Item 1. FINANCIAL STATEMENTS

DUKE ENERGY CORPORATION

Condensed Consolidated Statements of Operations

(Unaudited)

									Three Months Ended
									March 31,
(in millions, except per share amounts)															2026						2025
Operating Revenues
Regulated electric															$	7,803					$	7,064
Regulated natural gas															1,297						1,105
Nonregulated electric and other															78						80
Total operating revenues															9,178						8,249
Operating Expenses
Fuel used in electric generation and purchased power															2,419						2,099
Cost of natural gas															525						374
Operation, maintenance and other															1,752						1,499
Depreciation and amortization															1,689						1,512
Property and other taxes															452						428
Total operating expenses															6,837						5,912
Gains on Sales of Other Assets and Other, net															384						6
Operating Income															2,725						2,343
Other Income and Expenses
Equity in earnings of unconsolidated affiliates															7						11
Other income and expenses, net															133						132
Total other income and expenses															140						143
Interest Expense															968						889
Income From Continuing Operations Before Income Taxes															1,897						1,597
Income Tax Expense From Continuing Operations															333						193
Income From Continuing Operations															1,564						1,404
Income From Discontinued Operations, net of tax															13						—
Net Income															1,577						1,404
Less: Net Income Attributable to Noncontrolling Interests															27						25
Net Income Attributable to Duke Energy Corporation															1,550						1,379
Less: Preferred Dividends															14						14
Net Income Available to Duke Energy Corporation Common Stockholders															$	1,536					$	1,365
Earnings Per Share – Basic and Diluted
Income from continuing operations available to Duke Energy Corporation common stockholders
Basic and Diluted															$	1.95					$	1.76
Income from discontinued operations attributable to Duke Energy Corporation common stockholders
Basic and Diluted															$	0.02					$	—
Net income available to Duke Energy Corporation common stockholders
Basic and Diluted															$	1.97					$	1.76
Weighted Average Shares Outstanding
Basic															778						777
Diluted															779						777

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CORPORATION

Condensed Consolidated Statements of Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Net Income															$	1,577					$	1,404
Other Comprehensive Income (Loss), net of tax**(a)**
Pension and OPEB adjustments															(17)						—
Net unrealized losses on cash flow hedges															(1)						(10)
Reclassification into earnings from cash flow hedges															(2)						14
Net unrealized losses on fair value hedges															(6)						(41)
Unrealized (losses) gains on available-for-sale securities															(1)						3
Other Comprehensive Loss, net of tax															(27)						(34)
Comprehensive Income															1,550						1,370
Less: Comprehensive Income Attributable to Noncontrolling Interests															27						25
Comprehensive Income Attributable to Duke Energy															1,523						1,345
Less: Preferred Dividends															14						14
Comprehensive Income Available to Duke Energy Corporation Common Stockholders															$	1,509					$	1,331

(a)Net of income tax benefit of $8 million and $10 million for the three months ended March 31, 2026, and 2025, respectively.

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CORPORATION

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	2,140					$	245
Receivables (net of allowance for doubtful accounts of $201 at 2026 and $194 at 2025)			3,947						4,230
Inventory (includes $1,062 at 2026 and $669 at 2025 related to VIEs)			4,572						4,569
Regulatory assets (includes $204 at 2026 and 2025 related to VIEs)			2,201						1,934
Assets held for sale			—						109
Other (includes $82 at 2026 and $88 at 2025 related to VIEs)			586						526
Total current assets			13,446						11,613
Property, Plant and Equipment
Cost			193,525						190,409
Accumulated depreciation and amortization			(61,252)						(60,450)
Net property, plant and equipment			132,273						129,959
Other Noncurrent Assets
Goodwill			19,010						19,010
Regulatory assets (includes $3,062 at 2026 and $3,108 at 2025 related to VIEs)			15,059						14,379
Nuclear decommissioning trust funds			12,644						12,889
Operating lease right-of-use assets, net			1,169						1,241
Investments in equity method unconsolidated affiliates			328						330
Assets held for sale			—						2,148
Other			4,119						4,167
Total other noncurrent assets			52,329						54,164
Total Assets			$	198,048					$	195,736
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable (includes $376 at 2026 and $296 at 2025 related to VIEs)			$	4,732					$	5,223
Notes payable and commercial paper			2,373						2,624
Taxes accrued			839						975
Interest accrued			816						922
Current maturities of long-term debt (includes $147 at 2026 and $118 at 2025 related to VIEs)			7,395						7,104
Asset retirement obligations			574						579
Regulatory liabilities			1,554						1,271
Liabilities associated with assets held for sale			—						84
Other			2,051						2,265
Total current liabilities			20,334						21,047
Long-Term Debt (includes $3,222 at 2026 and $3,308 at 2025 related to VIEs)			80,477						80,108
Other Noncurrent Liabilities
Deferred income taxes			12,799						12,377
Asset retirement obligations			9,036						9,046
Regulatory liabilities			14,774						15,682
Operating lease liabilities			964						1,033
Accrued pension and other post-retirement benefit costs			384						396
Investment tax credits			985						969
Liabilities associated with assets held for sale			—						170
Other			1,817						1,889
Total other noncurrent liabilities			40,759						41,562
Commitments and Contingencies
Equity
Preferred stock, Series A, $0.001 par value, 40 million depositary shares authorized and outstanding at 2026 and 2025			973						973
Common stock, $0.001 par value, 2 billion shares authorized; 778 million shares outstanding at 2026 and 2025			1						1
Additional paid-in capital			47,551						45,614
Retained earnings			5,761						5,056
Accumulated other comprehensive income			171						198
Total Duke Energy Corporation stockholders' equity			54,457						51,842
Noncontrolling interests			2,021						1,177
Total equity			56,478						53,019
Total Liabilities and Equity			$	198,048					$	195,736

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CORPORATION

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	1,577					$	1,404
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion (including amortization of nuclear fuel)			1,884						1,691
Equity component of AFUDC			(88)						(70)
Gain on sale of Piedmont's Tennessee business			(368)						—
Gains on sales of other assets			(16)						(6)
Deferred income taxes			412						192
Equity in earnings of unconsolidated affiliates			(7)						(11)
Payments for asset retirement obligations			(119)						(102)
(Increase) decrease in
Net realized and unrealized mark-to-market and hedging transactions			—						85
Receivables			336						150
Inventory			1						99
Other current assets			(328)						107
Increase (decrease) in
Accounts payable			(302)						(866)
Taxes accrued			(139)						(52)
Other current liabilities			(460)						(468)
Other assets			(936)						(60)
Other liabilities			65						84
Net cash provided by operating activities			1,512						2,177
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(4,088)						(3,148)
Purchases of debt and equity securities			(5,025)						(1,966)
Proceeds from sales and maturities of debt and equity securities			5,037						2,051
Proceeds from the sale of Piedmont's Tennessee business			2,501						—
Other			(271)						(237)
Net cash used in investing activities			(1,846)						(3,300)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from the:
Issuance of long-term debt			3,268						4,096
Issuance of common stock			—						7
Payments for the redemption of long-term debt			(2,577)						(996)
Proceeds from the issuance of short-term debt with original maturities greater than 90 days			262						—
Payments for the redemption of short-term debt with original maturities greater than 90 days			(125)						(5)
Notes payable and commercial paper			(428)						(1,050)
Contributions from noncontrolling interests			2,778						—
Dividends paid			(846)						(803)
Other			(109)						(11)
Net cash provided by financing activities			2,223						1,238
Net increase in cash, cash equivalents and restricted cash			1,889						115
Cash, cash equivalents and restricted cash at beginning of period			363						421
Cash, cash equivalents and restricted cash at end of period			$	2,252					$	536
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	2,313					$	1,900

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CORPORATION

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

						Three Months Ended March 31, 2025 and 2026
																								Accumulated Other Comprehensive
																								Income (Loss)
																								Net						Net Unrealized						Total
																								Gains						Gains (Losses)						Duke Energy
									Common						Additional									(Losses)						on Available-			Pension and			Corporation			Non-
						Preferred			Stock			Common			Paid-in			Retained						on						for-Sale-			OPEB			Stockholders'			controlling			Total
(in millions)						Stock			Shares			Stock			Capital			Earnings						Hedges**(a)**						Securities			Adjustments			Equity			Interests			Equity
Balance at December 31, 2024						$	973		776			$	1		$	45,494		$	3,431					$	326					$	(17)		$	(81)		$	50,127		$	1,129		$	51,256
Net income(c)						—			—			—			—			1,365						—						—			—			1,365			25			1,390
Other comprehensive (loss) income						—			—			—			—			—						(37)						3			—			(34)			—			(34)
Common stock issuances, including dividend reinvestment and employee benefits						—			1			—			22			—						—						—			—			22			—			22
Common stock dividends						—			—			—			—			(814)						—						—			—			(814)			—			(814)
Sale of Commercial Renewables Disposal Groups(b)						—			—			—			—			—						—						—			—			—			(18)			(18)
Distributions to noncontrolling interest in subsidiaries						—			—			—			—			—						—						—			—			—			(6)			(6)
Other						—			—			—			—			4						—						—			—			4			(6)			(2)
Balance at March 31, 2025						$	973		777			$	1		$	45,516		$	3,986					$	289					$	(14)		$	(81)		$	50,670		$	1,124		$	51,794
Balance at December 31, 2025						$	973		778			$	1		$	45,614		$	5,056					$	278					$	(12)		$	(68)		$	51,842		$	1,177		$	53,019
Net income(c)						—			—			—			—			1,536						—						—			—			1,536			27			1,563
Other comprehensive (loss) income						—			—			—			—			—						(9)						(1)			(17)			(27)			—			(27)
Common stock issuances, including employee benefits						—						—			(17)			—						—						—			—			(17)			—			(17)
Common stock dividends						—			—			—			—			(832)						—						—			—			(832)			—			(832)
Sale of noncontrolling interest, net of transaction costs(b)						—			—			—			1,954			—						—						—			—			1,954			824			2,778
Distributions to noncontrolling interest in subsidiaries						—			—			—			—			—						—						—			—			—			(7)			(7)
Other						—			—			—			—			1						—						—			—			1			—			1
Balance at March 31, 2026						$	973		778			$	1		$	47,551		$	5,761					$	269					$	(13)		$	(85)		$	54,457		$	2,021		$	56,478

(a)See Duke Energy Condensed Consolidated Statements of Comprehensive Income for detailed activity related to Cash Flow and Fair Value hedges.

(b)See Note 2 for additional information.

(c)Net income available to Duke Energy Corporation Common Stockholders reflects preferred dividends.

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CAROLINAS, LLC

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues															$	2,766					$	2,524
Operating Expenses
Fuel used in electric generation and purchased power															931						803
Operation, maintenance and other															613						484
Depreciation and amortization															526						432
Property and other taxes															106						102
Total operating expenses															2,176						1,821
Gains on Sales of Other Assets and Other, net															2						—
Operating Income															592						703
Other Income and Expenses, net															63						61
Interest Expense															218						200
Income Before Income Taxes															437						564
Income Tax Expense															11						51
Net Income															$	426					$	513
Other Comprehensive Income, net of tax
Net gains on cash flow hedges															1						—
Comprehensive Income															$	427					$	513

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CAROLINAS, LLC

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	44					$	3
Receivables (net of allowance for doubtful accounts of $57 at 2026 and $55 at 2025)			1,198						1,347
Receivables from affiliated companies			251						331
Notes receivable from affiliated companies			—						69
Inventory			1,544						1,530
Regulatory assets (includes $72 at 2026 and 2025 related to VIEs)			752						730
Other (includes $31 at 2026 and $12 at 2025 related to VIEs)			259						75
Total current assets			4,048						4,085
Property, Plant and Equipment
Cost			63,715						62,513
Accumulated depreciation and amortization			(20,863)						(20,658)
Net property, plant and equipment			42,852						41,855
Other Noncurrent Assets
Regulatory assets (includes $1,244 at 2026 and $1,257 at 2025 related to VIEs)			5,177						4,502
Nuclear decommissioning trust funds			7,213						7,338
Operating lease right-of-use assets, net			92						91
Other			1,336						1,304
Total other noncurrent assets			13,818						13,235
Total Assets			$	60,718					$	59,175
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable			$	1,539					$	1,670
Accounts payable to affiliated companies			353						386
Notes payable to affiliated companies			638						—
Taxes accrued			124						306
Interest accrued			163						214
Current maturities of long-term debt (includes $36 at 2026 and $16 at 2025 related to VIEs)			1,649						629
Asset retirement obligations			242						245
Regulatory liabilities			660						569
Other			634						621
Total current liabilities			6,002						4,640
Long-Term Debt (includes $1,291 at 2026 and $1,316 at 2025 related to VIEs)			17,839						17,848
Long-Term Debt Payable to Affiliated Companies			300						300
Other Noncurrent Liabilities
Deferred income taxes			4,274						4,191
Asset retirement obligations			3,598						3,597
Regulatory liabilities			7,333						7,609
Operating lease liabilities			79						79
Accrued pension and other post-retirement benefit costs			23						24
Investment tax credits			353						345
Other			750						802
Total other noncurrent liabilities			16,410						16,647
Commitments and Contingencies
Equity
Member's equity			20,171						19,745
Accumulated other comprehensive loss			(4)						(5)
Total equity			20,167						19,740
Total Liabilities and Equity			$	60,718					$	59,175

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CAROLINAS, LLC

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	426					$	513
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization (including amortization of nuclear fuel)			589						500
Equity component of AFUDC			(41)						(32)
Gains on sales of other assets			(2)						—
Deferred income taxes			134						13
Payments for asset retirement obligations			(44)						(43)
(Increase) decrease in
Receivables			165						158
Receivables from affiliated companies			80						(40)
Inventory			(18)						48
Other current assets			(179)						(63)
Increase (decrease) in
Accounts payable			(85)						(344)
Accounts payable to affiliated companies			(33)						243
Taxes accrued			(181)						(461)
Other current liabilities			(175)						(111)
Other assets			(700)						(16)
Other liabilities			43						24
Net cash (used in) provided by operating activities			(21)						389
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(1,474)						(1,019)
Purchases of debt and equity securities			(2,633)						(1,065)
Proceeds from sales and maturities of debt and equity securities			2,633						1,065
Notes receivable from affiliated companies			69						(75)
Other			(113)						(49)
Net cash used in investing activities			(1,518)						(1,143)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from the issuance of long-term debt			1,015						1,239
Payments for the redemption of long-term debt			(8)						(508)
Notes payable to affiliated companies			638						—
Other			(46)						60
Net cash provided by financing activities			1,599						791
Net increase in cash, cash equivalents and restricted cash			60						37
Cash, cash equivalents and restricted cash at beginning of period			22						16
Cash, cash equivalents and restricted cash at end of period			$	82					$	53
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	902					$	782

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY CAROLINAS, LLC

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended March 31, 2025 and 2026
									Accumulated Other
									Comprehensive
									Income (Loss)
			Member's						Net Gains (Losses) on						Total
(in millions)			Equity						Cash Flow Hedges						Equity
Balance at December 31, 2024			$	17,846					$	(6)					$	17,840
Net income			513						—						513
Balance at March 31, 2025			$	18,359					$	(6)					$	18,353
Balance at December 31, 2025			$	19,745					$	(5)					$	19,740
Net income			426						—						426
Other comprehensive income			—						1						1
Balance at March 31, 2026			$	20,171					$	(4)					$	20,167

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PROGRESS ENERGY, INC.

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues															$	3,925					$	3,467
Operating Expenses
Fuel used in electric generation and purchased power															1,311						1,106
Operation, maintenance and other															836						688
Depreciation and amortization															682						631
Property and other taxes															181						172
Total operating expenses															3,010						2,597
Gains on Sales of Other Assets and Other, net															8						6
Operating Income															923						876
Other Income and Expenses, net															64						55
Interest Expense															291						275
Income Before Income Taxes															696						656
Income Tax Expense															98						110
Net Income and Comprehensive Income															598						546
Less: Net Income Attributable to Noncontrolling Interest															5						—
Net Income Attributable to Progress Energy, Inc.															$	593					$	546
Net Income and Comprehensive Income															$	598					$	546
Less: Comprehensive Income Attributable to Noncontrolling Interest															4						—
Comprehensive Income Attributable to Progress Energy, Inc.															$	594					$	546

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PROGRESS ENERGY, INC.

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	102					$	54
Receivables (net of allowance for doubtful accounts of $65 at 2026 and 2025)			1,494						1,550
Receivables from affiliated companies			94						81
Notes receivable from affiliated companies			—						251
Inventory (includes $675 at 2026 and $669 at 2025 related to VIEs)			2,200						2,210
Regulatory assets (includes $132 at 2026 and 2025 related to VIEs)			961						753
Other (includes $47 at 2026 and $72 at 2025 related to VIEs)			310						150
Total current assets			5,161						5,049
Property, Plant and Equipment
Cost			79,725						78,347
Accumulated depreciation and amortization			(25,828)						(25,425)
Net property, plant and equipment			53,897						52,922
Other Noncurrent Assets
Goodwill			3,655						3,655
Regulatory assets (includes $1,818 at 2026 and $1,851 at 2025 related to VIEs)			6,759						6,650
Nuclear decommissioning trust funds			5,432						5,550
Operating lease right-of-use assets, net			574						607
Other			1,428						1,405
Total other noncurrent assets			17,848						17,867
Total Assets			$	76,906					$	75,838
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable (includes $258 at 2026 and $289 at 2025 related to VIEs)			$	1,604					$	1,679
Accounts payable to affiliated companies			488						571
Notes payable to affiliated companies			751						—
Taxes accrued			164						222
Interest accrued			260						256
Current maturities of long-term debt (includes $111 at 2026 and $102 at 2025 related to VIEs)			1,880						722
Asset retirement obligations			188						196
Regulatory liabilities			508						350
Other			688						758
Total current liabilities			6,531						4,754
Long-Term Debt (includes $1,876 at 2026 and $1,936 at 2025 related to VIEs)			25,027						25,976
Long-Term Debt Payable to Affiliated Companies			150						150
Other Noncurrent Liabilities
Deferred income taxes			5,843						5,576
Asset retirement obligations			4,292						4,290
Regulatory liabilities			5,020						5,601
Operating lease liabilities			519						552
Accrued pension and other post-retirement benefit costs			245						247
Investment tax credits			445						434
Other			488						491
Total other noncurrent liabilities			16,852						17,191
Commitments and Contingencies
Equity
Common Stock, $0.01 par value, 100 shares authorized and outstanding at 2026 and 2025			—						—
Additional paid-in capital			14,232						12,278
Retained earnings			13,295						15,499
Accumulated other comprehensive loss			(9)						(10)
Total Progress Energy, Inc. stockholders' equity			27,518						27,767
Noncontrolling interest			828						—
Total equity			28,346						27,767
Total Liabilities and Equity			$	76,906					$	75,838

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PROGRESS ENERGY, INC.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	598					$	546
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion (including amortization of nuclear fuel)			816						744
Equity component of AFUDC			(30)						(24)
Gains on sales of other assets			(8)						(6)
Deferred income taxes			262						68
Payments for asset retirement obligations			(54)						(40)
(Increase) decrease in
Receivables			67						120
Receivables from affiliated companies			(13)						(72)
Inventory			15						(12)
Other current assets			(366)						70
Increase (decrease) in
Accounts payable			40						(411)
Accounts payable to affiliated companies			(83)						183
Taxes accrued			(59)						(76)
Other current liabilities			(95)						(90)
Other assets			(384)						(112)
Other liabilities			(46)						11
Net cash provided by operating activities			660						899
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(1,725)						(1,409)
Purchases of debt and equity securities			(2,323)						(820)
Proceeds from sales and maturities of debt and equity securities			2,337						836
Notes receivable from affiliated companies			251						(1,053)
Other			(108)						(85)
Net cash used in investing activities			(1,568)						(2,531)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from the issuance of long-term debt			271						2,857
Payments for the redemption of long-term debt			(73)						(474)
Notes payable to affiliated companies			751						(1,077)
Contributions from noncontrolling interests			2,778						—
Contributions from parent			—						300
Distributions to parent			(2,797)						—
Other			1						(2)
Net cash provided by financing activities			931						1,604
Net increase (decrease) in cash, cash equivalents and restricted cash			23						(28)
Cash, cash equivalents and restricted cash at beginning of period			139						160
Cash, cash equivalents and restricted cash at end of period			$	162					$	132
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	982					$	748

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PROGRESS ENERGY, INC.

