Exelon Corporation · NASDAQ:EXC
Exelon — Q4 2024 Earnings Presentation
56 slides from Exelon's earnings presentation, Feb 12, 2025
Slide 1: Earnings Conference Call Fourth Quarter 2024
February 12, 2025 Earnings Conference Call Fourth Quarter 2024
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 federal securities laws that are subject to risks and uncertainties. Words such as “could,” “may,” “expects,” “anticipates,” “will,” “targets,” “goals,” “pr
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures Exelon reports its financial results in accordance with accounting principles generally accepted in the United States (GAAP). Exelon supplements the reporting of financial information determined in accordance with GAAP with certain non-GAAP financial measures, including:
Slide 4: Key Messages
Key Messages Financial and ▪ Earned $2.50 per share in 2024, the 3rd straight year finishing above midpoint of guidance(1) Operational ▪ 2025 expected dividend growing to $1.60 per share(2) Excellence ▪ All utilities sustained top quartile or better performance in reliability and safety ▪ ~90% of ra
Slide 5: Delivering on 2024's Priorities and Commitments
Delivering on 2024’s Priorities and Commitments Priorities & Commitments Commitments Met Maintain industry-leading operational ▪ Sustained top quartile SAIFI and SAIDI performance at all utilities with Pepco Holdings in top excellence decile in 2024 and ComEd achieving Best in Class since 2017 Deplo
Slide 6: Operating Highlights
Operating Highlights 2024 Operations Metric BGE ComEd PECO PHI ▪ Reliability remains consistently strong with all SIIR (Serious Injury Incidence utilities achieving top quartile or better performance Safety Rate)(1) ― ComEd and Pepco Holdings achieved top decile in SAIFI and SAIDI performance in eac
Slide 7: 2024 Financial Results
2024 Financial Results Fourth Quarter 2024 EPS Full Year 2024 EPS Results Results $2.45 $2.50 Adjusted operating earnings* drivers $0.53 $0.53 versus $2.45 per share midpoint of $0.64 $0.64 full year guidance(1): $0.17 $0.17 $0.55 $0.55 December 2023 ComEd Order rehearing approval $0.20 $0.20 $0.74
Slide 8: Adjusted Operating Earnings Guidance
Adjusted Operating Earnings* Guidance Adjusted Operating Earnings* Guidance(1) Key Year-over-Year Drivers $2.64 - $2.74(3) $2.40 - $2.50(2) Incremental revenues from investment in utility infrastructure for the benefit of customers Incremental financing costs at HoldCo 2024 Original 2025 Original Gu
Slide 9: Exelon Distribution Rate Case Updates
Exelon Distribution Rate Case Updates Completed Since Q3 2024 Call Revenue Approved ROE / Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Requirement Order Date Equity Ratio Increase ComEd $594.5M FO 8.905% / 50.0% Dec 2024 Rate Plan 4-Year MYP $123.4M 9.50%/ Pepco DC FO Nov 2024 2-Year MYP 50.
