8-K
Duke Energy CORP (DUK)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): May 9, 2023
| Commission File Number | Exact Name of Registrant as Specified in its Charter, State or other Jurisdiction of Incorporation,<br>Address of Principal Executive Offices, Zip Code, and Registrant's Telephone Number, Including Area Code | IRS Employer Identification No. |
|---|---|---|
| 1-32853 | DUKE ENERGY CORPORATION | 20-2777218 |
(a Delaware corporation)
526 South Church Street
Charlotte, North Carolina 28202-1803
704-382-3853
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
|---|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |
| SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT: | ||
| --- | --- | --- |
| Registrant | Title of each class | Name of each exchange on which registered |
| Duke Energy | Common Stock, 0.001 par value | New York Stock Exchange LLC |
| Duke Energy | 5.625% Junior Subordinated Debentures | New York Stock Exchange LLC |
| due September 15, 2078 | ||
| Duke Energy | Depositary Shares | New York Stock Exchange LLC |
| each representing a 1/1,000th interest in a share of 5.75% Series A Cumulative Redeemable Perpetual Preferred Stock, par value 0.001 per share | ||
| Duke Energy | 3.10% Senior Notes due 2028 | New York Stock Exchange LLC |
| Duke Energy | 3.85% Senior Notes due 2034 | New York Stock Exchange LLC |
All values are in US Dollars.
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Item 2.02 Results of Operations and Financial Conditions.
On May 9, 2023, Duke Energy Corporation (the "Corporation") will issue and post a news release to its website (duke-energy.com/investors) announcing its financial results for the first quarter ended March 31, 2023. A copy of this news release is attached hereto as Exhibit 99.1. The information in Exhibit 99.1 is being furnished pursuant to this Item 2.02. In accordance with General Instruction B.2 of Form 8-K, the information in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" for the purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
99.1 News Release to be issued by Duke Energy Corporation onMayer-20230331xearningsreleas.htm9, 2023(furnished pursuant to Item 2.02).
104 Cover Page Interactive Data File (embedded within the Inline XBRL document).
SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized.
| DUKE ENERGY CORPORATION | ||
|---|---|---|
| /s/ CYNTHIA S. LEE | ||
| Cynthia S. Lee | ||
| Vice President, Chief Accounting Officer and Controller | ||
| Dated: | May 9, 2023 |
Document
| News Release |
|---|
Media Contact: Jennifer Garber
24-Hour: 800.559.3853
Analyst Contact: Abby Motsinger
Office: 704.382.7624
May 9, 2023
Duke Energy reports first-quarter 2023 financial results
▪First-quarter 2023 reported EPS of $1.01 and adjusted EPS of $1.20
▪Results reflect mild winter weather, among the warmest on record and $0.22 below normal
▪Commercial Renewables sale process in late stage
CHARLOTTE, N.C. – Duke Energy (NYSE: DUK) today announced first-quarter 2023 reported EPS of $1.01, prepared in accordance with Generally Accepted Accounting Principles (GAAP), and adjusted EPS of $1.20. This is compared to reported EPS of $1.08 and adjusted EPS of $1.29 for the first quarter of 2022.
Adjusted EPS excludes the impact of certain items that are included in reported EPS. The difference between the first-quarter 2023 reported and adjusted EPS included an estimated impairment on the sale of the Commercial Renewables business.
Lower first-quarter 2023 adjusted results were driven by unfavorable weather, higher interest expense, and lower volumes. These items were partially offset by growth from riders and other retail margin, lower storm costs, and favorable rate case impacts.
The company is reaffirming the adjusted 2023 EPS guidance range of $5.55 to $5.75, and long-term adjusted EPS growth rate of 5% to 7% through 2027 off the 2023 midpoint of $5.65. Management does not forecast reported GAAP EPS and related long-term growth rates.
"We're making great progress on our strategy across our entire service territory, meeting our commitments and advancing investments in a balanced way to better serve our customers,” said Lynn Good, Duke Energy chair, president and chief executive officer. "From grid improvements, to adding renewables, to advancing policy, we're taking collective action to transform and ready the system for a zero-carbon future."
“We’re responding to warm winter weather in the first quarter through disciplined cost management and other agility measures. With three quarters remaining, including our strongest quarter ahead, we are reaffirming our 2023 EPS guidance range of $5.55 to $5.75. We're also on track to deliver our long-term growth rate of 5% to 7% through 2027, off the midpoint of the 2023 range.”
Duke Energy News Release 2
Business segment results
In addition to the following summary of first-quarter 2023 business segment performance, comprehensive tables with detailed EPS drivers for the first quarter compared to prior year are provided at the end of this news release.
The discussion below of first-quarter results includes both GAAP segment income and adjusted segment income, which is a non-GAAP financial measure. The tables at the end of this news release present a full reconciliation of GAAP reported results to adjusted results.
Electric Utilities and Infrastructure
On a reported and adjusted basis, Electric Utilities and Infrastructure recognized first-quarter 2023 segment income of $791 million, compared to reported and adjusted segment income of $723 million and $896 million, respectively, in the first quarter of 2022. On an adjusted basis, this represents a decrease of $0.14 per share. Lower quarterly results were primarily due to unfavorable weather, lower volumes and higher interest expense, partially offset by lower storm costs, riders and other retail margin, and favorable rate case impacts.
Gas Utilities and Infrastructure
On a reported and adjusted basis, Gas Utilities and Infrastructure recognized first-quarter 2023 segment income of $287 million, compared to reported and adjusted segment income of $254 million in the first quarter of 2022. On an adjusted basis, this represents an increase of $0.04 per share. Higher quarterly results were primarily driven by growth from riders and other retail margin.
Other
Other primarily includes interest expense on holding company debt, other unallocated corporate costs and results from Duke Energy’s captive insurance company.
On a reported and adjusted basis, Other recognized a first-quarter 2023 segment loss of $168 million, compared to reported and adjusted segment loss of $171 million in the first quarter of 2022. On an adjusted basis, this represents an increase of $0.01 per share. Higher quarterly results were primarily due to higher returns on investments, partially offset by higher interest expense.
Discontinued Operations
Discontinued operations primarily includes the estimated impairment on the sale of the Commercial Renewables business along with results from Duke Energy's Commercial Renewables business. In November 2022, the company announced it had initiated a sale process of the Commercial Renewables business, which is expected to close in the second half of 2023.
For the first quarter of 2023, Duke Energy's GAAP reported Loss from Discontinued Operations, net of tax, includes an estimated impairment loss on the sale of the Commercial Renewables business and other transaction costs of approximately $175 million.
Duke Energy News Release 3
Effective tax rate
Duke Energy's consolidated reported effective tax rate for the first quarter of 2023 was 13.8% compared to 2.9% in the first quarter of 2022. The increase in the effective tax rate was primarily due to a decrease in the amortization of excess deferred taxes.
The effective tax rate including noncontrolling interests and preferred dividends and excluding special items for the first quarter of 2023 was 14.2% compared to 8.0% in the first quarter of 2022. The increase was primarily due to a decrease in the amortization of excess deferred taxes.
The tables at the end of this news release present a reconciliation of the reported effective tax rate to the effective tax rate including noncontrolling interests and preferred dividends and excluding special items.
Earnings conference call for analysts
An earnings conference call for analysts is scheduled at 10 a.m. ET today to discuss first-quarter 2023 financial results and other business and financial updates. The conference call will be hosted by Lynn Good, chair, president and chief executive officer, and Brian Savoy, executive vice president and chief financial officer.
The call can be accessed via the investors section (duke-energy.com/investors) of Duke Energy’s website or by dialing 844.200.6205 in the U.S. or 929.526.1599 outside the U.S. The confirmation code is 676030. Please call in 10 to 15 minutes prior to the scheduled start time.
A recording of the webcast with transcript will be available on the investors' section of the company’s website by May 10.
Special Items and Non-GAAP Reconciliation
The following tables present a reconciliation of GAAP reported earnings per share to adjusted earnings per share for first-quarter 2023 and 2022 financial results:
| (In millions, except per share amounts) | After-Tax Amount | 1Q 2023 EPS | 1Q 2022 EPS | |||
|---|---|---|---|---|---|---|
| EPS, as reported | $ | 1.01 | $ | 1.08 | ||
| Adjustments to reported EPS: | ||||||
| First Quarter 2023 | ||||||
| Discontinued operations | $ | 145 | $ | 0.19 | ||
| First Quarter 2022 | ||||||
| Regulatory matters | $ | 173 | $ | 0.23 | ||
| Discontinued operations | (12) | (0.02) | ||||
| Total adjustments | $ | 0.19 | $ | 0.21 | ||
| EPS, adjusted | $ | 1.20 | $ | 1.29 |
Duke Energy News Release 4
Non-GAAP financial measures
Management evaluates financial performance in part based on non-GAAP financial measures, including adjusted earnings, adjusted EPS and effective tax rate including noncontrolling interests and preferred dividends and excluding special items. Adjusted earnings and adjusted EPS represent income (loss) from continuing operations available to Duke Energy Corporation common stockholders in dollar and per share amounts, adjusted for the dollar and per share impact of special items. The effective tax rate including noncontrolling interests and preferred dividends and excluding special items is calculated using pretax earnings and income tax expense, both as adjusted for the impact of noncontrolling interests, preferred dividends and special items. As discussed below, special items include certain charges and credits, which management believes are not indicative of Duke Energy's ongoing performance.
Management uses these non-GAAP financial measures for planning and forecasting, and for reporting financial results to the Board of Directors, employees, stockholders, analysts and investors. The most directly comparable GAAP measures for adjusted earnings, adjusted EPS and effective tax rate including noncontrolling interests and preferred dividends and excluding special items are Net Income (Loss) Available to Duke Energy Corporation common stockholders (GAAP reported earnings (loss)), Basic earnings (loss) per share Available to Duke Energy Corporation common stockholders (GAAP reported earnings (loss) per share), and the reported effective tax rate, respectively.
Special items included in the periods presented include the following items, which management believes do not reflect ongoing costs:
•Regulatory matters represents the net impact of charges related to the 2022 Indiana Supreme Court ruling on coal ash.
Due to the forward-looking nature of any forecasted adjusted earnings guidance, information to reconcile this non-GAAP financial measure to the most directly comparable GAAP financial measure is not available at this time, as management is unable to project all special items for future periods (such as legal settlements, the impact of regulatory orders or asset impairments).
