| News Release |  | |||||||
Media Contact: Jennifer Garber
24-Hour: 800.559.3853
Analyst Contact: Abby Motsinger
Office: 704.382.7624
February 9, 2023
Duke Energy reports fourth-quarter and full-year 2022 financial results
▪2022 reported EPS of $3.33 and adjusted EPS of $5.27, closing the year above the midpoint of updated guidance range
▪Constructive Carbon Plan outcome advances clean energy transition in the Carolinas
▪Five-year capital plan increases to $65 billion with over 80% funding investments in the grid and clean energy transition
CHARLOTTE, N.C. – Duke Energy (NYSE: DUK) today announced 2022 full-year reported EPS of $3.33, prepared in accordance with Generally Accepted Accounting Principles (GAAP), and adjusted EPS of $5.27. This is compared to reported and adjusted EPS of $4.94 and $4.99, respectively, for the full-year 2021.
Adjusted EPS excludes the impact of certain items that are included in reported EPS. In 2022, these included an estimated impairment on the sale of the Commercial Renewables business, charges related to regulatory matters and litigation, and workplace and workforce realignment costs.
Higher full-year 2022 adjusted results were primarily driven by higher electric volumes and favorable weather, in addition to rate case contributions. These items were partially offset by higher financing costs, higher depreciation and property taxes on a growing asset base, storm costs, and unfavorable market impacts on benefits trusts and captive insurance.
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 delivered a strong fourth quarter, closing out a successful year during which we met our financial goals, made progress on our growth strategy, and advanced our clean energy transformation to benefit customers,” said Lynn Good, Duke Energy chair, president and chief executive officer. “Our path forward is clear and underpinned by the strength of our regulated businesses, a disciplined approach to cost management and a robust $65 billion capital plan. We’re well positioned to earn solidly within our 5% to 7% growth rate through 2027.”
“As we continue to navigate our energy transition, we’ll do so responsibly – protecting affordability and reliability for our customers and delivering consistent value to our communities and shareholders.”
Duke Energy News Release 2
Quarterly results
Duke Energy's fourth-quarter 2022 reported loss per share was $(0.71), compared to earnings per share of $0.93 for the fourth quarter of 2021. Duke Energy's fourth-quarter 2022 adjusted EPS was $1.11, compared to $0.88 for the fourth quarter of 2021. Higher adjusted results for the quarter compared to last year were driven by higher volumes, lower O&M expense, favorable weather, favorable riders and other retail margin, partially offset by higher interest expense.
In addition to the following summary of fourth-quarter 2022 business segment performance, comprehensive tables with detailed EPS drivers for the fourth-quarter and full-year 2022 compared to prior year are provided at the end of this news release.
The discussion below of fourth-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 fourth-quarter 2022 segment income of $811 million, compared to reported and adjusted segment income of $670 million and $675 million, respectively, in the fourth quarter of 2021. On an adjusted basis, this represents an increase of $0.17 per share. Higher quarterly results were primarily driven by higher volumes, favorable weather, and lower O&M expense. These items were partially offset by higher financing costs and higher depreciation and property tax expense on a growing asset base.
Gas Utilities and Infrastructure
On a reported and adjusted basis, Gas Utilities and Infrastructure recognized fourth-quarter 2022 segment income of $191 million, compared to reported and adjusted segment income of $137 million in the fourth quarter of 2021. On an adjusted basis, this represents an increase of $0.07 per share. Higher quarterly results were primarily driven by sales growth and rate case contributions.
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 basis, Other recognized a fourth-quarter 2022 net loss of $257 million, compared to a net loss of $128 million in the fourth quarter of 2021. In addition to the drivers outlined below, fourth-quarter 2022 results include charges related to litigation as well as workplace and workforce realignment costs.
On an adjusted basis, Other recognized a fourth-quarter 2022 net loss of $133 million, compared to a net loss of $122 million in the fourth quarter of 2021, a decrease of $0.01 per share. Lower quarterly results were primarily driven by higher financing costs, partially offset by lower contributions to the Duke Energy Foundation.
Duke Energy News Release 3
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 later in 2023.
For the fourth quarter of 2022, 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 $1.3 billion.
Effective tax rate
Duke Energy's consolidated reported effective tax rate for the fourth quarter of 2022 was 5.5% compared to 0.1% in the fourth quarter of 2021. The increase was primarily due to realization of capital loss carry forward benefit in the prior year partially offset by an increase in charges due to workplace and workforce realignment.
The effective tax rate including impacts of noncontrolling interests and preferred dividends and excluding special items for the fourth quarter of 2022 was 8.4% compared to the effective tax rate including impacts of noncontrolling interests and preferred dividends and excluding special items of 0.3% in the fourth quarter of 2021. The increase was primarily due to realization of capital loss carry forward benefit in the prior year.
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 from 10 to 11 a.m. ET today to discuss fourth-quarter and year-end 2022 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 United States or 929.526.1599 outside the United States. The confirmation code is 242312. Please call in 10 to 15 minutes prior to the scheduled start time.
A replay of the conference call will be available on the investors' section of the company's website on Feb. 10.
Duke Energy News Release 4
Special Items and Non-GAAP Reconciliation
The following tables present a reconciliation of GAAP reported to adjusted earnings per share for fourth-quarter and full-year 2022 and 2021 financial results:
| (In millions, except per share amounts) | After-Tax Amount | 4Q 2022 EPS | 4Q 2021 EPS | ||||||||
| (Loss) Earnings per share, as reported | $ | (0.71) | $ | 0.93 | |||||||
| Adjustments to reported EPS: | |||||||||||
| Fourth Quarter 2022 | |||||||||||
| Workplace and workforce realignment | $ | 105 | 0.14 | ||||||||
| Regulatory matters and litigation | 19 | 0.02 | |||||||||
| Discontinued operations | 1,276 | 1.66 | |||||||||
| Fourth Quarter 2021 | |||||||||||
| Workplace and workforce realignment | $ | 6 | 0.01 | ||||||||
| Regulatory settlements | 5 | 0.01 | |||||||||
| Discontinued operations | (53) | (0.07) | |||||||||
| Total adjustments | $ | 1.82 | $ | (0.05) | |||||||
| EPS, adjusted | $ | 1.11 | $ | 0.88 | |||||||
| (In millions, except per share amounts) | After-Tax Amount | Full-Year 2022 EPS | Full-Year 2021 EPS | ||||||||
| EPS, as reported | $ | 3.33 | $ | 4.94 | |||||||
| Adjustments to reported EPS: | |||||||||||
| Full-Year 2022 | |||||||||||
| Regulatory matters and litigation | $ | 176 | 0.23 | ||||||||
| Workplace and workforce realignment | 105 | 0.14 | |||||||||
| Discontinued operations | 1,216 | 1.57 | |||||||||
| Full-Year 2021 | |||||||||||
| Workforce and workplace realignment | $ | 148 | 0.20 | ||||||||
| Regulatory settlements | 69 | 0.09 | |||||||||
| Gas pipeline investments | 15 | 0.02 | |||||||||
| Discontinued operations | (197) | (0.26) | |||||||||
| Total adjustments | $ | 1.94 | $ | 0.05 | |||||||
| EPS, adjusted | $ | 5.27 | $ | 4.99 | |||||||
Duke Energy News Release 5
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 impacts of 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 impacts of 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 impacts of 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:
•Workplace and workforce realignment represents costs attributable to business transformation, including long-term real estate strategy changes and workforce reduction.
•Regulatory matters and litigation represents the net impact of charges related to the 2022 Indiana Supreme Court ruling on coal ash and other unrelated ongoing litigation.
•Regulatory settlements represents an impairment charge related to the South Carolina Supreme Court decision on coal ash, insurance proceeds and Duke Energy Carolinas and Duke Energy Progress coal ash settlement.
•Gas pipeline investments represents additional exit obligations related to ACP.
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).
Duke Energy News Release 6
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 (loss) as a measure of historical and anticipated future segment performance. Adjusted segment income (loss) 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 (loss) 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.
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 28,000 people.
Duke Energy is executing an aggressive clean energy transition to achieve its goals of net-zero methane emissions from its natural gas business and at least a 50% carbon reduction from electric generation by 2030 and net-zero carbon emissions by 2050. The 2050 net-zero goals also include Scope 2 and certain Scope 3 emissions. 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’ “America’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.
Duke Energy News Release 7
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;
◦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 U.S. 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;
Duke Energy News Release 8
◦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;
◦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 U.S. 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;
◦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; and
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 an 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 December 31, 2022
(Dollars in millions, except per share amounts)
| Special Items | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reported Earnings | Regulatory Matters and Litigation | Workplace and Workforce Realignment | Discontinued Operations | Total Adjustments | Adjusted Earnings | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SEGMENT INCOME (LOSS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Electric Utilities and Infrastructure | $ | 811 | $ | — | $ | — | $ | — | $ | — | $ | 811 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Gas Utilities and Infrastructure | 191 | — | — | — | — | 191 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total Reportable Segment Income | 1,002 | — | — | — | — | 1,002 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | (257) | 19 | A | 105 | B | — | 124 | (133) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intercompany Eliminations | 1 | — | — | (1) | (1) | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | $ | (1,277) | — | — | 1,277 | C | 1,277 | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net (Loss) Income Available to Duke Energy Corporation Common Stockholders | $ | (531) | $ | 19 | $ | 105 | $ | 1,276 | $ | 1,400 | $ | 869 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| (LOSS) EARNINGS PER SHARE AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS | $ | (0.71) | $ | 0.02 | $ | 0.14 | $ | 1.66 | $ | 1.82 | $ | 1.11 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $(0.02).
A – Net of $6 million tax benefit. $25 million recorded within Operations, maintenance and other related to litigation on the Consolidated Statements of Operations.
B – Net of $31 million tax benefit. $72 million recorded within Impairment of assets and other charges, $71 million recorded within Operations, maintenance and other and a $7 million gain recorded in Gains on sales of other assets and other related to costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment on the Consolidated Statements of Operations.
C – Recorded in Loss from Discontinued Operations, net of tax, and Net Loss Attributable to Noncontrolling Interests on the Consolidated Statements of Operations.
Weighted Average Shares (reported and adjusted) – 770 million
9
DUKE ENERGY CORPORATION
REPORTED TO ADJUSTED EARNINGS RECONCILIATION
Year Ended December 31, 2022
(Dollars in millions, except per share amounts)
| Special Items | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reported Earnings | Regulatory Matters and Litigation | Workplace and Workforce Realignment | Discontinued Operations | Total Adjustments | Adjusted Earnings | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SEGMENT INCOME (LOSS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Electric Utilities and Infrastructure | $ | 4,048 | $ | 157 | A | $ | — | $ | — | $ | 157 | $ | 4,205 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gas Utilities and Infrastructure | 468 | — | — | — | — | 468 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total Reportable Segment Income | 4,516 | 157 | — | — | 157 | 4,673 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | (737) | 19 | B | 105 | C | — | 124 | (613) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intercompany Eliminations | (1) | — | — | 1 | 1 | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | (1,215) | — | — | 1,215 | D | 1,215 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 2,563 | $ | 176 | $ | 105 | $ | 1,216 | $ | 1,497 | $ | 4,060 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS | $ | 3.33 | $ | 0.23 | $ | 0.14 | $ | 1.57 | $ | 1.94 | $ | 5.27 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
A – Net of $80 million tax benefit. $211 million recorded within Impairment of assets and other charges, $46 million within Regulated electric (Operating revenues) and $20 million within Noncontrolling Interests related to the Duke Energy Indiana Supreme Court ruling on the Consolidated Statements of Operations.
B – Net of $6 million tax benefit. $25 million recorded within Operations, maintenance and other related to litigation on the Consolidated Statements of Operations.
C – Net of $31 million tax benefit. $72 million recorded within Impairment of assets and other charges, $71 million recorded within Operations, maintenance and other and a $7 million gain recorded in Gains on sales of other assets and other related to costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment on the Consolidated Statements of Operations.
D – Recorded in Loss from Discontinued Operations, net of tax, and Net Loss Attributable to Noncontrolling Interests on the Consolidated Statements of Operations.
Weighted Average Shares (reported and adjusted) – 770 million
10
DUKE ENERGY CORPORATION
REPORTED TO ADJUSTED EARNINGS RECONCILIATION
Three Months Ended December 31, 2021
(Dollars in millions, except per share amounts)
| Special Items | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reported Earnings | Workplace and Workforce Realignment | Regulatory Settlements | Discontinued Operations | Total Adjustments | Adjusted Earnings | ||||||||||||||||||||||||||||||||||||||||||||||||
| SEGMENT INCOME (LOSS) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Electric Utilities and Infrastructure | $ | 670 | $ | — | 5 | B | $ | — | $ | 5 | $ | 675 | |||||||||||||||||||||||||||||||||||||||||
| Gas Utilities and Infrastructure | 137 | — | — | — | — | 137 | |||||||||||||||||||||||||||||||||||||||||||||||
| Total Reportable Segment Income | 807 | — | 5 | — | 5 | 812 | |||||||||||||||||||||||||||||||||||||||||||||||
| Other | (128) | 6 | A | — | — | 6 | (122) | ||||||||||||||||||||||||||||||||||||||||||||||
| Intercompany Eliminations | (1) | — | — | 1 | 1 | — | |||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | 54 | — | — | (54) | C | (54) | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 732 | $ | 6 | $ | 5 | $ | (53) | $ | (42) | $ | 690 | |||||||||||||||||||||||||||||||||||||||||
| EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS | $ | 0.93 | $ | 0.01 | $ | 0.01 | $ | (0.07) | $ | (0.05) | $ | 0.88 | |||||||||||||||||||||||||||||||||||||||||
Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $(0.02).
