Dte Energy Company · NYSE:DTE
Dte Energy — Q3 2022 Earnings Presentation
16 slides from Dte Energy's earnings presentation, Oct 27, 2022
Slide 1: DTE Q3 2022 Earnings Conference Call
D T E 3 Q 2 0 2 2 E A R N I N G S C O N F E R E N C E C A L L OCTOBER 27, 2022
Slide 2: Safe harbor statement
Safe harbor statement The information contained herein is as of the date of this document. DTE Energy expressly disclaims any current intention to update any forward-looking statements contained in this document as a result of new information or future events or developments. Words such as “anticipa
Slide 3: Participants
Participants Jerry Norcia – Chairman, President and CEO Dave Ruud – Senior Vice President and CFO Barbara Tuckfield – Director of Investor Relations 3
Slide 4: Delivering another successful year; providing long-term updates at EEI
Delivering another successful year; providing long-term updates at EEI ✓ On track to achieve 2022 operating EPS1 guidance midpoint of $6.00, providing over 8% growth from 2021 original guidance midpoint Operating EPS guidance ✓ Continuing progress on voluntary renewable program; finalizing agreement
Slide 5: Fully engaged team committed to delivering for our customers, communities and investors
Fully engaged team committed to delivering for our customers, communities and investors Ensuring the health and safety of our employees Named a top 10 employer in Michigan by Forbes; ranked in top 4% of Our Team companies worldwide for employee engagement by Gallup Addressing our customers’ most vit
Slide 6: Executing on significant customer-focused capital investment plan while maintaining affordability
Executing on significant customer-focused capital investment plan while maintaining affordability Need for customer-focused investment… …while maintaining affordability Transitioning to cleaner generation Shifting generation from coal to cleaner natural ✓ Distinctive continuous improvement culture d
Slide 7: IRA supports cleaner energy transition and customer affordability
IRA supports cleaner energy transition and customer affordability Supports accelerated clean energy transition and customer affordability • Wind and solar production tax credit • Production tax credit for existing nuclear generation • Investment tax credit for RNG • Increased tax credit for carbon c
Slide 8: 3Q 2022 operating earnings variance
3Q 2022 operating earnings1 variance (millions, except EPS) 2021 2022 Variance Primary drivers Accelerated deferred tax amortization in 2022 and lower O&M DTE Electric $342 $363 $21 expenses partially offset by higher rate base costs and cooler weather DTE Gas (30) (23) 7 Rate implementation partial
Slide 9: Well positioned to continue delivering strong results
Well positioned to continue delivering strong results Total shareholder return2 ✓ Strong operational and financial performance continues in 2022 216% ✓ On track to achieve 2022 operating EPS1 guidance midpoint of $6.00 which provides over 8% growth from 2021 original guidance midpoint ✓ Robust custo
Slide 10: Visit us: DTE Investor Relations
VISIT US: DTE INVESTOR RELATIONS
Slide 11: Appendix
Appendix DTE
Slide 12: Strong performance provides confidence to achieve increased 2022 operating EPS guidance
Strong performance provides confidence to achieve increased 2022 operating EPS1 guidance (millions, except EPS) 2022 guidance DTE Electric $927 - $937 DTE Gas 237 - 241 DTE Vantage 90 - 95 Energy Trading 20 - 35 Corporate & Other (120) - (115) DTE Energy $1,154 - $1,193 Operating EPS from $5.90 - $6
Slide 13: Weather impact on sales
Weather impact on sales DTE Electric DTE Gas Cooling degree days Heating degree days % YTD YTD % % YTD YTD % 3Q 2021 3Q 2022 3Q 2021 3Q 2022 Change 2021 2022 Change Change 2021 2022 Change Actuals 683 680 0% 991 980 (1%) Actuals 71 110 55% 3,910 4,314 10% Normal 635 637 0% 868 884 2% Normal 123 111
Slide 14: Cash flow and capital expenditures actuals
Cash flow and capital expenditures actuals Cash flow Capital expenditures (billions) YTD 2021 YTD 2022 (millions) YTD 2021 YTD 2022 Cash from operations1 $2.4 $1.4 DTE Electric Capital expenditures (2.8) (2.4) Base infrastructure $422 $836 Free cash flow ($0.4) ($1.0) New generation 785 23 Dividends
Slide 15: 3Q 2021 and 3Q 2022 reconciliation of reported to operating earnings
3Q 2021 and 3Q 2022 reconciliation of reported to operating earnings (non- GAAP) and operating EPS (non-GAAP) (Earnings per share2) Adjustments key A) Certain adjustments resulting from derivatives being marked-to-market without revaluing the underlying non-derivative contracts and assets — recorded
Slide 16: Reconciliation of reported to operating earnings
Reconciliation of reported to operating earnings (non-GAAP) Use of Operating Earnings Information – Operating earnings exclude non-recurring items, certain mark-to-market adjustments and discontinued operations. DTE Energy management believes that operating earnings provide a more meaningful represe