Earnings Conference Call Second Quarter 2016 July 27, 2016 - PowerPoint PPT Presentation

Earnings Conference Call Second Quarter 2016 July 27, 2016

Cautionary Statements And Risk Factors That May Affect Future Results This presentation includes forward-looking statements within the meaning of the federal securities laws. Actual results could differ materially from such forward- looking statements. The factors that could cause actual results to differ are discussed in the Appendix herein and in NextEra Energy’s and NextEra Energy Partners’ SEC filings. Non-GAAP Financial Information This presentation refers to certain financial measures that were not prepared in accordance with U.S. generally accepted accounting principles. Reconciliations of those non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the Appendix herein. 2

NextEra Energy and NextEra Energy Partners each achieved solid financial results in the second quarter Second Quarter 2016 Highlights • NEE grew adjusted EPS 7% over the prior-year comparable quarter – Year-to-date adjusted EPS and cash flow from operations both up 11% versus first half 2015 • Outstanding customer value and execution at FPL: – Ranked highest in customer satisfaction among large utilities in the southern U.S. by J.D. Power – Rate case proceeding in accordance with the regulatory schedule • Strong contributions from new investments at Energy Resources: – On track to deliver ~2.5 GW of new contracted renewables projects in 2016 • Strong execution against growth initiatives at NEP: – Grew distributions per unit by 40% from prior-year comparable period – Acquired ~285 MW of additional high quality U.S. wind projects in July 3

FPL’s contribution to EPS was roughly flat, down 1 cent from the prior-year comparable quarter Florida Power & Light Results – Second Quarter Net Income EPS ($ MM) $448 $435 $0.97 $0.96 2015 2016 2015 2016 4

Contributions from new investments were offset by negative impacts of the Woodford Project and share dilution Florida Power & Light EPS Contribution Drivers Regulatory Capital Employed (1) EPS Growth Second $B Quarter 35.0 $33.5 $30.9 FPL – 2015 EPS $0.97 30.0 Drivers: 25.0 20.0 New Investments 0.08 15.0 Woodford Project Refund (0.03) 10.0 Share Dilution and Other (0.06) 5.0 FPL – 2016 EPS 0.0 $0.96 Q2 2015 Q2 2016 Retail Rate Base Other (1) Average over the quarter; includes retail rate base, wholesale rate base, clause-related investments, and 5 AFUDC projects

Florida’s economic growth remains strong Florida Economy Florida Consumer Sentiment (2) Florida Unemployment (1) 12% 100 90 10% 80 June-16 70 8% 60 June-16 6% 50 40 4% 30 20 2% 10 0% 0 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Florida Case-Shiller Annual Change (3) Florida Building Permits (4) 10,000 20% 9,000 15% May-16 8,000 May-16 10% 7,000 5% 6,000 0% 5,000 -5% 4,000 -10% -15% 3,000 -20% 2,000 -25% 1,000 -30% 0 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 (1) Source: Bureau of Labor Statistics through June 2016 (2) Source: Bureau of Economic and Business Research through June 2016 (3) Source: S&P Dow Jones Indices (FL-MIA MIXR-SA) through May 2016 6 (4) Three-month moving average; Source: The Census Bureau through May 2016

FPL’s retail sales volume declined from the second quarter last year due to less weather-related usage per customer Customer Characteristics (through June 2016) Customer Growth (1,3) Retail kWh Sales (Change vs. prior-year quarter) (Change vs. prior-year quarter) 100 80 65 Customer Growth & Mix 1.2% UKU Impact # of 60 Customers + Usage Change Due to Weather -5.5% (000’s) 40 20 + Underlying Usage Change and Other 1.8% 0 = Retail Sales Change -2.5% -20 2008 2009 2010 2011 2012 2013 2014 2015 2016 Q1 Q1 Q1 Q1 Q1 Q1 Q1 Q1 Q1 Inactive and Low-Usage Customers (2,3) New Service Accounts (2) 8,000 325 10.0% 300 9.5% % of customers using 6,000 275 <200 kWh per month (12-month ending) 9.0% 250 Inactive Low-Usage Accounts Customers (000’s) 4,000 225 8.5% 200 8.0% 175 2,000 Inactive 7.5% 150 Accounts 125 7.0% 0 Jan-08Jan-09Jan-10Jan-11Jan-12Jan-13Jan-14Jan-15Jan-16 Jan-08Jan-09Jan-10Jan-11Jan-12Jan-13Jan-14Jan-15Jan-16 (1) Based on average number of customer accounts for the quarter (2) FPL data, through June 2016 (3) Increases in customers and decreases in inactive accounts reflect the acceleration in customer growth 7 resulting from the automatic disconnection of unknown KW usage (UKU) premises

