Hawaiian Electric Industries, Inc

Hawaiian Electric Industries Inc. is a Honolulu-based holding company whose core business is regulated electric utility service in Hawaii through Hawaiian Electric, Hawaii Electric Light, and Maui Electric. The utilities generate, purchase, transmit, distribute, and sell electricity across Oahu, Hawaii, Maui, Lanai, and Molokai, serving about 95% of the state’s population through five separate grids.

17,3 %

4,1 %

−4,1 %

1.32

1.32

— Hawaiian Electric Industries, Inc
%
Electric utility operations99% Core regulated utility activities including generation, power procurement, transmission, distribution and retail electricity sales.
Purchased power and capacity contracts1% Long-term PPAs and firm capacity arrangements used to secure supply and grid reliability.
Non-regulated renewable/sustainable infrastructure0% Legacy and residual non-utility investments and operating assets held in the All Other segment.

The company sells electricity primarily to households, businesses, and public-sector users in Hawaii, with the...

  • Residential customersprimary

    Households across the served islands buying essential electric service for daily use, cooling and appliance load.

  • Commercial and industrial customersprimary

    Businesses, hotels and other commercial users buying reliable grid power to support operations and tourism activity.

  • Federal government agenciessecondary

    Military and other federal facilities buying electricity under utility tariffs; a disclosed significant customer base.

  • Public-sector and municipal counterpartiessecondary

    Government-related entities that buy power or enter capacity arrangements to support essential services.

  • Distributed solar customersemerging

    Customers with private photovoltaic systems that reduce utility sales and change load patterns.

Hawaiian Electric’s business is overwhelmingly concentrated in the State of Hawaii, with utility operations on Oahu,...

  • •Operations are concentrated in Hawaii, not diversified across countries
  • •Oahu is the largest service area through Hawaiian Electric
  • •Hawaii Island is served by Hawaii Electric Light
  • •Maui, Lanai and Molokai are served by Maui Electric
  • •Local regulation and island grid structure drive cost and reliability

Management’s stated focus is to operate a financially healthy enterprise that can support Hawaii’s energy transition...

01
Restore balance sheet flexibility and capital market accessshort-term

Credit downgrades and wildfire-related liabilities have raised funding costs and constrained financing options.

02
Fund and resolve wildfire-related liabilitiesshort-term

Settlement payments and litigation exposure are central to liquidity planning and investor risk.

03
Strengthen core utility earnings and reliabilitymedium-term

The regulated utility is the main earnings engine and must support long-term dividends and service quality.

04
Rationalize non-core investmentsmedium-term

Non-utility assets have been reviewed and sold to simplify the portfolio and free capital.

The largest company-specific risk is the Maui windstorm and wildfire litigation, which has affected liquidity, credit...

critical

Maui windstorm and wildfire liabilities

Settlement payments, litigation and related damages can materially affect cash flow, liquidity and earnings.

Scope
Company-wide and utility-level
Materiality
high
high

Credit rating and capital market access

Downgrades raise financing costs and can restrict access to lower-cost debt and commercial paper.

Scope
Holding company and utilities
Materiality
high
high

Operational outages and grid disruption

Island utilities depend on generation, transmission and fuel logistics that can be disrupted by equipment failure or extreme weather.

Scope
Electric utility segment
Materiality
high
high

Regulatory recovery risk

PUC decisions determine whether costs are recoverable through customer rates and when they flow through earnings.

Scope
Electric utility segment
Materiality
high
medium

Customer demand and load variability

Tourism cycles, weather and rooftop solar adoption affect kWh sales and revenue mix.

Scope
Hawaii retail load
Materiality
medium
Regulatory assets and liabilities
Can materially shift earnings timing and balance-sheet size
Litigation and settlement contingencies
Affects provisions, liquidity disclosures and equity
Pension and postretirement obligations
Impacts operating expense and other comprehensive income
Asset retirement obligations
Affects liabilities and depreciation-related expense
Seasonality in electricity sales
Quarterly revenue and margin comparability

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: 28.4.2026