EXC - Earnings call transcript Q4 2024

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Operator

Hello, and welcome to Exelon's Fourth Quarter Earnings Call. My name is Michelle, and I will be your event specialist today. [Operator Instructions] Please note that today's webcast is being recorded. [Operator Instructions]

It is now my pleasure to turn today's program over to Andrew Plenge, Vice President of Investor Relations. yours. is floor The

Andrew Plenge

Chief remarks. and senior our everyone. questions available call. prepared XXXX are us Other they President call Michelle, Exelon's and Jeanne joining Financial today, team Chief Leading you answer are us to following today Officer. and Exelon's Butler, for Xth of Calvin be Officer; good you, your and Thank Jones, Exelon's morning, members for the Executive management Thank will quarter with earnings also

Today's our in financial Investor to website. to with material today's presentation, can Relations information forward-looking release also earnings that would contain Exelon's subject other risks along presentation statements and and release earnings associated are and of be uncertainties. like the found you We the remind section which

the statements X filings. risks on find presentation in can these cautionary our Slide or on SEC today's of You

references today's in and non-GAAP these earnings Reconciliations between presentation addition, and measures release. in earnings be In the GAAP other includes our adjusted presentation measures. appendix equivalent of can and to measures our operating nearest the found

turn It call now to Exelon's the CEO. pleasure my Butler, over to President and is Calvin

Calvin Butler

fly. Thank you, to our you out Philadelphia Company since company pleased of quarter Edison everyone. Andrew, merger morning, Commonwealth for Eagles entering closing for in us and another Electric year and earnings call, year Exelon. as a We're fourth successful XXXX, with We're have XXth good our the fly historic

customers, in service results That that our who's in most shows have some seen and plus it focus unlike be Samuel including the [ to the ComEd which the in XXXX. will a tremendous ahead. and and that company Not in all century continues origins the importantly, we're run more electricity commitment be during ] threats since industry The excellence the time. where their But reporting PECO Chicago, inspired accessible inspire to today, years through indelible customers. to of over to us commitment vision history, and made a amount Insull our change years and that shaped

of of of our of It excellent top year adjusted We and earnings utilities of X $X.XX midpoint with X $X.XX All operating benchmark another per a share year the company X T&D in utilities among X GAAP [ financial share, as and also Utilities was top another for performing excellent all earnings guidance. of performance. X. It achieved our performance. reliability, of top our it peer ranking XXXX for meeting quartile operating in Exelon reported was making straight the ] better per year pure or third of the

you path fact, when look at $X.XX. when in our we announcing QX XXXX XXXX of laid guidance our back was earnings the call, earnings separation midpoint the In out our

investors count time change the maintained the the ComEd high all of It company, customers, a managed employees, on policymakers we during think trajectory. rate that you that we are, that transitioning to and is deliver. generationally company inflation When separating is new has and who to our That Exelon think remarkable interest our to structure. rates,

On the year a closed we for out busy cases. regulatory successfully very front, rate

of to serve the X MISO the in such additional can discuss, discuss $XX as work are continue investment on the XX include development. years. centers powered coming artificial in will significant we'll focus Tranche opportunities support not our And participate our intelligence to expanding in and exciting that other ways an but transmission as by on this our serve These of very economic energy customers the our jurisdictions As strong data ensuring billion growth as $XX things puts foster Jeanne which will currently to that well, to are billion there X.X guidance further, transformation to years can us to the in potential ahead. customers require

that should a updated growth in Those steady the our customers some regions investment to the opportunities most X-year from why the other critical for continues of company expect plan the than that economy. U.S. any reflect you in illustrate serves more

to engine invest $XX from jurisdictions expect transmission. to economies. that investment attributable customer do more ensures than XXXX count our utilities Not that more than will a single XX,XXX on Most spending to more when the support stays local our resilient project XX% spend reliable, our increasingly and No now to in X% capital We access billion the that of growth, type ensures can This only of importantly, impact. XXXX than of that our And remain power of plan. billion do key economy investments be is billion from needs. ensure our and jurisdictions. jobs estimated good sourced multiply it to reliability, of really they of supplier power $X create with local plus $X.X not our only which

evidence X,XXX and of from we're development more Illinois. X% load the increased the is distribute XX our alone and estimated over that. high-density X% usage. comes grid jobs in projected seeing our to period, an load, companies investments year projects, to us other X.Xx the in creating over Northern in cost And over this allowing X-year load with growth over by The won pipeline billion of last capital of bringing ComEd major growth $XX in

maintaining To through balanced improving solid being manner, and we range. in earnings metrics a last returns of X% range, trajectory credit Exelon's commitment X% to to strategy, at on plan. with the with over and a by X% a expectation we in annualized equity ] fund XX% building to are continued our XXXX, growth credit strength an With expect of evidenced This these sheet week. or disciplined midpoint upgrade of sustaining S&P equity [ better on to growth balance the investments to the XX% funding financing the by rating that is

with increasing XX% our and have we to dividend per ratio our part as capital are communicated we're earnings policy. allocation share $X.XX we of in For initiating per operating XXXX, of keeping to $X.XX guidance $X.XX our the line share, payout

extensively Slide this results continued all in and communities top customers, line to of highlights all XXXX the last year. our service make our for time more stakeholders, that year, was boxes set laid we a of The it out up ways execution checking successful clear us X the which and