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended March 31, 2025 and 2026
															Accumulated Other Comprehensive Income (Loss)
															Net Gains						Net Unrealized												Total Progress
			Additional												(Losses) on						Gains (Losses) on						Pension and						Energy, Inc.
			Paid-in						Retained						Cash Flow						Available-for-						OPEB						Stockholders'						Noncontrolling						Total
(in millions)			Capital						Earnings						Hedges						Sale Securities						Adjustments						Equity						Interest						Equity
Balance at December 31, 2024			$	11,830					$	13,086					$	(1)					$	(5)					$	(4)					$	24,906					$	—					$	24,906
Net income			—						546						—						—						—						546						—						546
Contributions from parent			300						—						—						—						—						300						—						300
Other			—						(2)						—						—						—						(2)						—						(2)
Balance at March 31, 2025			$	12,130					$	13,630					$	(1)					$	(5)					$	(4)					$	25,750					$	—					$	25,750
Balance at December 31, 2025			$	12,278					$	15,499					$	(1)					$	(5)					$	(4)					$	27,767					$	—					$	27,767
Net income			—						593						—						—						—						593						5						598
Other comprehensive income (loss)			—						—						—						1						—						1						(1)						—
Distributions to parent			—						(2,797)						—						—						—						(2,797)						—						(2,797)
Sale of noncontrolling interest(a)			1,954						—						—						—						—						1,954						824						2,778
Balance at March 31, 2026			$	14,232					$	13,295					$	(1)					$	(4)					$	(4)					$	27,518					$	828					$	28,346

(a) Relates to the sale of a noncontrolling interest in Florida Progress, LLC, net of transaction costs. See Note 2 for additional discussion of the transaction.

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY PROGRESS, LLC

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues															$	2,301					$	2,018
Operating Expenses
Fuel used in electric generation and purchased power															863						725
Operation, maintenance and other															508						398
Depreciation and amortization															386						357
Property and other taxes															59						60
Total operating expenses															1,816						1,540
Gains on Sales of Other Assets and Other, net															1						—
Operating Income															486						478
Other Income and Expenses, net															43						37
Interest Expense															135						128
Income Before Income Taxes															394						387
Income Tax Expense															40						56
Net Income and Comprehensive Income															$	354					$	331

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY PROGRESS, LLC

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	63					$	16
Receivables (net of allowance for doubtful accounts of $39 at 2026 and $38 at 2025)			967						952
Receivables from affiliated companies			35						104
Notes receivable from affiliated companies			—						186
Inventory			1,350						1,363
Regulatory assets (includes $70 at 2026 and 2025 related to VIEs)			675						652
Other (includes $37 at 2026 and $38 at 2025 related to VIEs)			190						95
Total current assets			3,280						3,368
Property, Plant and Equipment
Cost			45,974						45,175
Accumulated depreciation and amortization			(17,179)						(16,980)
Net property, plant and equipment			28,795						28,195
Other Noncurrent Assets
Regulatory assets (includes $1,149 at 2026 and $1,169 at 2025 related to VIEs)			4,629						4,543
Nuclear decommissioning trust funds			5,156						5,254
Operating lease right-of-use assets, net			368						386
Other			788						781
Total other noncurrent assets			10,941						10,964
Total Assets			$	43,016					$	42,527
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable			$	962					$	886
Accounts payable to affiliated companies			370						398
Notes payable to affiliated companies			644						—
Taxes accrued			66						167
Interest accrued			91						145
Current maturities of long-term debt (includes $49 at 2026 and $41 at 2025 related to VIEs)			793						285
Asset retirement obligations			186						194
Regulatory liabilities			356						274
Other			342						370
Total current liabilities			3,810						2,719
Long-Term Debt (includes $1,197 at 2026 and $1,224 at 2025 related to VIEs)			12,917						13,461
Long-Term Debt Payable to Affiliated Companies			150						150
Other Noncurrent Liabilities
Deferred income taxes			2,778						2,642
Asset retirement obligations			4,113						4,095
Regulatory liabilities			4,245						4,807
Operating lease liabilities			366						384
Accrued pension and other post-retirement benefit costs			138						139
Investment tax credits			197						194
Other			338						326
Total other noncurrent liabilities			12,175						12,587
Commitments and Contingencies
Equity
Member's Equity			13,964						13,610
Total Liabilities and Equity			$	43,016					$	42,527

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY PROGRESS, LLC

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	354					$	331
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization (including amortization of nuclear fuel)			433						402
Equity component of AFUDC			(27)						(19)
Deferred income taxes			125						49
Payments for asset retirement obligations			(38)						(32)
(Increase) decrease in
Receivables			(5)						101
Receivables from affiliated companies			69						(14)
Inventory			12						8
Other current assets			(93)						(36)
Increase (decrease) in
Accounts payable			92						(56)
Accounts payable to affiliated companies			(28)						130
Taxes accrued			(101)						(311)
Other current liabilities			(84)						(73)
Other assets			(380)						(42)
Other liabilities			(22)						23
Net cash provided by operating activities			307						461
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(990)						(849)
Purchases of debt and equity securities			(2,257)						(767)
Proceeds from sales and maturities of debt and equity securities			2,257						767
Notes receivable from affiliated companies			186						(968)
Other			(64)						(34)
Net cash used in investing activities			(868)						(1,851)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from the issuance of long-term debt			—						2,155
Payments for the redemption of long-term debt			(38)						(441)
Notes payable to affiliated companies			644						(611)
Contributions from parent			—						300
Other			1						(1)
Net cash provided by financing activities			607						1,402
Net increase in cash, cash equivalents and restricted cash			46						12
Cash, cash equivalents and restricted cash at beginning of period			61						69
Cash, cash equivalents and restricted cash at end of period			$	107					$	81
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	537					$	324

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY PROGRESS, LLC

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended
			March 31, 2025 and 2026
(in millions)			Member's Equity
Balance at December 31, 2024			$	11,971
Net income			331
Contribution from parent			300
Other			(1)
Balance at March 31, 2025			$	12,601
Balance at December 31, 2025			$	13,610
Net income			354
Balance at March 31, 2026			$	13,964

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY FLORIDA, LLC

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues															$	1,621					$	1,444
Operating Expenses
Fuel used in electric generation and purchased power															448						381
Operation, maintenance and other															324						286
Depreciation and amortization															296						274
Property and other taxes															123						112
Total operating expenses															1,191						1,053
Gains on Sales of Other Assets and Other, net															2						1
Operating Income															432						392
Other Income and Expenses, net															16						18
Interest Expense															128						118
Income Before Income Taxes															320						292
Income Tax Expense															63						58
Net Income and Comprehensive Income															$	257					$	234

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY FLORIDA, LLC

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	17					$	21
Receivables (net of allowance for doubtful accounts of $26 at 2026 and $27 at 2025)			524						594
Receivables from affiliated companies			47						68
Notes receivable from affiliated companies			—						65
Inventory (includes $675 at 2026 and $669 at 2025 related to VIEs)			850						847
Regulatory assets (includes $62 at 2026 and 2025 related to VIEs)			286						102
Other (includes $10 at 2026 and $34 at 2025 related to VIEs)			116						52
Total current assets			1,840						1,749
Property, Plant and Equipment
Cost			33,739						33,160
Accumulated depreciation and amortization			(8,643)						(8,437)
Net property, plant and equipment			25,096						24,723
Other Noncurrent Assets
Regulatory assets (includes $669 at 2026 and $682 at 2025 related to VIEs)			2,130						2,106
Nuclear decommissioning trust funds			275						296
Operating lease right-of-use assets, net			206						221
Other			587						561
Total other noncurrent assets			3,198						3,184
Total Assets			$	30,134					$	29,656
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable (includes $258 at 2026 and $289 at 2025 related to VIEs)			$	639					$	792
Accounts payable to affiliated companies			139						171
Notes payable to affiliated companies			107						—
Taxes accrued			97						69
Interest accrued			142						87
Current maturities of long-term debt (includes $62 at 2026 and $61 at 2025 related to VIEs)			1,087						437
Asset retirement obligations			2						2
Regulatory liabilities			152						76
Other			338						375
Total current liabilities			2,703						2,009
Long-Term Debt (includes $679 at 2026 and $712 at 2025 related to VIEs)			10,465						10,870
Other Noncurrent Liabilities
Deferred income taxes			3,119						3,005
Asset retirement obligations			180						195
Regulatory liabilities			775						794
Operating lease liabilities			154						168
Accrued pension and other post-retirement benefit costs			86						88
Investment tax credits			248						240
Other			162						165
Total other noncurrent liabilities			4,724						4,655
Commitments and Contingencies
Equity
Member's equity			12,247						12,127
Accumulated other comprehensive loss			(5)						(5)
Total equity			12,242						12,122
Total Liabilities and Equity			$	30,134					$	29,656

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY FLORIDA, LLC

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	257					$	234
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion			383						342
Equity component of AFUDC			(3)						(5)
Gains on sales of other assets			(2)						(1)
Deferred income taxes			121						18
Payments for asset retirement obligations			(16)						(8)
(Increase) decrease in
Receivables			71						21
Receivables from affiliated companies			21						(54)
Inventory			2						(20)
Other current assets			(269)						254
Increase (decrease) in
Accounts payable			(54)						(356)
Accounts payable to affiliated companies			(32)						21
Taxes accrued			27						94
Other current liabilities			(8)						(21)
Other assets			(20)						(76)
Other liabilities			(12)						(6)
Net cash provided by operating activities			466						437
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(735)						(559)
Purchases of debt and equity securities			(66)						(53)
Proceeds from sales and maturities of debt and equity securities			80						69
Notes receivable from affiliated companies			65						(86)
Other			(44)						(51)
Net cash used in investing activities			(700)						(680)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from the issuance of long-term debt			271						702
Payments for the redemption of long-term debt			(35)						(34)
Notes payable to affiliated companies			107						(466)
Contributions from parent			46						—
Distributions to parent			(183)						—
Other			(1)						(1)
Net cash provided by financing activities			205						201
Net decrease in cash, cash equivalents and restricted cash			(29)						(42)
Cash, cash equivalents and restricted cash at beginning of period			62						75
Cash, cash equivalents and restricted cash at end of period			$	33					$	33
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	445					$	424

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY FLORIDA, LLC

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended March 31, 2025 and 2026
									Accumulated
									Other
									Comprehensive
									Income (Loss)
									Net Unrealized
									Gains (Losses) on
			Member's						Available-for-Sale						Total
(in millions)			Equity						Securities						Equity
Balance at December 31, 2024			$	10,986					$	(5)					$	10,981
Net income			234						—						234
Other			(2)						—						(2)
Balance at March 31, 2025			$	11,218					$	(5)					$	11,213
Balance at December 31, 2025			$	12,127					$	(5)					$	12,122
Net income			257						—						257
Distributions to parent			(183)						—						(183)
Contributions from parent			46						—						46
Balance at March 31, 2026			$	12,247					$	(5)					$	12,242

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY OHIO, INC.

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues
Regulated electric															$	562					$	487
Regulated natural gas															317						279
Total operating revenues															879						766
Operating Expenses
Fuel used in electric generation and purchased power															173						149
Cost of natural gas															121						101
Operation, maintenance and other															139						124
Depreciation and amortization															121						112
Property and other taxes															117						116
Total operating expenses															671						602
Operating Income															208						164
Other Income and Expenses, net															5						5
Interest Expense															52						47
Income Before Income Taxes															161						122
Income Tax Expense															31						22
Net Income and Comprehensive Income															$	130					$	100

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY OHIO, INC.

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	21					$	18
Receivables (net of allowance for doubtful accounts of $52 at 2026 and $51 at 2025)			469						473
Receivables from affiliated companies			13						12
Notes receivable from affiliated companies			45						111
Inventory			198						187
Regulatory assets			140						86
Other			20						37
Total current assets			906						924
Property, Plant and Equipment
Cost			14,770						14,627
Accumulated depreciation and amortization			(3,856)						(3,812)
Net property, plant and equipment			10,914						10,815
Other Noncurrent Assets
Goodwill			920						920
Regulatory assets			668						686
Operating lease right-of-use assets, net			5						5
Other			101						96
Total other noncurrent assets			1,694						1,707
Total Assets			$	13,514					$	13,446
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable			$	274					$	333
Accounts payable to affiliated companies			75						91
Notes payable to affiliated companies			72						13
Taxes accrued			338						377
Interest accrued			55						51
Current maturities of long-term debt			—						45
Asset retirement obligations			6						6
Regulatory liabilities			79						57
Other			73						77
Total current liabilities			972						1,050
Long-Term Debt			4,351						4,350
Long-Term Debt Payable to Affiliated Companies			25						25
Other Noncurrent Liabilities
Deferred income taxes			1,362						1,341
Asset retirement obligations			130						129
Regulatory liabilities			465						470
Operating lease liabilities			4						5
Accrued pension and other post-retirement benefit costs			89						88
Other			88						90
Total other noncurrent liabilities			2,138						2,123
Commitments and Contingencies
Equity
Common Stock, $8.50 par value, 120 million shares authorized; 90 million shares outstanding at 2026 and 2025			762						762
Additional paid-in capital			3,219						3,219
Retained earnings			2,047						1,917
Total equity			6,028						5,898
Total Liabilities and Equity			$	13,514					$	13,446

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY OHIO, INC.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	130					$	100
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			121						113
Equity component of AFUDC			(4)						(3)
Deferred income taxes			13						(11)
Payments for asset retirement obligations			(1)						(1)
(Increase) decrease in
Receivables			5						(36)
Receivables from affiliated companies			(1)						(1)
Inventory			(11)						(1)
Other current assets			(35)						35
Increase (decrease) in
Accounts payable			(37)						(15)
Accounts payable to affiliated companies			(16)						17
Taxes accrued			(39)						(54)
Other current liabilities			22						26
Other assets			(2)						2
Other liabilities			7						—
Net cash provided by operating activities			152						171
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(212)						(224)
Notes receivable from affiliated companies			66						3
Other			(16)						(26)
Net cash used in investing activities			(162)						(247)
CASH FLOWS FROM FINANCING ACTIVITIES
Payments for the redemption of long-term debt			(45)						—
Notes payable to affiliated companies			59						65
Other			(1)						(1)
Net cash provided by financing activities			13						64
Net increase (decrease) in cash and cash equivalents			3						(12)
Cash and cash equivalents at beginning of period			18						24
Cash and cash equivalents at end of period			$	21					$	12
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	72					$	95

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY OHIO, INC.

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended March 31, 2025 and 2026
									Additional
			Common						Paid-in						Retained												Total
(in millions)			Stock						Capital						Earnings												Equity
Balance at December 31, 2024			$	762					$	3,118					$	1,579											$	5,459
Net income			—						—						100												100
Other			—						1						—												1
Balance at March 31, 2025			$	762					$	3,119					$	1,679											$	5,560
Balance at December 31, 2025			$	762					$	3,219					$	1,917											$	5,898
Net income			—						—						130												130
Balance at March 31, 2026			$	762					$	3,219					$	2,047											$	6,028

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY INDIANA, LLC

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues															$	966					$	858
Operating Expenses
Fuel used in electric generation and purchased power															370						260
Operation, maintenance and other															190						195
Depreciation and amortization															205						192
Property and other taxes															19						18
Total operating expenses															784						665
Operating Income															182						193
Other Income and Expenses, net															11						10
Interest Expense															64						59
Income Before Income Taxes															129						144
Income Tax Expense															18						18
Net Income and Comprehensive Income															$	111					$	126

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY INDIANA, LLC

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	18					$	12
Receivables (net of allowance for doubtful accounts of $16 at 2026 and $15 at 2025)			469						458
Receivables from affiliated companies			24						25
Notes receivable from affiliated companies			239						—
Inventory (includes $387 at 2026 related to VIEs)			550						531
Regulatory assets			198						193
Other			86						36
Total current assets			1,584						1,255
Property, Plant and Equipment
Cost			21,513						21,241
Accumulated depreciation and amortization			(7,604)						(7,492)
Net property, plant and equipment			13,909						13,749
Other Noncurrent Assets
Regulatory assets			1,009						1,032
Operating lease right-of-use assets, net			32						32
Other			242						278
Total other noncurrent assets			1,283						1,342
Total Assets			$	16,776					$	16,346
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable (includes $109 at 2026 related to VIEs)			$	348					$	360
Accounts payable to affiliated companies			90						38
Notes payable to affiliated companies			—						175
Taxes accrued			108						101
Interest accrued			81						62
Current maturities of long-term debt			4						4
Asset retirement obligations			138						133
Regulatory liabilities			259						275
Other			217						216
Total current liabilities			1,245						1,364
Long-Term Debt			5,436						4,939
Long-Term Debt Payable to Affiliated Companies			150						150
Other Noncurrent Liabilities
Deferred income taxes			1,536						1,525
Asset retirement obligations			979						992
Regulatory liabilities			1,163						1,185
Operating lease liabilities			26						28
Accrued pension and other post-retirement benefit costs			76						75
Investment tax credits			182						183
Other			14						14
Total other noncurrent liabilities			3,976						4,002
Commitments and Contingencies
Equity
Member's equity			5,969						5,891
Total equity			5,969						5,891
Total Liabilities and Equity			$	16,776					$	16,346

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY INDIANA, LLC

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	111					$	126
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion			206						192
Equity component of AFUDC			(9)						(7)
Deferred income taxes			(13)						(16)
Payments for asset retirement obligations			(20)						(18)
(Increase) decrease in
Receivables			(6)						(45)
Receivables from affiliated companies			1						—
Inventory			(19)						46
Other current assets			(64)						(37)
Increase (decrease) in
Accounts payable			41						9
Accounts payable to affiliated companies			52						28
Taxes accrued			5						(63)
Other current liabilities			27						8
Other assets			51						79
Other liabilities			(9)						(27)
Net cash provided by operating activities			354						275
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(364)						(234)
Purchases of debt and equity securities			(9)						(39)
Proceeds from sales and maturities of debt and equity securities			9						112
Notes receivable from affiliated companies			(239)						—
Other			(32)						(94)
Net cash used in investing activities			(635)						(255)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from the issuance of long-term debt			496						—
Notes payable to affiliated companies			(175)						10
Distributions to parent			(33)						(33)
Other			(1)						(1)
Net cash provided by (used in) financing activities			287						(24)
Net increase (decrease) in cash and cash equivalents			6						(4)
Cash and cash equivalents at beginning of period			12						13
Cash and cash equivalents at end of period			$	18					$	9
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	185					$	146

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

DUKE ENERGY INDIANA, LLC

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended
			March 31, 2025 and 2026
(in millions)			Member's Equity
Balance at December 31, 2024			$	5,526
Net income			126
Distributions to parent			(33)
Balance at March 31, 2025			$	5,619
Balance at December 31, 2025			$	5,891
Net income			111
Distributions to parent			(33)
Balance at March 31, 2026			$	5,969

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PIEDMONT NATURAL GAS COMPANY, INC.

Condensed Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

									Three Months Ended
									March 31,
(in millions)															2026						2025
Operating Revenues
Regulated natural gas															$	1,004					$	850
Nonregulated natural gas and other															7						7
Operating Revenues															$	1,011					$	857
Operating Expenses
Cost of natural gas															404						272
Operation, maintenance and other															95						96
Depreciation and amortization															74						70
Property and other taxes															26						18
Total operating expenses															599						456
Gain on Sales of Other Assets and Other, net															652						—
Operating Income															1,064						401
Other Income and Expenses
Equity in earnings of unconsolidated affiliates															2						2
Other income and expenses, net															10						11
Total other income and expenses															12						13
Interest Expense															48						47
Income Before Income Taxes															1,028						367
Income Tax Expense															258						76
Net Income															$	770					$	291
Other Comprehensive Income, net of tax
Pension and OPEB adjustments															(18)						—
Comprehensive Income															$	752					$	291

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PIEDMONT NATURAL GAS COMPANY, INC.

