NextEra Energy, represented by the ticker NEE.N, outperformed first-quarter profit projections, showcasing its strength in the utilities business and solidifying its position as the world’s largest renewable energy company. The company’s regulated utilities business, Florida Power & Light (FPL), which predominantly generates electricity from natural gas, reaped the benefits of a 32.6% decrease in prices since the beginning of 2024, resulting in reduced fuel spending. Additionally, FPL experienced a significant growth in its customer base, adding 100,000 new customers compared to the same quarter last year.
In April, FPL unveiled a 10-year site plan aimed at elevating its solar power generation from 6% in 2023 to 38% in 2033, while also doubling its battery storage capacity. Despite these positive developments, NextEra fell short of revenue estimates for the quarter, reporting $5.73 billion, as opposed to analysts’ expectations of $6.15 billion, attributed in part to lower retail sales at FPL during a milder-than-anticipated winter.
NextEra’s clean energy unit, NextEra Energy Resources, successfully integrated nearly 2,765 megawatts of new renewable and storage projects in the first quarter. However, the unit reported a reduced net income of $966 million, or 47 cents per share, in contrast to $1.44 billion, or 72 cents per share, in the previous year.
On an adjusted basis, NextEra achieved earnings of 91 cents per share in the reported quarter, surpassing the average analyst estimate of 78 cents, as per LSEG data. The company, headquartered in Juno Beach, Florida, maintained its adjusted earnings per share forecast for 2024 within the range of $3.23 to $3.43.
Additionally, NextEra Energy Partners (NEP.N), a subsidiary focused on acquiring, managing, and owning contracted energy projects, announced plans to utilize the proceeds from the sale of STX Midstream to Kinder Morgan for the completion of the NEP Renewables II buyouts scheduled for June 2024 and 2025. The unit reported a core profit of $462 million, compared to $447 million reported in the previous year.