Document

EX-99.1 2 er-20220930xearningsreleas.htm EX-99.1 Document


News Release

Media Contact: Jennifer Garber

24-Hour: 800.559.3853

Analyst Contact: Jack Sullivan

Office: 980.373.3564

November 4, 2022

Duke Energy reports third-quarter 2022 financial results

▪Third-quarter 2022 reported EPS of $1.81 and adjusted EPS of $1.78 driven by strong volumes in Electric Utilities and Infrastructure

▪Completed strategic review of Commercial Renewables business and initiated sale process; segment will be presented as discontinued operations in Q4

▪Updated 2022 adjusted EPS guidance range and introduced 2023 adjusted EPS guidance range, both excluding Commercial Renewables

•2022 guidance range of $5.20 to $5.30, with a midpoint of $5.25

•2023 guidance range of $5.55 to $5.75, with a midpoint of $5.65

▪Extended long-term growth rate of 5% to 7% through 2027 off the $5.65 midpoint of 2023 adjusted EPS guidance

CHARLOTTE, N.C. – Duke Energy (NYSE: DUK) today announced third-quarter 2022 reported EPS of $1.81, prepared in accordance with Generally Accepted Accounting Principles (GAAP), and adjusted EPS of $1.78. This is compared to reported EPS of $1.79 and adjusted EPS of $1.88 for the third quarter of 2021.

Adjusted EPS excludes the impact of certain items that are included in reported EPS. The difference between the third-quarter 2022 reported and adjusted EPS is due to income recorded from discontinued operations related to the International Disposal Group, which was sold in 2016.

Lower third-quarter 2022 adjusted results were led by fewer commercial renewable projects placed in service, higher depreciation and amortization, lower returns on investments and higher interest expense. These items were partially offset by higher volumes and lower O&M expense.

"We remain on track to deliver strong results from our regulated utilities in 2022, while advancing our clean energy transition and continuing to deliver exceptional value to our customers, stakeholders and investors,” said Lynn Good, Duke Energy chair, president and chief executive officer.

“We’re encouraged by the market response to our Commercial Renewables business and will proceed with a sale targeting a second-quarter 2023 closing. Our regulated utilities are well-positioned to deliver long-term earnings growth of 5% to 7% and we are targeting $5.55 - $5.75 for 2023.”

Duke Energy News Release 2

Business segment results

In addition to the following summary of third-quarter 2022 business segment performance, comprehensive tables with detailed EPS drivers for the third quarter compared to prior year are provided at the end of this news release.

The discussion below of third-quarter results includes both GAAP segment income and adjusted segment income, which is a non-GAAP financial measure. The tables at the end of this news release present a full reconciliation of GAAP reported results to adjusted results.

Electric Utilities and Infrastructure

On a reported and adjusted basis, Electric Utilities and Infrastructure recognized third-quarter 2022 segment income of $1,540 million, compared to reported and adjusted segment income of $1,425 million and $1,489 million, respectively, in the third quarter of 2021. On an adjusted basis, this represents an increase of $0.06 per share. Higher quarterly results were primarily due to higher volumes (+$0.08 per share) and lower O&M expense (+$0.06 per share), partially offset by higher depreciation and amortization on a growing asset base (-$0.04 per share), unfavorable weather (-$0.01 per share) and GIC minority interest impact (-$0.01 per share).

Gas Utilities and Infrastructure

On a reported and adjusted basis, Gas Utilities and Infrastructure recognized third-quarter 2022 segment income of $4 million, compared to reported and adjusted loss of $3 million and $5 million, respectively, in the third quarter of 2021. On an adjusted basis, this represents an increase of $0.01 per share. Higher quarterly results were primarily driven by riders and other retail margin.

Commercial Renewables

On a reported and adjusted basis, Commercial Renewables recognized third-quarter 2022 segment loss of $2 million, compared to segment income of $78 million in the third quarter of 2021. On an adjusted basis, this represents a decrease of $0.10 per share. Lower quarterly results were driven by fewer renewable projects placed in service.

Other

Other primarily includes interest expense on holding company debt, other unallocated corporate costs and results from Duke Energy’s captive insurance company.

On a reported and adjusted basis, Other recognized a third-quarter 2022 segment net loss of $186 million, compared to reported and adjusted segment net losses of $134 million and $127 million, respectively, in the third quarter of 2021. On an adjusted basis, this represents a decrease of $0.07 per share. Lower quarterly results were primarily due to higher interest expense and lower returns on investments.

Duke Energy News Release 3

Effective tax rate

Duke Energy's consolidated reported effective tax rate for the third quarter of 2022 was 8.4% compared to 6.6% in the third quarter of 2021. The increase in the effective tax rate was primarily due to a decrease in the amortization of excess deferred taxes.

The effective tax rate including noncontrolling interests and preferred dividends and excluding special items for the third quarter of 2022 was 8.3% compared to 7.1% in the third quarter of 2021. The increase was primarily due to a decrease in the amortization of excess deferred taxes.

The tables at the end of this news release present a reconciliation of the reported effective tax rate to the effective tax rate including noncontrolling interests and preferred dividends and excluding special items.

Earnings conference call for analysts

An earnings conference call for analysts is scheduled at 9 a.m. ET today to discuss third-quarter 2022 financial results and other business and financial updates. The conference call will be hosted by Lynn Good, chair, president and chief executive officer, and Brian Savoy, executive vice president and chief financial officer.

The call can be accessed via the investors section (duke-energy.com/investors) of Duke Energy’s website or by dialing 833.927.1758 in the U.S. or 929.526.1599 outside the U.S. The confirmation code is 714151. Please call in 10 to 15 minutes prior to the scheduled start time.

A recording of the webcast with transcript will be available on the investors' section of the company’s website by November 4.

Special Items and Non-GAAP Reconciliation

The following tables present a reconciliation of GAAP reported earnings per share to adjusted earnings per share for third-quarter 2022 and 2021 financial results:


(In millions, except per share amounts)	After-Tax Amount		3Q 2022 EPS		3Q 2021 EPS
EPS, as reported			$	1.81	$	1.79
Adjustments to reported EPS:
Third Quarter 2022


Mark-to-Market	$	(4)	—

Discontinued operations(a)	(23)		(0.03)
Third Quarter 2021

Gas pipeline investments	$	(2)			—
Workplace and Workforce Realignment	7				—
Regulatory Settlements	64				0.09

Total adjustments			$	(0.03)	$	0.09
EPS, adjusted			$	1.78	$	1.88

(a) Represents a reduction to a previously accrued liability as a result of the expiration of tax statutes related to the International Disposal Group.

Duke Energy News Release 4

Non-GAAP financial measures

Management evaluates financial performance in part based on non-GAAP financial measures, including adjusted earnings, adjusted EPS and effective tax rate including noncontrolling interests and preferred dividends and excluding special items. Adjusted earnings and adjusted EPS represent income (loss) from continuing operations available to Duke Energy Corporation common stockholders in dollar and per share amounts, adjusted for the dollar and per share impact of special items. The effective tax rate including noncontrolling interests and preferred dividends and excluding special items is calculated using pretax earnings and income tax expense, both as adjusted for the impact of noncontrolling interests, preferred dividends and special items. As discussed below, special items include certain charges and credits, which management believes are not indicative of Duke Energy's ongoing performance.

Management uses these non-GAAP financial measures for planning and forecasting, and for reporting financial results to the Board of Directors, employees, stockholders, analysts and investors. The most directly comparable GAAP measures for adjusted earnings, adjusted EPS and effective tax rate including noncontrolling interests and preferred dividends and excluding special items are Net Income (Loss) Available to Duke Energy Corporation common stockholders (GAAP reported earnings (loss)), Basic earnings (loss) per share Available to Duke Energy Corporation common stockholders (GAAP reported earnings (loss) per share), and the reported effective tax rate, respectively.

Special items included in the periods presented include the following items, which management believes do not reflect ongoing costs:

•Mark-to-Market represents the income statement impact of derivative instruments that do not qualify for hedge accounting or regulatory accounting.

•Gas pipeline investments represents additional exit obligations related to ACP.

•Workplace and Workforce Realignment represents costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment.

•Regulatory settlements represents an impairment charge related to the South Carolina Supreme Court decision on coal ash, insurance proceeds and Duke Energy Carolinas and Duke Energy Progress coal ash settlement.

Due to the forward-looking nature of any forecasted adjusted earnings guidance, information to reconcile this non-GAAP financial measure to the most directly comparable GAAP financial measure is not available at this time, as management is unable to project all special items for future periods (such as legal settlements, the impact of regulatory orders or asset impairments).

Duke Energy News Release 5

Management evaluates segment performance based on segment income (loss) and other net loss. Segment income (loss) is defined as income (loss) from continuing operations net of income attributable to noncontrolling interests and preferred stock dividends. Segment income (loss) includes intercompany revenues and expenses that are eliminated in the Condensed Consolidated Financial Statements. Management also uses adjusted segment income as a measure of historical and anticipated future segment performance. Adjusted segment income is a non-GAAP financial measure, as it is based upon segment income (loss) adjusted for special items, which are discussed above. Management believes the presentation of adjusted segment income provides useful information to investors, as it provides them with an additional relevant comparison of a segment’s performance across periods. The most directly comparable GAAP measure for adjusted segment income or adjusted other net loss is segment income (loss) and other net loss.

Due to the forward-looking nature of any forecasted adjusted segment income or adjusted other net loss and any related growth rates for future periods, information to reconcile these non-GAAP financial measures to the most directly comparable GAAP financial measures is not available at this time, as the company is unable to forecast all special items, as discussed above.

Duke Energy’s adjusted earnings, adjusted EPS and adjusted segment income may not be comparable to similarly titled measures of another company because other companies may not calculate the measures in the same manner.

Duke Energy

Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America’s largest energy holding companies. Its electric utilities serve 8.2 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 50,000 megawatts of energy capacity. Its natural gas unit serves 1.6 million customers in North Carolina, South Carolina, Tennessee, Ohio and Kentucky. The company employs 28,000 people.

Duke Energy is executing an aggressive clean energy transition to achieve its goals of net-zero methane emissions from its natural gas business by 2030 and net-zero carbon emissions from electricity generation by 2050. The company has interim carbon emission targets of at least 50% reduction from electric generation by 2030, 50% for Scope 2 and certain Scope 3 upstream and downstream emissions by 2035, and 80% from electric generation by 2040. In addition, the company is investing in major electric grid enhancements and energy storage, and exploring zero-emission power generation technologies such as hydrogen and advanced nuclear.

Duke Energy was named to Fortune’s 2022 “World’s Most Admired Companies” list and Forbes’ “World’s Best Employers” list. More information is available at duke-energy.com. The Duke Energy News Center contains news releases, fact sheets, photos and videos. Duke Energy’s illumination features stories about people, innovations, community topics and environmental issues. Follow Duke Energy on Twitter, LinkedIn, Instagram and Facebook.

