EX-99.1 2 er-20190630xearnrelease991.htm EXHIBIT 99.1

Exhibit

News Release

Media Contact: Catherine Butler

24-Hour: 800.559.3853

Analyst Contact: Mike Callahan

Office: 704.382.0459

Aug. 6, 2019    

Duke Energy reports second quarter 2019 financial results

▪ Second quarter 2019 reported and adjusted EPS of $1.12 with strong results across all segments

▪ Adjusted EPS growth of 6 percent through first half of the year

▪ Company reaffirms 2019 adjusted EPS guidance range of $4.80 to $5.20 and long-term earnings growth target of 4 to 6 percent

CHARLOTTE, N.C. – Duke Energy (NYSE: DUK) today announced second quarter 2019 reported diluted earnings per share (EPS), prepared in accordance with Generally Accepted Accounting Principles (GAAP), and adjusted diluted EPS of $1.12. This is compared to reported and adjusted diluted EPS of $0.71 and $0.93, respectively, for the second quarter of 2018. Adjusted diluted EPS excludes the impact of certain regulatory and legislative charges that are included in reported diluted EPS.

Higher second quarter 2019 adjusted results were primarily driven by growth from investments at electric and gas utilities and commercial renewables, as well as favorable O&M expenses.

“We delivered strong financial results in the quarter as we continue creating value for customers and shareholders,” said Lynn Good, Duke Energy chairman, president and CEO. “So far this year, we’ve grown earnings and increased our dividend. We remain on track to meet our commitments, and have reaffirmed our 2019 earnings guidance range and our long-term 4 to 6 percent earnings growth rate.”

“Moving forward, we will continue to execute our long-term strategy for the benefit of our customers and investors, including advancing our legislative and regulatory priorities to support our vision of a cleaner energy future.”

Business segment results

In addition to the following summary of second quarter 2019 business segment performance, comprehensive tables with detailed EPS drivers for the second quarter compared to prior year are provided in the tables at the end of this news release.

The discussion below of second quarter results includes both reported segment income and adjusted segment income, which is a non-GAAP financial measure. The tables at the end of this news release present a full reconciliation of GAAP reported results to adjusted results.

Duke Energy News Release     2

Electric Utilities and Infrastructure

On a reported and adjusted basis, Electric Utilities and Infrastructure recognized second quarter 2019 segment income of $809 million. This is compared to reported and adjusted earnings of $575 million and $711 million, respectively, in the second quarter of 2018. Second quarter 2018 reported results were impacted by $136 million in after-tax charges related primarily to the Duke Energy Carolinas North Carolina rate case order. This amount was treated as a special item and excluded from adjusted earnings.

On an adjusted basis, this represents an increase of $0.13 per share, excluding share dilution of $0.03 per share. Higher quarterly results were primarily due to contributions from base rate changes (+$0.08 per share), higher rider revenues (+$0.04 per share) and timing of O&M expenses (+$0.07 per share).

These results were partially offset by higher depreciation and amortization on a growing asset base (-$0.05 per share) and higher interest expense (-$0.02 per share).

Gas Utilities and Infrastructure

On a reported and adjusted basis, Gas Utilities and Infrastructure recognized second quarter 2019 segment income of $40 million compared to $28 million in the second quarter of 2018, an increase of $0.02 per share. Higher quarterly results were driven by higher earnings from midstream investments (+$0.02 per share).

Commercial Renewables

On a reported and adjusted basis, Commercial Renewables recognized second quarter 2019 segment income of $86 million, compared to $38 million in the second quarter of 2018, an increase of $0.06 per share. Higher quarterly results were primarily due to a new solar tax equity financed project placed in service (+$0.08 per share), partially offset by lower wind resource and a favorable contractual settlement in the prior year (-$0.02 per share).

Other

Other primarily includes interest expense on holding company debt, other unallocated corporate costs and results from Duke Energy’s captive insurance company.

On a reported and adjusted basis, Other recognized a second quarter 2019 net loss of $115 million. This is compared to a reported and adjusted net loss of $136 million and $121 million, respectively, in the second quarter of 2018. Second quarter 2018 reported results were impacted by costs to achieve the Piedmont merger. These amounts were treated as special items and excluded from adjusted earnings.

Effective Tax Rate

Duke Energy's consolidated reported effective tax rate for the second quarter of 2019 was 15.9 percent compared to 16.5 percent in the second quarter of 2018. The decrease in the effective tax rate was primarily due to the amortization of excess deferred taxes. The effective tax rate including impacts of noncontrolling interests and preferred dividends and excluding special

Duke Energy News Release     3

items for the second quarter of 2019 was 14.7 percent compared to 18.4 percent in the second quarter of 2018. The decrease was primarily due to the amortization of excess deferred taxes.

The tables at the end of this news release present a reconciliation of the reported effective tax rate to the effective tax rate including noncontrolling interests and preferred dividends and excluding special items.

Earnings conference call for analysts

An earnings conference call for analysts is scheduled from 10 to 11 a.m. ET today to discuss second quarter 2019 financial results and other business and financial updates. The conference call will be hosted by Lynn Good, chairman, president and chief executive officer, and Steve Young, executive vice president and chief financial officer.

The call can be accessed via the investors section (duke-energy.com/investors) of Duke Energy’s website or by dialing 888.254.3590 in the United States or 323.994.2093 outside the United States. The confirmation code is 6866305. Please call in 10 to 15 minutes prior to the scheduled start time.

A replay of the conference call will be available until 1 p.m. ET, August 16, 2019, by calling 888.203.1112 in the United States or 719.457.0820 outside the United States and using the code 6866305. An audio replay and transcript will also be available by accessing the investors section of the company’s website.

Special Items and Non-GAAP Reconciliation

The following table presents a reconciliation of GAAP reported to adjusted diluted EPS for second quarter 2018 financial results:

(In millions, except per-share amounts)	After-Tax Amount			2Q 2018 EPS
Diluted EPS, as reported				$	0.71
Adjustments to reported EPS:
Second Quarter 2018
Costs to achieve Piedmont merger	$	15		0.02
Regulatory and Legislative Impacts	136			0.19
Discontinued Operations	5			0.01
Total adjustments	$	156		$	0.22
Diluted EPS, adjusted				$	0.93

Duke Energy News Release     4

Non-GAAP financial measures

Management evaluates financial performance in part based on non-GAAP financial measures, including adjusted earnings, adjusted diluted EPS and effective tax rate including impacts of noncontrolling interests and preferred dividends and excluding special items. Adjusted earnings and adjusted diluted EPS represent income from continuing operations attributable to Duke Energy common stockholders in dollar and per share amounts, adjusted for the dollar and per-share impact of special items. The effective tax rate including impacts of noncontrolling interests and preferred dividends and excluding special items is calculated using pretax earnings and income tax expense, both as adjusted for the impact of noncontrolling interests, preferred dividends and special items. As discussed below, special items include certain charges and credits, which management believes are not indicative of Duke Energy's ongoing performance.

Management believes the presentation of these non-GAAP financial measures provides useful information to investors, as it provides them with an additional relevant comparison of Duke Energy’s performance across periods. Management uses these non-GAAP financial measures for planning and forecasting, and for reporting financial results to the Board of Directors, employees, stockholders, analysts and investors. Adjusted diluted EPS is also used as a basis for employee incentive bonuses. The most directly comparable GAAP measures for adjusted earnings, adjusted diluted EPS and effective tax rate including impacts of noncontrolling interests and preferred dividends and excluding special items are Net Income Attributable to Duke Energy Corporation (GAAP reported earnings), Diluted EPS Attributable to Duke Energy Corporation common stockholders (GAAP reported EPS), and the reported effective tax rate, respectively.

Special items included in the periods presented include the following items, which management believes do not reflect ongoing costs:

• Costs to Achieve Piedmont Merger represents charges that resulted from the Piedmont acquisition.

• Regulatory and Legislative Impacts represents charges related to rate case orders, settlements or other actions of regulators or legislative bodies.

• Sale of Retired Plant represents the loss associated with selling Beckjord Generating Station (Beckjord), a nonregulated generating facility in Ohio.

• Impairment of Equity Method Investment represents an OTTI of an investment in Constitution.

• Impacts of the Tax Act represents an AMT valuation allowance recognized related to the Tax Act.

Due to the forward-looking nature of any forecasted adjusted earnings guidance, information to reconcile this non-GAAP financial measure to the most directly comparable GAAP financial measure is not available at this time, as management is unable to project all special items for future periods (such as legal settlements, the impact of regulatory orders or asset impairments).

Duke Energy News Release     5

Management evaluates segment performance based on segment income and other net loss. Segment income is defined as income from continuing operations attributable to Duke Energy. Segment income includes intercompany revenues and expenses that are eliminated in the Condensed Consolidated Financial Statements. Management also uses adjusted segment income as a measure of historical and anticipated future segment performance. Adjusted segment income is a non-GAAP financial measure, as it is based upon segment income adjusted for special items, which are discussed above. Management believes the presentation of adjusted segment income provides useful information to investors, as it provides them with an additional relevant comparison of a segment’s performance across periods. The most directly comparable GAAP measure for adjusted segment income or adjusted other net loss is segment income and other net loss.

Due to the forward-looking nature of any forecasted adjusted segment income or adjusted other net loss and any related growth rates for future periods, information to reconcile these non-GAAP financial measures to the most directly comparable GAAP financial measures is not available at this time, as the company is unable to forecast all special items, as discussed above.

Duke Energy’s adjusted earnings, adjusted diluted EPS and adjusted segment income may not be comparable to similarly titled measures of another company because other companies may not calculate the measures in the same manner.

Duke Energy

Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of the largest energy holding companies in the U.S. It employs 30,000 people and has an electric generating capacity of 51,000 megawatts through its regulated utilities, and 3,000 megawatts through its nonregulated Duke Energy Renewables unit.

Duke Energy is transforming its customers’ experience, modernizing the energy grid, generating cleaner energy and expanding natural gas infrastructure to create a smarter energy future for the people and communities it serves. The Electric Utilities and Infrastructure unit’s regulated utilities serve approximately 7.7 million retail electric customers in six states — North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky. The Gas Utilities and Infrastructure unit distributes natural gas to more than 1.6 million customers in five states — North Carolina, South Carolina, Tennessee, Ohio and Kentucky. The Duke Energy Renewables unit operates wind and solar generation facilities across the U.S., as well as energy storage and microgrid projects.

Duke Energy was named to Fortune’s 2019 “World’s Most Admired Companies” list, and Forbes’ 2019 “America’s Best Employers” list. More information about the company is available at duke-energy.com. The Duke Energy News Center contains news releases, fact sheets, photos, videos and other materials. Duke Energy’s illumination features stories about people, innovations, community topics and environmental issues. Follow Duke Energy on Twitter, LinkedIn, Instagram and Facebook.

