NextEra beats profit estimates as data center power demand lifts utility growth

July 24 (Reuters) - NextEra Energy beat Wall Street estimates for second-quarter profit on Friday, as robust demand for electricity from data centers continued to drive growth at its regulated utility and renewable energy businesses.

U.S. utilities are investing billions of dollars to expand power generation and transmission as technology companies race to secure electricity for data centers, and as more of the economy shifts to electricity from fossil fuels.

The U.S. Energy Information Administration expects power demand, which reached a record for a second straight year in 2025, to continue rising through 2026 and 2027.

NextEra, one of the world's largest renewable energy developers, is among the companies positioning themselves for that growth.

In May, it agreed to buy Dominion Energy in a $66.8 billion deal that would create one of the world's largest electric utilities and broaden its regulated footprint across fast-growing U.S. markets.

The deal is under regulatory review after drawing opposition from U.S. Senator Angus King, who argued it would concentrate too much market power in one company.

Florida Power & Light, the company's regulated utility, posted a 10.2% rise in second-quarter net income to $1.41 billion, while regulatory capital employed increased about 9.3%.

NextEra said FPL continues to see strong interest from hyperscalers and other large electricity users, with about 21 gigawatts of large-load opportunities, including 12 GW in advanced discussions.

It expects to announce at least one agreement under its large-load tariff before year-end.

NextEra Energy Resources, its renewable energy unit, reported net income of $1.63 billion, up 66.2%, and added 3.6 GW of wind, solar and battery storage projects during the quarter, taking its development backlog to about 35.1 GW.