Dominion Energy (D) Financials

Dominion Energy (NYSE: D) has shown notable financial performance and stability over the past four years, with a clear trend of recovering from challenges faced in late 2022 and early 2023.

Positive Highlights:

• Net income has grown significantly since the negative consolidated net income reported in Q4 2024 (-$129M) to a strong positive net income of $833M in Q2 2025, indicating improved profitability.
• Operating revenues increased from around $2.1 billion in Q4 2022 to approximately $3.8 billion in Q2 2025, showing revenue growth.
• Consistent earnings per share (EPS) growth, with diluted EPS rising from negative (-$0.11 in Q4 2024) to $0.88 in Q2 2025, reflects enhanced shareholder value.
• Cash flow from operating activities remained strong, with $1.25 billion generated in Q2 2025, supporting ongoing business operations and investments.
• Total assets steadily increased to over $107 billion by mid-2025, reflecting expansion and asset base strengthening.
• The company maintains sizeable investments in property, plant, and equipment (net PPE of ~$73 billion in Q2 2025), which is fundamental for a utility company’s long-term growth and service capability.
• Equity has grown steadily over the period, with total equity and noncontrolling interests at $30.87 billion as of Q2 2025, indicating a robust capital structure.
• The company continues to pay stable dividends at $0.6675 per share quarterly, supporting shareholder returns.
• There is active management of the capital structure through debt issuance and repayments, highlighted by repayment of $1.2 billion and issuance of $1 billion debt in Q2 2025, along with issuing common equity, which supports financial flexibility.

Neutral Observations:

• Depreciation and impairment charges remain significant, reflecting the capital-intensive nature of the business but also impact operating expenses.
• Other operating expenses and special charges fluctuate but remain a relatively small percentage of total expenses.
• The company's financial leverage continues with total liabilities around $76.57 billion and long-term debt near $39.3 billion as of Q2 2025, which is standard for the utilities sector but warrants monitoring.
• Cash and equivalents fluctuate quarterly but remain within a reasonable range relative to the company’s size and operations.

Negative Considerations:

• Dominion Energy experienced a significant loss in Q4 2024 with a net loss of $129 million, notably due to impairment charges of $381 million, indicating some asset valuation concerns during that period.
• Net cash used in investing activities has been large and negative ($3.15 billion in Q2 2025), mainly due to heavy capital expenditures, which could pressure free cash flow if not managed carefully.
• The company’s asset retirement and litigation obligations have increased over time, reaching $8.58 billion by Q2 2025, representing long-term liabilities that may impact future cash flows.
• Interest expense remains high ($505 million in Q2 2025), reflecting the cost of debt servicing that affects net income.
• Accumulated other comprehensive income/loss has a negative balance around -$145 million in Q2 2025, indicating some unrealized losses likely from investments or pension adjustments.

Summary: Dominion Energy's financial trajectory shows strong recovery and growth since early 2023, with increasing revenues, net income, and earnings per share. The company’s large investments and capital expenditures fuel long-term growth but also create significant cash outflows. High interest expenses and liabilities underline the leverage and financing costs to manage. Overall, Dominion Energy demonstrates financial resilience with positive trends in profitability and capital management, suitable for investors seeking stable utility exposure with steady dividends and growth potential, while keeping an eye on capital spending and debt levels.