Duke Energy News Release     6

Forward-Looking Information

This document includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on management’s beliefs and assumptions and can often be identified by terms and phrases that include “anticipate,” “believe,” “intend,” “estimate,” “expect,” “continue,” “should,” “could,” “may,” “plan,” “project,” “predict,” “will,” “potential,” “forecast,” “target,” “guidance,” “outlook” or other similar terminology. Various factors may cause actual results to be materially different than the suggested outcomes within forward-looking statements; accordingly, there is no assurance that such results will be realized. These factors include, but are not limited to:

◦ State, federal and foreign legislative and regulatory initiatives, including costs of compliance with existing and future environmental requirements, including those related to climate change, as well as rulings that affect cost and investment recovery or have an impact on rate structures or market prices;

◦ The extent and timing of costs and liabilities to comply with federal and state laws, regulations and legal requirements related to coal ash remediation, including amounts for required closure of certain ash impoundments, are uncertain and difficult to estimate;

◦ The ability to recover eligible costs, including amounts associated with coal ash impoundment retirement obligations and costs related to significant weather events, and to earn an adequate return on investment through rate case proceedings and the regulatory process;

◦ The costs of decommissioning Crystal River Unit 3 and other nuclear facilities could prove to be more extensive than amounts estimated and all costs may not be fully recoverable through the regulatory process;

◦ Costs and effects of legal and administrative proceedings, settlements, investigations and claims;

◦ Industrial, commercial and residential growth or decline in service territories or customer bases resulting from sustained downturns of the economy and the economic health of our service territories or variations in customer usage patterns, including energy efficiency efforts and use of alternative energy sources, such as self-generation and distributed generation technologies;

◦ Federal and state regulations, laws and other efforts designed to promote and expand the use of energy efficiency measures and distributed generation technologies, such as private solar and battery storage, in Duke Energy service territories could result in customers leaving the electric distribution system, excess generation resources as well as stranded costs;

◦ Advancements in technology;

◦ Additional competition in electric and natural gas markets and continued industry consolidation;

◦ The influence of weather and other natural phenomena on operations, including the economic, operational and other effects of severe storms, hurricanes, droughts, earthquakes and tornadoes, including extreme weather associated with climate change;

◦ The ability to successfully operate electric generating facilities and deliver electricity to customers including direct or indirect effects to the company resulting from an incident that affects the U.S. electric grid or generating resources;

◦ The ability to obtain the necessary permits and approvals and to complete necessary or desirable pipeline expansion or infrastructure projects in our natural gas business;

◦ Operational interruptions to our natural gas distribution and transmission activities;

◦ The availability of adequate interstate pipeline transportation capacity and natural gas supply;

◦ The impact on facilities and business from a terrorist attack, cybersecurity threats, data security breaches, operational accidents, information technology failures or other catastrophic events, such as fires, explosions, pandemic health events or other similar occurrences;

◦ The inherent risks associated with the operation of nuclear facilities, including environmental, health, safety, regulatory and financial risks, including the financial stability of third-party service providers;

◦ The timing and extent of changes in commodity prices and interest rates and the ability to recover such costs through the regulatory process, where appropriate, and their impact on liquidity positions and the value of underlying assets;

Duke Energy News Release     7

◦ The results of financing efforts, including the ability to obtain financing on favorable terms, which can be affected by various factors, including credit ratings, interest rate fluctuations, compliance with debt covenants and conditions and general market and economic conditions;

◦ Credit ratings of the Duke Energy Registrants may be different from what is expected;

◦ Declines in the market prices of equity and fixed-income securities and resultant cash funding requirements for defined benefit pension plans, other post-retirement benefit plans and nuclear decommissioning trust funds;

◦ Construction and development risks associated with the completion of the Duke Energy Registrants’ capital investment projects, including risks related to financing, obtaining and complying with terms of permits, meeting construction budgets and schedules and satisfying operating and environmental performance standards, as well as the ability to recover costs from customers in a timely manner, or at all;

◦ Changes in rules for regional transmission organizations, including changes in rate designs and new and evolving capacity markets, and risks related to obligations created by the default of other participants;

◦ The ability to control operation and maintenance costs;

◦ The level of creditworthiness of counterparties to transactions;

◦ Employee workforce factors, including the potential inability to attract and retain key personnel;

◦ The ability of subsidiaries to pay dividends or distributions to Duke Energy Corporation holding company (the Parent);

◦ The performance of projects undertaken by our nonregulated businesses and the success of efforts to invest in and develop new opportunities;

◦ The effect of accounting pronouncements issued periodically by accounting standard-setting bodies;

◦ The impact of U.S. tax legislation to our financial condition, results of operations or cash flows and our credit ratings;

◦ The impacts from potential impairments of goodwill or equity method investment carrying values; and

◦ The ability to implement our business strategy, including enhancing existing technology systems.

Additional risks and uncertainties are identified and discussed in the Duke Energy Registrants' reports filed with the SEC and available at the SEC's website at sec.gov. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements might not occur or might occur to a different extent or at a different time than described. Forward-looking statements speak only as of the date they are made and the Duke Energy Registrants expressly disclaim an obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

DUKE ENERGY CORPORATION

REPORTED TO ADJUSTED EARNINGS RECONCILIATION

Three Months Ended June 30, 2018

(Dollars in millions, except per-share amounts)

					Special Items
	Reported Earnings				Costs to Achieve Piedmont Merger				Regulatory and Legislative Impacts				Discontinued Operations				Total Adjustments				Adjusted Earnings
SEGMENT INCOME
Electric Utilities and Infrastructure	$	575			$	—			$	136		B	$	—			$	136			$	711
Gas Utilities and Infrastructure	28				—				—				—				—				28
Commercial Renewables	38				—				—				—				—				38
Total Reportable Segment Income	641				—				136				—				136				777
Other	(136		)		15			A	—				—				15				(121		)
Discontinued Operations	(5		)		—				—				5			C	5				—
Net Income Attributable to Duke Energy Corporation	$	500			$	15			$	136			$	5			$	156			$	656
EPS ATTRIBUTABLE TO DUKE ENERGY CORPORATION, DILUTED	$	0.71			$	0.02			$	0.19			$	0.01			$	0.22			$	0.93

A — Net of $5 million tax benefit. $20 million recorded within Operating Expenses on the Condensed Consolidated Statements of Operations.

B — Net of $43 million tax benefit at Duke Energy Carolinas. $175 million recorded within Impairment charges and $4 million recorded within Operations, maintenance and other on the Duke Energy Carolinas' Condensed Consolidated Statements of Operations.

C — Recorded in Loss from Discontinued Operations, net of tax on the Condensed Consolidated Statements of Operations.

Weighted Average Shares, Diluted (reported and adjusted) — 704 million

8

DUKE ENERGY CORPORATION

REPORTED TO ADJUSTED EARNINGS RECONCILIATION

Six Months Ended June 30, 2018

(Dollars in millions, except per-share amounts)

						Special Items
		Reported Earnings				Costs to Achieve Piedmont Merger				Regulatory and Legislative Impacts				Sale of Retired Plant				Impairment of Equity Method Investment				Impacts of the Tax Act				Discontinued Operations				Total Adjustments				Adjusted Earnings
SEGMENT INCOME
Electric Utilities and Infrastructure		$	1,325			$	—			$	202		B	$	—			$	—			$	—			$	—			$	202			$	1,527
Gas Utilities and Infrastructure		144				—				—				—				42			D	—				—				42				186
Commercial Renewables		58				—				—				—				—				—				—				—				58
Total Reportable Segment Income		1,527				—				202				—				42				—				—				244				1,771
Other		(402		)		28			A	—				82			C	—				76			E	—				186				(216		)
Discontinued Operations		(5		)		—				—				—				—				—				5			F	5				—
Net Income Attributable to Duke Energy Corporation		$	1,120			$	28			$	202			$	82			$	42			$	76			$	5			$	435			$	1,555
EPS ATTRIBUTABLE TO DUKE ENERGY CORPORATION, DILUTED		$	1.59			$	0.04			$	0.29			$	0.12			$	0.06			$	0.11			$	0.01			$	0.63			$	2.22

A — Net of $9 million tax benefit. $37 million recorded within Operating Expenses on the Condensed Consolidated Statements of Operations.

B — Net of $16 million tax benefit at Duke Energy Progress and $47 million tax benefit at Duke Energy Carolinas.

•On the Duke Energy Progress' Condensed Consolidated Statements of Operations, $32 million is recorded within Impairment charges, $31 million within Operations, maintenance and other, $6 million within Interest Expense and $(1) million within Depreciation and amortization.

•On the Duke Energy Carolinas' Condensed Consolidated Statements of Operations, $188 million is recorded within Impairment charges, $8 million within Operations, maintenance and other, and $1 million within Depreciation and amortization.

C — Net of $25 million tax benefit. $107 million recorded within Gains (Losses) on Sales of Other Assets and Other, net on the Condensed Consolidated Statements of Operations.

D — Net of $13 million tax benefit. $55 million recorded within Other Income and Expenses on the Condensed Consolidated Statements of Operations.

E — $76 million AMT valuation allowance within Income Tax Expense from Continuing Operations on the Condensed Consolidated Statements of Operations.

F — Recorded in Loss from Discontinued Operations, net of tax on the Condensed Consolidated Statements of Operations.