Management evaluates segment performance based on segment income (loss) and other net loss. Segment income (loss) is defined as income (loss) from continuing operations net of income attributable to noncontrolling interests and preferred stock dividends. Segment income (loss) includes intercompany revenues and expenses that are eliminated in the Condensed Consolidated Financial Statements. Management also uses adjusted segment income as a measure of historical and anticipated future segment performance. Adjusted segment income is a non-GAAP financial measure, as it is based upon segment income (loss) adjusted for special items, which are discussed above. Management believes the presentation of adjusted segment income provides useful information to investors, as it provides them with an additional relevant comparison of a segment’s performance across periods. The most directly comparable GAAP measure for adjusted segment income or adjusted other net loss is segment income (loss) and other net loss.
Duke Energy News Release 5
Due to the forward-looking nature of any forecasted adjusted segment income or adjusted other net loss and any related growth rates for future periods, information to reconcile these non-GAAP financial measures to the most directly comparable GAAP financial measures is not available at this time, as the company is unable to forecast all special items, as discussed above.
Duke Energy’s adjusted earnings, adjusted EPS and adjusted segment income may not be comparable to similarly titled measures of another company because other companies may not calculate the measures in the same manner.
Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America’s largest energy holding companies. Its electric utilities serve 8.2 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 50,000 megawatts of energy capacity. Its natural gas unit serves 1.6 million customers in North Carolina, South Carolina, Tennessee, Ohio and Kentucky. The company employs 27,600 people.
Duke Energy is executing an aggressive clean energy transition to achieve its goals of net-zero methane emissions from its natural gas business by 2030 and net-zero carbon emissions from electricity generation by 2050. The company has interim carbon emission targets of at least 50% reduction from electric generation by 2030, 50% for Scope 2 and certain Scope 3 upstream and downstream emissions by 2035, and 80% from electric generation by 2040. In addition, the company is investing in major electric grid enhancements and energy storage, and exploring zero-emission power generation technologies such as hydrogen and advanced nuclear.
Duke Energy was named to Fortune’s 2023 “World’s Most Admired Companies” list and Forbes’ “World’s Best Employers” list. More information is available at duke-energy.com. The Duke Energy News Center contains news releases, fact sheets, photos and videos. Duke Energy’s illumination features stories about people, innovations, community topics and environmental issues. Follow Duke Energy on Twitter, LinkedIn, Instagram and Facebook.
Forward-Looking Information
This document includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on management’s beliefs and assumptions and can often be identified by terms and phrases that include “anticipate,” “believe,” “intend,” “estimate,” “expect,” “continue,” “should,” “could,” “may,” “plan,” “project,” “predict,” “will,” “potential,” “forecast,” “target,” “guidance,” “outlook” or other similar terminology. Various factors may cause actual results to be materially different than the suggested outcomes within forward-looking statements; accordingly, there is no assurance that such results will be realized. These factors include, but are not limited to:
◦The ability to implement our business strategy, including our carbon emission reduction goals;
◦State, federal and foreign legislative and regulatory initiatives, including costs of compliance with existing and future environmental requirements, including those related to climate change, as well as rulings that affect cost and investment recovery or have an impact on rate structures or market prices;
◦The extent and timing of costs and liabilities to comply with federal and state laws, regulations and legal requirements related to coal ash remediation, including amounts for required closure of certain ash impoundments, are uncertain and difficult to estimate;
Duke Energy News Release 6
◦The ability to recover eligible costs, including amounts associated with coal ash impoundment retirement obligations, asset retirement and construction costs related to carbon emissions reductions, and costs related to significant weather events, and to earn an adequate return on investment through rate case proceedings and the regulatory process;
◦The costs of decommissioning nuclear facilities could prove to be more extensive than amounts estimated and all costs may not be fully recoverable through the regulatory process;
◦The impact of extraordinary external events, such as the pandemic health event resulting from COVID-19, and their collateral consequences, including the disruption of global supply chains or the economic activity in our service territories;
◦Costs and effects of legal and administrative proceedings, settlements, investigations and claims;
◦Industrial, commercial and residential growth or decline in service territories or customer bases resulting from sustained downturns of the economy, reduced customer usage due to cost pressures from inflation or fuel costs, and the economic health of our service territories or variations in customer usage patterns, including energy efficiency efforts, natural gas building and appliance electrification, and use of alternative energy sources, such as self-generation and distributed generation technologies;
◦Federal and state regulations, laws and other efforts designed to promote and expand the use of energy efficiency measures, natural gas electrification, and distributed generation technologies, such as private solar and battery storage, in Duke Energy service territories could result in a reduced number of customers, excess generation resources as well as stranded costs;
◦Advancements in technology;
◦Additional competition in electric and natural gas markets and continued industry consolidation;
◦The influence of weather and other natural phenomena on operations, including the economic, operational and other effects of severe storms, hurricanes, droughts, earthquakes and tornadoes, including extreme weather associated with climate change;
◦Changing investor, customer and other stakeholder expectations and demands including heightened emphasis on environmental, social and governance concerns and costs related thereto;
◦The ability to successfully operate electric generating facilities and deliver electricity to customers including direct or indirect effects to the company resulting from an incident that affects the United States electric grid or generating resources;
◦Operational interruptions to our natural gas distribution and transmission activities;
◦The availability of adequate interstate pipeline transportation capacity and natural gas supply;
◦The impact on facilities and business from a terrorist or other attack, war, vandalism, cybersecurity threats, data security breaches, operational events, information technology failures or other catastrophic events, such as fires, explosions, pandemic health events or other similar occurrences;
◦The inherent risks associated with the operation of nuclear facilities, including environmental, health, safety, regulatory and financial risks, including the financial stability of third-party service providers;
◦The timing and extent of changes in commodity prices and interest rates and the ability to recover such costs through the regulatory process, where appropriate, and their impact on liquidity positions and the value of underlying assets;
◦The results of financing efforts, including the ability to obtain financing on favorable terms, which can be affected by various factors, including credit ratings, interest rate fluctuations, compliance with debt covenants and conditions, an individual utility’s generation mix, and general market and economic conditions;
◦Credit ratings of the Duke Energy Registrants may be different from what is expected;
◦Declines in the market prices of equity and fixed-income securities and resultant cash funding requirements for defined benefit pension plans, other post-retirement benefit plans and nuclear decommissioning trust funds;
◦Construction and development risks associated with the completion of the Duke Energy Registrants’ capital investment projects, including risks related to financing, timing and receipt of necessary regulatory approvals, obtaining and complying with terms of permits, meeting construction budgets and schedules and satisfying operating and environmental performance standards, as well as the ability to recover costs from customers in a timely manner, or at all;
◦Changes in rules for regional transmission organizations, including changes in rate designs and new and evolving capacity markets, and risks related to obligations created by the default of other participants;
◦The ability to control operation and maintenance costs;
Duke Energy News Release 7
◦The level of creditworthiness of counterparties to transactions;
◦The ability to obtain adequate insurance at acceptable costs;
◦Employee workforce factors, including the potential inability to attract and retain key personnel;
◦The ability of subsidiaries to pay dividends or distributions to Duke Energy Corporation holding company (the Parent);
◦The performance of projects undertaken by our nonregulated businesses and the success of efforts to invest in and develop new opportunities, as well as the successful sale of the Commercial Renewables Disposal Groups;
◦The effect of accounting and reporting pronouncements issued periodically by accounting standard-setting bodies and the SEC;
◦The impact of United States tax legislation to our financial condition, results of operations or cash flows and our credit ratings;
◦The impacts from potential impairments of goodwill or equity method investment carrying values;
◦Asset or business acquisitions and dispositions may not yield the anticipated benefits; and
◦The actions of activist shareholders could disrupt our operations, impact our ability to execute on our business strategy, or cause fluctuations in the trading price of our common stock.
Additional risks and uncertainties are identified and discussed in the Duke Energy Registrants' reports filed with the SEC and available at the SEC's website at sec.gov. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements might not occur or might occur to a different extent or at a different time than described. Forward-looking statements speak only as of the date they are made and the Duke Energy Registrants expressly disclaim any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
DUKE ENERGY CORPORATION
REPORTED TO ADJUSTED EARNINGS RECONCILIATION
Three Months Ended March 31, 2023
(Dollars in millions, except per share amounts)
| Reported Earnings | Discontinued Operations | Total Adjustments | Adjusted Earnings | ||||||
|---|---|---|---|---|---|---|---|---|---|
| SEGMENT INCOME | |||||||||
| Electric Utilities and Infrastructure | $ | 791 | $ | — | $ | — | $ | 791 | |
| Gas Utilities and Infrastructure | 287 | — | — | 287 | |||||
| Total Reportable Segment Income | 1,078 | — | — | 1,078 | |||||
| Other | (168) | — | — | (168) | |||||
| Discontinued Operations | (145) | 145 | A | 145 | — | ||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 765 | $ | 145 | $ | 145 | $ | 910 | |
| EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS | $ | 1.01 | $ | 0.19 | $ | 0.19 | $ | 1.20 |
Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $0.02.
A – Recorded in Loss from Discontinued Operations, net of tax, and Net Loss Attributable to Noncontrolling Interests on the Condensed Consolidated Statements of Operations.
Weighted Average Shares (reported and adjusted) – 770 million
DUKE ENERGY CORPORATION
REPORTED TO ADJUSTED EARNINGS RECONCILIATION
Three Months Ended March 31, 2022
(Dollars in millions, except per share amounts)
| Special Item | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Reported Earnings | Regulatory Matters | Discontinued Operations | Total Adjustments | Adjusted Earnings | ||||||||
| SEGMENT INCOME | ||||||||||||
| Electric Utilities and Infrastructure | $ | 723 | $ | 173 | A | $ | — | $ | 173 | $ | 896 | |
| Gas Utilities and Infrastructure | 254 | — | — | 254 | ||||||||
| Total Reportable Segment Income | 977 | 173 | — | 173 | 1,150 | |||||||
| Other | (171) | — | — | — | (171) | |||||||
| Discontinued Operations | 12 | — | $ | (12) | B | (12) | — | |||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 818 | $ | 173 | $ | (12) | $ | 161 | $ | 979 | ||
| EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS | $ | 1.08 | $ | 0.23 | $ | (0.02) | $ | 0.21 | $ | 1.29 |
Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $0.02.
A – Net of $62 million tax benefit. $211 million recorded within Impairment of assets and other charges and $46 million within Regulated electric (Operating revenues) related to the Duke Energy Indiana Supreme Court ruling on the Condensed Consolidated Statements of Operations. $22 million recorded within Noncontrolling Interests related to the same Duke Energy Indiana Supreme Court ruling.