Slide 10: Updated Investment Plan Supports Growing Needs of Customers
Updated Investment Plan Supports Growing Needs of Customers 4-year capital investment(1) profile drives benefits for our customers... Plan-over-Plan Drivers $38.0B Capital Investment $34.5B $3.8B $31.3B ▪ Increased investment plan-over-plan to support connecting new $29.0B $26.7B $12.6B businesses a
Slide 11: Optimally Positioned for Growing Transmission Needs
Optimally Positioned for Growing Transmission Needs of identified transmission opportunity beyond the plan, reinforcing Exelon’s enduring role $10-15B in ensuring a resilient grid for the nation’s economy(1) ▪ Reliability & Resiliency ▪ Congestion Relief Existing ▪ Generator Deactivation Infrastruct
Slide 12: Delivering a Premium Customer Experience at Competitive Rates
Delivering a Premium Customer Experience at Competitive Rates O&M Growth Well Below Inflation Above Average Value at Below Average Rates $ in millions Adjusted O&M ($M)*(1) 2.4% 2.0-2.5% ~35% Improvement in reliability Customer rates $4,600 $4,625 through grid investment(3) 21% below $3,725 largest
Slide 13: Long-Term Earnings Growth Supports Sustainable Dividend Growth
Long-Term Earnings* Growth Supports Sustainable Dividend Growth Targeting 5-7% Adjusted Operating Earnings* Projected Dividend Payout(4) CAGR from 2024-2028(1)(5) Expect ~60% dividend payout ratio, growing dividend at low end of targeted 5-7% adjusted operating 5-7% EPS* CAGR through 2028 $2.64 – $2
Slide 14: Strong Balance Sheet and Low-Risk Attributes Provide Flexibility
Strong Balance Sheet and Low-Risk Attributes Provide Strategic and Financial Flexibility Credit Metric Outlook %*(2,3) ▪ S&P upgrade affirms the strength of our credit-supportive value proposition(6) 14% ▪ Continued financial flexibility over our downgrade thresholds, managing risks while funding gr
Slide 15: 2025 Business Priorities and Commitments
2025 Business Priorities and Commitments ❖ Continue to advocate for equitable and balanced energy transition ❖ Focus on customer affordability, including through cost management ❖ Partner with our jurisdictions to capture growth opportunities, including ensuring energy security needs are met ❖ Maint
Slide 16: Sustainable Value as the Premier T&D Energy Company
Sustainable Value as the Premier T&D Energy Company Consistent Growth, Long-Term Value Financial Execution Operational Excellence Talented, Committed Employees Customer-Focused Customer rates 21% Top quartile reliability, 100+ workforce Proven track record, below largest U.S. cities(1) ComEd #1 Outs
Slide 17: Additional Disclosures
Additional Disclosures 17
Slide 18: Operating Earnings Growth Outlook
Operating Earnings* Growth Outlook 2025 2026 2027 2028 Total YoY Growth Growth Above Growth at Low End Growth Above Midpoint Growth Below Midpoint Relative to Range 5-7% Range(1) of 5-7% Range(2) of 5-7% Range of 5-7% Range Growth Drivers 2025-2028(3) Distribution Transmission ▪ Growth in line with
Slide 19: Exelon is a Key Partner in Driving Economic Development
Exelon is a Key Partner in Driving Economic Development A proven leader in the data center market... …with a pipeline for continued growth Historical Data Center Load in Northern IL(1) Projected Data Center Load Growth in Exelon’s Footprint(2) Recently Announced Data Center Projects 600 ~24% CAGR 16
Slide 20: Leveraging Transmission Network to Meet the Nation's Energy Needs
Significant Opportunity to Leverage Leading Transmission Network to Meet the Nation’s Energy Needs 3.2 Among the Largest Investors in Transmission ($B)(1) 2.7 2.6 2.5 2.4 2.3 2.0 1.9 1.5 1.3 1.2 0.8 0.8 0.8 0.6 Peer A Peer B Peer C EXC Peer E Peer F Peer G Peer H Peer I Peer J Peer K Peer L Peer M P
