(Reuters) -NextEra Power’s third-quarter revenue beat Wall Road estimates on Wednesday, helped by power in its renewables unit.
Rising demand from AI-backed information facilities, together with properties and companies utilizing extra electrical energy for warmth and transportation, has brightened forecasts for utilities this yr.
The S&P index monitoring utilities jumped 18.4% within the third quarter, in comparison with a 5.5% rise within the .
A robust push for cleaner vitality can also be benefiting corporations like NextEra, the world’s largest renewables firm.
Its renewables enterprise, NextEra Power (NYSE:) Assets, boasted of a undertaking backlog of 24 gigawatts (GW) within the third quarter, up from practically 22.6 GW within the second quarter.
“We’re additionally happy to announce incremental framework agreements with two Fortune-50 clients for the potential improvement of renewables and storage initiatives, totaling as much as 10.5 GW between now and 2030,” mentioned CEO John Ketchum.
The corporate’s regulated utilities enterprise, Florida Energy & Mild, reported web earnings of $1.29 billion, in contrast with $1.18 billion a yr earlier.
NextEra’s total quarterly income of $7.57 billion, nevertheless, missed estimates of round $8.10 billion, in keeping with analysts’ estimates compiled by LSEG.
The Juno Seashore, Florida-based firm, which maintained its 2024 adjusted earnings-per-share forecast, mentioned it expects EPS in 2025 to be in a spread of $3.45 to $3.70.
On an adjusted foundation, NextEra earned $1.03 per share within the quarter, in contrast with estimate of 98 cents, in keeping with information compiled by LSEG.
NextEra Power Companions, a unit of the corporate created to amass, handle and personal contracted vitality initiatives, mentioned it could repower an extra 225 megawatts (MW) of wind services, bringing the full backlog of wind repowerings to round 1.6 GW by 2026.
Nevertheless, the unit reported a lack of $40 million because of greater curiosity funds and a loss on some persevering with operations, in comparison with year-ago web earnings of $53 million. Its shares have been down 5.3% in premarket buying and selling.
