Cash Flow Quality and Leverage

Growth of NextEra Energy’s Operating Cash Flow and Capital Expenditures

Historic Capital Expenditures

Since 2001, NextEra Energy has invested nearly $206 billion in its regulated and long-term contracted renewables businesses.

year FPL
2001  1.154
2002 1.256
2003 1.409
2004 1.484
2005 1.711
2006 1.868
2007 2.007
2008 2.367
2009 2.717
2010 2.706
2011 3.502
2012 4.285
2013 2.903
2014 3.241
2015 3.633
2016 3.934
2017 5.291
2018 5.135
2019 6.484
2020 7.679
2021 7.570
2022 9.185
2023 9.400
NextEra Energy Historic Capital Expenditures
year Capital Holdings and Other
2001  2.105
2002 2.124
2003 1.485
2004 .533
2005 .835
2006 1.871
2007 3.012
2008 2.869
2009 3.289
2010 3.140
2011 3.126
2012 5.176
2013 3.779
2014 3.776
2015 4.744
2016 5.702
2017 5.449
2018 7.869
2019 10.978
2020 6.931
2021  8.507
2022 10.098
2023 15.713
Cumulative
year Cumulative
2001 5.153
2002 8.533
2003 11.427
2004 13.444
2005 15.990
2006 19.729
2007 24.748
2008 29.984
2009 35.990
2010 41.836
2011 48.464
2012 57.925
2013 64.607
2014 71.624
2015 80.001
2016 89.637
2017 100.377
2018 113.381
2019 130.843
2020 145.453
2021  161.530 
2022 180.813
2023 205.926
Operating Cash Flow Florida Power & Light
2001 1.826
2002 1.806
2003 1.557
2004 1.948
2005 1.238
2006 1.668
2007 2.163
2008 2.180
2009 2.871
2010 1.934
2011 2.245
2012 2.823
2013 3.558
2014 3.454
2015 3.393
2016 4.366
2017 3.916
2018
 4.422
2019 5.501
2020 5.816 
2021 5.358 
2022 4.894
2023 8.296
GAAP Consolidated Operating Cash Flow
Operating Cash Flow Capital Holdings and Other
2001 0.116
2002 0.532
2003 0.697
2004 0.702
2005 0.309
2006 0.830
2007 1,43
2008 1.223
2009 1.592
2010 1.9
2011 1.829
2012 1.169
2013 1.544
2014 2.046
2015 2.726
2016 1.97
2017 2.542
2018
 2.171
2019 2.654
2020
 2.167
2021 2.195 
2022
 3.368                                                                                                                                                                                                                                                  
2023 3.005
Cumulative Operating Cash Flow
Operating Cash Flow Cumulative Operating Cash Flow
2001 2.918
2002 5.256
2003 7.51
2004 10.16
2005 11.707
2006 14.205
2007 17.798
2008 21.201
2009 25.664
2010 29.498
2011 33.572
2012 37.564
2013 42.666
2014 48.166
2015 54.285
2016 60.621
2017 67.079
2018
 73.672
2019 81.8
2020
 89.8 
2021  97.3 
2022  105.6 
2023 116.901

Historic Operating Cash Flow

Our sound investments in regulated and long term contracted assets have yielded significant growth of NextEra Energy’s consolidated operating cash flow.


Operating Efficiency

Growth of Operating Cash Flow and CapEx

Comparatively, the growth of our consolidated operating cash flow has closely tracked the growth of our capital expenditures, both growing at a compound annual growth rate above 10% from 2001-2023.

 
year Capital Expenditures
2001 3.259
2002 3.380
2003 2.894
2004 2.017
2005 2.546
2006 3.739
2007 5.019
2008 5.236
2009 6.006
2010 5.846
2011 6.628
2012 9.461
2013 6.682
2014 7.017
2015 8.377
2016 9.636
2017 10.740
2018 12.273
2019 17.462
2020  14.610
2021  16.077 
2022 19.283 
2023 25.10
Equity Issuance
year Operating Cash Flow
2001 1.942
2002 2.338
2003 2.254
2004 2.650
2005 1.547
2006 2.498
2007 3.593
2008 3.403
2009 4.463
2010 3.834
2011 4.074
2012 3.992
2013 5.102
2014 5.500
2015 6.119
2016 6.336
2017 6.458
2018 6.593
2019 8.155
2020 7.983
2021 7.553 
2022 8.262 
2023 11.3
Cumulative Operating Cash Flow
year Cumulative Operating Cash Flow
2001 2.9
2002 5.3
2003 7.5
2004 10.2
2005 11.7
2006 14.2
2007 17.8
2008 21.2
2009 25.7
2010 29.5
2011 33.6
2012 37.6
2013 42.7
2014 48.2
2015 54.3
2016 60.6
2017 67.0
2018 73.6
2019 81.8
2020 89.8 
2021  97.3 
2022 105.6 
2023 116.9
Cumulative Capital Expenditures
year Cumulative Capital Expenditures
2001 5.2
2002 8.5
2003 11.4
2004 13.4
2005 16
2006 19.7
2007 24.7
2008 30
2009 36
2010 41.8
2011 48.5
2012 57.9
2013 64.6
2014 71.6
2015 80
2016 89.6
2017 100.3
2018 113.3
2019 130.8
2020
 145.4 
2021 161.5 
2022 180.8
2023 205.9

Free Cash Flow and Peer Dividend Comparison

The investments made in capital over the last few years are expected to drive significant increases in future cash flow.