Duke Energy News Release 6

Forward-Looking Information

This document includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on management’s beliefs and assumptions and can often be identified by terms and phrases that include “anticipate,” “believe,” “intend,” “estimate,” “expect,” “continue,” “should,” “could,” “may,” “plan,” “project,” “predict,” “will,” “potential,” “forecast,” “target,” “guidance,” “outlook” or other similar terminology. Various factors may cause actual results to be materially different than the suggested outcomes within forward-looking statements; accordingly, there is no assurance that such results will be realized. These factors include, but are not limited to:

◦The impact of the COVID-19 pandemic;

◦State, federal and foreign legislative and regulatory initiatives, including costs of compliance with existing and future environmental requirements, including those related to climate change, as well as rulings that affect cost and investment recovery or have an impact on rate structures or market prices;

◦The extent and timing of costs and liabilities to comply with federal and state laws, regulations and legal requirements related to coal ash remediation, including amounts for required closure of certain ash impoundments, are uncertain and difficult to estimate;

◦The ability to recover eligible costs, including amounts associated with coal ash impoundment retirement obligations, asset retirement and construction costs related to carbon emissions reductions, and costs related to significant weather events, and to earn an adequate return on investment through rate case proceedings and the regulatory process;

◦The costs of decommissioning nuclear facilities could prove to be more extensive than amounts estimated and all costs may not be fully recoverable through the regulatory process;

◦Costs and effects of legal and administrative proceedings, settlements, investigations and claims;

◦Industrial, commercial and residential growth or decline in service territories or customer bases resulting from sustained downturns of the economy, reduced customer usage due to cost pressures from inflation or fuel costs, and the economic health of our service territories or variations in customer usage patterns, including energy efficiency efforts, natural gas building and appliance electrification, and use of alternative energy sources, such as self-generation and distributed generation technologies;

◦Federal and state regulations, laws and other efforts designed to promote and expand the use of energy efficiency measures, natural gas electrification, and distributed generation technologies, such as private solar and battery storage, in Duke Energy service territories could result in a reduced number of customers, excess generation resources as well as stranded costs;

◦Advancements in technology;

◦Additional competition in electric and natural gas markets and continued industry consolidation;

◦The influence of weather and other natural phenomena on operations, including the economic, operational and other effects of severe storms, hurricanes, droughts, earthquakes and tornadoes, including extreme weather associated with climate change;

◦Changing investor, customer and other stakeholder expectations and demands including heightened emphasis on environmental, social and governance concerns;

◦The ability to successfully operate electric generating facilities and deliver electricity to customers including direct or indirect effects to the company resulting from an incident that affects the U.S. electric grid or generating resources;

◦Operational interruptions to our natural gas distribution and transmission activities;

◦The availability of adequate interstate pipeline transportation capacity and natural gas supply;

◦The impact on facilities and business from a terrorist attack, cybersecurity threats, data security breaches, operational accidents, information technology failures or other catastrophic events, such as fires, explosions, pandemic health events or other similar occurrences;

◦The inherent risks associated with the operation of nuclear facilities, including environmental, health, safety, regulatory and financial risks, including the financial stability of third-party service providers;

◦The timing and extent of changes in commodity prices and interest rates and the ability to recover such costs through the regulatory process, where appropriate, and their impact on liquidity positions and the value of underlying assets;

Duke Energy News Release 7

◦The results of financing efforts, including the ability to obtain financing on favorable terms, which can be affected by various factors, including credit ratings, interest rate fluctuations, compliance with debt covenants and conditions, an individual utility's generation mix, and general market and economic conditions;

◦Credit ratings of the Duke Energy Registrants may be different from what is expected;

◦Declines in the market prices of equity and fixed-income securities and resultant cash funding requirements for defined benefit pension plans, other post-retirement benefit plans and nuclear decommissioning trust funds;

◦Construction and development risks associated with the completion of the Duke Energy Registrants’ capital investment projects, including risks related to financing, obtaining and complying with terms of permits, meeting construction budgets and schedules and satisfying operating and environmental performance standards, as well as the ability to recover costs from customers in a timely manner, or at all;

◦Changes in rules for regional transmission organizations, including changes in rate designs and new and evolving capacity markets, and risks related to obligations created by the default of other participants;

◦The ability to control operation and maintenance costs;

◦The level of creditworthiness of counterparties to transactions;

◦The ability to obtain adequate insurance at acceptable costs;

◦Employee workforce factors, including the potential inability to attract and retain key personnel;

◦The ability of subsidiaries to pay dividends or distributions to Duke Energy Corporation holding company (the Parent);

◦The performance of projects undertaken by our nonregulated businesses and the success of efforts to invest in and develop new opportunities;

◦The effect of accounting pronouncements issued periodically by accounting standard-setting bodies;

◦The impact of U.S. tax legislation to our financial condition, results of operations or cash flows and our credit ratings;

◦The impacts from potential impairments of goodwill or equity method investment carrying values;

◦Asset or business acquisitions and dispositions, including our ability to successfully consummate the second closing of the minority investment in Duke Energy Indiana, may not yield the anticipated benefits;

◦The actions of activist shareholders could disrupt our operations, impact our ability to execute on our business strategy, or cause fluctuations in the trading price of our common stock; and

◦The ability to implement our business strategy, including its carbon emission reduction goals.

Additional risks and uncertainties are identified and discussed in the Duke Energy Registrants' reports filed with the SEC and available at the SEC's website at sec.gov. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements might not occur or might occur to a different extent or at a different time than described. Forward-looking statements speak only as of the date they are made and the Duke Energy Registrants expressly disclaim an obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

DUKE ENERGY CORPORATION

REPORTED TO ADJUSTED EARNINGS RECONCILIATION

Three Months Ended September 30, 2022

(Dollars in millions, except per share amounts)


			Special Item
	Reported Earnings		Mark-to-Market			Discontinued Operations			Total Adjustments		Adjusted Earnings
SEGMENT INCOME
Electric Utilities and Infrastructure	$	1,540	$	—		$	—		$	—	$	1,540
Gas Utilities and Infrastructure	4		—			—			—		4
Commercial Renewables	2		(4)		A	—			(4)		(2)
Total Reportable Segment Income	1,546		(4)			—			(4)		1,542
Other	(186)		—			—			—		(186)

Discontinued Operations	23		—			(23)		B	(23)		—
Net Income Available to Duke Energy Corporation Common Stockholders	$	1,383	$	(4)		$	(23)		$	(27)	$	1,356
EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS	$	1.81	$	—		$	(0.03)		$	(0.03)	$	1.78

Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $0.02.

A – Net of $2 million tax expense. $6 million recorded within Nonregulated electric and other (Operating revenues) related to derivative contracts that do not qualify for hedge accounting or regulatory treatment on the Condensed Consolidated Statements of Operations.

B – Related to the International Disposal Group and recorded in Income from Discontinued Operations, net of tax on the Condensed Consolidated Statements of Operations.

Weighted Average Shares (reported and adjusted) – 770 million

DUKE ENERGY CORPORATION

REPORTED TO ADJUSTED EARNINGS RECONCILIATION

Nine Months Ended September 30, 2022

(Dollars in millions, except per share amounts)


			Special Items
	Reported Earnings		Regulatory Matters			Mark-to-Market			Discontinued Operations			Total Adjustments		Adjusted Earnings
SEGMENT INCOME
Electric Utilities and Infrastructure	$	3,237	$	157	A	$	—		$	—		$	157	$	3,394
Gas Utilities and Infrastructure	277		—			—			—			—		277
Commercial Renewables	43		—			12		B	—			12		55
Total Reportable Segment Income	3,557		157			12			—			169		3,726
Other	(486)		—						—			—		(486)
Discontinued Operations	23		—			—			(23)		C	(23)		—
Net Income Available to Duke Energy Corporation Common Stockholders	$	3,094	$	157		$	12		$	(23)		$	146	$	3,240
EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS	$	4.03	$	0.20		$	0.02		$	(0.03)		$	0.19	$	4.22

Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $0.02.

A – Net of $80 million tax benefit. $211 million recorded within Impairment of assets and other charges, $46 million within Regulated electric (Operating revenues) and $20 million within Noncontrolling Interests related to the Duke Energy Indiana Supreme Court ruling on the Condensed Consolidated Statements of Operations.

B – Net of $3 million tax benefit. $15 million recorded within Nonregulated electric and other (Operating revenues) related to derivative contracts that do not qualify for hedge accounting or regulatory treatment on the Condensed Consolidated Statements of Operations.

C – Related to the International Disposal Group and recorded in Income from Discontinued Operations, net of tax on the Condensed Consolidated Statements of Operations.

Weighted Average Shares (reported and adjusted) – 770 million

DUKE ENERGY CORPORATION

REPORTED TO ADJUSTED EARNINGS RECONCILIATION

Three Months Ended September 30, 2021

(Dollars in millions, except per share amounts)


			Special Items
	Reported Earnings		Gas Pipeline Investments			Workplace and Workforce Realignment			Regulatory Settlements			Total Adjustments		Adjusted Earnings
SEGMENT INCOME
Electric Utilities and Infrastructure	$	1,425	$	—		$	—		64		C	$	64	$	1,489
Gas Utilities and Infrastructure	(3)		(2)		A	—			—			(2)		(5)
Commercial Renewables	78		—			—			—			—		78
Total Reportable Segment Income	1,500		(2)			—			64			62		1,562

Other	(134)		—			7		B	—			7		(127)


Net Income Available to Duke Energy Corporation Common Stockholders	$	1,366	$	(2)		$	7		$	64		$	69	$	1,435
EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS	$	1.79	$	—		$	—		$	0.09		$	0.09	$	1.88

Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $0.02.

A – Net of $1 million tax expense. $3 million recorded within Equity in earnings of unconsolidated affiliates related to exit obligations for ACP on the Condensed Consolidated Statements of Operations.

B – Net of $2 million tax benefit. $8 million recorded within Impairment of assets and other charges and $1 million within Operations, maintenance and other related to costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment on the Condensed Consolidated Statements of Operations.

C – Net of $18 million tax benefit at Duke Energy Carolinas and $1 million tax benefit at Duke Energy Progress.

• $160 million of expense recorded within Impairment of assets and other charges, $77 million of income recorded within Other income and expenses, $5 million of expense within Operations, maintenance and other, $13 million of income within Regulated electric operating revenues and $3 million of expense within Interest expense on the Duke Energy Carolinas' Condensed Consolidated Statement of Operations related to the South Carolina Supreme Court decision on coal ash and insurance proceeds.

• $42 million of expense recorded within Impairment of assets and other charges, $34 million of income recorded within Other income and expenses, $7 million of expense within Operations, maintenance and other, $15 million of income within Regulated electric operating revenues and $5 million of expense within Interest expense on the Duke Energy Progress' Condensed Consolidated Statement of Operations related to the South Carolina Supreme Court decision on coal ash and insurance proceeds.

