Dominion Energy(D)2025-02-12 18:55Financial Data and Key Metrics Changes - Full year 2024 operating earnings were 0.58 per share, with GAAP earnings at 3.28 to 50 billion, a 16% rise from prior guidance [16] Business Line Data and Key Metrics Changes - Approximately 80% of the capital increase is attributed to Dominion Energy Virginia, driven by higher transmission, distribution, and nuclear spending [17] - 60% of the updated capital spend will be eligible for recovery under rider mechanisms, subject to regulatory approval [18] Market Data and Key Metrics Changes - Virginia hosts the largest data center concentration globally, with approximately 450 data centers connected, representing nearly 9 gigawatts of capacity [44] - Data center sales account for about 26% of total sales for Dominion Energy Virginia [44] - PJM forecasts a peak summer load growth of approximately 6.3% per year for the next 10 years, with projected peak load for 2034 increasing from 26.1 gigawatts to 41.5 gigawatts [48] Company Strategy and Development Direction - The company remains focused on strategic simplicity, long-term financial execution, balance sheet conservatism, dividend security, and exceptional customer experience [7] - The Coastal Virginia Offshore Wind (CVOW) project is 50% complete and on schedule for completion in 2026, supporting the growing energy needs of data centers [28] - The company is committed to maintaining affordability while ensuring reliable service [26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the updated cost estimates for CVOW and the ability to deliver the project on time [41] - The company is focused on executing its plan and addressing regulatory challenges in South Carolina [59] - Management highlighted the importance of data center expansion for Virginia's economy and the company's growth strategy [95] Other Important Information - The CVOW project cost increased from 10.7 billion, with 80% of the increase expected to be recoverable [35][40] - The company achieved near-record safety performance in 2024, with a focus on maintaining low rates compared to national averages [26] Q&A Session Summary Question: Updates on CVOW project variability and supplier component deliveries - Management expressed confidence in the project estimates and noted that remaining spend outside the U.S. is about $2.5 billion, with most components considered finished products [69][70] Question: Clarification on data center gigawatts and timeline for integration - Management confirmed that the gigawatts in the substation engineering phase are not included in the PJM forecast and emphasized the significant demand for data centers in Virginia [81][83] Question: Insights on Millstone and potential large customer contracts - Management indicated that additionality is not essential for potential large users and will continue discussions with stakeholders in Connecticut [88] Question: Engagement with stakeholders regarding data center expansion - Management noted that policymakers in Virginia recognize the economic benefits of data centers and are focused on ensuring continued growth [94] Question: Assumptions for earned returns and regulatory lag - Management discussed the potential for under-earning in South Carolina and emphasized a focus on achieving allowed returns through stakeholder engagement [125][126]