Hawaiian Electric Industries · NYSE:HE

Hawaiian Electric Industries — Q3 2026 Earnings Presentation

34 slides from Hawaiian Electric Industries's earnings presentation, Nov 6, 2026

  1. Slide 1: HEI 3Q 2026 Financial Results

    HEI 3Q 2026 Financial Results November 6, 2026

  2. Slide 2: Non-GAAP Financial Information

    Non-GAAP Financial Information This presentation refers to certain financial measures that were not prepared in accordance with U.S. generally accepted accounting principles, including Core Earnings Per Share (EPS), Core Net Income, Core Return on Equity (ROE) and other Core measures. Reconciliation

  3. Slide 3: Measurable Progress Executing on Objectives

    Measurable Progress Executing on Objectives Key Objectives Pre-Wildfire (Q2 2023) Post-Wildfire (Q4 2023) Today HEI: Ba2 / B+ / BB- Credit ratings: HEI: NR / BBB+ / BBB- HEI: B1 / B / B- HECO: Ba1 / BB- / BB- ✓ Reduce Wildfire Risk and Restore HECO: Baa1 / A- / BBB HECO: Ba3 / B / B- Significant ris

  4. Slide 4: Continuing to Meet Customers' Energy Needs While Prioritizing Safety, Affordability, Reliability and Resilience

    Continuing to Meet Customers’ Energy Needs While Prioritizing Safety, Affordability, Reliability and Resilience Strong Operational Execution During a Quarter of Challenging Weather Conditions Reliability Resilience Safety Affordability Delivering for customers Investments in wildfire Wildfire Mitiga

  5. Slide 5: Rate Rebasing and PBR Review Progressing

    Rate Rebasing and PBR Review Progressing Rebasing Progressing PBR Phase 6: PUC Staff Proposal and High- • Key procedural milestone complete, with public hearings held on level Schedule Released all islands • Phase 6 will address specific PBR mechanisms; Company • Preliminary PUC schedule allows for

  6. Slide 6: 3Q 2026 Financial Performance & Highlights

    3Q 2026 Financial Performance & Highlights GAAP Results Include Wildfire and Pacific Current Expenses1 3Q Core EPS1 $0.19 3Q 2026 Earnings EPS $0.13 Net Income (GAAP) $35.5M $0.20 excl.: Maui wildfire-related expenses $14.0M $0.08 $0.23 $0.16 excl.: Gain on sale of investment and net unrealized gain

  7. Slide 7: Maintaining Solid Liquidity and Financial Strength Through Transitional Year

    Maintaining Solid Liquidity and Financial Strength Through Transitional Year LIQUIDITY UPDATE FINANCIAL POSITION REMAINS STRONG IN HIGH FUEL PRICE ENVIRONMENT • As of 9/30, the HoldCo and Utility had $48 million and $176 million of unrestricted cash on hand, respectively. $1.1 $1.0 billion in additi

  8. Slide 8: Potential Financial Impacts of Rate Rebasing and Proposed PIMs

    Potential Financial Impacts of Rate Rebasing and Proposed PIMs—Illustrative Revenue Enhancement Opportunities1 2027 (rates Full Year $ millions effective 5/1/2027) Run Rate Rate Rebasing Revenue (revenue impact) Scenarios Provided $83 $125 Utility Core ROE (includes impact of HEI integration costs o

  9. Slide 9: Maintaining Solid Liquidity as Financing Plan Progresses

    Maintaining Solid Liquidity as Financing Plan Progresses FUNDING SETTLEMENT OBLIGATIONS – CURRENT EXPECTATIONS1 Reimbursed by Funded by 2024 Early payments To be primarily To be funded by mix of capital insurance equity issuance made to date funded by debt / convertible debt $479 $479 $1,990 $397 $8

  10. Slide 10: Q&A

    Q&A

  11. Slide 11: Appendix

    Appendix =

  12. Slide 12: Safety, Reliability and Resilience Drive Capital Investment

    Safety, Reliability and Resilience Drive Capital Investment Capital Expenditures Forecast ($ in millions) Total Capex (incl. Securitization  Capex supports strategic objectives of capex) reducing wildfire risk, increasing $775-$925 reliability and resilience and repowering Total Capex (incl. Total