Weighted Average Shares (reported and adjusted) – 769 million

DUKE ENERGY CORPORATION

REPORTED TO ADJUSTED EARNINGS RECONCILIATION

Nine Months Ended September 30, 2021

(Dollars in millions, except per share amounts)


			Special Items
	Reported Earnings		Gas Pipeline Investments			Workplace and Workforce Realignment			Regulatory Settlements			Total Adjustments		Adjusted Earnings
SEGMENT INCOME
Electric Utilities and Infrastructure	$	3,180	$	—		$	—		$	64	C	$	64	$	3,244
Gas Utilities and Infrastructure	259		15		A	—			—			15		274
Commercial Renewables	152		—			—			—			—		152
Total Reportable Segment Income	3,591		15			—			64			79		3,670
Other	(521)		—			142		B	—			142		(379)


Net Income Available to Duke Energy Corporation Common Stockholders	$	3,070	$	15		$	142		$	64		$	221	$	3,291
EPS AVAILABLE TO DUKE ENERGY CORPORATION COMMON STOCKHOLDERS	$	4.00	$	0.02		$	0.19		$	0.09		$	0.30	$	4.30

Note: Earnings Per Share amounts are adjusted for accumulated dividends for Series B Preferred Stock of $0.02.

A – Net of $4 million tax benefit. $19 million recorded within Equity in earnings of unconsolidated affiliates related to exit obligations for ACP on the Condensed Consolidated Statements of Operations.

B – Net of $42 million tax benefit. $139 million recorded within Impairment of assets and other charges, $28 million within Operations, maintenance and other, and $17 million within Depreciation and amortization related to costs attributable to business transformation, including long-term real estate strategy changes and workforce realignment on the Condensed Consolidated Statements of Operations.

C – Net of $18 million tax benefit at Duke Energy Carolinas and $1 million tax benefit at Duke Energy Progress.

Weighted Average Shares (reported and adjusted) – 769 million

DUKE ENERGY CORPORATION

EFFECTIVE TAX RECONCILIATION

September 2022

(Dollars in millions)


	Three Months Ended September 30, 2022				Nine Months Ended September 30, 2022
	Balance		Effective Tax Rate		Balance		Effective Tax Rate

Reported Income From Continuing Operations Before Income Taxes	$	1,518			$	3,281
Regulatory Matters	—				257
Mark-to-Market	(6)				15


Noncontrolling Interests	6				45
Preferred Dividends	(39)				(92)
Pretax Income Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items	$	1,479			$	3,506

Reported Income Tax Expense From Continuing Operations	$	128	8.4	%	$	191	5.8	%



Regulatory Matters	—				80
Mark-to-Market	(2)				3
Noncontrolling Interest Portion of Income Taxes(a)	(3)				(8)
Tax Expense Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items	$	123	8.3	%	$	266	7.6	%

(a) Income tax related to non-pass-through entities for tax purposes.


	Three Months Ended September 30, 2021				Nine Months Ended September 30, 2021
	Balance		Effective Tax Rate		Balance		Effective Tax Rate

Reported Income From Continuing Operations Before Income Taxes	$	1,366			$	3,125
Gas Pipeline Investments	(3)				19
Workplace and Workforce Realignment	9				184
Regulatory Settlements	83				83
Noncontrolling Interests	129				247
Preferred Dividends	(39)				(92)
Pretax Income Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items	$	1,545			$	3,566

Reported Income Tax Expense From Continuing Operations	$	90	6.6	%	$	210	6.7	%
Gas Pipeline Investments	(1)				4
Workplace and Workforce Realignment	2				42

Regulatory Settlements	19				19
Tax Expense Including Noncontrolling Interests and Preferred Dividends and Excluding Special Items	$	110	7.1	%	$	275	7.7	%

DUKE ENERGY CORPORATION

EARNINGS VARIANCES

September 2022 QTD vs. Prior Year



(Dollars per share)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Discontinued Operations		Consolidated
2021 QTD Reported Earnings Per Share	$	1.85	$	(0.01)	$	0.10	$	(0.15)	$	—	$	1.79





Regulatory Settlements	0.09		—		—		—		—		0.09
2021 QTD Adjusted Earnings Per Share	$	1.94	$	(0.01)	$	0.10	$	(0.15)	$	—	$	1.88
Weather	(0.01)		—		—		—		—		(0.01)
Volume(a)	0.08		—		—		—		—		0.08
Riders and Other Retail Margin(b)	(0.03)		0.02		—		—		—		(0.01)
Rate case impacts, net(c)	(0.01)		—		—		—		—		(0.01)
Wholesale	0.03		—		—		—		—		0.03
Operations and maintenance, net of recoverables(d)	0.06		(0.01)		—		—		—		0.05

Duke Energy Renewables(e)	—		—		(0.10)		—		—		(0.10)
Interest Expense(f)	—		—		—		(0.03)		—		(0.03)
AFUDC Equity	0.01		—		—		—		—		0.01
Depreciation and amortization(f)	(0.04)		—		—		—		—		(0.04)

Other(g)	(0.03)		—		—		(0.04)		—		(0.07)
Total variance	$	0.06	$	0.01	$	(0.10)	$	(0.07)	$	—	$	(0.10)

2022 QTD Adjusted Earnings Per Share	$	2.00	$	—	$	—	$	(0.22)	$	—	$	1.78


Discontinued Operations	—		—		—		—		0.03		0.03
2022 QTD Reported Earnings Per Share	$	2.00	$	—	$	—	$	(0.22)	$	0.03	$	1.81

Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers except Commercial Renewables, which uses an effective rate. Weighted average shares outstanding increased from 769 million shares to 770 million.

(a) Includes block and seasonal pricing (+$0.07).

(b) Electric Utilities and Infrastructure is primarily due to margin timing and higher purchased power.

(d) Electric Utilities and Infrastructure is primarily due to lower employee-related expenses.

(e) Primarily due to fewer renewable projects placed in service in the current year.

(f) Electric Utilities and Infrastructure excludes rate case impacts.

(g) Electric Utilities and Infrastructure includes impact of GIC minority interest sale. Other includes lower returns on investments.

DUKE ENERGY CORPORATION

EARNINGS VARIANCES

September 2022 YTD vs. Prior Year



(Dollars per share)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Discontinued Operations		Consolidated
2021 YTD Reported Earnings Per Share	$	4.13	$	0.34	$	0.20	$	(0.67)	$	—	$	4.00
Gas Pipeline Investments	—		0.02		—		—		—		0.02





Regulatory Settlements	0.09		—		—		—		—		0.09
Workplace and Workforce Realignment	—		—		—		0.19		—		0.19
2021 YTD Adjusted Earnings Per Share	$	4.22	$	0.36	$	0.20	$	(0.48)	$	—	$	4.30
Weather	0.07		—		—		—		—		0.07
Volume(a)	0.35		—		—		—		—		0.35
Riders and Other Retail Margin(b)	(0.07)		0.05		—		—		—		(0.02)
Rate case impacts, net(c)	0.03		0.04		—		—		—		0.07
Wholesale	0.02		—		—		—		—		0.02
Operations and maintenance, net of recoverables(d)	(0.12)		(0.05)		—		—		—		(0.17)

Duke Energy Renewables(e)	—		—		(0.13)		—		—		(0.13)
Interest Expense(f)	(0.02)		(0.01)		—		(0.03)		—		(0.06)
AFUDC Equity	0.05		(0.01)		—		—		—		0.04
Depreciation and amortization(f)	(0.03)		(0.01)		—		—		—		(0.04)

Other(g)	(0.09)		(0.01)		—		(0.11)		—		(0.21)
Total variance	$	0.19	$	—	$	(0.13)	$	(0.14)	$	—	$	(0.08)

2022 YTD Adjusted Earnings Per Share	$	4.41	$	0.36	$	0.07	$	(0.62)	$	—	$	4.22
Regulatory Matters	(0.20)		—		—		—		—		(0.20)
Mark-to-Market	—		—		(0.02)		—		—		(0.02)
Discontinued Operations	—		—		—		—		0.03		0.03

2022 YTD Reported Earnings Per Share	$	4.21	$	0.36	$	0.05	$	(0.62)	$	0.03	$	4.03

Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers except for Commercial Renewables, which uses an effective rate. Weighted average shares outstanding increased from 769 million shares to 770 million.

(a) Includes block and seasonal pricing (+$0.12).

(b) Electric Utilities and Infrastructure includes higher purchased power, unfavorable fuel and margin timing and lower late payment revenues.

(c) Electric Utilities and Infrastructure includes DEC and DEP North Carolina final rates, which became effective June 2021 (+$0.02) and DEF SBRA and multiyear rate plan (+$0.01); these rate case impacts include interest expense (-$0.04). Gas Utilities and Infrastructure includes the net impact of the PNG NC rate case, effective November 2021.

(d) Electric Utilities and Infrastructure includes higher storm costs (-$0.06), higher plant outage and maintenance work, higher bad debt expense and legal costs, partially offset by lower employee-related expenses.

(e) Primarily due to fewer renewable projects placed in service in the current year, partially offset by Texas Storm Uri impacts in the prior year (+$0.04).

(f) Electric Utilities and Infrastructure excludes rate case impacts.

(g) Electric Utilities and Infrastructure includes impact of GIC minority interest sale. Other includes lower returns on investments, partially offset by higher earnings at NMC.


DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In millions, except per share amounts)

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2022		2021		2022		2021
Operating Revenues
Regulated electric	$	7,374	$	6,495	$	19,381	$	16,972
Regulated natural gas	397		263		1,824		1,314
Nonregulated electric and other	197		193		580		573
Total operating revenues	7,968		6,951		21,785		18,859
Operating Expenses
Fuel used in electric generation and purchased power	2,629		1,844		6,418		4,702
Cost of natural gas	189		75		859		430
Operation, maintenance and other	1,394		1,507		4,471		4,319
Depreciation and amortization	1,364		1,265		3,986		3,698
Property and other taxes	378		371		1,149		1,073
Impairment of assets and other charges	(4)		211		202		342
Total operating expenses	5,950		5,273		17,085		14,564
Gains on Sales of Other Assets and Other, net	6		9		16		11
Operating Income	2,024		1,687		4,716		4,306
Other Income and Expenses
Equity in earnings of unconsolidated affiliates	26		22		87		14
Other income and expenses, net	89		238		293		493
Total other income and expenses	115		260		380		507
Interest Expense	621		581		1,815		1,688
Income From Continuing Operations Before Income Taxes	1,518		1,366		3,281		3,125
Income Tax Expense From Continuing Operations	128		90		191		210
Income From Continuing Operations	1,390		1,276		3,090		2,915
Income From Discontinued Operations, net of tax	23		—		23		—
Net Income	1,413		1,276		3,113		2,915
Add: Net Loss Attributable to Noncontrolling Interests	9		129		73		247
Net Income Attributable to Duke Energy Corporation	1,422		1,405		3,186		3,162
Less: Preferred Dividends	39		39		92		92
Net Income Available to Duke Energy Corporation Common Stockholders	$	1,383	$	1,366	$	3,094	$	3,070

