Updated Version 4-NextEra Energy quarterly profit exceeds expectations, says deal with Dominion is progressing smoothly

Paragraph 6 supplements with conference call details, paragraphs 9 and 10 add analyst commentary

Katha Kalia

Reuters, October 21 - NextEra Energy (NEE.N) reported third-quarter profit on Wednesday that exceeded analysts' expectations and said that, amid strict regulatory scrutiny, its proposed $66.8 billion acquisition of Dominion Energy (D.N) is still advancing.

The transaction (link) is expected to be completed in the second half of 2027. Although shareholder approval has been received, regulators and elected officials from multiple states have voiced concerns over electricity affordability and potential market monopoly issues.

"We are also continuing to drive forward with the ongoing merger with Dominion Energy," CEO John Ketchum said in a statement. "Shareholders of both companies approved the transaction in September, and reviews by state and federal regulators are underway."

In the United States, as power-hungry data centers continue to expand to support the boom in artificial intelligence, utility companies are experiencing a revival in electricity demand, after nearly two decades of stagnation.

NextEra has signed agreements for three federal hub projects, including two in Texas and one in Pennsylvania, with a total installed capacity of approximately 16.5 gigawatts (GW), and has raised $5.7 billion in initial funding so far this year.

The company expects these projects to begin operating as early as 2028 and 2029.

Its renewables and power generation unit, NextEra Energy Resources (NEER), reported net profit of $1.49 billion, up 17.3% year-on-year.

The company added 3.7 GW of renewable energy and battery storage projects to its order backlog, bringing total orders to about 36.7 GW by the end of the third quarter.

Jefferies analysts said NextEra's new orders exceeded the expected 3 GW, reflecting strong market demand.

"The storage and solar businesses have essentially continued the trend seen in 2025, with overall conditions remaining strong. Storage is increasingly driving the order backlog."

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According to data compiled by London Stock Exchange Group (LSEG), NextEra's adjusted earnings per share were $1.24, higher than the $1.18 analysts had expected.

NextEra's regulated utility, Florida Power & Light (FPL), reported net profit of $1.62 billion, up 10.9% from a year earlier, driven by continued capital investment. Regulated capital investment grew 9.2% year-on-year.

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