10-KPeriod: FY2023

DOMINION ENERGY, INC Annual Report, Year Ended Dec 31, 2023

Filed February 23, 2024For Securities:D

Summary

Dominion Energy, Inc. (D) reported solid financial performance for the year ended December 31, 2023, with net income attributable to Dominion Energy increasing by 51% to $1.99 billion, or $2.29 per diluted share. This improvement was largely driven by the absence of significant charges incurred in the prior year, including an impairment of nonregulated solar generation facilities and a loss from the sale of Kewaunee. The company also benefited from increased net investment earnings on nuclear decommissioning trust funds and a gain from the sale of its remaining noncontrolling interest in Cove Point. Strategically, Dominion Energy is continuing its comprehensive business review, with the sale of its regulated gas distribution operations to Enbridge and the sale of its noncontrolling interest in Cove Point being significant steps. The company's capital expenditure plan for 2024 focuses on upgrading its electric system in Virginia, with substantial investments planned for renewable generation, including the Coastal Virginia Offshore Wind (CVOW) Commercial Project, and grid modernization. Approximately 90% of the company's earnings are expected to come from state-regulated, primarily electric utility businesses, indicating a strong focus on its core regulated operations while transitioning to a cleaner energy future.

Financial Highlights

49 data points
Beta

Revenue

$14.39B

Net Income

$1.96B

13.6% Net Margin

EPS (Diluted)

$2.25

Total Assets

$109.08B

Cash & Equivalents

$184.00M

Free Cash Flow

$6.57B

Financial Statements
Beta
Revenue$14.39B
Operating Expenses$10.98B
Operating Income$3.41B
Net Income$1.96B
EPS (Basic)$2.25
EPS (Diluted)$2.25
Shares Outstanding (Basic)836.40M
Shares Outstanding (Diluted)836.50M

Key Highlights

  • 1Net income attributable to Dominion Energy increased 51% to $1.99 billion in 2023, with diluted EPS reaching $2.29.
  • 2The company is strategically divesting its regulated gas distribution operations to Enbridge and has completed the sale of its noncontrolling interest in Cove Point.
  • 3Significant capital investments are planned for 2024, totaling $11.8 billion, with a focus on renewable generation (including the CVOW Commercial Project) and electric system upgrades in Virginia.
  • 4Dominion Energy expects approximately 90% of its earnings to be derived from state-regulated utility businesses.
  • 5The company maintains a strong liquidity position, with $301 million in cash, restricted cash, and equivalents at year-end 2023, and $2.4 billion in available capacity under its joint revolving credit facility.
  • 6Progress continues towards achieving net-zero carbon and methane emissions by 2050, with ongoing investments in clean energy diversity and innovation.
  • 7The company's Board of Directors declared a 2024 annual dividend rate of $2.67 per share of common stock, consistent with the 2023 rate.

Frequently Asked Questions

Dominion Energy is strategically focusing on expanding and improving its regulated electric utilities and long-term contracted businesses while continuing its transition to a cleaner energy future. Key elements include investing in renewable generation, upgrading electric infrastructure, and managing its portfolio through strategic divestitures, such as the sale of its regulated gas distribution operations.

Dominion Energy plans capital expenditures of $11.8 billion in 2024. The primary focus is on upgrading the electric system in Virginia through investments in renewable generation facilities (including the CVOW Commercial Project), strategic undergrounding, energy conservation programs, and upgrades to electric transmission and distribution networks. Investments are also planned for Dominion Energy South Carolina and Contracted Energy operations.

Dominion Energy's net income attributable to the company increased by 51% in 2023 to $1.99 billion, or $2.29 per diluted share, up from $1.32 billion, or $1.49 per diluted share, in 2022. This improvement was driven by the absence of prior-year charges, increased investment earnings on nuclear decommissioning trust funds, and a gain from the sale of its Cove Point interest, partially offset by higher interest expenses and the impact of new Virginia legislation.

Dominion Energy is committed to providing reliable, affordable, and increasingly clean energy, with a goal to achieve net-zero carbon and methane emissions by 2050. This strategy involves clean energy diversity (renewables, nuclear), innovation in energy infrastructure modernization, and conservation and energy efficiency programs. The company is preserving its carbon-free nuclear generation and expanding wind and solar generation.