A – Net of $2 million tax benefit. $6 million reversal recorded within Impairment of assets and other charges and $14 million within Operations, maintenance and other related to costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment on the Consolidated Statements of Operations.
B – Net of $2 million tax benefit at Duke Energy Carolinas.
• $6 million of expense included within Depreciation and amortization on the Duke Energy Carolinas' Consolidated Statements of Operations related to the South Carolina Supreme Court decision on coal ash.
• $1 million of expense included within Depreciation and amortization on the Duke Energy Progress' Consolidated Statements of Operations related to the South Carolina Supreme Court decision on coal ash.
C – Recorded in Loss from Discontinued Operations, net of tax, and Net Loss Attributable to Noncontrolling Interests on the Consolidated Statements of Operations.
Weighted Average Shares (reported and adjusted) – 769 million
11
DUKE ENERGY CORPORATION
REPORTED TO ADJUSTED EARNINGS RECONCILIATION
Year Ended December 31, 2021
(Dollars in millions, except per share amounts)
| Special Items | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reported Earnings | Gas Pipeline Investments | Workplace and Workforce Realignment | Regulatory Settlements | Discontinued Operations | Total Adjustments | Adjusted Earnings | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SEGMENT INCOME (LOSS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Electric Utilities and Infrastructure | $ | 3,850 | $ | — | $ | — | $ | 69 | C | $ | — | $ | 69 | $ | 3,919 | |||||||||||||||||||||||||||||||||||||||||||||||
| Gas Utilities and Infrastructure | 396 | 15 | A | — | — | — | 15 | 411 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total Reportable Segment Income | 4,246 | 15 | — | 69 | — | 84 | 4,330 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | (641) | — | 148 | B | — | — | 148 | (493) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intercompany Eliminations | (3) | — | — | — | 3 | 3 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | 200 | — | — | — | (200) | D | (200) | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 3,802 | $ | 15 | $ | 148 | $ | 69 | $ | (197) | $ | 35 | $ | 3,837 | ||||||||||||||||||||||||||||||||||||||||||||||||
| EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS | $ | 4.94 | $ | 0.02 | $ | 0.20 | $ | 0.09 | $ | (0.26) | $ | 0.05 | $ | 4.99 | ||||||||||||||||||||||||||||||||||||||||||||||||
A – Net of $5 million tax benefit. $20 million recorded within Equity in earnings (losses) of unconsolidated affiliates related to exit obligations for ACP on the Consolidated Statements of Operations.
B – Net of $44 million tax benefit. $133 million recorded within Impairment of assets and other charges, $42 million within Operations, maintenance and other, and $17 million within Depreciation and amortization related to costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment on the Consolidated Statements of Operations.
C – Net of $20 million tax benefit at Duke Energy Carolinas and $1 million tax benefit at Duke Energy Progress.
• $160 million of expense recorded within Impairment of assets and other charges, $77 million of income within Other income and expenses, $5 million of expense within Operations,
maintenance and other, $13 million of income within Regulated electric operating revenues, $3 million of expense within Interest expense and $6 million of expense within Depreciation and
amortization on the Duke Energy Carolinas' Consolidated Statement of Operations related to the South Carolina Supreme Court decision on coal ash and insurance proceeds.
• $42 million of expense recorded within Impairment of assets and other charges, $34 million of income within Other income and expenses, $7 million of expense within Operations, maintenance and other, $15 million of income within Regulated electric operating revenues, $5 million of expense within Interest expense and $1 million of expense within Depreciation and amortization on the Duke Energy Progress' Consolidated Statement of Operations related to the South Carolina Supreme Court decision on coal ash and insurance proceeds.
D – Recorded in Loss from Discontinued Operations, net of tax, and Net Loss Attributable to Noncontrolling Interests on the Consolidated Statements of Operations.
Weighted Average Shares (reported and adjusted) – 769 million
12
DUKE ENERGY CORPORATION
EFFECTIVE TAX RECONCILIATION
December 2022
(Dollars in millions)
| Three Months Ended December 31, 2022 | Year Ended December 31, 2022 | |||||||||||||||||||||||||
| Balance | Effective Tax Rate | Balance | Effective Tax Rate | |||||||||||||||||||||||
| Reported Income Before Income Taxes From Continuing Operations Before Income Taxes | $ | 813 | $ | 4,253 | ||||||||||||||||||||||
| Regulatory Matters and Litigation | 25 | 282 | ||||||||||||||||||||||||
| Workplace and Workforce Realignment | 136 | 136 | ||||||||||||||||||||||||
| Noncontrolling Interests | (11) | (56) | ||||||||||||||||||||||||
| Preferred Dividends | (14) | (106) | ||||||||||||||||||||||||
| Pretax Income Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 949 | $ | 4,509 | ||||||||||||||||||||||
| Reported Income Tax Expense From Continuing Operations | $ | 45 | 5.5 | % | $ | 342 | 8.0 | % | ||||||||||||||||||
| Regulatory Matters and Litigation | 6 | 86 | ||||||||||||||||||||||||
| Workplace and Workforce Realignment | 31 | 31 | ||||||||||||||||||||||||
Noncontrolling interest portion of income taxes(a) | (2) | (10) | ||||||||||||||||||||||||
| Tax Expense Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 80 | 8.4 | % | $ | 449 | 10.0 | % | ||||||||||||||||||
| Three Months Ended December 31, 2021 | Year Ended December 31, 2021 | |||||||||||||||||||||||||
| Balance | Effective Tax Rate | Balance | Effective Tax Rate | |||||||||||||||||||||||
| Reported Income From Continuing Operations Before Income Taxes | $ | 701 | $ | 3,991 | ||||||||||||||||||||||
| Regulatory Settlements | 7 | 90 | ||||||||||||||||||||||||
| Gas Pipeline Investments | — | 20 | ||||||||||||||||||||||||
| Workplace and Workforce Realignment | 8 | 192 | ||||||||||||||||||||||||
| Noncontrolling Interests | (12) | (18) | ||||||||||||||||||||||||
| Preferred Dividends | (14) | (106) | ||||||||||||||||||||||||
| Pretax Income Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 690 | $ | 4,169 | ||||||||||||||||||||||
| Reported Income Tax Expense From Continuing Operations | $ | 1 | 0.1 | % | $ | 268 | 6.7 | % | ||||||||||||||||||
| Regulatory Settlements | 2 | 21 | ||||||||||||||||||||||||
| Gas Pipeline Investments | — | 5 | ||||||||||||||||||||||||
| Workplace and Workforce Realignment | 2 | 44 | ||||||||||||||||||||||||
Noncontrolling interest portion of income taxes(a) | $ | (3) | $ | (3) | ||||||||||||||||||||||
| Tax Expense Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items | $ | 2 | 0.3 | % | $ | 335 | 8.0 | % | ||||||||||||||||||
(a) Income tax related to non-pass-through entities for tax purposes.
13
DUKE ENERGY CORPORATION
EARNINGS VARIANCES
December 2022 QTD vs. Prior Year
| (Dollars per share) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other | Discontinued Operations | Consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2021 QTD Reported Earnings Per Share | $ | 0.87 | $ | 0.18 | $ | (0.19) | $ | 0.07 | $ | 0.93 | |||||||||||||||||||||||||||||||||||||||||||
| Workplace and Workforce Realignment | — | — | 0.01 | — | 0.01 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Regulatory Settlements | 0.01 | — | — | — | 0.01 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | — | — | — | (0.07) | (0.07) | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2021 QTD Adjusted Earnings Per Share | $ | 0.88 | $ | 0.18 | $ | (0.18) | $ | — | $ | 0.88 | |||||||||||||||||||||||||||||||||||||||||||
| Weather | 0.07 | — | — | — | 0.07 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Volume | 0.10 | — | — | — | 0.10 | ||||||||||||||||||||||||||||||||||||||||||||||||
Riders and Other Retail Margin(a) | 0.02 | 0.05 | — | — | 0.07 | ||||||||||||||||||||||||||||||||||||||||||||||||
Rate case impacts, net(b) | — | 0.01 | — | — | 0.01 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Wholesale | (0.01) | — | — | — | (0.01) | ||||||||||||||||||||||||||||||||||||||||||||||||
Operations and maintenance, net of recoverables(c) | 0.06 | 0.02 | — | — | 0.08 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Interest Expense | (0.04) | (0.01) | (0.04) | — | (0.09) | ||||||||||||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | (0.01) | — | — | — | (0.01) | ||||||||||||||||||||||||||||||||||||||||||||||||
Other(d) | (0.02) | — | 0.03 | — | 0.01 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Total variance | $ | 0.17 | $ | 0.07 | $ | (0.01) | $ | — | $ | 0.23 | |||||||||||||||||||||||||||||||||||||||||||
| 2022 QTD Adjusted Earnings Per Share | $ | 1.05 | $ | 0.25 | $ | (0.19) | $ | — | $ | 1.11 | |||||||||||||||||||||||||||||||||||||||||||
| Workplace and Workforce Realignment | — | — | (0.14) | — | (0.14) | ||||||||||||||||||||||||||||||||||||||||||||||||
| Regulatory Matters and Litigation | — | — | (0.02) | — | (0.02) | ||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | — | — | — | (1.66) | (1.66) | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 QTD Reported Earnings (Loss) Per Share | $ | 1.05 | $ | 0.25 | $ | (0.35) | $ | (1.66) | $ | (0.71) | |||||||||||||||||||||||||||||||||||||||||||
Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers. Weighted average shares outstanding increased from 769 million shares to 770 million. | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(a) Gas Utilities and Infrastructure includes increases related to the North Carolina and Ohio construction-based riders and customer growth.
(b) Gas Utilities and Infrastructure includes the net impact of the Piedmont North Carolina rate case, effective November 2021.
(c) Electric Utilities and Infrastructure includes lower outage and maintenance expenses, lower employee-related expenses and legal reserves, partially offset by higher bad debt expense.
(d) Electric Utilities and Infrastructure includes higher property tax expense. Other includes lower contributions to the Duke Energy Foundation, partially offset by higher income tax expense.
14
DUKE ENERGY CORPORATION
EARNINGS VARIANCES
December 2022 YTD vs. Prior Year
| (Dollars per share) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other | Discontinued Operations | Consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2021 YTD Reported Earnings Per Share | $ | 5.01 | $ | 0.52 | $ | (0.85) | $ | 0.26 | $ | 4.94 | |||||||||||||||||||||||||||||||||||||||||||
| Gas Pipeline Investments | — | 0.02 | — | — | 0.02 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Workplace and Workforce Realignment | — | — | 0.20 | — | 0.20 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Regulatory Settlements | 0.09 | — | — | — | 0.09 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | — | — | — | (0.26) | (0.26) | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2021 YTD Adjusted Earnings Per Share | $ | 5.10 | $ | 0.54 | $ | (0.65) | $ | — | $ | 4.99 | |||||||||||||||||||||||||||||||||||||||||||
| Weather | 0.14 | — | — | — | 0.14 | ||||||||||||||||||||||||||||||||||||||||||||||||
Volume(a) | 0.45 | — | — | — | 0.45 | ||||||||||||||||||||||||||||||||||||||||||||||||
Riders and Other Retail Margin(b) | (0.05) | 0.10 | — | — | 0.05 | ||||||||||||||||||||||||||||||||||||||||||||||||
Rate case impacts, net(c) | 0.03 | 0.06 | — | — | 0.09 | ||||||||||||||||||||||||||||||||||||||||||||||||
Operations and maintenance, net of recoverables(d) | (0.06) | (0.03) | — | — | (0.09) | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest Expense(e) | (0.05) | (0.03) | (0.07) | — | (0.15) | ||||||||||||||||||||||||||||||||||||||||||||||||
| AFUDC Equity | 0.05 | (0.01) | — | — | 0.04 | ||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization(e) | (0.04) | (0.02) | — | — | (0.06) | ||||||||||||||||||||||||||||||||||||||||||||||||
Other(f) | (0.11) | — | (0.08) | — | (0.19) | ||||||||||||||||||||||||||||||||||||||||||||||||
| Total variance | $ | 0.36 | $ | 0.07 | $ | (0.15) | $ | — | $ | 0.28 | |||||||||||||||||||||||||||||||||||||||||||
| 2022 YTD Adjusted Earnings Per Share | $ | 5.46 | $ | 0.61 | $ | (0.80) | $ | — | $ | 5.27 | |||||||||||||||||||||||||||||||||||||||||||
| Workplace and Workforce Realignment | — | — | (0.14) | — | (0.14) | ||||||||||||||||||||||||||||||||||||||||||||||||
| Regulatory Matters and Litigation | (0.21) | — | (0.02) | — | (0.23) | ||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations | — | — | — | (1.57) | (1.57) | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 YTD Reported Earnings Per Share | $ | 5.25 | $ | 0.61 | $ | (0.96) | $ | (1.57) | $ | 3.33 | |||||||||||||||||||||||||||||||||||||||||||
| Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers. Weighted average shares outstanding increased from 769 million shares to 770 million. | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(a) Includes block and seasonal pricing (+$0.11).