Earnings Per Share – Basic and Diluted
Income from continuing operations available to Duke Energy Corporation common stockholders
Basic and Diluted	$	1.78	$	1.79	$	4.00	$	4.00

Income from discontinued operations attributable to Duke Energy Corporation common stockholders
Basic and Diluted	$	0.03	$	—	$	0.03	$	—

Net income available to Duke Energy Corporation common stockholders
Basic and Diluted	$	1.81	$	1.79	$	4.03	$	4.00

Weighted average shares outstanding
Basic and Diluted	770		769		770		769

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)


(In millions)	September 30, 2022		December 31, 2021
ASSETS
Current Assets
Cash and cash equivalents	$	453	$	343

Receivables (net of allowance for doubtful accounts of $38 at 2022 and $46 at 2021)	1,092		1,173
Receivables of VIEs (net of allowance for doubtful accounts of $136 at 2022 and $76 at 2021)	3,120		2,437
Inventory	3,487		3,199

Regulatory assets (includes $105 at 2022 and 2021 related to VIEs)	3,576		2,150
Other (includes $243 at 2022 and $256 at 2021 related to VIEs)	1,244		638
Total current assets	12,972		9,940
Property, Plant and Equipment
Cost	169,053		161,819
Accumulated depreciation and amortization	(53,241)		(50,555)
Facilities to be retired, net	95		144
Net property, plant and equipment	115,907		111,408
Other Noncurrent Assets
Goodwill	19,303		19,303
Regulatory assets (includes $1,742 at 2022 and $1,823 at 2021 related to VIEs)	13,835		12,487
Nuclear decommissioning trust funds	8,123		10,401
Operating lease right-of-use assets, net	1,199		1,266
Investments in equity method unconsolidated affiliates	951		970

Other (includes $164 at 2022 and $92 at 2021 related to VIEs)	4,050		3,812
Total other noncurrent assets	47,461		48,239
Total Assets	$	176,340	$	169,587
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable	$	4,175	$	3,629
Notes payable and commercial paper	3,606		3,304
Taxes accrued	946		749
Interest accrued	596		533
Current maturities of long-term debt (includes $635 at 2022 and $243 at 2021 related to VIEs)	3,249		3,387

Asset retirement obligations	798		647
Regulatory liabilities	1,338		1,211
Other	2,204		2,471
Total current liabilities	16,912		15,931
Long-Term Debt (includes $4,387 at 2022 and $4,854 at 2021 related to VIEs)	66,060		60,448
Other Noncurrent Liabilities
Deferred income taxes	10,244		9,379
Asset retirement obligations	12,152		12,129
Regulatory liabilities	14,017		16,152
Operating lease liabilities	1,004		1,074
Accrued pension and other post-retirement benefit costs	995		855
Investment tax credits	851		833

Other (includes $202 at 2022 and $319 at 2021 related to VIEs)	1,936		1,650
Total other noncurrent liabilities	41,199		42,072
Commitments and Contingencies
Equity
Preferred stock, Series A, $0.001 par value, 40 million depositary shares authorized and outstanding at 2022 and 2021	973		973
Preferred stock, Series B, $0.001 par value, 1 million shares authorized and outstanding at 2022 and 2021	989		989
Common Stock, $0.001 par value, 2 billion shares authorized; 770 million shares outstanding at 2022 and 769 million shares outstanding at 2021	1		1
Additional paid-in capital	44,397		44,371
Retained earnings	4,063		3,265
Accumulated other comprehensive loss	(78)		(303)
Total Duke Energy Corporation stockholders' equity	50,345		49,296
Noncontrolling interests	1,824		1,840
Total equity	52,169		51,136
Total Liabilities and Equity	$	176,340	$	169,587


DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In millions)

	Nine Months Ended September 30,
	2022		2021
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income	$	3,113	$	2,915
Adjustments to reconcile net income to net cash provided by operating activities	2,075		4,312
Net cash provided by operating activities	5,188		7,227

CASH FLOWS FROM INVESTING ACTIVITIES
Net cash used in investing activities	(8,630)		(8,200)

CASH FLOWS FROM FINANCING ACTIVITIES
Net cash provided by financing activities	3,551		1,160



Net increase in cash, cash equivalents and restricted cash	109		187
Cash, cash equivalents and restricted cash at beginning of period	520		556
Cash, cash equivalents and restricted cash at end of period	$	629	$	743

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)


	Three Months Ended September 30, 2022
(In millions)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Eliminations/Adjustments		Duke Energy
Operating Revenues
Regulated electric	$	7,382	$	—	$	—	$	—	$	(8)	$	7,374
Regulated natural gas	—		421		—		—		(24)		397
Nonregulated electric and other	57		6		130		29		(25)		197
Total operating revenues	7,439		427		130		29		(57)		7,968
Operating Expenses
Fuel used in electric generation and purchased power	2,653		—		—		—		(24)		2,629
Cost of natural gas	—		189		—		—		—		189
Operation, maintenance and other	1,257		115		87		(33)		(32)		1,394
Depreciation and amortization	1,170		80		61		59		(6)		1,364
Property and other taxes	336		29		11		3		(1)		378
Impairment of assets and other charges	8		(12)		—		—		—		(4)
Total operating expenses	5,424		401		159		29		(63)		5,950
Gains on Sales of Other Assets and Other, net	7		—		—		—		(1)		6
Operating Income (Loss)	2,022		26		(29)		—		5		2,024
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	2		6		(2)		20		—		26
Other income and expenses, net	112		19		2		(15)		(29)		89
Total Other Income and Expenses	114		25		—		5		(29)		115
Interest Expense	377		45		18		205		(24)		621
Income (Loss) from Continuing Operations before Income Taxes	1,759		6		(47)		(200)		—		1,518
Income Tax Expense (Benefit) from Continuing Operations	207		2		(29)		(52)		—		128
Income (Loss) from Continuing Operations	1,552		4		(18)		(148)		—		1,390
Add: Net (Income) Loss Attributable to Noncontrolling Interest	(12)		—		20		1		—		9
Net Income (Loss) Attributable to Duke Energy Corporation	1,540		4		2		(147)		—		1,399
Less: Preferred Dividends	—		—		—		39		—		39
Segment Income / Other Net Loss	$	1,540	$	4	$	2	$	(186)	$	—	$	1,360
Income from Discontinued Operations, net of tax											23
Net Income Available to Duke Energy Corporation Common Stockholders											$	1,383

Segment Income / Other Net Loss	$	1,540	$	4	$	2	$	(186)	$	—	$	1,360
Special Items	—		—		(4)		—		—		(4)
Adjusted Earnings(a)	$	1,540	$	4	$	(2)	$	(186)	$	—	$	1,356

(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income / Other Net Loss to Adjusted Earnings.

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)


	Nine Months Ended September 30, 2022
(In millions)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Eliminations/Adjustments		Duke Energy
Operating Revenues
Regulated electric	$	19,404	$	—	$	—	$	—	$	(23)	$	19,381
Regulated natural gas	—		1,894		—		—		(70)		1,824
Nonregulated electric and other	172		18		372		89		(71)		580
Total operating revenues	19,576		1,912		372		89		(164)		21,785
Operating Expenses
Fuel used in electric generation and purchased power	6,481		—		—		—		(63)		6,418
Cost of natural gas	—		859		—		—		—		859
Operation, maintenance and other	4,011		410		251		(107)		(94)		4,471
Depreciation and amortization	3,411		241		181		174		(21)		3,986
Property and other taxes	1,004		103		31		11		—		1,149
Impairment of assets and other charges	214		(12)		—		—		—		202
Total operating expenses	15,121		1,601		463		78		(178)		17,085
Gains (Losses) on Sales of Other Assets and Other, net	12		4		(1)		1		—		16
Operating Income (Loss)	4,467		315		(92)		12		14		4,716
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	6		14		(5)		72		—		87
Other income and expenses, net	375		47		5		(80)		(54)		293
Total Other Income and Expenses	381		61		—		(8)		(54)		380
Interest Expense	1,144		127		55		529		(40)		1,815
Income (Loss) from Continuing Operations before Income Taxes	3,704		249		(147)		(525)		—		3,281
Income Tax Expense (Benefit) from Continuing Operations	448		(28)		(98)		(131)		—		191
Income (Loss) from Continuing Operations	3,256		277		(49)		(394)		—		3,090
Add: Net (Income) Loss Attributable to Noncontrolling Interest	(19)		—		92		—		—		73
Net Income (Loss) Attributable to Duke Energy Corporation	3,237		277		43		(394)		—		3,163
Less: Preferred Dividends	—		—		—		92		—		92
Segment Income / Other Net Loss	$	3,237	$	277	$	43	$	(486)	$	—	$	3,071
Income from Discontinued Operations, net of tax											23
Net Income Available to Duke Energy Corporation Common Stockholders											$	3,094

Segment Income / Other Net Loss	$	3,237	$	277	$	43	$	(486)	$	—	$	3,071
Special Items	157		—		12		—		—		169
Adjusted Earnings(a)	$	3,394	$	277	$	55	$	(486)	$	—	$	3,240

(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income / Other Net Loss to Adjusted Earnings.

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)


	Three Months Ended September 30, 2021
(In millions)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Eliminations/Adjustments		Duke Energy
Operating Revenues
Regulated electric	$	6,569	$	—	$	—	$	—	$	(74)	$	6,495
Regulated natural gas	—		285		—		—		(22)		263
Nonregulated electric and other	—		4		117		28		44		193
Total operating revenues	6,569		289		117		28		(52)		6,951
Operating Expenses
Fuel used in electric generation and purchased power	1,864		—		—		—		(20)		1,844
Cost of natural gas	—		75		—		—		—		75
Operation, maintenance and other	1,363		102		90		(20)		(28)		1,507
Depreciation and amortization	1,084		74		58		56		(7)		1,265
Property and other taxes	330		30		10		2		(1)		371
Impairment of assets and other charges	202		—		—		8		1		211
Total operating expenses	4,843		281		158		46		(55)		5,273
Gains (Losses) on Sales of Other Assets and Other, net	9		—		—		(1)		1		9
Operating Income (Loss)	1,735		8		(41)		(19)		4		1,687
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	3		10		(4)		13		—		22
Other income and expenses, net	217		15		2		12		(8)		238
Total Other Income and Expenses	220		25		(2)		25		(8)		260
Interest Expense	365		37		20		163		(4)		581
Income (Loss) Before Income Taxes	1,590		(4)		(63)		(157)		—		1,366
Income Tax Expense (Benefit)	160		(1)		(6)		(63)		—		90
Net Income (Loss)	1,430		(3)		(57)		(94)		—		1,276
Add: Net (Income) Loss Attributable to Noncontrolling Interest	(5)		—		135		(1)		—		129
Net Income (Loss) Attributable to Duke Energy Corporation	1,425		(3)		78		(95)		—		1,405
Less: Preferred Dividends	—		—		—		39		—		39
Segment Income (Loss) / Other Net Loss / Net Income Available to Duke Energy Corporation Common Stockholders	$	1,425	$	(3)	$	78	$	(134)	$	—	$	1,366




Special Items	64		(2)		—		7		—		69
Adjusted Earnings(a)	$	1,489	$	(5)	$	78	$	(127)	$	—	$	1,435

(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income (Loss) / Other Net Loss to Adjusted Earnings.