Slide 21: Energy Security is a Top Priority for Exelon
Energy Security is a Top Priority for Exelon Regional Transmission Federal Agencies States Operator ▪ FERC can provide direction to RTOs ▪ Timely leadership from PJM is needed ▪ We support our states taking a more on efforts to improve upon wholesale to prioritize reliability and affordability direc
Slide 22: Exelon Load Overview
Exelon Load Overview Load Growth Outlook (GWh) Revenue Decoupling Mitigates Load Load Net of EE & Solar Impacts EE & Solar Impacts Load Before EE & Solar Impacts Fluctuations Gross 1.9% Non-Decoupled(2) Load(1) 0.8% PECO Decoupled Net 1.3% DPL DE (0.4%) DPL MD Load ACE Pepco ~78% of Exelon’s BGE dis
Slide 23: Utility Capex and Rate Base vs. Previous Disclosures
Utility Capex and Rate Base vs. Previous Disclosures Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) 9,225 9,225 9,725 9,725 9,475 8,650 9,075 975 975 950 950 925 7,325 7,425 975 7,550 975 925 1,000 2,450 2,875 2,725 1,000 2,550 3,475 3,400 3,125 1,225 1,625 1,450 5,175 4,800 5,2
Slide 24: ComEd Capital Expenditure Forecast
ComEd Capital Expenditure Forecast Q4 2023 Capital Expenditures ($M) Rate Base Q4 2024 Capital Expenditures ($M) 2024: 36% of Total Exelon Rate Base 3,650 3,625 3,375 3,200 3,150 3,150 7% 1,175 1,400 950 2,850 975 900 1,150 875 2,250 21% 2,150 450 550 $21.3B 2,450 2,450 2,250 2,225 2,250 1,975 2,000
Slide 25: PECO Capital Expenditure Forecast
PECO Capital Expenditure Forecast Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) Rate Base 2024: 20% of Total Exelon Rate Base 1,950 2,000 1,950 1,925 1,900 1,875 1,825 375 1,700 1,700 375 350 25% 375 375 375 375 400 375 325 200 200 250 350 125 250 75 100 $12.2B 11% 1,225 1,300
Slide 26: BGE Capital Expenditure Forecast
BGE Capital Expenditure Forecast Rate Base Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) 2024: 17% of Total Exelon Rate Base 2,050 2,075 2,000 2,050 1,950 1,900 1,850 525 550 500 525 1,600 525 1,600 525 525 32% 500 500 800 900 875 950 950 51% $10.5B 700 800 475 375 625 625 625
Slide 27: Pepco Holdings Consolidated Capital Expenditure Forecast
Pepco Holdings Consolidated Capital Expenditure Forecast Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) Rate Base 2024: 27% of Total Exelon Rate Base 2,225 2,125 2,125 2,150 2,125 50 2,025 50 2,050 1,975 75 2,025 75 50 4% 75 50 100 125 650 700 675 550 625 525 900 1,025 925 29% $
Slide 28: ACE Capital Expenditure Forecast
ACE Capital Expenditure Forecast Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) Rate Base 2024: 6% of Total Exelon Rate Base 37% 525 525 525 500 500 450 450 425 225 400 $3.8B 250 225 275 150 175 100 275 225 63% 275 275 300 275 300 275 250 225 225 2024E 2025E 2026E 2027E 2024 202
Slide 29: DPL Capital Expenditure Forecast
DPL Capital Expenditure Forecast Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) Rate Base 2024: 7% of Total Exelon Rate Base 15% 700 625 50 600 625 625 600 600 575 50 575 100 75 125 50 50 75 75 225 250 250 350 $4.3B 200 175 175 275 54% 200 32% 325 300 325 325 325 325 300 300 275
Slide 30: Pepco Capital Expenditure Forecast
Pepco Capital Expenditure Forecast Q4 2023 Capital Expenditures ($M) Q4 2024 Capital Expenditures ($M) Rate Base 2024: 13% of Total Exelon Rate Base 1,025 1,050 1,025 975 1,000 1,000 975 950 925 24% 275 275 200 175 200 250 375 425 425 $7.8B 750 775 775 750 750 775 625 575 600 76% 2024E 2025E 2026E 2
Slide 31: 2025 Financing Plan
2025 Financing Plan(1) Entity Instrument Issuance ($M) Maturity ($M) Issued ($M) Remaining ($M) FMB $725 - - $725 FMB $275 - - $275 FMB $250 ($150) - $250 FMB / Tax-Exempts $203 ($78) - $203 FMB $1,050 ($350) - $1,050 Senior Notes $650 - - $650 Senior Notes / Other(2) $2,000 ($807) - $2,000 Equity $
Slide 32: 2025-2028 Financing Plan