Condensed Consolidated Balance Sheets

(Unaudited)

(in millions)			March 31, 2026						December 31, 2025
ASSETS
Current Assets
Cash and cash equivalents			$	5					$	1
Receivables (net of allowance for doubtful accounts of $9 at 2026 and $6 at 2025)			312						390
Receivables from affiliated companies			11						8
Notes receivable from affiliated companies			266						—
Inventory			45						77
Assets held for sale			—						109
Regulatory assets			85						106
Other			10						8
Total current assets			734						699
Property, Plant and Equipment
Cost			11,480						11,325
Accumulated depreciation and amortization			(2,216)						(2,168)
Net property, plant and equipment			9,264						9,157
Other Noncurrent Assets
Goodwill			39						39
Regulatory assets			306						350
Operating lease right-of-use assets, net			2						2
Investments in equity method unconsolidated affiliates			77						76
Assets held for sale			—						1,864
Other			284						283
Total other noncurrent assets			708						2,614
Total Assets			$	10,706					$	12,470
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable			$	237					$	286
Accounts payable to affiliated companies			99						90
Notes payable to affiliated companies			—						609
Taxes accrued			526						106
Interest accrued			48						41
Current maturities of long-term debt			40						490
Liabilities associated with assets held for sale			—						66
Regulatory liabilities			48						20
Other			68						81
Total current liabilities			1,066						1,789
Long-Term Debt			3,761						3,761
Other Noncurrent Liabilities
Deferred income taxes			873						1,071
Asset retirement obligations			26						25
Regulatory liabilities			780						802
Operating lease liabilities			1						2
Accrued pension and other post-retirement benefit costs			6						7
Liabilities associated with assets held for sale			—						170
Other			87						89
Total other noncurrent liabilities			1,773						2,166
Commitments and Contingencies
Equity
Common stock, no par value: 100 shares authorized and outstanding at 2026 and 2025			1,635						1,635
Retained earnings			2,488						3,118
Accumulated other comprehensive loss			(18)						—
Total Piedmont Natural Gas Company, Inc. stockholder's equity			4,105						4,753
Noncontrolling interests			1						1
Total equity			4,106						4,754
Total Liabilities and Equity			$	10,706					$	12,470

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PIEDMONT NATURAL GAS COMPANY, INC.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

			Three Months Ended
			March 31,
(in millions)			2026						2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income			$	770					$	291
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			75						71
Equity component of AFUDC			(5)						(4)
Gain on sale of Piedmont's Tennessee business			(652)						—
Deferred income taxes			(225)						(13)
Equity in earnings from unconsolidated affiliates			(2)						(2)
(Increase) decrease in
Receivables			96						(38)
Receivables from affiliated companies			(3)						4
Inventory			36						17
Other current assets			(2)						55
Increase (decrease) in
Accounts payable			(98)						(27)
Accounts payable to affiliated companies			9						23
Taxes accrued			420						39
Other current liabilities			20						(54)
Other assets			44						(7)
Other liabilities			(16)						(2)
Net cash provided by operating activities			467						353
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures			(229)						(182)
Proceeds from the sale of Piedmont's Tennessee business			2,501						—
Notes receivable from affiliated companies			(266)						—
Other			(9)						(3)
Net cash provided by (used in) investing activities			1,997						(185)
CASH FLOWS FROM FINANCING ACTIVITIES
Payments for the redemption of long-term debt			(450)						—
Notes payable to affiliated companies			(609)						(159)
Dividends to parent			(1,400)						—
Other			(1)						(1)
Net cash used in financing activities			(2,460)						(160)
Net increase in cash and cash equivalents			4						8
Cash and cash equivalents at beginning of period			1						2
Cash and cash equivalents at end of period			$	5					$	10
Supplemental Disclosures:
Significant non-cash transactions:
Accrued capital expenditures			$	138					$	114

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS

PIEDMONT NATURAL GAS COMPANY, INC.

Condensed Consolidated Statements of Changes in Equity

(Unaudited)

			Three Months Ended March 31, 2025 and 2026
																					Accumulated
																					Other
																					Comprehensive						Total
																					Income (Loss)						Piedmont
																					Pension and						Natural Gas
			Common												Retained						OPEB						Company, Inc.						Noncontrolling						Total
(in millions)			Stock												Earnings						Adjustments						Equity						Interests						Equity
Balance at December 31, 2024			$	1,635											$	2,718					$	—					$	4,353					$	1					$	4,354
Net income			—												291						—						291						—						291
Balance at March 31, 2025			$	1,635											$	3,009					$	—					$	4,644					$	1					$	4,645
Balance at December 31, 2025			$	1,635											$	3,118					$	—					$	4,753					$	1					$	4,754
Net income			—												770						—						770						—						770
Other comprehensive loss			—												—						(18)						(18)						—						(18)
Dividends to parent			—												(1,400)						—						(1,400)						—						(1,400)
Balance at March 31, 2026			$	1,635											$	2,488					$	(18)					$	4,105					$	1					$	4,106

See Notes to Condensed Consolidated Financial Statements

FINANCIAL STATEMENTS			ORGANIZATION AND BASIS OF PRESENTATION

Index to Combined Notes to Condensed Consolidated Financial Statements

The unaudited notes to the Condensed Consolidated Financial Statements that follow are a combined presentation. The following list indicates the registrants to which the footnotes apply.

			Applicable Notes
Registrant			1						2						3						4						5												6												7						8						9						10						11						12						13						14						15						16
Duke Energy			•						•						•						•						•												•						•						•												•						•						•						•						•						•						•						•
Duke Energy Carolinas			•												•						•						•												•						•												•						•						•						•						•						•												•						•
Progress Energy			•						•						•						•						•												•						•						•						•						•						•						•						•						•												•						•
Duke Energy Progress			•												•						•						•												•						•												•						•						•						•						•						•												•						•
Duke Energy Florida			•						•						•						•						•												•						•												•						•						•						•						•						•												•						•
Duke Energy Ohio			•												•						•						•												•						•						•						•						•												•						•						•												•						•
Duke Energy Indiana			•												•						•						•												•						•												•						•						•						•						•						•												•						•
Piedmont			•						•						•						•						•												•						•						•						•						•												•												•												•						•

Tables within the notes may not sum across due to (i) Progress Energy's consolidation of Duke Energy Progress, Duke Energy Florida and other subsidiaries that are not registrants and (ii) subsidiaries that are not registrants but included in the consolidated Duke Energy balances.

1. ORGANIZATION AND BASIS OF PRESENTATION

BASIS OF PRESENTATION

These Condensed Consolidated Financial Statements have been prepared in accordance with GAAP for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, these Condensed Consolidated Financial Statements do not include all information and notes required by GAAP for annual financial statements and should be read in conjunction with the Consolidated Financial Statements in Duke Energy's Annual Report on Form 10-K for the year ended December 31, 2025.

The information in these combined notes relates to each of the Duke Energy Registrants as noted in the Index to Combined Notes to Condensed Consolidated Financial Statements. However, none of the registrants make any representations as to information related solely to Duke Energy or the subsidiaries of Duke Energy other than itself.

These Condensed Consolidated Financial Statements, in the opinion of the respective companies’ management, reflect all normal recurring adjustments necessary to fairly present the financial position and results of operations of each of the Duke Energy Registrants. Amounts reported in Duke Energy’s interim Condensed Consolidated Statements of Operations and each of the Subsidiary Registrants’ interim Condensed Consolidated Statements of Operations and Comprehensive Income are not necessarily indicative of amounts expected for the respective annual periods due to effects of seasonal temperature variations on energy consumption, regulatory rulings, timing of maintenance on electric generating units, changes in mark-to-market valuations, changing commodity prices and other factors.

In preparing financial statements that conform to GAAP, management must make estimates and assumptions that affect the reported amounts of assets and liabilities, the reported amounts of revenues and expenses and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.

BASIS OF CONSOLIDATION

These Condensed Consolidated Financial Statements include, after eliminating intercompany transactions and balances, the accounts of the Duke Energy Registrants and subsidiaries or VIEs where the respective Duke Energy Registrants have control. See Note 12 for additional information on VIEs. These Condensed Consolidated Financial Statements also reflect the Duke Energy Registrants’ proportionate share of certain jointly owned generation and transmission facilities.

Discontinued Operations

Duke Energy has elected to present cash flows of discontinued operations combined with cash flows of continuing operations. For all periods presented, unless otherwise noted, disclosures related to balance sheet activity exclude amounts presented as held for sale and disclosures related to income statement activity exclude amounts related to discontinued operations. See Note 2 for discussion of discontinued operations related to the Commercial Renewables Disposal Groups.

FINANCIAL STATEMENTS			ORGANIZATION AND BASIS OF PRESENTATION

CASH, CASH EQUIVALENTS AND RESTRICTED CASH

Duke Energy, Duke Energy Carolinas, Progress Energy, Duke Energy Progress and Duke Energy Florida have restricted cash balances related primarily to collateral assets, escrow deposits and VIEs. See Notes 10 and 12 for additional information. Restricted cash amounts are included in Other within Current Assets and Other within Noncurrent Assets on the Condensed Consolidated Balance Sheets. The following table presents the components of cash, cash equivalents and restricted cash included on the Condensed Consolidated Balance Sheets.

			March 31, 2026																		December 31, 2025
						Duke						Duke			Duke									Duke						Duke			Duke
			Duke			Energy			Progress			Energy			Energy						Duke			Energy			Progress			Energy			Energy
			Energy			Carolinas			Energy			Progress			Florida						Energy			Carolinas			Energy			Progress			Florida
Current Assets
Cash and cash equivalents			$	2,140		$	44		$	102		$	63		$	17					$	245		$	3		$	54		$	16		$	21
Other			78			31			47			37			10						84			12			71			38			34
Other Noncurrent Assets
Other			34			7			13			7			6						34			7			14			7			7
Total cash, cash equivalents and restricted cash			$	2,252		$	82		$	162		$	107		$	33					$	363		$	22		$	139		$	61		$	62

INVENTORY

Provisions for inventory write-offs were not material at March 31, 2026, and December 31, 2025. The components of inventory are presented in the tables below.

			March 31, 2026
									Duke												Duke						Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Materials and supplies			$	3,601					$	1,185					$	1,803					$	1,104					$	700					$	171					$	398					$	10
Coal			699						323						211						143						68						15						149						—
Natural gas, oil and other fuel			272						36						186						103						82						12						3						35
Total inventory			$	4,572					$	1,544					$	2,200					$	1,350					$	850					$	198					$	550					$	45

			December 31, 2025
									Duke												Duke						Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Materials and supplies			$	3,542					$	1,157					$	1,789					$	1,109					$	680					$	155					$	398					$	10
Coal			715						328						235						155						80						21						131						—
Natural gas, oil and other fuel			312						45						186						99						87						11						2						67
Total inventory			$	4,569					$	1,530					$	2,210					$	1,363					$	847					$	187					$	531					$	77

OTHER NONCURRENT ASSETS

Duke Energy, through a nonregulated subsidiary, was the winner of the Carolina Long Bay offshore wind auction in May 2022. The cost of the rights acquired from the auction, totaling $150 million, is recorded in Other within Other noncurrent assets on Duke Energy's Condensed Consolidated Balance Sheets as of March 31, 2026, and December 31, 2025.

ACCOUNTS PAYABLE

Duke Energy has a voluntary supply chain finance program (the “program”) that allows Duke Energy suppliers, at their sole discretion, to sell their receivables from Duke Energy to a global financial institution at a rate that leverages Duke Energy’s credit rating and which may result in favorable terms compared to the rate available to the supplier on their own credit rating. Suppliers participating in the program determine at their sole discretion which invoices they will sell to the financial institution. Suppliers’ decisions on which invoices are sold do not impact Duke Energy’s payment terms, which are based on commercial terms negotiated between Duke Energy and the supplier regardless of program participation. The commercial terms negotiated between Duke Energy and its suppliers are consistent regardless of whether the supplier elects to participate in the program. Duke Energy does not issue any guarantees with respect to the program and does not participate in negotiations between suppliers and the financial institution. Duke Energy does not have an economic interest in the supplier’s decision to participate in the program and receives no interest, fees or other benefit from the financial institution based on supplier participation in the program.

Duke Energy and Piedmont have outstanding obligations that have been confirmed to the financial institution of $13 million and $23 million as of March 31, 2026, and December 31, 2025, respectively.

FINANCIAL STATEMENTS			ORGANIZATION AND BASIS OF PRESENTATION

NEW ACCOUNTING STANDARDS

The following new accounting standard has been issued but not yet adopted by the Duke Energy Registrants as of March 31, 2026.

Disaggregation of Income Statement Expenses. In November 2024, the Financial Accounting Standards Board (FASB) issued new accounting guidance that requires disclosure of disaggregated information for certain cost and expense categories. This new guidance does not change the expense captions presented on the Condensed Consolidated Statements of Operations but requires disaggregation of certain expense captions into specified categories in disclosures within the notes to the financial statements. For Duke Energy Registrants, the amendments will be effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027, with early adoption permitted. Duke Energy is currently assessing implementation of this guidance on the financial statement disclosures and expects it will have no impact on the results of operations, cash flows or financial condition.

2. DISPOSITIONS

Minority Interest in Florida Progress

On August 4, 2025, Duke Energy, Progress Energy and Florida Progress LLC (Florida Progress), the holding company of Duke Energy Florida, entered into an investment agreement with an affiliate of Brookfield Super-Core Infrastructure Partners (Investor), pursuant to which Florida Progress agreed to issue membership interests to Investor for up to a 19.7% membership interest in Florida Progress following a series of closings, for an aggregate investment of $6 billion, subject to certain adjustments.

On March 3, 2026, Duke Energy, Progress Energy and Florida Progress consummated the first closing (First Closing) of a minority investment in Florida Progress by Investor. The First Closing resulted in Florida Progress issuing 9.19% of its membership interests in exchange for approximately $2.8 billion in cash proceeds. Duke Energy and Progress Energy retained indirect control of these assets, and, therefore, no gain or loss was recognized on their respective Condensed Consolidated Statements of Operations. The difference between the cash consideration received, net of transaction costs of approximately $30 million, and the carrying value of the noncontrolling interest was $1,954 million and was recorded as an increase to equity.

The first closing will be followed by additional closings with investments occurring no later than on the following timeline: (i) Investor will invest an additional $200 million in Florida Progress no later than December 31, 2026; (ii) Investor will invest an additional $500 million in Florida Progress no later than June 30, 2027; (iii) Investor will invest an additional $1.5 billion in Florida Progress no later than December 31, 2027; and (iv) Investor will invest an additional $1 billion in Florida Progress no later than June 30, 2028. The ownership interest of Florida Progress will transfer proportionally with each closing. The Investor has the option to fund its total $6 billion investment sooner.

Proceeds from the minority interest investment are expected to be used to efficiently fund Duke Energy’s growing capital and investment expenditures plan, primarily by displacing certain previously planned issuances of long-term debt and common equity through 2029.

In connection with the First Closing, Investor, Florida Progress, and Progress Energy entered in to an Amended and Restated Limited Liability Company Operating Agreement of Florida Progress (LLC Agreement). The LLC Agreement, among other things, establishes the general framework governing the relationship between Investor and Florida Progress and their respective successors and transferees, as members of Florida Progress. The LLC Agreement also provides Investor with limited governance rights commensurate with its eventual anticipated 19.7% ownership. Under the LLC Agreement, following the First Closing, the board of managers of Florida Progress will consist of eleven managers, two nominated by Investor and nine nominated by Progress Energy. The LLC Agreement contains certain investor protections, including (1) requiring investor approval or the affirmative vote of a manager nominated by the Investor for Florida Progress to make certain major decisions, and (2) providing Investor with the rights to require Progress Energy to acquire Investor's membership interest in Florida Progress under certain specified circumstances (in each case, subject to certain minimum ownership thresholds). Certain transfer restrictions and other transfer rights apply to Investor and Progress Energy under the LLC Agreement.

Sale of Piedmont's Tennessee Business

In July 2025, Piedmont entered into a purchase agreement with Spire Inc., a Missouri corporation, for the sale of Piedmont's Tennessee business. Piedmont’s Tennessee business is included within the GU&I segment of Duke Energy and Piedmont. In the third quarter of 2025, Duke Energy and Piedmont reclassified the Piedmont Tennessee Disposal Group to assets held for sale. On March 16, 2026, the TPUC approved the transaction and Piedmont closed on the sale on March 31, 2026. Piedmont received proceeds of approximately $2.5 billion from the sale, subject to post closing adjustments, which were partially used for debt reduction at Piedmont, as well as to efficiently fund Duke Energy's capital plan, primarily by displacing the issuance of common equity in the near term. For the three months ended March 31, 2026, Duke Energy and Piedmont recorded pretax gains on the sale of $368 million and $652 million, respectively, in Gains on Sales of Other Assets and Other, net, in the Condensed Consolidated Statements of Operations. See Note 6 for further information on the repayment of Piedmont's term loan facility in March 2026.

Sale of Commercial Renewables Segment

The Commercial Renewables Disposal Groups were classified as held for sale and as discontinued operations in the fourth quarter of 2022.

In 2023, Duke Energy completed the sale of substantially all the assets in the Commercial Renewables business segment. Duke Energy closed on the transaction with an affiliate of Brookfield Renewable Partners L.P. on October 25, 2023, for proceeds of $1.1 billion, with approximately half of the proceeds received at closing and the remainder due 18 months after closing. On April 28, 2025, Duke Energy received the remaining sale proceeds from Brookfield. In January 2025, a sale of the remaining Commercial Renewables business assets was completed and proceeds from that disposition were not material.

During the three months ended March 31, 2025, Income From Discontinued Operations, net of tax in Duke Energy's Condensed Consolidated Statements of Operations related to the Commercial Renewables Disposal Groups was not material.

FINANCIAL STATEMENTS			DISPOSITIONS

During the three months ended March 31, 2026, Duke Energy resolved an outstanding liability related to the Commercial Renewables Disposal Groups. As a result of this resolution, Duke Energy recognized $18 million of pretax earnings included in Income From Discontinued Operations, net of tax on Duke Energy's Condensed Consolidated Statements of Operations.

Duke Energy has elected not to separately disclose discontinued operations on Duke Energy's Condensed Consolidated Statements of Cash Flows. The cash flows from discontinued operations related to the Commercial Renewables Disposal Groups were not material for the three months ended March 31, 2026, and 2025.

Assets Held For Sale

The Piedmont Tennessee Disposal Group was classified as held for sale in the third quarter of 2025. Piedmont ceased recording depreciation and amortization on long-lived assets of the Piedmont Tennessee Disposal Group upon meeting the held for sale criteria in August 2025.

The following table presents the carrying values of the major classes of Assets held for sale and Liabilities associated with assets held for sale included in Duke Energy's and Piedmont's Condensed Consolidated Balance Sheets.

			December 31, 2025
			Piedmont						Duke Energy
(in millions)			Piedmont Tennessee Disposal Group						Piedmont Tennessee Disposal Group			Commercial Renewables Disposal Groups			Total
Current Assets Held for Sale
Receivables, net			$	82					$	82		$	—		$	82
Inventory			12						12			—			12
Other			15						15			—			15
Total current assets held for sale			109						109			—			109
Noncurrent Assets Held for Sale
Property, Plant and Equipment
Cost			2,219						2,219			—			2,219
Accumulated depreciation and amortization			(406)						(406)			—			(406)
Net property, plant and equipment			1,813						1,813			—			1,813
Goodwill			10						294			—			294
Regulatory assets			41						41			—			41
Total noncurrent assets held for sale			1,864						2,148			—			2,148
Total Assets Held for Sale			$	1,973					$	2,257		$	—		$	2,257
Current Liabilities Associated with Assets Held for Sale
Accounts payable			$	58					$	58		$	18		$	76
Other			8						8			—			8
Total current liabilities associated with assets held for sale			66						66			18			84
Noncurrent Liabilities Associated with Assets Held for Sale
Asset retirement obligations			4						4			—			4
Regulatory liabilities			161						161			—			161
Other			5						5			—			5
Total noncurrent liabilities associated with assets held for sale			170						170			—			170
Total Liabilities Associated with Assets Held for Sale			$	236					$	236		$	18		$	254

3. BUSINESS SEGMENTS

Duke Energy

Duke Energy's segment structure includes the following two segments: EU&I and GU&I.