  13. Slide 13: Safety, Reliability and Resilience Drive Capital Investment (Detail)

    Safety, Reliability and Resilience Drive Capital Investment Capital Expenditures Forecast Detail ($ in millions) 2024 2025 2026 2027 2028 Status Key Capex Projects 1 Actual Actual Forecast Forecast Forecast Recovery Mechanism Waiau Repower $1 $143 $149 $242 EPRM/Securitization Wildfire Safety Strate

  14. Slide 14: Additional Revenue-Enhancing Opportunities Being Pursued in Phase 6

    Additional Revenue-Enhancing Opportunities Being Pursued in Phase 6 Our Phase 6 Objectives Include: Modifying forecasted GDPPI inflation adjustment • Base the inflation adjustment on actual rather than forecasted inflation, and better reflect actual PUC’s Guidance on PBR inflationary pressures in ou

  15. Slide 15: Accelerated Progression of Wildfire Risk Reduction Efforts

    Accelerated Progression of Wildfire Risk Reduction Efforts1 Grid Hardening and Redesign • Replaced or upgraded 5,072 wood poles • Replaced 52.9 miles of overhead copper conductor with stronger aluminum conductor or covered conductor • Replaced 16,114 expulsion fuses with firesafe fuses • Replaced 4,

  16. Slide 16: Utility LTM ROE

    Utility LTM ROE Includes approximately (60) bps impact from ROE (%) storm costs2 (0.6%) 9.5% 8.9% (2.9%) 9.5% 8.9% (0.8%) 5.2% Actual O&M, 5.2% Allowed Non-recoverable ROE less depreciation & return on Others, Net Actual Q3 ROE items1 Structural rate base 2026 Items over recovery2 Core ROE GAAP TO N

  17. Slide 17: Hawaiian Electric Crews Responded Rapidly Despite Hurricane Lala's Severity

    Hawaiian Electric Crews Responded Rapidly Despite Hurricane Lala’s Severity • Hurricane Lala caused extensive Efforts of Hawaiian Electric crews resulted in accelerated statewide damage as it passed through restoration despite severe damage the southern portion of the island chain August 14 – 16 140

  18. Slide 18: Safety is a Core Value at the Forefront of All We Do

    Safety is a Core Value at the Forefront of All We Do Key safety performance indicators have trended lower over the past 20 years, showing Hawaiian Electric’s commitment to safety as a core company value, integrated in all company processes 8.00 Total Case Incident Rate (TCIR)1 and Lost Time Rate (LT

  19. Slide 19: 3Q Adjusted O&M Excluding Pension (non-GAAP)

    3Q Adjusted O&M Excluding Pension (non-GAAP)1 $ in millions $158.9 GAAP TO NON-GAAP RECONCILIATION OF O&M, NET OF EXCLUSIONS2 $139.8 3Q 2025 3Q 2026 GAAP O&M $161.8 $181.6 (less): Pension1 12.6 11.3 Covered by surcharges 5.9 5.4 Covered by third parties 3.5 6.0 Adjusted O&M $139.8 $158.9 3Q25 3Q26 1

  20. Slide 20: YTD Adjusted O&M Excluding Pension (non-GAAP)

    YTD Adjusted O&M Excluding Pension (non-GAAP)1 $ in millions $441.8 GAAP TO NON-GAAP RECONCILIATION OF O&M, NET OF EXCLUSIONS2 $398.1 YTD 3Q 2025 YTD 3Q 2026 GAAP O&M $463.1 $510.5 (less): Pension1 36.9 34.5 Covered by surcharges 16.6 16.0 Covered by third parties 11.4 18.2 Adjusted O&M $398.1 $441.

  21. Slide 21: Our Affordability Strategies Address Total Energy Burden

    Our Affordability Strategies Address Total Energy Burden HAWAI’I HOUSEHOLD ENERGY BURDEN IS LOWER THAN THE NATIONAL AVERAGE • Total household energy burden considers Hawaiʻi’s unique energy landscape and its 2025 U.S. average total 2025 Hawai’i total broader statewide goals, including: household ene

  22. Slide 22: Fossil Fuel Cost Risk Sharing

    Fossil Fuel Cost Risk Sharing • Symmetrical mechanism • Variations in fossil fuel price above or below baseline shared 98% customers / 2% utility • Applies to utility fossil fuel generation (not IPP generation or non-fossil fuels), includes fuel efficiency impacts • Baseline price: January fuel pric

  23. Slide 23: Status of Key Open Dockets

    Status of Key Open Dockets Subject and Description Docket # Latest Developments Next Milestone Performance-Based Regulation 2018-0088 Beginning in 2024, this docket has focused on (a) whether - and if so, by what Order from the PUC addressing the utility’s Proceeding to evolve regulatory framework t

