NextEra Energy, Inc
NextEra Energy is a U.S. electric utility holding company with two principal businesses: Florida Power & Light, a regulated electric utility serving Florida, and NextEra Energy Resources, which develops and operates power generation, storage, transmission and related energy infrastructure. Through these businesses, the company participates in regulated utility service, renewable generation, natural gas transmission, and energy marketing activities across the United States and Canada.
Fiscal year 2025 · change from previous year
Development 2020–2025
Business
Share of revenueCost-of-service electric generation, transmission and distribution service in Florida.
Utility-scale wind, solar and related clean power projects sold under contracts or in markets.
Regulated electric transmission assets and related grid infrastructure investments.
Ownership interests in interstate natural gas pipelines and transportation assets.
Commodity marketing, trading, full requirements service and retail supply activities.
Customers
NextEra sells regulated electricity to retail customers in Florida through FPL, where the customer base is residential, commercial and industrial end users. Through NEER, it sells power, capacity, renewable attributes and structured energy products to utilities, municipalities, cooperatives, and wholesale counterparties under long-term contracts or market-based arrangements. It also serves customers needing full requirements power, fuel supply, and customized risk management services.
Homes and businesses buying regulated electricity distribution and supply from FPL.
Utilities and other buyers contracting for energy, capacity and ancillary services from NEER.
Public power entities purchasing full requirements service and commodity supply.
Large users buying customized power, fuel and risk management products.
Entities relying on regulated transmission assets to move electricity across regions.
Strategy
NextEra’s strategy centers on expanding its contracted generation portfolio, maintaining a diversified mix of fuel types and locations, and investing in regulated transmission and grid infrastructure. It also uses long-term power purchase agreements, customized supply products and hedging to reduce merchant exposure while supporting large-scale project development.
Long-term contracts support project development and reduce exposure to spot power prices.
Transmission assets earn regulated returns and support grid reliability and interconnection.
Diversification across regions and fuel types helps reduce concentration and operational risk.
Customized products deepen customer relationships and monetize asset flexibility.
Geography
The company is headquartered in the United States and its core regulated utility business is concentrated in Florida. NEER’s generation, storage, transmission and pipeline assets are spread across the U.S. and Canada, with wholesale power exposure tied to regional electricity markets and transmission constraints.
Risks
The business is exposed to regulatory oversight, weather and natural disaster risk, construction and permitting delays, and operational outages across generation, transmission and pipeline assets. Because a large part of NEER’s business depends on wholesale power markets and long-term contracts, commodity prices, transmission constraints, counterparty performance and hedging effectiveness can materially affect results.
- Regulatory and rate-setting riskImpact: HighLikelihood: Medium
FPL and transmission revenues depend on approvals from regulators and allowed returns.
Exposure: Florida utility and regulated transmission assets
- Weather and natural disaster riskImpact: HighLikelihood: Medium
Hurricanes, storms, floods, droughts and extreme temperatures can damage assets and reduce output.
Exposure: Florida and other operating regions
- Construction and permitting riskImpact: HighLikelihood: Medium
Large generation, storage and transmission projects can be delayed by labor, supply chain or approval issues.
Exposure: Development pipeline and capital projects
- Commodity price and market riskImpact: HighLikelihood: Medium
NEER sells into wholesale markets and uses hedges, so power, fuel and interest-rate moves affect earnings.
Exposure: Wholesale generation and marketing activities
- Operational outage and equipment failure riskImpact: MediumLikelihood: Medium
Breakdowns in plants, transmission systems or pipelines can cause lost revenue and repair costs.
Exposure
Accounting
Judgemental itemsChanges in fair value of interest-rate and commodity derivatives can flow through earnings or OCI depending on designation.
Impact: Can materially affect quarterly results and comparability
PTCs and ITCs from wind, solar and storage projects reduce tax expense and affect reported earnings.
Impact: Influences effective tax rate and net income
Energy trading positions, equity securities and certain investments are marked to market or valued using estimates.
Impact: Can create period-to-period volatility
Equity method investments and other assets may require write-downs if expected cash flows decline.
Impact: Affects operating income and balance sheet carrying values
Differential membership interests and project-level ownership structures change income attribution.
Impact: Affects net income attributable to NEE
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Last updated: 24/09/2026