XPLR Infrastructure, LP Second Quarter 2025 Presentation Other See Appendix for definitions of Adjusted EBITDA and Free Cash Flow Before Growth expectations. 2 ibdroot\projects\IBD-NY\xeric2025\944088_1\02. Presentation\04. NDR\XPLR_Credit NDR_DRAFT_v43.pptx Cautionary Statements and Risk Factors That May Affect Future Results This presentation includes forward-looking statements within the meaning of the federal securities laws. Actual results could differ materially from such forward-looking statements. F ...

Company Overview - XPLR Infrastructure operates approximately 10 GW of clean energy assets across 31 U S states[10, 13] - The company is the 3rd largest producer of wind and solar energy in the U S [11, 13, 54], with approximately 8 0 GW of wind, 1 8 GW of solar, and 0 2 GW of storage[11] - XPLR Infrastructure's net asset book value is approximately $20 billion, and its enterprise value is approximately $15 billion as of March 31, 2025[13] - The company's portfolio is diversified by technology, with wind accounting for 79%, solar for 18%, and battery storage for 3%[15] Financial Performance and Expectations - XPLR Infrastructure's 2024A Adjusted EBITDA was approximately $2 billion, and its 2024A Free Cash Flow Before Growth (FCFBG) was approximately $0 8 billion[13] - The company reaffirms its 2025 Adjusted EBITDA expectation of $1 85 billion - $2 05 billion[42] - The company expects 2026 Adjusted EBITDA to be $1 75 billion - $1 95 billion and FCFBG to be $600 million - $700 million[42, 54] - In Q1 2025, Adjusted EBITDA was $471 million and FCFBG was $194 million[38, 39] Capital Allocation and Strategy - The company completed a $1 75 billion HoldCo financing[34] - XPLR Infrastructure completed approximately $930 million buyout of CEPF 11 and plans to refinance those assets with traditional project debt[35] - The company is targeting approximately $1 1 billion to $1 2 billion in project-level financing in 2025 to support repowering capex[36]

Financial Risks - XPLR's substantial amount of indebtedness may adversely affect its ability to operate and comply with financial obligations[19] - XPLR's long-term debt was approximately $6.5 billion as of March 31, 2025, with an estimated fair value of $6.4 billion[121] - Approximately 99% of XPLR's long-term debt was either fixed rate or financially hedged, minimizing exposure to interest rate fluctuations[121] - A hypothetical 10% decrease in interest rates would increase the fair value of XPLR's long-term debt by approximately $118 million[121] - XPLR had interest rate contracts with a net notional amount of approximately $4.0 billion to manage cash flow variability associated with debt issuances[122] - A hypothetical 10% decrease in rates would decrease XPLR's net derivative assets by approximately $63 million[124] - XPLR is exposed to counterparty credit risk, which could impact expected cash flows, and manages this risk through credit policies and a diversified portfolio of counterparties[125] - Future tax liabilities for XPLR may exceed expectations if net operating losses are insufficient to offset taxable income[1] - Distributions to unitholders may be taxable as dividends, impacting their overall returns[1] Operational Risks - XPLR's renewable energy projects are significantly affected by wind and solar conditions, which can impact cash flows[15] - The company relies on a limited number of customers and vendors, exposing it to credit and performance risks[15] - Government incentives for clean energy could be changed or eliminated, negatively impacting XPLR's project development[19] - XPLR's financial condition is highly dependent on the performance of NEER in returning funds received from XPLR OpCo[19] - The ability to develop and acquire assets involves risks related to project siting, financing, and governmental approvals[19] - The company faces competition from regulated utility holding companies and independent power producers in the U.S.[19] - XPLR's business is subject to environmental, health, and safety regulations, which may require significant capital expenditures[15] Governance and Structure - XPLR's ability to execute its business plan depends on cash distributions from its subsidiaries[1] - Holders of XPLR's common units may face voting restrictions and limited remedies for breaches of fiduciary duties[1] - The company may not be able to extend or renew expiring power purchase agreements at favorable rates[15] - XPLR's insurance coverage may not protect against all significant losses, affecting its financial stability[15]

Financial Performance - XPLR Infrastructure reported a first-quarter 2025 net loss of $98 million, with adjusted EBITDA of $471 million, up approximately 2% year-over-year [2]. - Operating revenues for Q1 2025 increased to $282 million, up from $257 million in Q1 2024, representing a growth of 9.7% [17]. - Total operating expenses surged to $515 million in Q1 2025, compared to $278 million in Q1 2024, primarily due to a goodwill impairment charge of $253 million [17]. - Net loss attributable to XPLR was $98 million in Q1 2025, a significant decline from a net income of $70 million in Q1 2024, marking a year-over-year change of 240% [17]. - Adjusted EBITDA for Q1 2025 was $471 million, slightly up from $462 million in Q1 2024, indicating a marginal increase of 1.9% [19]. - Free cash flow before growth (FCFBG) was $194 million in Q1 2025, compared to $195 million in Q1 2024, showing a slight decrease of 0.5% [19]. Future Projections - The company expects adjusted EBITDA for 2025 to be between $1.85 billion and $2.05 billion, and for 2026 to be between $1.75 billion and $1.95 billion, primarily due to the exclusion of contributions from the Meade pipeline investment [4]. - Free cash flow before growth (FCFBG) for 2025 is not provided due to transition year impacts, but is expected to be in the range of $600 million to $700 million in 2026 [5]. Financing and Investments - XPLR Infrastructure executed a financing plan through the issuance of $1,750 million in senior unsecured notes [6]. - The company completed the buyout of the XPLR Renewables II convertible equity portfolio financing in April 2025 [6]. - XPLR Infrastructure is focused on strengthening its balance sheet and investing in high-quality assets, including the buyout of third-party ownership interests in its 1.1-gigawatt XPLR Renewables II portfolio [3]. - The company anticipates using proceeds from the expected Meade pipeline investment sale to repay associated project-level debt [4]. Asset and Debt Management - Cash and cash equivalents rose significantly to $1.53 billion as of March 31, 2025, compared to $283 million at the end of 2024, reflecting a substantial increase of 441% [22]. - Total assets increased to $21.4 billion as of March 31, 2025, up from $20.3 billion at the end of 2024, representing a growth of 5.5% [22]. - Long-term debt increased to $5.99 billion as of March 31, 2025, compared to $4.61 billion at the end of 2024, indicating a rise of 30% [22]. Operational Updates - The company remains on track for its previously announced repowering program [6]. - XPLR Infrastructure's portfolio includes diversified clean energy assets across wind, solar, and battery storage projects in the U.S. [7]. - The weighted-average number of common units outstanding remained stable at approximately 93.7 million for both Q1 2025 and Q1 2024 [17].