(b) Electric Utilities and Infrastructure includes unfavorable fuel and other margin timing. Gas Utilities and Infrastructure includes increases related to the North Carolina and Ohio construction-based riders and customer growth.
(c) Electric Utilities and Infrastructure includes DEC and DEP North Carolina final rates, which became effective June 2021 (+$0.02) and DEF SBRA and multiyear rate plan (+$0.01); these
rate case impacts include interest expense (-$0.04). Gas Utilities and Infrastructure includes the net impact of the Piedmont North Carolina rate case, effective November 2021.
(d) Electric Utilities and Infrastructure includes higher bad debt expense and higher storm costs (-$0.07), partially offset by lower employee-related expenses.
(e) Electric Utilities and Infrastructure excludes rate case impacts.
(f) Electric Utilities and Infrastructure includes higher property tax expense and the impact of GIC minority interest sale. Other includes lower market returns, partially offset by lower contributions to the Duke Energy Foundation.
15
| DUKE ENERGY CORPORATION | |||||||||||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||
| (In millions, except per share amounts) | |||||||||||||||||||||||||||||
| Years Ended December 31, | |||||||||||||||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||||||||||||||
| Operating Revenues | |||||||||||||||||||||||||||||
| Regulated electric | $ | 25,759 | $ | 22,319 | $ | 21,461 | |||||||||||||||||||||||
| Regulated natural gas | 2,724 | 2,008 | 1,642 | ||||||||||||||||||||||||||
| Nonregulated electric and other | 285 | 294 | 263 | ||||||||||||||||||||||||||
| Total operating revenues | 28,768 | 24,621 | 23,366 | ||||||||||||||||||||||||||
| Operating Expenses | |||||||||||||||||||||||||||||
| Fuel used in electric generation and purchased power | 8,782 | 6,255 | 6,051 | ||||||||||||||||||||||||||
| Cost of natural gas | 1,276 | 705 | 460 | ||||||||||||||||||||||||||
| Operation, maintenance and other | 5,734 | 5,703 | 5,502 | ||||||||||||||||||||||||||
| Depreciation and amortization | 5,086 | 4,762 | 4,504 | ||||||||||||||||||||||||||
| Property and other taxes | 1,466 | 1,355 | 1,311 | ||||||||||||||||||||||||||
| Impairment of assets and other charges | 259 | 353 | 978 | ||||||||||||||||||||||||||
| Total operating expenses | 22,603 | 19,133 | 18,806 | ||||||||||||||||||||||||||
| Gains on Sales of Other Assets and Other, net | 22 | 12 | 11 | ||||||||||||||||||||||||||
| Operating Income | 6,187 | 5,500 | 4,571 | ||||||||||||||||||||||||||
| Other Income and Expenses | |||||||||||||||||||||||||||||
| Equity in earnings (losses) of unconsolidated affiliates | 113 | 62 | (2,005) | ||||||||||||||||||||||||||
| Other income and expenses, net | 392 | 636 | 451 | ||||||||||||||||||||||||||
| Total other income and expenses | 505 | 698 | (1,554) | ||||||||||||||||||||||||||
| Interest Expense | 2,439 | 2,207 | 2,097 | ||||||||||||||||||||||||||
| Income From Continuing Operations Before Income Taxes | 4,253 | 3,991 | 920 | ||||||||||||||||||||||||||
| Income Tax Expense (Benefit) From Continuing Operations | 342 | 268 | (169) | ||||||||||||||||||||||||||
| Income From Continuing Operations | 3,911 | 3,723 | 1,089 | ||||||||||||||||||||||||||
| Loss From Discontinued Operations, net of tax | (1,323) | (144) | (7) | ||||||||||||||||||||||||||
| Net Income | 2,588 | 3,579 | 1,082 | ||||||||||||||||||||||||||
| Add: Net Loss Attributable to Noncontrolling Interests | 81 | 329 | 295 | ||||||||||||||||||||||||||
| Net Income Attributable to Duke Energy Corporation | 2,669 | 3,908 | $ | 1,377 | |||||||||||||||||||||||||
| Less: Preferred Dividends | 106 | 106 | $ | 107 | |||||||||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 2,563 | $ | 3,802 | $ | 1,270 | |||||||||||||||||||||||
| Earnings Per Share – Basic and Diluted | |||||||||||||||||||||||||||||
| Income from continuing operations available to Duke Energy Corporation common stockholders | |||||||||||||||||||||||||||||
| Basic and Diluted | $ | 4.90 | $ | 4.68 | $ | 1.33 | |||||||||||||||||||||||
| (Loss) Income from discontinued operations attributable to Duke Energy Corporation common stockholders | |||||||||||||||||||||||||||||
| Basic and Diluted | $ | (1.57) | $ | 0.26 | $ | 0.39 | |||||||||||||||||||||||
| Net income available to Duke Energy Corporation common stockholders | |||||||||||||||||||||||||||||
| Basic and Diluted | $ | 3.33 | $ | 4.94 | $ | 1.72 | |||||||||||||||||||||||
| Weighted average shares outstanding | |||||||||||||||||||||||||||||
| Basic | 770 | 769 | 737 | ||||||||||||||||||||||||||
| Diluted | 770 | 769 | 738 | ||||||||||||||||||||||||||
16
DUKE ENERGY CORPORATION
CONSOLIDATED BALANCE SHEETS
(Unaudited)
| (In millions) | December 31, 2022 | December 31, 2021 | |||||||||
| ASSETS | |||||||||||
| Current Assets | |||||||||||
| Cash and cash equivalents | $ | 409 | $ | 341 | |||||||
| Receivables (net of allowance for doubtful accounts of $40 at 2022 and $45 at 2021) | 1,309 | 1,085 | |||||||||
| Receivables of VIEs (net of allowance for doubtful accounts of $176 at 2022 and $76 at 2021) | 3,106 | 2,437 | |||||||||
| Inventory | 3,584 | 3,111 | |||||||||
| Regulatory assets (includes $106 at 2022 and $105 at 2021 related to VIEs) | 3,485 | 2,150 | |||||||||
| Assets held for sale | 262 | 232 | |||||||||
| Other (includes $116 at 2022 and $41 at 2021 related to VIEs) | 1,067 | 584 | |||||||||
| Total current assets | 13,222 | 9,940 | |||||||||
| Property, Plant and Equipment | |||||||||||
| Cost | 163,839 | 154,496 | |||||||||
| Accumulated depreciation and amortization | (52,100) | (49,104) | |||||||||
| Facilities to be retired, net | 9 | 144 | |||||||||
| Net property, plant and equipment | 111,748 | 105,536 | |||||||||
| Other Noncurrent Assets | |||||||||||
| Goodwill | 19,303 | 19,303 | |||||||||
| Regulatory assets (includes $1,715 at 2022 and $1,824 at 2021 related to VIEs) | 14,820 | 12,487 | |||||||||
| Nuclear decommissioning trust funds | 8,637 | 10,401 | |||||||||
| Operating lease right-of-use assets, net | 1,042 | 1,136 | |||||||||
| Investments in equity method unconsolidated affiliates | 455 | 457 | |||||||||
| Assets held for sale | 5,634 | 6695 | |||||||||
| Other (includes $52 at 2022 and $30 at 2021 related to VIEs) | 3,400 | 3,632 | |||||||||
| Total other noncurrent assets | 53,291 | 54,111 | |||||||||
| Total Assets | $ | 178,261 | $ | 169,587 | |||||||
| LIABILITIES AND EQUITY | |||||||||||
| Current Liabilities | |||||||||||
| Accounts payable | $ | 4,754 | $ | 3,531 | |||||||
| Notes payable and commercial paper | 3,952 | 3,304 | |||||||||
| Taxes accrued | 722 | 731 | |||||||||
| Interest accrued | 626 | 530 | |||||||||
| Current maturities of long-term debt (includes $350 at 2022 and $76 at 2021 related to VIEs) | 4,154 | 3,387 | |||||||||
| Asset retirement obligations | 773 | 647 | |||||||||
| Regulatory liabilities | 1,466 | 1,211 | |||||||||
| Liabilities associated with assets held for sale | 259 | 167 | |||||||||
| Other | 2,167 | 2,423 | |||||||||
| Total current liabilities | 18,873 | 15,931 | |||||||||
| Long-Term Debt (includes $3,108 at 2022 and $3,379 at 2021 related to VIEs) | 67,061 | 60,448 | |||||||||
| Other Noncurrent Liabilities | |||||||||||
| Deferred income taxes | 10,006 | 9,379 | |||||||||
| Asset retirement obligations | 11,955 | 11,953 | |||||||||
| Regulatory liabilities | 13,582 | 16,152 | |||||||||
| Operating lease liabilities | 876 | 940 | |||||||||
| Accrued pension and other post-retirement benefit costs | 832 | 855 | |||||||||
| Investment tax credits | 849 | 833 | |||||||||
| Liabilities associated with assets held for sale | 739 | 612 | |||||||||
| Other | 1,502 | 1,348 | |||||||||
| Total other noncurrent liabilities | 40,341 | 42,072 | |||||||||
| Commitments and Contingencies | |||||||||||
| Equity | |||||||||||
| Preferred stock, Series A, $0.001 par value, 40 million depositary shares authorized and outstanding at 2022 and 2021 | 973 | 973 | |||||||||
| Preferred stock, Series B, $0.001 par value, 1 million shares authorized and outstanding at 2022 and 2021 | 989 | 989 | |||||||||
| Common Stock, $0.001 par value, 2 billion shares authorized; 770 million and 769 million shares outstanding at 2022 and 2021 | 1 | 1 | |||||||||
| Additional paid-in capital | 44,862 | 44,371 | |||||||||
| Retained earnings | 2,756 | 3,265 | |||||||||
| Accumulated other comprehensive loss | (140) | (303) | |||||||||
| Total Duke Energy Corporation stockholders' equity | 49,441 | 49,296 | |||||||||
| Noncontrolling interests | 2,545 | 1,840 | |||||||||
| Total equity | 51,986 | 51,136 | |||||||||
| Total Liabilities and Equity | $ | 178,261 | $ | 169,587 | |||||||
17
| DUKE ENERGY CORPORATION | |||||||||||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||
| (In millions) | |||||||||||||||||||||||
| Years Ended December 31, | |||||||||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||||||||||||||||
| Net Income | $ | 2,588 | $ | 3,579 | $ | 1,082 | |||||||||||||||||
| Adjustments to reconcile net income to net cash provided by operating activities | 3,339 | 4,711 | 7,774 | ||||||||||||||||||||
| Net cash provided by operating activities | 5,927 | 8,290 | 8,856 | ||||||||||||||||||||
| CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||||||||||||||||
| Net cash used in investing activities | (11,973) | (10,935) | (10,604) | ||||||||||||||||||||
| CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||||||||||||||||
| Net cash provided by financing activities | 6,129 | 2,609 | 1,731 | ||||||||||||||||||||
| Net increase (decrease) in cash, cash equivalents and restricted cash | 83 | (36) | (17) | ||||||||||||||||||||
| Cash, cash equivalents and restricted cash at beginning of period | 520 | 556 | 573 | ||||||||||||||||||||
| Cash, cash equivalents and restricted cash at end of period | $ | 603 | $ | 520 | $ | 556 | |||||||||||||||||
18
DUKE ENERGY CORPORATION
CONSOLIDATING STATEMENTS OF OPERATIONS
(Unaudited)
| Three Months Ended December 31, 2022 | ||||||||||||||||||||
| (In millions) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other | Eliminations/Adjustments | Duke Energy | |||||||||||||||
| Operating Revenues | ||||||||||||||||||||
| Regulated electric | $ | 6,386 | $ | — | $ | — | $ | (8) | $ | 6,378 | ||||||||||
| Regulated natural gas | — | 922 | — | (22) | 900 | |||||||||||||||
| Nonregulated electric and other | 62 | 6 | 31 | (26) | 73 | |||||||||||||||
| Total operating revenues | 6,448 | 928 | 31 | (56) | 7,351 | |||||||||||||||
| Operating Expenses | ||||||||||||||||||||
| Fuel used in electric generation and purchased power | 2,381 | — | — | (20) | 2,361 | |||||||||||||||
| Cost of natural gas | — | 417 | — | — | 417 | |||||||||||||||
| Operation, maintenance and other | 1,343 | 122 | 81 | (35) | 1,511 | |||||||||||||||
| Depreciation and amortization | 1,139 | 86 | 75 | (7) | 1,293 | |||||||||||||||
| Property and other taxes | 311 | 35 | 2 | — | 348 | |||||||||||||||
| Impairment of assets and other charges | (15) | — | 72 | — | 57 | |||||||||||||||
| Total operating expenses | 5,159 | 660 | 230 | (62) | 5,987 | |||||||||||||||
| (Losses) Gains on Sales of Other Assets and Other, net | (5) | (3) | 13 | — | 5 | |||||||||||||||
| Operating Income (Loss) | 1,284 | 265 | (186) | 6 | 1,369 | |||||||||||||||
| Other Income and Expenses | ||||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | 1 | 6 | 14 | — | 21 | |||||||||||||||
| Other income and expenses, net | 85 | 11 | 56 | (50) | 102 | |||||||||||||||
| Total Other Income and Expenses | 86 | 17 | 70 | (50) | 123 | |||||||||||||||
| Interest Expense | 421 | 55 | 248 | (45) | 679 | |||||||||||||||
| Income (Loss) from Continuing Operations Before Income Taxes | 949 | 227 | (364) | 1 | 813 | |||||||||||||||
| Income Tax Expense (Benefit) from Continuing Operations | 130 | 36 | (121) | — | 45 | |||||||||||||||
| Income (Loss) from Continuing Operations | 819 | 191 | (243) | 1 | 768 | |||||||||||||||
| Less: Net Income Attributable to Noncontrolling Interest | 8 | — | — | — | 8 | |||||||||||||||
| Income from Continuing Operations Attributable to Duke Energy Corporation | 811 | 191 | (243) | 1 | 760 | |||||||||||||||
| Less: Preferred Dividends | — | — | 14 | — | 14 | |||||||||||||||
| Segment Income/Other Net Loss | $ | 811 | $ | 191 | $ | (257) | $ | 1 | $ | 746 | ||||||||||
| Discontinued Operations | (1,277) | |||||||||||||||||||
| Net Loss Available to Duke Energy Corporation Common Stockholders | $ | (531) | ||||||||||||||||||
| Segment Income/Other Net Loss | $ | 811 | $ | 191 | $ | (257) | $ | 1 | $ | 746 | ||||||||||
| Special Items | — | — | 124 | (1) | 123 | |||||||||||||||
Adjusted Earnings(a) | $ | 811 | $ | 191 | $ | (133) | $ | — | $ | 869 | ||||||||||
(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income/Other Net Loss to Adjusted Earnings.
