Slide 1: Transforming For Our Future
Transforming For Our Future Third Quarter 2023 Earnings Nov. 9, 2023
Slide 2: Cautionary Statements
Cautionary Statements Forward-looking Statements Statements in this presentation not based on historical facts are considered "forward-looking" and, accordingly, involve risks and uncertainties that could cause actual results to differ materially from those discussed. Although such forward-looking s
Slide 3: Strategic and Business Update
Strategic and Business Update Marty Lyons Chairman, President and Chief Executive Officer, Ameren Corp. Ameren Missouri’s Montgomery Community Solar Energy Center in service March 2022
Slide 4: Leadership Update
Leadership Update • On Nov. 2, Warner Baxter retired as Executive Chairman of Ameren • Over 28 years with Ameren, served in several leadership roles, including Chairman, President and Chief Executive Officer • Track record of strong execution of strategy focused on robust infrastructure investments
Slide 5: Our Strategic Plan
Our Strategic Plan INVEST ENHANCE OPTIMIZE Enhance regulatory Invest in rate regulated Optimize operating frameworks and advocate energy infrastructure performance for responsible policies To capitalize on opportunities to benefit our customers, communities, shareholders and the environment Third Qu
Slide 6: Our Sustainability Value Proposition
Our Sustainability Value Proposition ENVIRONMENTAL STEWARDSHIP SOCIAL IMPACT • Accelerating transition to a cleaner and more diverse portfolio • Delivered value to customers in 2022 while focused on safety ‒ Target carbon reductions from 2005 levels: 60% by 2030; 85% by 2040; net ‒ Ameren has ranked
Slide 7: Earnings and Guidance Summary
Earnings and Guidance Summary • Remain focused on safely executing strategic plan Diluted EPS • Key Q3 earnings variance drivers 2022 vs. 2023 ↑ Earnings on increased infrastructure investments across all $3.51 $3.78 business segments ↑ Higher electric service rates at Ameren Missouri ↑ Higher allow
Slide 8: 2023 Strategic Business Objectives Outlined in Feb. 2023
2023 Strategic Business Objectives Outlined in Feb. 2023 Invest • Continue robust infrastructure investment in electric, natural gas and transmission infrastructure projects • Submit bids for MISO LRTP Tranche 1 competitive projects and support analysis for potential Tranche 2 projects Enhance • Con
Slide 9: Executing Our Strategy
Executing Our Strategy Invest • $2.6 billion of capital invested1 benefiting our customers and communities – Significant investment in electric, natural gas and transmission infrastructure projects • In Oct., awarded Orient-Denny-Fairport competitive MISO LTRP Tranche 1 project; Capital Expenditures
Slide 10: Missouri Integrated Resource Plan filed with MoPSC Sep. 2023
Missouri Integrated Resource Plan filed with MoPSC Sep. 2023 Least-cost approach to reliably meet customer energy needs in an environmentally responsible manner • Carbon emissions1: Targets substantial reductions; 60% by 2030, 85% by 2040 and net-zero by 2045 • Coal: All energy centers retired by 20
Slide 11: Ameren Missouri Solar Projects
Ameren Missouri Solar Projects Investing in rate regulated energy infrastructure to benefit our customers, shareholders and the environment Huck Cass Bowling Boomtown2,3 Split Rail Vandalia Finn1,2 County Green Facility size 200-MW 150-MW 300-MW 150-MW 50-MW 50-MW Agreement Development Build-transfe
Slide 12: MISO Long-Range Transmission Planning Roadmap
MISO Long-Range Transmission Planning Roadmap Investing in rate regulated energy infrastructure to benefit our customers, shareholders and the environment • In July 2022, MISO approved Tranche 1 projects of ~$10 billion – $1.8 billion1 assigned to Ameren; planning, design work and procurement underw
Slide 13: Illinois Energy Legislation
Illinois Energy Legislation Enhancing regulatory frameworks and advocating for responsible energy and economic policies Ameren Transmission • Transmission Efficiency and Cooperation Law, HB 34451, passed by General Assembly in May 2023 – Provides incumbent utilities, including Ameren, the right of f
Slide 14: Robust Investment Opportunities Across All Businesses Over Next Decade
Robust Investment Opportunities Across All Businesses Over Next Decade1 Modernizing the grid and investing in cleaner generation Investment Plan 2023-2027 $48B+ ($ billions) Strong Pipeline of Regulated $19.7 Infrastructure Investments $3.8 2023-2032 $1.9 • Modernize electric and gas transmission an
Slide 15: Long-term Total Return Outlook
Long-term Total Return Outlook • Remain on track to deliver strong long-term earnings growth – Expect 6% to 8% EPS CAGR from 2023-20271 • Using original 2023 EPS guidance range midpoint of $4.35 as the base 2022-2027E Regulated Five-Year Rate – Expect 8.4% rate base CAGR from 2022-20272 Infrastructu
Slide 16: Financial Update
Financial Update Michael Moehn Senior Executive Vice President and Chief Financial Officer, Ameren Corp.
