Duke Energy also reported second-quarter profit above Wall Street expectations, helped by higher electricity rates.Dado Ruvic/Reuters
Duke Energy Corp DUK-N said on Tuesday it will sell a 19.7 per cent indirect stake in its Florida business to Brookfield Asset Management BAM-T for US$6-billion in cash, part of a broader push to boost infrastructure investments as electricity demand soars.
The company also increased its five-year capital spending plan by US$4-billion to US$87-billion, joining a host of major U.S. utilities that are bolstering investments for upgrading their electric lines and grids to meet surging power demand from AI-focused data centers and electric vehicles.
The U.S. Energy Information Administration has forecast record power consumption in 2025 and 2026.
Duke also beat second-quarter profit estimates on Tuesday, sending its shares up 2 per cent in premarket trade.
The deal for the Florida business, a utility serving about two million customers, will close in phases starting in early 2026, with Duke remaining the majority owner and operator.
About US$2-billion of the total proceeds will go toward funding the increase in Duke’s capital plan, while the remaining US$4-billion will be used to reduce holding company debt.
The Charlotte, North Carolina-based utility posted adjusted earnings of US$1.25 per share, compared with analysts’ average estimate of US$1.18, according to LSEG data.
Revenue rose to US$7.5-billion, up from US$7.17 billion a year earlier.
On an adjusted basis, earnings from Duke’s electric utilities segment climbed to US$1.19 billion, from US$1.12 billion in the same period last year, helped by higher retail rates.
The company said its gas utilities segment posted flat results of US$6-million, pressured by higher operating and maintenance costs.