Dominion Energy, Inc.

What they do

Dominion Energy generates, transmits and distributes electricity through Virginia Power (Dominion Energy Virginia and Dominion Energy North Carolina) and DESC, serving retail customers plus wholesale sales to cooperatives and municipalities. At December 31, 2025 its asset portfolio included approximately 30.7 GW of electric generating capacity, 10,800 miles of electric transmission lines and 80,400 miles of electric distribution lines. It also operates long-term contracted electric generation, including regulated offshore wind and solar development and carbon-free generation in New England. The company sold all of its regulated gas distribution operations except DESC's to Enbridge and exited Cove Point.

Revenue drivers

• Virginia Power regulated electric utility — Regulated retail electric sales in Virginia and North Carolina under the Dominion Energy Virginia and Dominion Energy North Carolina names, plus wholesale sales to rural electric cooperatives, municipalities and wholesale markets; the company expects roughly 95% of earnings from state-regulated utility operations in Virginia, North Carolina and South Carolina.
• DESC regulated electric and gas — South Carolina regulated electric operations plus regulated natural gas service to about 500,000 customers in South Carolina; DESC is a separate SEC registrant.
• Contracted Energy — Long-term contracted electric generation, the company's reported nonregulated segment, comprising the remaining nonregulated operations.
• Renewable generation development — Development and operation of regulated offshore wind and solar, including the CVOW Commercial Project, described as part of the company's zero-carbon and renewable generation investment program.

Recent performance

Second-quarter 2026 GAAP net income was $340 million, or $0.37 per share, down from $760 million, or $0.88 per share, in the second quarter of 2025. Operating earnings, a non-GAAP measure, were $712 million, or $0.79 per share, compared with $649 million, or $0.75 per share, a year earlier. Differences between GAAP and operating earnings included gains and losses on nuclear decommissioning trust funds, mark-to-market impacts of economic hedging, regulated asset retirements, nonregulated asset impairments and other adjustments. For full-year 2025, revenue was $16.52 billion, net income $3.00 billion and diluted EPS $3.45, with operating cash flow of $5.36 billion.

Strategy

Dominion Energy says it is focused on expanding and improving its regulated electric utilities and long-term contracted businesses while transitioning to cleaner energy. Its approximately $65 billion capital expenditure plan for 2026 through 2030 targets zero-carbon and renewable generation, grid transformation, generation reliability, and transmission and distribution resiliency to meet projected demand growth. Planned renewable investments include utility-scale solar and the CVOW Commercial Project. The company has received license extensions for its regulated nuclear stations in Virginia and South Carolina and intends to apply for extensions for Millstone. The September 2023 agreements to sell regulated gas distribution operations to Enbridge and the sale of its remaining 50% Cove Point partnership interest followed a comprehensive business review concluded in March 2024.

Risks

• Regulatory concentration — About 95% of expected earnings come from state-regulated utility operations in Virginia, North Carolina and South Carolina, making results sensitive to rate case and regulatory outcomes in those states.
• Large capital program execution — The approximately $65 billion 2026-2030 capital plan, including utility-scale solar and the CVOW Commercial Project, requires timely permitting, construction and cost recovery.
• GAAP versus operating earnings gap — Reported results are affected by items excluded from operating earnings, such as nuclear decommissioning trust fund gains and losses, hedging mark-to-market and asset impairments, and the company cannot estimate their future impact.
• Debt and financing needs — The balance sheet showed total liabilities of $84.87 billion and long-term debt of $46.33 billion at December 31, 2025, so the capital program depends on continued access to debt and equity financing.

Outlook

Management reaffirmed its full-year 2026 operating earnings guidance range of $3.45 to $3.69 per share, with a midpoint of $3.57 per share. It also reaffirmed all financial guidance provided on its fourth quarter 2025 earnings call, including operating earnings, credit, dividend and long-term growth guidance. The company states it cannot provide a corresponding GAAP equivalent for its operating earnings guidance because it cannot estimate the aggregate impact of excluded items such as hedging, nuclear decommissioning trust fund and pension market effects.