The EU&I segment primarily includes Duke Energy's regulated electric utilities in the Carolinas, Florida and the Midwest.

The GU&I segment includes Piedmont, Duke Energy's natural gas local distribution companies in Ohio and Kentucky and Duke Energy's natural gas storage, midstream pipeline and renewable natural gas investments.

The remainder of Duke Energy’s operations is presented as Other, which is primarily comprised of interest expense on holding company debt, unallocated corporate costs, Duke Energy’s wholly owned captive insurance company, Bison, and Duke Energy's ownership interest in NMC.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Business segment information is presented in the following tables. Segment assets presented exclude intercompany assets.

			Three Months Ended March 31, 2026
			Electric						Gas												Total
			Utilities and						Utilities and												Reportable
(in millions)			Infrastructure						Infrastructure												Segments						Other						Eliminations						Total
Unaffiliated revenues			$	7,864					$	1,309											$	9,173					$	5					$	—					$	9,178
Intersegment revenues			14						24												38						37						(75)						—
Total operating revenues			$	7,878					$	1,333											$	9,211					$	42					$	(75)					$	9,178
Less:
Fuel used in electric generation and purchased power			$	2,440					$	—											$	2,440					$	—					$	(21)					$	2,419
Cost of natural gas			—						525												525						—						—						525
Operation, maintenance and other			1,709						135												1,844						(41)						(51)						1,752
Depreciation and amortization			1,498						115												1,613						83						(7)						1,689
Property and other taxes			393						57												450						2						—						452
Interest expense			571						67												638						349						(19)						968
Income tax expense (benefit)			127						294												421						(88)						—						333
Other Segment Items
Noncontrolling interests(a)			27						—												27						—						—						27
Preferred dividends			—						—												—						14						—						14
Add: Equity in earnings of unconsolidated affiliates			—						6												6						1						—						7
Add: Other(b)			141						386												527						13						(23)						517
Segment income (loss)(c)(d)			$	1,254					$	532											$	1,786					$	(263)					$	—					$	1,523
Discontinued Operations																																							13
Net income available to Duke Energy Corporation Common Stockholders																																							$	1,536
Add back: Net income attributable to noncontrolling interest																																							27
Add back: Preferred dividends																																							14
Net Income																																							$	1,577
Capital investments expenditures and acquisitions for the three months ended March 31, 2026			$	3,734					$	279											$	4,013					$	75					$	—					$	4,088
Segment assets as of March 31, 2026			175,573						16,745												192,318						5,730						—						198,048

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

			Three Months Ended March 31, 2025
			Electric						Gas												Total
			Utilities and						Utilities and												Reportable
(in millions)			Infrastructure						Infrastructure												Segments						Other						Eliminations						Total
Unaffiliated revenues			$	7,125					$	1,116											$	8,241					$	8					$	—					$	8,249
Intersegment revenues			15						24												39						34						(73)						—
Total operating revenues			$	7,140					$	1,140											$	8,280					$	42					$	(73)					$	8,249
Less:
Fuel used in electric generation and purchased power			$	2,119					$	—											$	2,119					$	—					$	(20)					$	2,099
Cost of natural gas			—						374												374						—						—						374
Operation, maintenance and other			1,424						125												1,549						2						(52)						1,499
Depreciation and amortization			1,334						107												1,441						77						(6)						1,512
Property and other taxes			378						47												425						3						—						428
Interest expense			530						65												595						318						(24)						889
Income tax expense (benefit)			189						91												280						(87)						—						193
Other Segment Items
Noncontrolling interests(a)			25						—												25						—						—						25
Preferred dividends			—						—												—						14						—						14
Add: Equity in earnings of unconsolidated affiliates			—						5												5						6						—						11
Add: Other(b)			135						13												148						19						(29)						138
Segment income (loss)			$	1,276					$	349											$	1,625					$	(260)					$	—					$	1,365
Add back: Net Income available to noncontrolling interest																																							25
Add back: Preferred dividends																																							14
Net Income																																							$	1,404
Capital investments expenditures and acquisitions for the three months ended March 31, 2025			$	2,814					$	249											$	3,063					$	85					$	—					$	3,148
Segment assets as of December 31, 2025(e)			172,427						18,989												191,416						4,320						—						195,736

(a)Net income attributable to noncontrolling interests related to continuing operations.

(b) Other for EU&I and GU&I includes Gains on sales of other assets and other, net, and Other income and expenses, net.

(c) EU&I segment income includes an after-tax total amount of $150 million, net of $47 million tax benefit, recorded at Duke Energy Carolinas and Duke Energy Progress within Operations, maintenance and other and Operating Revenues on the Condensed Consolidated Statements of Operations related to legal settlements, as well as regulatory matters related to the establishment of a regulatory liability associated with an energy efficiency program.

(d) GU&I includes $368 million pretax recorded within Gains on Sales of Other Assets and Other, net, and $7 million pretax recorded within Property and other taxes on the Condensed Consolidated Statements of Operations related to the sale of Piedmont's Tennessee business. GU&I also includes $6 million pretax recorded within Gains on Sales of Other Assets and Other, net, on the Condensed Consolidated Statements of Operations related to the sale of certain renewable natural gas investments. GU&I segment income includes $196 million of tax expense related to these asset sales which includes the impact of nondeductible goodwill related to the sale of Piedmont's Tennessee business.

(e) GU&I includes Assets held for sale balances related to the Piedmont Tennessee Disposal Group. Refer to Note 2 for further information.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Duke Energy Carolinas

Duke Energy Carolinas has one reportable segment, EU&I. The remainder of Duke Energy Carolinas' operations is presented as Other.

												Three Months Ended March 31, 2026
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	2,766		$	—		$	2,766
Less:
Fuel used in electric generation and purchased power																		$	931		$	—		$	931
Operation, maintenance and other																		601			12			613
Depreciation and amortization																		526			—			526
Property and other taxes																		106			—			106
Interest expense																		217			1			218
Income tax expense (benefit)																		14			(3)			11
Add: Other segment items(a)																		65			—			65
Segment income (loss) / Net income																		$	436		$	(10)		$	426
Capital expenditures for the three months ended March 31, 2026																		$	1,474		$	—		$	1,474
Segment assets as of March 31, 2026																		60,432			286			60,718

												Three Months Ended March 31, 2025
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	2,524		$	—		$	2,524
Less:
Fuel used in electric generation and purchased power																		$	803		$	—		$	803
Operation, maintenance and other																		474			10			484
Depreciation and amortization																		432			—			432
Property and other taxes																		102			—			102
Interest expense																		200			—			200
Income tax expense (benefit)																		53			(2)			51
Add: Other segment items(a)																		61			—			61
Segment income (loss) / Net income																		$	521		$	(8)		$	513
Capital expenditures for the three months ended March 31, 2025																		$	1,019		$	—		$	1,019
Segment assets as of December 31, 2025																		58,775			400			59,175

(a) Other segment items include Gains on sales of other assets and other, net, and Other income and expenses, net.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Progress Energy

Progress Energy has one reportable segment, EU&I. The remainder of Progress Energy's operations is presented as Other.

												Three Months Ended March 31, 2026
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	3,922		$	3		$	3,925
Less:
Fuel used in electric generation and purchased power																		$	1,311		$	—		$	1,311
Operation, maintenance and other																		820			16			836
Depreciation and amortization																		682			—			682
Property and other taxes																		182			(1)			181
Interest expense																		262			29			291
Income tax expense (benefit)																		107			(9)			98
Other Segment Items
Noncontrolling interest																		5			—			5
Add: Other segment items(a)																		61			11			72
Segment income (loss) / Net income																		$	614		$	(21)		$	593
Capital expenditures for the three months ended March 31, 2026																		$	1,725		$	—		$	1,725
Segment assets as of March 31, 2026																		72,939			3,967			76,906

												Three Months Ended March 31, 2025
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	3,462		$	5		$	3,467
Less:
Fuel used in electric generation and purchased power																		$	1,106		$	—		$	1,106
Operation, maintenance and other																		673			15			688
Depreciation and amortization																		631			—			631
Property and other taxes																		172			—			172
Interest expense																		246			29			275
Income tax expense (benefit)																		118			(8)			110
Add: Other segment items(a)																		61			—			61
Segment income (loss) / Net income																		$	577		$	(31)		$	546
Capital expenditures for the three months ended March 31, 2025																		$	1,409		$	—		$	1,409
Segment assets as of December 31, 2025																		71,685			4,153			75,838

(a) Other segment items include Gains on sales of other assets and other, net, and Other income and expenses, net.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Duke Energy Progress

Duke Energy Progress has one reportable segment, EU&I. The remainder of Duke Energy Progress' operations is presented as Other.

												Three Months Ended March 31, 2026
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	2,301		$	—		$	2,301
Less:
Fuel used in electric generation and purchased power																		$	863		$	—		$	863
Operation, maintenance and other																		501			7			508
Depreciation and amortization																		386			—			386
Property and other taxes																		59			—			59
Interest expense																		135			—			135
Income tax expense (benefit)																		42			(2)			40
Add: Other segment items(a)																		44			—			44
Segment income (loss) / Net income																		$	359		$	(5)		$	354
Capital expenditures for the three months ended March 31, 2026																		$	990		$	—		$	990
Segment assets as of March 31, 2026																		42,884			132			43,016

												Three Months Ended March 31, 2025
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	2,018		$	—		$	2,018
Less:
Fuel used in electric generation and purchased power																		$	725		$	—		$	725
Operation, maintenance and other																		391			7			398
Depreciation and amortization																		357			—			357
Property and other taxes																		60			—			60
Interest expense																		128			—			128
Income tax expense (benefit)																		58			(2)			56
Add: Other segment items(a)																		39			(2)			37
Segment income (loss) / Net income																		$	338		$	(7)		$	331
Capital expenditures for the three months ended March 31, 2025																		$	849		$	—		$	849
Segment assets as of December 31, 2025																		42,163			364			42,527

(a) Other segment items include Gains on sales of other assets and other, net, and Other income and expenses, net.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Duke Energy Florida

Duke Energy Florida has one reportable segment, EU&I. The remainder of Duke Energy Florida's operations is presented as Other.

												Three Months Ended March 31, 2026
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	1,621		$	—		$	1,621
Less:
Fuel used in electric generation and purchased power																		$	448		$	—		$	448
Operation, maintenance and other																		319			5			324
Depreciation and amortization																		296			—			296
Property and other taxes																		123			—			123
Interest expense																		127			1			128
Income tax expense (benefit)																		65			(2)			63
Add: Other segment items(a)																		17			1			18
Segment income (loss) / Net income																		$	260		$	(3)		$	257
Capital expenditures for the three months ended March 31, 2026																		$	735		$	—		$	735
Segment assets as of March 31, 2026																		30,055			79			30,134

												Three Months Ended March 31, 2025
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	1,444		$	—		$	1,444
Less:
Fuel used in electric generation and purchased power																		$	381		$	—		$	381
Operation, maintenance and other																		282			4			286
Depreciation and amortization																		274			—			274
Property and other taxes																		112			—			112
Interest expense																		118			—			118
Income tax expense (benefit)																		60			(2)			58
Add: Other segment items(a)																		22			(3)			19
Segment income (loss) / Net income																		$	239		$	(5)		$	234
Capital expenditures for the three months ended March 31, 2025																		$	559		$	—		$	559
Segment assets as of December 31, 2025																		29,522			134			29,656

(a) Other segment items include Gains on sales of other assets and other, net, and Other income and expenses, net.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Duke Energy Ohio

Duke Energy Ohio has two reportable segments, EU&I and GU&I. The remainder of Duke Energy Ohio's operations is presented as Other.

			Three Months Ended March 31, 2026
			Electric						Gas						Total
			Utilities and						Utilities and						Reportable						Eliminations/
(in millions)			Infrastructure						Infrastructure						Segments						Other						Total
Total operating revenues			$	562					$	317					$	879					$	—					$	879
Less:
Fuel used in electric generation and purchased power			$	173					$	—					$	173					$	—					$	173
Cost of natural gas			—						121						121						—						121
Operation, maintenance and other			97						40						137						2						139
Depreciation and amortization			82						39						121						—						121
Property and other taxes			87						30						117						—						117
Interest expense			34						18						52						—						52
Income tax expense (benefit)			16						15						31						—						31
Add: Other segment items(a)			4						1						5						—						5
Segment income (loss) / Net income			$	77					$	55					$	132					$	(2)					$	130
Capital expenditures for the three months ended March 31, 2026			$	162					$	50					$	212					$	—					$	212
Segment assets as of March 31, 2026			8,631						4,809						13,440						74						13,514

			Three Months Ended March 31, 2025
			Electric						Gas						Total
			Utilities and						Utilities and						Reportable						Eliminations/
(in millions)			Infrastructure						Infrastructure						Segments						Other												Total
Total operating revenues			$	487					$	279					$	766					$	—											$	766
Less:
Fuel used in electric generation and purchased power			$	149					$	—					$	149					$	—											$	149
Cost of natural gas			—						101						101						—												101
Operation, maintenance and other			92						29						121						3												124
Depreciation and amortization			76						36						112						—												112
Property and other taxes			86						30						116						—												116
Interest expense			31						16						47						—												47
Income tax expense (benefit)			9						14						23						(1)												22
Add: Other segment items(a)			4						2						6						(1)												5
Segment income (loss) / Net income			$	48					$	55					$	103					$	(3)											$	100
Capital expenditures for the three months ended March 31, 2025			$	157					$	67					$	224					$	—											$	224
Segment assets as of December 31, 2025			8,575						4,736						13,311						135												13,446

(a) Other segment items for EU&I and GU&I include Gains on sales of other assets and other, net, and Other income and expenses, net.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Duke Energy Indiana

Duke Energy Indiana has one reportable segment, EU&I. The remainder of Duke Energy Indiana's operations is presented as Other.

												Three Months Ended March 31, 2026
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	966		$	—		$	966
Less:
Fuel used in electric generation and purchased power																		$	370		$	—		$	370
Operation, maintenance and other																		187			3			190
Depreciation and amortization																		205			—			205
Property and other taxes																		19			—			19
Interest expense																		64			—			64
Income tax expense (benefit)																		19			(1)			18
Add: Other segment items(a)																		11			—			11
Segment income (loss) / Net income																		$	113		$	(2)		$	111
Capital expenditures for the three months ended March 31, 2026																		$	364		$	—		$	364
Segment assets as of March 31, 2026																		16,504			272			16,776

												Three Months Ended March 31, 2025
																		Electric
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	858		$	—		$	858
Less:
Fuel used in electric generation and purchased power																		$	260		$	—		$	260
Operation, maintenance and other																		193			2			195
Depreciation and amortization																		192			—			192
Property and other taxes																		18			—			18
Interest expense																		60			(1)			59
Income tax expense (benefit)																		18			—			18
Add: Other segment items(a)																		10			—			10
Segment income (loss) / Net income																		$	127		$	(1)		$	126
Capital expenditures for the three months ended March 31, 2025																		$	234		$	—		$	234
Segment assets as of December 31, 2025																		16,321			25			16,346

(a) Other segment items include Gains on sales of other assets and other, net, and Other income and expenses, net.

FINANCIAL STATEMENTS			BUSINESS SEGMENTS

Piedmont

Piedmont has one reportable segment, GU&I. The remainder of Piedmont's operations is presented as Other.

												Three Months Ended March 31, 2026
																		Gas
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	1,011		$	—		$	1,011
Less:
Cost of natural gas																		$	404		$	—		$	404
Operation, maintenance and other																		93			2			95
Depreciation and amortization																		74			—			74
Property and other taxes																		26			—			26
Interest expense																		48			—			48
Income tax expense (benefit)																		258			—			258
Other Segment Items
Add: Equity in earnings of unconsolidated affiliates																		—			2			2
Add: Other(a)																		662			—			662
Segment income (loss) / Net income (loss)																		$	770		$	—		$	770
Capital expenditures for the three months ended March 31, 2026																		$	229		$	—		$	229
Segment assets as of March 31, 2026																		10,346			360			10,706

												Three Months Ended March 31, 2025
																		Gas
																		Utilities and			Eliminations/
(in millions)																		Infrastructure			Other			Total
Total operating revenues																		$	857		$	—		$	857
Less:
Cost of natural gas																		$	272		$	—		$	272
Operation, maintenance and other																		94			2			96
Depreciation and amortization																		70			—			70
Property and other taxes																		18			—			18
Interest expense																		47			—			47
Income tax expense (benefit)																		76			—			76
Other Segment Items
Add: Equity in earnings of unconsolidated affiliates																		—			2			2
Add: Other(a)																		11			—			11
Segment income (loss) / Net income (loss)																		$	291		$	—		$	291
Capital expenditures for the three months ended March 31, 2025																		$	182		$	—		$	182
Segment assets as of December 31, 2025(b)																		12,384			86			12,470

(a) Other includes Gains on sales of other assets and other, net, and Other income and expenses, net.

(b) GU&I includes Assets held for sale balances related to the Piedmont Tennessee Disposal Group. Refer to Note 2 for further information.

4. REGULATORY MATTERS

RATE-RELATED INFORMATION

The NCUC, PSCSC, FPSC, IURC, PUCO and KPSC approve rates for retail electric and natural gas services within their states. The FERC regulates and approves rates for wholesale electric sales and interstate transmission rates. The FERC also regulates certification and siting of new interstate natural gas pipeline projects. For open regulatory matters, unless otherwise noted, the Subsidiary Registrants cannot predict the outcome or ultimate resolution of their respective matters.

FINANCIAL STATEMENTS			REGULATORY MATTERS

Winter Storm Fern

In late January 2026, severe weather associated with Winter Storm Fern moved across the eastern U.S. and impacted all of Duke Energy's service territories, with damage primarily occurring in the Duke Energy Carolinas and Duke Energy Progress territories in North Carolina and South Carolina. Approximately 200,000 customers were impacted across Duke Energy's system. Total storm restoration costs, including capital expenditures, for Duke Energy are estimated to be $287 million, which includes $181 million for Duke Energy Carolinas and $106 million for Duke Energy Progress. Incremental storm restoration costs related to operation and maintenance activities in excess of amounts in base rates were charged to storm reserves or deferred as regulatory assets, where applicable, and will be reviewed for recovery in future regulatory proceedings. As of March 31, 2026, the operations and maintenance expense amounts deferred in Regulatory assets within Other Noncurrent Assets on the Condensed Consolidated Balance Sheets were $140 million and $74 million for Duke Energy Carolinas and Duke Energy Progress, respectively. These estimates could change as additional information is received on actual costs incurred for preparation and restoration activities.

On April 14, 2026, Duke Energy Carolinas and Duke Energy Progress filed interim requests with the NCUC related to fuel and purchased power costs incurred during this period of severe winter weather and record customer energy demand. The interim filings request recovery of underrecovered fuel and purchased power costs, including solar purchases, of $500 million for Duke Energy Carolinas and $309 million for Duke Energy Progress, over a period of 19 months. These pass-through costs represent actual expenses, without markup, necessary to supply power, as allowed under the North Carolina Power Bill Reduction Act (SB266). SB266 implemented actions designed to reduce electricity costs for customers including enhanced cost recovery mechanisms and more timely recovery of fuel costs, among other actions. A decision from the NCUC regarding the proposed 19 month recovery period is anticipated in May 2026, and, if approved, new fuel rider rates are proposed to be effective June 1, 2026.

