EX-99.2 4 exhibit992.htm EX-99.2
Exhibit 99.2
Supplemental Quarterly Financial Data for the Year Ended December 31, 2019 (unaudited)
As part of perfecting the integrated model, in which the majority of the Company’s generation serves its retail customers, the Company began managing its operations based on the combined results of the retail and wholesale generation businesses with a geographical focus in 2020. As a result, the Company changed its business segments to Texas, East and West/Other beginning in the first quarter of 2020. The Company's updated segment structure reflects how management currently makes financial decisions and allocates resources. The unaudited financial information for the previously reported quarterly periods in the year ended December 31, 2019 has been retrospectively revised to reflect the current segment structure, as follows:

| For the Quarter Ended March 31, 2019 |  |  |  |  |  |  |  |  |  |
(In millions) | Texas |  | East |  | West/Other |  | Corporate/ Eliminations |  |  |  | Total
Operating revenues |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Retail revenue | $ | 1,253 |  |  | $ | 338 |  |  | $ | — |  |  | $ | (2) |  |  |  |  | $ | 1,589 |
Energy revenue | 105 |  |  | 126 |  |  | 58 |  |  | 1 |  |  |  |  | 290 |
Capacity revenue | — |  |  | 144 |  |  | 12 |  |  | — |  |  |  |  | 156 |
Mark-to-market for economic hedging activities | 31 |  |  | (15) |  |  | 4 |  |  | — |  |  |  |  | 20 |
Other revenues | 77 |  |  | 16 |  |  | 19 |  |  | (2) |  |  |  |  | 110 |
Total operating revenue | 1,466 |  |  | 609 |  |  | 93 |  |  | (3) |  |  |  |  | 2,165 |
Cost of fuel | (149) |  |  | (66) |  |  | (36) |  |  | — |  |  |  |  | (251) |
Purchased power | (327) |  |  | (191) |  |  | — |  |  | — |  |  |  |  | (518) |
Other cost of sales | (486) |  |  | (75) |  |  | (11) |  |  | — |  |  |  |  | (572) |
Mark-to-market for economic hedging activities | (5) |  |  | 3 |  |  | 2 |  |  | — |  |  |  |  | — |
Contract and emission credit amortization | (5) |  |  | — |  |  | — |  |  | — |  |  |  |  | (5) |
Gross margin | 494 |  |  | 280 |  |  |  | 48 |  |  |  | (3) |  |  |  |  | 819 |
Other operating expenses | (301) |  |  | (152) |  |  | (39) |  |  | (7) |  |  |  |  | (499) |
Depreciation and amortization | (40) |  |  | (26) |  |  | (11) |  |  | (8) |  |  |  |  | (85) |
Impairment losses | — |  |  | — |  |  | — |  |  | — |  |  |  |  | — |
Reorganization costs | (1) |  |  | — |  |  | — |  |  | (12) |  |  |  |  | (13) |
Development costs | (1) |  |  | (1) |  |  | — |  |  | — |  |  |  |  | (2) |
Gain on sale of assets | — |  |  | 1 |  |  | — |  |  | — |  |  |  |  | 1 |
Operating income/(loss) | 151 |  |  | 102 |  |  | (2) |  |  | (30) |  |  |  |  | 221 |
Equity in losses of unconsolidated affiliates | (3) |  |  | — |  |  | (18) |  |  | — |  |  |  |  | (21) |
Other income, net | 2 |  |  | 2 |  |  | — |  |  | 8 |  |  |  |  | 12 |
Interest expense | — |  |  | (5) |  |  | (3) |  |  | (106) |  |  |  |  | (114) |
Income/(loss) from continuing operations before income taxes | 150 |  |  | 99 |  |  | (23) |  |  | (128) |  |  |  |  | 98 |
Income tax expense | — |  |  | — |  |  | — |  |  | (4) |  |  |  |  | (4) |
Net income/(loss) from continuing operations | 150 |  |  | 99 |  |  | (23) |  |  | (132) |  |  |  |  | 94 |
Gain from discontinued operations, net of income tax | — |  |  | — |  |  | — |  |  | 388 |  |  |  |  | 388 |
