Public Service Enterprise Group Incorporated · NYSE:PEG
Public Service Enterprise — Q3 2024 Earnings Presentation
23 slides from Public Service Enterprise's earnings presentation, Nov 4, 2024
Slide 1: Third Quarter 2024 Financial Results Presentation
Public Service Enterprise Group THIRD QUARTER 2024 NYSE: PEG Financial Results Presentation November 4, 2024
Slide 2: Forward-Looking Statements
PSEG Third Quarter 2024 Forward-Looking Statements Certain of the matters discussed in this presentation about our and our subsidiaries’ future • development, adoption and use of Artificial Intelligence by us and our third-party vendors; performance, including, without limitation, future revenues, e
Slide 3: GAAP Disclaimer
PSEG Third Quarter 2024 GAAP Disclaimer PSEG presents Operating Earnings in addition to its Net Income Net Income (Loss), which is an indicator of financial (Loss) reported in accordance with accounting principles performance determined in accordance with GAAP. In addition, generally accepted in the
Slide 4: Q3 and Year-to-Date 2024 Highlights
PSEG Third Quarter 2024 PSEG Q3 and Year-to-Date 2024 Highlights Third Quarter Results • Net Income of $1.04 per share • Non-GAAP Operating Earnings* of $0.90 per share • PSE&G non-GAAP Operating Earnings* driven by higher regulated investments, more than offset by higher O&M, depreciation and inter
Slide 5: Narrowing Full Year 2024 Outlook
PSEG Third Quarter 2024 PSEG Narrowing Full Year 2024 Outlook $3.64 - $3.68 • PSEG narrowing full year 2024 non-GAAP Operating Earnings guidance to $3.64 - $3.68 per share (from $3.60 - $3.70 per share prior) $3.48 • New PSE&G distribution base rates effective October 15, 2024 • Carbon-free nuclear
Slide 6: Q3 2024 Review
PSEG Third Quarter 2024 Q3 2024 Review 6
Slide 7: Q3 Results
PSEG Third Quarter 2024 PSEG Q3 Results PSEG EPS Summary – Three Months ended September 30, Net Income (Loss) 2024 2023 Change PSE&G $0.76 $0.80 $(0.04) PSEG Power & Other $0.28 $(0.53) $0.81 Total PSEG $1.04 $0.27 $0.77 Non-GAAP Operating Earnings* 2024 2023 Change PSE&G $0.76 $0.80 $(0.04) PSEG Po
Slide 8: EPS Reconciliation – Q3 2024 versus Q3 2023
PSEG Third Quarter 2024 PSEG EPS Reconciliation – Q3 2024 versus Q3 2023 $1.10 $1.04 $1.00 $0.09 $0.90 $0.90 $0.85 ($0.04) $0.80 Renewables & Gross Margin and Energy Efficiency 0.01 PTC** 0.16 $ / share $0.70 Distribution Margin 0.06 O&M (0.03) Distribution O&M (0.04) Depreciation & $0.60 Interest (
Slide 9: Year-to-Date Results
PSEG Third Quarter 2024 PSEG Year-to-Date Results PSEG EPS Summary – Nine Months ended September 30, Net Income 2024 2023 Change PSE&G $2.34 $2.45 $(0.11) PSEG Power & Other $0.63 $1.58 $(0.95) Total PSEG $2.97 $4.03 $(1.06) Non-GAAP Operating Earnings* 2024 2023 Change PSE&G $2.34 $2.47 $(0.13) PSE
Slide 10: EPS Reconciliation – YTD 2024 versus YTD 2023
PSEG Third Quarter 2024 PSEG EPS Reconciliation – YTD 2024 versus YTD 2023 $4.00 $4.50 $4.03 $4.00 $3.50 ~ ~ $2.94 $2.97 $3.00 ($0.13) $0.03 $2.84 $ / share Renewables & Gross Margin and Energy Efficiency 0.03 PTC** 0.26 $2.50 Distribution Margin 0.15 O&M (0.11) Distribution O&M (0.14) Depreciation
Slide 11: PSE&G Q3 and Year-to-Date 2024 Highlights
PSEG Third Quarter 2024 PSE&G Q3 and Year-to-Date 2024 Highlights Operations Regulatory and Market Environment • Residential Electric and Gas customer count, a driver of margin growth • BPU approved PSE&G’s request to lower the gas supply commodity charge under the Conservation Incentive Program (CI
Slide 12: PSE&G Distribution Base Rate Case Concludes with Balanced Settlement
PSEG Third Quarter 2024 PSE&G Distribution Base Rate Case Concludes with Balanced Settlement First distribution base rate case since 2018 keeps customer bill affordability intact (regional and share of wallet) • Typical Residential Electric and Gas customer bill increase is ~7%*, represents just ove