Duke Energy Carolinas and Duke Energy Progress

Applications to Combine Utilities

On August 14, 2025, Duke Energy Carolinas and Duke Energy Progress (together, the Companies) filed a joint application with the NCUC and PSCSC for approval to combine utilities, by which Duke Energy Progress will merge into Duke Energy Carolinas, resulting in a single electric utility serving the Companies' North Carolina and South Carolina service territories. Duke Energy Corporation, together with the Companies, also filed an application with the FERC on the same day. The single utility’s ability to plan, execute, and operate resources more efficiently is expected to result in substantial cost savings, benefiting customers by reducing the overall costs to serve. The targeted effective date is January 1, 2027. On January 30, 2026, FERC issued an order authorizing the combination as consistent with the public interest.

The North Carolina Public Staff and intervenors in the NCUC proceeding filed testimony advocating, in part, that the NCUC impose certain conditions for the combination to go forward, including conditions related to treatment of costs to achieve and future rate consolidation. In the South Carolina proceeding, the South Carolina Office of Regulatory Staff and intervenors filed testimony recommending that the PSCSC condition approval of the combination on additional requirements, including addressing the identification, allocation and recovery of cost impacts and costs to achieve, as well as the treatment of benefits.

On February 24, 2026, the Companies reached a comprehensive settlement with the North Carolina Public Staff and certain other intervenors (stipulating parties) in the case, which was filed with NCUC. Subject to approval by the NCUC, the agreement resolves all issues among the North Carolina stipulating parties regarding the combination of Duke Energy Carolinas and Duke Energy Progress. Among other terms, the agreement requires the Companies to guarantee that savings from the combination over a 14-year period will be sufficient to offset the identified impacts to North Carolina retail customers to achieve the combination. The guaranteed savings are calculated based on a combination of capital-related savings associated with Duke Energy Carolinas and Duke Energy Progress' most recent resource planning assumptions, as well as operational savings enabled by the combination expected to accrue following the effective date of the combination. The agreement also permits deferral of costs to achieve, with recovery subject to prudency review, and provides that North Carolina retail customers will make annual Share the Benefits contributions to South Carolina retail customers for a six-year period beginning in 2030. On May 1, 2026, the NCUC issued an order approving the combination consistent with the comprehensive settlement.

On March 6, 2026, the Companies reached a comprehensive settlement with the South Carolina Office of Regulatory Staff and certain other intervenors in the case, which was filed with PSCSC. Subject to approval by the PSCSC, the agreement, which has the same core components as the comprehensive settlement reached in North Carolina, resolves all issues among the South Carolina stipulating parties, regarding the combination of Duke Energy Carolinas and Duke Energy Progress. Among other terms, the agreement requires the Companies to guarantee that savings from the combination over a 14-year period will be sufficient to offset the identified impacts to South Carolina retail customers, including through the receipt of Share the Benefits contributions from North Carolina retail and wholesale customers. On April 30, 2026, the PSCSC approved the combination consistent with the terms of the comprehensive settlement. A final written order from the PSCSC is expected by May 21, 2026.

Duke Energy Carolinas

2023 North Carolina Rate Case

In January 2023, Duke Energy Carolinas filed a performance-based regulation (PBR) application with the NCUC to request an increase in base rate retail revenues. The PBR application included an MYRP to recover projected capital investments during the three-year MYRP period. In addition to the MYRP, the PBR application included an Earnings Sharing Mechanism, Residential Decoupling Mechanism and Performance Incentive Mechanisms (PIMs) as required by HB951.

FINANCIAL STATEMENTS			REGULATORY MATTERS

In August 2023, Duke Energy Carolinas filed with the NCUC a partial settlement with the North Carolina Public Staff in connection with its PBR application. The partial settlement included, among other things, agreement on a substantial portion of the North Carolina retail rate base for the historic base case of approximately $19.5 billion and all of the capital projects and related costs to be included in the three-year MYRP, including $4.6 billion (North Carolina retail allocation) projected to go in service over the MYRP period. Additionally, the partial settlement included agreement, with certain adjustments, on depreciation rates, the recovery of grid improvement plan costs and PIMs, Tracking Metrics and the Residential Decoupling Mechanism under the PBR application. On August 28, 2023, Duke Energy Carolinas filed with the NCUC a second partial settlement with the North Carolina Public Staff resolving additional issues, including the future treatment of nuclear PTCs related to the IRA, through a stand-alone rider that would provide the benefits to customers. This stand-alone rider was effective in rates beginning January 1, 2025.

On December 15, 2023, the NCUC issued an order approving Duke Energy Carolinas' PBR application, as modified by the partial settlements and the order, including an overall retail revenue increase of $436 million in Year 1, $174 million in Year 2 and $158 million in Year 3, for a combined total of $768 million. The order established an ROE of 10.1% based upon an equity ratio of 53% and approved, with certain adjustments, depreciation rates and the recovery of grid improvement plan costs and certain deferred COVID-related costs. Additionally, the Residential Decoupling Mechanism and PIMs were approved as requested under the PBR application and revised by the partial settlements. Duke Energy Carolinas implemented interim rates on September 1, 2023. New revised Year 1 rates and the residential decoupling were implemented on January 15, 2024.

In February 2024, a number of parties filed Notices of Appeal of the December 15, 2023, NCUC order. Notices of Appeal were filed by the Carolina Industrial Group for Fair Utility Rates (CIGFUR) III, a collection of electric membership cooperatives (collectively, the EMCs), and the North Carolina Attorney General’s Office (the AGO). CIGFUR III and the EMCs appealed the interclass subsidy reduction percentage and the Transmission Cost Allocation stipulation. In addition, CIGFUR III appealed the NCUC’s elimination of the equal percentage fuel cost allocation methodology. The AGO appealed several issues, including the authorized ROE and certain rate design and accounting matters. On March 1, 2024, Carolina Utility Customers Association, Inc. appealed several issues, including the authorized ROE and certain rate design and accounting matters. In July 2024, the Supreme Court of North Carolina consolidated these appeals with the parallel appeals of the NCUC's order regarding the Duke Energy Progress PBR application. Briefing is complete and oral arguments occurred in February 2025. Duke Energy Carolinas anticipates a decision to be issued in the second quarter of 2026.

2025 North Carolina Rate Case

On November 20, 2025, Duke Energy Carolinas filed a PBR application with the NCUC to request an increase in base rate retail revenues. The PBR application included an MYRP to recover projected capital investments during a two-year MYRP period. In addition to the MYRP, the PBR application included an Earnings Sharing Mechanism, Residential Decoupling Mechanism and PIMs. If approved, the overall net retail revenue increase as originally filed would be $727 million in Year 1 and $275 million in Year 2, for a combined total of $1 billion or 15.0%. The application also requested an ROE of 10.95% with an equity ratio of 53%. In a second supplemental filing made on April 22, 2026, the overall requested net retail revenue increase was reduced to $695 million in Year 1 and $257 million in Year 2, for a combined total of $952 million. The rate increase is driven primarily by major transmission and distribution investments since the last rate case and projected in the MYRP, as well as investments in energy storage and solar assets. Duke Energy Carolinas has requested the total Year 1 rates to be effective no later than January 1, 2027. The evidentiary hearing is scheduled to commence on July 7, 2026.

2025 South Carolina Rate Case

On July 1, 2025, Duke Energy Carolinas filed a base rate case with the PSCSC requesting an increase in electric base rates. The request for the rate increase was driven by significant capital investments, including generation plant additions, as well as transmission, distribution and grid improvements. On November 11, 2025, Duke Energy Carolinas filed a comprehensive settlement with the South Carolina Office of Regulatory Staff and other intervenors in the case resolving all revenue requirement issues in the base rate proceeding. The settlement included an annual net increase in electric rates of approximately $19 million, including the flow back of PTC benefits to customers, an ROE of 9.99% and an equity ratio of 53%. On December 31, 2025, the PSCSC issued an order approving the settlement agreement without modification. Revised customer rates went into effect on March 1, 2026. This matter is now fully resolved.

Bad Creek License Extension

On July 14, 2025, Duke Energy Carolinas filed its final license application with the FERC for the Bad Creek Pumped Storage Hydroelectric Station. The application, if approved, would extend plant operations for an additional 50 years. The current license expires in July 2027 and the renewal would extend the operating license of the facility to 2077. A FERC ruling is expected in 2027.

Anderson County Combined Cycle CECPCN

On October 30, 2025, Duke Energy Carolinas filed with the PSCSC an application for a CECPCN to construct and operate a new 1,365-MW natural gas CC generating facility with hydrogen capability in Anderson County, South Carolina. The preliminary estimate of the total project cost was approximately $3.2 billion, inclusive of financing costs. Subject to negotiation of final contractual terms, which began in April 2026, the new CC will be co-owned with North Carolina Electric Membership Corporation (NCEMC) and Central Electric Power Cooperative (CEPC), with Duke Energy Carolinas owning approximately 1,170 MW, NCEMC owning 100 MW and CEPC owning the remaining 95 MW. On April 24, 2026, the PSCSC issued a final order granting the CECPCN authorizing construction. Construction is anticipated to begin in 2027 and the facility is expected to be in service by the end of 2030. In addition, Duke Energy Carolinas submitted its application for an air permit on March 11, 2026, to the South Carolina Department of Environmental Services.

On March 18, 2026, Duke Energy Carolinas filed an out-of-state application for the Anderson facilities with the NCUC requesting the NCUC to determine the need for and approve an estimate of construction costs and construction schedule for the facilities intended to serve North Carolina retail customers. The NCUC is expected to make a decision on the application in the fourth quarter of 2026.

FINANCIAL STATEMENTS			REGULATORY MATTERS

Buck Combustion Turbines CPCN

On November 21, 2025, Duke Energy Carolinas filed with the NCUC an application to construct and operate two hydrogen-capable advanced-class simple-cycle CTs at the site of the existing Buck CC Station. The two new CTs, totaling approximately 850 MW, will provide incremental peaking generation to serve Duke Energy Carolinas' customers growing energy needs. Pending regulatory approvals, construction of the CTs is planned to start in 2027 with the units targeted to be placed in service by the end of 2029. As part of the application, Duke Energy Carolinas noted that the recovery of Construction Work in Progress (CWIP) during the construction period for the proposed facility will not be included in rate base and will instead accrue AFUDC. The 2030 North Carolina retail revenue requirement for the proposed facility is estimated to be $154 million, representing an approximate average North Carolina retail rate increase of 2.3% across all classes. On February 27, 2026, Duke Energy Carolinas filed an air permit application with the NCDEQ for the CTs. An evidentiary hearing related to the CPCN is scheduled to begin on September 9, 2026. A decision on the CPCN application is anticipated by the fourth quarter of 2026.

Marshall Combustion Turbines CPCN

In March 2024, Duke Energy Carolinas filed with the NCUC an application to construct and operate two hydrogen-capable advanced-class simple-cycle CTs at the site of the existing Marshall Steam Station. The two new CTs, totaling approximately 850 MW, will enable the retirement of Marshall coal units 1 and 2 and provide incremental capacity to support system capacity needs and expanded flexibility to support integration of renewables. Pending regulatory approvals, the CTs are targeted to be placed in service by the end of 2028. In December 2024, the NCUC issued its order granting the CPCN authorizing construction and the NCDEQ issued final air permits for the two CTs.

Certain preliminary construction activities are ongoing and on December 1, 2025, Duke Energy Carolinas filed an application requesting the NCUC's ongoing review of the construction of the two CTs that are planned to operate at the Marshall Steam Station. The application requests that the NCUC find that Duke Energy Carolinas’ construction costs incurred for the CTs during the prior 12-month reporting period are prudent and reasonable. These activities include actions related to site preparation and the ordering of certain long-lead-time equipment. The application also requests that the NCUC modify the existing CPCN for the CTs to reflect a revision to the cost estimate for the units. A decision on the application is anticipated by the third quarter of 2026.

On January 30, 2026, Duke Energy Carolinas filed an application for an out-of-state certificate with the PSCSC requesting that it find that the North Carolina-sited facility comprised of two new advanced class CTs at the existing Marshall Steam Station is in the public convenience and necessity for South Carolina retail customers. The PSCSC is expected to make a decision on the application by the end of July 2026.

Duke Energy Progress

2022 North Carolina Rate Case

In October 2022, Duke Energy Progress filed a PBR application with the NCUC to request an increase in base rate retail revenues. The rate request before the NCUC included an MYRP to recover projected capital investments during the three-year MYRP period. In addition to the MYRP, the PBR application included an Earnings Sharing Mechanism, Residential Decoupling Mechanism and PIMs as required by HB951.

In April 2023, Duke Energy Progress filed with the NCUC a partial settlement with North Carolina Public Staff, which included agreement on many aspects of Duke Energy Progress' three-year MYRP proposal. In May 2023, CIGFUR II joined this partial settlement and the North Carolina Public Staff and CIGFUR II filed a separate settlement reaching agreement on PIMs, Tracking Metrics and the Residential Decoupling Mechanism under the PBR application.

On August 18, 2023, the NCUC issued an order approving Duke Energy Progress' PBR application, as modified by the partial settlements and the order, including an overall retail revenue increase of $233 million in Year 1, $126 million in Year 2 and $135 million in Year 3, for a combined total of $494 million. Key aspects of the order include the approval of North Carolina retail rate base for the historic base case of approximately $12.2 billion and capital projects and related costs to be included in the three-year MYRP, including $3.5 billion (North Carolina retail allocation) projected to go in service over the MYRP period. The order established an ROE of 9.8% based upon an equity ratio of 53% and approved, with certain adjustments, depreciation rates and the recovery of grid improvement plan costs and certain deferred COVID-related costs. Additionally, the Residential Decoupling Mechanism and PIMs were approved as requested under the PBR application and revised by the partial settlements. Duke Energy Progress implemented interim rates on June 1, 2023, and implemented revised Year 1 rates and the residential decoupling on October 1, 2023.

In October 2023, CIGFUR II and Haywood Electric Membership Corporation each filed a Notice of Appeal of the August 18, 2023 NCUC order. Both parties appealed certain matters that do not impact the overall revenue requirement in the rate case. Specifically, they appealed the interclass subsidy reduction percentage, and CIGFUR II also appealed the Customer Assistance Program and the equal percentage fuel cost allocation methodology. In November 2023, the AGO filed a Notice of Cross Appeal of the NCUC's determination regarding the exclusion of electric vehicle revenue from the residential decoupling mechanism. In November 2023, Duke Energy Progress, the North Carolina Public Staff, CIGFUR II, and a number of other parties reached a settlement pursuant to which CIGFUR II agreed not to pursue its appeal of the Customer Assistance Program. In July 2024, the Supreme Court of North Carolina consolidated these appeals with the parallel appeals of the NCUC's order regarding the Duke Energy Carolinas PBR application. Briefing is complete and oral arguments occurred in February 2025. Duke Energy Progress anticipates a decision to be issued in the second quarter of 2026.

2025 North Carolina Rate Case

On November 20, 2025, Duke Energy Progress filed a PBR application with the NCUC to request an increase in base rate retail revenues. The PBR application included an MYRP to recover projected capital investments during a two-year MYRP period. In addition to the MYRP, the PBR application included an Earnings Sharing Mechanism, Residential Decoupling Mechanism and PIMs. If approved, the overall net retail revenue increase as originally filed would be $529 million in Year 1 and $200 million in Year 2, for a combined total of $729 million or 15.1%, which includes the flow back of PTC benefits to customers through a proposed PTC rider similar to Duke Energy Carolinas. The application also requested an ROE of 10.95% with an equity ratio of 53%. A second supplemental filing will be made on May 6, 2026 to update the request based on March 31, 2026 actual balances. The rate increase is driven primarily by major transmission and distribution investments since the last rate case and projected in the MYRP, as well as investments in energy storage and solar assets. Duke Energy Progress has requested the total Year 1 rates to be effective no later than January 1, 2027. The evidentiary hearing is scheduled to commence on August 11, 2026.

FINANCIAL STATEMENTS			REGULATORY MATTERS

South Carolina Electric Rate Stabilization Adjustment Filing

On March 13, 2026, Duke Energy Progress filed a request with the PSCSC to adjust electric rates under the new electric Rate Stabilization Adjustment (eRSA) framework, aimed at supporting investments and improving reliability. This filing represents the first electric utility proceeding under the eRSA in South Carolina. Established by South Carolina’s 2025 Energy Security Act, the eRSA allows utilities to seek annual rate adjustments using standardized historical data, with continued oversight based on prior base rate case outcomes. Duke Energy Progress' request stems from investments made in 2025 for grid and reliability improvements not covered in its base rate case, with the law permitting adjustments when calendar-year earned returns deviate by more than 0.50% from authorized returns. If approved, this $37 million increase in annual revenues would result in an overall 5.5% rate increase allocated across customer classes and is expected to bring Duke Energy Progress' ROE to 9.99% as allowed in the 2025 South Carolina Rate Case. A decision from the PSCSC is anticipated by July 15, 2026, and if approved, new rates would be effective in August 2026. To remain eligible for eRSA treatment, monitoring reports will be due quarterly in March and a new base rate case must be filed at least every five years.

Person County Combined Cycle CPCNs

On February 7, 2025, Duke Energy Progress filed with the NCUC its application to construct and operate a second 1,360-MW hydrogen-capable, advanced-class CC unit in Person County at the Roxboro Plant. NCEMC has the right to co-own the facilities under its existing supply agreement with Duke Energy Progress. Duke Energy Progress and NCEMC executed the contractual agreements for both units in April 2026, which allows NCEMC to own approximately 225 MW of each unit, for a total of approximately 450 MW. Pending regulatory approvals, the unit is targeted to be placed in service by the end of 2029. As part of the application, Duke Energy Progress noted that the recovery of CWIP during the construction period for the proposed facility may be pursued in the future. The 2030 North Carolina retail revenue requirement for the second unit is estimated to be $113 million, representing an approximate average retail rate increase of 2.6% across all classes. The air permit was issued by the NCDEQ in December 2024. On October 16, 2025, the NCUC issued its order granting the CPCN. Certain preliminary construction activities are ongoing at both Person County CC units.

On January 30, 2026, Duke Energy Progress filed an application for out-of-state certificates with the PSCSC requesting that it find that the two new CC units, totaling approximately 2,720 MW, sited at the Person County facilities in North Carolina are in the public convenience and necessity for South Carolina retail customers. The PSCSC is expected to make a decision on the application by the end of July 2026.

Robinson Subsequent License Renewal

In April 2025, Duke Energy Progress filed an SLR application with the NRC to renew the Robinson facility operating license for an additional 20 years. The current license would have expired in 2030. In March 2026, the NRC approved a final environmental impact statement. On April 23, 2026, the NRC issued the subsequent renewed license for Robinson to continue operations until 2050. This matter is fully resolved.

Duke Energy Florida

Hurricanes Debby, Helene and Milton

In 2024, Hurricane Debby (Category 1 storm), Hurricane Helene (Category 4 storm) and Hurricane Milton (Category 3 storm) made landfall in Florida and caused significant damage. Duke Energy Florida has certain existing storm reserve regulatory liability amounts, which are applied to the recovery of storm costs. The storm reserve amount was approximately $63 million as of July 31, 2024, prior to the damage resulting from hurricanes Debby, Helene and Milton. Duke Energy Florida is permitted to petition the FPSC for recovery of incremental operation and maintenance costs resulting from the storms and to replenish the retail customer storm reserve to approximately $132 million.

In December 2024, Duke Energy Florida filed its petition to recover the estimated costs incurred to respond to all three storms, including replenishment of the storm reserve, seeking recovery of approximately $1.1 billion over 12 months beginning with the first billing cycle in March 2025. On February 4, 2025, the FPSC voted to approve Duke Energy Florida's request for recovery of these estimated storm costs as filed, subject to true-up after the actual costs are filed. New rates were effective March 1, 2025. Approximately $75 million of capital related to these storms will be sought for recovery in future base rate case filings.

On January 5, 2026, Duke Energy Florida filed a notice with the FPSC to stop recovery of the storm cost charge because the costs were fully recovered and the storm reserve was fully replenished earlier than anticipated, primarily due to lower actual incurred storm costs as compared to preliminary estimates. The notice was administratively approved and revised rates with the storm charge removed were effective with the first billing cycle in February 2026. Duke Energy Florida filed documentation evidencing its total Debby, Helene and Milton actual storm costs of $903 million on February 27, 2026. In March 2026, Duke Energy Florida filed a petition to refund approximately $91 million of storm costs that were over-collected. The petition was approved by the FPSC on May 5, 2026.