19
DUKE ENERGY CORPORATION
CONSOLIDATING STATEMENTS OF OPERATIONS
(Unaudited)
| Year Ended December 31, 2022 | ||||||||||||||||||||
| (In millions) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other | Eliminations/Adjustments | Duke Energy | |||||||||||||||
| Operating Revenues | ||||||||||||||||||||
| Regulated electric | $ | 25,790 | $ | — | $ | 2 | $ | (33) | $ | 25,759 | ||||||||||
| Regulated natural gas | — | 2,816 | — | (92) | 2,724 | |||||||||||||||
| Nonregulated electric and other | 234 | 24 | 120 | (93) | 285 | |||||||||||||||
| Total operating revenues | 26,024 | 2,840 | 122 | (218) | 28,768 | |||||||||||||||
| Operating Expenses | ||||||||||||||||||||
| Fuel used in electric generation and purchased power | 8,862 | — | — | (80) | 8,782 | |||||||||||||||
| Cost of natural gas | — | 1,276 | — | — | 1,276 | |||||||||||||||
| Operation, maintenance and other | 5,354 | 532 | (23) | (129) | 5,734 | |||||||||||||||
| Depreciation and amortization | 4,550 | 327 | 236 | (27) | 5,086 | |||||||||||||||
| Property and other taxes | 1,315 | 138 | 13 | — | 1,466 | |||||||||||||||
| Impairment of assets and other charges | 199 | (12) | 72 | — | 259 | |||||||||||||||
| Total operating expenses | 20,280 | 2,261 | 298 | (236) | 22,603 | |||||||||||||||
| Gains on Sales of Other Assets and Other, net | 7 | 1 | 14 | — | 22 | |||||||||||||||
| Operating Income (Loss) | 5,751 | 580 | (162) | 18 | 6,187 | |||||||||||||||
| Other Income and Expenses | ||||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | 7 | 20 | 86 | — | 113 | |||||||||||||||
| Other income and expenses, net | 460 | 58 | (21) | (105) | 392 | |||||||||||||||
| Total Other Income and Expenses | 467 | 78 | 65 | (105) | 505 | |||||||||||||||
| Interest Expense | 1,565 | 182 | 778 | (86) | 2,439 | |||||||||||||||
| Income (Loss) from Continuing Operations Before Income Taxes | 4,653 | 476 | (875) | (1) | 4,253 | |||||||||||||||
| Income Tax Expense (Benefit) from Continuing Operations | 578 | 8 | (244) | — | 342 | |||||||||||||||
| Income (Loss) from Continuing Operations | 4,075 | 468 | (631) | (1) | 3,911 | |||||||||||||||
| Less: Net Income Attributable to Noncontrolling Interest | 27 | — | — | — | 27 | |||||||||||||||
| Income from Continuing Operations Attributable to Duke Energy Corporation | 4,048 | 468 | (631) | (1) | 3,884 | |||||||||||||||
| Less: Preferred Dividends | — | — | 106 | — | 106 | |||||||||||||||
| Segment Income/Other Net Loss | $ | 4,048 | $ | 468 | $ | (737) | $ | (1) | $ | 3,778 | ||||||||||
| Discontinued Operations | (1,215) | |||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 2,563 | ||||||||||||||||||
| Segment Income/Other Net Loss | $ | 4,048 | $ | 468 | $ | (737) | $ | (1) | $ | 3,778 | ||||||||||
| Special Items | 157 | — | 124 | 1 | 282 | |||||||||||||||
Adjusted Earnings(a) | $ | 4,205 | $ | 468 | $ | (613) | $ | — | $ | 4,060 | ||||||||||
(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income/Other Net Loss to Adjusted Earnings.
20
DUKE ENERGY CORPORATION
CONSOLIDATING STATEMENTS OF OPERATIONS
(Unaudited)
| Three Months Ended December 31, 2021 | ||||||||||||||||||||
| (In millions) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other | Eliminations/Adjustments | Duke Energy | |||||||||||||||
| Operating Revenues | ||||||||||||||||||||
| Regulated electric | $ | 5,418 | $ | — | $ | — | $ | (71) | $ | 5,347 | ||||||||||
| Regulated natural gas | — | 718 | — | (24) | 694 | |||||||||||||||
| Nonregulated electric and other | — | 3 | 31 | 42 | 76 | |||||||||||||||
| Total operating revenues | 5,418 | 721 | 31 | (53) | 6,117 | |||||||||||||||
| Operating Expenses | ||||||||||||||||||||
| Fuel used in electric generation and purchased power | 1,572 | — | — | (19) | 1,553 | |||||||||||||||
| Cost of natural gas | — | 275 | — | — | 275 | |||||||||||||||
| Operation, maintenance and other | 1,433 | 140 | 86 | (34) | 1,625 | |||||||||||||||
| Depreciation and amortization | 1,097 | 87 | 55 | (7) | 1,232 | |||||||||||||||
| Property and other taxes | 284 | 28 | (2) | — | 310 | |||||||||||||||
| Impairment of assets and other charges | 1 | 19 | (6) | — | 14 | |||||||||||||||
| Total operating expenses | 4,387 | 549 | 133 | (60) | 5,009 | |||||||||||||||
| Gains on Sales of Other Assets and Other, net | 2 | — | — | — | 2 | |||||||||||||||
| Operating Income (Loss) | 1,033 | 172 | (102) | 7 | 1,110 | |||||||||||||||
| Other Income and Expenses | ||||||||||||||||||||
| Equity in (losses) earnings of unconsolidated affiliates | (1) | 6 | 11 | — | 16 | |||||||||||||||
| Other income and expenses, net | 114 | 12 | 32 | (11) | 147 | |||||||||||||||
| Total Other Income and Expenses | 113 | 18 | 43 | (11) | 163 | |||||||||||||||
| Interest Expense | 366 | 37 | 173 | (4) | 572 | |||||||||||||||
| Income (Loss) from Continuing Operations Before Income Taxes | 780 | 153 | (232) | — | 701 | |||||||||||||||
| Income Tax Expense (Benefit) from Continuing Operations | 101 | 16 | (118) | 2 | 1 | |||||||||||||||
| Income (Loss) from Continuing Operations | 679 | 137 | (114) | (2) | 700 | |||||||||||||||
| Less: Net Income Attributable to Noncontrolling Interest | 9 | — | — | (1) | 8 | |||||||||||||||
| Income (Loss) from Continuing Operations Attributable to Duke Energy Corporation | 670 | 137 | (114) | (1) | 692 | |||||||||||||||
| Less: Preferred Dividends | — | — | 14 | — | 14 | |||||||||||||||
| Segment Income/Other Net Loss | $ | 670 | $ | 137 | $ | (128) | $ | (1) | $ | 678 | ||||||||||
| Discontinued Operations | 54 | |||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 732 | ||||||||||||||||||
| Segment Income/Other Net Loss | $ | 670 | $ | 137 | $ | (128) | $ | (1) | $ | 678 | ||||||||||
| Special Items | 5 | — | 6 | 1 | 12 | |||||||||||||||
Adjusted Earnings(a) | $ | 675 | $ | 137 | $ | (122) | $ | — | $ | 690 | ||||||||||
(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income/Other Net Loss to Adjusted Earnings.
21
DUKE ENERGY CORPORATION
CONSOLIDATING STATEMENTS OF OPERATIONS
(Unaudited)
| Year Ended December 31, 2021 | ||||||||||||||||||||
| (In millions) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other | Eliminations/Adjustments | Duke Energy | |||||||||||||||
| Operating Revenues | ||||||||||||||||||||
| Regulated electric | $ | 22,603 | $ | — | $ | — | $ | (284) | $ | 22,319 | ||||||||||
| Regulated natural gas | — | 2,099 | — | (91) | 2,008 | |||||||||||||||
| Nonregulated electric and other | — | 13 | 113 | 168 | 294 | |||||||||||||||
| Total operating revenues | 22,603 | 2,112 | 113 | (207) | 24,621 | |||||||||||||||
| Operating Expenses | ||||||||||||||||||||
| Fuel used in electric generation and purchased power | 6,332 | — | — | (77) | 6,255 | |||||||||||||||
| Cost of natural gas | — | 705 | — | — | 705 | |||||||||||||||
| Operation, maintenance and other | 5,340 | 442 | 41 | (120) | 5,703 | |||||||||||||||
| Depreciation and amortization | 4,251 | 303 | 236 | (28) | 4,762 | |||||||||||||||
| Property and other taxes | 1,233 | 120 | 2 | — | 1,355 | |||||||||||||||
| Impairment of assets and other charges | 204 | 19 | 130 | — | 353 | |||||||||||||||
| Total operating expenses | 17,360 | 1,589 | 409 | (225) | 19,133 | |||||||||||||||
| Gains (Losses) on Sales of Other Assets and Other, net | 13 | — | (1) | — | 12 | |||||||||||||||
| Operating Income (Loss) | 5,256 | 523 | (297) | 18 | 5,500 | |||||||||||||||
| Other Income and Expenses | ||||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | 7 | 8 | 47 | — | 62 | |||||||||||||||
| Other income and expenses, net | 527 | 62 | 78 | (31) | 636 | |||||||||||||||
| Total Other Income and Expenses | 534 | 70 | 125 | (31) | 698 | |||||||||||||||
| Interest Expense | 1,432 | 142 | 643 | (10) | 2,207 | |||||||||||||||
| Income (Loss) from Continuing Operations Before Income Taxes | 4,358 | 451 | (815) | (3) | 3,991 | |||||||||||||||
| Income Tax Expense (Benefit) from Continuing Operations | 494 | 55 | (281) | — | 268 | |||||||||||||||
| Income (Loss) from Continuing Operations | 3,864 | 396 | (534) | (3) | 3,723 | |||||||||||||||
| Less: Net Income Attributable to Noncontrolling Interest | 14 | — | 1 | — | 15 | |||||||||||||||
| Income (Loss) from Continuing Operations Attributable to Duke Energy Corporation | 3,850 | 396 | (535) | (3) | 3,708 | |||||||||||||||
| Less: Preferred Dividends | — | — | 106 | — | 106 | |||||||||||||||
| Segment Income/Other Net Loss | $ | 3,850 | $ | 396 | $ | (641) | $ | (3) | $ | 3,602 | ||||||||||
| Discontinued Operations | 200 | |||||||||||||||||||
| Net Income Available to Duke Energy Corporation Common Stockholders | $ | 3,802 | ||||||||||||||||||
| Segment Income/Other Net Loss | $ | 3,850 | $ | 396 | $ | (641) | $ | (3) | $ | 3,602 | ||||||||||
| Special Items | 69 | 15 | 148 | 3 | 235 | |||||||||||||||
Adjusted Earnings(a) | $ | 3,919 | $ | 411 | $ | (493) | $ | — | $ | 3,837 | ||||||||||
(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income/Other Net Loss to Adjusted Earnings.