B – Recorded in Loss from Discontinued Operations, net of tax, and Net Loss Attributable to Noncontrolling Interests on the Condensed Consolidated Statements of Operations.
Weighted Average Shares (reported and adjusted) – 770 million
DUKE ENERGY CORPORATION
EFFECTIVE TAX RECONCILIATION
March 2023
(Dollars in millions)
| Three Months Ended <br> <br>March 31, 2023 | ||||
|---|---|---|---|---|
| Balance | Effective Tax Rate | |||
| Reported Income From Continuing Operations Before Income Taxes | $ | 1,125 | ||
| Noncontrolling Interests | (25) | |||
| Preferred Dividends | (39) | |||
| Pretax Income Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 1,061 | ||
| Reported Income Tax Expense From Continuing Operations | $ | 155 | 13.8 | % |
| Noncontrolling Interest Portion of Income Taxes(a) | (4) | |||
| Tax Expense Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 151 | 14.2 | % |
| Three Months Ended <br> <br>March 31, 2022 | ||||
| --- | --- | --- | --- | --- |
| Balance | Effective Tax Rate | |||
| Reported Income From Continuing Operations Before Income Taxes | $ | 860 | ||
| Regulatory Matters | 257 | |||
| Noncontrolling Interests | (14) | |||
| Preferred Dividends | (39) | |||
| Pretax Income Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 1,064 | ||
| Reported Income Tax Expense From Continuing Operations | $ | 25 | 2.9 | % |
| Regulatory Matters | 62 | |||
| Noncontrolling Interest Portion of Income Taxes(a) | $ | (2) | ||
| Tax Expense Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 85 | 8.0 | % |
(a) Income tax related to non-pass-through entities for tax purposes.
DUKE ENERGY CORPORATION
EARNINGS VARIANCES
March 2023 YTD vs. Prior Year
| (Dollars per share) | Electric Utilities and Infrastructure | Gas <br>Utilities and Infrastructure | Other | Discontinued Operations | Consolidated | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2022 YTD Reported Earnings Per Share | $ | 0.94 | $ | 0.33 | $ | (0.21) | $ | 0.02 | $ | 1.08 | |||
| Regulatory Matters | 0.23 | — | — | — | 0.23 | ||||||||
| Discontinued Operations | — | — | — | (0.02) | (0.02) | ||||||||
| 2022 YTD Adjusted Earnings Per Share | $ | 1.17 | $ | 0.33 | $ | (0.21) | $ | — | $ | 1.29 | |||
| Weather | (0.19) | — | — | — | (0.19) | ||||||||
| Volume(a) | (0.10) | — | — | — | (0.10) | ||||||||
| Riders and Other Retail Margin(b) | 0.09 | 0.04 | — | — | 0.13 | ||||||||
| Rate case impacts, net(c) | 0.09 | — | — | — | 0.09 | ||||||||
| Wholesale | (0.03) | — | — | — | (0.03) | ||||||||
| Operations and maintenance, net of recoverables(d) | 0.10 | — | — | — | 0.10 | ||||||||
| Interest Expense(e) | (0.07) | — | (0.07) | — | (0.14) | ||||||||
| Depreciation and amortization(e) | (0.01) | — | — | — | (0.01) | ||||||||
| Other(f) | (0.02) | — | 0.08 | — | 0.06 | ||||||||
| Total variance | $ | (0.14) | $ | 0.04 | $ | 0.01 | $ | — | $ | (0.09) | |||
| 2023 YTD Adjusted Earnings Per Share | $ | 1.03 | $ | 0.37 | $ | (0.20) | $ | — | $ | 1.20 | |||
| Discontinued Operations | — | — | — | (0.19) | (0.19) | ||||||||
| 2023 YTD Reported Earnings Per Share | $ | 1.03 | $ | 0.37 | $ | (0.20) | $ | (0.19) | $ | 1.01 | |||
| Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers. Weighted average shares outstanding is 770 million shares in 2022 and 2023. |
(a) Includes block pricing (-$0.02).
(b) Electric Utilities and Infrastructure includes +$0.02 from rider growth and transmission revenues. Also includes favorable lighting revenues, higher late payment fees and regulatory true ups (+$0.02).
(c) Electric Utilities and Infrastructure includes revenues from the DEF multiyear rate plan (+$0.04) and DOE nuclear fuel storage funding at DEF (+$0.05). Per the 2021 Settlement, DEF is permitted to recognize into earnings a total of $173 million through the approved settlement period, while also remaining within the approved return on equity band.
(d) Electric Utilities and Infrastructure primarily due to higher storm costs in the prior year.
(e) Electric Utilities and Infrastructure excludes rate case impacts.
(f) Electric Utilities and Infrastructure includes the impact of GIC minority interest sale. Other includes higher returns on investments.
| DUKE ENERGY CORPORATION | |||||
|---|---|---|---|---|---|
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||
| (Unaudited) | |||||
| (In millions, except per share amounts) | |||||
| Three Months Ended | |||||
| March 31, | |||||
| 2023 | 2022 | ||||
| Operating Revenues | |||||
| Regulated electric | $ | 6,324 | $ | 5,933 | |
| Regulated natural gas | 882 | 1,002 | |||
| Nonregulated electric and other | 70 | 76 | |||
| Total operating revenues | 7,276 | 7,011 | |||
| Operating Expenses | |||||
| Fuel used in electric generation and purchased power | 2,377 | 1,817 | |||
| Cost of natural gas | 298 | 481 | |||
| Operation, maintenance and other | 1,310 | 1,548 | |||
| Depreciation and amortization | 1,227 | 1,257 | |||
| Property and other taxes | 389 | 382 | |||
| Impairment of assets and other charges | 8 | 215 | |||
| Total operating expenses | 5,609 | 5,700 | |||
| Gains on Sales of Other Assets and Other, net | 7 | 3 | |||
| Operating Income | 1,674 | 1,314 | |||
| Other Income and Expenses | |||||
| Equity in earnings of unconsolidated affiliates | 20 | 26 | |||
| Other income and expenses, net | 151 | 89 | |||
| Total other income and expenses | 171 | 115 | |||
| Interest Expense | 720 | 569 | |||
| Income From Continuing Operations Before Income Taxes | 1,125 | 860 | |||
| Income Tax Expense From Continuing Operations | 155 | 25 | |||
| Income From Continuing Operations | 970 | 835 | |||
| Loss From Discontinued Operations, net of tax | (209) | (15) | |||
| Net Income | 761 | 820 | |||
| Add: Net Loss Attributable to Noncontrolling Interests | 43 | 37 | |||
| Net Income Attributable to Duke Energy Corporation | 804 | 857 | |||
| Less: Preferred Dividends | 39 | 39 | |||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 765 | $ | 818 | |
| Earnings Per Share – Basic and Diluted | |||||
| Income from continuing operations available to Duke Energy Corporation common stockholders | |||||
| Basic and Diluted | $ | 1.20 | $ | 1.06 | |
| (Loss) Income from discontinued operations attributable to Duke Energy Corporation common stockholders | |||||
| Basic and Diluted | $ | (0.19) | $ | 0.02 | |
| Net income available to Duke Energy Corporation common stockholders | |||||
| Basic and Diluted | $ | 1.01 | $ | 1.08 | |
| Weighted average shares outstanding | |||||
| Basic and Diluted | 770 | 770 |
DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
| (In millions) | March 31, 2023 | December 31, 2022 | ||
|---|---|---|---|---|
| ASSETS | ||||
| Current Assets | ||||
| Cash and cash equivalents | $ | 451 | $ | 409 |
| Receivables (net of allowance for doubtful accounts of $45 at 2023 and $40 at 2022) | 1,035 | 1,309 | ||
| Receivables of VIEs (net of allowance for doubtful accounts of $169 at 2023 and $176 at 2022) | 2,635 | 3,106 | ||
| Inventory | 3,865 | 3,584 | ||
| Regulatory assets (includes $106 at 2023 and 2022 related to VIEs) | 3,502 | 3,485 | ||
| Assets held for sale | 374 | 356 | ||
| Other (includes $42 at 2023 and $116 at 2022 related to VIEs) | 452 | 973 | ||
| Total current assets | 12,314 | 13,222 | ||
| Property, Plant and Equipment | ||||
| Cost | 166,096 | 163,839 | ||
| Accumulated depreciation and amortization | (53,162) | (52,100) | ||
| Facilities to be retired, net | 8 | 9 | ||
| Net property, plant and equipment | 112,942 | 111,748 | ||
| Other Noncurrent Assets | ||||
| Goodwill | 19,303 | 19,303 | ||
| Regulatory assets (includes $1,691 at 2023 and $1,715 at 2022 related to VIEs) | 14,702 | 14,645 | ||
| Nuclear decommissioning trust funds | 9,124 | 8,637 | ||
| Operating lease right-of-use assets, net | 1,019 | 1,042 | ||
| Investments in equity method unconsolidated affiliates | 465 | 455 | ||
| Assets held for sale | 5,538 | $ | 5,634 | |
| Other (includes $50 at 2023 and $52 at 2022 related to VIEs) | 3,426 | 3,400 | ||
| Total other noncurrent assets | 53,577 | 53,116 | ||
| Total Assets | $ | 178,833 | $ | 178,086 |
| LIABILITIES AND EQUITY | ||||
| Current Liabilities | ||||
| Accounts payable | $ | 3,214 | $ | 4,754 |
| Notes payable and commercial paper | 3,731 | 3,952 | ||
| Taxes accrued | 586 | 722 | ||
| Interest accrued | 693 | 626 | ||
| Current maturities of long-term debt (includes $101 at 2023 and $350 at 2022 related to VIEs) | 3,330 | 3,878 | ||
| Asset retirement obligations | 732 | 773 | ||
| Regulatory liabilities | 1,283 | 1,466 | ||
| Liabilities associated with assets held for sale | 476 | 535 | ||
| Other | 1,970 | 2,167 | ||
| Total current liabilities | 16,015 | 18,873 | ||
| Long-Term Debt (includes $3,334 at 2023 and $3,108 at 2022 related to VIEs) | 69,107 | 65,873 | ||
| Other Noncurrent Liabilities | ||||
| Deferred income taxes | 10,188 | 9,964 | ||
| Asset retirement obligations | 11,987 | 11,955 | ||
| Regulatory liabilities | 13,714 | 13,582 | ||
| Operating lease liabilities | 851 | 876 | ||
| Accrued pension and other post-retirement benefit costs | 820 | 832 | ||
| Investment tax credits | 852 | 849 | ||