Duke Energy Ohio

Duke Energy Ohio 2022 Natural Gas Base Rate Case

In June 2022, Duke Energy Ohio filed a natural gas base rate case application with the PUCO. The drivers for this case were capital invested since Duke Energy Ohio's last natural gas base rate case in 2012. Duke Energy Ohio also sought to adjust the caps on its CEP rider. In April 2023, Duke Energy Ohio filed a stipulation with all parties to the case except the Ohio Consumers' Counsel (OCC). In the stipulation, the parties agreed to approximately $32 million in revenue increases with an equity ratio of 52.32% and an ROE of 9.6%, and adjustments to the CEP Rider caps. The stipulation was opposed by the OCC at an evidentiary hearing that concluded in May 2023. On November 1, 2023, PUCO issued an order approving the stipulation as filed and new rates went into effect November 1, 2023. In December 2023, the OCC filed an application for rehearing and the PUCO granted OCC's application for rehearing for further consideration of issues raised. As a result of a Supreme Court of Ohio decision regarding procedural issues related to applications for rehearing, PUCO denied OCC’s rehearing request. In October 2024, the OCC filed its Notice of Appeal with the Supreme Court of Ohio. The case is fully briefed and oral argument occurred October 7, 2025. The matter is now submitted for decision.

FINANCIAL STATEMENTS			REGULATORY MATTERS

Duke Energy Ohio 2026 Electric Rate Case

On March 30, 2026, Duke Energy Ohio filed an electric distribution base rate case with the PUCO, requesting an annualized increase in electric distribution base rates of approximately $90 million. Duke Energy Ohio requested an ROE of 10.5% with an equity ratio of 52.66%. The rate increase is driven by significant infrastructure upgrade investments since the last general rate case. Evidentiary hearings are anticipated in the fourth quarter of 2026 with a final decision expected in May 2027. New rates will become effective after a decision is issued.

Duke Energy Ohio RTO Adder

On February 24, 2022, the OCC filed a complaint asserting that FERC should reduce the ROE utilized in transmission formulas for Duke Energy Ohio and certain transmission providers by eliminating the 50 basis point adder associated with RTO membership. The OCC contends this is required because Ohio law mandates that transmission owning utilities join an RTO and that the 50 basis point adder is only applicable where RTO membership is voluntary. On December 15, 2022, FERC denied the complaint as it related to Duke Energy Ohio, but granted it for certain other transmission providers. As a result of appeal by certain other transmission providers, the U.S. Court of Appeals for the Sixth Circuit (Sixth Circuit) on January 17, 2025, reversed the prior decision from FERC. In the decision, the Sixth Circuit ruled the 50 basis point adder is available only where RTO membership is voluntary. The decision noted that Ohio law requires Ohio's transmission utilities to be a member of an RTO and therefore it is unlawful for FERC to remove the adder from certain transmission providers but not also remove the adder from Duke Energy Ohio. As a result, the issue was remanded back to FERC to revise their prior decision. As a result of the ruling, Duke Energy Ohio recognized a pretax charge during 2025, the results of which were not material. On March 26, 2025, the Sixth Circuit denied requests for rehearing. On April 16, 2025, the Sixth Circuit agreed to stay the mandate pending further appeal to the U.S. Supreme Court. On July 17, 2025, Duke Energy Ohio filed a respondent brief at the U.S. Supreme Court requesting review of the Sixth Circuit's decision. On November 10, 2025, the U.S. Supreme Court denied the appeal, and on November 13, 2025, the Sixth Circuit remanded the case back to the FERC. The FERC is not subject to a statutory deadline to act on remand and has yet to issue an order in the proceeding.

Transmission Cost Allocation Proceedings

Duke Energy Ohio is a member of PJM Interconnection, LLC, the Independent System Operator (ISO) and FERC-approved RTO for the region in which Duke Energy Ohio operates. Duke Energy Ohio and other transmission owners in PJM have turned over control of their transmission facilities and their transmission systems are currently under the RTO dispatch control of PJM. Transmission service is provided on a regionwide, open-access basis using the transmission facilities of the PJM members at rates based on the costs of transmission service.

RTOs like PJM engage in long-term regional planning to ensure the transparent evaluation of transmission facilities and to assist in determining how such projects should be designed and built to meet broader regional needs. Costs are typically recovered from customers who benefit from the upgrades or, for certain larger projects, costs may be shared across the PJM region. Shared costs are determined according to a formula approved by FERC, and the formula relies on a Solution-Based Distribution Factor (DFAX) methodology. PJM has historically used a de minimis threshold in its DFAX methodology that exempts zones from paying a portion of transmission costs if the zone's calculated use of the transmission facility is below 1%. Duke Energy Ohio has historically been below the de minimis threshold for certain transmission projects and, as such, was not allocated respective costs for those projects.

From time to time, various parties have challenged cost allocations for specific RTO-area transmission projects, including PJM, at the FERC and other appellate courts. On March 6, 2026, FERC issued a ruling related to these cost challenges that is expected to impact the historical transmission cost allocations of PJM. Specifically, the FERC found that the de minimis threshold used in the DFAX cost allocation methodology is unjust, unreasonable and inconsistent with cost causation. Among other considerations, FERC noted that larger RTO zones typically have higher peak loads and the same DFAX usage value could place a smaller zone above the 1% de minimis threshold – which is based on peak load –resulting in a cost allocation to the smaller zone, while a larger zone with comparable usage would not receive a cost allocation. In conjunction with this ruling, PJM was ordered to file tariff revisions within 90 days, which update the DFAX cost allocation percentages in the tariff based on the elimination of the 1% de minimis threshold. PJM has asked FERC for an extension of this deadline. Based on those updated cost allocation percentages, PJM will then need to recalculate costs and issue refunds/surcharges (with interest) going back to June 18, 2015. On April 6, 2026, Duke Energy Ohio, jointly with several other PJM transmission owners, filed for rehearing of the March 6, 2026 order. On April 29, 2026, FERC issued a notice granting PJM’s request for an extension of the 90-day compliance requirement contained in the March 6, 2026 ruling related to retrospective tariff revisions to June 18, 2015. The extension was granted until further notice of FERC. PJM will still be required to comply with the time frame in the March 6, 2026 ruling for prospective tariff revisions.

Duke Energy Ohio is evaluating the potential impacts of this ruling, including any potential amounts owed to PJM, and required financial statement adjustments and is unable to reasonably estimate the ultimate financial statement impact.

Duke Energy Kentucky 2022 Electric Base Rate Case

In December 2022, Duke Energy Kentucky filed a base rate case with the KPSC driven by capital investments to strengthen the electricity generation and delivery systems along with adjusted depreciation rates for the East Bend and Woodsdale Combustion Turbine (CT) generation stations. Duke Energy Kentucky also requested approval for new programs and tariff updates, including a voluntary community-based renewable subscription program and two electric vehicle charging programs. The KPSC issued an order on October 12, 2023, including a $48 million increase in base revenues, an ROE of 9.75% for electric base rates and 9.65% for electric riders and an equity ratio of 52.145%. New rates went into effect October 13, 2023. Duke Energy Kentucky's request to adjust the depreciation rates of East Bend was denied and the KPSC ordered depreciation rates with a 2041 retirement date for the unit. The KPSC approved the request to align depreciation rates of Woodsdale CT with a 2040 retirement date and denied the voluntary community-based renewable subscription program and electric vehicle charging programs.

Revised rates were implemented in August 2024 after a rehearing request. On December 14, 2023, Duke Energy Kentucky filed an appeal with the Franklin County Circuit Court on certain matters for which the KPSC denied rehearing, specifically as it relates to the inclusion of decommissioning costs in depreciation rates for East Bend and Woodsdale. The case is fully briefed and Duke Energy Kentucky is awaiting the scheduling of oral arguments and the outcome of the appeal.

FINANCIAL STATEMENTS			REGULATORY MATTERS

Duke Energy Indiana

Indiana Coal Ash Recovery

In Duke Energy Indiana’s 2019 rate case, the IURC opened a subdocket for post-2018 coal ash related expenditures. In April 2020, Duke Energy Indiana filed testimony in the coal ash subdocket requesting recovery for post-2018 coal ash basin closure costs associated with closure plans that were approved by the Indiana Department of Environmental Management (IDEM) at that time as well as continued deferral approval and carrying costs on the balance of such coal ash basin closure costs. On November 3, 2021, the IURC issued an order allowing recovery of the post-2018 coal ash basin closure costs, as well as continuing deferral, with carrying costs on the balance. The OUCC and the Duke Industrial Group appealed. The Indiana Court of Appeals issued its opinion on February 21, 2023, reversing the IURC's order to the extent that it allowed Duke Energy Indiana to recover federally mandated costs incurred prior to the IURC's November 3, 2021 order. In addition, the court found that any costs incurred pre-petition to determine federally mandated compliance options were not specifically authorized by the statute and should also be disallowed.

In 2023, Duke Energy Indiana filed its proposal to remove from rates certain costs incurred prior to the IURC's November 3, 2021 order date. On September 20, 2023, the IURC approved Duke Energy Indiana's proposal to remove the costs from its rates and assessed simple interest on the refunds at a rate of 4.71%, beginning from when the costs were initially recovered from customers. In the 2024 Indiana Rate Case, Duke Energy Indiana included a request to recover the pre-order costs denied by the Indiana Court of Appeals and certain future coal ash closure costs as part of depreciation costs. The IURC's January 29, 2025 order in the 2024 Indiana Rate Case denied recovery of the pre-order costs previously denied by the Indiana Court of Appeals but approved the recovery of certain future coal ash closure costs as part of depreciation costs.

In 2023, Duke Energy Indiana filed a petition under the amended version of the federal mandate statute for additional post-2018 coal ash closure costs for the remaining basins not included in the Indiana coal ash recovery case from 2020. On May 8, 2024, the IURC issued a CPCN and approved these coal ash related compliance projects as federally mandated compliance projects. In June 2024, the Citizens Action Coalition of Indiana (CAC) filed a notice of appeal of the IURC's order. On August 26, 2025, the Indiana Court of Appeals reversed the decision by the IURC concluding that the IURC incorrectly allowed Duke Energy Indiana to collect certain of those coal ash costs from customers. In October 2025, Duke Energy Indiana and the Indiana Office of Attorney General filed separate petitions requesting the Indiana Supreme Court to review the case. On January 26, 2026, the Indiana Supreme Court denied Duke Energy Indiana's and the Indiana Office of Attorney General's petitions. There were no material impacts on the results of operations, cash flows or financial position as a result of this ruling. On March 30, 2026, Duke Energy Indiana filed its Petition and Case-in-Chief for ECR 45, implementing changes directed by the Indiana Court of Appeals decision. Duke Energy Indiana anticipates the IURC will issue an ECR 45 order in the coming months.

2024 Indiana Rate Case

In April 2024, Duke Energy Indiana filed an application with the IURC for a rate increase for retail customers. The request for rate increase was driven by $1.6 billion in investments made since the last general rate case filed in 2019 in order to reliably serve customers, improve resiliency of the system, and advance energy solutions.

In connection with this rate case, a $29 million increase in a regulatory liability associated with certain employee post-retirement benefits was recorded in December 2024. An order for the rate case was issued by the IURC on January 29, 2025, and revised February 3, 2025, which authorized an ROE of 9.75%, an equity ratio of 53% and an annual revenue increase of $296 million. Based on review of these orders, Duke Energy Indiana identified an inconsistency in the calculation of operating revenues before the effect of trackers. On February 7, 2025, Duke Energy Indiana made a compliance filing in accordance with the IURC's findings in its order and addressed the identified inconsistencies. The compliance filing also clarified the annual revenue increase was approximately $385 million. On February 18, 2025, one industrial customer submitted a filing requesting the IURC to clarify its revenue allocation in these proceedings, which was denied by the commission on April 16, 2025. On February 25, 2025, the IURC approved Duke Energy Indiana’s compliance filing and new rates were implemented February 27, 2025. The industrial customer filed a notice of appeal on February 28, 2025, regarding cost of service allocation. On April 9, 2025, the IURC issued an order clarifying the intent of its January 29, 2025 order regarding the rate migration adjustment, resulting in revised rates that were effective on May 19, 2025. On May 14, 2025, the industrial customer filed a motion to dismiss its appeal, and on May 20, 2025, the Indiana Court of Appeals granted the industrial customer's motion to dismiss.

On February 18, 2026, Duke Energy Indiana submitted a second compliance filing in accordance with the IURC’s findings in its order, and on March 20, 2026, the Industrial Group and Indiana Office of Consumer Counselor filed an objection to the Company’s Step 2 compliance filing. The IURC is expected to rule on the objection in the coming months.

Cayuga Combined Cycle CPCN

On February 13, 2025, Duke Energy Indiana filed for a CPCN seeking approval to construct two 1x1 CC natural gas-fired units with a combined winter rating of 1,476 MW. The Cayuga CC Project is proposed to be constructed on the same site as the retiring Cayuga coal-fired steam units with a winter rating of 1,005 MW. The Cayuga CC Project will result in an incremental 471 MW for the Duke Energy Indiana system and will allow Duke Energy Indiana to avoid expected maintenance and environmental compliance costs needed for the coal units to continue operating. The estimated cost of the Cayuga CC Project is approximately $3.3 billion, plus actual AFUDC. Duke Energy Indiana proposed recovery of certain facility costs during construction, including AFUDC, through CWIP ratemaking via a proposed Generation Cost Tracker (GCT). Duke Energy Indiana expects CC 1 to be placed in service in 2029 and CC 2 to be placed in service in 2030. A final air permit was issued by IDEM on March 5, 2025.

On June 17, 2025, Duke Energy Indiana entered into a settlement agreement with one of the parties in this proceeding to conduct a study evaluating the feasibility of third-party operation of the Cayuga coal units. On July 11, 2025, Duke Energy Indiana entered into a settlement agreement with an additional party in this proceeding agreeing to the need of the units and addressing accounting and ratemaking components. Neither agreement altered the underlying plans in the pending CPCN application. On October 29, 2025, the IURC issued its order approving the settlement agreements, granting the CPCN and approving cost recovery through the proposed GCT. On November 26, 2025, CAC filed a notice of appeal of the IURC's order. Duke Energy Indiana filed a petition to transfer the case to the Indiana Supreme Court. The petition was granted in April 2026, with oral arguments scheduled for September 2026.

FINANCIAL STATEMENTS			REGULATORY MATTERS

On November 25, 2025, Duke Energy Indiana filed its first GCT tariff for approval to recover Cayuga CC CPCN-related costs. The factors were effective in the first April 2026 billing cycle and are to remain in place for approximately six months or until superseded by IURC-approved factors in a subsequent filing. The estimated average cumulative retail rate impact during construction and initial in-service periods from April 2026 through May 2031 is approximately 5.6%.

Piedmont

2026 South Carolina Rate Case

On April 1, 2026, Piedmont filed an application with the PSCSC for a rate increase for retail customers of approximately $16 million, which represents a 6.3% increase in retail revenues. Piedmont requested an ROE of 10.8% with an equity ratio of 55.09%. The rate increase is driven by significant infrastructure upgrade investments and higher cost of capital since the last general rate case. In its application, Piedmont expressed its intent to resume operating under the South Carolina Rate Stabilization Act prospectively after completion of the rate case. The evidentiary hearing is scheduled to commence on August 20, 2026, with a final decision on or before October 1, 2026. New rates are expected to become effective October 1, 2026.

5. COMMITMENTS AND CONTINGENCIES

ENVIRONMENTAL

The Duke Energy Registrants are subject to federal, state and local regulations regarding air and water quality, hazardous and solid waste disposal, coal ash and other environmental matters. These regulations can be changed from time to time, imposing new obligations on the Duke Energy Registrants. The following environmental matters impact all Duke Energy Registrants.

Remediation Activities

In addition to Asset Retirement Obligations recorded as a result of various environmental regulations, the Duke Energy Registrants are responsible for environmental remediation at various sites. These include certain properties that are part of ongoing operations and sites formerly owned or used by Duke Energy entities. These sites are in various stages of investigation, remediation and monitoring. Managed in conjunction with relevant federal, state and local agencies, remediation activities vary based on site conditions and location, remediation requirements, complexity and sharing of responsibility. If remediation activities involve joint and several liability provisions, strict liability, or cost recovery or contribution actions, the Duke Energy Registrants could potentially be held responsible for environmental impacts caused by other potentially responsible parties and may also benefit from insurance policies or contractual indemnities that cover some or all cleanup costs. Liabilities are recorded when losses become probable and are reasonably estimable. The total costs that may be incurred cannot be estimated because the extent of environmental impact, allocation among potentially responsible parties, remediation alternatives and/or regulatory decisions have not yet been determined at all sites. Additional costs associated with remediation activities are likely to be incurred in the future and could be significant. Costs are typically expensed as Operation, maintenance and other on the Condensed Consolidated Statements of Operations unless regulatory recovery of the costs is deemed probable.

The following table contains information regarding reserves for probable and estimable costs related to the various environmental sites. These reserves are recorded in Accounts Payable within Other Current Liabilities and Other within Other Noncurrent Liabilities on the Condensed Consolidated Balance Sheets.

(in millions)			March 31, 2026						December 31, 2025
Reserves for Environmental Remediation
Duke Energy			$	95					$	72
Duke Energy Carolinas			36						36
Progress Energy			31						20
Duke Energy Progress			11						10
Duke Energy Florida			20						10
Duke Energy Ohio			23						12
Duke Energy Indiana			2						2
Piedmont			2						2

Additional losses in excess of recorded reserves that could be incurred for the stages of investigation, remediation and monitoring for environmental sites that have been evaluated at this time are not material.

FINANCIAL STATEMENTS			COMMITMENTS AND CONTINGENCIES

LITIGATION

For open litigation, unless otherwise noted, Duke Energy and the Subsidiary Registrants cannot predict the outcome or ultimate resolution of their respective matters.

D****uke Energy

NTE Carolinas II, LLC Litigation

In November 2017, Duke Energy Carolinas entered into a standard FERC large generator interconnection agreement (LGIA) with NTE Carolinas II, LLC (NTE), a company that proposed to build a combined-cycle natural gas plant in Rockingham County, North Carolina. In September 2019, Duke Energy Carolinas filed a lawsuit in Mecklenburg County Superior Court against NTE for breach of contract, alleging that NTE's failure to pay benchmark payments for Duke Energy Carolinas' transmission system upgrades required under the interconnection agreement constituted a termination of the interconnection agreement. Duke Energy Carolinas sought a monetary judgment against NTE because NTE failed to make multiple milestone payments. The lawsuit was moved to federal court in North Carolina. NTE filed a motion to dismiss Duke Energy Carolinas’ complaint and brought counterclaims alleging anti-competitive conduct and violations of state and federal statutes. Duke Energy Carolinas filed a motion to dismiss NTE's counterclaims. Both NTE's and Duke Energy Carolinas' motions to dismiss were subsequently denied by the court. In addition to Duke Energy Carolinas, NTE subsequently amended the complaint to include Duke Energy Progress and Duke Energy Corporation as defendants in the antitrust claims (collectively, the Defendants).

On May 21, 2020, in response to a NTE petition challenging Duke Energy Carolinas' termination of the LGIA, FERC issued a ruling that 1) it has exclusive jurisdiction to determine whether a transmission provider may terminate an LGIA; 2) FERC approval is required to terminate a conforming LGIA if objected to by the interconnection customer; and 3) Duke Energy may not announce the termination of a conforming LGIA unless FERC has approved the termination. FERC's Office of Enforcement also initiated an investigation of Duke Energy Carolinas into matters pertaining to the LGIA. In April 2023, Duke Energy Carolinas received notice from the FERC Office of Enforcement that they have closed their non-public investigation with no further action recommended.