  24. Slide 24: Status of Key Open Dockets, Continued

    Status of Key Open Dockets, Continued Subject and Description Docket # Latest Developments Next Milestone Stage 3 RFP 2017-0352 Stage 3 RFP Stage 3 RFP Hawaii Island seeks up to 325 GWh of energy annually and up to 65 MW of On 12/30/2024, PPAs were executed for AES’s Keamuku (86 MW PV and 86 MW / Co

  25. Slide 25: Status of Key Open Dockets, Continued

    Status of Key Open Dockets, Continued Subject and Description Docket # Latest Developments Next Milestone 2025-2027 Wildfire Mitigation Plan (2025-2027 WMP) 2025-0156 On 12/31/2025, the PUC issued Decision and Order No. 42228, which (1) Track 2 (WMP 2026-2027 Update)- Pending PUC Order approves the

  26. Slide 26: Status of Key Open Dockets, Continued

    Status of Key Open Dockets, Continued Subject and Description Docket # Latest Developments Next Milestone 2026-2027 WMP Update Exceptional Project Recovery Mechanism (EPRM) 2026-0221 On 10/1/26, the utility filed an application requesting approval to recover, Awaiting a procedural schedule from the

  27. Slide 27: Cautionary Note Regarding Forward Looking Statements

    Cautionary Note Regarding Forward Looking Statements This report and other presentations made by Hawaiian Electric Industries, Inc. (HEI) and Hawaiian Electric Company, Inc. (Hawaiian Electric) and their subsidiaries contain “forward-looking statements,” which include statements that are predictive

  28. Slide 28: Cautionary Note Regarding Forward Looking Statements continued

    Cautionary Note Regarding Forward Looking Statements continued • weather, natural disasters (e.g., hurricanes, earthquakes, tsunamis, lightning strikes, lava flows and the effects of evolving climate dynamics, such as more severe storms, flooding, droughts, heat waves, and rising sea levels) and wil

  29. Slide 29: Cautionary Note Regarding Forward Looking Statements continued

    Cautionary Note Regarding Forward Looking Statements continued • new technological developments that could affect the operations and prospects of the Utilities or their competitors such as the commercial development of energy storage and microgrids; • the potential that cyber or physical security in

  30. Slide 30: Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures

    Explanation of HEI’s Use of Certain Unaudited Non-GAAP Measures HEI management uses certain non-GAAP measures to evaluate the performance of HEI. Management believes these non-GAAP measures provide useful information and are a better indicator of the companies’ core operating activities. Core earnin

  31. Slide 31: Reconciliation of GAAP to Non-GAAP Measures—HEI

    Reconciliation of GAAP to Non-GAAP Measures—HEI Three months ended September 30 Nine months ended September 30 (in thousands) 2026 2025 2026 2025 HEI Consolidated GAAP1 net income (as reported) $ 35,450 $ 30,747 $ 189,100 $ 83,503 Excluding special items related to the Maui windstorm and wildfires (

  32. Slide 32: Reconciliation of GAAP to Non-GAAP Measures—Hawaiian Electric

    Reconciliation of GAAP to Non-GAAP Measures—Hawaiian Electric Three months ended September 30 Nine months ended September 30 (in thousands) 2026 2025 2026 2025 Maui windstorm and wildfires related items Pretax expenses: Legal expenses $ 1,028 $ 4,316 $ 3,592 $ 12,469 Other expense — 5,791 1,116 17,2

  33. Slide 33: Reconciliation of GAAP to Non-GAAP Measures—Hawaiian Electric (cont'd)

    Reconciliation of GAAP to Non-GAAP Measures—Hawaiian Electric (cont’d) GAAP TO NON-GAAP RECONCILIATION OF UTILITY ROE1 2027 (rates Full Year Run Rate effective 5/1/2027) of New Rates GAAP ROE 9.5% 5.7% – 6.2% 6.7% – 7.2% 5.2% Add back: Wildfire tort liability accretion 1.5% 1.5% Wildfire Legal/Claim

  34. Slide 34: Reconciliation of GAAP to Non-GAAP Measures—Holding Company & Other

    Reconciliation of GAAP to Non-GAAP Measures—Holding Company & Other Three months ended September 30 Nine months ended September 30 (in thousands) 2026 2025 2026 2025 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ (26) $ 1,478 $ 2,642 $ 8,063 Outside services expense — —

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