For our return we our into our a plan. this our the financing instance, to a we grid at approval with invested large ratings continue year. plan $X.X of awaiting portion as capital, to carrying S&P billion of and equity on significant base even within substantial ComEd gain our earned refiled We despite guidance rate see We agencies, X.X% on recovery X% executing executed of reductions that of upgrade and and investment-grade credit rate at headwinds. updated weather storm strong work

organization to dedicated our from Jeanne, into will in in growth dozens and initiatives a contributor year-over-year pursue topic remained Having focus that laser-focused cost, our beyond anchor XXXX, our O&M on return our more remains more of of my remarks. key As that cost. with $XXX our with top But million X.X%. support we priority managing to as customers affordability a I many policymakers. identified and this you'll hear team. savings closing continue of our engage to just sustainable It's we

commitment, [ the this with employees to job which that I on cover able no all the their XX,XXX safely our that keeping were and lights am starts the I And gas accomplish and I'll next so matter proud X, year, for thank ] on of circumstances. their flowing, slide. them

which particularly and it BGE an and outage also PECO mentioned, outage Award faced set for and quartile. was ] the decile ComEd at entire storms I and top frequency outstanding Midwest. As of unprecedented Pepco that XX was in another duration while for an also year, no This perspective, than region performance sees feat, in ReliabilityOne year ComEd tornadoes, and July that an top produced more Holdings receiving small from [ the in attained

Pepco a X translate side, This top our hard-working in also delivered year that PECO at achieved row all for XXXX, board BGE, have excellence real of gas to top On employees the operational is value. and the fourth where investments across our sustained performance the customer entirety decile the decile. Holdings

Importantly, rate. with achieved safety, strong with focus performance top the quartile a employees our on on year incident injury these results ending serious

many. incident is Now too safety any one

get procedures to tools improve. to and out observational So we our build

with Lastly, throughout seen in second Holdings customer third PECO and satisfaction the in ComEd remain with the levels and the quarter, Pepco the our scores and BGE consistent quartile. quartile first

the the colder that customer and onset we of our years experience. than a number With first of normal in of costs, winter higher aspect affordability critical remains supply a recognize energy

length waiving BGE the support suspending partnership in further our extending of and Holdings winter enhance in to communities. and Pepco nonpayment fees performance and are customer late at disconnections improve Pepco where February, including efforts the payment payment expanding they arrangements BGE To with in needed. months. are Holdings,

digital our energy continuing on access also focus to during conserve are tools to and empowering We to months. high strategies usage customers

actions took the we during similar Now pandemic.

count Our our our resilient measures on forward to look safe, which ensuring continuing to a grid, affordability to reliable, take while customers can economy. stakeholders our We needed collaborate critical when and to solution is to proactively us customers. our communities to with balance set expand for

financial our turn provide Jeanne details I'll updated recap our call XXXX and to plan. performance on now the long-term to Jeanne?

Jeanne Jones

year with XXXX cover everyone. fourth well, employees Thank PECO just our that including disclosures, today, key said, regulatory want say, full to and quarter all as our I Calvin, morning, Eagle I'll shout updates results, I'll and and financial But our guidance. fans Birds. you, good to and and out Go developments being

Starting on X. Slide

for a per growth Results range $X.XX of we the $X.XX on our at strong the As end guidance delivered Calvin top are noted, our financial share of result on range in XXXX. a X% midpoint per guidance year row, in and basis third non-GAAP earning a basis. and for off GAAP that share the results

earned Full we benefited in order April. For share rehearing Exelon $X.XX received non-GAAP on and the a from GAAP year quarter, basis. ComEd's per earnings

ensuring of We fourth prior in well Quarter-to-date higher Slides across XX. of XX can we regulatory and offset and we mild activity with another to winter year storm and on as also found while year-to-date weather accommodate manage outcomes significant the Appendix be range activity, the a drivers quarter. year costs could platform relative

Turning to outlook XXXX our for Slide X. on

our are to XXXX guidance in disclosures. midpoint relative range and in of of continued for of all across customers, $X.XX growth our XXXX operating initiating rates is further the jurisdictions, With $X.XX previous to line share. with guidance earnings estimated nearly effect We per our earnings investment new

EPS ahead year earnings look historical the than midpoint we expect full full the earnings we approximately year of XX% to at to higher patterns projected be quarter, for a first storm quarter. As and in the relative balance for our to contribution assumes the guidance effect, normal cold the conditions of anticipated start year, revenue and to of ComEd shaping costs This the accounts and new range. timing rates of weather

Turning X. to Slide

calendar regulatory cost several on XXXX, busy As a cases recovery that the reaching for final rate in provide resolution successfully Calvin supportive mentioned, we closed out key next years.

for Starting Ready with on Public On order Climate ROE a District's multiyear D.C. providing in incremental million X.X% advancing Commission November goals. Pathway interest the energy revenue the DC and the Service requirement XXXX, shared through plan, XX, $XXX.X a Pepco. issued supporting final Pepco's

order, the regulations from for the rate of learned forms alternative part and of process so evaluate plans experience the multiyear far to initiated As DC's a making. of the to learnings formalize with commission lessons adoption

forward are We a XXXX. the by of the which work participating for process looking due report final in the first to end phase in

revenue gas a Moving on joint in options cases for Public reliability settlement and The XX. to improve electric credit $XXX funding on increase approved XXXX, come requirement necessary December million in Pennsylvania for Utility XXXX have onetime in PECO's enable settlements rate providing and the to of the expect. approved customers gas electric Commission excluding million a revenue allow a to $XX level The requirement the enhance cleaner PECO. $XX and further million service energy of increase petition

rate the while Commerce recovery XX, grid us that approved providing for of an approved the investment $X in the of for approximate XXXX customers order. and requirement that safely a of XXXX, reliably and in to Last, on from CEJA. XXXX Relative rates refiled order effect, increase level provides final making goals of increases December Commission through progress ComEd's revenue XXXX were the December serve the will billion adjustments, allow plan inclusive Illinois plan on to