Following completion of discovery, the Defendants filed a motion for summary judgment seeking a ruling in their favor as to some of its affirmative claims against NTE and to all of NTE’s counterclaims. On June 24, 2022, the court issued an order partially granting the Defendants' motion by dismissing NTE's counterclaims that Duke Energy Carolinas and Duke Energy Progress engaged in anti-competitive behavior in violation of state and federal statutes. In October 2022, the parties executed a settlement agreement with respect to the remaining breach of contract claims in the litigation and a Stipulation of Dismissal was filed with the court.

In November 2022, NTE filed its Notice of Appeal to the U.S. Court of Appeals for the Fourth Circuit as to the district court's summary judgment ruling on NTE's antitrust and unfair competition claims. On August 5, 2024, the U.S. Court of Appeals for the Fourth Circuit reversed the district court's grant of summary judgment and remanded the case back to the district court for further proceedings. In August 2024, the Defendants filed a petition for rehearing, which was denied on November 26, 2024. On February 21, 2025, the Defendants filed a petition seeking review by the U.S. Supreme Court. On January 12, 2026, the U.S. Supreme Court denied the petition seeking review. In March 2026, the parties executed a settlement agreement resolving the entire case and a Stipulation of Dismissal was filed with the court. The amount of the settlement was not material in 2026.

Mooresville Coal Ash Class Action Litigation

On December 20, 2024, 15 plaintiffs filed a lawsuit in Iredell County, North Carolina, against Duke Energy (Parent), Duke Energy Carolinas and Duke Energy Progress (collectively “Duke Energy”) on behalf of a putative class alleging past and ongoing environmental contamination in the Mooresville area of North Carolina. The lawsuit alleges that Duke Energy disposed of and sold coal ash as structural fill resulting in the contamination of soil, groundwater and Lake Norman. The plaintiffs claim that Duke Energy failed to properly remediate the contamination and continues to pollute, and they assert that the contamination has negatively impacted property values. The plaintiffs are seeking unspecified compensatory and punitive damages, injunctive relief to stop further contamination, remediation of contaminated areas and attorneys' fees and costs. On July 28, 2025, the plaintiffs filed an amended complaint, which asserts claims for negligence, negligence per se, gross negligence, private nuisance, strict liability for ultra-hazardous activities and trespass. On September 11, 2025, Duke Energy filed its answer to the plaintiff's amended complaint and a motion for judgment on the pleadings. Following a hearing on December 29, 2025, the court entered an interim order dismissing the plaintiffs' strict liability claim. On February 4, 2026, the court entered an order denying the remainder of Duke Energy's motion for judgment on the pleadings. A scheduling order has not yet been issued.

Nuclear Compensation Class Action Litigation

On July 11, 2025, plaintiffs Leo Dorrell and John Dunn filed a putative class action lawsuit in the U.S. District Court for the District of Maryland against all U.S. commercial nuclear power operators, including Duke Energy Corporation (Parent) and Progress Energy. The plaintiffs allege that the nuclear power industry engaged in a conspiracy to suppress compensation by exchanging salary information since 2003, in violation of Section 1 of the Sherman Act. The lawsuit seeks unspecified monetary damages, including treble damages, on behalf of current and former employees in the nuclear power industry as well as injunctive relief. On October 15, 2025, all defendants jointly filed an omnibus motion to dismiss all claims in the complaint and Duke Energy also joined a motion filed by several defendants to dismiss for lack of personal jurisdiction. On November 5, 2025, the plaintiffs filed an amended complaint adding Duke Energy Carolinas and Duke Energy Business Services as defendants and including more factual allegations to support their complaint. Although not named as a defendant, Duke Energy Progress is accused of having participated in the alleged conspiracy. The defendants filed their omnibus motion to dismiss on December 19, 2025. The court will hold oral argument on May 13, 2026.

Duke Energy Carolinas

Asbestos-related Injuries and Damages Claims

Duke Energy Carolinas has experienced numerous claims for indemnification and medical cost reimbursement related to asbestos exposure. These claims relate to damages for bodily injuries alleged to have arisen from exposure to or use of asbestos in connection with construction and maintenance activities conducted on its electric generation plants prior to 1985.

FINANCIAL STATEMENTS			COMMITMENTS AND CONTINGENCIES

Duke Energy Carolinas has recognized asbestos-related reserves of $386 million at March 31, 2026, and $395 million at December 31, 2025. These reserves are classified in Other within Other Noncurrent Liabilities and Other within Current Liabilities on the Condensed Consolidated Balance Sheets. These reserves are based on Duke Energy Carolinas' best estimate for current and future asbestos claims through 2045 and are recorded on an undiscounted basis. In light of the uncertainties inherent in a longer-term forecast, management does not believe they can reasonably estimate the indemnity and medical costs that might be incurred after 2045 related to such potential claims. It is possible Duke Energy Carolinas may incur asbestos liabilities in excess of the recorded reserves.

Duke Energy Carolinas has third-party insurance to cover certain losses related to asbestos-related injuries and damages above an aggregate self-insured retention. Receivables for insurance recoveries were $556 million at March 31, 2026, and $555 million at December 31, 2025. These amounts are classified in Other within Other Noncurrent Assets and Receivables within Current Assets on the Condensed Consolidated Balance Sheets. Any future payments up to the policy limit will be reimbursed by the third-party insurance carrier. Duke Energy Carolinas is not aware of any uncertainties regarding the legal sufficiency of insurance claims. Duke Energy Carolinas believes the insurance recovery asset is probable of recovery as the insurance carrier continues to have a strong financial strength rating.

The reserve for credit losses for insurance receivables for the asbestos-related injuries and damages is $9 million as of March 31, 2026, and December 31, 2025, for both Duke Energy and Duke Energy Carolinas. The insurance receivable is evaluated based on the risk of default and the historical losses, current conditions and expected conditions around collectability. Management evaluates the risk of default annually based on payment history, credit rating and changes in the risk of default from credit agencies.

Other Litigation and Legal Proceedings

The Duke Energy Registrants are involved in other legal, tax and regulatory proceedings arising in the ordinary course of business, some of which involve significant amounts. The Duke Energy Registrants believe the final disposition of these proceedings will not have a material effect on their results of operations, cash flows or financial position. Reserves are classified on the Condensed Consolidated Balance Sheets in Other within Other Noncurrent Liabilities and Other within Current Liabilities.

OTHER COMMITMENTS AND CONTINGENCIES

General

As part of their normal business, the Duke Energy Registrants are party to various financial guarantees, performance guarantees and other contractual commitments to extend guarantees of credit and other assistance to various subsidiaries, investees and other third parties. These guarantees involve elements of performance and credit risk, which are not fully recognized on the Condensed Consolidated Balance Sheets and have uncapped maximum potential payments. However, the Duke Energy Registrants do not believe these guarantees will have a material effect on their results of operations, cash flows or financial position.

In addition, the Duke Energy Registrants enter into various fixed-price, non-cancelable commitments to purchase or sell power or natural gas, take-or-pay arrangements, transportation, or throughput agreements and other contracts that may or may not be recognized on their respective Condensed Consolidated Balance Sheets. Some of these arrangements may be recognized at fair value on their respective Condensed Consolidated Balance Sheets if such contracts meet the definition of a derivative and the NPNS exception does not apply. In most cases, the Duke Energy Registrants’ purchase obligation contracts contain provisions for price adjustments, minimum purchase levels and other financial commitments.

6. DEBT AND CREDIT FACILITIES

SUMMARY OF SIGNIFICANT DEBT ISSUANCES

The following table summarizes significant debt issuances (in millions).

															Three Months Ended March 31, 2026
																					Duke																		Duke												Duke
			Maturity						Interest						Duke						Energy																		Energy												Energy
Issuance Date			Date						Rate						Energy						(Parent)																		Florida												Indiana
Unsecured Debt
March 2026(a)			March 2029						3.000		%				1,500						1,500																		—												—
First Mortgage Bonds
March 2026(b)			March 2036						4.950		%				500						—																		—												500
March 2026(c)			April 2076						3.300		%				275						—																		275												—
Total issuances															$	2,275					$	1,500																	$	275											$	500

(a)See "Duke Energy (Parent) Convertible Senior Notes" below for additional information.

(b)Proceeds were used to pay down short-term debt and for general company purposes.

(c)Floating interest rate debt. Proceeds were used to pay down short-term debt and for general company purposes.

Duke Energy (Parent) Convertible Senior Notes

On April 15, 2026, Duke Energy (Parent) settled all of its outstanding 4.125% Convertible Senior Notes due April 2026 (the “Notes due 2026”) upon conversion. In accordance with the terms of the indenture and at the Company's election, Duke Energy paid approximately $1.7 billion in cash equal to the aggregate principal amount of the Notes due 2026 and issued 1.4 million shares of its common stock to settle the conversion premium, as the conversion value exceeded the principal amount of the Notes due 2026.

FINANCIAL STATEMENTS			DEBT AND CREDIT FACILITIES

In March 2026, Duke Energy (Parent) completed the sale of $1.5 billion 3.000% Convertible Senior Notes due March 2029 (convertible notes). The convertible notes are senior unsecured obligations of Duke Energy, and will mature on March 15, 2029, unless earlier converted or repurchased in accordance with their terms. The convertible notes bear interest at a fixed rate of 3.000% per year, payable semiannually in arrears on March 15 and September 15 of each year, beginning on September 15, 2026. Proceeds were used to repay a portion of $1.7 billion of outstanding convertible senior notes due April 2026 and for general corporate purposes.

Prior to the close of business on the business day immediately preceding December 15, 2028, the convertible notes will be convertible at the option of the holders when the following conditions are met:

• during any calendar quarter commencing after the calendar quarter ending on June 30, 2026 (and only during such calendar quarter), if the last reported sale price of Duke Energy common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day;

• during the five consecutive business day period after any ten consecutive trading day period (the measurement period) in which the trading price, as defined, per $1,000 principal amount of notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of Duke Energy common stock and the conversion rate on each such trading day; or

• upon the occurrence of specified corporate events described in the indenture agreement.

On or after December 15, 2028, until the close of business on the second scheduled trading day immediately preceding the maturity date, holders of the convertible notes may convert all or any portion of their convertible notes at their option at any time at the conversion rate then in effect, irrespective of these conditions. Duke Energy will settle conversions of the convertible notes by paying cash up to the aggregate principal amount of the convertible notes to be converted and paying or delivering, as the case may be, cash, shares of Duke Energy's common stock, $0.001 par value per share, or a combination of cash and shares of its common stock, at its election, in respect of the remainder, if any, of its conversion obligation in excess of the aggregate principal amount of the convertible notes being converted.

The conversion rate for the convertible notes is initially 6.2277 shares of Duke Energy's common stock per $1,000 principal amount of convertible notes. The initial conversion price of the convertible notes represents a premium of approximately 22.5% over the last reported sale price of Duke Energy’s common stock on the NYSE on March 9, 2026. The conversion rate and the corresponding conversion price will not be adjusted for any accrued and unpaid interest but will be subject to adjustment in some instances, such as stock splits or share combinations, certain distributions to common stockholders, or tender offers at off-market rates. The changes in the conversion rates are intended to make convertible note holders whole for changes in the fair value of Duke Energy common stock resulting from such events. Duke Energy may not redeem the convertible notes prior to the maturity date.

Duke Energy issued the convertible notes pursuant to an indenture, dated as of March 12, 2026, by and between Duke Energy and The Bank of New York Mellon Trust Company, N.A., as trustee. The terms of the convertible notes include customary fundamental change provisions that require repayment of the notes with interest upon certain events, such as a stockholder approved plan of liquidation or if Duke Energy's common stock ceases to be listed on the NYSE.

CURRENT MATURITIES OF LONG-TERM DEBT

The following table shows the significant components of Current maturities of long-term debt on the Condensed Consolidated Balance Sheets. The Duke Energy Registrants currently anticipate satisfying these obligations with cash on hand and proceeds from additional borrowings.

(in millions)			Maturity Date						Interest Rate						March 31, 2026
Unsecured Debt
Duke Energy (Parent) Convertible Senior Notes			April 2026						4.125		%				1,725
Duke Energy (Parent)			September 2026						2.650		%				1,500
Duke Energy (Parent)			January 2027						4.850		%				600
Duke Energy Carolinas Term Loan Facility(a)			March 2027						4.522		%				1,000
First Mortgage Bonds
Duke Energy Carolinas			December 2026						2.950		%				600
Duke Energy Florida			January 2027						3.200		%				650
Duke Energy Progress			March 2027						4.350		%				500
Duke Energy Florida(a)(b)			October 2073						3.608		%				200
Duke Energy Florida(a)(b)			April 2074						3.608		%				173
Duke Energy Progress(c)			October 2046						3.300		%				200
Other**(d)**															247
Current maturities of long-term debt															$	7,395

(a)Floating interest rate debt.

(b)These first mortgage bonds are classified as Current maturities of long-term debt on the Condensed Consolidated Balance Sheets based on terms of the indentures, which could require repayment in less than 12 months if exercised by the bondholders.

(c)These tax-exempt bonds are secured by first mortgage bonds and are classified as Current maturities of long-term debt on the Consolidated Balance Sheets as of March 31, 2026, due to a mandatory put option expiring October 1, 2026. Duke Energy Progress anticipates remarketing the bonds and the securities are expected to be reclassified to Long-Term Debt at that time.

(d)Includes finance lease obligations, amortizing debt, tax-exempt bonds with mandatory put options and small bullet maturities.

FINANCIAL STATEMENTS			DEBT AND CREDIT FACILITIES

AVAILABLE CREDIT FACILITIES

Master Credit Facility

In March 2026, Duke Energy extended the termination date of its existing $10 billion Master Credit Facility to March 2031. The Duke Energy Registrants, excluding Progress Energy, have borrowing capacity under the Master Credit Facility up to a specified sublimit for each borrower. Duke Energy has the unilateral ability at any time to increase or decrease the borrowing sublimits of each borrower, subject to a maximum sublimit for each borrower. The amount available under the Master Credit Facility has been reduced to backstop issuances of commercial paper, certain letters of credit and variable-rate demand tax-exempt bonds that may be put to the Duke Energy Registrants at the option of the holder.

The table below includes the current borrowing sublimits and available capacity under these credit facilities.

			March 31, 2026
									Duke						Duke						Duke						Duke						Duke						Duke
			Duke						Energy						Energy						Energy						Energy						Energy						Energy
(in millions)			Energy						(Parent)						Carolinas						Progress						Florida						Ohio						Indiana						Piedmont
Facility size(a)			$	10,000					$	3,150					$	1,950					$	1,575					$	700					$	1,075					$	750					$	800
Reduction to backstop issuances
Commercial paper(b)			(1,914)						(207)						(772)						(627)						(79)						(79)						(150)						—
Outstanding letters of credit			(7)						(2)						(4)						(1)						—						—						—						—
Tax-exempt bonds			(81)						—						—						—						—						—						(81)						—
Available capacity under the Master Credit Facility			$	7,998					$	2,941					$	1,174					$	947					$	621					$	996					$	519					$	800

(a)Represents the sublimit of each borrower.

(b)Duke Energy issued $625 million of commercial paper and loaned the proceeds through the money pool to Duke Energy Carolinas, Duke Energy Progress, Duke Energy Ohio and Duke Energy Indiana. The balances are classified as Long-Term Debt Payable to Affiliated Companies on the Condensed Consolidated Balance Sheets.

Term Loan Facilities

Duke Energy (Parent)

In September 2025, Duke Energy (Parent) entered into a 364-day term loan facility with commitments totaling $2 billion. As of December 31, 2025, $2.0 billion was drawn under the term loan facility, which was classified as Current maturities of long-term debt on the Condensed Consolidated Balance Sheets. Borrowings were used to pay down short-term debt and for general corporate purposes. In March 2026, Duke Energy (Parent) repaid the term loan facility.

Duke Energy Carolinas and Duke Energy Progress

In March 2026, Duke Energy Carolinas and Duke Energy Progress entered into 364-day term loan facilities with commitments totaling $1.5 billion and $300 million, respectively. As of March 31, 2026, $1 billion in borrowings under the term loan facility for Duke Energy Carolinas was classified as Current maturities of long-term debt on the Condensed Consolidated Balance Sheets. Borrowings were used primarily to fund incurred fuel and storm costs, to pay down short-term debt and for general company purposes.

Piedmont

In August 2025, Piedmont entered into a 364-day term loan facility with commitments totaling $450 million. In September 2025, $450 million was drawn under the term loan facility, which was classified as Current maturities of long-term debt on the Condensed Consolidated Balance Sheets as of December 31, 2025. Proceeds were used to repay $150 million of maturities due September 2025, to pay down short-term debt and for general corporate purposes. In March 2026, Piedmont repaid the term loan facility.

7. GOODWILL

Duke Energy

Duke Energy's Goodwill balance of $19.0 billion is allocated $17.4 billion to EU&I and $1.6 billion to GU&I on Duke Energy's Condensed Consolidated Balance Sheets at March 31, 2026, and December 31, 2025. There are no accumulated impairment charges.

On July 27, 2025, Piedmont entered into a purchase agreement for the sale of Piedmont's Tennessee business. In the third quarter of 2025, $294 million of Duke Energy’s Goodwill balance that was allocated to the Piedmont Tennessee Disposal Group was reclassified to noncurrent assets held for sale on Duke Energy's Condensed Consolidated Balance Sheets. Piedmont closed on the sale on March 31, 2026. See Note 2 for additional information.

Duke Energy Ohio

Duke Energy Ohio's Goodwill balance of $920 million, allocated $596 million to EU&I and $324 million to GU&I, is presented net of accumulated impairment charges of $216 million on the Condensed Consolidated Balance Sheets at March 31, 2026, and December 31, 2025.

Progress Energy

Progress Energy's Goodwill is included in the EU&I segment and there are no accumulated impairment charges.

FINANCIAL STATEMENTS			GOODWILL

Piedmont

Piedmont's Goodwill is included in the GU&I segment and there are no accumulated impairment charges.

On July 27, 2025, Piedmont entered into a purchase agreement for the sale of Piedmont's Tennessee business. In the third quarter of 2025, $10 million of Piedmont’s Goodwill balance that was allocated to the Piedmont Tennessee Disposal Group was reclassified to noncurrent assets held for sale on Piedmont's Condensed Consolidated Balance Sheets. Piedmont closed on the sale on March 31, 2026. See Note 2 for additional information.

8. RELATED PARTY TRANSACTIONS

The Subsidiary Registrants engage in related party transactions in accordance with applicable state and federal commission regulations. Refer to the Condensed Consolidated Balance Sheets of the Subsidiary Registrants for balances due to or due from related parties. Transactions with related parties included on the Condensed Consolidated Statements of Operations and Comprehensive Income are presented in the following table.

									Three Months Ended March 31,
(in millions)															2026						2025
Duke Energy Carolinas
Corporate governance and shared service expenses(a)															$	175					$	178
Indemnification coverages(b)															12						13
JDA revenue(c)															179						82
JDA expense(c)															166						116
Intercompany natural gas purchases(d)															2						2
Progress Energy
Corporate governance and shared service expenses(a)															$	159					$	150
Indemnification coverages(b)															19						16
JDA revenue(c)															166						116
JDA expense(c)															179						82
Intercompany natural gas purchases(d)															19						19
Duke Energy Progress
Corporate governance and shared service expenses(a)															$	92					$	86
Indemnification coverages(b)															8						7
JDA revenue(c)															166						116
JDA expense(c)															179						82
Intercompany natural gas purchases(d)															19						19
Duke Energy Florida
Corporate governance and shared service expenses(a)															$	67					$	64
Indemnification coverages(b)															11						9
Duke Energy Ohio
Corporate governance and shared service expenses(a)															$	71					$	64
Indemnification coverages(b)															1						1
Duke Energy Indiana
Corporate governance and shared service expenses(a)															$	91					$	71
Indemnification coverages(b)															3						2
Piedmont
Corporate governance and shared service expenses(a)															$	32					$	31
Indemnification coverages(b)															1						1
Intercompany natural gas sales(d)															21						21
Natural gas storage and transportation costs(e)															5						5

(a)The Subsidiary Registrants are charged their proportionate share of corporate governance and other shared services costs, primarily related to human resources, employee benefits, information technology, legal and accounting fees, as well as other third-party costs. These amounts are primarily recorded in Operation, maintenance and other and Impairment of assets and other charges on the Condensed Consolidated Statements of Operations and Comprehensive Income.