22
DUKE ENERGY CORPORATION
CONSOLIDATING BALANCE SHEETS – ASSETS
(Unaudited)
| December 31, 2022 | ||||||||||||||||||||
| (In millions) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other(a) | Eliminations/ Adjustments | Duke Energy | |||||||||||||||
| Current Assets | ||||||||||||||||||||
| Cash and cash equivalents | $ | 180 | $ | 4 | $ | 225 | $ | — | $ | 409 | ||||||||||
| Receivables, net | 819 | 467 | 24 | (1) | 1,309 | |||||||||||||||
| Receivables of variable interest entities, net | 3,106 | — | — | — | 3,106 | |||||||||||||||
| Receivables from affiliated companies | 79 | 99 | 1,750 | (1,928) | — | |||||||||||||||
| Notes receivable from affiliated companies | — | — | 3,521 | (3,521) | — | |||||||||||||||
| Inventory | 3,364 | 185 | 35 | — | 3,584 | |||||||||||||||
| Regulatory assets | 3,204 | 172 | 109 | — | 3,485 | |||||||||||||||
| Assets held for sale | — | — | 262 | — | 262 | |||||||||||||||
| Other | 701 | 64 | 302 | — | 1,067 | |||||||||||||||
| Total current assets | 11,453 | 991 | 6,228 | (5,450) | 13,222 | |||||||||||||||
| Property, Plant and Equipment | ||||||||||||||||||||
| Cost | 145,975 | 15,264 | 2,691 | (91) | 163,839 | |||||||||||||||
| Accumulated depreciation and amortization | (47,472) | (3,119) | (1,508) | (1) | (52,100) | |||||||||||||||
| Facilities to be retired, net | — | 9 | — | — | 9 | |||||||||||||||
| Net property, plant and equipment | 98,503 | 12,154 | 1,183 | (92) | 111,748 | |||||||||||||||
| Other Noncurrent Assets | ||||||||||||||||||||
| Goodwill | 17,379 | 1,924 | — | — | 19,303 | |||||||||||||||
| Regulatory assets | 13,528 | 812 | 480 | — | 14,820 | |||||||||||||||
| Nuclear decommissioning trust funds | 8,637 | — | — | — | 8,637 | |||||||||||||||
| Operating lease right-of-use assets, net | 773 | 4 | 264 | 1 | 1,042 | |||||||||||||||
| Investments in equity method unconsolidated affiliates | 99 | 240 | 116 | — | 455 | |||||||||||||||
| Investment in consolidated subsidiaries | 615 | 7 | 68,835 | (69,457) | — | |||||||||||||||
| Assets held for sale | — | — | 5,634 | — | 5,634 | |||||||||||||||
| Other | 2,143 | 320 | 1,601 | (664) | 3,400 | |||||||||||||||
| Total other noncurrent assets | 43,174 | 3,307 | 76,930 | (70,120) | 53,291 | |||||||||||||||
| Total Assets | 153,130 | 16,452 | 84,341 | (75,662) | 178,261 | |||||||||||||||
| Segment reclassifications, intercompany balances and other | (851) | (41) | (74,770) | 75,662 | — | |||||||||||||||
| Segment Assets | $ | 152,279 | $ | 16,411 | $ | 9,571 | $ | — | $ | 178,261 | ||||||||||
(a) Includes amounts in held for sale accounts related to the Commercial Renewables Disposal Group.
23
DUKE ENERGY CORPORATION
CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY
(Unaudited)
| December 31, 2022 | ||||||||||||||||||||
| (In millions) | Electric Utilities and Infrastructure | Gas Utilities and Infrastructure | Other(a) | Eliminations/ Adjustments | Duke Energy | |||||||||||||||
| Current Liabilities | ||||||||||||||||||||
| Accounts payable | $ | 3,630 | $ | 470 | $ | 654 | $ | — | $ | 4,754 | ||||||||||
| Accounts payable to affiliated companies | 870 | 53 | 934 | (1,857) | — | |||||||||||||||
| Notes payable to affiliated companies | 2,920 | 690 | — | (3,610) | — | |||||||||||||||
| Notes payable and commercial paper | — | — | 3,952 | — | 3,952 | |||||||||||||||
| Taxes accrued | 709 | 125 | (113) | 1 | 722 | |||||||||||||||
| Interest accrued | 376 | 41 | 210 | (1) | 626 | |||||||||||||||
| Current maturities of long-term debt | 2,422 | 212 | 1,526 | (6) | 4,154 | |||||||||||||||
| Asset retirement obligations | 773 | — | — | — | 773 | |||||||||||||||
| Regulatory liabilities | 1,343 | 123 | — | — | 1,466 | |||||||||||||||
| Liabilities associated with assets held for sale | — | — | 259 | — | 259 | |||||||||||||||
| Other | 1,559 | 146 | 482 | (20) | 2,167 | |||||||||||||||
| Total current liabilities | 14,602 | 1,860 | 7,904 | (5,493) | 18,873 | |||||||||||||||
| Long-Term Debt | 40,012 | 3,874 | 23,262 | (87) | 67,061 | |||||||||||||||
| Long-Term Debt Payable to Affiliated Companies | 618 | 7 | — | (625) | — | |||||||||||||||
| Other Noncurrent Liabilities | ||||||||||||||||||||
| Deferred income taxes | 11,666 | 1,216 | (2,876) | — | 10,006 | |||||||||||||||
| Asset retirement obligations | 11,872 | 83 | — | — | 11,955 | |||||||||||||||
| Regulatory liabilities | 12,236 | 1,303 | 42 | 1 | 13,582 | |||||||||||||||
| Operating lease liabilities | 693 | 13 | 169 | 1 | 876 | |||||||||||||||
| Accrued pension and other post-retirement benefit costs | 313 | 30 | 489 | — | 832 | |||||||||||||||
| Investment tax credits | 848 | 1 | — | — | 849 | |||||||||||||||
| Liabilities associated with assets held for sale | — | — | 739 | — | 739 | |||||||||||||||
| Other | 791 | 268 | 633 | (190) | 1,502 | |||||||||||||||
| Total other noncurrent liabilities | 38,419 | 2,914 | (804) | (188) | 40,341 | |||||||||||||||
| Equity | ||||||||||||||||||||
| Total Duke Energy Corporation stockholders' equity | 58,544 | 7,790 | 52,375 | (69,268) | 49,441 | |||||||||||||||
| Noncontrolling interests | 935 | 7 | 1,604 | (1) | 2,545 | |||||||||||||||
| Total equity | 59,479 | 7,797 | 53,979 | (69,269) | 51,986 | |||||||||||||||
| Total Liabilities and Equity | 153,130 | 16,452 | 84,341 | (75,662) | 178,261 | |||||||||||||||
| Segment reclassifications, intercompany balances and other | (851) | (41) | (74,770) | 75,662 | — | |||||||||||||||
| Segment Liabilities and Equity | $ | 152,279 | $ | 16,411 | $ | 9,571 | $ | — | $ | 178,261 | ||||||||||
(a) Includes amounts in held for sale accounts related to the Commercial Renewables Disposal Group.
24
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONSOLIDATING SEGMENT INCOME
(Unaudited)
| Three Months Ended December 31, 2022 | |||||||||||||||||||||||
| (In millions) | Duke Energy Carolinas | Duke Energy Progress | Duke Energy Florida | Duke Energy Ohio(a) | Duke Energy Indiana | Eliminations/ Other | Electric Utilities and Infrastructure | ||||||||||||||||
| Operating Revenues | $ | 2,013 | $ | 1,571 | $ | 1,463 | $ | 478 | $ | 1,087 | $ | (164) | $ | 6,448 | |||||||||
| Operating Expenses | |||||||||||||||||||||||
| Fuel used in electric generation and purchased power | 592 | 576 | 575 | 218 | 585 | (165) | 2,381 | ||||||||||||||||
| Operation, maintenance and other | 443 | 354 | 237 | 81 | 171 | 57 | 1,343 | ||||||||||||||||
| Depreciation and amortization | 388 | 297 | 238 | 48 | 167 | 1 | 1,139 | ||||||||||||||||
| Property and other taxes | 82 | 54 | 86 | 74 | 15 | — | 311 | ||||||||||||||||
| Impairment of assets and other charges | (15) | 1 | — | — | — | (1) | (15) | ||||||||||||||||
| Total operating expenses | 1,490 | 1,282 | 1,136 | 421 | 938 | (108) | 5,159 | ||||||||||||||||
| Losses on Sales of Other Assets and Other, net | — | (1) | (3) | — | — | (1) | (5) | ||||||||||||||||
| Operating Income | 523 | 288 | 324 | 57 | 149 | (57) | 1,284 | ||||||||||||||||
Other Income and Expenses, net(b) | 50 | 32 | — | 2 | 10 | (8) | 86 | ||||||||||||||||
| Interest Expense | 142 | 94 | 104 | 20 | 51 | 10 | 421 | ||||||||||||||||
| Income Before Income Taxes | 431 | 226 | 220 | 39 | 108 | (75) | 949 | ||||||||||||||||
| Income Tax Expense | 58 | 34 | 48 | 2 | 19 | (31) | 130 | ||||||||||||||||
| Less: Net Income Attributable to Noncontrolling Interest | — | — | — | — | — | 8 | 8 | ||||||||||||||||
| Segment Income | $ | 373 | $ | 192 | $ | 172 | $ | 37 | $ | 89 | $ | (52) | $ | 811 | |||||||||
(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes an equity component of allowance for funds used during construction of $23 million for Duke Energy Carolinas, $15 million for Duke Energy Progress and $3 million for Duke Energy Florida.
25
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONSOLIDATING SEGMENT INCOME
(Unaudited)
| Year Ended December 31, 2022 | |||||||||||||||||||||||
| (In millions) | Duke Energy Carolinas | Duke Energy Progress | Duke Energy Florida | Duke Energy Ohio(a) | Duke Energy Indiana | Eliminations/ Other | Electric Utilities and Infrastructure | ||||||||||||||||
| Operating Revenues | $ | 7,857 | $ | 6,753 | $ | 6,353 | $ | 1,798 | $ | 3,922 | $ | (659) | $ | 26,024 | |||||||||
| Operating Expenses | |||||||||||||||||||||||
| Fuel used in electric generation and purchased power | 2,015 | 2,492 | 2,586 | 657 | 1,819 | (707) | 8,862 | ||||||||||||||||
| Operation, maintenance and other | 1,845 | 1,447 | 948 | 345 | 719 | 50 | 5,354 | ||||||||||||||||
| Depreciation and amortization | 1,526 | 1,187 | 955 | 221 | 645 | 16 | 4,550 | ||||||||||||||||
| Property and other taxes | 340 | 190 | 421 | 288 | 75 | 1 | 1,315 | ||||||||||||||||
| Impairment of assets and other charges | (18) | 5 | — | 1 | 211 | — | 199 | ||||||||||||||||
| Total operating expenses | 5,708 | 5,321 | 4,910 | 1,512 | 3,469 | (640) | 20,280 | ||||||||||||||||
| Gains on Sales of Other Assets and Other, net | 4 | 1 | 2 | — | — | — | 7 | ||||||||||||||||
| Operating Income | 2,153 | 1,433 | 1,445 | 286 | 453 | (19) | 5,751 | ||||||||||||||||
Other Income and Expenses, net(b) | 224 | 118 | 84 | 13 | 38 | (10) | 467 | ||||||||||||||||
| Interest Expense | 557 | 354 | 362 | 86 | 189 | 17 | 1,565 | ||||||||||||||||
| Income Before Income Taxes | 1,820 | 1,197 | 1,167 | 213 | 302 | (46) | 4,653 | ||||||||||||||||
| Income Tax Expense | 148 | 165 | 231 | 24 | 22 | (12) | 578 | ||||||||||||||||
| Less: Net Income Attributable to Noncontrolling Interest | — | — | — | — | — | 27 | $ | 27 | |||||||||||||||
Segment Income | $ | 1,672 | $ | 1,032 | $ | 936 | $ | 189 | $ | 280 | $ | (61) | $ | 4,048 | |||||||||
(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes an equity component of allowance for funds used during construction of $98 million for Duke Energy Carolinas, $52 million for Duke Energy Progress, $16 million for Duke Energy Florida, $4 million for Duke Energy Ohio and $13 million for Duke Energy Indiana.
26
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONSOLIDATING BALANCE SHEETS – ASSETS
(Unaudited)
| December 31, 2022 | |||||||||||||||||||||||
| (In millions) | Duke Energy Carolinas | Duke Energy Progress | Duke Energy Florida | Duke Energy Ohio(a) | Duke Energy Indiana | Eliminations/ Adjustments(b) | Electric Utilities and Infrastructure | ||||||||||||||||
| Current Assets | |||||||||||||||||||||||
| Cash and cash equivalents | $ | 44 | $ | 49 | $ | 45 | $ | 12 | $ | 31 | $ | (1) | $ | 180 | |||||||||
| Receivables, net | 338 | 167 | 148 | 42 | 112 | 12 | 819 | ||||||||||||||||
| Receivables of variable interest entities, net | 928 | 793 | 496 | — | — | 889 | 3,106 | ||||||||||||||||
| Receivables from affiliated companies | 390 | 25 | 2 | 228 | 298 | (864) | 79 | ||||||||||||||||
| Inventory | 1,164 | 1,006 | 573 | 132 | 489 | — | 3,364 | ||||||||||||||||
| Regulatory assets | 1,095 | 690 | 1,143 | 29 | 249 | (2) | 3,204 | ||||||||||||||||
| Other | 216 | 170 | 108 | 13 | 197 | (3) | 701 | ||||||||||||||||
| Total current assets | 4,175 | 2,900 | 2,515 | 456 | 1,376 | 31 | 11,453 | ||||||||||||||||
| Property, Plant and Equipment | |||||||||||||||||||||||
| Cost | 54,650 | 38,875 | 25,940 | 8,181 | 18,122 | 207 | 145,975 | ||||||||||||||||
| Accumulated depreciation and amortization | (18,669) | (14,201) | (6,377) | (2,212) | (6,022) | 9 | (47,472) | ||||||||||||||||
| Net property, plant and equipment | 35,981 | 24,674 | 19,563 | 5,969 | 12,100 | 216 | 98,503 | ||||||||||||||||
| Other Noncurrent Assets | |||||||||||||||||||||||
| Goodwill | — | — | — | 596 | — | 16,783 | 17,379 | ||||||||||||||||
| Regulatory assets | 4,293 | 4,724 | 2,422 | 281 | 1,050 | 758 | 13,528 | ||||||||||||||||
| Nuclear decommissioning trust funds | 4,783 | 3,430 | 424 | — | — | — | 8,637 | ||||||||||||||||
| Operating lease right-of-use assets, net | 78 | 370 | 258 | 18 | 49 | — | 773 | ||||||||||||||||
| Investments in equity method unconsolidated affiliates | — | — | 1 | — | — | 98 | 99 | ||||||||||||||||
| Investment in consolidated subsidiaries | 72 | 17 | 6 | 300 | 3 | 217 | 615 | ||||||||||||||||
| Other | 1,036 | 649 | 371 | 54 | 254 | (221) | 2,143 | ||||||||||||||||
| Total other noncurrent assets | 10,262 | 9,190 | 3,482 | 1,249 | 1,356 | 17,635 | 43,174 | ||||||||||||||||
| Total Assets | 50,418 | 36,764 | 25,560 | 7,674 | 14,832 | 17,882 | 153,130 | ||||||||||||||||
| Segment reclassifications, intercompany balances and other | (462) | (133) | (8) | (170) | 207 | (285) | (851) | ||||||||||||||||
| Reportable Segment Assets | $ | 49,956 | $ | 36,631 | $ | 25,552 | $ | 7,504 | $ | 15,039 | $ | 17,597 | $ | 152,279 | |||||||||
(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.
