendix Reconciliation of Non-GAAP Measures
Appendix Reconciliation of Non-GAAP Measures 30
Slide 31: GAAP to Non-GAAP Reconciliation – Adjusted Operating Earnings
GAAP to Non-GAAP Reconciliation – Adjusted Operating Earnings* Three Months Ended March 31, 2024 2025 Adjusted Operating Earnings* Reconciliation Earnings Per Earnings Per ($M except per share data) Share Share GAAP Net Income (Loss) Attributable to Common $883 $2.78 $118 $0.38 Shareholders Unrealiz
Slide 32: GAAP to Non-GAAP Reconciliation – Adjusted O&M
GAAP to Non-GAAP Reconciliation – Adjusted O&M* Adjusted O&M* Reconciliation ($M) 2025 2026 GAAP O&M $5,700 $5,800 Decommissioning-Related Activities (1) ($200) ($225) Direct cost of sales incurred to generate revenues ($125) ($125) for certain Commercial and Power businesses (2) Adjusted O&M* $5,37
Slide 33: Contact Information
Contact Information InvestorRelations@constellation.com Links Events and Presentations Reports & SEC Filings Constellation Sustainability Report Nuclear 101 33