2025-2028 Financing Plan $ in billions ~$2.8 ~$15 ~$38 ~($6) ~$6 ~$20 Adjusted Cash Debt Maturity Debt Refinance Debt Issuance(2) Equity Issuance(3) Utility Investment from Operations*(1) 2025-2028 2025-2028 Significant increase in capital expenditures is being funded in a balanced manner over the n
Slide 33: Exelon Debt Maturity Profile
Exelon Debt Maturity Profile(1,2) Debt Balances (as of 12/31/24)(1,2) ($B) Short-Term Debt Long-Term Debt Total Debt BGE $0.2 $5.4 $5.6 As of 12/31/2024 ComEd $0.0 $12.2 $12.3 ($M) PECO $0.2 $5.9 $6.1 PHI $0.5 $9.1 $9.7 Corp $0.9(3) $12.1 $13.1 Exelon $1.9 $44.8 $46.6 2,323 2,400 1,650 600 997 1,645
Slide 34: Exelon's Annual Earned Operating ROEs
Exelon’s Annual Earned Operating ROEs* 9.6% 10.0% 9.5% 9.4% 9.2% 9.4% 9.3% 8.7% 9.1% 2016 2017 2018 2019 2020 2021 2022 2023 2024 Delivered 2024 operating ROE* within our 9-10% targeted range Note: Represents the twelve-month periods December 31, 2016-2024 for Exelon’s utilities (excludes Corp). Ear
Slide 35: Q4 2024 QTD Adjusted Operating Earnings Waterfall
Q4 2024 QTD Adjusted Operating Earnings* Waterfall ($0.01) Distribution Rates $0.07 Distribution Rates $0.01 Return on Regulatory Assets ($0.08) MYP Reconciliations ($0.03) Timing of Distribution Earnings ($0.01) Depreciation and Amortization $0.02 Absence of Realized Losses ($0.01) CMC Carrying Cos
Slide 36: Q4 2024 YTD Adjusted Operating Earnings Waterfall
Q4 2024 YTD Adjusted Operating Earnings* Waterfall $0.23 Distribution Rates ($0.04) Distribution and Transmission Rates ($0.08) MYP Reconciliations $0.02 Absence of Realized Losses $0.03 Return on Regulatory Assets ($0.03) Depreciation and Amortization from Hedging Activity $0.01 Transmission Peak L
Slide 37: Exelon Adjusted Operating Earnings Sensitivities
Exelon Adjusted Operating Earnings* Sensitivities Interest Rate Sensitivity to +50bp 2025E 2026E (1) Cost of Debt $(0.01) $(0.01) Exelon Consolidated Effective Tax Rate 17.1% 20.1% Exelon Consolidated Cash Tax Rate(2) 9.1% 13.4% (1) Reflects full year impact to a +50bp increase on Corporate debt net
Slide 38: Rate Case Details
Rate Case Details 38
Slide 39: Exelon Distribution Rate Case Updates
Exelon Distribution Rate Case Updates Revenue Approved/Requested Expected/Received Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Requirement ROE / Equity Ratio Order Date Increase (1,2) ComEd $594.5M (2) EH IB RB FO 8.905% / 50.0% Dec 2024 Rate Plan 4-Year MYP (1,3) $123.4M 9.50%/ Pepco DC FO
Slide 40: ComEd Distribution Multi-Year Adjusted Rate Plan Filing
ComEd Distribution Multi-Year Adjusted Rate Plan Filing Final Order Multi-Year Adjusted Rate Plan Filing Details Notes (1,3) Docket No. 24-0181 ▪ On December 19, 2024, the Illinois Commerce Commission (ICC) voted to unanimously approve ComEd’s compliant refiled grid plan and multi-year rate plan, Te
Slide 41: Pepco DC Distribution Rate Case Filing
Pepco DC Distribution Rate Case Filing Final Order Multi-Year Plan Case Filing Details Notes Formal Case No. 1176 ▪ April 13, 2023, Pepco submitted its “Climate Ready Pathway DC” three-year multi-year plan (MYP) application to the Public Service Commission of the Test Period January 1 – December 31
Slide 42: PECO (Electric) Distribution Rate Case Filing
PECO (Electric) Distribution Rate Case Filing Final Order Rate Case Filing Details Notes Docket No. R-2024-3046931 ▪ March 28, 2024, PECO filed a general base rate case with the Pennsylvania Public Utility Commission (PA PUC) seeking an increase in electric distribution base rates Test Period Januar
Slide 43: PECO (Gas) Distribution Rate Case Filing