| Liabilities associated with assets held for sale | 1,931 | $ | 1,927 | |
| Other | 1,417 | 1,502 | ||
| Total other noncurrent liabilities | 41,760 | 41,487 | ||
| Commitments and Contingencies | ||||
| Equity | ||||
| Preferred stock, Series A, $0.001 par value, 40 million depositary shares authorized and outstanding at 2023 and 2022 | 973 | 973 | ||
| Preferred stock, Series B, $0.001 par value, 1 million shares authorized and outstanding at 2023 and 2022 | 989 | 989 | ||
| Common stock, $0.001 par value, 2 billion shares authorized; 771 million and 770 million shares outstanding at 2023 and 2022 | 1 | 1 | ||
| Additional paid-in capital | 44,837 | 44,862 | ||
| Retained earnings | 2,626 | 2,637 | ||
| Accumulated other comprehensive loss | (166) | (140) | ||
| Total Duke Energy Corporation stockholders' equity | 49,260 | 49,322 | ||
| Noncontrolling interests | 2,691 | 2,531 | ||
| Total equity | 51,951 | 51,853 | ||
| Total Liabilities and Equity | $ | 178,833 | $ | 178,086 |
| DUKE ENERGY CORPORATION | ||||
| --- | --- | --- | --- | --- |
| CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||
| (Unaudited) | ||||
| (In millions) | ||||
| Three Months Ended March 31, | ||||
| 2023 | 2022 | |||
| CASH FLOWS FROM OPERATING ACTIVITIES | ||||
| Net Income | $ | 761 | $ | 820 |
| Adjustments to reconcile net income to net cash provided by operating activities | 722 | 975 | ||
| Net cash provided by operating activities | 1,483 | 1,795 | ||
| CASH FLOWS FROM INVESTING ACTIVITIES | ||||
| Net cash used in investing activities | (3,209) | (2,699) | ||
| CASH FLOWS FROM FINANCING ACTIVITIES | ||||
| Net cash provided by financing activities | 1,747 | 1,404 | ||
| Net increase in cash, cash equivalents and restricted cash | 21 | 500 | ||
| Cash, cash equivalents and restricted cash at beginning of period | 603 | 520 | ||
| Cash, cash equivalents and restricted cash at end of period | $ | 624 | $ | 1,020 |
DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS
(Unaudited)
| Three Months Ended March 31, 2023 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Electric <br>Utilities and Infrastructure | Gas <br>Utilities and Infrastructure | Other | Eliminations/Adjustments | Duke Energy | |||||
| Operating Revenues | ||||||||||
| Regulated electric | $ | 6,340 | $ | — | $ | — | $ | (16) | $ | 6,324 |
| Regulated natural gas | — | 905 | — | (23) | 882 | |||||
| Nonregulated electric and other | 58 | 6 | 31 | (25) | 70 | |||||
| Total operating revenues | 6,398 | 911 | 31 | (64) | 7,276 | |||||
| Operating Expenses | ||||||||||
| Fuel used in electric generation and purchased power | 2,396 | — | — | (19) | 2,377 | |||||
| Cost of natural gas | — | 298 | — | — | 298 | |||||
| Operation, maintenance and other | 1,269 | 119 | (35) | (43) | 1,310 | |||||
| Depreciation and amortization | 1,096 | 85 | 54 | (8) | 1,227 | |||||
| Property and other taxes | 348 | 31 | 10 | — | 389 | |||||
| Impairment of assets and other charges | 7 | 1 | — | — | 8 | |||||
| Total operating expenses | 5,116 | 534 | 29 | (70) | 5,609 | |||||
| Gains on Sales of Other Assets and Other, net | 1 | — | 6 | — | 7 | |||||
| Operating Income | 1,283 | 377 | 8 | 6 | 1,674 | |||||
| Other Income and Expenses | ||||||||||
| Equity in earnings of unconsolidated affiliates | 1 | 6 | 13 | — | 20 | |||||
| Other income and expenses, net | 129 | 17 | 49 | (44) | 151 | |||||
| Total Other Income and Expenses | 130 | 23 | 62 | (44) | 171 | |||||
| Interest Expense | 452 | 50 | 256 | (38) | 720 | |||||
| Income (Loss) from Continuing Operations before Income Taxes | 961 | 350 | (186) | — | 1,125 | |||||
| Income Tax Expense (Benefit) from Continuing Operations | 149 | 63 | (57) | — | 155 | |||||
| Income (Loss) from Continuing Operations | 812 | 287 | (129) | — | 970 | |||||
| Less: Income Attributable to Noncontrolling Interest | 21 | — | — | — | 21 | |||||
| Net Income (Loss) Attributable to Duke Energy Corporation | 791 | 287 | (129) | — | 949 | |||||
| Less: Preferred Dividends | — | — | 39 | — | 39 | |||||
| Segment Income/Other Net Loss | $ | 791 | $ | 287 | $ | (168) | $ | — | $ | 910 |
| Discontinued Operations | (145) | |||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 765 |
DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS
(Unaudited)
| Three Months Ended March 31, 2022 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Electric <br>Utilities and Infrastructure | Gas <br>Utilities and Infrastructure | Other | Eliminations/Adjustments | Duke Energy | |||||
| Operating Revenues | ||||||||||
| Regulated electric | $ | 5,940 | $ | — | $ | — | $ | (7) | $ | 5,933 |
| Regulated natural gas | — | 1,025 | — | (23) | 1,002 | |||||
| Nonregulated electric and other | 62 | 7 | 30 | (23) | 76 | |||||
| Total operating revenues | 6,002 | 1,032 | 30 | (53) | 7,011 | |||||
| Operating Expenses | ||||||||||
| Fuel used in electric generation and purchased power | 1,837 | — | — | (20) | 1,817 | |||||
| Cost of natural gas | — | 481 | — | — | 481 | |||||
| Operation, maintenance and other | 1,426 | 182 | (27) | (33) | 1,548 | |||||
| Depreciation and amortization | 1,131 | 79 | 53 | (6) | 1,257 | |||||
| Property and other taxes | 337 | 41 | 4 | — | 382 | |||||
| Impairment of assets and other charges | 214 | — | — | 1 | 215 | |||||
| Total operating expenses | 4,945 | 783 | 30 | (58) | 5,700 | |||||
| Gains on Sales of Other Assets and Other, net | 2 | — | 1 | — | 3 | |||||
| Operating Income | 1,059 | 249 | 1 | 5 | 1,314 | |||||
| Other Income and Expenses | ||||||||||
| Equity in earnings of unconsolidated affiliates | 2 | 4 | 20 | — | 26 | |||||
| Other income and expenses, net | 112 | 13 | (25) | (11) | 89 | |||||
| Total Other Income and Expenses | 114 | 17 | (5) | (11) | 115 | |||||
| Interest Expense | 376 | 40 | 158 | (5) | 569 | |||||
| Income (Loss) Before Income Taxes | 797 | 226 | (162) | (1) | 860 | |||||
| Income Tax Expense (Benefit) | 83 | (28) | (30) | — | 25 | |||||
| Net Income (Loss) | 714 | 254 | (132) | (1) | 835 | |||||
| Add: Net Loss Attributable to Noncontrolling Interest | 9 | — | — | 1 | 10 | |||||
| Net Income (Loss) Attributable to Duke Energy Corporation | 723 | 254 | (132) | — | 845 | |||||
| Less: Preferred Dividends | — | — | 39 | — | 39 | |||||
| Segment Income/Other Net Loss | $ | 723 | $ | 254 | $ | (171) | $ | — | $ | 806 |
| Discontinued Operations | 12 | |||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 818 | ||||||||
| Segment Income/Other Net Loss/Net Income Available to Duke Energy Corporation Common Stockholders | $ | 723 | $ | 254 | $ | (171) | $ | — | $ | 806 |
| Special Items | 173 | — | — | — | 173 | |||||
| Adjusted Earnings(a) | $ | 896 | $ | 254 | $ | (171) | $ | — | $ | 979 |
(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income/Other Net Loss to Adjusted Earnings.
DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATING BALANCE SHEETS – ASSETS
(Unaudited)
| March 31, 2023 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Electric Utilities and Infrastructure | Gas <br>Utilities and Infrastructure | Other(a) | Eliminations/<br>Adjustments | Duke Energy | |||||
| Current Assets | ||||||||||
| Cash and cash equivalents | $ | 129 | $ | 11 | $ | 310 | $ | 1 | $ | 451 |
| Receivables, net | 735 | 283 | 17 | — | 1,035 | |||||
| Receivables of variable interest entities, net | 2,635 | — | — | — | 2,635 | |||||
| Receivables from affiliated companies | 176 | 144 | 1,583 | (1,903) | — | |||||
| Notes receivable from affiliated companies | 108 | 84 | 2,333 | (2,525) | — | |||||
| Inventory | 3,718 | 113 | 35 | (1) | 3,865 | |||||
| Regulatory assets | 3,263 | 137 | 102 | — | 3,502 | |||||
| Assets held for sale | — | — | 374 | — | 374 | |||||
| Other | 252 | 27 | 245 | (72) | 452 | |||||
| Total current assets | 11,016 | 799 | 4,999 | (4,500) | 12,314 | |||||
| Property, Plant and Equipment | ||||||||||
| Cost | 148,017 | 15,463 | 2,706 | (90) | 166,096 | |||||
| Accumulated depreciation and amortization | (48,470) | (3,159) | (1,533) | — | (53,162) | |||||
| Facilities to be retired, net | — | 8 | — | — | 8 | |||||
| Net property, plant and equipment | 99,547 | 12,312 | 1,173 | (90) | 112,942 | |||||
| Other Noncurrent Assets | ||||||||||
| Goodwill | 17,379 | 1,924 | — | — | 19,303 | |||||
| Regulatory assets | 13,412 | 804 | 485 | 1 | 14,702 | |||||
| Nuclear decommissioning trust funds | 9,124 | — | — | — | 9,124 | |||||
| Operating lease right-of-use assets, net | 744 | 3 | 272 | — | 1,019 | |||||
| Investments in equity method unconsolidated affiliates | 100 | 243 | 121 | 1 | 465 | |||||
| Investment in consolidated subsidiaries | 592 | 5 | 69,678 | (70,275) | — | |||||
| Assets held for sale | — | — | 5,538 | — | 5,538 | |||||
| Other | 2,145 | 326 | 1,581 | (626) | 3,426 | |||||
| Total other noncurrent assets | 43,496 | 3,305 | 77,675 | (70,899) | 53,577 | |||||
| Total Assets | 154,059 | 16,416 | 83,847 | (75,489) | 178,833 | |||||
| Segment reclassifications, intercompany balances and other | (1,070) | (199) | (74,220) | 75,489 | — | |||||
| Segment Assets | $ | 152,989 | $ | 16,217 | $ | 9,627 | $ | — | $ | 178,833 |
(a) Includes amounts in held for sale accounts related to the Commercial Renewables Disposal Groups.
DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY
(Unaudited)
| March 31, 2023 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Electric Utilities and Infrastructure | Gas <br>Utilities and Infrastructure | Other(a) | Eliminations/<br>Adjustments | Duke Energy | |||||
| Current Liabilities | ||||||||||
| Accounts payable | $ | 2,468 | $ | 267 | $ | 478 | $ | 1 | $ | 3,214 |
| Accounts payable to affiliated companies | 731 | 39 | 1,015 | (1,785) | — | |||||
| Notes payable to affiliated companies | 2,114 | 359 | 92 | (2,565) | — | |||||
| Notes payable and commercial paper | — | — | 3,731 | — | 3,731 | |||||
| Taxes accrued | 573 | 90 | (77) | — | 586 | |||||
| Interest accrued | 426 | 46 | 222 | (1) | 693 | |||||
| Current maturities of long-term debt | 876 | 211 | 2,248 | (5) | 3,330 | |||||
| Asset retirement obligations | 732 | — | — | — | 732 | |||||
| Regulatory liabilities | 1,138 | 145 | — | — | 1,283 | |||||
| Liabilities associated with assets held for sale | — | — | 476 | — | 476 | |||||
| Other | 1,511 | 112 | 497 | (150) | 1,970 | |||||
| Total current liabilities | 10,569 | 1,269 | 8,682 | (4,505) | 16,015 | |||||
| Long-Term Debt | 44,015 | 4,093 | 21,083 | (84) | 69,107 | |||||
| Long-Term Debt Payable to Affiliated Companies | 618 | 7 | — | (625) | — | |||||
| Other Noncurrent Liabilities | ||||||||||
| Deferred income taxes | 11,836 | 1,238 | (2,886) | — | 10,188 | |||||
| Asset retirement obligations | 11,902 | 84 | — | 1 | 11,987 | |||||
| Regulatory liabilities | 12,385 | 1,288 | 41 | — | 13,714 | |||||
| Operating lease liabilities | 665 | 12 | 175 | (1) | 851 | |||||
| Accrued pension and other post-retirement benefit costs | 300 | 30 | 490 | — | 820 | |||||
| Investment tax credits | 851 | 1 | — | — | 852 | |||||
| Liabilities associated with assets held for sale | — | — | 1,931 | — | 1,931 | |||||
| Other | 768 | 261 | 577 | (189) | 1,417 | |||||
| Total other noncurrent liabilities | 38,707 | 2,914 | 328 | (189) | 41,760 | |||||
| Equity | ||||||||||
| Total Duke Energy Corporation stockholders' equity | 59,206 | 8,125 | 52,015 | (70,086) | 49,260 | |||||
| Noncontrolling interests | 944 | 8 | 1,739 | — | 2,691 | |||||
| Total equity | 60,150 | 8,133 | 53,754 | (70,086) | 51,951 | |||||
| Total Liabilities and Equity | 154,059 | 16,416 | 83,847 | (75,489) | 178,833 | |||||
| Segment reclassifications, intercompany balances and other | (1,070) | (199) | (74,220) | 75,489 | — | |||||
| Segment Liabilities and Equity | $ | 152,989 | $ | 16,217 | $ | 9,627 | $ | — | $ | 178,833 |
(a) Includes amounts in held for sale accounts related to the Commercial Renewables Disposal Groups.
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONDENSED CONSOLIDATING SEGMENT INCOME
(Unaudited)
| Three Months Ended March 31, 2023 | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Duke<br>Energy<br>Carolinas | Duke<br>Energy<br>Progress | Duke<br>Energy<br>Florida | Duke<br><br>Energy<br><br>Ohio(a) | Duke<br>Energy<br>Indiana | Eliminations/<br>Other | Electric Utilities and Infrastructure | |||||||
| Operating Revenues | $ | 1,934 | $ | 1,533 | $ | 1,510 | $ | 474 | $ | 975 | $ | (28) | $ | 6,398 |
| Operating Expenses | ||||||||||||||
| Fuel used in electric generation and purchased power | 623 | 545 | 646 | 176 | 449 | (43) | 2,396 | |||||||
| Operation, maintenance and other | 433 | 347 | 211 | 91 | 183 | 4 | 1,269 | |||||||
| Depreciation and amortization | 366 | 315 | 190 | 64 | 158 | 3 | 1,096 | |||||||
| Property and other taxes | 95 | 48 | 120 | 66 | 18 | 1 | 348 | |||||||
| Impairment of assets and other charges | 2 | 4 | 1 | — | — | — | 7 | |||||||
| Total operating expenses | 1,519 | 1,259 | 1,168 | 397 | 808 | (35) | 5,116 | |||||||
| Gains on Sales of Other Assets and Other, net | — | — | 1 | — | — | — | 1 | |||||||
| Operating Income | 415 | 274 | 343 | 77 | 167 | 7 | 1,283 | |||||||
| Other Income and Expenses, net(b) | 59 | 31 | 31 | 6 | 14 | (11) | 130 | |||||||
| Interest Expense | 160 | 102 | 115 | 25 | 52 | (2) | 452 | |||||||
| Income Before Income Taxes | 314 | 203 | 259 | 58 | 129 | (2) | 961 | |||||||
| Income Tax Expense | 37 | 30 | 51 | 9 | 22 | — | 149 | |||||||
| Net Income (Loss) | 277 | 173 | 208 | 49 | 107 | (2) | 812 | |||||||
| Less: Income Attributable to Noncontrolling Interest(c) | — | — | — | — | — | 21 | 21 | |||||||
| Segment Income Attributable to Duke Energy Corporation | $ | 277 | $ | 173 | $ | 208 | $ | 49 | $ | 107 | $ | (23) | $ | 791 |
(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes an equity component of allowance for funds used during construction of $24 million for Duke Energy Carolinas, $13 million for Duke Energy Progress, $3 million for Duke Energy Florida and $1 million for Duke Energy Indiana.
(c) Includes a noncontrolling interest in Duke Energy Indiana.
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONDENSED CONSOLIDATING BALANCE SHEETS – ASSETS
(Unaudited)
| March 31, 2023 | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Duke<br>Energy<br>Carolinas | Duke<br>Energy<br>Progress | Duke<br>Energy<br>Florida | Duke<br><br>Energy<br><br>Ohio(a) | Duke<br>Energy<br>Indiana | Eliminations/<br><br>Adjustments(b) | Electric Utilities and Infrastructure | |||||||
| Current Assets | ||||||||||||||
| Cash and cash equivalents | $ | 24 | $ | 50 | $ | 26 | $ | 18 | $ | 11 | $ | — | $ | 129 |
| Receivables, net | 286 | 159 | 154 | 36 | 90 | 10 | 735 | |||||||
| Receivables of variable interest entities, net | 782 | 654 | 448 | — | — | 751 | 2,635 | |||||||
| Receivables from affiliated companies | 181 | 26 | 3 | 199 | 228 | (461) | 176 | |||||||
| Notes receivable from affiliated companies | — | 160 | — | 168 | — | (220) | 108 | |||||||
| Inventory | 1,303 | 1,082 | 630 | 143 | 560 | — | 3,718 | |||||||
| Regulatory assets | 1,311 | 764 | 784 | 22 | 91 | 291 | 3,263 | |||||||
| Other | 62 | 57 | 66 | 7 | 64 | (4) | 252 | |||||||
| Total current assets | 3,949 | 2,952 | 2,111 | 593 | 1,044 | 367 | 11,016 | |||||||
| Property, Plant and Equipment | ||||||||||||||
| Cost | 55,422 | 39,396 | 26,448 | 8,266 | 18,295 | 190 | 148,017 | |||||||
| Accumulated depreciation and amortization | (19,083) | (14,452) | (6,552) | (2,258) | (6,136) | 11 | (48,470) | |||||||
| Facilities to be retired, net | — | — | — | — | — | — | — | |||||||
| Net property, plant and equipment | 36,339 | 24,944 | 19,896 | 6,008 | 12,159 | 201 | 99,547 | |||||||
| Other Noncurrent Assets | ||||||||||||||
| Goodwill | — | — | — | 596 | — | 16,783 | 17,379 | |||||||
| Regulatory assets | 4,309 | 4,817 | 2,605 | 318 | 903 | 460 | 13,412 | |||||||
| Nuclear decommissioning trust funds | 5,076 | 3,640 | 408 | — | — | — | 9,124 | |||||||
| Operating lease right-of-use assets, net | 75 | 356 | 247 | 17 | 48 | 1 | 744 | |||||||
| Investments in equity method unconsolidated affiliates | — | — | 1 | — | — | 99 | 100 | |||||||
| Investment in consolidated subsidiaries | 55 | 13 | 3 | 310 | 1 | 210 | 592 | |||||||
| Other | 999 | 658 | 392 | 57 | 265 | (226) | 2,145 | |||||||
| Total other noncurrent assets | 10,514 | 9,484 | 3,656 | 1,298 | 1,217 | 17,327 | 43,496 | |||||||
| Total Assets | 50,802 | 37,380 | 25,663 | 7,899 | 14,420 | 17,895 | 154,059 | |||||||
| Segment reclassifications, intercompany balances and other | (263) | (303) | (26) | (346) | 192 | (324) | (1,070) | |||||||
| Reportable Segment Assets | $ | 50,539 | $ | 37,077 | $ | 25,637 | $ | 7,553 | $ | 14,612 | $ | 17,571 | $ | 152,989 |
(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes the elimination of intercompany balances, purchase accounting adjustments, restricted receivables related to Cinergy Receivables Company and Commercial Transmission and Duke Energy Indiana Holdco, LLC balances.