Table of Contents FORM 10-K State or other jurisdiction of incorporation or organization: Delaware Securities registered pursuant to Section 12(b) of the Act: ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ | Commission | Exact name of registrant as specified in its | IRS Employer | ...

Core Viewpoint - NextEra Energy Partners (NEP) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook driven by rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system emphasizes the correlation between changes in earnings estimates and stock price movements, making it a valuable tool for investors [2][4]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in stock price movements [4]. Business Outlook - The upgrade reflects an improvement in NextEra Energy Partners' underlying business, suggesting that investor sentiment will likely drive the stock price higher [5]. - Over the past three months, the Zacks Consensus Estimate for NextEra Energy Partners has increased by 12.3%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - Only the top 5% of Zacks-covered stocks receive a 'Strong Buy' rating, highlighting the superior earnings estimate revision feature of these stocks [9][10].

Core Viewpoint - XPLR Infrastructure, previously known as NextEra Energy Partners, is suspending its dividend due to financial constraints, marking a significant shift in its business model aimed at retaining cash flow for future investments and financial stability [2][10]. Group 1: Business Model and Financial Strategy - Historically, XPLR Infrastructure relied on outside capital to fund its expansion by acquiring renewable energy assets and gas pipelines, which allowed for rapid dividend increases [3]. - In 2018, the company shifted to convertible equity portfolio financings (CEPFs) with institutional investors to reduce dilution and capitalize on lower funding costs [4]. - The rising interest rates increased the cost of capital, complicating the buyout of CEPFs, leading the company to sell natural gas pipeline assets and focus on organic growth projects [5]. Group 2: New Business Model and Future Plans - The company is transitioning to a model that retains cash flow for new investments rather than distributing it to investors, resulting in an indefinite suspension of its dividend [6]. - XPLR Infrastructure plans to raise $2.5 billion to $2.6 billion over the next two years through asset sales, including the Meade pipeline investment [6]. - The company intends to reinvest $1.7 billion to $1.9 billion into growth opportunities, including wind repowering projects and high-return clean energy investments [7]. Group 3: Shareholder Value and Future Outlook - XPLR Infrastructure believes that the new business model will unlock significant value for shareholders, with expectations of double-digit returns from buying out CEPFs [9]. - The company plans to evaluate the potential for returning cash to investors in the future, which may include reinstating dividends and share buybacks [9]. - The shift in strategy is seen as necessary for achieving a sustainable financial foundation, which could eventually lead to a recovery in the company's share price [11].

Group 1 - NextEra Energy Partners (NEP) has experienced significant selling pressure, resulting in a 33.5% loss over the past four weeks, but it is now considered oversold with potential for recovery [1] - The Relative Strength Index (RSI) for NEP is currently at 19.44, indicating that the stock may be nearing a trend reversal as selling pressure appears to be exhausting [5] - Analysts have raised earnings estimates for NEP, with a consensus EPS estimate increase of 0% over the last 30 days, suggesting potential price appreciation in the near term [6] Group 2 - NEP holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a turnaround [7]

Business Update XPLR Infrastructure, LP January 28, 2024 2 | Business Update Cautionary Statements and Risk Factors That May Affect Future Results This presentation includes forward-looking statements within the meaning of the federal securities laws. Actual results could differ materially from such forward-looking statements. The factors that could cause actual results to differ are discussed in the Appendix herein and in XPLR Infrastructure's SEC filings. Non-GAAP Financial Information This presentation r ...

Company Performance - NextEra Energy Partners (NEP) reported quarterly earnings of $0.99 per share, exceeding the Zacks Consensus Estimate of $0.52 per share, and a significant improvement from a loss of $0.35 per share a year ago, resulting in an earnings surprise of 90.38% [1] - The company posted revenues of $294 million for the quarter ended December 2024, which fell short of the Zacks Consensus Estimate by 20.25%, compared to revenues of $232 million in the same quarter last year [2] - Over the last four quarters, the company has surpassed consensus EPS estimates two times but has not beaten consensus revenue estimates [2] Stock Performance - NextEra Energy Partners shares have declined approximately 11.2% since the beginning of the year, contrasting with the S&P 500's gain of 2.2% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.04 on projected revenues of $310.9 million, while for the current fiscal year, the estimate is $1.54 on revenues of $1.34 billion [7] Industry Outlook - The Alternative Energy - Other industry, to which NextEra Energy Partners belongs, is currently ranked in the top 19% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5]