Dominion Energy, Inc. · NYSE:D
Dominion Energy — Q1 2024 Earnings Presentation
27 slides from Dominion Energy's earnings presentation, May 2, 2024
Slide 1: Q1 2024 Earnings Call
Q1 2024 Earnings Call May 2, 2024
Slide 2: Important note for investors
Important note for investors This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding Dominion Energy. The statements relate to, among other things, expectations, estimates and projections concerning the busine
Slide 3: Operating earnings per share
Operating earnings per share Q1 2024: Actual ($ per share) $0.61 $0.55 Q1 2024 (YoY drivers) Unfavorable weather impact ▲ Weather³ on utility earnings: ($0.06) ▲ Sales ▲ Regulated investment ▼ Interest expense ▼ Rider revenue reduction ▼ Other Actual¹ Weather normal² ¹ See first quarter 2024 Earning
Slide 4: Financial guidance affirmed
Financial guidance affirmed Operating earnings per share and long-term financial guidance (no changes) $3.54 $3.40 midpoint $2.87 $3.25 $2.75 midpoint 5%—7% annual operating EPS growth rate through $2.62 2029 off 2025 operating EPS midpoint excluding RNG 45Z ($3.30)² 2024 guidance¹ 2025 guidance¹ Af
Slide 5: Significant improvement to our credit profile
Significant improvement to our credit profile 100% of after-tax proceeds will be used to reduce parent-level debt; pending transactions subject to regulatory approvals ($B) Status After-tax proceeds Debt transferred² Total debt reduction Est. closing Cove Point LNG¹ ✓ Completed $3.3 – $3.3 Closed De
Slide 6: Financing activities
Financing activities 2024¹ (no changes) Expected fixed income activities ($B) Issuance range Issued YTD Remaining Dominion Energy Virginia $2.0—$2.5 $1.0 $1.0—$1.5 Dominion Energy South Carolina — — — Contracted Energy — — — DEI hybrid 0.7—1.5 — 0.7—1.5 Consolidated $2.7—$4.0 $1.0 $1.7—$3.0 Expected
Slide 7: Employee safety: OSHA recordable incident rate
Dominion Energy Employee safety OSHA recordable incident rate¹ ~80% safer than industry average 100 employees each work year Number of recordables per 1.78 1.70 1.44 1.34 1.32 1.06 1.02 1.04 1.00 0.92 0.88 0.80 0.65 0.68 0.62 0.46 0.52 0.41 0.45 0.32 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 8: Dominion Energy Virginia: Regulated offshore wind on time and on budget
Dominion Energy Virginia Regulated offshore wind: On time and on budget (no change) ✓ Commence monopile installation: May 2024 (no change) Timeline ✓ Expected construction completion: End of 2026 (no change) ✓ April: Received a final construction air permit from the Environmental Protection Agency.
Slide 9: Dominion Energy Virginia: Offshore wind LCOE and costs
Dominion Energy Virginia Regulated offshore wind: On time and on budget (no change) ▪ LCOE (updated)¹: $73/MWh compared to $77/MWh last quarter and initial filling submission of $80 to $90/MWh ▪ Legislative prudency cap (no change): $125/MWh² LCOE sensitivity table LCOE impact to $73/MWh Assumption¹
Slide 10: Offshore wind continues to achieve project milestones
Dominion Energy Virginia Regulated offshore wind: Continues to achieve project milestones Last turbine installed / First project COD 100% 28% First transition turbine installed complete piece installed 75% Last transition piece installed First monopile installed¹ ROD Last monopile 50% First 8 monopi
Slide 11: Charybdis (Jones Act compliant installation vessel)
Charybdis (Jones Act compliant installation vessel) Achieves major milestone ▪ Completion status (updated): 85% compared to previous update of 82% ▪ Expected completion date (no change): Late 2024/early 2025 ▪ Supportive of CVOW schedule (no change) ▪ Seatrium (no change) ▪ Extensive relevant experi
Slide 12: Charybdis reaches major construction milestone
Charybdis reaches major construction milestone Video of the successful launch to water 12
Slide 13: Selected business updates: affordability and rate case
Dominion Energy Selected business updates ✓ Current residential rates ~14% below the national average¹ DEV: ✓ Fuel and transmission rider filings would result in net bill reduction Affordability ▪ Typical residential customer bill would decrease by ~3% ✓ Approved fuel filing settlement and related f
Slide 14: Selected business updates: demand growth