Slide 17: 2023 Third Quarter Earnings Analysis – Key Drivers
2023 Third Quarter Earnings Analysis – Key Drivers ↑ Ameren Illinois Electric Distribution earnings — Increased investments in infrastructure; higher allowed ROE Diluted EPS2 ↑ Ameren Transmission earnings Q3 2022 vs. Q3 2023 — Increased investments in infrastructure ↑ Parent Company and Other resul
Slide 18: 2023 EPS Guidance and Select Balance of the Year Considerations
2023 EPS Guidance and Select Balance of the Year Considerations • Expect 2023 diluted EPS guidance range of $4.30 to $4.45 2023E • Select considerations for Q4 2023 EPS compared to Q4 2022 EPS Diluted EPS – Ameren Missouri new electric service rates effective July 9, 2023: Q4: ~+$0.04 $4.45 – Ameren
Slide 19: Illinois Multi-Year Rate Plan
Illinois Multi-Year Rate Plan Electric Distribution • Multi-Year Rate Plan (MYRP) filed with ICC in Jan. 2023; request driven by infrastructure investment and cost of capital – On Sep. 6, ICC Staff recommended cumulative increase of $322 million in revenues – On Sep. 22, Ameren Illinois requested cu
Slide 20: Illinois Regulatory Matters
Illinois Regulatory Matters Electric Distribution • In November 2023, filed updated request with ICC for $117 million reconciliation adjustment to the 2022 revenue requirement reflecting actual costs – Based on 2022 year-end rate base, ROE and equity ratio – In Aug., ICC Staff recommended a reconcil
Slide 21: Financing, Credit Ratings and External Debt Balances
Credit Ratings2 and Financing External Debt Balances Debt Financing • On Mar. 13, 2023, Ameren Missouri issued $500 million of 5.45% first mortgage bonds due 2053 – Proceeds used to fund capital expenditures and refinance short term debt As of Sep. 30, 2023 $ in millions Moody's S&P • On May 31, 202
Slide 22: 2023-2024 Winter Season and Natural Gas Prices
2023-2024 Winter Season and Natural Gas Prices Working to keep bills as low as possible Ameren Illinois and Ameren Missouri Natural Gas businesses • ~91% of natural gas hedged based on normal seasonal sales • 100% of natural gas volumetrically hedged based on maximum seasonal sales • Ameren Illinois
Slide 23: Select 2024 Earnings Considerations Compared to 2023
Select 2024 Earnings Considerations Compared to 20231 ↑ New electric service rates effective July 9, 2023: ~+$0.082 Ameren ↑ Higher investments in infrastructure eligible for PISA Missouri ↑ Return to normal weather; assumes normal weather for Q4 2023: ~+$0.02 ↑ Higher average estimated rate base: ~
Slide 24: Summary
Summary Expect to deliver strong earnings growth in 2023 with guidance in a range of $4.30 to $4.45 per diluted share Successfully executing our strategy; well-positioned for future growth • Focused on delivering safe, reliable and cleaner energy while keeping a focus on affordability Strong long-te
Slide 25: Appendix
APPENDIX
Slide 26: Four Constructive Regulatory Frameworks
Four Constructive Regulatory Frameworks FERC-regulated: Formula ratemaking Ameren • Allowed ROE is 10.52%, includes MISO participation adder of 50 basis points; ~56% average equity ratio Transmission • Rates reset each Jan. 1 based on forward-looking calculation with annual reconciliation ICC-regula
Slide 27: 2023 Earnings Analysis for Nine Months Ended Sep. 30
2023 Earnings Analysis for Nine Months Ended Sep. 30 ↑ Ameren Illinois Electric Distribution earnings — Increased investments in infrastructure; higher allowed ROE ↑ Ameren Transmission earnings — Increased investments in infrastructure YTD Diluted EPS ↑ Parent Company and Other results Sep. 2022 vs
Slide 28: Missouri IRP Preferred Plans
Missouri IRP Preferred Plans Key Actions 2022 IRP2 2023 IRP2 Specifics Carbon Emission Reduction1 60% by 2030 • Includes both Scope 1 and 2 emissions, including other greenhouse gas 85% by 2040 No change emissions of methane, nitrous oxide and sulfur hexafluoride Net Zero by 2045 Coal Retirements 3,
Slide 29: Rush Island Energy Center
Rush Island Energy Center Ameren Missouri • In 2021, U.S. Court of Appeals ordered installation of a scrubber at Rush Island Energy Center; Ameren Missouri subsequently announced its intent to retire the energy center • In July, 2022, MISO designated Rush Island generating units as System Support Re