27
ELECTRIC UTILITIES AND INFRASTRUCTURE
CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY
(Unaudited)
| December 31, 2022 | |||||||||||||||||||||||
| (In millions) | Duke Energy Carolinas | Duke Energy Progress | Duke Energy Florida | Duke Energy Ohio(a) | Duke Energy Indiana | Eliminations/ Adjustments(b) | Electric Utilities and Infrastructure | ||||||||||||||||
| Current Liabilities | |||||||||||||||||||||||
| Accounts payable | $ | 1,472 | $ | 601 | $ | 880 | $ | 261 | $ | 391 | $ | 25 | $ | 3,630 | |||||||||
| Accounts payable to affiliated companies | 209 | 508 | 177 | 21 | 206 | (251) | 870 | ||||||||||||||||
| Notes payable to affiliated companies | 1,233 | 239 | 605 | 320 | 435 | 88 | 2,920 | ||||||||||||||||
| Taxes accrued | 247 | 77 | 57 | 249 | 94 | (15) | 709 | ||||||||||||||||
| Interest accrued | 120 | 101 | 80 | 27 | 48 | — | 376 | ||||||||||||||||
| Current maturities of long-term debt | 1,018 | 369 | 329 | 310 | 303 | 93 | 2,422 | ||||||||||||||||
| Asset retirement obligations | 261 | 288 | 1 | 17 | 206 | — | 773 | ||||||||||||||||
| Regulatory liabilities | 530 | 332 | 244 | 50 | 187 | — | 1,343 | ||||||||||||||||
| Other | 579 | 383 | 362 | 72 | 162 | 1 | 1,559 | ||||||||||||||||
| Total current liabilities | 5,669 | 2,898 | 2,735 | 1,327 | 2,032 | (59) | 14,602 | ||||||||||||||||
| Long-Term Debt | 12,948 | 10,568 | 9,381 | 2,339 | 3,854 | 922 | 40,012 | ||||||||||||||||
| Long-Term Debt Payable to Affiliated Companies | 300 | 150 | — | 18 | 150 | — | 618 | ||||||||||||||||
| Other Noncurrent Liabilities | |||||||||||||||||||||||
| Deferred income taxes | 4,206 | 2,488 | 2,791 | 799 | 1,341 | 41 | 11,666 | ||||||||||||||||
| Asset retirement obligations | 5,121 | 5,535 | 357 | 80 | 744 | 35 | 11,872 | ||||||||||||||||
| Regulatory liabilities | 5,783 | 4,120 | 633 | 268 | 1,454 | (22) | 12,236 | ||||||||||||||||
| Operating lease liabilities | 83 | 335 | 211 | 17 | 47 | — | 693 | ||||||||||||||||
| Accrued pension and other post-retirement benefit costs | 38 | 160 | 111 | 67 | 122 | (185) | 313 | ||||||||||||||||
| Investment tax credits | 300 | 124 | 234 | 3 | 186 | 1 | 848 | ||||||||||||||||
| Other | 528 | 77 | 84 | 53 | 66 | (17) | 791 | ||||||||||||||||
| Total other noncurrent liabilities | 16,059 | 12,839 | 4,421 | 1,287 | 3,960 | (147) | 38,419 | ||||||||||||||||
| Equity | |||||||||||||||||||||||
| Total Duke Energy Corporation stockholders' equity | 15,442 | 10,309 | 9,023 | 2,703 | 4,836 | 16,231 | 58,544 | ||||||||||||||||
Noncontrolling interests(c) | — | — | — | — | — | 935 | 935 | ||||||||||||||||
| Equity | 15,442 | 10,309 | 9,023 | 2,703 | 4,836 | 17,166 | 59,479 | ||||||||||||||||
| Total Liabilities and Equity | 50,418 | 36,764 | 25,560 | 7,674 | 14,832 | 17,882 | 153,130 | ||||||||||||||||
| Segment reclassifications, intercompany balances and other | (462) | (133) | (8) | (170) | 207 | (285) | (851) | ||||||||||||||||
| Reportable Segment Liabilities and Equity | $ | 49,956 | $ | 36,631 | $ | 25,552 | $ | 7,504 | $ | 15,039 | $ | 17,597 | $ | 152,279 | |||||||||
(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.
28
GAS UTILITIES AND INFRASTRUCTURE
CONSOLIDATING SEGMENT INCOME
(Unaudited)
| Three Months Ended December 31, 2022 | |||||||||||||||||
| (In millions) | Duke Energy Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage(b) | Eliminations/ Adjustments | Gas Utilities and Infrastructure | ||||||||||||
| Operating Revenues | $ | 225 | $ | 703 | $ | — | $ | — | $ | 928 | |||||||
| Operating Expenses | |||||||||||||||||
| Cost of natural gas | 87 | 330 | — | — | 417 | ||||||||||||
| Operation, maintenance and other | 30 | 93 | 1 | (2) | 122 | ||||||||||||
| Depreciation and amortization | 29 | 56 | — | 1 | 86 | ||||||||||||
| Property and other taxes | 23 | 13 | — | (1) | 35 | ||||||||||||
| Impairment of assets and other charges | — | (1) | — | 1 | — | ||||||||||||
| Total operating expenses | 169 | 491 | 1 | (1) | 660 | ||||||||||||
| Gains (Losses) on Sales of Other Assets and Other, net | 1 | (4) | — | — | (3) | ||||||||||||
| Operating Income (Loss) | 57 | 208 | (1) | 1 | 265 | ||||||||||||
| Other Income and Expenses | |||||||||||||||||
| Equity in earnings of unconsolidated affiliates | — | — | 6 | — | 6 | ||||||||||||
| Other income and expenses, net | 2 | 11 | (1) | (1) | 11 | ||||||||||||
| Total other income and expenses | 2 | 11 | 5 | (1) | 17 | ||||||||||||
| Interest Expense | 18 | 38 | (1) | — | 55 | ||||||||||||
| Income Before Income Taxes | 41 | 181 | 5 | — | 227 | ||||||||||||
| Income Tax Expense | 7 | 25 | 2 | 2 | 36 | ||||||||||||
| Segment Income | $ | 34 | $ | 156 | $ | 3 | $ | (2) | $ | 191 | |||||||
(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.
29
GAS UTILITIES AND INFRASTRUCTURE
CONSOLIDATING SEGMENT INCOME
(Unaudited)
| Year Ended December 31, 2022 | |||||||||||||||||
| (In millions) | Duke Energy Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage(b) | Eliminations/ Adjustments | Gas Utilities and Infrastructure | ||||||||||||
| Operating Revenues | $ | 716 | $ | 2,124 | $ | — | $ | — | $ | 2,840 | |||||||
| Operating Expenses | |||||||||||||||||
| Cost of natural gas | 261 | 1,015 | — | — | 1,276 | ||||||||||||
| Operation, maintenance and other | 170 | 360 | 4 | (2) | 532 | ||||||||||||
| Depreciation and amortization | 103 | 222 | — | 2 | 327 | ||||||||||||
| Property and other taxes | 81 | 57 | — | — | 138 | ||||||||||||
| Impairment of assets and other charges | (12) | — | — | — | (12) | ||||||||||||
| Total operating expenses | 603 | 1,654 | 4 | — | 2,261 | ||||||||||||
| Gains on Sales of Other Assets and Other, net | 1 | — | — | — | 1 | ||||||||||||
| Operating Income (Loss) | 114 | 470 | (4) | — | 580 | ||||||||||||
| Other Income and Expenses | |||||||||||||||||
| Equity in losses of unconsolidated affiliates | — | — | 20 | — | 20 | ||||||||||||
| Other income and expenses, net | 7 | 47 | 5 | (1) | 58 | ||||||||||||
| Total other income and expenses | 7 | 47 | 25 | (1) | 78 | ||||||||||||
| Interest Expense | 43 | 140 | (1) | — | 182 | ||||||||||||
| Income Before Income Taxes | 78 | 377 | 22 | (1) | 476 | ||||||||||||
| Income Tax (Benefit) Expense | (43) | 43 | 7 | 1 | 8 | ||||||||||||
| Segment Income | $ | 121 | $ | 334 | $ | 15 | $ | (2) | $ | 468 | |||||||
(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 and losses from the cancellation of the ACP pipeline.
30
GAS UTILITIES AND INFRASTRUCTURE
CONSOLIDATING BALANCE SHEETS – ASSETS
(Unaudited)
| December 31, 2022 | |||||||||||||||||
| (In millions) | Duke Energy Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage | Eliminations/ Adjustments(b) | Gas Utilities and Infrastructure | ||||||||||||
| Current Assets | |||||||||||||||||
| Cash and cash equivalents | $ | 4 | $ | — | $ | — | $ | — | $ | 4 | |||||||
| Receivables, net | 31 | 436 | — | — | 467 | ||||||||||||
| Receivables from affiliated companies | 13 | 82 | 81 | (77) | 99 | ||||||||||||
| Inventory | 12 | 172 | — | 1 | 185 | ||||||||||||
| Regulatory assets | 53 | 119 | — | — | 172 | ||||||||||||
| Other | 58 | 4 | 4 | (2) | 64 | ||||||||||||
| Total current assets | 171 | 813 | 85 | (78) | 991 | ||||||||||||
| Property, Plant and Equipment | |||||||||||||||||
| Cost | 4,316 | 10,868 | 79 | 1 | 15,264 | ||||||||||||
| Accumulated depreciation and amortization | (1,038) | (2,080) | — | (1) | (3,119) | ||||||||||||
| Facilities to be retired, net | — | 9 | — | — | 9 | ||||||||||||
| Net property, plant and equipment | 3,278 | 8,797 | 79 | — | 12,154 | ||||||||||||
| Other Noncurrent Assets | |||||||||||||||||
| Goodwill | 324 | 49 | — | 1,551 | 1,924 | ||||||||||||
| Regulatory assets | 322 | 392 | — | 98 | 812 | ||||||||||||
| Operating lease right-of-use assets, net | — | 4 | — | — | 4 | ||||||||||||
| Investments in equity method unconsolidated affiliates | — | — | 235 | 5 | 240 | ||||||||||||
| Investment in consolidated subsidiaries | — | — | — | 7 | 7 | ||||||||||||
| Other | 17 | 271 | 31 | 1 | 320 | ||||||||||||
| Total other noncurrent assets | 663 | 716 | 266 | 1,662 | 3,307 | ||||||||||||
| Total Assets | 4,112 | 10,326 | 430 | 1,584 | 16,452 | ||||||||||||
| Segment reclassifications, intercompany balances and other | 52 | (83) | (81) | 71 | (41) | ||||||||||||
| Reportable Segment Assets | $ | 4,164 | $ | 10,243 | $ | 349 | $ | 1,655 | $ | 16,411 | |||||||
(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes the elimination of intercompany balances and purchase accounting adjustments.