Dominion Energy Selected business updates ✓ Ramping into substantial and growing multi-decade utility investment ▪ Weather normal sales growth rate of 4.8% YTD March ▪ Continue to expect 2024 DEV weather normal sales growth rate of 4.5%—5.5% ✓ Northern Virginia leads the world in data center markets
Slide 15: Summary
Dominion Energy Summary ✓ Outstanding safety performance ✓ Affirmed all financial guidance from March 1 investor meeting ✓ Offshore wind project is on time and on budget ✓ Investing to provide the reliable, affordable, and increasingly clean energy that powers our customers every day ✓ 100% focused
Slide 16: Appendix
Appendix 16 83 \\\y
Slide 17: Investor relations schedule
Investor relations schedule Key events Dates Scotiabank NDR (Virtual) May 30 Guggenheim Partners (CVOW site visit) June 3—4 J.P. Morgan Energy, Power & Renewables Conference June 17 Wells Fargo NDR (Midwest) July 15—16 Evercore ISI (Charybdis site visit) August 22 More events to be added throughout
Slide 18: The business review has delivered a comprehensively positive result
The business review has delivered a comprehensively positive result Repositioned to provide compelling long-term value for shareholders, customers & employees Strategic and financial profile Strategic and financial metrics ▪ Simple strategy: Operate exceptional utilities in the Southeast U.S. ― Reli
Slide 19: Operating earnings per share: FY 2024 guidance
Operating earnings per share FY 2024 guidance (no change) Drivers by remaining quarter (YoY) Illustrative quarterly distribution of 2024E EPS ▲ Return to normal weather ▲ Lack of Millstone outages¹ Q2 ▲ Sales ▼ Rider roll in to base ▲ Regulated investment ▼ DD&A/O&M/other 30—40% ▲ Sales ▲ Interest e
Slide 20: Regulated electric sales growth
Regulated electric sales growth DEV and DESC combined LTM¹ Q1 ’24 YoY weather normal sales growth² Regulated electric sales trends Residential Commercial Industrial Govt/Other Total ✓ Robust commercial load growth driven by Data Centers 8.3% 2.5% ✓ Attractive customer growth across our Virginia and
Slide 21: Customers
Customers State-regulated utilities Segment summary Q1 2024 State summary Three months ended Average customers March 31 Q1 2024 (M) DE ‘22-’24 CAGR South Carolina 1.3M DE Virginia 1.0% 2.8 31% DE South Carolina 2.3% 1.3 Electric 1.6% 0.8 4.0M State utility Gas 3.7% 0.5 customers¹ Total utility custo
Slide 22: Weather: degree days
Weather Degree days Quarter ended 3/31 2024 2023 Actual 1,659 1,471 Heating Normal 1,940 1,924 Dominion Energy Virginia Actual 4 3 Cooling Electric Normal 4 5 Actual 620 459 Heating Dominion Energy South Normal 768 779 Carolina Actual 0 1 Cooling Normal 1 0 Dominion Energy South Actual 620 459 Gas H
Slide 23: Weather: after-tax impacts versus normal
Weather After-tax impacts ($M) Q1 Q2 Q3 Q4 2024 YTD Dominion Energy Virginia2 ($42) — — — ($42) Versus normal¹ Dominion Energy South (5) — — — (5) Carolina3 Total ($47) — — — ($47) Q1 Q2 Q3 Q4 2024 YTD $22 — — — $22 Versus prior year¹ Dominion Energy Virginia2 Dominion Energy South 10 — — — 10 Carol
Slide 24: Fixed income: credit ratings
Fixed income Credit ratings Dominion Energy, Inc. Moody’s S&P Fitch Corporate/Issuer Baa2 BBB+ BBB+ Senior Unsecured Debt Securities Baa2 BBB BBB+ Junior Subordinated Notes Baa3 BBB BBB Enhanced Junior Subordinated Notes Baa3 BBB- BBB- Preferred Stock Ba1 BBB- BBB- Short-Term/Commercial Paper P-2 A-
Slide 25: Fixed income: schedule of long-term debt
Fixed income Preliminary and unaudited schedule of long-term debt as of March 31, 2024 ($M) Segment Financing Entity Description Maturity Weighted Avg. Coupon Short-term at 3/31/2024 Long-term at 3/31/2024 DE Virginia VEPCO Unsecured Senior Notes, fixed rates 2025-2054 4.31% - $17,585 DE Virginia VE
Slide 26: Fixed income: schedule of debt maturities
Fixed income Schedule of debt maturities as of March 31, 2024 ($M) Financing Segment Due Date Entity DE Virginia DE SC Con Energy Corp & Other Total 2024 Sustainability Credit Facility (variable) 06/09/24 DEI - - - 450 450 3.071% Junior Subordinated Notes 08/15/24 DEI - - - 700 700 364-Day Term Loan
Slide 27: Fixed income: schedule of debt maturities
Fixed income Schedule of debt maturities as of March 31, 2024 ($M) Financing Segment Due Date Entity DE Virginia DE SC Con Energy Corp & Other Total 2027 3.60% 2020 Series B Senior Notes 03/15/27 DEI - - - 350 350 3.50% 2017 Series A Senior Notes 03/15/27 VEPCO 750 - - - 750 5.088% Senior Secured De