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)


	Nine Months Ended September 30, 2021
(In millions)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Eliminations/Adjustments		Duke Energy
Operating Revenues
Regulated electric	$	17,185	$	—	$	—	$	—	$	(213)	$	16,972
Regulated natural gas	—		1,381		—		—		(67)		1,314
Nonregulated electric and other	—		10		355		81		127		573
Total operating revenues	17,185		1,391		355		81		(153)		18,859
Operating Expenses
Fuel used in electric generation and purchased power	4,760		—		—		—		(58)		4,702
Cost of natural gas	—		430		—		—		—		430
Operation, maintenance and other	3,907		302		240		(43)		(87)		4,319
Depreciation and amortization	3,154		216		167		182		(21)		3,698
Property and other taxes	949		92		28		4		—		1,073
Impairment of assets and other charges	203		—		—		139		—		342
Total operating expenses	12,973		1,040		435		282		(166)		14,564
Gains (Losses) on Sales of Other Assets and Other, net	11		—		—		(1)		1		11
Operating Income (Loss)	4,223		351		(80)		(202)		14		4,306
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	8		2		(32)		36		—		14
Other income and expenses, net	413		50		8		42		(20)		493
Total Other Income and Expenses	421		52		(24)		78		(20)		507
Interest Expense	1,066		105		53		470		(6)		1,688
Income (Loss) Before Income Taxes	3,578		298		(157)		(594)		—		3,125
Income Tax Expense (Benefit)	393		39		(56)		(166)		—		210
Net Income (Loss)	3,185		259		(101)		(428)		—		2,915
Add: Net (Income) Loss Attributable to Noncontrolling Interest	(5)		—		253		(1)		—		247
Net Income (Loss) Attributable to Duke Energy Corporation	3,180		259		152		(429)		—		3,162
Less: Preferred Dividends	—		—		—		92		—		92




Segment Income / Other Net Loss / Net Income Available to Duke Energy Corporation Common Stockholders	$	3,180	$	259	$	152	$	(521)	$	—	$	3,070
Special Items	64		15		—		142		—		221
Adjusted Earnings(a)	$	3,244	$	274	$	152	$	(379)	$	—	$	3,291

(a) See Reported to Adjusted Earnings Reconciliation for a detailed reconciliation of Segment Income / Other Net Loss to Adjusted Earnings.

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING BALANCE SHEETS – ASSETS

(Unaudited)


	September 30, 2022
(In millions)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Eliminations/ Adjustments		Duke Energy
Current Assets
Cash and cash equivalents	$	158	$	8	$	9	$	279	$	(1)	$	453

Receivables, net	804		123		115		50		—		1,092
Receivables of variable interest entities, net	3,121		—		—		—		(1)		3,120
Receivables from affiliated companies	73		177		628		1,072		(1,950)		—
Notes receivable from affiliated companies	96		—		—		2,600		(2,696)		—
Inventory	3,221		145		83		38		—		3,487

Regulatory assets	3,284		188		—		103		1		3,576
Other	880		166		185		34		(21)		1,244
Total current assets	11,637		807		1,020		4,176		(4,668)		12,972
Property, Plant and Equipment
Cost	143,835		14,853		7,815		2,643		(93)		169,053
Accumulated depreciation and amortization	(47,087)		(3,035)		(1,630)		(1,490)		1		(53,241)
Facilities to be retired, net	86		9		—		—		—		95
Net property, plant and equipment	96,834		11,827		6,185		1,153		(92)		115,907
Other Noncurrent Assets
Goodwill	17,379		1,924		—		—		—		19,303
Regulatory assets	12,590		790		—		455		—		13,835
Nuclear decommissioning trust funds	8,123		—		—		—		—		8,123
Operating lease right-of-use assets, net	807		13		125		254		—		1,199
Investments in equity method unconsolidated affiliates	100		230		511		110		—		951
Investment in consolidated subsidiaries	591		3		(1)		69,129		(69,722)		—

Other	2,359		355		294		2,719		(1,677)		4,050
Total other noncurrent assets	41,949		3,315		929		72,667		(71,399)		47,461
Total Assets	150,420		15,949		8,134		77,996		(76,159)		176,340
Segment reclassifications, intercompany balances and other	(902)		(149)		(627)		(74,477)		76,155		—
Segment Assets	$	149,518	$	15,800	$	7,507	$	3,519	$	(4)	$	176,340

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY

(Unaudited)


	September 30, 2022
(In millions)	Electric Utilities and Infrastructure		Gas Utilities and Infrastructure		Commercial Renewables		Other		Eliminations/ Adjustments		Duke Energy
Current Liabilities
Accounts payable	$	3,181	$	361	$	75	$	558	$	—	$	4,175
Accounts payable to affiliated companies	602		25		718		522		(1,867)		—
Notes payable to affiliated companies	2,186		486		21		48		(2,741)		—
Notes payable and commercial paper	—		—		—		3,606		—		3,606
Taxes accrued	901		48		(19)		15		1		946
Interest accrued	356		52		2		186		—		596
Current maturities of long-term debt	2,002		108		285		859		(5)		3,249

Asset retirement obligations	798		—		—		—		—		798
Regulatory liabilities	1,249		89		—		—		—		1,338
Other	1,494		144		86		542		(62)		2,204
Total current liabilities	12,769		1,313		1,168		6,336		(4,674)		16,912
Long-Term Debt	39,133		3,979		1,252		21,785		(89)		66,060
Long-Term Debt Payable to Affiliated Companies	1,670		7		—		—		(1,677)		—
Other Noncurrent Liabilities
Deferred income taxes	11,449		1,197		(532)		(1,869)		(1)		10,244
Asset retirement obligations	11,894		78		180		—		—		12,152
Regulatory liabilities	12,672		1,316		—		29		—		14,017
Operating lease liabilities	701		11		131		161		—		1,004
Accrued pension and other post-retirement benefit costs	447		30		(21)		539		—		995
Investment tax credits	850		1		—		—		—		851

Other	817		266		413		625		(185)		1,936
Total other noncurrent liabilities	38,830		2,899		171		(515)		(186)		41,199
Equity
Total Duke Energy Corporation stockholders' equity	57,583		7,749		4,126		50,420		(69,533)		50,345
Noncontrolling interests	435		2		1,417		(30)		—		1,824
Total equity	58,018		7,751		5,543		50,390		(69,533)		52,169
Total Liabilities and Equity	150,420		15,949		8,134		77,996		(76,159)		176,340
Segment reclassifications, intercompany balances and other	(902)		(149)		(627)		(74,477)		76,155		—
Segment Liabilities and Equity	$	149,518	$	15,800	$	7,507	$	3,519	$	(4)	$	176,340

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)


	Three Months Ended September 30, 2022
(In millions)	Duke Energy Carolinas		Duke Energy Progress		Duke Energy Florida		Duke Energy Ohio(a)		Duke Energy Indiana		Eliminations/ Other		Electric Utilities and Infrastructure



Operating Revenues	$	2,175	$	1,969	$	1,907	$	507	$	1,095	$	(214)	$	7,439
Operating Expenses
Fuel used in electric generation and purchased power	544		749		856		185		556		(237)		2,653
Operation, maintenance and other	432		347		225		92		177		(16)		1,257
Depreciation and amortization	375		313		249		60		167		6		1,170
Property and other taxes	88		46		123		65		13		1		336
Impairment of assets and other charges	6		—		—		1		—		1		8
Total operating expenses	1,445		1,455		1,453		403		913		(245)		5,424
Gains on Sales of Other Assets and Other, net	4		1		3		—		—		(1)		7
Operating Income	734		515		457		104		182		30		2,022
Other Income and Expenses, net(b)	59		27		22		3		10		(7)		114
Interest Expense	131		85		84		23		48		6		377
Income Before Income Taxes	662		457		395		84		144		17		1,759
Income Tax Expense	36		59		73		10		25		4		207
Less: Income Attributable to Noncontrolling Interest	—		—		—		—		—		12		12
Segment Income	$	626	$	398	$	322	$	74	$	119	$	1	$	1,540

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes an equity component of allowance for funds used during construction of $28 million for Duke Energy Carolinas, $14 million for Duke Energy Progress, $3 million for Duke Energy Florida, $1 million for Duke Energy Ohio and $2 million for Duke Energy Indiana.

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)


	Nine Months Ended September 30, 2022
(In millions)	Duke Energy Carolinas		Duke Energy Progress		Duke Energy Florida		Duke Energy Ohio(a)		Duke Energy Indiana		Eliminations/ Other		Electric Utilities and Infrastructure



Operating Revenues	$	5,844	$	5,182	$	4,890	$	1,320	$	2,835	$	(495)	$	19,576
Operating Expenses
Fuel used in electric generation and purchased power	1,423		1,916		2,011		439		1,234		(542)		6,481
Operation, maintenance and other	1,402		1,093		711		264		548		(7)		4,011
Depreciation and amortization	1,138		890		717		173		478		15		3,411
Property and other taxes	258		136		335		214		60		1		1,004
Impairment of assets and other charges	(3)		4		—		1		211		1		214
Total operating expenses	4,218		4,039		3,774		1,091		2,531		(532)		15,121
Gains on Sales of Other Assets and Other, net	4		2		5		—		—		1		12
Operating Income	1,630		1,145		1,121		229		304		38		4,467
Other Income and Expenses, net(b)	174		86		84		11		28		(2)		381
Interest Expense	415		260		258		66		138		7		1,144
Income Before Income Taxes	1,389		971		947		174		194		29		3,704
Income Tax Expense	90		131		183		22		3		19		448

Less: Income Attributable to Noncontrolling Interest(c)	—		—		—		—		—		19		19
Segment Income Attributable to Duke Energy Corporation	$	1,299	$	840	$	764	$	152	$	191	$	(9)	$	3,237

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes an equity component of allowance for funds used during construction of $75 million for Duke Energy Carolinas, $37 million for Duke Energy Progress, $13 million for Duke Energy Florida, $4 million for Duke Energy Ohio and $12 million for Duke Energy Indiana.