31
GAS UTILITIES AND INFRASTRUCTURE
CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY
(Unaudited)
| December 31, 2022 | |||||||||||||||||
| (In millions) | Duke Energy Ohio(a) | Piedmont Natural Gas LDC | Midstream Pipelines and Storage | Eliminations/ Adjustments(b) | Gas Utilities and Infrastructure | ||||||||||||
| Current Liabilities | |||||||||||||||||
| Accounts payable | $ | 117 | $ | 345 | $ | 8 | $ | — | $ | 470 | |||||||
| Accounts payable to affiliated companies | 15 | 77 | 39 | (78) | 53 | ||||||||||||
| Notes payable to affiliated companies | 177 | 514 | — | (1) | 690 | ||||||||||||
| Taxes accrued | 58 | 74 | (7) | — | 125 | ||||||||||||
| Interest accrued | 2 | 40 | — | (1) | 41 | ||||||||||||
| Current maturities of long-term debt | 165 | 45 | — | 2 | 212 | ||||||||||||
| Regulatory liabilities | 50 | 74 | — | (1) | 123 | ||||||||||||
| Other | 2 | 81 | 60 | 3 | 146 | ||||||||||||
| Total current liabilities | 586 | 1,250 | 100 | (76) | 1,860 | ||||||||||||
| Long-Term Debt | 406 | 3,318 | 67 | 83 | 3,874 | ||||||||||||
| Long-Term Debt Payable to Affiliated Companies | 7 | — | — | — | 7 | ||||||||||||
| Other Noncurrent Liabilities | |||||||||||||||||
| Deferred income taxes | 339 | 856 | 19 | 2 | 1,216 | ||||||||||||
| Asset retirement obligations | 57 | 27 | — | (1) | 83 | ||||||||||||
| Regulatory liabilities | 266 | 1,024 | — | 13 | 1,303 | ||||||||||||
| Operating lease liabilities | — | 13 | — | — | 13 | ||||||||||||
| Accrued pension and other post-retirement benefit costs | 23 | 7 | — | — | 30 | ||||||||||||
| Investment tax credits | — | 1 | — | — | 1 | ||||||||||||
| Other | 43 | 178 | 47 | — | 268 | ||||||||||||
| Total other noncurrent liabilities | 728 | 2,106 | 66 | 14 | 2,914 | ||||||||||||
| Equity | |||||||||||||||||
| Total Duke Energy Corporation stockholders' equity | 2,385 | 3,652 | 190 | 1,563 | 7,790 | ||||||||||||
| Noncontrolling interests | — | — | 7 | — | 7 | ||||||||||||
| Equity | 2,385 | 3,652 | 197 | 1,563 | 7,797 | ||||||||||||
| Total Liabilities and Equity | 4,112 | 10,326 | 430 | 1,584 | 16,452 | ||||||||||||
| Segment reclassifications, intercompany balances and other | 52 | (83) | (81) | 71 | (41) | ||||||||||||
| Reportable Segment Liabilities and Equity | $ | 4,164 | $ | 10,243 | $ | 349 | $ | 1,655 | $ | 16,411 | |||||||
(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.
(b) Includes the elimination of intercompany balances and purchase accounting adjustments.
32
| Electric Utilities and Infrastructure | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | |||||||||||||||||||||||||||||||||||||||||||
Gigawatt-hour (GWh) Sales(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 18,686 | 19,337 | (3.4 | %) | 1.8 | % | 87,671 | 87,452 | 0.3 | % | 2.1 | % | ||||||||||||||||||||||||||||||||||||||
| General Service | 18,250 | 17,615 | 3.6 | % | 4.9 | % | 77,259 | 74,571 | 3.6 | % | 3.5 | % | ||||||||||||||||||||||||||||||||||||||
| Industrial | 11,436 | 11,203 | 2.1 | % | 2.3 | % | 49,180 | 48,639 | 1.1 | % | 1.7 | % | ||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 130 | 133 | (2.3 | %) | n/a | 558 | 552 | 1.1 | % | n/a | ||||||||||||||||||||||||||||||||||||||||
| Unbilled Sales | 2,426 | 337 | 619.9 | % | n/a | 3,606 | (339) | 1,163.7 | % | n/a | ||||||||||||||||||||||||||||||||||||||||
| Total Retail Sales | 50,928 | 48,625 | 4.7 | % | 2.9 | % | 218,274 | 210,875 | 3.5 | % | 2.5 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 10,307 | 9,798 | 5.2 | % | 45,538 | 41,657 | 9.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Consolidated Electric Sales – Electric Utilities and Infrastructure | 61,235 | 58,423 | 4.8 | % | 263,812 | 252,532 | 4.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Average Number of Customers (Electric) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 7,166,766 | 7,043,459 | 1.8 | % | 7,121,050 | 6,996,634 | 1.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 1,036,798 | 1,029,341 | 0.7 | % | 1,035,271 | 1,023,812 | 1.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 16,320 | 16,415 | (0.6 | %) | 16,336 | 16,446 | (0.7 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 24,277 | 24,419 | (0.6 | %) | 24,360 | 24,328 | 0.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Customers | 8,244,161 | 8,113,634 | 1.6 | % | 8,197,017 | 8,061,220 | 1.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 45 | 41 | 9.8 | % | 40 | 38 | 5.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Average Number of Customers – Electric Utilities and Infrastructure | 8,244,206 | 8,113,675 | 1.6 | % | 8,197,057 | 8,061,258 | 1.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Sources of Electric Energy (GWh) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Generated – Net Output(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Coal | 8,920 | 6,646 | 34.2 | % | 38,295 | 46,173 | (17.1 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Nuclear | 17,674 | 18,696 | (5.5 | %) | 73,109 | 75,328 | (2.9 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Hydro | 415 | 338 | 22.8 | % | 1,856 | 2,338 | (20.6 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Natural Gas and Oil | 22,340 | 20,418 | 9.4 | % | 93,649 | 80,666 | 16.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Renewable Energy | 507 | 351 | 44.4 | % | 2,347 | 1,532 | 53.2 | % | ||||||||||||||||||||||||||||||||||||||||||
Total Generation(d) | 49,856 | 46,449 | 7.3 | % | 209,256 | 206,037 | 1.6 | % | ||||||||||||||||||||||||||||||||||||||||||
Purchased Power and Net Interchange(e) | 14,409 | 15,589 | (7.6 | %) | 66,587 | 61,147 | 8.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Sources of Energy | 64,265 | 62,038 | 3.6 | % | 275,843 | 267,184 | 3.2 | % | ||||||||||||||||||||||||||||||||||||||||||
| Less: Line Loss and Other | 3,030 | 3,615 | (16.2 | %) | 12,031 | 14,652 | (17.9 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total GWh Sources | 61,235 | 58,423 | 4.8 | % | 263,812 | 252,532 | 4.5 | % | ||||||||||||||||||||||||||||||||||||||||||
Owned Megawatt (MW) Capacity(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Summer | 49,866 | 50,260 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Winter | 53,034 | 53,625 | ||||||||||||||||||||||||||||||||||||||||||||||||
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.
33
| Duke Energy Carolinas | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | |||||||||||||||||||||||||||||||||||||||||||
GWh Sales(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 6,269 | 6,284 | (0.2 | %) | 29,377 | 29,244 | 0.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 6,881 | 6,899 | (0.3 | %) | 29,531 | 28,395 | 4.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 4,942 | 5,153 | (4.1 | %) | 20,811 | 20,611 | 1.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 70 | 72 | (2.8 | %) | 296 | 300 | (1.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Unbilled Sales | 981 | (75) | 1,408.0 | % | 1,263 | (160) | 889.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Sales | 19,143 | 18,333 | 4.4 | % | 2.0 | % | 81,278 | 78,390 | 3.7 | % | 2.2 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 2,647 | 2,106 | 25.7 | % | 9,637 | 9,406 | 2.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Consolidated Electric Sales – Duke Energy Carolinas | 21,790 | 20,439 | 6.6 | % | 90,915 | 87,796 | 3.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Average Number of Customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 2,395,446 | 2,351,455 | 1.9 | % | 2,378,411 | 2,332,625 | 2.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 400,478 | 398,478 | 0.5 | % | 400,091 | 396,997 | 0.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 6,101 | 6,046 | 0.9 | % | 6,066 | 6,058 | 0.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 11,232 | 11,269 | (0.3 | %) | 11,238 | 11,289 | (0.5 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Customers | 2,813,257 | 2,767,248 | 1.7 | % | 2,795,806 | 2,746,969 | 1.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 20 | 19 | 5.3 | % | 17 | 19 | (10.5 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Average Number of Customers – Duke Energy Carolinas | 2,813,277 | 2,767,267 | 1.7 | % | 2,795,823 | 2,746,988 | 1.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Sources of Electric Energy (GWh) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Generated – Net Output(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Coal | 1,959 | 3,046 | (35.7 | %) | 8,025 | 15,825 | (49.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Nuclear | 11,282 | 10,912 | 3.4 | % | 44,225 | 45,446 | (2.7 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Hydro | 243 | 159 | 52.8 | % | 999 | 1,340 | (25.4 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Natural Gas and Oil | 7,112 | 5,009 | 42.0 | % | 28,563 | 19,975 | 43.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| Renewable Energy | 103 | 70 | 47.1 | % | 492 | 315 | 56.2 | % | ||||||||||||||||||||||||||||||||||||||||||
Total Generation(d) | 20,699 | 19,196 | 7.8 | % | 82,304 | 82,901 | (0.7 | %) | ||||||||||||||||||||||||||||||||||||||||||
Purchased Power and Net Interchange(e) | 2,191 | 2,543 | (13.8 | %) | 12,628 | 9,709 | 30.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Sources of Energy | 22,890 | 21,739 | 5.3 | % | 94,932 | 92,610 | 2.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Less: Line Loss and Other | 1,100 | 1,300 | (15.4 | %) | 4,017 | 4,814 | (16.6 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total GWh Sources | 21,790 | 20,439 | 6.6 | % | 90,915 | 87,796 | 3.6 | % | ||||||||||||||||||||||||||||||||||||||||||
Owned MW Capacity(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Summer | 19,492 | 20,081 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Winter | 20,350 | 20,957 | ||||||||||||||||||||||||||||||||||||||||||||||||
Nuclear Capacity Factor (%)(f) | 95 | 96 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Heating and Cooling Degree Days | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Actual | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | 1,301 | 967 | 34.5 | % | 3,124 | 2,884 | 8.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | 21 | 79 | (73.4 | %) | 1,628 | 1,573 | 3.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Variance from Normal | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | 5.1 | % | (21.7 | %) | (1.8 | %) | (9.2 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | (50.9 | %) | 87.9 | % | 4.3 | % | 0.7 | % | ||||||||||||||||||||||||||||||||||||||||||
(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.
34
| Duke Energy Progress | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | |||||||||||||||||||||||||||||||||||||||||||
GWh Sales(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 3,891 | 4,044 | (3.8 | %) | 18,499 | 18,645 | (0.8 | %) | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 3,662 | 2,933 | 24.9 | % | 15,332 | 14,256 | 7.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 2,466 | 1,549 | 59.2 | % | 11,037 | 9,343 | 18.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 21 | 16 | 31.3 | % | 89 | 74 | 20.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Unbilled Sales | 401 | 1,131 | (64.5 | %) | (106) | 933 | (111 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Sales | 10,441 | 9,673 | 7.9 | % | 4.5 | % | 44,851 | 43,251 | 3.7 | % | 2.3 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 5,502 | 5,569 | (1.2 | %) | 25,584 | 23,546 | 8.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Consolidated Electric Sales – Duke Energy Progress | 15,943 | 15,242 | 4.6 | % | 70,435 | 66,797 | 5.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Average Number of Customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 1,444,585 | 1,418,470 | 1.8 | % | 1,434,751 | 1,408,491 | 1.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 248,511 | 245,673 | 1.2 | % | 247,962 | 243,324 | 1.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 3,322 | 3,338 | (0.5 | %) | 3,325 | 3,342 | (0.5 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 2,533 | 2,594 | (2.4 | %) | 2,552 | 2,597 | (1.7 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Customers | 1,698,951 | 1,670,075 | 1.7 | % | 1,688,590 | 1,657,754 | 1.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 8 | 8 | — | % | 8 | 8 | — | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Average Number of Customers – Duke Energy Progress | 1,698,959 | 1,670,083 | 1.7 | % | 1,688,598 | 1,657,762 | 1.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Sources of Electric Energy (GWh) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Generated – Net Output(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Coal | 1,139 | 445 | 156.0 | % | 6,513 | 5,928 | 9.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Nuclear | 6,392 | 7,784 | (17.9 | %) | 28,884 | 29,882 | (3.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Hydro | 83 | 91 | (8.8 | %) | 572 | 678 | (15.6 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Natural Gas and Oil | 6,273 | 5,720 | 9.7 | % | 24,587 | 22,897 | 7.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Renewable Energy | 46 | 55 | (16.4 | %) | 248 | 253 | (2.0 | %) | ||||||||||||||||||||||||||||||||||||||||||
Total Generation(d) | 13,933 | 14,095 | (1.1 | %) | 60,804 | 59,638 | 2.0 | % | ||||||||||||||||||||||||||||||||||||||||||
Purchased Power and Net Interchange(e) | 2,482 | 2,179 | 13.9 | % | 11,202 | 9,687 | 15.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Sources of Energy | 16,415 | 16,274 | 0.9 | % | 72,006 | 69,325 | 3.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Less: Line Loss and Other | 472 | 1,032 | (54.3 | %) | 1,571 | 2,528 | (37.9 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total GWh Sources | 15,943 | 15,242 | 4.6 | % | 70,435 | 66,797 | 5.4 | % | ||||||||||||||||||||||||||||||||||||||||||
Owned MW Capacity(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Summer | 12,464 | 12,469 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Winter | 13,605 | 13,609 | ||||||||||||||||||||||||||||||||||||||||||||||||
Nuclear Capacity Factor (%)(f) | 92 | 95 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Heating and Cooling Degree Days | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Actual | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | 1,061 | 855 | 24.1 | % | 2,676 | 2,604 | 2.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | 48 | 106 | (54.7 | %) | 1,911 | 1,785 | 7.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Variance from Normal | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | (4.6 | %) | (23.1 | %) | (7.2 | %) | (9.6 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | (22.8 | %) | 68.6 | % | 12.0 | % | 4.7 | % | ||||||||||||||||||||||||||||||||||||||||||
(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.