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONDENSED CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY
(Unaudited)
| March 31, 2023 | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Duke<br>Energy<br>Carolinas | Duke<br>Energy<br>Progress | Duke<br>Energy<br>Florida | Duke<br><br>Energy<br><br>Ohio(a) | Duke<br>Energy<br>Indiana | Eliminations/<br>Adjustments(b) | Electric Utilities and Infrastructure | |||||||
| Current Liabilities | ||||||||||||||
| Accounts payable | $ | 872 | $ | 511 | $ | 616 | $ | 219 | $ | 247 | $ | 3 | $ | 2,468 |
| Accounts payable to affiliated companies | 236 | 252 | 110 | 22 | 60 | 51 | 731 | |||||||
| Notes payable to affiliated companies | 1,153 | — | 886 | 50 | 204 | (179) | 2,114 | |||||||
| Taxes accrued | 111 | 56 | 132 | 180 | 106 | (12) | 573 | |||||||
| Interest accrued | 142 | 90 | 106 | 29 | 59 | — | 426 | |||||||
| Current maturities of long-term debt | 18 | 370 | 330 | 310 | 3 | (155) | 876 | |||||||
| Asset retirement obligations | 249 | 272 | 1 | 14 | 197 | (1) | 732 | |||||||
| Regulatory liabilities | 418 | 293 | 180 | 39 | 207 | 1 | 1,138 | |||||||
| Other | 572 | 413 | 319 | 63 | 145 | (1) | 1,511 | |||||||
| Total current liabilities | 3,771 | 2,257 | 2,680 | 926 | 1,228 | (293) | 10,569 | |||||||
| Long-Term Debt | 14,788 | 11,527 | 9,353 | 2,862 | 4,350 | 1,135 | 44,015 | |||||||
| Long-Term Debt Payable to Affiliated Companies | 300 | 150 | — | 18 | 150 | — | 618 | |||||||
| Other Noncurrent Liabilities | ||||||||||||||
| Deferred income taxes | 4,316 | 2,542 | 2,813 | 809 | 1,313 | 43 | 11,836 | |||||||
| Asset retirement obligations | 5,148 | 5,552 | 346 | 82 | 741 | 33 | 11,902 | |||||||
| Regulatory liabilities | 5,817 | 4,178 | 618 | 271 | 1,517 | (16) | 12,385 | |||||||
| Operating lease liabilities | 80 | 320 | 201 | 17 | 46 | 1 | 665 | |||||||
| Accrued pension and other post-retirement benefit costs | 35 | 158 | 110 | 68 | 123 | (194) | 300 | |||||||
| Investment tax credits | 299 | 129 | 233 | 3 | 186 | 1 | 851 | |||||||
| Other | 534 | 89 | 78 | 53 | 32 | (18) | 768 | |||||||
| Total other noncurrent liabilities | 16,229 | 12,968 | 4,399 | 1,303 | 3,958 | (150) | 38,707 | |||||||
| Equity | ||||||||||||||
| Total Duke Energy Corporation stockholders equity | 15,714 | 10,478 | 9,231 | 2,790 | 4,734 | 16,259 | 59,206 | |||||||
| Noncontrolling interests(c) | — | — | — | — | — | 944 | 944 | |||||||
| Total equity | 15,714 | 10,478 | 9,231 | 2,790 | 4,734 | 17,203 | 60,150 | |||||||
| Total Liabilities and Equity | 50,802 | 37,380 | 25,663 | 7,899 | 14,420 | 17,895 | 154,059 | |||||||
| Segment reclassifications, intercompany balances and other | (263) | (303) | (26) | (346) | 192 | (324) | (1,070) | |||||||
| Reportable Segment Liabilities and Equity | $ | 50,539 | $ | 37,077 | $ | 25,637 | $ | 7,553 | $ | 14,612 | $ | 17,571 | $ | 152,989 |
(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes the elimination of intercompany balances, purchase accounting adjustments and Commercial Transmission and Duke Energy Indiana Holdco, LLC balances.
(c) Includes a noncontrolling interest in Duke Energy Indiana.
GAS UTILITIES AND INFRASTRUCTURE
CONDENSED CONSOLIDATING SEGMENT INCOME
(Unaudited)
| Three Months Ended March 31, 2023 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Duke<br><br>Energy<br><br>Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage(b) | Eliminations/<br>Adjustments | Gas <br>Utilities and Infrastructure | |||||
| Operating Revenues | $ | 235 | $ | 675 | $ | — | $ | 1 | $ | 911 |
| Operating Expenses | ||||||||||
| Cost of natural gas | 92 | 206 | — | — | 298 | |||||
| Operation, maintenance and other | 30 | 88 | 1 | — | 119 | |||||
| Depreciation and amortization | 27 | 57 | — | 1 | 85 | |||||
| Property and other taxes | 14 | 16 | — | 1 | 31 | |||||
| Impairment of assets and other charges | — | 1 | — | — | 1 | |||||
| Total operating expenses | 163 | 368 | 1 | 2 | 534 | |||||
| Operating Income (Loss) | 72 | 307 | (1) | (1) | 377 | |||||
| Other Income and Expenses, net | ||||||||||
| Equity in earnings of unconsolidated affiliates | — | — | 6 | — | 6 | |||||
| Other income and expenses, net | 3 | 15 | — | (1) | 17 | |||||
| Other Income and Expenses, net | 3 | 15 | 6 | (1) | 23 | |||||
| Interest Expense | 11 | 40 | — | (1) | 50 | |||||
| Income (Loss) Before Income Taxes | 64 | 282 | 5 | (1) | 350 | |||||
| Income Tax Expense | 12 | 50 | 1 | — | 63 | |||||
| Segment Income | $ | 52 | $ | 232 | $ | 4 | $ | (1) | $ | 287 |
(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes earnings from investments in Sabal Trail and Cardinal pipelines, as well as Hardy and Pine Needle storage facilities.
GAS UTILITIES AND INFRASTRUCTURE
CONDENSED CONSOLIDATING BALANCE SHEETS – ASSETS
(Unaudited)
| March 31, 2023 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Duke<br><br>Energy<br><br>Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage | Eliminations/<br>Adjustments(b) | Gas <br>Utilities and Infrastructure | |||||
| Current Assets | ||||||||||
| Cash and cash equivalents | $ | 8 | $ | — | $ | 4 | $ | (1) | $ | 11 |
| Receivables, net | 38 | 245 | — | — | 283 | |||||
| Receivables from affiliated companies | 59 | 86 | 80 | (81) | 144 | |||||
| Notes receivable from affiliated companies | 93 | — | — | (9) | 84 | |||||
| Inventory | 14 | 99 | — | — | 113 | |||||
| Regulatory assets | 16 | 121 | — | — | 137 | |||||
| Other | 14 | 8 | 4 | 1 | 27 | |||||
| Total current assets | 242 | 559 | 88 | (90) | 799 | |||||
| Property, Plant and Equipment | ||||||||||
| Cost | 4,277 | 11,101 | 86 | (1) | 15,463 | |||||
| Accumulated depreciation and amortization | (1,024) | (2,136) | — | 1 | (3,159) | |||||
| Facilities to be retired, net | — | 8 | — | — | 8 | |||||
| Net property, plant and equipment | 3,253 | 8,973 | 86 | — | 12,312 | |||||
| Other Noncurrent Assets | ||||||||||
| Goodwill | 324 | 49 | — | 1,551 | 1,924 | |||||
| Regulatory assets | 322 | 389 | — | 93 | 804 | |||||
| Operating lease right-of-use assets, net | — | 3 | — | — | 3 | |||||
| Investments in equity method unconsolidated affiliates | — | — | 238 | 5 | 243 | |||||
| Investment in consolidated subsidiaries | — | — | — | 5 | 5 | |||||
| Other | 18 | 279 | 30 | (1) | 326 | |||||
| Total other noncurrent assets | 664 | 720 | 268 | 1,653 | 3,305 | |||||
| Total Assets | 4,159 | 10,252 | 442 | 1,563 | 16,416 | |||||
| Segment reclassifications, intercompany balances and other | (118) | (88) | (80) | 87 | (199) | |||||
| Reportable Segment Assets | $ | 4,041 | $ | 10,164 | $ | 362 | $ | 1,650 | $ | 16,217 |
(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes the elimination of intercompany balances and purchase accounting adjustments.
GAS UTILITIES AND INFRASTRUCTURE
CONDENSED CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY
(Unaudited)
| March 31, 2023 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | Duke<br><br>Energy<br><br>Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage | Eliminations/<br><br>Adjustments(b) | Gas <br>Utilities and Infrastructure | |||||
| Current Liabilities | ||||||||||
| Accounts payable | $ | 64 | $ | 191 | $ | 12 | $ | — | $ | 267 |
| Accounts payable to affiliated companies | 12 | 73 | 36 | (82) | 39 | |||||
| Notes payable to affiliated companies | 25 | 343 | — | (9) | 359 | |||||
| Taxes accrued | 37 | 59 | (6) | — | 90 | |||||
| Interest accrued | 3 | 43 | — | — | 46 | |||||
| Current maturities of long-term debt | 165 | 45 | — | 1 | 211 | |||||
| Regulatory liabilities | 23 | 122 | — | — | 145 | |||||
| Other | 2 | 58 | 53 | (1) | 112 | |||||
| Total current liabilities | 331 | 934 | 95 | (91) | 1,269 | |||||
| Long-Term Debt | 629 | 3,319 | 66 | 79 | 4,093 | |||||
| Long-Term Debt Payable to Affiliated Companies | 7 | — | — | — | 7 | |||||
| Other Noncurrent Liabilities | ||||||||||
| Deferred income taxes | 335 | 882 | 20 | 1 | 1,238 | |||||
| Asset retirement obligations | 57 | 27 | — | — | 84 | |||||
| Regulatory liabilities | 259 | 1,016 | — | 13 | 1,288 | |||||
| Operating lease liabilities | — | 12 | — | — | 12 | |||||
| Accrued pension and other post-retirement benefit costs | 23 | 7 | — | — | 30 | |||||
| Investment tax credits | — | 1 | — | — | 1 | |||||
| Other | 42 | 169 | 50 | — | 261 | |||||
| Total other noncurrent liabilities | 716 | 2,114 | 70 | 14 | 2,914 | |||||
| Equity | ||||||||||
| Total Duke Energy Corporation stockholders' equity | 2,476 | 3,885 | 203 | 1,561 | 8,125 | |||||
| Noncontrolling interests | — | — | 8 | — | 8 | |||||
| Total equity | 2,476 | 3,885 | 211 | 1,561 | 8,133 | |||||
| Total Liabilities and Equity | 4,159 | 10,252 | 442 | 1,563 | 16,416 | |||||
| Segment reclassifications, intercompany balances and other | (118) | (88) | (80) | 87 | (199) | |||||
| Reportable Segment Liabilities and Equity | $ | 4,041 | $ | 10,164 | $ | 362 | $ | 1,650 | $ | 16,217 |
(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes the elimination of intercompany balances and purchase accounting adjustments.