certain new of recovery of a [ independent of the approved in requirement XXX% ] such and with the to investment of revenue incurred and XXX% expenses storms recoverable as As reminder, categories allows investment the threshold. the business, construct for up prudently

generation our in planned and of electrification XXXX rate rate final these reliable support needs of to or through XX% With orders, allowing growing established close mechanisms our place promote expansion strategic has execution to the engagement XXXX, us focus base states. and to necessary in on

integrity There plant XX, Atlantic ACE case modernization Electric implementing gauging seeking distribution filed April filed the are $XXX.X subject third its Act. has City of Power November refund. upgrades base Master recover rates for including Jersey's pipeline rate work XX, pipe August on currently supporting Clean X the Pepco seeking reliability expectation cases in also open. rates New the million expectation rate investments, and Holdings and with to continued gas on increase quarter, to an and Delmarva XX, recovery interim to of refund. implementing rate LNG grid case base on improvement base requested Energy with Energy the upgrades its interim its to distribution subject Plan of management,

for we process remain open multiyear first Finally, as reconciliations in in in from rate and our case we Maryland lessons and our multiyear approach Pepco plan the close Maryland, filings to we learned Maryland. plans, engaged next BGE continue to out work

briefs For of investment plans set structure multiyear reliable on continue to support appropriate in stakeholder plans. December, to upon century address to specific ways multiyear to the increasing first at direct XXst while we the rate feedback offering our options for improve advocate a the needed final to grid,

approximately and We a Moving of provide plan our priorities. and planning of $X.X with to and and the X-year We our increase to through an spend approved outlook from years, recently X investments reflects the jurisdictional billion greater updated XXXX updates period, billion $XX cases prior align rate rate which Slide utility jurisdictions support XXXX. over next base billion CapEx total in to to XX. $X.X

where Of increase, supply transmission demand Increased underpin XX% in our high-density needs energy load generation load customers by is is billion see customers. the the capital. from support the structural increase and continued high-voltage Over projected interest we that to investment high-density to growth driven continues and transmission stack trends reliability attributable expanding in as investments the overall is and in incremental to $X [ ComEd, Such and of and resiliency data grid that over transformation our modernizing jurisdictions ] jurisdictions. other centers for commitments grow of at other well.

to capacity balance require an Serving investment other this growth to in our including X of also new and transmission the retirement needs the will Tri-County in One, address network. to our distribution largest investment continued expansion the transmission the year reliability Brandon relates projects. plant at the additional due in region. of the additional additional business supporting Shores across The low line coal the of platform,

XXXX, As at XXXX to service is a reminder, Tri-County while the Brandon into Shores and project the go expected points in go into various XXXX. service in will

remains we allocate consistent with plan the rate of our transmission XXXX As X growth to base years nearly to billion to $XX dated X.X% continue annualized relatively over projected projects, spend longer fairly over a next of from addition plan more XXXX.

than slide next rely secure ensure and more on ability ever investments making resilient the confident which economic feel and our to safe, As grid. energy shows, necessary the about our we can to their meet regions goals, continue a

opportunities platform an serve increasingly beyond stack it. changing more transmission our of for customers need and XX,XXX-plus largest on meet generation Exelon the our [ our to We The uniquely With proliferation capitalize volatile transmission one we positioned growing high-density see else, investment. the miles than you'll a are has on all of investors load, are and award-winning today. utilities anyone Slide to weather transmission and peers. unmatched ] As to point XX, ] in reliability, the [ existing clear among

$XX our which opportunity its the billion guidance This is in in to XX billion $XX X yet our the in we our within billion capital not over to years. but stages or pipeline, due in billion $XX.X estimate transmission investment to support $X next plan, of of and high-density includes planning earlier Beyond to design transmission our dates. new of estimated load, additional online footprint

which will This $X address tranche MISO ComEd ] supplemental optimistic in associated our PJM process. upside teams planning to of the result such are in least includes with [ billion regions, also work X.X, through territory as PJM's at spend investments other service between and we

be creates we states our work can ] ever for to than part meet generation, see bid of [ also ] to the need continue billion more of a to estimates involvement competitive the processes will a it those for and particularly of [ Our new goals. projects MISO $X opportunity their policy in out, ensure

Transmission interconnections matter are needed generated. or no where how to deliver that power to it's customers situated it's

development In the significant fact, likely require in achieving Illinois investment. and transmission ] CEJA's goals growing economic [ will

work aging need better continued security this infrastructure. the and in modernize and our to of for resilience ensure infrastructure All harden existing reliability lines complements critical investment

system found PJM communities invest in our run exceeding of XX execute XX the we over X/X to years X-year reliability, voltage X/X is lower It some of that with no opportunities well beyond transmission resiliency XXXX, plan. to utilities nearing XX its old, and customers shortage transmission need were there of while some to and clear our well is in serve years years. In and that are footprint the prioritizing With these positioned affordability. the country, best assets

XX. Slide to Moving

a Our operational value deliver to affordability, rate. encompasses to commitment dedication at customer ensuring below excellence we average above-average

next our to billion deploy a those ability over delivering X management years value possible the and the rigorous capital cost focus for benefit only is investments. with on of $XX Our of for customers

we and horizon to when them. committed in value, limited look growth which ways expense with team support we similarly approximately planning have to standard our delivering been $XXX O&M it This can even felt over last growing we expand jurisdictions a keep our million to continue an confident relative to the what focus over level And is a customers at saving inflation can our in annually would decade. culture institutionalized

focus operations. our structure standardize Through approximately executed taken in million to has resulted of have sustainable advantage energy opportunities on in with and we XXXX, we ensure raising to keep of can organizational delivery have line our value the we the we initiatives, and many provide sight customers. to this our to exclusive more for savings mentioned, As $XXX streamline bar

delivering opportunities, at XX% metrics it reliability Operating discipline unique maintaining while in above to best by our ] best metrics to also improved average XX% averages as identify since and our we helped of impactful the reliability performance identify Exelon to bill XX% distribution enhances cross-company XXXX. U.S. which have investments, makes below value the practices our project This rates. that [ has are are further the industry, One like Achieving below frontline average amongst employees. clear

