Summary
NextEra Energy, Inc. (NEE) issued this 8-K filing on November 28, 2011, primarily to disclose forward-looking statements made by its management team during investor meetings and a conference between November 29 and December 9, 2011. The company reiterated its adjusted earnings per share (EPS) expectations for 2011, projecting them to be towards the low end of the previously stated range of $4.35 to $4.65. For 2012, NEE reaffirmed its adjusted EPS expectations of $4.35 to $4.65. Furthermore, the company projected an average annual adjusted EPS growth rate of approximately 5% to 7% through 2014, based on the 2011 adjusted EPS range, which implies a 2014 EPS range of $5.05 to $5.65. It is important for investors to note that these adjusted EPS figures exclude several items, including the cumulative effect of adopting new accounting standards, unrealized mark-to-market effects of non-qualifying hedges, net other-than-temporary impairment losses on securities in nuclear decommissioning funds, and for 2011, expected losses from the sale of certain gas-fired generation assets. The filing also includes extensive cautionary statements and risk factors, highlighting the significant regulatory environment, operational risks, environmental compliance, nuclear generation risks, and market volatility that could impact the company's future financial performance.
Key Highlights
- 1Reaffirmation of 2011 adjusted EPS expectations towards the low end of the $4.35-$4.65 range.
- 2Reaffirmation of 2012 adjusted EPS expectations of $4.35-$4.65.
- 3Projected average annual adjusted EPS growth of 5%-7% through 2014.
- 4Implied 2014 adjusted EPS range of $5.05-$5.65 based on projected growth.
- 5Disclosure of items excluded from adjusted EPS calculations (accounting changes, hedge effects, impairment losses, asset sale losses).
- 6Extensive list of cautionary statements and risk factors impacting future results.
- 7Emphasis on regulatory environment and its potential impact on financial results.