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS – ASSETS

(Unaudited)


	September 30, 2022
(In millions)	Duke Energy Carolinas		Duke Energy Progress		Duke Energy Florida		Duke Energy Ohio(a)		Duke Energy Indiana		Eliminations/ Adjustments(b)		Electric Utilities and Infrastructure
Current Assets
Cash and cash equivalents	$	36	$	58	$	25	$	7	$	32	$	—	$	158

Receivables, net	318		130		159		81		106		10		804
Receivables of variable interest entities, net	932		733		611		—		—		845		3,121
Receivables from affiliated companies	297		19		6		207		247		(703)		73
Notes receivable from affiliated companies	—		329		—		—		—		(233)		96
Inventory	1,112		980		569		108		452		—		3,221

Regulatory assets	995		658		1,212		36		384		(1)		3,284
Other	264		189		162		26		246		(7)		880
Total current assets	3,954		3,096		2,744		465		1,467		(89)		11,637
Property, Plant and Equipment
Cost	53,878		38,503		25,243		8,060		17,916		235		143,835
Accumulated depreciation and amortization	(18,504)		(14,224)		(6,244)		(2,195)		(5,920)		—		(47,087)
Facilities to be retired, net	86		—		—		—		—		—		86
Net property, plant and equipment	35,460		24,279		18,999		5,865		11,996		235		96,834
Other Noncurrent Assets
Goodwill	—		—		—		596		—		16,783		17,379
Regulatory assets	3,969		4,482		2,038		291		1,030		780		12,590
Nuclear decommissioning trust funds	4,481		3,204		438		—		—		—		8,123
Operating lease right-of-use assets, net	87		384		269		18		49		—		807
Investments in equity method unconsolidated affiliates	—		—		1		—		—		99		100
Investment in consolidated subsidiaries	56		13		3		297		1		221		591

Other	1,179		748		430		71		274		(343)		2,359
Total other noncurrent assets	9,772		8,831		3,179		1,273		1,354		17,540		41,949
Total Assets	49,186		36,206		24,922		7,603		14,817		17,686		150,420
Segment reclassifications, intercompany balances and other	(358)		(458)		(14)		(203)		281		(150)		(902)
Reportable Segment Assets	$	48,828	$	35,748	$	24,908	$	7,400	$	15,098	$	17,536	$	149,518

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances, purchase accounting adjustments, restricted receivables related to Cinergy Receivables Company and Commercial Transmission and Duke Energy Indiana Holdco, LLC balances.

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY

(Unaudited)


	September 30, 2022
(In millions)	Duke Energy Carolinas		Duke Energy Progress		Duke Energy Florida		Duke Energy Ohio(a)		Duke Energy Indiana		Eliminations/ Adjustments(b)		Electric Utilities and Infrastructure
Current Liabilities
Accounts payable	$	1,184	$	504	$	926	$	255	$	310	$	2	$	3,181
Accounts payable to affiliated companies	196		368		119		125		72		(278)		602
Notes payable to affiliated companies	584		—		983		322		483		(186)		2,186

Taxes accrued	265		162		175		211		75		13		901
Interest accrued	118		73		82		23		59		1		356
Current maturities of long-term debt	1,019		368		328		192		3		92		2,002

Asset retirement obligations	279		311		1		23		185		(1)		798
Regulatory liabilities	442		336		250		47		175		(1)		1,249
Other	564		354		337		85		178		(24)		1,494
Total current liabilities	4,651		2,476		3,201		1,283		1,540		(382)		12,769
Long-Term Debt	12,903		10,572		8,089		2,457		4,157		955		39,133
Long-Term Debt Payable to Affiliated Companies	300		150		—		18		150		1,052		1,670
Other Noncurrent Liabilities
Deferred income taxes	4,160		2,400		2,725		794		1,323		47		11,449
Asset retirement obligations	5,115		5,529		363		78		773		36		11,894
Regulatory liabilities	5,974		4,179		770		301		1,468		(20)		12,672
Operating lease liabilities	73		344		219		18		47		—		701
Accrued pension and other post-retirement benefit costs	39		212		156		64		135		(159)		447
Investment tax credits	301		125		234		3		186		1		850

Other	537		87		122		51		59		(39)		817
Total other noncurrent liabilities	16,199		12,876		4,589		1,309		3,991		(134)		38,830



Equity
Total Duke Energy Corporation stockholders equity	15,133		10,132		9,043		2,536		4,979		15,760		57,583
Noncontrolling interests(c)	—		—		—		—		—		435		435
Total equity	15,133		10,132		9,043		2,536		4,979		16,195		58,018
Total Liabilities and Equity	49,186		36,206		24,922		7,603		14,817		17,686		150,420
Segment reclassifications, intercompany balances and other	(358)		(458)		(14)		(203)		281		(150)		(902)
Reportable Segment Liabilities and Equity	$	48,828	$	35,748	$	24,908	$	7,400	$	15,098	$	17,536	$	149,518

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances, purchase accounting adjustments and Commercial Transmission and Duke Energy Indiana Holdco, LLC balances.

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)


	Three Months Ended September 30, 2022
(In millions)	Duke Energy Ohio(a)		Piedmont Natural Gas LDC		Midstream Pipelines and Storage(b)		Eliminations/ Adjustments		Gas Utilities and Infrastructure



Operating Revenues	$	121	$	306	$	—	$	—	$	427
Operating Expenses
Cost of natural gas	21		168		—		—		189
Operation, maintenance and other	29		86		1		(1)		115
Depreciation and amortization	24		56		—		—		80
Property and other taxes	14		13		—		2		29
Impairment of assets and other charges	(12)		1		—		(1)		(12)
Total operating expenses	76		324		1		—		401

Operating Income (Loss)	45		(18)		(1)		—		26
Other Income and Expenses
Equity in earnings of unconsolidated affiliates	—		—		6		—		6
Other income and expenses, net	1		12		6		—		19
Total other income and expenses	1		12		12		—		25
Interest Expense	8		36		—		1		45
Income (Loss) Before Income Taxes	38		(42)		11		(1)		6
Income Tax Expense (Benefit)	8		(8)		2		—		2
Segment Income (Loss)	$	30	$	(34)	$	9	$	(1)	$	4

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Primarily earnings from investments in Sabal Trail and Cardinal pipelines, as well as Hardy and Pine Needle storage facilities.

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)


	Nine Months Ended September 30, 2022
(In millions)	Duke Energy Ohio(a)		Piedmont Natural Gas LDC		Midstream Pipelines and Storage(b)		Eliminations/ Adjustments		Gas Utilities and Infrastructure



Operating Revenues	$	491	$	1,421	$	—	$	—	$	1,912
Operating Expenses
Cost of natural gas	174		685		—		—		859
Operation, maintenance and other	140		267		3		—		410
Depreciation and amortization	74		166		—		1		241
Property and other taxes	58		44		—		1		103
Impairment of assets and other charges	(12)		1		—		(1)		(12)
Total operating expenses	434		1,163		3		1		1,601
Gains on Sales of Other Assets and Other, net	—		4		—		—		4
Operating Income (Loss)	57		262		(3)		(1)		315
Other Income and Expenses, net
Equity in earnings of unconsolidated affiliates	—		—		14		—		14
Other income and expenses, net	5		36		6		—		47
Other Income and Expenses, net	5		36		20		—		61
Interest Expense	25		102		—		—		127
Income (Loss) Before Income Taxes	37		196		17		(1)		249
Income Tax (Benefit) Expense	(50)		18		5		(1)		(28)
Segment Income	$	87	$	178	$	12	$	—	$	277

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes earnings from investments in Sabal Trail and Cardinal pipelines, as well as Hardy and Pine Needle storage facilities.

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS – ASSETS

(Unaudited)


	September 30, 2022
(In millions)	Duke Energy Ohio(a)		Piedmont Natural Gas LDC		Midstream Pipelines and Storage		Eliminations/ Adjustments(b)		Gas Utilities and Infrastructure
Current Assets
Cash and cash equivalents	$	2	$	—	$	5	$	1	$	8

Receivables, net	7		116		—		—		123

Receivables from affiliated companies	107		82		61		(73)		177

Inventory	10		135		—		—		145

Regulatory assets	28		161		—		(1)		188
Other	73		89		4		—		166
Total current assets	227		583		70		(73)		807
Property, Plant and Equipment
Cost	4,224		10,560		70		(1)		14,853
Accumulated depreciation and amortization	(1,008)		(2,027)		—		—		(3,035)
Facilities to be retired, net	—		9		—		—		9
Net property, plant and equipment	3,216		8,542		70		(1)		11,827
Other Noncurrent Assets
Goodwill	324		49		—		1,551		1,924
Regulatory assets	310		379		—		101		790
Operating lease right-of-use assets, net	—		13		—		—		13
Investments in equity method unconsolidated affiliates	—		—		225		5		230
Investment in consolidated subsidiaries	—		—		—		3		3

Other	21		299		33		2		355
Total other noncurrent assets	655		740		258		1,662		3,315
Total Assets	4,098		9,865		398		1,588		15,949
Segment reclassifications, intercompany balances and other	(75)		(82)		(61)		69		(149)
Reportable Segment Assets	$	4,023	$	9,783	$	337	$	1,657	$	15,800

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances and purchase accounting adjustments.

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS – LIABILITIES AND EQUITY

(Unaudited)


	September 30, 2022
(In millions)	Duke Energy Ohio(a)		Piedmont Natural Gas LDC		Midstream Pipelines and Storage		Eliminations/ Adjustments(b)		Gas Utilities and Infrastructure
Current Liabilities
Accounts payable	$	70	$	284	$	7	$	—	$	361
Accounts payable to affiliated companies	3		61		42		(81)		25
Notes payable to affiliated companies	178		308		—		—		486

Taxes accrued	10		43		(5)		—		48
Interest accrued	9		43		—		—		52
Current maturities of long-term debt	108		—		—		—		108


Regulatory liabilities	24		65		—		—		89
Other	5		82		55		2		144
Total current liabilities	407		886		99		(79)		1,313
Long-Term Debt	463		3,363		66		87		3,979
Long-Term Debt Payable to Affiliated Companies	7		—		—		—		7
Other Noncurrent Liabilities
Deferred income taxes	340		854		2		1		1,197
Asset retirement obligations	55		23		—		—		78
Regulatory liabilities	271		1,032		—		13		1,316
Operating lease liabilities	—		11		—		—		11
Accrued pension and other post-retirement benefit costs	22		7		—		1		30
Investment tax credits	1		1		—		(1)		1

Other	43		173		49		1		266
Total other noncurrent liabilities	732		2,101		51		15		2,899
Equity
Total Duke Energy Corporation stockholders' equity	2,489		3,515		179		1,566		7,749
Noncontrolling interests	—		—		3		(1)		2
Total equity	2,489		3,515		182		1,565		7,751
Total Liabilities and Equity	4,098		9,865		398		1,588		15,949
Segment reclassifications, intercompany balances and other	(75)		(82)		(61)		69		(149)
Reportable Segment Liabilities and Equity	$	4,023	$	9,783	$	337	$	1,657	$	15,800

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances and purchase accounting adjustments.