Net Income/(loss) | 150 |  |  | 99 |  |  | (23) |  |  | 256 |  |  |  |  | 482 |
Less: Net income attributable to noncontrolling interests and redeemable noncontrolling interests | — |  |  | — |  |  | — |  |  | — |  |  |  |  | — |
Net income/(loss) attributable to NRG Energy, Inc. | $ | 150 |  |  | $ | 99 |  |  | $ | (23) |  |  | $ | 256 |  |  |  |  | $ | 482 |

| For the Quarter Ended June 30, 2019 |  |  |  |  |  |  |  |  |  |
(In millions) | Texas |  | East |  | West/Other |  | Corporate/ Eliminations |  |  |  | Total
Operating revenues |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Retail revenue | $ | 1,433 |  |  | $ | 253 |  |  | $ | — |  |  | $ | (1) |  |  |  |  | $ | 1,685 |
Energy revenue | 136 |  |  | 48 |  |  | 52 |  |  | — |  |  |  |  | 236 |
Capacity revenue | — |  |  | 195 |  |  | 6 |  |  | — |  |  |  |  | 201 |
Mark-to-market for economic hedging activities | 210 |  |  | 16 |  |  | 16 |  |  | (1) |  |  |  |  | 241 |
Other revenues | 58 |  |  | 12 |  |  | 32 |  |  | — |  |  |  |  | 102 |
Total operating revenue | 1,837 |  |  | 524 |  |  | 106 |  |  | (2) |  |  |  |  | 2,465 |
Cost of fuel | (200) |  |  | (34) |  |  | (32) |  |  | — |  |  |  |  | (266) |
Purchased power | (301) |  |  | (108) |  |  | (2) |  |  | — |  |  |  |  | (411) |
Other cost of sales | (500) |  |  | (90) |  |  | (6) |  |  | — |  |  |  |  | (596) |
Mark-to-market for economic hedging activities | (216) |  |  | (2) |  |  | (3) |  |  | 1 |  |  |  |  | (220) |
Contract and emission credit amortization | (6) |  |  | — |  |  | — |  |  | — |  |  |  |  | (6) |
Gross margin | 614 |  |  | 290 |  |  |  | 63 |  |  |  | (1) |  |  |  |  | 966 |
Other operating expenses | (310) |  |  | (196) |  |  | (47) |  |  | (4) |  |  |  |  | (557) |
Depreciation and amortization | (40) |  |  | (30) |  |  | (7) |  |  | (8) |  |  |  |  | (85) |
Impairment losses | (1) |  |  | — |  |  | — |  |  | — |  |  |  |  | (1) |
Reorganization costs | (3) |  |  | — |  |  | — |  |  | 1 |  |  |  |  | (2) |
Development costs | (1) |  |  | (1) |  |  | — |  |  | — |  |  |  |  | (2) |
Gain on sale of assets | — |  |  | — |  |  | — |  |  | 1 |  |  |  |  | 1 |
Operating income | 259 |  |  | 63 |  |  | 9 |  |  | (11) |  |  |  |  | 320 |
Equity in (losses)/earnings of unconsolidated affiliates | (3) |  |  | — |  |  | 3 |  |  | — |  |  |  |  | — |
Other income, net | 3 |  |  | 1 |  |  | 9 |  |  | 7 |  |  |  |  | 20 |
Loss on debt extinguishment | — |  |  | — |  |  | — |  |  | (47) |  |  |  |  | (47) |
Interest expense | — |  |  | (4) |  |  | (3) |  |  | (98) |  |  |  |  | (105) |
Income from continuing operations before income taxes | 259 |  |  | 60 |  |  | 18 |  |  | (149) |  |  |  |  | 188 |
Income tax benefit | — |  |  | — |  |  | — |  |  | 1 |  |  |  |  | 1 |
Net income from continuing operations | 259 |  |  | 60 |  |  | 18 |  |  | (148) |  |  |  |  | 189 |
Gain from discontinued operations, net of income tax | — |  |  | — |  |  | — |  |  | 13 |  |  |  |  | 13 |
Net Income | 259 |  |  | 60 |  |  | 18 |  |  | (135) |  |  |  |  | 202 |
Less: Net income attributable to noncontrolling interests and redeemable noncontrolling interests | — |  |  | — |  |  | 1 |  |  | — |  |  |  |  | 1 |
Net income attributable to NRG Energy, Inc. | $ | 259 |  |  | $ | 60 |  |  | $ | 17 |  |  | $ | (135) |  |  |  |  | $ | 201 |

| For the Quarter Ended September 30, 2019 |  |  |  |  |  |  |  |  |  |  |
