Energizing the Future Investor Update: February 2026 1 Cautionary Statement Regarding Forward-Looking Information Much of the information contained in this presentation is forward-looking information based upon management's current expectations and projections that involve risks and uncertainties. Forward-looking information includes, among other things, information concerning earnings per share, rate case activity, earnings per share growth, cash flow, sources of revenue, dividend growth and dividend payou ...

Core Viewpoint - CMS Energy is optimistic about its regulatory outcomes and growth prospects, particularly in renewable energy and large-load opportunities, while maintaining a focus on customer affordability and long-term investments [4][6][19]. Regulatory Developments - The company anticipates a favorable outcome from its pending electric rate case, expecting a return on equity (ROE) of 9.9% or better, supported by constructive positions from the Michigan Public Service Commission [1][6]. - CMS Energy received approval for a 20-year renewable energy plan, representing approximately $14 billion in customer investment opportunities over the next decade [2][6]. Financial Performance and Guidance - CMS Energy reported adjusted earnings per share (EPS) of $3.61 for 2025, exceeding guidance and reflecting over 8% growth from 2024 [8]. - The company raised its 2026 adjusted EPS guidance to a range of $3.83 to $3.90, indicating 6% to 8% growth from 2025 results [6][8]. Capital Investment Plan - The five-year utility capital investment plan has been expanded to $24 billion, up $4 billion, supporting approximately 10.5% rate base growth through 2030 [6][11]. - Major drivers of the updated plan include an integrated resource plan to be filed in mid-2026, which will address capacity needs and incorporate renewable energy sources [11]. Large-Load Opportunities - The company's large-load pipeline, particularly for data centers, is expanding, with potential projects requiring $2.5 billion to $5 billion of investment per additional gigawatt [5][14]. - The Large Load Tariff has been approved to facilitate data center growth while ensuring existing customers are not burdened with the costs [3][12]. Customer Affordability and Cost Savings - CMS Energy emphasizes customer affordability, noting that utility bills represent about 3% of total expenses, down 150 basis points from a decade ago [19]. - The company achieved over $100 million in savings in 2025 through efficiency efforts and estimates that energy waste reduction programs will save customers about $1.2 billion [20]. Financing Strategy - In 2025, CMS Energy invested $3.8 billion, funded through operating cash flow, bond and equity financings, while maintaining investment-grade credit metrics [21]. - For 2026, the company plans to issue over $1.7 billion at the utility level and approximately $700 million of equity at the parent level [21]. Dividend Policy - CMS Energy aims to continue dividend growth, targeting a payout ratio of about 60% in 2026 and approximately 55% over time [22].

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgency to invest now [1][13] - The energy demands of AI technologies are highlighted, with data centers consuming as much energy as small cities, leading to concerns about power grid strain and rising electricity prices [2][3] Investment Opportunity - A specific company is presented as a critical player in the AI energy sector, owning essential energy infrastructure assets that are poised to benefit from the increasing energy demands of AI [3][7] - This company is characterized as a "toll booth" operator in the AI energy boom, collecting fees from energy exports and positioned to capitalize on the onshoring trend driven by tariffs [5][6] Financial Position - The company is noted for being debt-free and holding a significant cash reserve, amounting to nearly one-third of its market capitalization, which provides a strong financial foundation [8] - It is trading at less than 7 times earnings, indicating a potentially undervalued position in the market compared to its peers [10] Market Trends - The article discusses the broader trends of AI infrastructure, the onshoring boom, and the surge in U.S. LNG exports, all of which are interconnected and present significant growth opportunities [14] - The influx of talent into the AI sector is expected to drive continuous innovation and advancements, reinforcing the importance of investing in AI [12] Strategic Positioning - The company is involved in large-scale engineering, procurement, and construction (EPC) projects across various energy sectors, including nuclear energy, which is seen as vital for future power strategies [7][8] - It also holds a substantial equity stake in another AI-related company, providing indirect exposure to multiple growth engines in the AI space [9]

Core Insights - OpenAI plans to invest $1.4 trillion in AI infrastructure, aiming to add 30 gigawatts of computing power, with each gigawatt costing approximately $40 billion [1][2] Group 1: Nvidia - Nvidia controls about 85% of the AI chip market, leading to a market cap of $4.58 trillion and a quarterly revenue growth of 62% year over year, exceeding $57 billion as of Q3 2025 [4][5] - The company’s cloud GPUs sold out in Q3 2025, and its new Blackwell chip is performing exceptionally well, indicating strong demand for its high-end hardware [5] - Nvidia's near-monopoly on AI hardware is expected to continue, significantly influencing the market [5] Group 2: Micron Technology - Micron Technology's revenues climbed 57% year over year to $13.6 billion in Q1 of fiscal 2026, with a gross profit margin of 45.3% and an operating margin of 32.5% [9] - The company is experiencing a surge in free cash flow, increasing by 7,852% year over year, and operating cash flow growing by 159% [9] - Micron is trading at a P/E ratio of 21.8, which is lower than Nvidia's 46.1, despite a 394% increase in share price over the past 12 months, indicating an attractive valuation [11][12] Group 3: Dominion Energy - Dominion Energy is positioned to benefit from AI infrastructure spending, particularly in Virginia, where it is the largest power company [16][17] - The company reported an 8.36% year-over-year revenue growth in Q3 2025, with a gross profit margin of 49% and an operating margin of 29.4% [17] - The demand from data centers in Virginia, which has become a hotspot for data center construction, will require significant electricity supply, positioning Dominion favorably [13][14][17]

Japanese utility Tepco is planning to restart a reactor at the nation’s largest nuclear power plant on Monday, after a setback halted the process last month https://t.co/Erg3YQOStz ...

