Pinnacle West Capital (PNW) Investor presentation summary

Company profile and service territory

• Operates Arizona's largest electric utility with 1.4 million customers and $25B in consolidated assets as of December 31, 2023.

• Owns or leases 6.5 GW of generating capacity, with 51% of current energy from clean sources.

• Service territory is rapidly growing, supported by robust economic and population growth, especially in Maricopa County.

• Diverse commercial and industrial customer base includes high-tech, manufacturing, aerospace, and data centers.

Growth outlook and energy future

• Focused on execution, with optimism driven by customer growth, regulatory improvements, and clean energy progress.

• Large commercial and industrial customers drive 3-5% of long-term sales growth, amplifying residential growth.

• Transmission expansion and strategic investments support reliability and access to markets.

• Clean energy commitment includes over 8,500 MW of contracted clean energy and storage by 2028, with a 100% clean electricity goal by 2050.

Regulatory and customer focus

• Improved regulatory environment with constructive outcomes, formula rate policy, and support for cost recovery mechanisms.

• Customer affordability prioritized, with rates below inflation and improved J.D. Power satisfaction rankings.

• Innovative programs and Inflation Reduction Act credits help customers save energy and money.