Electric Utilities and Infrastructure
Quarterly Highlights
September 2022

		Three Months Ended September 30,						Nine Months Ended September 30,
		2022	2021	% Inc.(Dec.)		% Inc. (Dec.) Weather Normal(b)		2022	2021	% Inc. (Dec.)		% Inc. (Dec.) Weather Normal(b)
Gigawatt-hour (GWh) Sales(a)
	Residential	26,362	25,604	3.0	%	0.4	%	68,985	68,115	1.3	%	2.3	%
	General Service	22,507	21,991	2.3	%	0.7	%	59,009	56,956	3.6	%	3.1	%
	Industrial	13,528	13,736	(1.5	%)	(1.0	%)	37,744	37,436	0.8	%	1.5	%
	Other Energy Sales	148	146	1.4	%	n/a		428	419	2.1	%	n/a
	Unbilled Sales	(2,082)	(937)	(122.2	%)	n/a		1,180	(676)	274.6	%	n/a
	Total Retail Sales	60,463	60,540	(0.1	%)	0.2	%	167,346	162,250	3.1	%	2.3	%
	Wholesale and Other	13,262	12,327	7.6	%			35,231	31,859	10.6	%
	Total Consolidated Electric Sales – Electric Utilities and Infrastructure	73,725	72,867	1.2	%			202,577	194,109	4.4	%

Average Number of Customers (Electric)
	Residential	7,131,924	7,013,890	1.7	%			7,098,468	6,981,026	1.7	%
	General Service	1,035,725	1,025,606	1.0	%			1,041,327	1,021,971	1.9	%
	Industrial	16,283	16,436	(0.9	%)			16,348	16,456	(0.7	%)
	Other Energy Sales	24,340	24,354	(0.1	%)			24,698	24,297	1.7	%
	Total Retail Customers	8,208,272	8,080,286	1.6	%			8,180,841	8,043,750	1.7	%
	Wholesale and Other	35	35	—	%			38	37	2.7	%
	Total Average Number of Customers – Electric Utilities and Infrastructure	8,208,307	8,080,321	1.6	%			8,180,879	8,043,787	1.7	%

Sources of Electric Energy (GWh)
	Generated – Net Output(c)
	Coal	9,161	15,428	(40.6	%)			29,375	39,527	(25.7	%)
	Nuclear	19,442	19,147	1.5	%			55,435	56,632	(2.1	%)
	Hydro	309	374	(17.4	%)			1,441	2,000	(28.0	%)
	Natural Gas and Oil	28,513	24,321	17.2	%			71,309	60,248	18.4	%
	Renewable Energy	706	411	71.8	%			1,840	1,181	55.8	%
	Total Generation(d)	58,131	59,681	(2.6	%)			159,400	159,588	(0.1	%)
	Purchased Power and Net Interchange(e)	19,465	16,789	15.9	%			52,178	45,558	14.5	%
	Total Sources of Energy	77,596	76,470	1.5	%			211,578	205,146	3.1	%
	Less: Line Loss and Other	3,871	3,604	7.4	%			9,001	11,037	(18.4	%)
	Total GWh Sources	73,725	72,866	1.2	%			202,577	194,109	4.4	%

Owned Megawatt (MW) Capacity(c)
	Summer							49,847	50,137
	Winter							53,015	53,545
Nuclear Capacity Factor (%)(f)								95	96

(a) Except as indicated in footnote (b), represents non-weather-normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

(f) Statistics reflect 100% of jointly owned stations.


Duke Energy Carolinas
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
September 2022

		Three Months Ended September 30,								Nine Months Ended September 30,
		2022		2021		% Inc.(Dec.)		% Inc. (Dec.) Weather Normal(b)		2022		2021		% Inc. (Dec.)		% Inc. (Dec.) Weather Normal(b)
GWh Sales(a)
	Residential	8,743		8,537		2.4	%			23,108		22,960		0.6	%
	General Service	8,609		8,384		2.7	%			22,650		21,496		5.4	%
	Industrial	5,605		5,966		(6.1	%)			15,869		15,458		2.7	%
	Other Energy Sales	74		82		(9.8	%)			226		228		(0.9	%)
	Unbilled Sales	(962)		(352)		(173.3	%)			282		(85)		431.8	%
	Total Retail Sales	22,069		22,617		(2.4	%)	(2.2	%)	62,135		60,057		3.5	%	2.3	%
	Wholesale and Other	2,485		2,416		2.9	%			6,990		7,300		(4.2	%)
	Total Consolidated Electric Sales – Duke Energy Carolinas	24,554		25,033		(1.9	%)			69,125		67,357		2.6	%

Average Number of Customers
	Residential	2,382,278		2,340,894		1.8	%			2,371,783		2,326,349		2.0	%
	General Service	399,125		397,453		0.4	%			400,440		396,504		1.0	%
	Industrial	6,045		6,052		(0.1	%)			6,053		6,062		(0.1	%)
	Other Energy Sales	11,233		11,276		(0.4	%)			11,242		11,295		(0.5	%)
	Total Retail Customers	2,798,681		2,755,675		1.6	%			2,789,518		2,740,210		1.8	%
	Wholesale and Other	16		18		(11.1	%)			17		18		(5.6	%)
	Total Average Number of Customers – Duke Energy Carolinas	2,798,697		2,755,693		1.6	%			2,789,535		2,740,228		1.8	%

Sources of Electric Energy (GWh)
	Generated – Net Output(c)
	Coal	1,469		4,661		(68.5	%)			6,066		12,779		(52.5	%)
	Nuclear	11,697		11,191		4.5	%			32,943		34,534		(4.6	%)
	Hydro	119		169		(29.6	%)			756		1,181		(36.0	%)
	Natural Gas and Oil	9,146		6,547		39.7	%			21,451		14,966		43.3	%
	Renewable Energy	143		90		58.9	%			389		245		58.8	%
	Total Generation(d)	22,574		22,658		(0.4	%)			61,605		63,705		(3.3	%)
	Purchased Power and Net Interchange(e)	3,514		3,156		11.3	%			10,437		7,166		45.6	%
	Total Sources of Energy	26,088		25,814		1.1	%			72,042		70,871		1.7	%
	Less: Line Loss and Other	1,534		781		96.4	%			2,917		3,514		(17.0	%)
	Total GWh Sources	24,554		25,033		(1.9	%)			69,125		67,357		2.6	%

Owned MW Capacity(c)
	Summer									19,492		20,001
	Winter									20,350		20,877
Nuclear Capacity Factor (%)(f)										95		97

Heating and Cooling Degree Days
	Actual
	Heating Degree Days	28		9		211.1	%			1,823		1,917		(4.9	%)
	Cooling Degree Days	1,007		1,023		(1.6	%)			1,607		1,494		7.6	%

	Variance from Normal
	Heating Degree Days	94.7	%	(35.7	%)					(6.2	%)	(1.2	%)
	Cooling Degree Days	(0.2	%)	1.4	%					5.8	%	(1.7	%)

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

(f) Statistics reflect 100% of jointly owned stations.


Duke Energy Progress
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
September 2022

		Three Months Ended September 30,								Nine Months Ended September 30,
		2022		2021		% Inc.(Dec.)		% Inc. (Dec.) Weather Normal(b)		2022		2021		% Inc. (Dec.)		% Inc. (Dec.) Weather Normal(b)
GWh Sales(a)
	Residential	5,411		5,324		1.6	%			14,608		14,601		—	%
	General Service	4,202		4,434		(5.2	%)			11,670		11,323		3.1	%
	Industrial	2,844		2,871		(0.9	%)			8,571		7,794		10.0	%
	Other Energy Sales	22		19		15.8	%			68		58		17.2	%
	Unbilled Sales	(211)		(408)		48.3	%			(507)		(198)		(156.1	%)
	Total Retail Sales	12,268		12,240		0.2	%	(0.7	%)	34,410		33,578		2.5	%	1.7	%
	Wholesale and Other	7,340		6,979		5.2	%			20,082		17,977		11.7	%
	Total Consolidated Electric Sales – Duke Energy Progress	19,608		19,219		2.0	%			54,492		51,555		5.7	%

Average Number of Customers
	Residential	1,436,839		1,411,684		1.8	%			1,430,877		1,405,164		1.8	%
	General Service	248,949		244,070		2.0	%			248,526		242,542		2.5	%
	Industrial	3,314		3,341		(0.8	%)			3,325		3,343		(0.5	%)
	Other Energy Sales	2,548		2,598		(1.9	%)			2,561		2,598		(1.4	%)
	Total Retail Customers	1,691,650		1,661,693		1.8	%			1,685,289		1,653,647		1.9	%
	Wholesale and Other	7		7		—	%			8		8		—	%
	Total Average Number of Customers – Duke Energy Progress	1,691,657		1,661,700		1.8	%			1,685,297		1,653,655		1.9	%

Sources of Electric Energy (GWh)
	Generated – Net Output(c)
	Coal	1,630		2,613		(37.6	%)			5,374		5,483		(2.0	%)
	Nuclear	7,745		7,956		(2.7	%)			22,492		22,098		1.8	%
	Hydro	93		118		(21.2	%)			489		587		(16.7	%)
	Natural Gas and Oil	7,125		6,269		13.7	%			18,314		17,177		6.6	%
	Renewable Energy	68		71		(4.2	%)			202		198		2.0	%
	Total Generation(d)	16,661		17,027		(2.1	%)			46,871		45,543		2.9	%
	Purchased Power and Net Interchange(e)	3,652		2,765		32.1	%			8,720		7,508		16.1	%
	Total Sources of Energy	20,313		19,792		2.6	%			55,591		53,051		4.8	%
	Less: Line Loss and Other	705		573		23.0	%			1,099		1,496		(26.5	%)
	Total GWh Sources	19,608		19,219		2.0	%			54,492		51,555		5.7	%

Owned MW Capacity(c)
	Summer									12,464		12,468
	Winter									13,605		13,609
Nuclear Capacity Factor (%)(f)										96		94

Heating and Cooling Degree Days
	Actual
	Heating Degree Days	11		2		450.0	%			1,615		1,749		(7.7	%)
	Cooling Degree Days	1,158		1,120		3.4	%			1,863		1,679		11.0	%

	Variance from Normal
	Heating Degree Days	23.3	%	(83.5	%)					(8.8	%)	(1.2	%)
	Cooling Degree Days	7.3	%	4.0	%					13.3	%	2.2	%

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

(f) Statistics reflect 100% of jointly owned stations.


