NextEra earnings increased 9.7% on an adjusted per-share basis in the third quarter of 2026, while its renewables and storage backlog reached approximately 36.7 gigawatts. Management maintained its full-year adjusted earnings guidance and continued to target the high end.

Key Takeaways

  • NextEra retained its 2026 adjusted EPS range of $3.92–$4.02 after reporting 9.5% growth through the first nine months.
  • Energy Resources added 3.7 GW to its backlog during the quarter, including 2.4 GW of battery storage.
  • Management kept expected equity issuance at roughly $12 billion–$17 billion through 2032, while the pending Dominion combination faces regulatory scrutiny.

Table of Contents

NextEra earnings outlook holds despite expected wind weakness

The unchanged annual forecast includes an expected fourth-quarter wind resource of 90%–95% of the long-term average, which CEO John Ketchum linked to El Niño effects. Third-quarter wind resource was 101% of the long-term average, compared with 90% a year earlier.

NextEra maintained its standalone adjusted EPS growth outlook of at least 8% compounded annually through 2032 and for 2032–2035, using a 2025 base of $3.71. Ketchum said the pending Dominion Energy combination is expected to lift that growth outlook to at least 9%; the transaction remains subject to approval.

Storage additions lead a larger development pipeline

Energy Resources added approximately 15 GW to its renewables and storage backlog over the past 12 months. Battery storage accounted for 2.4 GW of the 3.7 GW added in the third quarter, and the business had achieved more than two-thirds of its 2026–2029 development midpoint.

The segment’s adjusted earnings rose approximately 13% year over year, with adjusted EPS increasing by $0.06. New investments contributed an additional $0.09 per share, including initial federal hub contributions, while existing generation assets contributed another $0.05. Those gains were partly offset by customer-supply timing, higher interest expense and prior-year capital-recycling timing.

NextEra signed agreements for three federal hubs totaling approximately 16.5 GW with $5.7 billion in initial funding. Ketchum said development-related payments would be relatively modest in 2026 and 2027, then increase through 2032, when operating fees are expected to begin.

FPL investment grows before any Florida large-load deal

Florida Power & Light contributed $0.06 more in EPS than a year earlier, supported by approximately 9.2% growth in regulatory capital employed. Quarterly capital spending was about $2.4 billion, with roughly $12 billion expected for full-year 2026.

Retail electricity sales rose 2.8%, or 1.4% after adjusting for weather, supported by customer growth. FPL reported an approximately 11.8% return on equity for regulatory purposes over the 12 months ended September 2026.

FPL had not signed a large-load agreement in Florida, despite raising its expectations to 8 GW by 2032. President Scott Bores cited more than 20 GW of customer interest and reiterated confidence in announcing a deal before year-end, while emphasizing the complexity of the transactions and the need for local community consensus.

Financing needs and regulatory conditions remain in focus

CFO Michael Dunne said expected equity issuance remained within the previously outlined range of roughly $12 billion–$17 billion through 2032. He pointed to funding raised across Europe, Australia, Canada and the United States, alongside project-level tax equity and interest from large asset managers.

NextEra also reported more than $48 billion of forward-starting interest-rate hedges at an average rate of approximately 4% and an average tenor of about nine years. Management estimated that a 50-basis-point rate move would affect 2028 EPS by $0.01–$0.03.

The pending Dominion transaction faces proposed conditions from the Virginia governor’s office and regulatory staff, including ring-fencing requirements. Ketchum said NextEra planned a rebuttal and would present its case at mid-November hearings, citing nearly $2 billion in proposed residential rate credits and an additional $100 million for EnergyShare. He acknowledged that the Virginia State Corporation Commission would decide the case.

Conclusion

NextEra’s quarter combined adjusted earnings growth with a larger storage-led backlog. Its full-year target remains unchanged, while future growth plans depend in part on project execution, financing and regulatory approval of the Dominion combination.

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