X% XX. of capital billion projected base projecting to Slide ROEs earning Turning provided of transparency, compounded XX%, of XXXX annual we of growth With X% to $XX with assumptions along our have to rate earnings our midpoint growth driving guidance per XXXX Slide spend, are Maintaining X.X% X% earnings with growth expected to from we share. $X.XX in through XX. annual commitment Appendix on our associated

after year As XXXX you X% our each midpoint on track see or from to better X% to expect X% growth us to on of annualized within can X% XXXX, at the XXXX. deliver deliver to the rate keeping slide, to we range,

project target invest of to we lower grow retain approximate end an now customers. dividend the continue our dividend more our XX% as capital for earnings also efficiently We to with operating in payout long-term to our of more projected of the earnings,

For growth year. dividend out over XXXX, anticipate share, of we paying per last representing $X.XX a X.X%

core review of Maintaining expectations metrics strategy, year strong XX. S&P. thresholds with on and closed and our credit to continues Moody's our exceeding financing another and balance to downgrade conclude average a at sheet Slide sheet comfortably a with our XX% be we Finally, out will I of balance

from to week are up corporate takes an last BBB. to upgrade We BBB+ Exelon's from rating S&P which credit pleased receive

XX% reflective this reflect updated S&P rating. downgrade have revised threshold the to the of that with at is We of credit improvement, along higher our slides

our investment a balance our our and the by With plans of approaching and strong strategy to place, to balanced sheet. most end mechanisms metrics over funding next the commitment in anticipate maintaining established forecast, X our recovery X years demonstrating we XX%

over regulations plan for As regulations, final repairs allow a advocate that basis the that in though assumption incorporates an mitigates our points on of the plan. final not metrics the way If that the repairs. reminder, we incorporates language the will in minimum expect implemented a tax alternative consolidated impact, we'd average for continue approximately to for treasury XX corporate calculating increase the to cash our

funded From of perspective, internally billion capital of supported of $X amount at a billion modest $XX with generated the billion debt to financing the equity. billion of $XX cash $XX at holding utilities a balance expect with the plan we flow, debt company be and by the

Specifically, billion be $XXX per capital we our total to X-year needs equity, our million implying equity plan, over approximately will bringing the equity of expect funded XX% $X.X incremental with of year.

use holding receive senior been has designed at company. the securities income that financial place also Our of other to credit plan fixed of in accommodate our equity debt

or provide addition In of internal our XXXX. through rate means financial flexibility annualized these credit-supportive deliver ensuring the X% X% other to of building earnings we while at growth more additional better levers, range a efficient midpoint instruments to

the by laid for to customers the only but reiterating value we have now opportunity out in broader the confidence want I our but not plan and shareholders, to in our deliver close come. just decades our to not in we have

you. Thank to turn Calvin his closing remarks. for now back call the I'll

Calvin Butler

Exelon our focus and and unique Thank as partner stepping in you, I'll an a makes review before as reminding you XXXX jurisdictions what in our an back employer key Jeanne. areas investment. as

the in in and nation's when Rembrandt when has was our customers first foundation wires BGE, than that ago, the of the business delivers to energy was mentioned XX.X XXXX, I started now for creating gas when always today. of And years was more pipes it what the Exelon gas this million XX Baltimore company. network ultimately, formed been the our Peale It about streets I lit customers. lamp became incorporating As call, first

can to on equitable continue expect and to transition. energy you an focus us So balanced

magnitude we of save an seen period a decades, growth our we load already have able adequate of seeing serve first billions But about the opportunity have delivering load of for base time competitive which we're a limited been the markets Over have to load supply. approach growing customers annually to For our successfully. jurisdictions in energy to while to growth, supply. us think dollars requires compete differently

load as rapid meet can However, growth evolving cost it's need needs those effectively complementary also need we to other significant and that we we at and as customer solutions enhanced possible. approaches clear PJM PJM, as face

working at solutions stakeholders higher prices positions on priorities that energy face. we policymakers outlines that in or stakeholders with levels. Slide supply as Indeed, and our the some with to we actively federal, way. XX RTO work been the less supply consulting than actively they XX And the no and in with on are solutions state have jurisdictions bills We across impact our this appendix demand-side

as mention it's policies the clear complement answer meeting supply single are proactively as a Regardless, more that states to quickly participants that but cost There energy variety working support that and security demand-side and solutions collaboratively in policies markets, to solutions ensure of levels should of be effectively growth load solutions. enable that the not is are that and We're to across instead, involved committed pursuing anticipated, possible. merchant regulated is no necessary. to

an which our efficiency well with ENERGY keeping inflation. in meantime, excel. remain ways includes highly of and all This will support on in cost $XX areas award-winning in customer programs, other per we XXXX. size, estimated month we the on below in continue we skill cost It culture, saved to customers and which focused vigilance And the includes continued growth which have STAR affordability,

and totaled own X.X And low-income distributed money robust generation. from generate connect save processes an and efforts $XXX assistance, customers of gigawatts power opportunity to allowing million connect finally, to our which XXXX. energy to to customers in Third, resources, innovative our their tools