Weighted Average Shares, Diluted (reported and adjusted) — 702 million

9

DUKE ENERGY CORPORATION

EFFECTIVE TAX RECONCILIATION

June 2019

(Dollars in millions)

		Three Months Ended   June 30, 2019							Six Months Ended   June 30, 2019
		Balance				Effective Tax Rate			Balance				Effective Tax Rate
Reported Income From Continuing Operations Before Income Taxes		$	889						$	1,877
Noncontrolling Interests		84							91
Preferred Dividends		(12		)					(12		)
Pretax Income Including Noncontrolling Interests and Preferred Dividends		$	961						$	1,956
Reported Income Tax Expense From Continuing Operations		$	141			15.9	%		$	236			12.6	%
Tax Expense Including Noncontrolling Interests and Preferred Dividends		$	141			14.7	%		$	236			12.1	%

		Three Months Ended   June 30, 2018							Six Months Ended   June 30, 2018
		Balance				Effective Tax Rate			Balance				Effective Tax Rate
Reported Income From Continuing Operations Before Income Taxes		$	607						$	1,410
Costs to Achieve Piedmont Merger		20							37
Regulatory and Legislative Impacts		179							265
Sale of Retired Plant		—							107
Impairment of Equity Method Investment		—							55
Noncontrolling Interests		(2		)					(4		)
Pretax Income Including Noncontrolling Interests and Excluding Special Items		$	804						$	1,870
Reported Income Tax Expense From Continuing Operations		$	100			16.5	%		$	281			19.9	%
Costs to Achieve Piedmont Merger		5							9
Regulatory and Legislative Impacts		43							63
Sale of Retired Plant		—							25
Impairment of Equity Method Investment		—							13
Impacts of the Tax Act		—							(76		)
Tax Expense Including Noncontrolling Interests and Excluding Special Items		$	148			18.4	%		$	315			16.8	%

10

DUKE ENERGY CORPORATION

EARNINGS VARIANCES

June 2019 QTD vs. Prior Year

(Dollars per share)	Electric Utilities and Infrastructure					Gas Utilities and Infrastructure					Commercial Renewables					Other					Discontinued Operations					Consolidated
2018 QTD Reported Earnings Per Share, Diluted	$	0.82				$	0.04				$	0.06				$	(0.20	)			$	(0.01	)			$	0.71
Costs to Achieve Piedmont Merger	—					—					—					0.02					—					0.02
Regulatory and Legislative Impacts	0.19					—					—					—					—					0.19
Discontinued Operations	—					—					—					—					0.01					0.01
2018 QTD Adjusted Earnings Per Share, Diluted	$	1.01				$	0.04				$	0.06				$	(0.18	)			$	—				$	0.93
Weather	(0.01		)			—					—					—					—					(0.01		)
Volume	0.02					—					—					—					—					0.02
Pricing and Riders	0.04					—					—					—					—					0.04
Rate case impacts, net(a)	0.08					—					—					—					—					0.08
Operations and maintenance, net of recoverables(b)	0.07					—					—					—					—					0.07
Midstream Gas Pipelines	—					0.02					—					—					—					0.02
Duke Energy Renewables(c)	—					—					0.06					—					—					0.06
Interest Expense	(0.02		)			—					—					(0.02		)			—					(0.04		)
AFUDC Equity	(0.02		)			—					—					—					—					(0.02		)
Depreciation and amortization(d)	(0.05		)			—					—					—					—					(0.05		)
Other	0.02					—					—					0.03					—					0.05
Change in share count	(0.03		)			—					—					—					—					(0.03		)
2019 QTD Reported Earnings Per Share, Diluted	$	1.11				$	0.06				$	0.12				$	(0.17	)			$	—				$	1.12
Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers except Commercial Renewables, which uses an effective rate. Weighted average diluted shares outstanding increased from 704 million shares to 728 million.

(a) Includes the net impact of the DEF GBRA, SBRA and multi-year rate plan (+$0.05), DEO and DEK rate cases (+$0.02), and the Carolinas rate cases (+$0.01), which is primarily comprised of base rate increases partially offset by higher depreciation and amortization expense.

(b) Includes favorable timing of O&M expenses.

(c) Includes the new solar tax equity project placed in service (+$0.08), partially offset by lower wind resource and favorable contractual settlement in the prior year.

(d) Excludes rate case impacts.

11

DUKE ENERGY CORPORATION

EARNINGS VARIANCES

June 2019 YTD vs. Prior Year

(Dollars per share)	Electric Utilities and Infrastructure					Gas Utilities and Infrastructure					Commercial Renewables					Other					Discontinued Operations					Consolidated
2018 YTD Reported Earnings Per Share, Diluted	$	1.89				$	0.21				$	0.08				$	(0.58	)			$	(0.01	)			$	1.59
Costs to Achieve Piedmont Merger	—					—					—					0.04					—					0.04
Regulatory and Legislative Impacts	0.29					—					—					—					—					0.29
Sale of Retired Plant	—					—					—					0.12					—					0.12
Impairment of Equity Method Investment	—					0.06					—					—					—					0.06
Impacts of the Tax Act (Alternative Minimum Tax valuation allowance)	—					—					—					0.11					—					0.11
Discontinued Operations	—					—					—					—					0.01					0.01
2018 YTD Adjusted Earnings Per Share, Diluted	$	2.18				$	0.27				$	0.08				$	(0.31	)			$	—				$	2.22
Weather	(0.08		)			—					—					—					—					(0.08		)
Pricing and Riders	0.08					0.01					—					—					—					0.09
Rate case impacts, net(a)	0.16					—					—					—					—					0.16
Operations and maintenance, net of recoverables(b)	0.07					—					—					—					—					0.07
Midstream Gas Pipelines(c)	—					0.09					—					—					—					0.09
Duke Energy Renewables(d)	—					—					0.06					—					—					0.06
Interest Expense	(0.04		)			—					—					(0.03		)			—					(0.07		)
AFUDC Equity	(0.05		)			—					—					—					—					(0.05		)
Depreciation and amortization(e)	(0.09		)			—					—					—					—					(0.09		)
Other	(0.01		)			—					—					0.05					—					0.04
Change in share count	(0.08		)			—					—					—					—					(0.08		)
2019 YTD Reported Earnings Per Share, Diluted	$	2.14				$	0.37				$	0.14				$	(0.29	)			$	—				$	2.36
Note: Earnings Per Share amounts are calculated using the consolidated statutory income tax rate for all drivers except for Commercial Renewables, which uses an effective rate. Weighted average diluted shares outstanding increased from 702 million shares to 728 million.

(a) Includes the net impact of the DEF GBRA, SBRA and multi-year rate plan (+$0.09), the Carolinas rate cases (+$0.04) and DEO and DEK rate cases (+$0.03), which is primarily comprised of base rate increases partially offset by higher depreciation and amortization expense.

(b) Includes favorable timing of O&M expenses.

(c) Primarily due to an income tax adjustment for equity method investments related to prior years.

(d) Includes the new solar tax equity project placed in service (+$0.08), partially offset by lower wind resource and favorable contractual settlement in the prior year.

(e) Excludes rate case impacts.

12

June 2019
QUARTERLY HIGHLIGHTS
(Unaudited)
	Three Months Ended								Six Months Ended
	June 30,								June 30,
(In millions, except per-share amounts and where noted)	2019				2018				2019				2018
Earnings Per Share — Basic and Diluted
Income from continuing operations attributable to Duke Energy Corporation common stockholders
Basic	$	1.12			$	0.72			$	2.36			$	1.60
Diluted	$	1.12			$	0.72			$	2.36			$	1.60
Loss from discontinued operations attributable to Duke Energy Corporation common stockholders
Basic	$	—			$	(0.01	)		$	—			$	(0.01	)
Diluted	$	—			$	(0.01	)		$	—			$	(0.01	)
Net income attributable to Duke Energy Corporation common stockholders
Basic	$	1.12			$	0.71			$	2.36			$	1.59
Diluted	$	1.12			$	0.71			$	2.36			$	1.59
Weighted average shares outstanding
Basic	728				703				728				702
Diluted	728				704				728				702
INCOME (LOSS) BY BUSINESS SEGMENT
Electric Utilities and Infrastructure(a)	$	809			$	575			$	1,559			$	1,325
Gas Utilities and Infrastructure(b)	40				28				266				144
Commercial Renewables	86				38				99				58
Total Reportable Segment Income	935				641				1,924				1,527
Other(c)(d)	(115		)		(136		)		(204		)		(402		)
Loss from Discontinued Operations	—				(5		)		—				(5		)
Net Income Attributable to Duke Energy Corporation	$	820			$	500			$	1,720			$	1,120
CAPITALIZATION
Total Common Equity (%)									43		%		43		%
Total Debt (%)									57		%		57		%
Total Debt									$	60,833			$	56,044
Book Value Per Share									$	62.27			$	59.71
Actual Shares Outstanding									728				712
CAPITAL AND INVESTMENT EXPENDITURES
Electric Utilities and Infrastructure	$	2,073			$	1,970			$	4,186			$	3,743
Gas Utilities and Infrastructure	383				181				747				409
Commercial Renewables	483				16				573				103
Other	58				68				121				141
Total Capital and Investment Expenditures	$	2,997			$	2,235			$	5,627			$	4,396

(a) Includes regulatory and legislative charges related to rate case orders, settlements or other actions of regulators or legislative bodies of $136 million (net of tax of $43 million) for the three months ended June 30, 2018, and $202 million (net of tax of $63 million) for the six months ended June 30, 2018.

(b) Includes an other-than-temporary impairment of an investment in Constitution of $42 million (net of tax of $13 million) for the six months ended June 30, 2018.

(c) Includes the loss associated with selling Beckjord, a non-regulated generating facility in Ohio which was retired in 2014, of $82 million (net of tax of $25 million) for the six months ended June 30, 2018.

(d) Includes an Alternative Minimum Tax valuation allowance recognized related to the Tax Act of $76 million for the six months ended June 30, 2018.

13

DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In millions, except per-share amounts)
	Three Months Ended June 30,								Six Months Ended June 30,
	2019				2018				2019				2018
Operating Revenues
Regulated electric	$	5,423			$	5,178			$	10,708			$	10,462
Regulated natural gas	280				291				1,008				991
Nonregulated electric and other	170				174				320				325
Total operating revenues	5,873				5,643				12,036				11,778
Operating Expenses
Fuel used in electric generation and purchased power	1,641				1,574				3,250				3,250
Cost of natural gas	76				89				403				402
Operation, maintenance and other	1,434				1,544				2,853				3,008
Depreciation and amortization	1,089				973				2,178				1,940
Property and other taxes	334				315				677				631
Impairment charges	4				172				4				215
Total operating expenses	4,578				4,667				9,365				9,446
Gains (Losses) on Sales of Other Assets and Other, net	3				3				—				(97		)
Operating Income	1,298				979				2,671				2,235
Other Income and Expenses
Equity in earnings of unconsolidated affiliates	44				36				87				12
Other income and expenses, net	89				110				204				196
Total other income and expenses	133				146				291				208
Interest Expense	542				518				1,085				1,033
Income From Continuing Operations Before Income Taxes	889				607				1,877				1,410
Income Tax Expense From Continuing Operations	141				100				236				281
Income From Continuing Operations	748				507				1,641				1,129
Loss From Discontinued Operations, net of tax	—				(5		)		—				(5		)
Net Income	748				502				1,641				1,124
Less: Net (Loss) Income Attributable to Noncontrolling Interests	(84		)		2				(91		)		4
Less: Preferred Dividends	12				—				12				—
Net Income Attributable to Duke Energy Corporation	$	820			$	500			$	1,720			$	1,120
Earnings Per Share — Basic and Diluted
Income from continuing operations attributable to Duke Energy Corporation common stockholders
Basic and Diluted	$	1.12			$	0.72			$	2.36			$	1.60
Loss from discontinued operations attributable to Duke Energy Corporation common stockholders
Basic and Diluted	$	—			$	(0.01	)		$	—			$	(0.01	)
Net income attributable to Duke Energy Corporation common stockholders
Basic and Diluted	$	1.12			$	0.71			$	2.36			$	1.59
Weighted average shares outstanding
Basic	728				703				728				702
Diluted	728				704				728				702

