Dominion Energy said it will increase capital expenditures substantially over the next five years even as it projected operating earnings for fiscal 2026 that leave the midpoint below Wall Street estimates. The Richmond, Virginia-based utility raised its planned investments to $64.7 billion for 2026 through 2030, up from a prior five-year target of $50.1 billion through 2029.
The company framed the larger capital program as a response to surging electricity demand. Dominion reported it had contracted nearly 48.5 gigawatts of data center capacity as of December, an increase of 1.4 gigawatts since September. Customers named by the company include large technology firms such as Alphabet, Amazon, Microsoft, Meta and Equinix, as well as private providers CoreWeave and CyrusOne. Dominion’s Virginia utility, the company said, serves the world’s largest data center market, exceeding the combined capacity of the next five U.S. markets.
Despite the expanded spending plan, Dominion’s outlook for operating earnings in fiscal 2026 came in at a range of $3.45 to $3.69 per share. The midpoint of that range was below analysts’ average estimate of $3.60, based on data compiled by LSEG. In premarket trading, the stock fell about 1.4% following the announcement.
Operationally, the company reported pressures during the fourth quarter. Operating expenses rose almost 11% year-over-year to $3.33 billion, which management said offset what was otherwise a positive quarter. For the three months ended December 31, Dominion’s adjusted profit was 68 cents per share, narrowly ahead of the 67-cent consensus.
The company did not provide additional guidance beyond the five-year capital figure and the 2026 operating earnings range. Questions remain about how the larger investment plan will be executed and how recent expense trends will influence near-term results.
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