(In millions) | Texas |  | East |  | West/Other |  | Corporate/ Eliminations |  |  |  | Total |
Operating revenues |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Retail revenue | $ | 2,132 |  |  | $ | 356 |  |  | $ | — |  |  | $ | — |  |  |  |  | $ | 2,488 |  |
Energy revenue | 211 |  |  | 109 |  |  | 107 |  |  | (1) |  |  |  |  | 426 |  |
Capacity revenue | — |  |  | 185 |  |  | 9 |  |  | — |  |  |  |  | 194 |  |
Mark-to-market for economic hedging activities | (213) |  |  | 12 |  |  | (9) |  |  | — |  |  |  |  | (210) |  |
Other revenues | 78 |  |  | 17 |  |  | 4 |  |  | (1) |  |  |  |  | 98 |  |
Total operating revenue | 2,208 |  |  |  | 679 |  |  |  | 111 |  |  |  | (2) |  |  |  |  | 2,996 |  |
Cost of fuel | (227) |  |  |  | (79) |  |  |  | (55) |  |  |  | — |  |  |  |  | (361) |  |
Purchased power | (573) |  |  |  | (160) |  |  |  | (6) |  |  |  | 2 |  |  |  |  | (737) |  |
Other cost of sales | (739) |  |  |  | (101) |  |  |  | (10) |  |  |  | — |  |  |  |  | (850) |  |
Mark-to-market for economic hedging activities | 141 |  |  |  | 5 |  |  |  |  |  |  |  | — |  |  |  |  | 146 |  |
Contract and emission credit amortization | (5) |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  | (5) |  |
Gross margin | 805 |  |  |  | 344 |  |  |  | 40 |  |  |  | — |  |  |  |  | 1,189 |  |
Other operating expenses | (319) |  |  |  | (189) |  |  |  | (42) |  |  |  | (6) |  |  |  |  | (556) |  |
Depreciation and amortization | (45) |  |  |  | (31) |  |  |  | (8) |  |  |  | (7) |  |  |  |  | (91) |  |
Impairment losses | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  | — |  |
Reorganization costs | (1) |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | (1) |  |
Development costs | (1) |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | (1) |  |
Gain on sale of assets | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | — |  |
Operating income/(loss) | 439 |  |  |  | 124 |  |  |  | (10) |  |  |  | (13) |  |  |  |  |  | 540 |  |
Equity in earnings of unconsolidated affiliates | 1 |  |  |  | — |  |  |  | 28 |  |  |  | — |  |  |  |  |  | 29 |  |
Impairment losses on investments | (102) |  |  |  | — |  |  |  | — |  |  |  | (5) |  |  |  |  |  | (107) |  |
Other income, net | 10 |  |  |  | 1 |  |  |  | — |  |  |  | 6 |  |  |  |  |  | 17 |  |
Loss on debt extinguishment | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | — |  |
Interest expense | — |  |  |  | (4) |  |  |  | (2) |  |  |  | (93) |  |  |  |  |  | (99) |  |
Income from continuing operations before income taxes | 348 |  |  |  | 121 |  |  |  | 16 |  |  |  | (105) |  |  |  |  |  | 380 |  |
Income tax expense | — |  |  |  | — |  |  |  | (1) |  |  |  | (5) |  |  |  |  |  | (6) |  |
Net income from continuing operations | 348 |  |  |  | 121 |  |  |  | 15 |  |  |  | (110) |  |  |  |  |  | 374 |  |
Loss from discontinued operations, net of income tax | — |  |  |  | — |  |  |  | — |  |  |  | (2) |  |  |  |  |  | (2) |  |
Net Income | 348 |  |  |  | 121 |  |  |  | 15 |  |  |  | (112) |  |  |  |  |  | 372 |  |
Less: Net income attributable to noncontrolling interests and redeemable noncontrolling interests | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | — |  |
Net income attributable to NRG Energy, Inc. | $ | 348 |  |  |  | $ | 121 |  |  |  | $ | 15 |  |  |  | $ | (112) |  |  |  |  |  | $ | 372 |  |