delivering case base this that of achieve we aligns product which we're to this all employee how fair safely. operating communities from develop can our count dollars. customer our engage to with customers In send drive invest only can equity our deploying X% in stakeholders right that into financial doing and better to or outcomes Dollars top consolidated These efforts will them, opportunity. right, a levels an our value rate their on execute plan, which $X.X return home support only increased year back that economic earn increase quartile of the us on flow at them which with will on billion them we to we on XX%

the $X.XX We earnings on the embedded. And $X.XX the maintain deliver our strong balance laid guidance and we and us being allowing of to we to at will out, a operating financing our to share grid goal plan that per lastly, always expect deserve. support customers of expect on with as sheet midpoint execute the

entire organization our These which are priorities in ensure to proposition our Slide and as on shareholders. the customers, XX, with North use working that we pillars for Stars line to of value employees value the Exelon is together create

in innumerable the top we quartile as see the received innovative employer whether ways the these reliability an are recognitions we choice. can or across industry it's of You consistent already lead areas, customers number the them many the of served, so provide award-winning and services we

the a are customers, manner alignment delivering it what does says. value company commitments against we policymakers in between And our that and our on reflects a by Consistently investments. that created strong financial our shareholders

yield around attractive of growth, long-term X%, return risk-adjusted extremely X% With to dividend to a growth X% investments of delivering we an offer XX%, annualized these translates and value. X% consistent to which

Michelle, questions. now we can it open for up

Operator

[Operator And Instructions] first our question Durgesh from Chopra Evercore. comes with

Durgesh Chopra

just couple of Go had Birds. questions. Listen, I a

in Maryland, more bit just little First, color a there.

How case lot filings? to [ ]. reconciliation your getting a you out decision? your that future one of around implications then questions going that. are financial what We're expecting of to And rate the is So impact

bit Maryland? color a more just you're as how maybe thinking to So about little

Calvin Butler

Yes, Durgesh. absolutely,

any if to Let and me take they or it, have then first Mike color I'll add. up also it to Jeanne offer

if have at forward process provided even and of been that you Let do shared I moving And look incurred. forward the we questioning we very have those come at very the effort. the is been me stakeholders that we And What's supporting believe we've there's costs prudent. evidence any were incurred what's were saying, others what think that be one and is don't clear all and that believe commission that costs decent a that pace. with evident

and collaborative a Now process the we're been But process it just play evidence done moving it forward being has out. and to date. very the in letting

to add Mike, anything there?

Michael Innocenzo

I gives well. us cost predictability offered firmly for we've shareholders would return solid customers, just lower believe say that our to helps for a we financial structure and that gives that a as good customers

Jeanne Jones

just Yes. And I'll Durgesh. add,

the probably On first takes half schedule of the procedural this us reconciliation, year.

first second in we or outcome quarter, So expect an quarter there. the

all issues, of prior X with We ] and mentioned, line that much testimony of prudent have reconciliations. first things reconciliations. structural that from first [ were staff initial As saw reconciliation And in Calvin we the reasonable rounds others proposals actual costs. was in

So forward. continue that to move

And I reiterating with Mike then highlighted rates but strong alignment have on state multiyear what is provided of we're that also in our think the distribution lessons said, just plans investing and our also while keeping from first policy perspective alignment we the what Calvin the what plans, and quartile. multiyear learned,

terms mechanism a So but rates good been it's keeping also delivering of the competitive. in distribution

now. [ plan ability to ability lock affordability, about have If not the long-term are when I And ability of Maryland, rising similar think of to that you to important forward-looking a the historic in unique there's ] a the contracts the less rate value effective is flexible inflation. on growth in you And of a to delivering multiyear O&M creating that. the but years, said And control. mechanism. as right to company to X/X on that's lot them of think We about about X% sharing plan, are being the test think use like think more type timeframe, allows like align customers, honestly plans I jurisdictions ahead the that your X.X% to you a for X-year is deliver piece period what so be work cost and or workforce, some Exelon

think of we we highlight is lot these continue to types provide that a mechanisms So which and of learned. benefits, what lessons

We also of of expect would forward moving rate for year, lessons this in the to be first we the learned completed have next clarity our and that filing. then kind half

Durgesh Chopra

XX Are us your the to are as just look discussions on a first the with there soon what [ the the any We'll helpful. very Then just what and in thoughts? update those XXX for That's of February XXth, half. stakeholders data approaching? also ], expect with FERC lot data gears, switching focus latest maybe points

Calvin Butler

I Absolutely. us. like who would Colette, Officer, Legal here that? Colette into is have lean Chief our you Honorable, to with

Colette Honorable

and you you, the Thank for thank question.

a find continue your a for may still work you talk of investors. including point, are and to And we stakeholders, decision. we PJM with that to aware, our customers for to As number well awaiting solutions be forward-looking

a a awaiting docket, are hope XXX we decision good We get to in result. and the

our bringing been adequacy our on to a have energy appreciate governors. around security PJM and the leadership leaning that appreciate proposals and from from a been in forefront. the these way We leader We issues the has number states, We reforms. and issues resource with of

word to service X received ensure which very docket And generators, edification, as We were supportive to mention more in was really in That's relating surplus from easier of ER existing add objects helps interconnection to the XX-XXX, are well. And efforts, that we sure that a the FERC generation projects. shovel-ready moving to of approved one one docket if for shovel-ready it's XX-XXX, ER for might forefront. reform. making sites of that I to that your approvals then reform that really are

So ] customers continuing with to us. and work same lean to These being in We're to the a time, the at are stakeholders. hopeful we continue result engage here. helpful about going lead in protecting XXX [ positive ] FERC are also, [ we're and seeing the are

with creates As unprecedented you low needs Calvin unprecedented and heard growth from and that Jeanne opportunity.

in involved [ all the work focuses protecting that So of investors. security meets affordability we'll while way and of with energy customers, our needs interest to a the on continue ]

Operator

question from next with Campanella comes our Nicholas Barclays. And

Nicholas Campanella

hope everyone doing is I well.

