10-Q · July 24, 2026
NextEra delivered a strong GAAP Q2, with operating revenue of $7.534 billion and diluted EPS of $1.50, versus $6.720 billion and $0.98, respectively, a year earlier. FPL's expanding rate base and NEER's new clean-energy…
Earnings analysis · 10-Q
NEE earnings analysis
Filed October 21, 2026 · Our reading of the company's report
The latest report
NEE delivered strong reported Q3 results, with GAAP diluted EPS of $2.28 versus $1.18 and net income of $4,775 million versus $2,438 million year over year. Underlying segment performance was positive, with FPL and NEER…
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NEE delivered strong reported Q3 results, with GAAP diluted EPS of $2.28 versus $1.18 and net income of $4,775 million versus $2,438 million year over year. Underlying segment performance was positive, with FPL and NEER earnings up $157 million and $216 million, respectively, but reported results benefited substantially from a $2,246 million hedge-related gain and revenue of $8.09 billion was below the $8.89 billion consensus estimate. Management maintained 2026 adjusted EPS guidance of $3.92-$4.02 while funding an aggressive investment program, with $27,554 million of nine-month capital expenditures and $105,958 million of long-term debt.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $2.28
What stood out
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GAAP EPS doubled on hedge gains
GAAP diluted EPS was $2.28, up from $1.18 in the prior-year quarter. Net income increased to $4,775 million from $2,438 million, although the increase included a $2,246 million after-tax gain from non-qualifying hedge activity.
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FPL benefited from rate-base growth
FPL net income increased $157 million to $1,620 million. Average FPL rate base was approximately $6.8 billion higher year over year, while operating revenues increased $136 million.
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NEER earnings grew from new projects
NEER net income rose $216 million to $1,491 million. New investments contributed $186 million of incremental after-tax earnings, existing energy assets contributed $108 million, and non-qualifying hedge activity contributed $153 million.
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Operating cash flow strengthened
Operating cash flow for the first nine months was $12,322 million versus $9,986 million in the prior-year period, an increase of $2,336 million.
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Investment spending accelerated
Capital expenditures, independent power and other investments, and nuclear fuel purchases totaled $27,554 million in the first nine months, up from $19,328 million. NEER investment was $19,223 million, including $10,373 million in solar and solar-plus-storage projects.
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Liquidity remains substantial
Net available liquidity was approximately $19.3 billion at September 30, 2026, including $5,577 million of cash and cash equivalents and $14,579 million of availability under syndicated revolving credit facilities after letters of credit.
What to watch
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Debt increased materially
Long-term debt, including the current portion, increased to $105,958 million from $93,056 million at December 31, 2025. Higher average debt balances also increased interest expense, raising financing risk as capital spending expands.
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Dominion merger approval risk
The pending Dominion Energy merger introduces execution and regulatory risk; the filing incorporates merger-related risk factors from the July 28, 2026 definitive joint proxy statement/prospectus, while merger-related expenses totaled $19 million after tax in the quarter.
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Regulatory and storm exposure
FPL's 2025 rate agreement remains subject to appeals pending before the Florida Supreme Court. In addition, Hurricane Isaias caused damage in October 2026, and FPL had approximately $1.5 billion of RSM reserve remaining under the agreement as of September 30, 2026.
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Clean-energy policy uncertainty
The company faces policy and supply-chain uncertainty from the OBBBA, federal permitting changes and tariffs. NEE identified pending Treasury rulemaking, trade investigations and transmission-interconnection changes, although it stated that its current wind and solar pipeline through 2030 is expected to qualify for clean-energy tax credits.
Management's outlook
The company maintained 2026 adjusted EPS guidance of $3.92-$4.02 and is targeting the high end. Long-term expectations remain 8% or greater adjusted EPS CAGR through 2032 and 8% or greater from 2032 through 2035.
Earlier filings 2
10-Q · April 23, 2026
NextEra posted a stronger quarter driven by FPL and a substantial rebound at NEER: consolidated net income attributable to NEE was $2,182 million (diluted EPS $1.04) vs $833 million (EPS $0.40) in Q1 2025. NEER…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.