Dominion Energy (NYSE:D) reported second-quarter 2026 operating earnings of $0.79 per share, including $0.03 per share from renewable natural gas 45Z credits, while GAAP earnings were $0.37 per share. The utility reaffirmed its full-year operating earnings, credit, dividend and long-term growth guidance, citing a strong first half and continued demand growth across its service territory.
Chief Financial Officer Steven Ridge said the company completed its planned 2026 common-equity program and that its full-year 2025 and second-quarter last-12-month funds-from-operations-to-debt metrics were both above 15%.
Data-center demand continues to expand
Dominion said it now has more than 53 gigawatts of data-center capacity in various stages of contracting, including about 12 GW under electric service agreements. The company has added more than 5 GW of contracts since the end of 2025, an increase of roughly 11%.
Ridge said large-load customers continue to cite Virginia’s network density, connectivity and existing ecosystem as reasons to build and retain high-value data-center workloads in the state. Dominion said its large-load framework is intended to require those customers to pay for investments needed to support their growth while protecting existing customers from cost shifts and reducing stranded-cost risk.
During the question-and-answer session, Executive Vice President of Utility Operations Ed Baine addressed a recent transmission-line fault that caused some data centers to shift to backup power. Baine said such events are rare and that data centers would typically ride through momentary disruptions. Dominion does not believe major incremental grid investments are needed as a result of the event, he said, but plans to work with customers on mitigation measures and lessons learned.
Offshore wind project reaches 81% completion
Chief Executive Officer Bob Blue said the Coastal Virginia Offshore Wind, or CVOW, project was 81% complete and had reached several fabrication and installation milestones. All nacelles have been fabricated, while 99% of towers and 85% of blades were complete. Tower fabrication was expected to finish in the coming days, with final blade production anticipated in October.
The company had installed 31 turbines as of the call, with a 32nd installation under way. The installed turbines represented more than 450 megawatts of capacity, according to Blue. Dominion expects the project’s third and final offshore substation to be energized by year-end, at which point approximately half of project investment, excluding certain network-upgrade costs, is expected to be in service.
However, Dominion moved the expected installation date for the final turbine back by six months, to year-end 2027. Blue said the revised schedule adds weather and vessel-maintenance contingency, accounts for observed load-out times at Portsmouth Marine Terminal, and reflects longer expected jacking durations at certain turbine locations with more challenging subsea conditions.
The company raised its CVOW cost estimate by approximately 2% to $11.65 billion, including $123 million of unused contingency. The increase includes about $288 million associated with the additional two quarters needed to finish final turbine installation. Blue said this equates to about $144 million per additional quarter, below Dominion’s previous rule-of-thumb range of $150 million to $200 million per quarter.
Other changes to the budget included $228 million in additional tariff costs, a $502 million reduction tied to the reallocation of certain PJM-assigned network upgrade costs, and about $234 million in miscellaneous costs related to cable protection, fuel, mitigation for difficult jacking locations and final onshore construction. Dominion said it expects its financing partner to bear about one-third of the latest cost increase.
Blue said the company received a final order on July 29 approving 100% of its revenue requests in its 2025 CVOW rider proceeding. Dominion estimates the project will generate approximately $5 billion in customer fuel savings during its first 10 years of operation.
NextEra combination enters regulatory process
Dominion and NextEra Energy have filed their joint proxy statement on Form S-4 and submitted state and federal regulatory applications for their proposed combination. The filings were made with the Virginia State Corporation Commission, North Carolina Utilities Commission, Public Service Commission of South Carolina, Federal Energy Regulatory Commission and Nuclear Regulatory Commission.
Blue said the Virginia commission has issued a procedural schedule that includes evidentiary hearings beginning Nov. 17. In South Carolina, the proposed schedule calls for a Dec. 8 hearing and a final order by Jan. 29, 2027, though the commission had not yet ruled on the proposed timeline.
Under the proposed merger terms, Dominion customers would receive $2.25 billion in shareholder-funded bill credits. Blue said the companies believe a combined organization could more efficiently buy, build, finance and operate energy infrastructure across four states.
Responding to questions about calls for a longer review period in Virginia, Blue said Dominion believes the established schedule is sufficient. He cited the commission’s experience with mergers and complex cases subject to statutory timelines.
Generation, battery and regulatory updates
Dominion recently filed air permits for two proposed natural gas-fired combined-cycle plants: Kennedy Station in South Carolina and Mount Storm in West Virginia. Together, the projects represent nearly 5 GW of potential new capacity. Ridge said the Mount Storm project is not incremental to Dominion’s current capital plan, which already anticipated accelerating capital spending later in the planning period for natural-gas investments.
The company also said it is working to accelerate battery deployment following Virginia legislation that increased storage targets. Blue said Dominion has about $2 billion of battery investment in its current five-year forecast, representing roughly 3% of the total capital plan. A commission-sponsored technical conference this fall and the company’s forthcoming integrated resource plan are expected to provide additional detail.
In South Carolina, comprehensive settlement agreements in Dominion subsidiary DESC’s electric rate case were unanimously approved in June, with new rates taking effect at the start of July. Dominion said it has now reached settlements in each of its past four South Carolina electric and gas base-rate cases.
At its Millstone nuclear facility, Dominion expects a decision soon from the Connecticut Department of Energy and Environmental Protection regarding its bid in a zero-carbon energy solicitation. The company said Millstone’s current power-purchase agreement is expected to save Connecticut customers more than $300 million in 2026 and more than $900 million over its 10-year term based on current forward curves.
About Dominion Energy (NYSE:D)
Dominion Energy, Inc, headquartered in Richmond, Virginia, is a diversified energy company that primarily operates regulated electricity and natural gas utilities and develops energy infrastructure. The company’s core activities include the generation, transmission and distribution of electricity to residential, commercial and industrial customers, as well as the purchase, storage and delivery of natural gas. Dominion combines traditional utility operations with energy infrastructure businesses to provide essential services across its service territories.
Dominion’s electricity portfolio spans multiple technologies and fuel sources, including nuclear, natural gas-fired generation and renewable resources such as utility-scale solar and wind.