Slide 13: Residential Electric Bills Average for Region, Gas Bills Lowest
PSEG Third Quarter 2024 PSE&G’s Residential Electric Bills Are Average for the Region and Residential Gas Bills Are the Lowest of All Regional Peers Monthly Electric Bills Monthly Gas Bills $200 $300 $178 $179 $180 $260 $250 $160 $156 $140 $133 $135 $135 $200 Average = $124 $124 $200 $183 $120 $171
Slide 14: Combined Bills ~3% of Median NJ Income, Favorable Share of Wallet
PSEG Third Quarter 2024 PSE&G Combined Bills ~3% of Median NJ Income, Favorable “Share of Wallet” vs. Lower-Cost Regions 5.0% PSE&G Electric & Gas Combined Bills(1) % of New Jersey Household Income 4.5% Including Low-Income Customers After Assumed Credits 4.0% 4.3% 4.0% 3.8% 3.6% 3.7% Affordability
Slide 15: CEF-EE II Filing Approved
PSEG Third Quarter 2024 CEF-EE II Filing Approved Investments Expected to Save Customers $4B in Utility Bills and Avoid 10 Million Metric Tons of Carbon Emissions Highlights • CEF-EE II settlement approved by BPU in October 2024 for ~$3B, which includes investments of $1.9B and on-bill repayment fin
Slide 16: Power & Other
PSEG Third Quarter 2024 PSEG Power & Other Nuclear Generation Measures Other Financial Considerations Three Months Ended Nine Months Ended • For 2024, total nuclear generation is forecasted to be 30-32 TWh September 30, September 30, 2024 2023 2024 2023 • Nuclear fuel commitments cover ~100% of esti
Slide 17: Appendix
PSEG Third Quarter 2024 Appendix 17
Slide 18: Maintains a Solid Financial Position
PSEG Third Quarter 2024 PSEG Maintains a Solid Financial Position PSEG Public Service Electric & Gas PSEG Senior Unsecured Credit Ratings PSE&G Senior Secured Credit Ratings Moody’s = Baa2 / Outlook = Stable S&P = BBB / Outlook = Stable Moody’s = A1 / Outlook = Stable S&P = A / Outlook = Stable PSEG
Slide 19: Liquidity as of September 30, 2024
PSEG Third Quarter 2024 PSEG Liquidity as of September 30, 2024 Expiration Total Available Company Facility Usage Date Facility Liquidity ($ millions) PSE&G Revolving Credit Facility March 2028 $1,000 $21 $979 PSEG Money Pool (A,B) PSEG/PSEG Power Revolving Credit Facility (PSEG) March 2028 $1,500 $
Slide 20: Sustainability and ESG Summary
PSEG Third Quarter 2024 PSEG Sustainability and ESG Summary PSEG Leadership Policies & Goals Recognition & Memberships • PSE&G’s Clean Energy Future programs have • PSEG is a vocal advocate for the • MSCI rates PSEG at AAA, its highest invested ~$2B through year end 2023 to preservation of our exist
Slide 21: Glossary of Terms
PSEG Third Quarter 2024 Glossary of Terms AMI Automated Metering Infrastructure GAAP Generally Accepted Accounting Principles PSEG Investor Relations BGSS Basic Gas Supply Service GHG Greenhouse Gas 80 Park Plaza BPU New Jersey Board of Public Utilities HC Hope Creek Newark NJ 07102 CEF Clean Energy
Slide 22: Reconciliation of Non-GAAP Operating Earnings
PSEG Third Quarter 2024 Reconciliation of Non-GAAP Operating Earnings Public Service Enterprise Group Incorporated - Consolidated Operating Earnings (non-GAAP) Reconciliation Three Months Ended Nine Months Ended (a) Includes the financial impact from positions with Reconciling Items September 30, Se
Slide 23: Reconciliation of Non-GAAP Operating Earnings
PSEG Third Quarter 2024 Reconciliation of Non-GAAP Operating Earnings PSE&G Operating Earnings (non-GAAP) Reconciliation Three Months Ended Nine Months Ended Reconciling Items September 30, September 30, 2024 2023 2024 2023 ($ millions, Unaudited) Net Income $ 379 $ 401 $ 1,169 $ 1,224 EIP, pre-tax
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