14

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(In millions)	June 30, 2019				December 31, 2018
ASSETS
Current Assets
Cash and cash equivalents	$	336			$	442
Receivables (net of allowance for doubtful accounts of $16 at 2019 and 2018)	646				962
Receivables of VIEs (net of allowance for doubtful accounts of $55 at 2019 and 2018)	2,153				2,172
Inventory	3,189				3,084
Regulatory assets (includes $52 at 2019 and 2018 related to VIEs)	1,918				2,005
Other (includes $140 at 2019 and $162 at 2018 related to VIEs)	1,267				1,049
Total current assets	9,509				9,714
Property, Plant and Equipment
Cost	141,363				134,458
Accumulated depreciation and amortization	(44,482		)		(43,126		)
Generation facilities to be retired, net	317				362
Net property, plant and equipment	97,198				91,694
Other Noncurrent Assets
Goodwill	19,303				19,303
Regulatory assets (includes $1,019 at 2019 and $1,041 at 2018 related to VIEs)	13,393				13,617
Nuclear decommissioning trust funds	7,621				6,720
Operating lease right-of-use assets, net	1,735				—
Investments in equity method unconsolidated affiliates	1,715				1,409
Other (includes $289 at 2019 and $261 at 2018 related to VIEs)	2,975				2,935
Total other noncurrent assets	46,742				43,984
Total Assets	$	153,449			$	145,392
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable	$	2,512			$	3,487
Notes payable and commercial paper	3,793				3,410
Taxes accrued	521				577
Interest accrued	564				559
Current maturities of long-term debt (includes $232 at 2019 and $227 at 2018 related to VIEs)	2,698				3,406
Asset retirement obligations	739				919
Regulatory liabilities	600				598
Other	2,020				2,085
Total current liabilities	13,447				15,041
Long-Term Debt (includes $4,070 at 2019 and $3,998 at 2018 related to VIEs)	54,342				51,123
Other Noncurrent Liabilities
Deferred income taxes	8,532				7,806
Asset retirement obligations	11,889				9,548
Regulatory liabilities	15,294				14,834
Operating lease liabilities	1,502				—
Accrued pension and other post-retirement benefit costs	959				988
Investment tax credits	569				568
Other (includes $222 at 2019 and $212 at 2018 related to VIEs)	1,583				1,650
Total other noncurrent liabilities	40,328				35,394
Commitments and Contingencies
Equity
Preferred stock, $0.001 par value, 40 million depositary shares authorized and outstanding at 2019	973				—
Common stock, $0.001 par value, 2 billion shares authorized; 728 million shares outstanding at 2019 and 727 million shares outstanding at 2018	1				1
Additional paid-in capital	40,885				40,795
Retained earnings	3,502				3,113
Accumulated other comprehensive loss	(148		)		(92		)
Total Duke Energy Corporation stockholders' equity	45,213				43,817
Noncontrolling interests	119				17
Total equity	45,332				43,834
Total Liabilities and Equity	$	153,449			$	145,392

15

DUKE ENERGY CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In millions)
		Six Months Ended June 30,
		2019				2018
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income		$	1,641			$	1,124
Adjustments to reconcile net income to net cash provided by operating activities		1,415				2,178
Net cash provided by operating activities		3,056				3,302
CASH FLOWS FROM INVESTING ACTIVITIES
Net cash used in investing activities		(5,788		)		(4,645		)
CASH FLOWS FROM FINANCING ACTIVITIES
Net cash provided by financing activities		2,622				1,265
Net decrease in cash, cash equivalents and restricted cash		(110		)		(78		)
Cash, cash equivalents and restricted cash at beginning of period		591				505
Cash, cash equivalents and restricted cash at end of period		$	481			$	427

16

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months Ended June 30, 2019
(In millions)	Electric Utilities and Infrastructure			Gas Utilities and Infrastructure			Commercial Renewables			Other			Eliminations/Adjustments			Duke Energy
Operating Revenues
Regulated electric	$	5,475		$	—		$	—		$	—		$	(52	)	$	5,423
Regulated natural gas	—			304			—			—			(24		)	280
Nonregulated electric and other	—			2			118			25			25			170
Total operating revenues	5,475			306			118			25			(51		)	5,873
Operating Expenses
Fuel used in electric generation and purchased power	1,662			—			—			—			(21		)	1,641
Cost of natural gas	—			76			—			—			—			76
Operation, maintenance and other	1,318			107			64			(26		)	(29		)	1,434
Depreciation and amortization	951			63			40			34			1			1,089
Property and other taxes	297			27			6			3			1			334
Impairment charges	4			—			—			—			—			4
Total operating expenses	4,232			273			110			11			(48		)	4,578
Gains on Sales of Other Assets and Other, net	3			—			—			—			—			3
Operating Income (Loss)	1,246			33			8			14			(3		)	1,298
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	4			31			(1		)	9			1			44
Other income and expenses, net	85			6			(7		)	21			(16		)	89
Total Other Income and Expenses	89			37			(8		)	30			(15		)	133
Interest Expense	330			27			22			180			(17		)	542
Income (Loss) from Continuing Operations Before Income Taxes	1,005			43			(22		)	(136		)	(1		)	889
Income Tax Expense (Benefit) from Continuing Operations	196			3			(24		)	(33		)	(1		)	141
Income (Loss) from Continuing Operations	809			40			2			(103		)	—			748
Less: Net Loss Attributable to Noncontrolling Interest(a)	—			—			(84		)	—			—			(84		)
Less: Preferred Dividends	—			—			—			12			—			12
Segment Income / Other Net Loss / Net Income Attributable to Duke Energy Corporation	$	809		$	40		$	86		$	(115	)	$	—		$	820

(a)    Includes the allocation of losses to noncontrolling members primarily due to a new solar tax equity project being placed in service.

17

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)

	Six Months Ended June 30, 2019
(In millions)	Electric Utilities and Infrastructure			Gas Utilities and Infrastructure			Commercial Renewables			Other			Eliminations/Adjustments			Duke Energy
Operating Revenues
Regulated electric	$	10,804		$	—		$	—		$	—		$	(96	)	$	10,708
Regulated natural gas	—			1,056			—			—			(48		)	1,008
Nonregulated electric and other	—			6			224			46			44			320
Total operating revenues	10,804			1,062			224			46			(100		)	12,036
Operating Expenses
Fuel used in electric generation and purchased power	3,292			—			—			—			(42		)	3,250
Cost of natural gas	—			403			—			—			—			403
Operation, maintenance and other	2,600			217			130			(39		)	(55		)	2,853
Depreciation and amortization	1,898			128			80			72			—			2,178
Property and other taxes	598			60			12			6			1			677
Impairment charges	4			—			—			—			—			4
Total operating expenses	8,392			808			222			39			(96		)	9,365
Operating Income	2,412			254			2			7			(4		)	2,671
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	6			64			(2		)	18			1			87
Other income and expenses, net	174			13			(8		)	56			(31		)	204
Total Other Income and Expenses	180			77			(10		)	74			(30		)	291
Interest Expense	668			57			43			351			(34		)	1,085
Income (Loss) from Continuing Operations Before Income Taxes	1,924			274			(51		)	(270		)	—			1,877
Income Tax Expense (Benefit) from Continuing Operations	365			8			(59		)	(78		)	—			236
Income (Loss) from Continuing Operations	1,559			266			8			(192		)	—			1,641
Less: Net Loss Attributable to Noncontrolling Interest(a)	—			—			(91		)	—			—			(91		)
Less: Preferred Dividends	—			—			—			12			—			12
Segment Income / Other Net Loss / Net Income Attributable to Duke Energy Corporation	$	1,559		$	266		$	99		$	(204	)	$	—		$	1,720

(a) Includes the allocation of losses to noncontrolling members primarily due to a new solar tax equity project being placed in service.

18

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months Ended June 30, 2018
(In millions)	Electric Utilities and Infrastructure			Gas Utilities and Infrastructure			Commercial Renewables			Other			Eliminations/Adjustments			Duke Energy
Operating Revenues
Regulated electric	$	5,223		$	—		$	—		$	—		$	(45	)	$	5,178
Regulated natural gas	—			315			—			—			(24		)	291
Nonregulated electric and other	—			3			119			32			20			174
Total operating revenues	5,223			318			119			32			(49		)	5,643
Operating Expenses
Fuel used in electric generation and purchased power	1,582			—			—			15			(23		)	1,574
Cost of natural gas	—			89			—			—			—			89
Operation, maintenance and other	1,395			103			69			3			(26		)	1,544
Depreciation and amortization	838			60			38			37			—			973
Property and other taxes	279			26			6			4			—			315
Impairment charges	172			—			—			—			—			172
Total operating expenses	4,266			278			113			59			(49		)	4,667
Gains on Sales of Other Assets and Other, net	—			—			—			2			1			3
Operating Income (Loss)	957			40			6			(25		)	1			979
Other Income and Expenses
Equity in earnings of unconsolidated affiliates	2			17			2			16			(1		)	36
Other income and expenses, net	89			5			16			11			(11		)	110
Total Other Income and Expenses	91			22			18			27			(12		)	146
Interest Expense	316			26			23			164			(11		)	518
Income (Loss) from Continuing Operations Before Income Taxes	732			36			1			(162		)	—			607
Income Tax Expense (Benefit) from Continuing Operations	157			8			(36		)	(28		)	(1		)	100
Income (Loss) from Continuing Operations	575			28			37			(134		)	1			507
Less: Net (Loss) Income Attributable to Noncontrolling Interest	—			—			(1		)	2			1			2
Segment Income / Other Net Loss	$	575		$	28		$	38		$	(136	)	$	—		$	505
Loss from Discontinued Operations, net of tax																(5		)
Net Income Attributable to Duke Energy Corporation																$	500
Segment Income / Other Net Loss	$	575		$	28		$	38		$	(136	)	$	—		$	505
Special Items	136			—			—			15			—			151
Adjusted Earnings(a)	$	711		$	28		$	38		$	(121	)	$	—		$	656

(a) See Reported To Adjusted Earnings Reconciliation above for a detailed reconciliation of Segment Income / Other Net Loss to Adjusted Earnings.