  • Free Cash Flow
  • Dividend Policy Ratio Comparison
  • Free Cash Flow
  • Dividend Policy Ratio Comparison
  2019 2020 2021 2022 2023
Cash Flow from Operations $8.2B $8.0 B $7.6 B $8.3 B $11.3 B
Capital Expenditures(1) ($17.4) B ($14.6) B ($16.1) B ($19.3) B ($25.1) B
All Other Investing Activities $1.3 B $0.9 B $2.5 B

$0.9 B

 $0.7 B
Free Cash Flow Before Dividends ($8.0) B ($5.7) B ($6.0) B ($10.1) B ($13.1) B

 
(1) Includes cash consideration paid for the acquisition of Trans Bay Cable and Gulf Power in 2019 and Gridliance in 2021

Peers Percentage
Peer A 51.6% #007db6
NEE 59.3% #30a310
Peer B 60.5% #007db6
Peer C 62.1% #007db6
Peer D 62.9% #007db6
Peer E 63.9% #007db6
Peer F 64.2% #007db6
Peer G 65.5% #007db6
Peer H 73.0% #007db6
Peer I 76.2% #007db6
Peer J 134.2% #007db6
Industry Average
Peers Industry Average color
Peer A 66.8% #007db6
NEE 66.8% #007db6
Peer B 66.8% #007db6
Peer C 66.8% #007db6
Peer D 66.8% #007db6
Peer E 66.8% #007db6
Peer F 66.8% #007db6
Peer G 66.8% #007db6
Peer H 66.8% #007db6
Peer I 66.8% #007db6
Peer J 66.8% #007db6
  • Industry Average

Source: FactSet; based on actual annual dividend and adjusted EPS; data as of December 31, 2023

Credit Ratings of Energy Resources’ Contracted Assets’ Off-takers (MWs)

Energy Resources’ cash flows are largely supported by long-term contracts with creditworthy counterparties. The Energy Resources’ renewables portfolio is comprised of over 170 different customers with an average customer rating of A-, A3, and A- by S&P, Moody’s and Fitch, respectively. Of which, the top five customers contributed less than 3.5% of EBITDA, significantly mitigating concentration risk. Further, Energy Resources’ wind, solar, and storage fleet, which totals over 280 renewable electric power generation facilities, has a capacity weighted average remaining contract life of 15 years.

  • S&P Credit Ratings by MW
  • Moody’s Credit Ratings by MW
  • Fitch’s Credit Ratings by MW
  • S&P Credit Ratings by MW
  • Moody’s Credit Ratings by MW
  • Fitch’s Credit Ratings by MW

S&P Credit Ratings by MW(1)

Net MW
Net MW
AAA 98.9 #30a310
AA+ 2598.7 #30a310
AA 2925.1 #30a310
AA- 815.57 #30a310
A+ 451.48 #30a310
A 2920.9 #30a310
A- 10179.1 #30a310
BBB+ 4851.2 #30a310
BBB 3931.4 #30a310
BBB- 30.6 #30a310
BB+ 0
 #30a310
BB 0 #30a310
BB- 1320.7 #30a310
B+ 0 #30a310
B 0 #30a310
B- 0 #30a310
CCC+ 0 #30a310
CCC 0 #30a310
CCC- 0 #30a310
D 0
 #30a310
Not Rated(2) 4832.05 #30a310

1) Includes NextEra Energy Resources' share of assets owned by NextEra Energy Partners
2) Includes Municipalities that do not have a rating

Data as of March 31, 2024

Moody’s Credit Ratings by MW(1)

Net MW
Net MW
Aaa 675 #30a310
Aa1 1126.99 #30a310
Aa2 1352.7
 #30a310
Aa3 593.4 #30a310
A1 2405.91 #30a310
A2 2688.7
 #30a310
A3 4013.4 #30a310
Baa1 9658.1 #30a310
Baa2 3732.5 #30a310
Baa3 0 #30a310
Ba1 0
 #30a310
Ba2 0 #30a310
Ba3 0 #30a310
B1 0 #30a310
B2 0 #30a310
B3 0 #30a310
Caa1 0 #30a310
Caa2 0 #30a310
Caa3 0 #30a310
C
 0
 #30a310
Not Rated(2) 8708.78 #30a310

1) Includes NextEra Energy Resources' share of assets owned by NextEra Energy Partners
2) Includes Municipalities that do not have a rating

Data as of March 31, 2024

Fitch’s Credit Ratings by MW(1)(2)

0
Net MW
Net MW
AAA 0 #30a310
AA+ 292.2 #30a310
AA 1601.1 #30a310
AA- 2856.1 #30a310
A+ 1850.3 #30a310
A 1962.8
 #30a310
A- 4881.8 #30a310
BBB+ 6645.1 #30a310
BBB 1007.4 #30a310
BBB- 0 #30a310
BB+ 1320.7 #30a310
BB 0
 #30a310
BB- 0 #30a310
B+ 0 #30a310
B 0 #30a310
B- 0 #30a310
CCC+ 0 #30a310
CCC  0 #30a310
CCC- 0
 #30a310
D   #30a310
Not Rated(3) 12538.2 #30a310

1) S&P Rating used for off-takers that are not rated by Fitch
2) Includes NextEra Energy Resources' share of assets owned by NextEra Energy Partners
3) Includes Municipalities that do not have a rating

Data as of March 31, 2024