Slide 30: Building a Brighter and Cleaner Energy Future
Building a Brighter and Cleaner Energy Future Innovative Programs to Meet Customer Needs and Rising Expectations Utility-owned solar Subscription program generation in MO that available to MO residential benefits diverse Neighborhood Community and small business communities with jobs training, solar
Slide 31: Ameren Illinois Electric Distribution Multi-Year Rate Plan Performance Metrics
Ameren Illinois Electric Distribution Multi-Year Rate Plan Performance Metrics Adjustment / Metric Description Incentive (+/- bps) Improve System Average Interruption Duration Index (SAIDI) systemwide; improve interruption and 1. Reliability duration outages (SAIDI, SAIFI, CEMI, and CELID) in enviro
Slide 32: FERC Regulatory Matters
FERC Regulatory Matters Ameren Transmission • In Apr. 2021, FERC issued supplemental NOPR that would remove incentive adder for utilities that have been members of an RTO for three years or more – Current allowed base ROE of 10.02% (10.52% including 50 bps RTO participation adder) – 50 bps change in
Slide 33: Focused on Disciplined Cost Management to Drive Affordability
Focused on Disciplined Cost Management to Drive Affordability Optimize operating performance to benefit of our customers, shareholders and the environment • Track record of disciplined cost management – Expect flat operations and maintenance expenses in 2023 as compared to 2022 – Target flat operati
Slide 34: Federal Energy Legislation
Federal Energy Legislation • Inflation Reduction Act enacted in Aug. 2022 – Enhances affordability of the clean energy transition for customers in Missouri and Illinois • Ameren Missouri expects to generate more than ~$1 billion1 of tax credits for customers by 2030 as result of PTCs and ITCs relate
Slide 35: Long-Term Debt Maturities and Interest Rates
Long-Term Debt Maturities and Interest Rates Issuer 20231 2024 2025 2026 2027 $450 million 2.50% $350 million 3.65% $500 million 1.95% Ameren Corp. senior unsecured notes senior unsecured notes senior unsecured notes $350 million 3.50% $400 million 2.95% Ameren Missouri senior secured notes senior s
Slide 36: Solid Sustainability Ratings
Solid Sustainability Ratings AAA 0 A Aug. 2023 July 2023 Dec. 2022 A- Water A 27.2 Medium Risk C Climate Range: Range: Range: A-F AAA-CCC 0-100 (A is best) (AAA is best) (Lower is better) CCC 100 F Ameren Corp. 98.6 Trendsetter Oct 2023 Third Quarter 2023 Earnings | Nov. 9, 2023 36
Slide 37: Investing in the Energy Grid
Investing in the Energy Grid • Investing to modernize energy grid, making it cleaner, safer, more reliable, resilient and secure – Ameren Missouri Smart Energy Plan and Ameren Illinois MYRP filed with the MoPSC and ICC, 2022-2027E Regulated respectively, supporting infrastructure investment to moder
Slide 38: Ameren’s Estimated Coal-Related Revenues in 2022
Ameren’s Estimated Coal-Related Revenues in 2022 Return on Investment Revenues Cost Recovery3 Revenues $2B1 x ($99M x $475M + 52% x $2B1 x 48% 25%) / (1 $168M x $138M + 9.50%2 = x 3.91% = - 25%) 20%1 = $171M = $99M $38M $33M $34M $784M $7,957M 12% Return on Interest Tax Expense Property Fuel, other
Slide 39: Investor Relations Calendar
Investor Relations Calendar NOVEMBER 2023 JANUARY 2024 SUN. MON. TUES. WED. THUR. FRI. SAT. SUN. MON. TUES. WED. THUR. FRI. SAT. 1 2 3 4 1 2 3 4 5 6 Goldman Sachs Conf. 5 6 7 8 9 10 11 7 8 9 10 11 12 13 Q4 2023 Q3 Evercore quiet Earnings ISI Conf. period Conf. Call begins 12 13 14 15 16 17 18 14 15
Slide 40: Select Regulatory and Legislative Matters
Select Regulatory and Legislative Matters Missouri Public Service Commission • Order approving electric rate review filling: Docket No. ER-2022-0337 • Orders approving CCNs for Huck Finn and Boomtown Solar Projects: Docket No. EA-2022-0244 and EA-2022-0245, respectively • Pending multi-project Certi
Slide 41: Glossary of Terms and Abbreviations
Glossary of Terms and Abbreviations AFUDC – Allowance for funds used during construction ALJ – Administrative Law Judge ICC – Illinois Commerce Commission ST – Short-term ATXI – Ameren Transmission Company of Illinois IETL – Illinois Energy Transition Legislation TBD – To be determined B – Billion I