19

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Unaudited)

	Six Months Ended June 30, 2018
(In millions)	Electric Utilities and Infrastructure			Gas Utilities and Infrastructure			Commercial Renewables			Other			Eliminations/Adjustments			Duke Energy
Operating Revenues
Regulated electric	$	10,546		$	—		$	—		$	—		$	(84	)	$	10,462
Regulated natural gas	—			1,040			—			—			(49		)	991
Nonregulated electric and other	—			5			220			67			33			325
Total operating revenues	10,546			1,045			220			67			(100		)	11,778
Operating Expenses
Fuel used in electric generation and purchased power	3,267			—			—			29			(46		)	3,250
Cost of natural gas	—			402			—			—			—			402
Operation, maintenance and other	2,720			211			124			6			(53		)	3,008
Depreciation and amortization	1,673			121			76			70			—			1,940
Property and other taxes	553			57			13			8			—			631
Impairment charges	215			—			—			—			—			215
Total operating expenses	8,428			791			213			113			(99		)	9,446
Gains (Losses) on Sales of Other Assets and Other, net	1			—			—			(99		)	1			(97		)
Operating Income (Loss)	2,119			254			7			(145		)	—			2,235
Other Income and Expenses
Equity in earnings (losses) of unconsolidated affiliates	4			(23		)	2			29			—			12
Other income and expenses, net	175			10			18			12			(19		)	196
Total Other Income and Expenses	179			(13		)	20			41			(19		)	208
Interest Expense	633			53			45			321			(19		)	1,033
Income (Loss) from Continuing Operations Before Income Taxes	1,665			188			(18		)	(425		)	—			1,410
Income Tax Expense (Benefit) from Continuing Operations	340			44			(75		)	(27		)	(1		)	281
Income (Loss) from Continuing Operations	1,325			144			57			(398		)	1			1,129
Less: Net (Loss) Income Attributable to Noncontrolling Interest	—			—			(1		)	4			1			4
Segment Income / Other Net Loss	$	1,325		$	144		$	58		$	(402	)	$	—		$	1,125
Loss from Discontinued Operations, net of tax																(5		)
Net Income Attributable to Duke Energy Corporation																$	1,120
Segment Income / Other Net Loss	$	1,325		$	144		$	58		$	(402	)	$	—		$	1,125
Special Items	202			42			—			186			—			430
Adjusted Earnings(a)	$	1,527		$	186		$	58		$	(216	)	$	—		$	1,555

(a) See Reported To Adjusted Earnings Reconciliation above for a detailed reconciliation of Segment Income / Other Net Loss to Adjusted Earnings.

20

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING BALANCE SHEETS — ASSETS

(Unaudited)

	June 30, 2019
(In millions)	Electric Utilities and Infrastructure			Gas Utilities and Infrastructure			Commercial Renewables			Other			Eliminations/ Adjustments			Duke Energy
Current Assets
Cash and cash equivalents	$	76		$	2		$	17		$	241		$	—		$	336
Receivables, net	441			92			86			28			(1		)	646
Receivables of variable interest entities, net	2,153			—			—			—			—			2,153
Receivables from affiliated companies	79			13			905			438			(1,435		)	—
Notes receivable from affiliated companies	7			15			—			1,800			(1,822		)	—
Inventory	3,056			68			39			26			—			3,189
Regulatory assets	1,773			32			—			113			—			1,918
Other	156			58			106			983			(36		)	1,267
Total current assets	7,741			280			1,153			3,629			(3,294		)	9,509
Property, Plant and Equipment
Cost	122,876			11,141			5,118			2,269			(41		)	141,363
Accumulated depreciation and amortization	(39,916		)	(2,423		)	(929		)	(1,215		)	1			(44,482		)
Generation facilities to be retired, net	317			—			—			—			—			317
Net property, plant and equipment	83,277			8,718			4,189			1,054			(40		)	97,198
Other Noncurrent Assets
Goodwill	17,379			1,924			—			—			—			19,303
Regulatory assets	12,266			635			—			492			—			13,393
Nuclear decommissioning trust funds	7,621			—			—			—			—			7,621
Operating lease right-of-use assets, net	1,317			26			98			294			—			1,735
Investments in equity method unconsolidated affiliates	125			1,268			198			124			—			1,715
Investment in consolidated subsidiaries	254			17			3			61,071			(61,345		)	—
Other	2,105			83			138			1,282			(633		)	2,975
Total other noncurrent assets	41,067			3,953			437			63,263			(61,978		)	46,742
Total Assets	132,085			12,951			5,779			67,946			(65,312		)	153,449
Segment reclassifications, intercompany balances and other	(445		)	(8		)	(909		)	(64,131		)	65,493			—
Segment Assets	$	131,640		$	12,943		$	4,870		$	3,815		$	181		$	153,449

21

DUKE ENERGY CORPORATION

CONDENSED CONSOLIDATING BALANCE SHEETS — LIABILITIES AND EQUITY

(Unaudited)

	June 30, 2019
(In millions)	Electric Utilities and Infrastructure			Gas Utilities and Infrastructure			Commercial Renewables			Other			Eliminations/ Adjustments			Duke Energy
Current Liabilities
Accounts payable	$	1,784		$	195		$	95		$	438		$	—		$	2,512
Accounts payable to affiliated companies	559			53			22			739			(1,373		)	—
Notes payable to affiliated companies	1,735			77			15			3			(1,830		)	—
Notes payable and commercial paper	—			—			10			3,783			—			3,793
Taxes accrued	611			26			(24		)	(92		)	—			521
Interest accrued	368			41			1			155			(1		)	564
Current maturities of long-term debt	1,294			26			178			1,199			1			2,698
Asset retirement obligations	739			—			—			—			—			739
Regulatory liabilities	507			91			—			2			—			600
Other	1,564			65			29			453			(91		)	2,020
Total current liabilities	9,161			574			326			6,680			(3,294		)	13,447
Long-Term Debt	32,634			3,020			1,611			17,118			(41		)	54,342
Long-Term Debt Payable to Affiliated Companies	618			7			9			—			(634		)	—
Other Noncurrent Liabilities
Deferred income taxes	9,845			934			(285		)	(1,963		)	1			8,532
Asset retirement obligations	11,706			57			125			—			1			11,889
Regulatory liabilities	13,708			1,559			—			27			—			15,294
Operating lease liabilities	1,184			25			98			194			1			1,502
Accrued pension and other post-retirement benefit costs	635			32			3			289			—			959
Investment tax credits	567			2			—			—			—			569
Other	848			196			296			301			(58		)	1,583
Total other noncurrent liabilities	38,493			2,805			237			(1,152		)	(55		)	40,328
Equity
Total Duke Energy Corporation stockholders' equity	51,179			6,545			3,479			45,298			(61,288		)	45,213
Noncontrolling interests	—			—			117			2			—			119
Total equity	51,179			6,545			3,596			45,300			(61,288		)	45,332
Total Liabilities and Equity	132,085			12,951			5,779			67,946			(65,312		)	153,449
Segment reclassifications, intercompany balances and other	(445		)	(8		)	(909		)	(64,131		)	65,493			—
Segment Liabilities and Equity	$	131,640		$	12,943		$	4,870		$	3,815		$	181		$	153,449

22

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)

	Three Months Ended June 30, 2019
(In millions)	Duke Energy Carolinas			Duke Energy Progress			Duke Energy Florida			Duke Energy Ohio(a)			Duke Energy Indiana			Eliminations/ Other			Electric Utilities and Infrastructure
Operating Revenues	$	1,713		$	1,387		$	1,353		$	336		$	714		$	(28	)	$	5,475
Operating Expenses
Fuel used in electric generation and purchased power	395			479			509			86			229			(36		)	1,662
Operation, maintenance and other	434			355			242			96			187			4			1,318
Depreciation and amortization	346			251			175			45			132			2			951
Property and other taxes	75			41			103			59			20			(1		)	297
Impairment charges	5			—			—			—			—			(1		)	4
Total operating expenses	1,255			1,126			1,029			286			568			(32		)	4,232
(Losses) Gains on Sales of Other Assets and Other, net	—			—			(1		)	—			3			1			3
Operating Income	458			261			323			50			149			5			1,246
Other Income and Expenses, net(b)	41			24			12			5			8			(1		)	89
Interest Expense	117			81			83			18			28			3			330
Income Before Income Taxes	382			204			252			37			129			1			1,005
Income Tax Expense	76			32			50			6			31			1			196
Segment Income	$	306		$	172		$	202		$	31		$	98		$	—		$	809

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes an equity component of allowance for funds used during construction of $11 million for Duke Energy Carolinas, $14 million for Duke Energy Progress, $1 million for Duke Energy Florida, $3 million for Duke Energy Ohio and $5 million for Duke Energy Indiana.

23

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)

	Six Months Ended June 30, 2019
(In millions)	Duke Energy Carolinas			Duke Energy Progress			Duke Energy Florida			Duke Energy Ohio(a)			Duke Energy Indiana			Eliminations/ Other			Electric Utilities and Infrastructure
Operating Revenues	$	3,457		$	2,871		$	2,439		$	691		$	1,482		$	(136	)	$	10,804
Operating Expenses
Fuel used in electric generation and purchased power	867			994			919			179			486			(153		)	3,292
Operation, maintenance and other	869			686			470			197			374			4			2,600
Depreciation and amortization	663			541			340			86			263			5			1,898
Property and other taxes	155			85			196			123			39			—			598
Impairment charges	5			—			—			—			—			(1		)	4
Total operating expenses	2,559			2,306			1,925			585			1,162			(145		)	8,392
Losses on Sales of Other Assets and Other, net	—			—			(1		)	—			—			1			—
Operating Income	898			565			513			106			320			10			2,412
Other Income and Expenses, net(b)	72			48			25			11			27			(3		)	180
Interest Expense	227			158			165			40			71			7			668
Income Before Income Taxes	743			455			373			77			276			—			1,924
Income Tax Expense	140			78			73			10			67			(3		)	365
Segment Income	$	603		$	377		$	300		$	67		$	209		$	3		$	1,559

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes an equity component of allowance for funds used during construction of $21 million for Duke Energy Carolinas, $28 million for Duke Energy Progress, $2 million for Duke Energy Florida, $6 million for Duke Energy Ohio and $9 million for Duke Energy Indiana.