Duke Energy Florida
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
September 2022

		Three Months Ended September 30,								Nine Months Ended September 30,
		2022		2021		% Inc.(Dec.)		% Inc. (Dec.) Weather Normal(b)		2022		2021		% Inc. (Dec.)		% Inc. (Dec.) Weather Normal(b)
GWh Sales(a)
	Residential	6,951		6,525		6.5	%			16,845		16,215		3.9	%
	General Service	4,572		4,275		6.9	%			11,809		11,231		5.1	%
	Industrial	944		883		6.9	%			2,711		2,547		6.4	%
	Other Energy Sales	8		6		33.3	%			25		17		47.1	%
	Unbilled Sales	(878)		(152)		—	%			320		(28)		1,242.9	%
	Total Retail Sales	11,597		11,537		0.5	%	2.3	%	31,710		29,982		5.8	%	5.1	%
	Wholesale and Other	1,958		1,445		35.5	%			4,087		2,749		48.7	%
	Total Electric Sales – Duke Energy Florida	13,555		12,982		4.4	%			35,797		32,731		9.4	%

Average Number of Customers
	Residential	1,721,642		1,693,295		1.7	%			1,716,269		1,685,526		1.8	%
	General Service	207,691		205,720		1.0	%			207,385		204,877		1.2	%
	Industrial	1,854		1,942		(4.5	%)			1,878		1,948		(3.6	%)
	Other Energy Sales	3,726		3,776		(1.3	%)			3,746		3,781		(0.9	%)
	Total Retail Customers	1,934,913		1,904,733		1.6	%			1,929,278		1,896,132		1.7	%
	Wholesale and Other	7		6		16.7	%			9		6		50.0	%
	Total Average Number of Customers – Duke Energy Florida	1,934,920		1,904,739		1.6	%			1,929,287		1,896,138		1.7	%

Sources of Electric Energy (GWh)
	Generated – Net Output(c)
	Coal	1,130		1,658		(31.8	%)			3,313		4,573		(27.6	%)


	Natural Gas and Oil	11,193		10,467		6.9	%			28,336		25,846		9.6	%
	Renewable Energy	486		241		101.7	%			1,228		720		70.6	%
	Total Generation(d)	12,809		12,366		3.6	%			32,877		31,139		5.6	%
	Purchased Power and Net Interchange(e)	1,788		1,450		23.3	%			4,002		3,514		13.9	%
	Total Sources of Energy	14,597		13,816		5.7	%			36,879		34,653		6.4	%
	Less: Line Loss and Other	1,042		834		24.9	%			1,082		1,922		(43.7	%)
	Total GWh Sources	13,555		12,982		4.4	%			35,797		32,731		9.4	%

Owned MW Capacity(c)
	Summer									10,469		10,246
	Winter									11,115		11,114

Heating and Cooling Degree Days
	Actual
	Heating Degree Days	—		—		—	%			301		310		(2.9	%)
	Cooling Degree Days	1,502		1,544		(2.7	%)			2,983		2,904		2.7	%

	Variance from Normal
	Heating Degree Days	—	%	—	%					(19.4	%)	(18.2	%)
	Cooling Degree Days	0.8	%	3.9	%					8.7	%	6.5	%

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.


Duke Energy Ohio
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
September 2022

		Three Months Ended September 30,								Nine Months Ended September 30,
		2022		2021		% Inc.(Dec.)		% Inc. (Dec.) Weather Normal(b)		2022		2021		% Inc. (Dec.)		% Inc. (Dec.) Weather Normal(b)
GWh Sales(a)
	Residential	2,709		2,677		1.2	%			7,134		7,093		0.6	%
	General Service	2,820		2,558		10.2	%			6,688		6,841		(2.2	%)
	Industrial	1,586		1,496		6.0	%			3,841		4,197		(8.5	%)
	Other Energy Sales	26		27		(3.7	%)			65		79		(17.7	%)
	Unbilled Sales	(130)		(33)		(293.9	%)			514		(148)		447.3	%
	Total Retail Sales	7,011		6,725		4.3	%	5.1	%	18,242		18,062		1.0	%	0.8	%
	Wholesale and Other	63		119		(47.1	%)			393		524		(25.0	%)
	Total Electric Sales – Duke Energy Ohio	7,074		6,844		3.4	%			18,635		18,586		0.3	%

Average Number of Customers
	Residential	817,960		806,073		1.5	%			809,018		804,439		0.6	%
	General Service	74,622		74,018		0.8	%			79,894		73,864		8.2	%
	Industrial	2,411		2,434		(0.9	%)			2,430		2,435		(0.2	%)
	Other Energy Sales	2,851		2,719		4.9	%			3,154		2,648		19.1	%
	Total Retail Customers	897,844		885,244		1.4	%			894,496		883,386		1.3	%
	Wholesale and Other	1		1		—	%			1		1		—	%
	Total Average Number of Customers – Duke Energy Ohio	897,845		885,245		1.4	%			894,497		883,387		1.3	%

Sources of Electric Energy (GWh)
	Generated – Net Output(c)
	Coal	572		692		(17.3	%)			2,262		2,530		(10.6	%)


	Natural Gas and Oil	27		22		22.7	%			51		50		2.0	%

	Total Generation(d)	599		714		(16.1	%)			2,313		2,580		(10.3	%)
	Purchased Power and Net Interchange(e)	6,425		6,734		(4.6	%)			18,123		17,917		1.1	%
	Total Sources of Energy	7,024		7,448		(5.7	%)			20,436		20,497		(0.3	%)
	Less: Line Loss and Other	(50)		604		(108.3	%)			1,801		1,911		(5.8	%)
	Total GWh Sources	7,074		6,844		3.4	%			18,635		18,586		0.3	%

Owned MW Capacity(c)
	Summer									1,076		1,076
	Winter									1,164		1,164

Heating and Cooling Degree Days
	Actual
	Heating Degree Days	57		28		103.6	%			3,016		3,042		(0.9	%)
	Cooling Degree Days	822		855		(3.9	%)			1,233		1,215		1.5	%

	Variance from Normal
	Heating Degree Days	8.1	%	(47.2	%)					(1.4	%)	(0.4	%)
	Cooling Degree Days	6.7	%	11.8	%					11.3	%	10.3	%

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.


Duke Energy Indiana
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
September 2022

		Three Months Ended September 30,								Nine Months Ended September 30,
		2022		2021		% Inc.(Dec.)		% Inc. (Dec.) Weather Normal(b)		2022		2021		% Inc. (Dec.)		% Inc. (Dec.) Weather Normal(b)
GWh Sales(a)
	Residential	2,548		2,542		0.2	%			7,290		7,246		0.6	%
	General Service	2,303		2,339		(1.5	%)			6,192		6,065		2.1	%
	Industrial	2,549		2,520		1.2	%			6,752		7,440		(9.2	%)
	Other Energy Sales	18		12		50.0	%			44		37		18.9	%
	Unbilled Sales	100		7		1,328.6	%			571		(217)		363.1	%
	Total Retail Sales	7,518		7,420		1.3	%	1.5	%	20,849		20,571		1.4	%	0.8	%
	Wholesale and Other	1,416		1,368		3.5	%			3,679		3,309		11.2	%
	Total Electric Sales – Duke Energy Indiana	8,934		8,788		1.7	%			24,528		23,880		2.7	%

Average Number of Customers
	Residential	773,205		761,944		1.5	%			770,521		759,548		1.4	%
	General Service	105,338		104,345		1.0	%			105,082		104,184		0.9	%
	Industrial	2,659		2,667		(0.3	%)			2,662		2,668		(0.2	%)
	Other Energy Sales	3,982		3,985		(0.1	%)			3,995		3,975		0.5	%
	Total Retail Customers	885,184		872,941		1.4	%			882,260		870,375		1.4	%
	Wholesale and Other	4		3		33.3	%			3		4		(25.0	%)
	Total Average Number of Customers – Duke Energy Indiana	885,188		872,944		1.4	%			882,263		870,379		1.4	%

Sources of Electric Energy (GWh)
	Generated – Net Output(c)
	Coal	4,360		5,804		(24.9	%)			12,360		14,162		(12.7	%)

	Hydro	97		87		11.5	%			196		232		(15.5	%)
	Natural Gas and Oil	1,022		1,016		0.6	%			3,157		2,209		42.9	%
	Renewable Energy	9		9		—	%			21		18		16.7	%
	Total Generation(d)	5,488		6,916		(20.6	%)			15,734		16,621		(5.3	%)
	Purchased Power and Net Interchange(e)	4,086		2,684		52.2	%			10,896		9,453		15.3	%
	Total Sources of Energy	9,574		9,600		(0.3	%)			26,630		26,074		2.1	%
	Less: Line Loss and Other	640		812		(21.2	%)			2,102		2,194		(4.2	%)
	Total GWh Sources	8,934		8,788		1.7	%			24,528		23,880		2.7	%

Owned MW Capacity(c)
	Summer									6,346		6,346
	Winter									6,781		6,781

Heating and Cooling Degree Days
	Actual
	Heating Degree Days	68		30		126.7	%			3,365		3,291		2.2	%
	Cooling Degree Days	843		841		0.2	%			1,260		1,196		5.4	%

	Variance from Normal
	Heating Degree Days	12.0	%	(50.5	%)					2.0	%	(0.3	%)
	Cooling Degree Days	11.3	%	10.9	%					15.0	%	9.1	%

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.


Gas Utilities and Infrastructure
Quarterly Highlights
September 2022

		Three Months Ended September 30,				Nine Months Ended September 30,
		2022	2021	% Inc. (Dec.)		2022	2021	% Inc. (Dec.)
Total Sales
	Piedmont Natural Gas Local Distribution Company (LDC) throughput (dekatherms)(a)	157,145,659	134,549,588	16.8	%	463,863,034	390,210,785	18.9	%
	Duke Energy Midwest LDC throughput (Mcf)	9,559,214	10,268,918	(6.9	%)	63,346,715	62,220,828	1.8	%

Average Number of Customers – Piedmont Natural Gas
	Residential	1,035,224	1,021,965	1.3	%	1,038,168	1,022,914	1.5	%
	Commercial	105,492	104,788	0.7	%	106,249	105,482	0.7	%
	Industrial	946	954	(0.8	%)	954	960	(0.6	%)
	Power Generation	19	19	—	%	19	19	—	%
	Total Average Number of Gas Customers – Piedmont Natural Gas	1,141,681	1,127,726	1.2	%	1,145,390	1,129,375	1.4	%

Average Number of Customers – Duke Energy Midwest
	Residential	513,974	512,679	0.3	%	511,553	511,533	—	%
	General Service	33,608	34,786	(3.4	%)	37,677	34,648	8.7	%
	Industrial	1,532	1,630	(6.0	%)	1,544	1,631	(5.3	%)
	Other	116	129	(10.1	%)	120	130	(7.7	%)
	Total Average Number of Gas Customers – Duke Energy Midwest	549,230	549,224	—	%	550,894	547,942	0.5	%

(a) Piedmont has a margin decoupling mechanism in North Carolina, weather normalization mechanisms in South Carolina and Tennessee and fixed-price contracts with most power generation customers that significantly eliminate the impact of throughput changes on earnings. Duke Energy Ohio's rate design also serves to offset this impact.


Commercial Renewables
Quarterly Highlights
September 2022

		Three Months Ended September 30,				Nine Months Ended September 30,
		2022	2021	% Inc. (Dec.)		2022	2021	% Inc. (Dec.)
	Renewable Plant Production, GWh	2,742	2,567	6.8	%	9,160	7,942	15.3	%
	Net Proportional MW Capacity in Operation(a)	n/a	n/a			4,759	4,630	2.8	%

(a) Includes 100% tax equity project capacity.