| Electric Utilities and Infrastructure | ||||||||
|---|---|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||||
| March 2023 | ||||||||
| Three Months Ended March 31, | ||||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | % Inc. (Dec.)<br><br>Weather<br><br>Normal(b) | |||||
| Gigawatt-hour (GWh) Sales(a) | ||||||||
| Residential | 21,868 | 23,029 | (5.0 | %) | (3.4 | %) | ||
| General Service | 17,765 | 18,053 | (1.6 | %) | (3.2 | %) | ||
| Industrial | 11,846 | 12,501 | (5.2 | %) | (7.4 | %) | ||
| Other Energy Sales | 153 | 137 | 11.7 | % | n/a | |||
| Unbilled Sales | (2,562) | (107) | (2,294.4 | %) | n/a | |||
| Total Retail Sales | 49,070 | 53,613 | (8.5 | %) | (4.1 | %) | ||
| Wholesale and Other | 9,176 | 10,754 | (14.7 | %) | ||||
| Total Consolidated Electric Sales – Electric Utilities and Infrastructure | 58,246 | 64,367 | (9.5 | %) | ||||
| Average Number of Customers (Electric) | ||||||||
| Residential | 7,199,420 | 7,079,647 | 1.7 | % | ||||
| General Service | 1,036,096 | 1,030,261 | 0.6 | % | ||||
| Industrial | 16,265 | 16,390 | (0.8 | %) | ||||
| Other Energy Sales | 24,228 | 24,423 | (0.8 | %) | ||||
| Total Retail Customers | 8,276,009 | 8,150,721 | 1.5 | % | ||||
| Wholesale and Other | 46 | 39 | 17.9 | % | ||||
| Total Average Number of Customers – Electric Utilities and Infrastructure | 8,276,055 | 8,150,760 | 1.5 | % | ||||
| Sources of Electric Energy (GWh) | ||||||||
| Generated – Net Output(c) | ||||||||
| Coal | 4,080 | 9,742 | (58.1 | %) | ||||
| Nuclear | 17,727 | 22,278 | (20.4 | %) | ||||
| Hydro | 758 | 590 | 28.5 | % | ||||
| Natural Gas and Oil | 20,332 | 22,202 | (8.4 | %) | ||||
| Renewable Energy | 559 | 428 | 30.6 | % | ||||
| Total Generation(d) | 43,456 | 55,240 | (21.3 | %) | ||||
| Purchased Power and Net Interchange(e) | 14,966 | 14,847 | 0.8 | % | ||||
| Total Sources of Energy | 58,422 | 70,087 | (16.6 | %) | ||||
| Less: Line Loss and Other | 176 | 5,720 | (96.9 | %) | ||||
| Total GWh Sources | 58,246 | 64,367 | (9.5 | %) | ||||
| Owned Megawatt (MW) Capacity(c) | ||||||||
| Summer | 50,111 | 49,671 | ||||||
| Winter | 53,154 | 53,001 | ||||||
| Nuclear Capacity Factor (%)(f) | 94 | 96 |
(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.
(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).
(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.
(d) Generation by source is reported net of auxiliary power.
(e) Purchased power includes renewable energy purchases.
(f) Statistics reflect 100% of jointly owned stations.
| Duke Energy Carolinas | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||
| March 2023 | ||||||||||
| Three Months Ended March 31, | ||||||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | % Inc. (Dec.)<br><br>Weather<br><br>Normal(b) | |||||||
| GWh Sales(a) | ||||||||||
| Residential | 7,708 | 8,057 | (4.3 | %) | ||||||
| General Service | 6,899 | 6,846 | 0.8 | % | ||||||
| Industrial | 4,710 | 4,983 | (5.5 | %) | ||||||
| Other Energy Sales | 71 | 77 | (7.8 | %) | ||||||
| Unbilled Sales | (955) | 235 | (506.4 | %) | ||||||
| Total Retail Sales | 18,433 | 20,198 | (8.7 | %) | (3.9 | %) | ||||
| Wholesale and Other | 2,486 | 2,351 | 5.7 | % | ||||||
| Total Consolidated Electric Sales – Duke Energy Carolinas | 20,919 | 22,549 | (7.2 | %) | ||||||
| Average Number of Customers | ||||||||||
| Residential | 2,407,382 | 2,363,649 | 1.9 | % | ||||||
| General Service | 399,791 | 398,003 | 0.4 | % | ||||||
| Industrial | 6,095 | 6,058 | 0.6 | % | ||||||
| Other Energy Sales | 11,226 | 11,246 | (0.2 | %) | ||||||
| Total Retail Customers | 2,824,494 | 2,778,956 | 1.6 | % | ||||||
| Wholesale and Other | 23 | 17 | 35.3 | % | ||||||
| Total Average Number of Customers – Duke Energy Carolinas | 2,824,517 | 2,778,973 | 1.6 | % | ||||||
| Sources of Electric Energy (GWh) | ||||||||||
| Generated – Net Output(c) | ||||||||||
| Coal | 1,379 | 2,388 | (42.3 | %) | ||||||
| Nuclear | 10,596 | 15,258 | (30.6 | %) | ||||||
| Hydro | 480 | 338 | 42.0 | % | ||||||
| Natural Gas and Oil | 6,652 | 6,239 | 6.6 | % | ||||||
| Renewable Energy | 68 | 94 | (27.7 | %) | ||||||
| Total Generation(d) | 19,175 | 24,317 | (21.1 | %) | ||||||
| Purchased Power and Net Interchange(e) | 2,918 | 3,006 | (2.9 | %) | ||||||
| Total Sources of Energy | 22,093 | 27,323 | (19.1 | %) | ||||||
| Less: Line Loss and Other | 1,174 | 4,774 | (75.4 | %) | ||||||
| Total GWh Sources | 20,919 | 22,549 | (7.2 | %) | ||||||
| Owned MW Capacity(c) | ||||||||||
| Summer | 19,620 | 19,489 | ||||||||
| Winter | 20,439 | 20,347 | ||||||||
| Nuclear Capacity Factor (%)(f) | 95 | 98 | ||||||||
| Heating and Cooling Degree Days | ||||||||||
| Actual | ||||||||||
| Heating Degree Days | 1,252 | 1,613 | (22.4 | %) | ||||||
| Cooling Degree Days | 16 | 10 | 60.0 | % | ||||||
| Variance from Normal | ||||||||||
| Heating Degree Days | (22.4 | %) | (6.1 | %) | ||||||
| Cooling Degree Days | 55.1 | % | 42.5 | % |
(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.
(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).
(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.
(d) Generation by source is reported net of auxiliary power.
(e) Purchased power includes renewable energy purchases.
(f) Statistics reflect 100% of jointly owned stations.
| Duke Energy Progress | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||
| March 2023 | ||||||||||
| Three Months Ended March 31, | ||||||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | % Inc. (Dec.)<br><br>Weather<br><br>Normal(b) | |||||||
| GWh Sales(a) | ||||||||||
| Residential | 4,846 | 5,233 | (7.4 | %) | ||||||
| General Service | 3,439 | 3,796 | (9.4 | %) | ||||||
| Industrial | 2,351 | 3,134 | (25.0 | %) | ||||||
| Other Energy Sales | 22 | 12 | 83.3 | % | ||||||
| Unbilled Sales | (732) | (614) | (19.2 | %) | ||||||
| Total Retail Sales | 9,926 | 11,561 | (14.1 | %) | (7.8 | %) | ||||
| Wholesale and Other | 5,419 | 6,408 | (15.4 | %) | ||||||
| Total Consolidated Electric Sales – Duke Energy Progress | 15,345 | 17,969 | (14.6 | %) | ||||||
| Average Number of Customers | ||||||||||
| Residential | 1,451,398 | 1,426,389 | 1.8 | % | ||||||
| General Service | 247,775 | 246,149 | 0.7 | % | ||||||
| Industrial | 3,310 | 3,336 | (0.8 | %) | ||||||
| Other Energy Sales | 2,519 | 2,569 | (1.9 | %) | ||||||
| Total Retail Customers | 1,705,002 | 1,678,443 | 1.6 | % | ||||||
| Wholesale and Other | 8 | 8 | — | % | ||||||
| Total Average Number of Customers – Duke Energy Progress | 1,705,010 | 1,678,451 | 1.6 | % | ||||||
| Sources of Electric Energy (GWh) | ||||||||||
| Generated – Net Output(c) | ||||||||||
| Coal | 748 | 1,772 | (57.8 | %) | ||||||
| Nuclear | 7,131 | 7,020 | 1.6 | % | ||||||
| Hydro | 254 | 225 | 12.9 | % | ||||||
| Natural Gas and Oil | 5,726 | 6,748 | (15.1 | %) | ||||||
| Renewable Energy | 55 | 52 | 5.8 | % | ||||||
| Total Generation(d) | 13,914 | 15,817 | (12.0 | %) | ||||||
| Purchased Power and Net Interchange(e) | 1,922 | 2,090 | (8.0 | %) | ||||||
| Total Sources of Energy | 15,836 | 17,907 | (11.6 | %) | ||||||
| Less: Line Loss and Other | 491 | (62) | 891.9 | % | ||||||
| Total GWh Sources | 15,345 | 17,969 | (14.6 | %) | ||||||
| Owned MW Capacity(c) | ||||||||||
| Summer | 12,519 | 12,464 | ||||||||
| Winter | 13,618 | 13,605 | ||||||||
| Nuclear Capacity Factor (%)(f) | 92 | 91 | ||||||||
| Heating and Cooling Degree Days | ||||||||||
| Actual | ||||||||||
| Heating Degree Days | 1,063 | 1,453 | (26.8 | %) | ||||||
| Cooling Degree Days | 32 | 28 | 14.3 | % | ||||||
| Variance from Normal | ||||||||||
| Heating Degree Days | (26.9 | %) | (8.3 | %) | ||||||
| Cooling Degree Days | 11.7 | % | 143.9 | % |
(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.
(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).
(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.
(d) Generation by source is reported net of auxiliary power.
(e) Purchased power includes renewable energy purchases.