24

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS — ASSETS

(Unaudited)

	June 30, 2019
(In millions)	Duke Energy Carolinas			Duke Energy Progress			Duke Energy Florida			Duke Energy Ohio(a)			Duke Energy Indiana			Eliminations/ Adjustments(b)			Electric Utilities and Infrastructure
Current Assets
Cash and cash equivalents	$	15		$	28		$	16		$	6		$	12		$	(1	)	$	76
Receivables, net	164			53			84			88			49			3			441
Receivables of variable interest entities, net	671			518			479			—			—			485			2,153
Receivables from affiliated companies	101			40			18			39			83			(202		)	79
Notes receivable from affiliated companies	—			—			—			—			—			7			7
Inventory	1,025			980			499			88			463			1			3,056
Regulatory assets	605			572			452			16			130			(2		)	1,773
Other	17			34			47			17			42			(1		)	156
Total current assets	2,598			2,225			1,595			254			779			290			7,741
Property, Plant and Equipment
Cost	47,249			33,288			19,461			6,586			15,831			461			122,876
Accumulated depreciation and amortization	(16,046		)	(11,728		)	(5,073		)	(1,958		)	(5,104		)	(7		)	(39,916		)
Generation facilities to be retired, net	—			317			—			—			—			—			317
Net property, plant and equipment	31,203			21,877			14,388			4,628			10,727			454			83,277
Other Noncurrent Assets
Goodwill	—			—			—			596			—			16,783			17,379
Regulatory assets	3,392			4,124			2,299			381			1,038			1,032			12,266
Nuclear decommissioning trust funds	4,059			2,833			729			—			—			—			7,621
Operating lease right-of-use assets, net	141			407			432			22			60			255			1,317
Investments in equity method unconsolidated affiliates	—			—			—			—			—			125			125
Investment in consolidated subsidiaries	48			13			2			190			1			—			254
Other	1,084			587			311			37			203			(117		)	2,105
Total other noncurrent assets	8,724			7,964			3,773			1,226			1,302			18,078			41,067
Total Assets	42,525			32,066			19,756			6,108			12,808			18,822			132,085
Segment reclassifications, intercompany balances and other	(270		)	(101		)	(53		)	(194		)	(69		)	242			(445		)
Reportable Segment Assets	$	42,255		$	31,965		$	19,703		$	5,914		$	12,739		$	19,064		$	131,640

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances, purchase accounting adjustments and restricted receivables related to Cinergy Receivables Company.

25

ELECTRIC UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS — LIABILITIES AND EQUITY

(Unaudited)

	June 30, 2019
(In millions)	Duke Energy Carolinas			Duke Energy Progress			Duke Energy Florida			Duke Energy Ohio(a)			Duke Energy Indiana			Eliminations/ Adjustments(b)			Electric Utilities and Infrastructure
Current Liabilities
Accounts payable	$	640		$	315		$	403		$	200		$	224		$	2		$	1,784
Accounts payable to affiliated companies	189			182			62			21			66			39			559
Notes payable to affiliated companies	804			127			477			126			165			36			1,735
Taxes accrued	210			107			148			126			26			(6		)	611
Interest accrued	106			110			70			23			59			—			368
Current maturities of long-term debt	456			6			671			74			3			84			1,294
Asset retirement obligations	203			413			3			6			115			(1		)	739
Regulatory liabilities	191			167			83			42			24			—			507
Other	500			395			462			71			119			17			1,564
Total current liabilities	3,299			1,822			2,379			689			801			171			9,161
Long-Term Debt	10,208			8,893			6,542			1,895			3,570			1,526			32,634
Long-Term Debt Payable to Affiliated Companies	300			150			—			18			150			—			618
Other Noncurrent Liabilities
Deferred income taxes	3,826			2,193			2,106			620			1,085			15			9,845
Asset retirement obligations	5,139			5,203			574			45			604			141			11,706
Regulatory liabilities	6,392			4,150			1,040			431			1,693			2			13,708
Operating lease liabilities	117			377			370			21			56			243			1,184
Accrued pension and other post-retirement benefit costs	90			232			248			68			142			(145		)	635
Investment tax credits	234			141			42			3			147			—			567
Other	644			93			61			65			14			(29		)	848
Total other noncurrent liabilities	16,442			12,389			4,441			1,253			3,741			227			38,493
Equity	12,276			8,812			6,394			2,253			4,546			16,898			51,179
Total Liabilities and Equity	42,525			32,066			19,756			6,108			12,808			18,822			132,085
Segment reclassifications, intercompany balances and other	(270		)	(101		)	(53		)	(194		)	(69		)	242			(445		)
Reportable Segment Liabilities and Equity	$	42,255		$	31,965		$	19,703		$	5,914		$	12,739		$	19,064		$	131,640

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances and purchase accounting adjustments.

26

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)

	Three Months Ended June 30, 2019
(In millions)	Duke Energy Ohio(a)			Piedmont Natural Gas LDC			Midstream Pipelines and Storage(b)			Eliminations/ Adjustments			Gas Utilities and Infrastructure
Operating Revenues	$	97		$	209		$	—		$	—		$	306
Operating Expenses
Cost of natural gas	10			65			—			1			76
Operation, maintenance and other	25			80			1			1			107
Depreciation and amortization	22			42			—			(1		)	63
Property and other taxes	14			13			—			—			27
Total operating expenses	71			200			1			1			273
Operating Income (Loss)	26			9			(1		)	(1		)	33
Other Income and Expenses
Equity in earnings of unconsolidated affiliates	—			—			31			—			31
Other income and expenses, net	2			4			—			—			6
Total other income and expenses	2			4			31			—			37
Interest Expense	6			21			—			—			27
Income Before Income Taxes	22			(8		)	30			(1		)	43
Income Tax Expense	5			(1		)	—			(1		)	3
Segment Income	$	17		$	(7	)	$	30		$	—		$	40

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes earnings from investments in ACP, Sabal Trail, Constitution and Cardinal pipelines, as well as Hardy and Pine Needle storage facilities.

27

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING SEGMENT INCOME

(Unaudited)

	Six Months Ended June 30, 2019
(In millions)	Duke Energy Ohio(a)			Piedmont Natural Gas LDC			Midstream Pipelines and Storage(b)			Eliminations/ Adjustments			Gas Utilities and Infrastructure
Operating Revenues	$	273		$	788		$	—		$	1		$	1,062
Operating Expenses
Cost of natural gas	64			338			—			1			403
Operation, maintenance and other	56			159			3			(1		)	217
Depreciation and amortization	44			84			—			—			128
Property and other taxes	34			25			—			1			60
Total operating expenses	198			606			3			1			808
Operating Income (Loss)	75			182			(3		)	—			254
Other Income and Expenses
Equity in earnings of unconsolidated affiliates	—			—			64			—			64
Other income and expenses, net	5			8			—			—			13
Total other income and expenses	5			8			64			—			77
Interest Expense	13			43			—			1			57
Income Before Income Taxes	67			147			61			(1		)	274
Income Tax Expense	15			35			(38		)	(4		)	8
Segment Income	$	52		$	112		$	99		$	3		$	266

(a) Includes results of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes earnings from investments in ACP, Sabal Trail, Constitution and Cardinal pipelines, as well as Hardy and Pine Needle storage facilities.

28

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS — ASSETS

(Unaudited)

	June 30, 2019
(In millions)	Duke Energy Ohio(a)			Piedmont Natural Gas LDC			Midstream Pipelines and Storage			Eliminations/ Adjustments(b)			Gas Utilities and Infrastructure
Current Assets
Cash and cash equivalents	$	2		$	—		$	—		$	—		$	2
Receivables, net	(9		)	100			—			1			92
Receivables from affiliated companies	5			94			—			(86		)	13
Notes receivable from affiliated companies	—			16			—			(1		)	15
Inventory	35			33			—			—			68
Regulatory assets	2			30			—			—			32
Other	2			57			—			(1		)	58
Total current assets	37			330			—			(87		)	280
Property, Plant and Equipment
Cost	3,190			7,951			—			—			11,141
Accumulated depreciation and amortization	(804		)	(1,620		)	—			1			(2,423		)
Net property, plant and equipment	2,386			6,331			—			1			8,718
Other Noncurrent Assets
Goodwill	324			49			—			1,551			1,924
Regulatory assets	193			280			—			162			635
Operating lease right-of-use assets, net	—			26			—			—			26
Investments in equity method unconsolidated affiliates	—			—			1,268			—			1,268
Investment in consolidated subsidiaries	—			—			—			17			17
Other	8			60			17			(2		)	83
Total other noncurrent assets	525			415			1,285			1,728			3,953
Total Assets	2,948			7,076			1,285			1,642			12,951
Segment reclassifications, intercompany balances and other	—			(53		)	(10		)	55			(8		)
Reportable Segment Assets	$	2,948		$	7,023		$	1,275		$	1,697		$	12,943

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances and purchase accounting adjustments.

29

GAS UTILITIES AND INFRASTRUCTURE

CONDENSED CONSOLIDATING BALANCE SHEETS — LIABILITIES AND EQUITY

(Unaudited)

	June 30, 2019
(In millions)	Duke Energy Ohio(a)			Piedmont Natural Gas LDC			Midstream Pipelines and Storage			Eliminations/ Adjustments(b)			Gas Utilities and Infrastructure
Current Liabilities
Accounts payable	$	40		$	156		$	—		$	(1	)	$	195
Accounts payable to affiliated companies	5			58			78			(88		)	53
Notes payable to affiliated companies	78			—			—			(1		)	77
Taxes accrued	1			25			—			—			26
Interest accrued	8			33			—			—			41
Current maturities of long-term debt	26			—			—			—			26
Regulatory liabilities	25			65			—			1			91
Other	3			60			(1		)	3			65
Total current liabilities	186			397			77			(86		)	574
Long-Term Debt	490			2,384			—			146			3,020
Long-Term Debt Payable to Affiliated Companies	7			—			—			—			7
Other Noncurrent Liabilities
Deferred income taxes	265			578			92			(1		)	934
Asset retirement obligations	38			19			—			—			57
Regulatory liabilities	370			1,174			—			15			1,559
Operating lease liabilities	—			25			—			—			25
Accrued pension and other post-retirement benefit costs	26			6			—			—			32
Investment tax credits	2			1			—			(1		)	2
Other	40			141			15			—			196
Total other noncurrent liabilities	741			1,944			107			13			2,805
Equity	1,524			2,351			1,100			1,570			6,545
Total Liabilities and Equity	2,948			7,076			1,284			1,643			12,951
Segment reclassifications, intercompany balances and other	—			(53		)	(9		)	54			(8		)
Reportable Segment Liabilities and Equity	$	2,948		$	7,023		$	1,275		$	1,697		$	12,943

(a) Includes balances of the wholly owned subsidiary, Duke Energy Kentucky.

(b) Includes the elimination of intercompany balances and purchase accounting adjustments.