Is into year-over-year XX, growth that? 'XX when think year prior quick is that off the If that? comment we just just think to Slide 'XX, the just one midpoint? about on clarification. that could about you So way

Jeanne Jones

Yes, yes. Nick. guidance. just give to back you we of kind about it, the the always to midpoint That's think of -- We We the way try go year-over-year. to

XXX X-year the right, that totality, how really that through a year-by-year do basis period. over you So this better how Exelon grow that you're get XXXX in of to on if X% about midpoint this X% about midpoint is grow to does -- or of from XXXX thinking such we slide

Nicholas Campanella

But of can kind legislation you priority in would And then I kind was stakeholders. Maryland if of a comment wondering also there. been from your expect with solving capacity on what's in just kind has know I rate-based And of it arrangement of what the as -- other solution Pennsylvania relates and type for to alleviate could that generation expectations some a or the there. state congestion you

Calvin Butler

across BGE can Carim we with us ensuring [ will let Nick. and my Velazquez jurisdictions. in security said I our we a me, on. working the All as me problem, I CEO is that I affordability, focus and as start who just But with all well, those foremost. of first and Khouzami, that lines mean that's is share on of with in add bills No over you, CEO energy generation. off adequacy I course, the statement, of adequate opening we're have is actively of then and have PECO Dave XX with resource ] who Yes. have

processes, share of and to creating planning distribution our clean that, And best practices said regulatory new at one resource footprint, and review suggested office. employ changes generation pieces jurisdictions. Having integrated are in we and looking being energy certain by that with several we're our a information of proposes that planning jurisdiction that how planning including do or other implementing legislation expedited

stop why, date what's bills going you're there's that there I'm over Maryland, Carim happening to think So talk XX in to and tracking. about I let

Carim Khouzami

here Calvin issue the energy there's Calvin, we Annapolis resource issue, adequacy There I what do in Maryland, on deal you, here a is, how being would lot thank made just Right of with security now, in and echo said. in attention Maryland. and

of something governor legislation, to XX% to a built very do many trying That to state. focused out imports from generation the is its As Maryland state. others currently in reminder, be that the about can we on and of are the power what incent see

They're more to get to the fuel different ways so of The types, we that the approach capacity. is the in being above incent increase to can different that's try in-state next years approach. various of few an of looking various at all amount taken generation built here

We bill. involved that slide supportive. the have relieve more that agree state As Holdings, in-state need with PECO those generation we're to some we we very build all the the BGE and [ We're pressures of of ] on side very discussions. the to in

and that's again, with at that closely all So something working closely looking we're tracking stakeholders.

Calvin Butler

And adequate you Nick, you share also resource your addressing I asked Dave bills currently thoughts? there's issue active and and want to about X know Pennsylvania, the Velazquez,

David Velazquez

] very been other Yes, Maryland like like states this active. has [indiscernible] is Dave. [

held this has conferences on issue. that seen PUC You've the technical

trying know, with you has As as necessary, been in the if with active PJM to in ensure stakeholders Shapiro markets capacity the issue. come up And continue PJM to all with very this generation. Governor been companies alternatives, I'll Pennsylvania have address to to active in working work adequate to to that all have say, well the we

include some And the of that mentioned things been contracts. build. have They to include utility longer-term

issues. concerned And legislatively those of House things an in of think be the the both about as lawmakers Some require some same as I are issues around will and well it will legislation. active session those Senate

Operator

Jefferies. our question Julien next And Dumoulin-Smith comes from with

Julien Dumoulin-Smith

Go Birds. it. Appreciate

quickly. back different coming Just couple a things Absolutely. here of

But efforts abilities here. a think mean, different how afoot this ] the to say more settle to side to know ago the all a step protracted I there settlements about few at considering second know power? PJM and [ this prospects. ability that discussion do Just with kind an explicitly, of I out [ Durgesh a of policy with Is get few about you respect -- and different to to there's maybe was about just effort colocation respect a dockets, kind I trying ].

I'll like tied base do industry ] ] wider trend of [indiscernible], centers. an certainly could as to and think course as And then data accelerate these much seems sort in growth offset through here the a them and year. related to is you [ How rate certainly [ this about deposits -- that

So as could ] data see is near how have you rate continue on of could there if your of [ sort to effect kind some that heuristic base, much to ] and you any centers netting you'd will. offer [ developments

Calvin Butler

you, Thank Julien.

may One activity to the And sure about focusing on that can make essence second at forward. around the the are I spur capture giving the was Let of settlements additional growth me really question. going level development center that as data relates and the And forth. growth. be it deposits on that so if and customers X-part was in moving FERC talking

that it and having our customers we let involved. piece, share, for discussions going me On to the always looking just then are and interest of first all I'm the turn with Jeanne, out is to active parties best

to some back and to we're that some grid resolution is believe and everyone. But being keep We we are type tenants sitting to are because the that have come forward. can't of never on always for our around holding it affordability that going we it's shared customers and moving by

should everyone of costs. So some bear those

I'm having turn additional So give you to it that, to insight. going said to Jeanne any

Jeanne Jones

Yes.