| For the Quarter Ended December 31, 2019 |  |  |  |  |  |  |  |  |  |
(In millions) | Texas |  | East |  | West/Other |  | Corporate/ Eliminations |  |  |  | Total
Operating revenues |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Retail revenue | $ | 1,414 |  |  | $ | 357 |  |  | $ | — |  |  | $ | — |  |  |  |  | $ | 1,771 |
Energy revenue | 77 |  |  | 39 |  |  | 101 |  |  | — |  |  |  |  | 217 |
Capacity revenue | — |  |  | 140 |  |  | 9 |  |  | — |  |  |  |  | 149 |
Mark-to-market for economic hedging activities | 19 |  |  | (42) |  |  | 5 |  |  | — |  |  |  |  | (18) |
Other revenues | 48 |  |  | 13 |  |  | 15 |  |  | — |  |  |  |  | 76 |
Total operating revenue | 1,558 |  |  |  | 507 |  |  |  | 130 |  |  |  | — |  |  |  |  | 2,195 |
Cost of fuel | (118) |  |  |  | (29) |  |  |  | (55) |  |  |  | — |  |  |  |  | (202) |
Purchased power | (356) |  |  |  | (153) |  |  |  | (5) |  |  |  | (1) |  |  |  |  | (515) |
Other cost of sales | (508) |  |  |  | (76) |  |  |  | (15) |  |  |  | — |  |  |  |  | (599) |
Mark-to-market for economic hedging activities | 23 |  |  |  | (2) |  |  |  | — |  |  |  | — |  |  |  |  | 21 |
Contract and emission credit amortization | (3) |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  | (3) |
Gross margin | 596 |  |  |  | 247 |  |  |  | 55 |  |  |  | (1) |  |  |  |  | 897 |
Other operating expenses | (322) |  |  |  | (200) |  |  |  | (35) |  |  |  | (11) |  |  |  |  | (568) |
Depreciation and amortization | (63) |  |  |  | (34) |  |  |  | (7) |  |  |  | (8) |  |  |  |  | (112) |
Impairment losses | — |  |  |  | — |  |  |  | (4) |  |  |  | — |  |  |  |  | (4) |
Reorganization costs | (1) |  |  |  | — |  |  |  | — |  |  |  | (6) |  |  |  |  |  | (7) |
Development costs | — |  |  |  | (1) |  |  |  | (1) |  |  |  | — |  |  |  |  |  | (2) |
Gain on sale of assets | — |  |  |  | — |  |  |  | — |  |  |  | 5 |  |  |  |  |  | 5 |
Operating income | 210 |  |  |  | 12 |  |  |  | 8 |  |  |  | (21) |  |  |  |  |  | 209 |
Equity in earnings/(losses) of unconsolidated affiliates | 1 |  |  |  | — |  |  |  | (7) |  |  |  | — |  |  |  |  |  | (6) |
Impairment losses on investments | (1) |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | (1) |
Other income, net | 5 |  |  |  | 2 |  |  |  | 1 |  |  |  | 9 |  |  |  |  |  | 17 |
Loss on debt extinguishment | — |  |  |  | — |  |  |  | (3) |  |  |  | (1) |  |  |  |  |  | (4) |
Interest expense | — |  |  |  | (5) |  |  |  | (2) |  |  |  | (88) |  |  |  |  |  | (95) |
Income/(loss) from continuing operations before income taxes | 215 |  |  |  | 9 |  |  |  | (3) |  |  |  | (101) |  |  |  |  |  | 120 |
Income tax (expense)/benefit | — |  |  |  | (2) |  |  |  | — |  |  |  | 3,345 |  |  |  |  |  | 3,343 |
Net income/(loss) from continuing operations | 215 |  |  |  | 7 |  |  |  | (3) |  |  |  | 3,244 |  |  |  |  |  | 3,463 |
Loss from discontinued operations, net of income tax | — |  |  |  | — |  |  |  | — |  |  |  | (78) |  |  |  |  |  | (78) |
Net income/(loss) | 215 |  |  |  | 7 |  |  |  | (3) |  |  |  | 3,166 |  |  |  |  |  | 3,385 |
Less: Net income attributable to noncontrolling interests and redeemable noncontrolling interests | — |  |  |  | — |  |  |  | 2 |  |  |  | — |  |  |  |  |  | 2 |
Net income/(loss) attributable to NRG Energy, Inc. | $ | 215 |  |  |  | $ | 7 |  |  |  | $ | (5) |  |  |  | $ | 3,166 |  |  |  |  |  | $ | 3,383 |