30

Electric Utilities and Infrastructure
Quarterly Highlights
June 2019
		Three Months Ended June 30,												Six Months Ended June 30,
		2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)			2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)
Gigawatt-hour (GWh) Sales (a)
	Residential	18,823			19,159			(1.8	%)		0.6	%		41,041			42,900			(4.3	%)		(0.4	%)
	General Service	19,015			19,026			(0.1	%)		(0.2	%)		36,932			37,466			(1.4	%)		(0.7	%)
	Industrial	12,763			13,070			(2.3	%)		(1.5	%)		24,811			25,174			(1.4	%)		(0.7	%)
	Other Energy Sales	145			141			2.8	%					290			281			3.2	%
	Unbilled Sales	1,537			1,640			(6.3	%)		n/a			201			(235	)		185.5	%		n/a
	Total Retail Sales	52,283			53,036			(1.4	%)		(0.2	)%		103,275			105,586			(2.2	%)		(0.5	%)
	Wholesale and Other	9,791			9,884			(0.9	%)					19,493			20,863			(6.6	%)
	Total Consolidated Electric Sales — Electric Utilities and Infrastructure	62,074			62,920			(1.3	%)					122,768			126,449			(2.9	%)
Average Number of Customers (Electric)
	Residential	6,725,599			6,619,271			1.6	%					6,717,342			6,611,543			1.6	%
	General Service	988,506			982,634			0.6	%					988,471			980,927			0.8	%
	Industrial	17,339			17,530			(1.1	%)					17,369			17,567			(1.1	%)
	Other Energy Sales	28,636			23,527			21.7	%					28,597			23,501			21.7	%
	Total Retail Customers	7,760,080			7,642,962			1.5	%					7,751,779			7,633,538			1.5	%
	Wholesale and Other	47			57			(17.5	%)					49			55			(10.9	%)
	Total Average Number of Customers — Electric Utilities and Infrastructure	7,760,127			7,643,019			1.5	%					7,751,828			7,633,593			1.5	%
Sources of Electric Energy (GWh)
	Generated — Net Output (c)
	Coal	13,007			15,458			(15.9	%)					25,178			33,196			(24.2	%)
	Nuclear	18,138			17,595			3.1	%					36,728			36,100			1.7	%
	Hydro	779			982			(20.7	%)					1,832			1,736			5.5	%
	Oil and Natural Gas	18,191			17,697			2.8	%					35,845			34,014			5.4	%
	Renewable Energy	197			148			33.1	%					322			244			32.0	%
	Total Generation (d)	50,312			51,880			(3.0	%)					99,905			105,290			(5.1	%)
	Purchased Power and Net Interchange (e)	15,825			14,761			7.2	%					30,047			28,681			4.8	%
	Total Sources of Energy	66,137			66,641			(0.8	%)					129,952			133,971			(3.0	%)
	Less: Line Loss and Other	4,063			3,721			9.2	%					7,184			7,522			(4.5	%)
	Total GWh Sources	62,074			62,920			(1.3	%)					122,768			126,449			(2.9	%)
Owned Megawatt (MW) Capacity (c)
	Summer													50,888			49,934
	Winter													54,583			53,503
Nuclear Capacity Factor (%) (f)														96			94

(a) Except as indicated in footnote (b), represents non-weather normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

(f) Statistics reflect 100 percent of jointly owned stations.

31

Duke Energy Carolinas
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
June 2019
		Three Months Ended June 30,												Six Months Ended June 30,
		2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)			2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)
GWh Sales (a)
	Residential	6,168			6,324			(2.5	%)					13,923			14,608			(4.7	%)
	General Service	7,171			7,193			(0.3	%)					13,993			14,139			(1.0	%)
	Industrial	5,402			5,519			(2.1	%)					10,336			10,503			(1.6	%)
	Other Energy Sales	79			75			5.3	%					159			150			6.0	%
	Unbilled Sales	344			426			(19.2	%)					(11	)		(97	)		88.7	%
	Total Retail Sales	19,164			19,537			(1.9	%)		(0.9	%)		38,400			39,303			(2.3	%)		(0.9	%)
	Wholesale and Other	2,440			2,735			(10.8	%)					5,032			5,596			(10.1	%)
	Total Consolidated Electric Sales — Duke Energy Carolinas	21,604			22,272			(3.0	%)					43,432			44,899			(3.3	%)
Average Number of Customers
	Residential	2,257,042			2,209,018			2.2	%					2,250,978			2,205,938			2.0	%
	General Service	361,962			357,583			1.2	%					361,073			356,842			1.2	%
	Industrial	6,128			6,181			(0.9	%)					6,130			6,194			(1.0	%)
	Other Energy Sales	20,580			15,536			32.5	%					20,551			15,508			32.5	%
	Total Retail Customers	2,645,712			2,588,318			2.2	%					2,638,732			2,584,482			2.1	%
	Wholesale and Other	15			26			(42.3	%)					18			24			(25.0	%)
	Total Average Number of Customers — Duke Energy Carolinas	2,645,727			2,588,344			2.2	%					2,638,750			2,584,506			2.1	%
Sources of Electric Energy (GWh)
	Generated — Net Output (c)
	Coal	5,070			6,029			(15.9	%)					8,292			12,279			(32.5	%)
	Nuclear	11,015			11,083			(0.6	%)					22,481			22,721			(1.1	%)
	Hydro	540			714			(24.4	%)					1,319			1,239			6.5	%
	Oil and Natural Gas	3,807			4,051			(6.0	%)					7,888			7,203			9.5	%
	Renewable Energy	44			56			(21.4	%)					78			85			(8.2	%)
	Total Generation (d)	20,476			21,933			(6.6	%)					40,058			43,527			(8.0	%)
	Purchased Power and Net Interchange (e)	2,941			1,517			93.9	%					5,843			3,834			52.4	%
	Total Sources of Energy	23,417			23,450			(0.1	%)					45,901			47,361			(3.1	%)
	Less: Line Loss and Other	1,813			1,178			53.9	%					2,469			2,462			0.3	%
	Total GWh Sources	21,604			22,272			(3.0	%)					43,432			44,899			(3.3	%)
Owned MW Capacity (c)
	Summer													20,209			20,188
	Winter													21,146			21,068
Nuclear Capacity Factor (%) (f)														98			97
Heating and Cooling Degree Days
	Actual
	Heating Degree Days	127			208			(38.9	%)					1,730			1,929			(10.3	%)
	Cooling Degree Days	632			638			(0.9	%)					636			648			(1.9	%)
	Variance from Normal
	Heating Degree Days	(41.3	%)		(5.8	%)								(10.7	%)		(1.8	%)
	Cooling Degree Days	28.9	%		30.0	%								27.8	%		30.3	%

(a) Except as indicated in footnote (b), represents non-weather normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

(f) Statistics reflect 100 percent of jointly owned stations.

32

Duke Energy Progress
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
June 2019
		Three Months Ended June 30,												Six Months Ended June 30,
		2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)			2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)
GWh Sales (a)
	Residential	3,910			4,032			(3.0	%)					8,808			9,532			(7.6	%)
	General Service	3,718			3,771			(1.4	%)					7,256			7,503			(3.3	%)
	Industrial	2,614			2,640			(1.0	%)					5,115			5,077			0.7	%
	Other Energy Sales	20			20			—	%					39			39			—	%
	Unbilled Sales	545			295			84.7	%					181			(272	)		166.5	%
	Total Retail Sales	10,807			10,758			0.5	%		1.3	%		21,399			21,879			(2.2	%)		(0.3	%)
	Wholesale and Other	5,415			5,138			5.4	%					11,171			11,243			(0.6	%)
	Total Consolidated Electric Sales — Duke Energy Progress	16,222			15,896			2.1	%					32,570			33,122			(1.7	%)
Average Number of Customers
	Residential	1,346,348			1,328,158			1.4	%					1,344,117			1,325,644			1.4	%
	General Service	236,523			234,703			0.8	%					235,974			234,005			0.8	%
	Industrial	4,029			4,055			(0.6	%)					4,038			4,057			(0.5	%)
	Other Energy Sales	1,416			1,444			(1.9	%)					1,417			1,447			(2.1	%)
	Total Retail Customers	1,588,316			1,568,360			1.3	%					1,585,546			1,565,153			1.3	%
	Wholesale and Other	14			14			—	%					14			14			—	%
	Total Average Number of Customers — Duke Energy Progress	1,588,330			1,568,374			1.3	%					1,585,560			1,565,167			1.3	%
Sources of Electric Energy (GWh)
	Generated — Net Output (c)
	Coal	1,911			2,023			(5.5	%)					3,692			4,326			(14.7	%)
	Nuclear	7,123			6,512			9.4	%					14,247			13,379			6.5	%
	Hydro	207			236			(12.3	%)					459			445			3.1	%
	Oil and Natural Gas	4,428			5,027			(11.9	%)					9,866			11,226			(12.1	%)
	Renewable Energy	79			74			6.8	%					125			128			(2.3	%)
	Total Generation (d)	13,748			13,872			(0.9	%)					28,389			29,504			(3.8	%)
	Purchased Power and Net Interchange (e)	2,981			2,734			9.0	%					5,182			4,969			4.3	%
	Total Sources of Energy	16,729			16,606			0.7	%					33,571			34,473			(2.6	%)
	Less: Line Loss and Other	507			710			(28.6	%)					1,001			1,351			(25.9	%)
	Total GWh Sources	16,222			15,896			2.1	%					32,570			33,122			(1.7	%)
Owned MW Capacity (c)
	Summer													12,779			12,760
	Winter													13,942			14,016
Nuclear Capacity Factor (%) (f)														92			87
Heating and Cooling Degree Days
	Actual
	Heating Degree Days	117			191			(38.7	%)					1,600			1,805			(11.4	%)
	Cooling Degree Days	715			696			2.7	%					721			719			0.3	%
	Variance from Normal
	Heating Degree Days	(36.5	%)		1.1	%								(10.7	%)		0.1	%
	Cooling Degree Days	33.0	%		30.3	%								31.5	%		32.1	%

(a) Except as indicated in footnote (b), represents non-weather normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

(f) Statistics reflect 100 percent of jointly owned stations.