Absolutely. Julien, word I I with just of settlement think we like stakeholders? the one, think is would more it partner but -- first the used, do I as on

XXXs views load are things. differing and where was ] the on -- all point seeking So network about clarity other there [ and a

But about [ thinking words this federal ] about those the or while right tariff, with want the getting discussed, to getting or is it's is stakeholders [ And our is clarity concept sure. it someone at are And work is certainty so XXXs state getting to today, what ] level, as for the filed, so that that's and seeking fastest right? clarity we discussed looking around large While PJM do path, load. whether certainty XXXs so being and the states that if with relates right?

come the deposits are we see then in And as meaningful growth. we meaningful load seeing Yes, deposits, on

but into territory, see service those -- driving customers large other in tables, X% to can also year-over-year. get weather example, You we our driver investment you comes right? look at the for make It's our sure growing our so shows consumer real, up. load that our load is to capital that C&I deposits the class large ComEd, as up normal protect And

to 'XX give When our sort at you XXXX base, you a million rate size $XXX base around rate just of impact, lower. look was of

of disclosure. So majority The that was relative to our deposits. last large

right? a thing, that a ] does we good in is but there back It's for declining a to rate [ our growth base. the all to point, reduce growing, and that was our them investments. historical good net that disclosure exciting, And and really new it's protecting we're need solar so it's is to with that investment your while deposits, more the load do We our added things customers also and load, to signal due accommodate which efficiency this energy shows right? load was it

look our to somewhere net and growing you Now forward, between X%. X% gross is load

but development, the deposits, order of economic of terms we up, and how example. in the an that's saw as magnitude of 'XX in development exciting kind So they show that's

Calvin Butler

slide, start LRP hey, are once -- then adding put the because Jeanne. done even can And some to we on last shared take I you integrating they into and really of do add developing plan. Julien, into in us estate; steps, then by we are up call putting only look put the we forecast that and plan. you anything we've taken we've And or of terms three, purchase at, in our these look we skin don't our at the real putting our One, with then you until shown on included to a actionable something growth We if certain you game plans; into that actively those that's our down in two, you why projected deposit actions load see developers. this see the

Julien Dumoulin-Smith

] opportunity is net in of through deposits. even as in load the They net well those incorporated might increase actually of as future year as course said, very this parallel see deposits in the load [ acceleration that these here, basically decline forecast. corresponding or There's no include increase an period the a your as you this much you Right. CapEx for materializes, of through forecast see subsequently may some you

yourself gotten and see ] being haven't It necessarily happened course any of of that through including shouldn't you [ parallel? you reduction this the all year, in of ahead So load. the kind

Jeanne Jones

Mmh-hmm.

Julien Dumoulin-Smith

some disclosures this course for does And especially bode to kind of know points deposit data ongoing these way deposits well should say. presumably any speak kind explicit of Awesome. Excellent. fruitful and these any release materials, there any through expect haven't press the these, activities center I of favorably data here. Should there? work of that as ] say, we year, confidence you of [ as been we it flashy our more greater But given we

Jeanne Jones

do have Yes. one our we recent slide We try to of where wins. kind put

you in announced the that XX But can where give tried center some company or on. recently some the insight projects to release Slide does we you press data So Appendix the a see typically here. operating of the company do

the We of online. have in you if just over But terms growth. XXX online had can year-over-year look about on chart years of megawatts also left, we've years, over I a top data at you today. of see the XX% couple that talked centers last side ComEd's couple in and the CAGR the last

the probable Calvin see ones as that they've And of XX% that centers our than about we call at you it's pipeline the when greater load on -- growing. look terms in the look when It's mentioned, what made. pipeline financial It's a real you So data territories. are year-over-year weather-normal of it's of in real number a at basis. the only real commitments online that we we that because talk would

So an time. exciting it's

like that's at -- about an trend just as XX.X where equitable well. customers, prudent we're activity affordability million we And as we it's growth think the continuing, going think think our FERC shows and I to on load deposit other see be transition and always and to this think focus about but this it higher up I too. about our something

Operator

come from will with question Steve next our Wolfe. Fleishman And

Steven Fleishman

what think specifically, some they maybe that grid was following what in give bit. that, you the maybe Can in I Illinois a out you're give capital us -- loads pulled on plan? us Could of and last large expecting. this large Illinois I plan kind you on a for you the loads. for the up topic little capital guess, topic the info have just So on

Calvin Butler

Jeanne? Absolutely.

Steven Fleishman

go yes, And with -- that yes. first, related then

Jeanne Jones

Sure.

Okay.

the plan, forecast had that of reconciliation not remarks through can it commented, and the we was reconcilable right, the on a capital should plan, all approved. -- grid ComEd's correct, ] this be $XXX about on so is. that million $XXX fully they So in annual believe yes, But the there we what was [ be distribution million which grid little over

magnitude and side, on you megawatts transmission the at when high-density $X really that's And the the the that and coming side in plan by look transmission territory. online the about on we of on it's relative billion this at side. And driven service was see so then ComEd plan distribution sort the over load --

Steven Fleishman

tie take per into -- gigawatt a different, some there -- level that, to is you're know getting is is that's related And a or data way data to to some the that is way everything of center and of it there some... gigawatt I there just but CapEx

Jeanne Jones

point, your of every in we to always way. it is most the different. because to Yes. course, do And project efficient try Yes,

work customers how so to with we we others work entire customer capacity? ramp where investment there's have we much be base. those needed. find then say, there they about sort capital And our of Where located, very our we to to investment spots do how do there So be much customers And and as you need? sweet our think could want be minimal that on their for need they and could need when depending

really XX% high-density that development driven and $X.X this again, X-year billion the we're that economic about And how we by seeing percentage kind these across again, how back X-year to say, thumb. So the transmission always as point think of to would load shows of territories. up. the is of for coming I hard do in period, a the plan and centers rule that's just we transmission, of