Group 1: Strategic Agreements - Xcel Energy has entered into strategic agreements with GE Vernova and NextEra Energy to secure supply and development capacity for up to 6 GW of data center load, including five F-class gas turbines and multiple gigawatts of wind capacity [1][2] - The alliance with GE Vernova aims to support generation and grid projects into the 2030s, enhancing operational flexibility and cost affordability for Xcel Energy's customers [2][8] - The memorandum of understanding (MOU) with NextEra Energy focuses on co-developing generation, storage, and interconnections to serve data center projects, reflecting a long-standing partnership between the two companies [1][8] Group 2: Data Center Capacity and Growth - Xcel Energy has signed energy services agreements (ESAs) for over 2 GW of data center capacity, with a goal to reach 3 GW by the end of 2026 and 6 GW by the end of 2027 [10] - The company is pursuing large load tariff filings in multiple states to establish regulatory frameworks for data center contracting, with significant sales expected to ramp up in the 2029 to 2030 timeframe [10] - NextEra Energy is advancing discussions around data center "hub" developments, aiming to create scalable and cost-effective energy solutions for large load customers [8][9] Group 3: Manufacturing and Supply Chain - GE Vernova's gas power equipment backlog increased from 62 GW to 83 GW, driven by strong U.S. demand, with expectations to reach approximately 100 GW under contract by 2026 [3][4] - The company is expanding its manufacturing capacity significantly, adding over 200 new machines and nearly 1,000 production workers in 2025, with plans for further expansion in 2026 [7] - Pricing for current slot reservation agreements is running 10 to 20 points higher than existing backlog, indicating increased competition for gas turbine manufacturing capacity [4][5]

Core Viewpoint - Chesapeake Utilities Corporation has been awarded a natural gas expansion project by the Accomack County Board of Supervisors, aimed at enhancing energy reliability on Virginia's Eastern Shore [1]. Group 1: Project Details - Accomack County will contribute $6.5 million through a state grant to extend natural gas pipeline infrastructure from outside Princess Anne, Maryland, to Temperanceville, Virginia [2]. - The new pipeline will serve homes and major employers, including the NASA Wallops Flight Facility and regional poultry facilities, providing a lower-cost, reliable energy alternative to electricity and heating oil [2]. Group 2: Economic Impact - Access to natural gas is identified as a key driver for economic growth, with a 2022 state-commissioned study highlighting its importance for future development in Accomack County, which currently lacks piped natural gas [3]. - The project aims to expand access to affordable energy, support economic development, and ensure long-term availability of reliable and sustainable natural gas services [3]. Group 3: Company Overview - Chesapeake Utilities Corporation is a diversified energy delivery company listed on the New York Stock Exchange, offering sustainable energy solutions through various services including natural gas transmission and distribution [4].

Financial Performance - RGC Resources, Inc. reported consolidated earnings of $4.9 million, or $0.47 per share, for Q1 2026, a decrease from $5.3 million, or $0.51 per share, in Q1 2025, attributed to flat margins and increased costs [1] - Operating revenues increased to $30.26 million in Q1 2026 from $27.29 million in Q1 2025, while operating expenses rose to $23.71 million from $19.96 million [4] - Net income for the quarter was $4.88 million, down from $5.27 million in the previous year [5] Cost and Revenue Drivers - The decrease in earnings was influenced by higher costs related to personnel, IT, property taxes, and depreciation, which were partially offset by lower interest expenses [1] - The company filed a rate case seeking an additional $4.3 million in annualized revenue to address rising costs, with interim rates effective January 1, 2026, pending review [1] Operational Highlights - The distribution system performed well despite fluctuating temperatures, with customer growth continuing due to new housing and a higher-than-normal number of reconnections [2] - RGC Resources, Inc. focuses on enhancing system reliability and investing in utility infrastructure [2] Balance Sheet Overview - Total assets increased to $341.04 million as of December 31, 2025, compared to $335.17 million in 2024 [5] - Current liabilities decreased significantly to $40.10 million from $64.32 million, while long-term debt rose to $138.00 million from $111.34 million [5]

