Dominion Energy (D) Q1 2026 earnings summary

Executive summary

• Achieved Q1 2026 operating earnings per share of $0.95, including $0.03 from RNG 45Z income and $0.07 from favorable weather, with GAAP earnings per share of $0.69; net income attributable to shareholders decreased 7% year-over-year to $621 million, mainly due to higher interest expense, unrealized losses on hedging, and an impairment charge on nonregulated solar assets, partially offset by higher rider equity returns and benefits from the 2025 Biennial Review at Virginia Power.

• Affirmed all financial guidance, including operating earnings, credit, dividend, and long-term growth, with annual earnings growth targeted at 5%-7% and a bias toward the upper half starting in 2028.

• Focused on meeting financial commitments, achieving major construction milestones for the Coastal Virginia Offshore Wind (CVOW) project, and constructive regulatory outcomes.

• Virginia Power's net income rose 28% to $623 million, driven by increased rider equity returns, impacts from the 2025 Biennial Review, and a reduction in unrecoverable costs on the CVOW Commercial Project.

Financial highlights

• Operating revenue for Q1 2026 was $5.02 billion, up 23% year-over-year, with operating expenses rising 27% to $3.63 billion, mainly due to higher fuel and purchased capacity costs.

• Q1 2026 operating EPS: $0.95; 2026 guidance midpoint: $3.57 per share; 2026 dividend guidance: $2.67 per share.

• Year-to-date, issued $1.2 billion of common equity under the ATM program, with $400-$600 million remaining for the year.

• Full year 2025 and Q1 LTM FFO to debt metrics both above 15%, reflecting strong credit position.

• Cash flow from operations was $882 million, down $301 million year-over-year, mainly due to lower deferred fuel recoveries and higher interest payments.

Outlook and guidance

• Maintains 2026 operating earnings guidance range of $3.45 to $3.69 per share, midpoint $3.57, and all prior financial guidance, including credit, dividend, and long-term growth.

• Long-term operating EPS growth rate projected at 5%-7% off 2025 midpoint through 2030, with bias to upper half from 2028-2030.

• Monitoring catalysts such as expanded battery storage legislation and Millstone re-contracting that could enhance or extend growth rate.

• Expecting increasing clarity on Millstone re-contracting and data center opportunities later in the year.