The paragraph is an excerpt from the first quarter 2025 earnings call for Duke Energy. It introduces key speakers, including Abby Motsinger, VP of Investor Relations, and Harry Sideris, the new President and CEO. Sideris expresses excitement about his first call as CEO and highlights conversations with stakeholders about Duke Energy's essential role in meeting the nation's growing power demand. He notes unprecedented projected load growth that will drive significant infrastructure development over the next decade. Sideris emphasizes the company's readiness to address these challenges with speed, agility, and innovation. The presentation will include non-GAAP financial measures and forward-looking statements.

The CEO of Duke Energy reaffirmed the company's mission to provide long-term value and superior service while announcing a strong start to the year with first-quarter adjusted earnings per share of $1.76, an increase of $0.32 from the previous year. The company is confident in its future outlook, reaffirming its 2025 earnings guidance and maintaining a long-term growth rate target. Duke Energy plans to meet growing energy demands by extending the operational life of its nuclear fleet, starting with the 20-year extension approval of the Oconee nuclear station's license. They also aim to increase capacity through projects enhancing natural gas, nuclear, and hydro units, adding over 1 gigawatt of incremental capacity.

The paragraph discusses the company's recent initiatives in expanding energy infrastructure and technology development. It details advancements in combined cycle units in the Carolinas and Indiana, investments in solar and battery storage in Florida, and participation in a project to explore new nuclear technologies with DOE and TVA. Additionally, the company has partnered with GE Vernova to procure natural gas turbines and is working with regulators and stakeholders on merging DEC and DEP utilities in the Carolinas, with plans to file for regulatory approval later this year. The merger aims to simplify operations and create customer savings, with a target completion date of January 2027. Additionally, the company is progressing with Storm Securitization efforts in North and South Carolina, anticipating bond issuance by year-end.

The company reported strong first-quarter results, highlighted by a 22% increase in adjusted earnings per share to $1.76. In Florida, recovery of 2024 hurricane costs began, contributing to a stable balance sheet. The Kentucky electric rate case is progressing well, with implementation of new rates expected later in the year. Growth in the electric utilities and infrastructure segment was driven by higher sales volumes, improved weather, and new rates, although higher interest and depreciation expenses partly offset these gains. Gas utilities also saw growth due to new rates in North Carolina. The overall results met expectations, reflecting solid regulatory outcomes and operational performance. Weather-normal sales volumes increased by 1.8%, with notable residential growth driven by increased customer numbers and usage, especially in the Southeast and Indiana.

The organization anticipates accelerated load growth starting in 2027 due to economic development projects, including advanced manufacturing and data centers. To expedite these projects, processes are being streamlined, with significant agreements signed for data center projects. The pipeline for projects remains strong, and the organization employs a risk-adjusted approach for forecasting. Maintaining strong credit ratings and a robust balance sheet is a priority, with targets set to achieve a 14% FFO to debt ratio, providing ample cushion above downgrade thresholds. The organization plans to issue $1 billion in common equity this year, having already secured over $530 million. They've completed nearly 40% of planned long-term debt issuances for 2025 and expect storm securitization proceeds in the Carolinas by year-end. The capital plan is progressing, with more than $3 billion already invested in grid improvements and generation building, aiming for $15 billion by year's end.

The article's paragraph discusses the company's evaluation of the impact of tariffs on their capital plan, estimating it to be 1% to 3% over five years, with most capital spending on American labor, not subject to tariffs. They are confident in minimizing tariff impacts by leveraging their size and supply chain. The company maintains its 2025 earnings guidance and anticipates 5% to 7% earnings growth through 2029, with potential for higher performance if load growth increases. Their solid regulatory outcomes support their growth targets and offer a strong return for shareholders. The Q&A session begins with Shar Pourreza from Guggenheim Partners asking about potential visibility on additional CapEx opportunities and possible disclosures. Harry Sideris responds.

The paragraph discusses updates to a 5-year plan that involves an $83 billion investment, split evenly between grid improvements and generation build. The Implicit Resource Plan (IRP) in the Carolinas and a 10-year site plan in Florida are being updated, with the latter requiring more resources than previously planned. The speaker mentions that capital updates typically occur annually in February unless prompted by a catalyst, and the investment community will be informed accordingly. The conversation shifts to credit metrics, with a query about when more specific target ranges will be disclosed, given improvements in tax credit monetization and storm cost recoveries. Brian emphasizes that updates involve consideration of these factors, but doesn't provide a specific timeline for sharing actual target ranges.

The paragraph discusses a conversation between Brian Savoy and Shar Pourreza about improving Duke's credit profile and future projections, with a more defined target expected by February. Julien Dumoulin-Smith from Jefferies then raises a question about Duke's recent success in signing one gigawatt of deals in April, inquiring if this indicates accelerated load growth beyond initial expectations. Harry Sideris responds by affirming that Duke's project pipeline is robust and growing, with efforts focused on expediting projects through their development stages.

The paragraph discusses a recent agreement involving a 1-gigawatt project as part of a larger pipeline of projects. The conversation shifts to a significant announcement about a partnership with General Electric (GE) for 19 turbine commitments. The speaker, Harry Sideris, explains that this partnership with GE helps Duke Energy address future load growth by ensuring a reliable supply chain for turbines, enabling faster project implementation to meet customer demands. Julien Dumoulin-Smith acknowledges the progress and notes that the efforts appear to be trending well towards 2025.

The paragraph features a discussion between Durgesh Chopra and Harry Sideris about the financial implications of the merger between DEC and DEP utilities. Harry Sideris highlights that stakeholders are supportive of the merger, which is expected to generate over $1 billion in savings for customers, thereby making rates more affordable. The savings will come from operational and fuel efficiencies, as well as improved management of reserve margins by treating the two as a combined system rather than separately.

The paragraph involves a conversation during a financial call about regulatory proceedings, data center customer metrics, and legislative perspectives. The company plans to unify operations by 2027 and is engaging with stakeholders to finalize details. Harry Sideris clarifies that recent 1 gigawatt signings involve two large customers. Carly Davenport then asks about the impact of the Inflation Reduction Act (IRA) and tax credit transferability on renewable projects. Harry Sideris responds by emphasizing their focus on maintaining customer affordability and acknowledges the congressional challenges in balancing priorities during the budget reconciliation process.

The paragraph discusses the advocacy efforts around energy credits, emphasizing their alignment with the President's goal of reducing power bills. Nuclear tax credits are highlighted as crucial, with significant credits being used to lower customer bills. Support for nuclear energy is noted, particularly from 26 representatives who emphasize its role in affordable energy. The conversation then shifts to customer sentiment, noting no changes in industrial production schedules despite economic uncertainties, though customers remain cautious, awaiting clarity on tariff policies and global supply chain dependencies.

In the paragraph, Harry Sideris discusses Duke Energy's anticipation of a 1.5% to 2% load growth for 2025, noting that the first quarter results align with this expectation. He mentions the potential for increased production among some customers, like steel producers, due to favorable tariffs. Carly Davenport acknowledges the clarity of the information. The paragraph concludes with Harry Sideris thanking participants, inviting further questions to the investor relations team, and the operator closing the call.

This summary was generated with AI and may contain some inaccuracies.