Financial Data and Key Metrics Changes - In 2025, the company reported earnings of $190.4 million, or $0.93 per share, compared to $281.1 million, or $1.37 per share in 2024, reflecting a decrease in overall earnings [3][15] - Income from continuing operations was $191.4 million, or $0.93 per diluted share, compared to $181.1 million, or $0.88 per diluted share in 2024, indicating an increase in continuing operations [15] - The consolidated debt-to-capitalization ratio increased slightly to 49.1% due to the acquisition of Badger Wind Farm [19] Business Line Data and Key Metrics Changes - The electric utility segment reported earnings of $64.9 million in 2025, down from $74.8 million in 2024, primarily due to higher operation and maintenance expenses [15][16] - The natural gas utility segment saw earnings rise to $56.1 million, a 19.6% increase from $46.9 million in 2024, driven by higher retail sales revenue [15][16] - The pipeline business achieved record earnings of $68.2 million in 2025, slightly up from $68 million in 2024, supported by expansion projects and customer demand [15][17] Market Data and Key Metrics Changes - The utility experienced a combined retail customer growth of 1.5% compared to 2024, aligning with the targeted annual growth rate of 1%-2% [3] - The company has 580 MW of data center load under signed electric service agreements, with various phases of load ramping online through 2027 [9] Company Strategy and Development Direction - The company is focused on executing its capital investment plans, with a revised capital investment plan of $3.1 billion for 2026 through 2030 [4] - The acquisition of Badger Wind Farm is a strategic move to enhance the company's diversified generation portfolio [4] - The company anticipates a long-term EPS growth rate of 6%-8% and targets a 60%-70% annual dividend payout ratio [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to execute long-term growth strategies and emphasized the importance of operational focus and financial discipline [13] - The company initiated earnings per share guidance for 2026 in the range of $0.93-$1.00, reflecting strong performance across segments while accounting for equity financing [12] Other Important Information - The company completed a follow-on public offering of over 10.15 million shares at a price of $19.70 per share, which is expected to meet equity issuance needs for 2026 and a significant portion of 2027 [19] - The company filed for recovery of the Badger Wind Farm investment in North Dakota, which was approved by the North Dakota Public Service Commission [5] Q&A Session Summary Question: Can you elaborate on the 2026 guidance and year-over-year headwinds? - Management indicated that while 2025 showed strong growth, 2026 guidance reflects various rate case activities and the impact of equity issuance, with expectations for growth despite potential headwinds [25][26] Question: What are the next steps for the Bakken East Pipeline project? - Management outlined that the binding open season is currently ongoing, with discussions with customers and a timeline for final investment decision following customer agreements [27][28]

Financial Data and Key Metrics Changes - The company reported adjusted earnings of $5.27 per share for 2025, an increase of $0.39 per share compared to 2024 [3][15] - Adjusted earnings from utility operations increased by $0.63 per share, with weather positively impacting utility earnings by approximately $0.35 [15][16] - Overall, the company achieved an 8% year-over-year growth in adjusted EPS [18] Business Line Data and Key Metrics Changes - Adjusted earnings from the energy infrastructure segment increased by $0.10 due to higher production tax credits from solar projects [17] - The investment in American Transmission Company saw earnings increase by $0.02, driven by capital investments [17] - Retail electric deliveries in Wisconsin increased by 1.1% year-over-year, with projections for a 1.6% growth in 2026 [16] Market Data and Key Metrics Changes - The company is projecting a total of 3.9 GW of electric demand growth in the I-94 corridor and north of Milwaukee over the next five years [8][9] - The capital plan has been updated to $37.5 billion over the next five years, driven by increased demand from data centers [9][21] - The company expects long-term earnings per share growth of 7%-8% annually from 2026 to 2030 [9][22] Company Strategy and Development Direction - The company is focused on executing its capital plan, which includes significant investments in natural gas generation and renewable energy [9][10] - The strategy includes maintaining a balanced generation mix and investing in modern, efficient energy solutions [9] - The company aims to enhance transparency and protect other customers through the proposed Very Large Customer tariff [11][43] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to execute its capital plan and continue its growth trajectory [10][22] - The economic growth in the region is driving demand, with significant investments from partners like Microsoft and Vantage Data Centers [4][6] - Management highlighted the importance of addressing affordability in light of upcoming rate cases and political considerations [62][64] Other Important Information - The company plans to issue between $900 million and $1.1 billion of common equity in 2026 [19] - A proposed settlement in Illinois is expected to resolve approximately $2.3 billion of open dockets, including a $130 million rate-based reduction [12][86] - The board approved a 6.7% increase in dividends, marking the 23rd consecutive year of dividend increases [20] Q&A Session Summary Question: Can you elaborate on the 500 MW related to Microsoft and the additional CapEx? - Management indicated that Microsoft is expanding its data center operations, which is expected to add 500 MW of demand and $1 billion to the capital plan [24][25] Question: How are negotiations for Point Beach progressing? - Management stated that they are in communication with NextEra and are considering options for replacement power as contracts end in 2030 and 2033 [32] Question: Are there additional interests from other hyperscaler customers? - Management confirmed ongoing discussions with other potential customers and emphasized the importance of transparency and community engagement [41][43] Question: What is the expected impact of the Very Large Customer tariff on general customers? - Management explained that the tariff aims to ensure large customers pay their fair share, which could help mitigate rate increases for other customers [54][87] Question: How does the Microsoft ramp impact customer rates? - Management noted that as data centers grow, corporate allocations will spread across a larger rate base, potentially benefiting other customers in the long term [90]