Duke Energy's profit beats as higher power demand offsets rising expenses

By Pranav Mathur

Aug 4 (Reuters) - Utility ‌Duke Energy ​beat ​Wall Street estimates for second-quarter profit on Tuesday, as higher electricity demand and recovery of rate-based infrastructure investments ‌offset rising expenses.

The Charlotte, North Carolina-based company posted an ⁠adjusted profit of $1.43 per share for the three months ended June 30, compared ‌with analysts' estimates of $1.30, ‌according to data compiled by LSEG.

Here are more details:

• Energy companies are pushing to increase customer electricity rates in 2026 to ​help pay for infrastructure improvements, as power grids are strained by extreme weather and rising demand from electrification and ⁠expanding data centers.

• Regulated utilities rely on rate case processes to set how much customers ​are charged for electricity.

• The company said it has signed 7.8 GW of electric service agreements with ​data center customers, up 0.2 GW ‌from the previous quarter.

• It added six gas turbines under its partnership agreement with GE Vernova, bringing ⁠the total secured to 26, to support the next phase of generation build-out in its resource plans.

• Its electric utilities segment posted quarterly ⁠profit of 1.27 billion, compared with $1.19 billion a year ago.

• The segment, which ​serves 7.9 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, owns 51,000 megawatts of energy capacity.

• Duke said on its ‌post earnings call that additional contracts could add a further $5 billion to $10 billion to its record five-year ‌capital plan, driven by generation and transmission needs.

• However, interest expenses ⁠rose 6.6% to $957 million.

• ‌The company reaffirmed its ​full-year adjusted profit guidance of $6.55 to $6.80 per share.

(Reporting by Pranav Mathur in Bengaluru and Laila Kearney in ‌New York)

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