Nick Amicucci

Nick Amicucci from Evercore ISI inquired about the significance of the $150 million advance and aid of construction agreement (AIAC) from the first tenant, asking if it represents an incremental vote of confidence. He also asked about the next steps for tenant one, the progress of negotiations with other potential tenants, and the value ascribed to Fermi's behind-the-meter power solution.

Answer

CEO Toby Neugebauer viewed the $150 million AIAC as 'promises kept' and a clear indication of the tenant's seriousness, confirming the funds are already being used for the 1GW project. CFO Miles Everson reiterated it as a sign of good faith and commitment, noting active lease negotiations. Neugebauer stated the next step is a firm contract with tenant one and mentioned active discussions with half a dozen other potential tenants, emphasizing Fermi's increasing negotiating power due to rising power prices. Both executives highlighted the complete shift in large tech companies' mindset towards behind-the-meter power as a key component for future growth, with Fermi's site being uniquely positioned.

Nick Amicucci asked about conversations regarding pipeline infrastructure given the increased demand for natural gas, and whether it's still early for more pipeline construction.

Answer

President and CEO Duke Austin acknowledged daily conversations about pipeline projects but guided for $500 million next year, emphasizing that Quanta is not focusing on it as a core growth driver due to lumpiness and risks like weather, mat, and permitting. He stated Quanta would be selective and de-risk projects.

Nick Amicucci inquired about the increased demand for natural gas as a feed fuel, asking if Quanta Services is having conversations about the pipeline business and the need for more infrastructure, given its projected decline this year.

Answer

President and CEO Duke Austin confirmed daily conversations about pipeline projects but guided for $500 million in pipeline revenue next year, emphasizing it's not a primary company focus unless booked work is secured. He noted that large diameter pipe projects are lumpy, making consistent earnings difficult, and permitting at the state level remains challenging despite market opportunities.

Nick Amicucci from Evercore inquired if roughly $0.08 per gigawatt was a reasonable rule of thumb for EPS accretion, the scalability of the EPC contract, and whether GenCo's growth would provide incremental savings to end consumers.

Answer

Shawn Anderson, EVP and CFO, stated there is no incremental guidance on EPS per gigawatt due to varying factors. Michael Luhrs, EVP of Technology and Customer and Chief Commercial Officer, confirmed the EPC structure is set up to be scalable for future growth. Lloyd Yates, CEO and President, affirmed that adding new customers and their use of the transmission grid should continue to flow back savings to retail customers, aiding affordability.

Nick Amicucci from Evercore ISI asked about the utilization of Bloom Energy's doubled capacity (2 GW by end of 2026, supporting 4x 2025 revenue) as the company enters 2027, and how Bloom plans for growth beyond this capacity. He also inquired about the specific value Bloom's technology brings to inference data centers, particularly concerning latency and reasoning within the AI complex.

Answer

K.R. Sridhar, Founder, Chairman, and CEO of Bloom Energy, explained that capacity expansion is fiscally disciplined and aims to prevent Bloom from being a bottleneck for customer growth, with current investments focused on enabling expansion beyond 2 GW. He added that Bloom's modular architecture is equally suited for inference and training data centers, and its non-polluting, quiet operation makes it the ideal power choice for inference centers located closer to end-users.

Nick Amicucci asked about the utilization of Bloom Energy's doubled capacity (2 gigawatts by end of 2026), which is expected to support four times the fiscal 2025 revenue, and the company's plans for expansion beyond 2 gigawatts. He also sought clarification on the additive value of Bloom's technology for inference data centers, particularly concerning latency and reasoning within the AI complex.

Answer

K.R. Sridhar, Founder, Chairman, and CEO of Bloom Energy, stated that capacity expansion decisions are fiscally disciplined and based on ROI, with a commitment to not be a bottleneck for customers. He confirmed investments in talent and capabilities for future expansion beyond 2 gigawatts. Sridhar explained that Bloom's modular, fault-tolerant architecture is equally effective for both inference (fewer 'Lego blocks') and training data centers, making it an ideal, non-polluting, and quiet power source for inference data centers located closer to users.

Nick Amicucci asked for insights into the expected evolution of NextEra Energy's portfolio by energy and generation source over the next decade, considering recent trends like increased storage in the backlog. He also inquired about the company's outlook on the nuclear fuel supply chain, particularly concerning Russia's enriched uranium capacity.

Answer

John Ketchum, Chairman, President, and CEO of NextEra Energy Inc., outlined extensive growth drivers for the next decade, including FPL's growth in Florida, large load tariffs, electric and gas transmission opportunities for NextEra Energy Transmission, and a stronger renewables and storage business. He highlighted nuclear opportunities (Duane Arnold, Point Beach, Seabrook, greenfield SMRs), gas-fired generation leveraging the 20 GW pipeline, and the unique position to serve large load customers with diverse capabilities and a 50-state footprint. Regarding nuclear fuel, Mr. Ketchum stated that the U.S. government and industry are focused on the supply chain, and NextEra Energy is disciplined in securing long-term fuel, with current positions baked into their financial numbers.

Nick Amicucci asked about the expected evolution of NextEra Energy's portfolio by energy and generation source over the next decade and the outlook for the nuclear fuel supply chain, particularly concerning Russia's enriched uranium capacity.

Answer

John Ketchum, Chairman, President and CEO of NextEra Energy, outlined diverse growth drivers including FPL's population growth and large load tariffs, competitive transmission, gas transmission, Energy Resources' renewables, storage, nuclear restarts/advanced, gas-fired generation, customer supply, re-contracting, and AI. Regarding nuclear fuel, Mr. Ketchum stated the U.S. government and industry are focused, NextEra is disciplined in securing long-term fuel, and current fuel position is factored into projections.