Dive Brief:
- NextEra Energy reported adjusted earnings of $630 million for Q2 2014, compared to $620 million for the same period in 2013. NextEra's main utility subsidiary Florida Power & Light (FPL) reported $423 million in net income in Q2 2014, compared to $391 million for the same period last year.
- NextEra identified the main drivers for growth: Higher electric sales at FPL, investment in transmission and distribution infrastructure, renewable energy contracts and an improving Florida economy.
- NextEra Energy Resources, the company's wholesale electricity supplier, saw a slight dip in earnings, down to $213 million for Q2 2014 compared to $238 million for the same period in 2013. This is partly down to the establishment of NextEra Energy Partners LP, NextEra's renewables yieldco, and its initial public offering earlier this year.
Dive Insight:
NextEra has invested $1.6 billion into FPL this year. The last of three generation projects are expected to come online in 2016, storm preparedness is progressing and "we are now exploring opportunities to help us deliver lower and more stable natural gas costs for our customers," said Moray Dewhurst, CFO at NextEra, with $200 million of capital investment already allocated to developing more natural gas resources for FPL.
On the subject of NextEra's "backlog" of solar projects, Dewhurst said the company plans to bring about 635 MW of solar onto the grid by the end of 2016 and is looking to add even more solar to its portfolio. Wind energy is also getting a boost with a 100 MW project in the pipeline and "2,000 to 5,000 megawatts" possible by 2015.