35
| Duke Energy Florida | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | |||||||||||||||||||||||||||||||||||||||||||
GWh Sales(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 4,663 | 4,977 | (6.3 | %) | 21,508 | 21,192 | 1.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 3,654 | 3,712 | (1.6 | %) | 15,463 | 14,943 | 3.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 797 | 745 | 7.0 | % | 3,508 | 3,292 | 6.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 8 | 7 | 14.3 | % | 33 | 24 | 37.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Unbilled Sales | 247 | (703) | 135.1 | % | 567 | (731) | 177.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Sales | 9,369 | 8,738 | 7.2 | % | 7.0 | % | 41,079 | 38,720 | 6.1 | % | 5.5 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 1,048 | 953 | 10.0 | % | 5,135 | 3,702 | 38.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Electric Sales – Duke Energy Florida | 10,417 | 9,691 | 7.5 | % | 46,214 | 42,422 | 8.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Average Number of Customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 1,730,814 | 1,701,486 | 1.7 | % | 1,719,905 | 1,689,516 | 1.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 208,018 | 206,513 | 0.7 | % | 207,543 | 205,286 | 1.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 1,839 | 1,932 | (4.8 | %) | 1,868 | 1,944 | (3.9 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 3,711 | 3,771 | (1.6 | %) | 3,737 | 3,779 | (1.1 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Customers | 1,944,382 | 1,913,702 | 1.6 | % | 1,933,053 | 1,900,525 | 1.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 12 | 10 | 20.0 | % | 10 | 7 | 42.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Average Number of Customers – Duke Energy Florida | 1,944,394 | 1,913,712 | 1.6 | % | 1,933,063 | 1,900,532 | 1.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Sources of Electric Energy (GWh) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Generated – Net Output(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Coal | 1,062 | 469 | 126.4 | % | 4,375 | 5,042 | (13.2 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Natural Gas and Oil | 8,233 | 8,733 | (5.7 | %) | 36,569 | 34,579 | 5.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Renewable Energy | 353 | 222 | 59.0 | % | 1,581 | 942 | 67.8 | % | ||||||||||||||||||||||||||||||||||||||||||
Total Generation(d) | 9,648 | 9,424 | 2.4 | % | 42,525 | 40,563 | 4.8 | % | ||||||||||||||||||||||||||||||||||||||||||
Purchased Power and Net Interchange(e) | 815 | 772 | 5.6 | % | 4,817 | 4,286 | 12.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Sources of Energy | 10,463 | 10,196 | 2.6 | % | 47,342 | 44,849 | 5.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Less: Line Loss and Other | 46 | 505 | (90.9 | %) | 1,128 | 2,427 | (53.5 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total GWh Sources | 10,417 | 9,691 | 7.5 | % | 46,214 | 42,422 | 8.9 | % | ||||||||||||||||||||||||||||||||||||||||||
Owned MW Capacity(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Summer | 10,488 | 10,288 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Winter | 11,134 | 11,114 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Heating and Cooling Degree Days | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Actual | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | 169 | 84 | 101.2 | % | 470 | 394 | 19.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | 544 | 584 | (6.8 | %) | 3,527 | 3,488 | 1.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Variance from Normal | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | (10.4 | %) | (55.4 | %) | — | % | (30.6 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | 11.1 | % | 20.3 | % | — | % | 8.6 | % | ||||||||||||||||||||||||||||||||||||||||||
(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.
36
| Duke Energy Ohio | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | |||||||||||||||||||||||||||||||||||||||||||
GWh Sales(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 1,897 | 1,987 | (4.5 | %) | 9,031 | 9,080 | (0.5 | %) | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 2,125 | 2,157 | (1.5 | %) | 8,813 | 8,998 | (2.1 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 1,333 | 1,357 | (1.8 | %) | 5,174 | 5,554 | (6.8 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 15 | 25 | (40.0 | %) | 80 | 104 | (23.1 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Unbilled Sales | 164 | (13) | 1,361.5 | % | 678 | (161) | 521.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Sales | 5,534 | 5,513 | 0.4 | % | (0.4 | %) | 23,776 | 23,575 | 0.9 | % | 0.5 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 100 | 30 | 233.3 | % | 493 | 554 | (11.0 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Electric Sales – Duke Energy Ohio | 5,634 | 5,543 | 1.6 | % | 24,269 | 24,129 | 0.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Average Number of Customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 820,302 | 807,707 | 1.6 | % | 816,187 | 805,256 | 1.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 74,541 | 74,172 | 0.5 | % | 74,551 | 73,941 | 0.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 2,397 | 2,434 | (1.5 | %) | 2,415 | 2,435 | (0.8 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 2,842 | 2,790 | 1.9 | % | 2,847 | 2,683 | 6.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Customers | 900,082 | 887,103 | 1.5 | % | 896,000 | 884,315 | 1.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 1 | 1 | — | % | 1 | 1 | — | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Average Number of Customers – Duke Energy Ohio | 900,083 | 887,104 | 1.5 | % | 896,001 | 884,316 | 1.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Sources of Electric Energy (GWh) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Generated – Net Output(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Coal | 516 | 13 | 3,869.2 | % | 2,778 | 2,543 | 9.2 | % | ||||||||||||||||||||||||||||||||||||||||||
| Natural Gas and Oil | 50 | 8 | 525.0 | % | 101 | 58 | 74.1 | % | ||||||||||||||||||||||||||||||||||||||||||
Total Generation(d) | 566 | 21 | 2,595.2 | % | 2,879 | 2,601 | 10.7 | % | ||||||||||||||||||||||||||||||||||||||||||
Purchased Power and Net Interchange(e) | 5,599 | 5,880 | (4.8 | %) | 23,722 | 23,797 | (0.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Sources of Energy | 6,165 | 5,901 | 4.5 | % | 26,601 | 26,398 | 0.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Less: Line Loss and Other | 531 | 358 | 48.3 | % | 2,332 | 2,269 | 2.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total GWh Sources | 5,634 | 5,543 | 1.6 | % | 24,269 | 24,129 | 0.6 | % | ||||||||||||||||||||||||||||||||||||||||||
Owned MW Capacity(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Summer | 1,076 | 1,076 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Winter | 1,164 | 1,164 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Heating and Cooling Degree Days | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Actual | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | 1,799 | 1,474 | 22.0 | % | 4,815 | 4,516 | 6.6 | % | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | 1 | 61 | (98.4 | %) | 1,234 | 1,276 | (3.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Variance from Normal | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | (1.2 | %) | (19.0 | %) | (1.3 | %) | (7.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | (92.5 | %) | 170.8 | % | 9.2 | % | 13.6 | % | ||||||||||||||||||||||||||||||||||||||||||
(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.
37
| Duke Energy Indiana | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Supplemental Electric Utilities and Infrastructure Information | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | 2022 | 2021 | % Inc.(Dec.) | % Inc. (Dec.) Weather Normal(b) | |||||||||||||||||||||||||||||||||||||||||||
GWh Sales(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 1,966 | 2,045 | (3.9 | %) | 9,256 | 9,291 | (0.4 | %) | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 1,928 | 1,914 | 0.7 | % | 8,120 | 7,979 | 1.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 1,898 | 2,399 | (20.9 | %) | 8,650 | 9,839 | (12.1 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 16 | 13 | 23.1 | % | 60 | 50 | 20.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| Unbilled Sales | 633 | (3) | 21,200.0 | % | 1,204 | (220) | (647.3 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Sales | 6,441 | 6,368 | 1.1 | % | 0.3 | % | 27,290 | 26,939 | 1.3 | % | 0.7 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 1,010 | 1,140 | (11.4 | %) | 4,689 | 4,449 | 5.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Electric Sales – Duke Energy Indiana | 7,451 | 7,508 | (0.8 | %) | 31,979 | 31,388 | 1.9 | % | ||||||||||||||||||||||||||||||||||||||||||
| Average Number of Customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Residential | 775,619 | 764,341 | 1.5 | % | 771,796 | 760,746 | 1.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| General Service | 105,250 | 104,505 | 0.7 | % | 105,124 | 104,264 | 0.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Industrial | 2,661 | 2,665 | (0.2 | %) | 2,662 | 2,667 | (0.2 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Other Energy Sales | 3,959 | 3,995 | (0.9 | %) | 3,986 | 3,980 | 0.2 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Retail Customers | 887,489 | 875,506 | 1.4 | % | 883,568 | 871,657 | 1.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Wholesale and Other | 4 | 3 | 33.3 | % | 4 | 3 | 33.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Average Number of Customers – Duke Energy Indiana | 887,493 | 875,509 | 1.4 | % | 883,572 | 871,660 | 1.4 | % | ||||||||||||||||||||||||||||||||||||||||||
| Sources of Electric Energy (GWh) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Generated – Net Output(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Coal | 4,244 | 2,673 | 58.8 | % | 16,604 | 16,835 | (1.4 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Hydro | 89 | 88 | 1.1 | % | 285 | 320 | (10.9 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Natural Gas and Oil | 672 | 948 | (29.1 | %) | 3,829 | 3,157 | 21.3 | % | ||||||||||||||||||||||||||||||||||||||||||
| Renewable Energy | 5 | 4 | 25.0 | % | 26 | 22 | 18.2 | % | ||||||||||||||||||||||||||||||||||||||||||
Total Generation(d) | 5,010 | 3,713 | 34.9 | % | 20,744 | 20,334 | 2.0 | % | ||||||||||||||||||||||||||||||||||||||||||
Purchased Power and Net Interchange(e) | 3,322 | 4,215 | (21.2 | %) | 14,218 | 13,668 | 4.0 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total Sources of Energy | 8,332 | 7,928 | 5.1 | % | 34,962 | 34,002 | 2.8 | % | ||||||||||||||||||||||||||||||||||||||||||
| Less: Line Loss and Other | 881 | 420 | 109.8 | % | 2,983 | 2,614 | 14.1 | % | ||||||||||||||||||||||||||||||||||||||||||
| Total GWh Sources | 7,451 | 7,508 | (0.8 | %) | 31,979 | 31,388 | 1.9 | % | ||||||||||||||||||||||||||||||||||||||||||
Owned MW Capacity(c) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Summer | 6,346 | 6,346 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Winter | 6,781 | 6,781 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Heating and Cooling Degree Days | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Actual | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | 1,945 | 1,639 | 18.7 | % | 5,310 | 4,930 | 7.7 | % | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | 1 | 46 | (97.8 | %) | 1,261 | 1,242 | 1.5 | % | ||||||||||||||||||||||||||||||||||||||||||
| Variance from Normal | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Heating Degree Days | (30.0 | %) | (16.0 | %) | 1.1 | % | (6.1 | %) | ||||||||||||||||||||||||||||||||||||||||||
| Cooling Degree Days | (94.2 | %) | 131.3 | % | 13.0 | % | 11.3 | % | ||||||||||||||||||||||||||||||||||||||||||
(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.
38
| Gas Utilities and Infrastructure | ||||||||||||||||||||||||||||||||||||||
| Quarterly Highlights | ||||||||||||||||||||||||||||||||||||||
| Year Ended December 2022 | ||||||||||||||||||||||||||||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||
| 2022 | 2021 | % Inc. (Dec.) | 2022 | 2021 | % Inc. (Dec.) | |||||||||||||||||||||||||||||||||
| Total Sales | ||||||||||||||||||||||||||||||||||||||
Piedmont Natural Gas Local Distribution Company (LDC) throughput (dekatherms)(a) | 164,172,437 | 152,549,106 | 7.6 | % | 628,035,471 | 542,759,891 | 15.7 | % | ||||||||||||||||||||||||||||||
| Duke Energy Midwest LDC throughput (Mcf) | 26,663,954 | 23,566,796 | 13.1 | % | 90,010,669 | 85,787,624 | 4.9 | % | ||||||||||||||||||||||||||||||
| Average Number of Customers – Piedmont Natural Gas | ||||||||||||||||||||||||||||||||||||||
| Residential | 1,041,646 | 1,025,958 | 1.5 | % | 1,039,038 | 1,023,675 | 1.5 | % | ||||||||||||||||||||||||||||||
| Commercial | 106,003 | 105,275 | 0.7 | % | 106,188 | 105,430 | 0.7 | % | ||||||||||||||||||||||||||||||
| Industrial | 952 | 958 | (0.6 | %) | 954 | 960 | (0.6 | %) | ||||||||||||||||||||||||||||||
| Power Generation | 19 | 19 | — | % | 19 | 19 | — | % | ||||||||||||||||||||||||||||||
| Total Average Number of Gas Customers – Piedmont Natural Gas | 1,148,620 | 1,132,210 | 1.4 | % | 1,146,199 | 1,130,084 | 1.4 | % | ||||||||||||||||||||||||||||||
| Average Number of Customers – Duke Energy Midwest | ||||||||||||||||||||||||||||||||||||||
| Residential | 518,104 | 513,825 | 0.8 | % | 515,669 | 512,106 | 0.7 | % | ||||||||||||||||||||||||||||||
| General Service | 35,151 | 34,925 | 0.6 | % | 34,611 | 34,717 | (0.3 | %) | ||||||||||||||||||||||||||||||
| Industrial | 1,660 | 1,629 | 1.9 | % | 1,578 | 1,631 | (3.2 | %) | ||||||||||||||||||||||||||||||
| Other | 116 | 126 | (7.9 | %) | 117 | 129 | (9.3 | %) | ||||||||||||||||||||||||||||||
| Total Average Number of Gas Customers – Duke Energy Midwest | 555,031 | 550,505 | 0.8 | % | 551,975 | 548,583 | 0.6 | % | ||||||||||||||||||||||||||||||
(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.
39