(f) Statistics reflect 100% of jointly owned stations.
| Duke Energy Florida | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||
| March 2023 | ||||||||||
| Three Months Ended March 31, | ||||||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | % Inc. (Dec.)<br><br>Weather<br><br>Normal(b) | |||||||
| GWh Sales(a) | ||||||||||
| Residential | 4,493 | 4,527 | (0.8 | %) | ||||||
| General Service | 3,407 | 3,345 | 1.9 | % | ||||||
| Industrial | 820 | 805 | 1.9 | % | ||||||
| Other Energy Sales | 8 | 9 | (11.1 | %) | ||||||
| Unbilled Sales | (139) | 446 | (131.2 | %) | ||||||
| Total Retail Sales | 8,589 | 9,132 | (5.9 | %) | (4.7 | %) | ||||
| Wholesale and Other | 401 | 770 | (47.9 | %) | ||||||
| Total Electric Sales – Duke Energy Florida | 8,990 | 9,902 | (9.2 | %) | ||||||
| Average Number of Customers | ||||||||||
| Residential | 1,740,847 | 1,711,431 | 1.7 | % | ||||||
| General Service | 208,644 | 206,990 | 0.8 | % | ||||||
| Industrial | 1,812 | 1,901 | (4.7 | %) | ||||||
| Other Energy Sales | 3,704 | 3,762 | (1.5 | %) | ||||||
| Total Retail Customers | 1,955,007 | 1,924,084 | 1.6 | % | ||||||
| Wholesale and Other | 10 | 10 | — | % | ||||||
| Total Average Number of Customers – Duke Energy Florida | 1,955,017 | 1,924,094 | 1.6 | % | ||||||
| Sources of Electric Energy (GWh) | ||||||||||
| Generated – Net Output(c) | ||||||||||
| Coal | 508 | 823 | (38.3 | %) | ||||||
| Natural Gas and Oil | 7,641 | 7,964 | (4.1 | %) | ||||||
| Renewable Energy | 434 | 279 | 55.6 | % | ||||||
| Total Generation(d) | 8,583 | 9,066 | (5.3 | %) | ||||||
| Purchased Power and Net Interchange(e) | 714 | 605 | 18.0 | % | ||||||
| Total Sources of Energy | 9,297 | 9,671 | (3.9 | %) | ||||||
| Less: Line Loss and Other | 307 | (231) | 232.9 | % | ||||||
| Total GWh Sources | 8,990 | 9,902 | (9.2 | %) | ||||||
| Owned MW Capacity(c) | ||||||||||
| Summer | 10,549 | 10,296 | ||||||||
| Winter | 11,152 | 11,104 | ||||||||
| Heating and Cooling Degree Days | ||||||||||
| Actual | ||||||||||
| Heating Degree Days | 178 | 297 | (40.1 | %) | ||||||
| Cooling Degree Days | 397 | 293 | 35.5 | % | ||||||
| Variance from Normal | ||||||||||
| Heating Degree Days | (40.2 | %) | (18.6 | %) | ||||||
| Cooling Degree Days | 35.4 | % | 46.0 | % |
(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.
(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).
(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.
(d) Generation by source is reported net of auxiliary power.
(e) Purchased power includes renewable energy purchases.
| Duke Energy Ohio | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||
| March 2023 | ||||||||||
| Three Months Ended March 31, | ||||||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | % Inc. (Dec.)<br><br>Weather<br><br>Normal(b) | |||||||
| GWh Sales(a) | ||||||||||
| Residential | 2,327 | 2,461 | (5.4 | %) | ||||||
| General Service | 2,111 | 2,151 | (1.9 | %) | ||||||
| Industrial | 1,384 | 1,296 | 6.8 | % | ||||||
| Other Energy Sales | 35 | 26 | 34.6 | % | ||||||
| Unbilled Sales | (250) | (103) | (142.7 | %) | ||||||
| Total Retail Sales | 5,607 | 5,831 | (3.8 | %) | 0.5 | % | ||||
| Wholesale and Other | 35 | 166 | (78.9 | %) | ||||||
| Total Electric Sales – Duke Energy Ohio | 5,642 | 5,997 | (5.9 | %) | ||||||
| Average Number of Customers | ||||||||||
| Residential | 822,107 | 810,878 | 1.4 | % | ||||||
| General Service | 74,570 | 74,385 | 0.2 | % | ||||||
| Industrial | 2,395 | 2,431 | (1.5 | %) | ||||||
| Other Energy Sales | 2,836 | 2,843 | (0.2 | %) | ||||||
| Total Retail Customers | 901,908 | 890,537 | 1.3 | % | ||||||
| Wholesale and Other | 1 | 1 | — | % | ||||||
| Total Average Number of Customers – Duke Energy Ohio | 901,909 | 890,538 | 1.3 | % | ||||||
| Sources of Electric Energy (GWh) | ||||||||||
| Generated – Net Output(c) | ||||||||||
| Coal | 456 | 898 | (49.2 | %) | ||||||
| Natural Gas and Oil | 11 | 5 | 120.0 | % | ||||||
| Total Generation(d) | 467 | 903 | (48.3 | %) | ||||||
| Purchased Power and Net Interchange(e) | 5,755 | 5,829 | (1.3 | %) | ||||||
| Total Sources of Energy | 6,222 | 6,732 | (7.6 | %) | ||||||
| Less: Line Loss and Other | 580 | 735 | (21.1 | %) | ||||||
| Total GWh Sources | 5,642 | 5,997 | (5.9 | %) | ||||||
| Owned MW Capacity(c) | ||||||||||
| Summer | 1,076 | 1,076 | ||||||||
| Winter | 1,164 | 1,164 | ||||||||
| Heating and Cooling Degree Days | ||||||||||
| Actual | ||||||||||
| Heating Degree Days | 2,097 | 2,519 | (16.8 | %) | ||||||
| Cooling Degree Days | — | — | — | % | ||||||
| Variance from Normal | ||||||||||
| Heating Degree Days | (16.7 | %) | (1.7 | %) | ||||||
| Cooling Degree Days | — | % | (100.0 | %) |
(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.
(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).
(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.
(d) Generation by source is reported net of auxiliary power.
(e) Purchased power includes renewable energy purchases.
| Duke Energy Indiana | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||
| March 2023 | ||||||||||
| Three Months Ended March 31, | ||||||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | % Inc. (Dec.)<br><br>Weather<br><br>Normal(b) | |||||||
| GWh Sales(a) | ||||||||||
| Residential | 2,494 | 2,751 | (9.3 | %) | ||||||
| General Service | 1,909 | 1,915 | (0.3 | %) | ||||||
| Industrial | 2,581 | 2,283 | 13.1 | % | ||||||
| Other Energy Sales | 17 | 13 | 30.8 | % | ||||||
| Unbilled Sales | (486) | (71) | (584.5 | %) | ||||||
| Total Retail Sales | 6,515 | 6,891 | (5.5 | %) | (1.3 | %) | ||||
| Wholesale and Other | 835 | 1,059 | (21.2 | %) | ||||||
| Total Electric Sales – Duke Energy Indiana | 7,350 | 7,950 | (7.5 | %) | ||||||
| Average Number of Customers | ||||||||||
| Residential | 777,686 | 767,300 | 1.4 | % | ||||||
| General Service | 105,316 | 104,734 | 0.6 | % | ||||||
| Industrial | 2,653 | 2,664 | (0.4 | %) | ||||||
| Other Energy Sales | 3,943 | 4,003 | (1.5 | %) | ||||||
| Total Retail Customers | 889,598 | 878,701 | 1.2 | % | ||||||
| Wholesale and Other | 4 | 3 | 33.3 | % | ||||||
| Total Average Number of Customers – Duke Energy Indiana | 889,602 | 878,704 | 1.2 | % | ||||||
| Sources of Electric Energy (GWh) | ||||||||||
| Generated – Net Output(c) | ||||||||||
| Coal | 989 | 3,861 | (74.4 | %) | ||||||
| Hydro | 24 | 27 | (11.1 | %) | ||||||
| Natural Gas and Oil | 302 | 1,246 | (75.8 | %) | ||||||
| Renewable Energy | 2 | 3 | (33.3 | %) | ||||||
| Total Generation(d) | 1,317 | 5,137 | (74.4 | %) | ||||||
| Purchased Power and Net Interchange(e) | 3,657 | 3,317 | 10.3 | % | ||||||
| Total Sources of Energy | 4,974 | 8,454 | (41.2 | %) | ||||||
| Less: Line Loss and Other | (2,376) | 504 | (571.4 | %) | ||||||
| Total GWh Sources | 7,350 | 7,950 | (7.5 | %) | ||||||
| Owned MW Capacity(c) | ||||||||||
| Summer | 6,347 | 6,346 | ||||||||
| Winter | 6,781 | 6,781 | ||||||||
| Heating and Cooling Degree Days | ||||||||||
| Actual | ||||||||||
| Heating Degree Days | 2,299 | 2,798 | (17.8 | %) | ||||||
| Cooling Degree Days | — | — | — | % | ||||||
| Variance from Normal | ||||||||||
| Heating Degree Days | (17.8 | %) | 1.8 | % | ||||||
| Cooling Degree Days | — | % | (100.0 | %) |
(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.
(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).
(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.
(d) Generation by source is reported net of auxiliary power.
(e) Purchased power includes renewable energy purchases.
| Gas Utilities and Infrastructure | ||||||
|---|---|---|---|---|---|---|
| Quarterly Highlights | ||||||
| March 2023 | ||||||
| Three Months Ended March 31, | ||||||
| 2023 | 2022 | %<br>Inc. (Dec.) | ||||
| Total Sales | ||||||
| Piedmont Natural Gas Local Distribution Company (LDC) throughput (dekatherms)(a) | 161,463,793 | 180,187,101 | (10.4 | %) | ||
| Duke Energy Midwest LDC throughput (Mcf) | 32,001,725 | 37,246,072 | (14.1 | %) | ||
| Average Number of Customers – Piedmont Natural Gas | ||||||
| Residential | 1,055,702 | 1,039,353 | 1.6 | % | ||
| Commercial | 107,487 | 106,865 | 0.6 | % | ||
| Industrial | 954 | 958 | (0.4 | %) | ||
| Power Generation | 19 | 19 | — | % | ||
| Total Average Number of Gas Customers – Piedmont Natural Gas | 1,164,162 | 1,147,195 | 1.5 | % | ||
| Average Number of Customers – Duke Energy Midwest | ||||||
| Residential | 519,502 | 515,357 | 0.8 | % | ||
| General Service | 35,356 | 35,169 | 0.5 | % | ||
| Industrial | 1,715 | 1,629 | 5.3 | % | ||
| Other | 115 | 133 | (13.5 | %) | ||
| Total Average Number of Gas Customers – Duke Energy Midwest | 556,688 | 552,288 | 0.8 | % |
(a) Piedmont has a margin decoupling mechanism in North Carolina, weather normalization mechanisms in South Carolina and Tennessee and fixed-price contracts with most power generation customers that significantly eliminate the impact of throughput changes on earnings. Duke Energy Ohio's rate design also serves to offset this impact.
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