PECO (Gas) Distribution Rate Case Filing Final Order Rate Case Filing Details Notes Docket No. R-2024-3046932 ▪ March 28, 2024, PECO filed a general base rate case with the Pennsylvania Public Utility Commission (PA PUC) seeking an increase in gas distribution base rates Test Period January 1, 2025
Slide 44: DPL DE (Gas) Distribution Rate Case Filing
DPL DE (Gas) Distribution Rate Case Filing Rate Case Filing Details Notes Docket No. 24-1044 ▪ September 20, 2024, Delmarva Power filed an application with the Delaware Public Service Commission (DE PSC) seeking an increase in gas distribution base rates Test Period 9 months estimated + 3 months act
Slide 45: ACE Distribution Rate Case Filing
ACE Distribution Rate Case Filing Rate Case Filing Details Notes Docket No. ER24110854 ▪ November 21, 2024, Atlantic City Electric filed with the New Jersey Board of Public Utilities (NJ BPU) to adjust base rates Test Period 12 months actual ▪ Rate increases allow for system upgrades and energy grid
Slide 46: Approved Electric Distribution Rate Case Financials
Approved Electric Distribution Rate Case Financials Revenue Requirement Common Rate Approved Electric Distribution Rate Case Financials Allowed ROE Increase/(Decrease) Equity Ratio Effective Date (1,2) ComEd (Electric) $1,045.0M 8.905% 50.0% Jan 1, 2024 (3) PECO (Electric) $290.0M N/A N/A Jan 1, 202
Slide 47: Approved Gas Distribution Rate Case Financials
Approved Gas Distribution Rate Case Financials Revenue Requirement Common Rate Approved Gas Distribution Rate Case Financials Allowed ROE Increase/(Decrease) Equity Ratio Effective Date (1) PECO (Gas) $78.0M N/A N/A Jan 1, 2025 (2,3) BGE (Gas) $228.8M 9.45% 52.00% Jan 1, 2024 (4) DPL DE (Gas) $7.6M
Slide 48: Approved Electric Transmission Formula Rate Financials
Approved Electric Transmission Formula Rate Financials Revenue Requirement Common Rate Approved Electric Transmission Formula Rate Financials Allowed ROE(1) Increase/(Decrease) Equity Ratio Effective Date(2) ComEd $20M 11.50% 54.82% Jun 1, 2024 PECO $3M 10.35% 53.56% Jun 1, 2024 BGE $53M 10.50% 53.8
Slide 49: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures 49
Slide 50: Projected GAAP to Operating Adjustments
Projected GAAP to Operating Adjustments • There are no adjustments between 2025 projected GAAP earnings and adjusted (non-GAAP) operating earnings currently. 50
Slide 51: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations(1) (2) (3) S&P FFO/Debt = FFO (a) Moody’s CFO (Pre-WC)/Debt = CFO (Pre-WC) (c) Adjusted Debt (b) Adjusted Debt (d) S&P FFO Calculation(2) Moody’s CFO (Pre-WC) Calculation(3) GAAP Operating Income Cash Flow From Operations + Depreciation & Amortization +/- Working Cap
Slide 52: Q4 QTD GAAP EPS Reconciliation
Q4 QTD GAAP EPS Reconciliation Three Months Ended December 31, 2024 ComEd PECO BGE PHI Other Exelon 2024 GAAP earnings (loss) from continuing operations per share $0.24 $0.20 $0.17 $0.13 ($0.10) $0.64 Asset retirement obligation - - - 0.01 - 0.01 Environmental costs - - - (0.01) - (0.01) 2024 Adjust
Slide 53: Q4 YTD GAAP EPS Reconciliation
Q4 YTD GAAP EPS Reconciliation Twelve Months Ended December 31, 2024 ComEd PECO BGE PHI Other Exelon 2024 GAAP Earnings (Loss) from Continuing Operations Per Share $1.06 $0.55 $0.53 $0.74 ($0.42) $2.45 Change in FERC audit liability 0.04 - - - - 0.04 Cost management charge - - - 0.01 - 0.01 Asset re
Slide 54: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Exelon Operating TTM ROE Reconciliation ($M)(1) 2016 2017 2018 2019 2020 2021 2022 2023 2024 Net Income (GAAP) $1,103 $1,704 $1,836 $2,065 $1,737 $2,225 $2,501 $2,740 $2,899 Operating Exclusions $461 ($24) $32 $30 $246 $82 $96 $60 $44 Adjusted Operating Earnings* $1,
Slide 55: Thank you
Thank you Please direct all questions to the Exelon Investor Relations team: InvestorRelations@ExelonCorp.com 312-394-2345
Slide 56: C\ exelon’
C\ exelon’