Steven Fleishman

last question. One Okay.

you'd XXX Just in last think Chair, new on is the likely your the FERC several to policy clarity will their case? saying on quoted the Christie, have be colocation week that of in I cases clarity? future. you what near think, more Do Or was, the forum have

Calvin Butler

to and point, and the is there with clarity keyword seeking others. and Colette and and I and what regularly we're think Steve, working for are her FERC your Yes, driving team

to So Colette, would you elaborate? like

Colette Honorable

Steve, too, are in Thank clarity. we, you. this interested

focusing really on news great the of we're customers all in, of we time the all want Look, in prepared is can. to quickly be see issue. this we needs the this Chairman recognize on plus focused to and to all as as this. of customers demands that and pleased month now are role We we a we're the all So the meet our our

So the by XXX but as we on February any mentioned earlier, tone could the be XX. decision

So be could of as there other it some on any soon be pending decision as that the could dockets. and

can today our and us looking and importantly, We more you are continue to clarity forward look This getting on is customers, and of all to exciting the count in the them, future. we to forward engaging. an time supporting

Operator

question come with Pourreza from Partners. And our last Guggenheim will Shar

Shahriar Pourreza

roll we coming be I the off? other from watching, in managing Anything could involved, progress, cetera? stakeholders et indicate that as months that solution legislative public guess, on should the I a the on side governor a of question going quick, conversations IPA of Is there's but status know with of lot and on sort real this there and CMC morning, progress it. the just Just any

Calvin Butler

Jeanne, please.

Jeanne Jones

are of right? They're all to like 'XX sure, being right, -- when just go nice on states, not [ Illinois they coming quite side and security, energy less CMCs that. thing energy the capacity. think capacity they a unique I our is actually other for Yes, think about are CMCs so which And through a the as ], auction think either, next the perfect you on the But in about the right? prior hedge more

period. ] time So this are capacity ComEd during seeing of that increase our customers already [ in some

guess look legislation that energy states different provide But IPA. leaning is our I have perspective, we than to and we're it the in solutions. Illinois our how at they no from any of into the unique

capacity generation we're what the their allow procure. all think family need And ensure to is and looking and to customers that energy help support and their we'll a for prices do them thing, about predictable home everything to there and they'll they we do run customer businesses from reliable to what our that but they'll so lens and how definitely meet perspective, their can be stable and want But needs.

market. already is of We've solutions Illinois at the very of them. supportive that that the of states -- on provided approved PJM just to talked we see we're couple about no to that. other got they guess find some has capacity We're solutions with. working pleased than I and the a different FERC that So Colette

be options. procurements. It at plans. at load. variety Illinois be also a a we're looking obligation looking large at It state capacity But that our are states, state-integrated included, looking of supporting resource could be could looking at could for It

those So options the a lot pleased are most what sense of a of But moving on about with is urgency. considered we're table. states and are options being

the other states And so than Illinois is no this. on focused different

Shahriar Pourreza

it. deal haven't an lastly, PSEG, Got DC we that think City Atlantic with And deal, it's to Electric system? meter the how Artificial the how then a had the discussions Island customers? if side if impact on update bill you or And about any just for meter went or on work connect meter front a behind quasi done a should Island of we have Artificial can of quickly

Jeanne Jones

a co-location. I'll of point day, what we I we're say I in at of could just of examples would that. allocation But in so would XXXs, cost be reiterate, haven't just some to not I had the the impact think -- terms against we the Yes. our end and

We network are place. in should -- that is believe are, cost right that load what the we be and it's allocation have principles always we said the

and ] territories always cost the -- have it. [ something as load something not of. against not supportive that It's right -- our it's long we're development economic remains is we as service allocation, it's So network to

Shahriar Pourreza

it. Got

they to there? guess, Jeanne, do is Or there speed Electric DC interconnection market the long capacity can the the So on Atlantic Is I a sit City Is connect open issues? any on you queue? pretty to system? question have quickly there

Calvin Butler

Mike?

Michael Innocenzo

mean, Yes. mean what [ there. it I will depends ] really specifically, I upon would locate I they say,

general, discussions wherever more that [ accommodate to that. for to with look it our a [ connections always in capacity. it's their coming work a look creatively our of we how all find a that say sure our for ], into to that our are look as We load able needs. would different almost time our lot Artificial gets we're almost we're Again, way they talking, make meets states want in of with the make anywhere to all where sure ramp-up. ramp ways to quickly for up them of and that much load, ] how we their accelerated we're and finding certainly to We or understand say, there's whether think I system, we to I look I'll possible studies do most, in in as impact. Island customers

Shahriar Pourreza

Congrats, on Calvin Jeanne good the and very results, results.

Calvin Butler

Thank you, Shahriar.

Jeanne Jones

Shahriar. you, Thank

Operator

time, I this remarks. Butler like the closing turn now to back At for Calvin would call to

Calvin Butler

your for again, steady of All Exelon. support

captured the employees I, in when he work because I you think XXXX me of put congratulate that all XX,XXX-plus hard Shahriar successful let Jeanne Exelon year. and just congratulated was a the

in our the for opportunity continue We unprecedented for forward which brings We you ahead, this the continue year to to to about provide jurisdictions lead and months long-term are very with all us ahead. energy excited look transformation value engaging stakeholders. to with

And our call. concludes Michelle, that

Operator

today. joining us concludes This our participants Thanks all presentation. of to our for

Have disconnect. now day. a may You good

Exelon (EXC) 12 Feb 252024 Q4 Earnings call transcript