FPL submitted its formal base rate filing on March 15th Estimated FPL Rate Case Timeline March 15, July/ August/ January 2016 June August September Q4 2017 File formal Quality Intervenor, Technical Final New rate request of staff, and hearings decision rates (testimony; service FPL by PSC effective detailed hearings rebuttal expected data testimony schedules) 8

Energy Resources’ adjusted EPS increased 10 cents from the comparable prior-year quarter Energy Resources Results (1,2) – Second Quarter GAAP Adjusted Net Income EPS Net Income EPS ($ MM) ($ MM) $313 $0.67 $276 $0.61 $254 $0.57 $234 $0.50 2016 2015 2015 2016 2015 2016 2015 2016 (1) Attributable to NEE, see Appendix for reconciliation of adjusted amounts to GAAP amounts (2) Energy Resources Q2 2015 results reflect adjustment related to the reclassification of natural gas 9 pipelines results formerly reported in the Corporate and Other segment

Energy Resources’ adjusted EPS growth was driven primarily by new investments Energy Resources Second Quarter Adjusted EPS (1) Contribution Drivers $0.90 ($0.04) $0.80 $0.19 ($0.02) ($0.01) ($0.02) $0.67 $0.70 $0.57 $0.60 $0.50 ($0.13)Renewables $0.40 $0.06 Gas Pipelines $0.30 $0.20 $0.10 $0.00 Q2 2015 New Existing Gas Customer Supply Corporate G&A, Q2 2016 (2) Adjusted EPS Investment Assets Infrastructure & Trading Share Dilution & Adjusted EPS (3) Other (1) See Appendix for reconciliation of adjusted amounts to GAAP amounts (2) Energy Resources Q2 2015 results reflect adjustment related to the reclassification of natural gas pipelines results formerly reported in the Corporate and Other segment; adjusted EPS impact rounds to zero (3) Includes charges related to interest expense, income taxes, and rounding 10

U.S. Federal tax incentives for completed renewables projects have been extended into the next decade U.S. Renewables Federal Tax Credits Wind Production Solar Investment Tax Credit (PTC) Tax Credit (ITC) Start of Start of Construction COD Wind Construction Solar Deadline ITC (1) Date PTC Date During 2016 12/31/2020 100% Prior to 1/1/2020 30% During 2017 12/31/2021 80% During 2020 26% During 2018 12/31/2022 60% During 2021 22% During 2019 12/31/2023 40% 2022 and beyond 10% • For wind PTC, the IRS provided additional guidance on May 5th – Continuity safe harbor is satisfied for a facility if COD occurs no more than four calendar years after the calendar year that construction began – Safe harbor is provided for certain repowered facilities • Solar ITC remains subject to IRS guidance on potential COD deadlines (1) Based on current statute, any project that does not meet the COD deadline by end of 2023 will default to 10% ITC 11

We continue to be optimistic about the prospects for new renewables growth Energy Resources Development Program (1) • ~4.0 GW 2015 – 2016 development program: – ~1.5 GW brought into service in 2015 – ~2.5 GW on track for 2016 delivery (2) • 2017 – 2018 development program: – Signed ~200 MW of US wind projects since the last call – Pursuing ~327 MW of repowering opportunities at two wind sites in Texas Signed & Additional Current Repowering Forecast Expectations 2017-2018 1,955 – 3,355 2,400 – 3,800 U.S. Wind 445 0 – 300 0 – 300 Canadian Wind 0 269 – 1,169 400 – 1,300 U.S. Solar 131 (3) 2,224 – 4,824 MW 2,800 – 5,400 MW Total 576 MW (Includes 327 MW of repowering Total w/ Repowering 903 MW projects for completion in 2017) (1) See Appendix for detail of Energy Resources’ wind and solar development projects included in backlog (2) Includes approximately 400 MW that have entered service year-to-date 2016 12 (3) Excludes 125 MW signed for post-2018 delivery

NEP’s second quarter results were driven by portfolio additions over the last year NextEra Energy Partners – Second Quarter Drivers (1) Adjusted EBITDA CAFD ($ MM) ($ MM) $180 $90 $68 ($4) ($8) ($2) $156 $28 ($1) ($8) $160 $80 ($4) $140 $70 $65 $120 $60 $102 $50 $100 $50 $80 $40 $60 $30 $40 $20 $20 $10 $0 $0 (2) (2) Q2 2015 New Existing IDR Other Q2 2016 Q2 2015 New Existing IDR Other Q2 2016 Adjusted Projects Projects Fees Adjusted CAFD Projects Projects Fees CAFD EBITDA EBITDA (1) NEP consolidates 100% of the assets and operations of NEE Operating LP in which both NextEra and NEP LP unitholders hold an ownership interest; See Appendix for non-GAAP reconciliation (2) Before accounting for debt service, cash available for distribution was $74 MM in Q2 2015 and $120 MM in 13 Q2 2016