33

Duke Energy Florida
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
June 2019
		Three Months Ended June 30,												Six Months Ended June 30,
		2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)			2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)
GWh Sales (a)
	Residential	5,168			4,663			10.8	%					9,382			9,191			2.1	%
	General Service	3,954			3,699			6.9	%					7,227			7,139			1.2	%
	Industrial	770			781			(1.4	%)					1,447			1,539			(6.0	%)
	Other Energy Sales	6			6			—	%					12			12			—	%
	Unbilled Sales	414			573			(27.7	%)					182			388			(53.1	%)
	Total Retail Sales	10,312			9,722			6.1	%		2.2	%		18,250			18,269			(0.1	%)		0.1	%
	Wholesale and Other	839			582			44.2	%					1,222			1,154			5.9	%
	Total Electric Sales — Duke Energy Florida	11,151			10,304			8.2	%					19,472			19,423			0.3	%
Average Number of Customers
	Residential	1,620,392			1,594,538			1.6	%					1,618,343			1,591,724			1.7	%
	General Service	200,593			200,657			—	%					201,651			200,432			0.6	%
	Industrial	2,031			2,082			(2.4	%)					2,035			2,096			(2.9	%)
	Other Energy Sales	1,500			1,511			(0.7	%)					1,502			1,514			(0.8	%)
	Total Retail Customers	1,824,516			1,798,788			1.4	%					1,823,531			1,795,766			1.5	%
	Wholesale and Other	13			11			18.2	%					12			11			9.1	%
	Total Average Number of Customers — Duke Energy Florida	1,824,529			1,798,799			1.4	%					1,823,543			1,795,777			1.5	%
Sources of Electric Energy (GWh)
	Generated — Net Output (c)
	Coal	1,133			1,877			(39.6	%)					1,751			3,998			(56.2	%)
	Oil and Natural Gas	9,419			7,238			30.1	%					16,906			13,329			26.8	%
	Renewable Energy	65			9			622.2	%					106			17			523.5	%
	Total Generation (d)	10,617			9,124			16.4	%					18,763			17,344			8.2	%
	Purchased Power and Net Interchange (e)	1,336			1,901			(29.7	%)					2,196			3,279			(33.0	%)
	Total Sources of Energy	11,953			11,025			8.4	%					20,959			20,623			1.6	%
	Less: Line Loss and Other	802			721			11.2	%					1,487			1,200			23.9	%
	Total GWh Sources	11,151			10,304			8.2	%					19,472			19,423			0.3	%
Owned MW Capacity (c)
	Summer													10,218			9,304
	Winter													11,308			10,255
Heating and Cooling Degree Days
	Actual
	Heating Degree Days	—			2			(100.0	%)					271			385			(29.6	%)
	Cooling Degree Days	1,159			1,052			10.2	%					1,403			1,316			6.6	%
	Variance from Normal
	Heating Degree Days	(100.0	%)		(81.9	%)								(28.6	%)		(1.3	%)
	Cooling Degree Days	11.0	%		1.2	%								13.6	%		7.5	%

(a) Except as indicated in footnote (b), represents non-weather normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

34

Duke Energy Ohio
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
June 2019
		Three Months Ended June 30,												Six Months Ended June 30,
		2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)			2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)
GWh Sales (a)
	Residential	1,761			2,052			(14.2	%)					4,284			4,615			(7.2	%)
	General Service	2,223			2,341			(5.0	%)					4,498			4,660			(3.5	%)
	Industrial	1,404			1,471			(4.6	%)					2,798			2,858			(2.1	%)
	Other Energy Sales	27			27			—	%					54			54			—	%
	Unbilled Sales	139			206			(32.5	%)					(58	)		(118	)		50.8	%
	Total Retail Sales	5,554			6,097			(8.9	%)		(2.9	%)		11,576			12,069			(4.1	%)		(0.6	%)
	Wholesale and Other	106			50			112.0	%					248			150			65.3	%
	Total Electric Sales — Duke Energy Ohio	5,660			6,147			(7.9	%)					11,824			12,219			(3.2	%)
Average Number of Customers
	Residential	769,572			765,215			0.6	%					771,163			766,081			0.7	%
	General Service	87,914			88,214			(0.3	%)					88,203			88,238			—	%
	Industrial	2,461			2,492			(1.2	%)					2,471			2,497			(1.0	%)
	Other Energy Sales	3,391			3,332			1.8	%					3,384			3,332			1.6	%
	Total Retail Customers	863,338			859,253			0.5	%					865,221			860,148			0.6	%
	Wholesale and Other	1			1			—	%					1			1			—	%
	Total Average Number of Customers — Duke Energy Ohio	863,339			859,254			0.5	%					865,222			860,149			0.6	%
Sources of Electric Energy (GWh)
	Generated — Net Output (c)
	Coal	642			143			349.0	%					1,698			819			107.3	%
	Oil and Natural Gas	26			49			(46.9	%)					32			69			(53.6	%)
	Total Generation (d)	668			192			247.9	%					1,730			888			94.8	%
	Purchased Power and Net Interchange (e)	5,596			6,549			(14.6	%)					11,507			12,884			(10.7	%)
	Total Sources of Energy	6,264			6,741			(7.1	%)					13,237			13,772			(3.9	%)
	Less: Line Loss and Other	604			594			1.7	%					1,413			1,553			(9.0	%)
	Total GWh Sources	5,660			6,147			(7.9	%)					11,824			12,219			(3.2	%)
Owned MW Capacity (c)
	Summer													1,076			1,076
	Winter													1,164			1,164
Heating and Cooling Degree Days
	Actual
	Heating Degree Days	347			497			(30.2	%)					2,918			3,066			(4.8	%)
	Cooling Degree Days	333			539			(38.2	%)					333			543			(38.7	%)
	Variance from Normal
	Heating Degree Days	(22.7	%)		9.9	%								(2.9	%)		1.4	%
	Cooling Degree Days	2.8	%		64.2	%								1.7	%		63.5	%

(a) Except as indicated in footnote (b), represents non-weather normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

35

Duke Energy Indiana
Quarterly Highlights
Supplemental Electric Utilities and Infrastructure Information
June 2019
		Three Months Ended June 30,												Six Months Ended June 30,
		2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)			2019			2018			% Inc.(Dec.)			% Inc. (Dec.) Weather Normal (b)
GWh Sales (a)
	Residential	1,816			2,088			(13.0	%)					4,644			4,954			(6.3	%)
	General Service	1,949			2,022			(3.6	%)					3,958			4,025			(1.7	%)
	Industrial	2,573			2,659			(3.2	%)					5,115			5,197			(1.6	%)
	Other Energy Sales	13			13			—	%					26			26			—	%
	Unbilled Sales	95			140			(32.1	%)					(93	)		(136	)		(31.6	%)
	Total Retail Sales	6,446			6,922			(6.9	%)		(2.1	%)		13,650			14,066			(3.0	%)		(0.8	%)
	Wholesale and Other	991			1,379			(28.1	%)					1,820			2,720			(33.1	%)
	Total Electric Sales — Duke Energy Indiana	7,437			8,301			(10.4	%)					15,470			16,786			(7.8	%)
Average Number of Customers
	Residential	732,245			722,342			1.4	%					732,741			722,156			1.5	%
	General Service	101,514			101,477			—	%					101,570			101,410			0.2	%
	Industrial	2,690			2,720			(1.1	%)					2,695			2,723			(1.0	%)
	Other Energy Sales	1,749			1,704			2.6	%					1,743			1,700			2.5	%
	Total Retail Customers	838,198			828,243			1.2	%					838,749			827,989			1.3	%
	Wholesale and Other	4			5			(20.0	%)					4			5			(20.0	%)
	Total Average Number of Customers — Duke Energy Indiana	838,202			828,248			1.2	%					838,753			827,994			1.3	%
Sources of Electric Energy (GWh)
	Generated — Net Output (c)
	Coal	4,251			5,386			(21.1	%)					9,745			11,774			(17.2	%)
	Hydro	32			32			—	%					54			52			3.8	%
	Oil and Natural Gas	511			1,332			(61.6	%)					1,153			2,187			(47.3	%)
	Renewable Energy	9			9			—	%					13			14			(7.1	%)
	Total Generation (d)	4,803			6,759			(28.9	%)					10,965			14,027			(21.8	%)
	Purchased Power and Net Interchange (e)	2,971			2,060			44.2	%					5,319			3,715			43.2	%
	Total Sources of Energy	7,774			8,819			(11.8	%)					16,284			17,742			(8.2	%)
	Less: Line Loss and Other	337			518			(34.9	%)					814			956			(14.9	%)
	Total GWh Sources	7,437			8,301			(10.4	%)					15,470			16,786			(7.8	%)
Owned MW Capacity (c)
	Summer													6,606			6,606
	Winter													7,023			7,000
Heating and Cooling Degree Days
	Actual
	Heating Degree Days	474			547			(13.3	%)					3,358			3,378			(0.6	%)
	Cooling Degree Days	294			557			(47.2	%)					294			561			(47.6	%)
	Variance from Normal
	Heating Degree Days	(4.3	%)		11.0	%								3.3	%		3.7	%
	Cooling Degree Days	(11.3	%)		68.9	%								(12.1	%)		68.4	%

(a) Except as indicated in footnote (b), represents non-weather normalized billed sales, with energy delivered but not yet billed (i.e., unbilled sales) reflected as a single amount and not allocated to the respective retail classes.

(b) Represents weather-normal total retail calendar sales (i.e., billed and unbilled sales).

(c) Statistics reflect Duke Energy's ownership share of jointly owned stations.

(d) Generation by source is reported net of auxiliary power.

(e) Purchased power includes renewable energy purchases.

36

Gas Utilities and Infrastructure
Quarterly Highlights
June 2019
		Three Months Ended June 30,									Six Months Ended June 30,
		2019			2018			% Inc. (Dec.)			2019			2018			% Inc. (Dec.)
Total Sales
	Piedmont Natural Gas Local Distribution Company (LDC) throughput (dekatherms) (a)	104,684,733			116,839,962			(10.4	%)		256,350,657			271,741,341			(5.7	%)
	Duke Energy Midwest LDC throughput (Mcf)	13,742,907			15,615,050			(12.0	%)		52,281,179			52,741,115			(0.9	%)
Average Number of Customers — Piedmont Natural Gas
	Residential	980,822			968,046			1.3	%		982,131			969,356			1.3	%
	Commercial	104,238			103,543			0.7	%		104,479			104,189			0.3	%
	Industrial	970			961			0.9	%		968			962			0.6	%
	Power Generation	16			17			(5.9	%)		16			17			(5.9	%)
	Total Average Number of Gas Customers — Piedmont Natural Gas	1,086,046			1,072,567			1.3	%		1,087,594			1,074,524			1.2	%
Average Number of Customers — Duke Energy Midwest
	Residential	489,728			486,015			0.8	%		491,448			487,434			0.8	%
	General Service	43,111			43,157			(0.1	%)		44,229			44,219			—	%
	Industrial	1,551			1,574			(1.5	%)		1,615			1,618			(0.2	%)
	Other	135			138			(2.2	%)		135			138			(2.2	%)
	Total Average Number of Gas Customers — Duke Energy Midwest	534,525			530,884			0.7	%		537,427			533,409			0.8	%

(a) Piedmont has a margin decoupling mechanism in North Carolina and weather normalization mechanisms in South Carolina and Tennessee that significantly eliminate the impact of throughput changes on earnings. Duke Energy Ohio's rate design also serves to offset this impact.

Commercial Renewables
Quarterly Highlights
June 2019
		Three Months Ended June 30,									Six Months Ended June 30,
		2019			2018			% Inc. (Dec.)			2019			2018			% Inc. (Dec.)
	Renewable Plant Production, GWh	2,314			2,471			(6.4	)%		4,382			4,651			(5.8	)%
	Net Proportional MW Capacity in Operation (a)	n/a			n/a						3,157			2,951			7.0	%

(a)    Includes 100 percent tax equity project capacity.

37