(b)The Subsidiary Registrants incur expenses related to certain indemnification coverages through Bison, Duke Energy’s wholly owned captive insurance subsidiary. These expenses are recorded in Operation, maintenance and other on the Condensed Consolidated Statements of Operations and Comprehensive Income.

(c)Duke Energy Carolinas and Duke Energy Progress participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customer rates. Revenues from the sale of power and expenses from the purchase of power pursuant to the JDA are recorded in Operating Revenues and Fuel used in electric generation and purchased power, respectively, on the Condensed Consolidated Statements of Operations and Comprehensive Income.

FINANCIAL STATEMENTS			RELATED PARTY TRANSACTIONS

(d)Piedmont provides long-term natural gas delivery service to certain Duke Energy Carolinas and Duke Energy Progress natural gas-fired generation facilities. Piedmont records the sales in Operating Revenues, and Duke Energy Carolinas and Duke Energy Progress record the related purchases as a component of Fuel used in electric generation and purchased power on their respective Condensed Consolidated Statements of Operations and Comprehensive Income.

(e)Piedmont has related party transactions as a customer of its equity method investments in Pine Needle LNG Company, LLC, Hardy Storage Company, LLC and Cardinal Pipeline Company, LLC natural gas storage and transportation facilities. These expenses are included in Cost of natural gas on Piedmont's Condensed Consolidated Statements of Operations and Comprehensive Income.

In addition to the amounts presented above, the Subsidiary Registrants have other affiliate transactions, including rental of office space, participation in a money pool arrangement, other operational transactions and their proportionate share of certain charged expenses. These transactions of the Subsidiary Registrants are incurred in the ordinary course of business and are eliminated in consolidation.

Intercompany Income Taxes

Duke Energy and the Subsidiary Registrants file a consolidated federal income tax return and other state and jurisdictional returns. The Subsidiary Registrants have a tax sharing agreement with Duke Energy for the allocation of consolidated tax liabilities and benefits. Income taxes recorded represent amounts the Subsidiary Registrants would incur as separate C-Corporations. The following table includes the balance of intercompany income tax receivables and payables for the Subsidiary Registrants.

			Duke						Duke			Duke			Duke			Duke
			Energy			Progress			Energy			Energy			Energy			Energy
(in millions)			Carolinas			Energy			Progress			Florida			Ohio			Indiana			Piedmont
March 31, 2026
Intercompany income tax receivable			$	122		$	150		$	89		$	57		$	—		$	—		$	—
Intercompany income tax payable			—			—			—			—			26			31			481
December 31, 2025
Intercompany income tax payable			$	81		$	72		$	77		$	12		$	10		$	39		$	59

Progress Energy Distribution to Duke Energy (Parent)

In March 2026, Progress Energy transferred $2.8 billion to Duke Energy (Parent) received from the First Closing of the minority interest investment in Florida Progress. Progress Energy's distribution of these funds to Duke Energy (Parent) has been reflected as a reduction to Retained earnings on Progress Energy's Condensed Consolidated Balance Sheets as of March 31, 2026, and as Distributions to parent on Progress Energy's Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2026. See Note 2 for additional information related to the First Closing.

9. DERIVATIVES AND HEDGING

The Duke Energy Registrants use commodity, interest rate and foreign currency contracts to manage commodity price risk, interest rate risk and foreign currency exchange rate risk. The primary use of commodity derivatives is to hedge the generation portfolio against changes in the prices of electricity and natural gas. Piedmont enters into natural gas supply contracts to provide diversification, reliability and natural gas cost benefits to its customers. Interest rate derivatives are used to manage interest rate risk associated with borrowings. Foreign currency derivatives are used to manage risk related to foreign currency exchange rates on certain issuances of debt.

All derivative instruments not identified as NPNS are recorded at fair value as assets or liabilities on the Condensed Consolidated Balance Sheets. Cash collateral related to derivative instruments executed under master netting arrangements is offset against the collateralized derivatives on the Condensed Consolidated Balance Sheets. The cash impacts of settled derivatives are recorded as operating activities on the Condensed Consolidated Statements of Cash Flows.

INTEREST RATE RISK

The Duke Energy Registrants are exposed to changes in interest rates as a result of their issuance or anticipated issuance of variable-rate and fixed-rate debt and commercial paper. Interest rate risk is managed by limiting variable-rate exposures to a percentage of total debt and by monitoring changes in interest rates. To manage risk associated with changes in interest rates, the Duke Energy Registrants may enter into interest rate swaps, U.S. Treasury lock agreements and other financial contracts. In anticipation of certain fixed-rate debt issuances, a series of forward-starting interest rate swaps or Treasury locks may be executed to lock in components of current market interest rates. These instruments are later terminated prior to or upon the issuance of the corresponding debt.

Cash Flow Hedges

For a derivative designated as hedging the exposure to variable cash flows of a future transaction, referred to as a cash flow hedge, the effective portion of the derivative's gain or loss is initially reported as a component of other comprehensive income and subsequently reclassified into earnings once the future transaction impacts earnings. Amounts for interest rate contracts are reclassified to earnings as interest expense over the term of the related debt. Gains and losses reclassified out of accumulated other comprehensive income (loss) for the three months ended March 31, 2026, and 2025, were not material. Duke Energy's interest rate derivatives designated as hedges include forward-starting interest rate swaps not accounted for under regulatory accounting.

Undesignated Contracts

Undesignated contracts primarily include contracts not designated as a hedge because they are accounted for under regulatory accounting or contracts that do not qualify for hedge accounting.

FINANCIAL STATEMENTS			DERIVATIVES AND HEDGING

Duke Energy’s interest rate swaps for its regulated operations employ regulatory accounting. With regulatory accounting, the mark-to-market gains or losses on the swaps are deferred as regulatory liabilities or regulatory assets, respectively. Regulatory assets and liabilities are amortized consistent with the treatment of the related costs in the ratemaking process. The accrual of interest on the swaps is recorded as Interest Expense on the Duke Energy Registrant's Condensed Consolidated Statements of Operations and Comprehensive Income.

The following tables show notional amounts of outstanding derivatives related to interest rate risk.

			March 31, 2026
									Duke												Duke						Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Indiana						Ohio
Cash flow hedges			$	1,950					$	—					$	—					$	—					$	—					$	—					$	—
Undesignated contracts			5,377						3,275						1,850						650						1,200						225						27
Total notional amount			$	7,327					$	3,275					$	1,850					$	650					$	1,200					$	225					$	27

			December 31, 2025
									Duke												Duke						Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Indiana						Ohio
Cash flow hedges			$	1,725					$	—					$	—					$	—					$	—					$	—					$	—
Undesignated contracts			3,852						2,175						1,325						650						675						325						27
Total notional amount			$	5,577					$	2,175					$	1,325					$	650					$	675					$	325					$	27

COMMODITY PRICE RISK

The Duke Energy Registrants are exposed to the impact of changes in the prices of electricity purchased and sold in bulk power markets and natural gas purchases, including Piedmont's natural gas supply contracts. Exposure to commodity price risk is influenced by a number of factors, including the term of contracts, the liquidity of markets and delivery locations. To manage risk associated with commodity prices, the Duke Energy Registrants may enter into long-term power purchase or sales contracts and long-term natural gas supply agreements.

Undesignated Contracts

For the Subsidiary Registrants, bulk power electricity and natural gas purchases flow through fuel adjustment clauses, formula-based contracts or other cost-sharing mechanisms. Differences between the costs included in rates and the incurred costs, including undesignated derivative contracts, are largely deferred as regulatory assets or regulatory liabilities. Piedmont policies allow for the use of financial instruments to hedge commodity price risks. The strategy and objective of these hedging programs are to use the financial instruments to reduce natural gas cost volatility for customers.

Volumes

The tables below include volumes of outstanding commodity derivatives. Amounts disclosed represent the absolute value of notional volumes of commodity contracts excluding NPNS. The Duke Energy Registrants have netted contractual amounts where offsetting purchase and sale contracts exist with identical delivery locations and times of delivery. Where all commodity positions are perfectly offset, no quantities are shown.

			March 31, 2026
									Duke												Duke												Duke						Duke
			Duke						Energy						Progress						Energy												Energy						Energy
			Energy						Carolinas						Energy						Progress												Ohio						Indiana						Piedmont
Electricity (GWh)			3,965						—						—						—												542						3,423						—
Natural gas (millions of dekatherms)			811						309						286						286												—						31						185

			December 31, 2025
									Duke												Duke												Duke						Duke
			Duke						Energy						Progress						Energy												Energy						Energy
			Energy						Carolinas						Energy						Progress												Ohio						Indiana						Piedmont
Electricity (GWh)			10,615						—						—						—												1,349						9,266						—
Natural gas (millions of dekatherms)			814						307						286						286												—						33						188

FOREIGN CURRENCY RISK

Duke Energy may enter into foreign currency derivatives to hedge exposure to changes in foreign currency exchange rates, such as that arising from the issuance of debt denominated in a currency other than U.S. dollars.

FINANCIAL STATEMENTS			DERIVATIVES AND HEDGING

Fair Value Hedges

Derivatives related to existing fixed-rate securities are accounted for as fair value hedges, where the derivatives’ fair value gains or losses and hedged items’ fair value gains or losses are both recorded directly to earnings on the same income statement line item, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Duke Energy has elected to exclude the cross-currency basis spread from the assessment of effectiveness in the fair value hedges of its foreign currency risk and record any difference between the change in the fair value of the excluded components and the amounts recognized in earnings as a component of other comprehensive income or loss.

The following table shows Duke Energy's outstanding derivatives related to foreign currency risk at March 31, 2026.

																											Fair Value Gain (Loss)****(a)
																											(in millions)
			Pay Notional						Receive Notional						Receive			Hedge									Three Months Ended March 31,
			(in millions)			Pay Rate			(in millions)						Rate			Maturity Date												2026			2025
Fair value hedges
			$	645		4.75		%	600			euros			3.10		%	June 2028												$	(12)		$	28
			537			5.31		%	500			euros			3.85		%	June 2034												(10)			23
			815			5.65		%	750			euros			3.75		%	April 2031												(14)			35
Total notional amount			$	1,997					1,850			euros																		$	(36)		$	86

(a) Amounts are recorded in Other Income and expenses, net on the Condensed Consolidated Statement of Operations, which offsets an equal translation adjustment of the foreign denominated debt. See the Condensed Consolidated Statements of Comprehensive Income for amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and periodic amortization is recorded.

LOCATION AND FAIR VALUE OF DERIVATIVE ASSETS AND LIABILITIES RECOGNIZED ON THE CONDENS****ED CONSOLIDATED BALANCE SHEETS

The following tables show the fair value and balance sheet location of derivative instruments. Although derivatives subject to master netting arrangements are netted on the Condensed Consolidated Balance Sheets, the fair values presented below are shown gross and cash collateral on the derivatives have not been netted against the fair values shown.

Derivative Assets						March 31, 2026
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Commodity Contracts
Not Designated as Hedging Instruments
Current						$	18					$	4					$	7					$	7					$	—					$	—					$	7					$	—
Noncurrent						21						9						12						12						—						—						—						—
Total Derivative Assets – Commodity Contracts						$	39					$	13					$	19					$	19					$	—					$	—					$	7					$	—
Interest Rate Contracts
Designated as Hedging Instruments
Current						$	26					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Noncurrent						20						—						—						—						—						—						—						—
Not Designated as Hedging Instruments
Current						62						34						27						26						1						—						—						—
Noncurrent						73						52						20						—						20						—						2						—
Total Derivative Assets – Interest Rate Contracts						$	181					$	86					$	47					$	26					$	21					$	—					$	2					$	—
Foreign Currency Contracts
Designated as Hedging Instruments
Noncurrent						107						—						—						—						—						—						—						—
Total Derivative Assets – Foreign Currency Contracts						$	107					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Total Derivative Assets						$	327					$	99					$	66					$	45					$	21					$	—					$	9					$	—

FINANCIAL STATEMENTS			DERIVATIVES AND HEDGING

Derivative Liabilities						March 31, 2026
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Commodity Contracts
Not Designated as Hedging Instruments
Current						$	138					$	68					$	44					$	43					$	2					$	—					$	10					$	16
Noncurrent						109						31						26						26						—						—						—						52
Total Derivative Liabilities – Commodity Contracts						$	247					$	99					$	70					$	69					$	2					$	—					$	10					$	68
Interest Rate Contracts
Designated as Hedging Instruments
Noncurrent						1						—						—						—						—						—						—						—
Not Designated as Hedging Instruments
Current						5						3						2						1						—						—						—						—
Noncurrent						1						—						1						—						1						—						—						—
Total Derivative Liabilities – Interest Rate Contracts						$	7					$	3					$	3					$	1					$	1					$	—					$	—					$	—
Foreign Currency Contracts
Designated as Hedging Instruments
Current						29						—						—						—						—						—						—						—
Total Derivative Liabilities – Foreign Currency Contracts						$	29					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Total Derivative Liabilities						$	283					$	102					$	73					$	70					$	3					$	—					$	10					$	68

Derivative Assets						December 31, 2025
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Commodity Contracts
Not Designated as Hedging Instruments
Current						$	28					$	9					$	7					$	7					$	—					$	—					$	11					$	—
Noncurrent						28						12						16						16						—						—						—						—
Total Derivative Assets – Commodity Contracts						$	56					$	21					$	23					$	23					$	—					$	—					$	11					$	—
Interest Rate Contracts
Designated as Hedging Instruments
Current						$	25					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Noncurrent						20						—						—						—						—						—						—						—
Not Designated as Hedging Instruments
Current						63						34						29						29						1						—						—						—
Noncurrent						62						46						15						—						14						—						1						—
Total Derivative Assets – Interest Rate Contracts						$	170					$	80					$	44					$	29					$	15					$	—					$	1					$	—
Foreign Currency Contracts
Designated as Hedging Instruments
Noncurrent						$	156					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Total Derivative Assets – Foreign Currency Contracts						$	156					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Total Derivative Assets						$	382					$	101					$	67					$	52					$	15					$	—					$	12					$	—

FINANCIAL STATEMENTS			DERIVATIVES AND HEDGING

Derivative Liabilities						December 31, 2025
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Commodity Contracts
Not Designated as Hedging Instruments
Current						$	104					$	53					$	25					$	25					$	—					$	—					$	7					$	19
Noncurrent						106						32						21						21						—						—						—						53
Total Derivative Liabilities – Commodity Contracts						$	210					$	85					$	46					$	46					$	—					$	—					$	7					$	72
Interest Rate Contracts
Not Designated as Hedging Instruments
Current						$	—					$	3					$	(4)					$	(5)					$	1					$	—					$	2					$	—
Noncurrent						7						—						6						6						—						1						—						—
Total Derivative Liabilities – Interest Rate Contracts						$	7					$	3					$	2					$	1					$	1					$	1					$	2					$	—
Foreign Currency Contracts
Designated as Hedging Instruments
Current						$	27					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Total Derivative Liabilities – Foreign Currency Contracts						$	27					$	—					$	—					$	—					$	—					$	—					$	—					$	—
Total Derivative Liabilities						$	244					$	88					$	48					$	47					$	1					$	1					$	9					$	72

OFFSETTING ASSETS AND LIABILITIES

The following tables present the line items on the Condensed Consolidated Balance Sheets where derivatives are reported. Substantially all of Duke Energy's outstanding derivative contracts are subject to enforceable master netting arrangements. The amounts shown are calculated by counterparty. Accounts receivable or accounts payable may also be available to offset exposures in the event of bankruptcy. These amounts are not included in the tables below.

Derivative Assets						March 31, 2026
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Current
Gross amounts recognized						$	106					$	38					$	34					$	33					$	1					$	—					$	7					$	—
Offset						(11)						(4)						(7)						(7)						—						—						—						—
Net amounts presented in Current Assets: Other						$	95					$	34					$	27					$	26					$	1					$	—					$	7					$	—
Noncurrent
Gross amounts recognized						$	221					$	61					$	32					$	12					$	20					$	—					$	2					$	—
Offset						(17)						(9)						(8)						(8)						—						—						—						—
Net amounts presented in Other Noncurrent Assets: Other						$	204					$	52					$	24					$	4					$	20					$	—					$	2					$	—

FINANCIAL STATEMENTS			DERIVATIVES AND HEDGING

Derivative Liabilities						March 31, 2026
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Current
Gross amounts recognized						$	172					$	71					$	46					$	44					$	2					$	—					$	10					$	16
Offset						(11)						(4)						(7)						(7)						—						—						—						—
Cash collateral posted						(10)						—						—						—						—						—						(10)						—
Net amounts presented in Current Liabilities: Other						$	151					$	67					$	39					$	37					$	2					$	—					$	—					$	16
Noncurrent
Gross amounts recognized						$	111					$	31					$	27					$	26					$	1					$	—					$	—					$	52
Offset						(17)						(9)						(8)						(8)						—						—						—						—
Net amounts presented in Other Noncurrent Liabilities: Other						$	94					$	22					$	19					$	18					$	1					$	—					$	—					$	52

Derivative Assets						December 31, 2025
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Current
Gross amounts recognized						$	116					$	43					$	36					$	36					$	1					$	—					$	11					$	—
Offset						(16)						(9)						(7)						(7)						—						—						—						—
Net amounts presented in Current Assets: Other						$	100					$	34					$	29					$	29					$	1					$	—					$	11					$	—
Noncurrent
Gross amounts recognized						$	266					$	58					$	31					$	16					$	14					$	—					$	1					$	—
Offset						(22)						(11)						(11)						(11)						—						—						—						—
Net amounts presented in Other Noncurrent Assets: Other						$	244					$	47					$	20					$	5					$	14					$	—					$	1					$	—

Derivative Liabilities						December 31, 2025
												Duke												Duke						Duke						Duke						Duke
						Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)						Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Current
Gross amounts recognized						$	131					$	56					$	21					$	20					$	1					$	—					$	9					$	19
Offset						(16)						(9)						(7)						(7)						—						—						—						—
Cash collateral posted						(8)						(1)						—						—						—						—						(7)						—
Net amounts presented in Current Liabilities: Other						$	107					$	46					$	14					$	13					$	1					$	—					$	2					$	19
Noncurrent
Gross amounts recognized						$	113					$	32					$	27					$	27					$	—					$	1					$	—					$	53
Offset						(22)						(11)						(11)						(11)						—						—						—						—
Cash collateral posted						(1)						(1)						—						—						—						—						—						—
Net amounts presented in Other Noncurrent Liabilities: Other						$	90					$	20					$	16					$	16					$	—					$	1					$	—					$	53

FINANCIAL STATEMENTS			DERIVATIVES AND HEDGING

OBJECTIVE CREDIT CONTINGENT FEATURES

Certain derivative contracts contain objective credit contingent features. These features include the requirement to post cash collateral or letters of credit if specific events occur, such as a credit rating downgrade below investment grade. The following tables show information with respect to derivative contracts that are in a net liability position and contain objective credit risk-related payment provisions.

			March 31, 2026
									Duke												Duke
			Duke						Energy						Progress						Energy
(in millions)			Energy						Carolinas						Energy						Progress
Aggregate fair value of derivatives in a net liability position			$	150					$	81					$	69					$	69
Additional cash collateral or letters of credit in the event credit risk-related contingent features were triggered			$	150					$	81					$	69					$	69

			December 31, 2025
									Duke												Duke
			Duke						Energy						Progress						Energy
(in millions)			Energy						Carolinas						Energy						Progress
Aggregate fair value of derivatives in a net liability position			$	102					$	59					$	43					$	43
Fair value of collateral already posted			2						2						—						—
Additional cash collateral or letters of credit in the event credit risk-related contingent features were triggered			100						57						43						43

The Duke Energy Registrants have elected to offset cash collateral and fair values of derivatives. For amounts to be netted, the derivative and cash collateral must be executed with the same counterparty under the same master netting arrangement.

10. INVESTMENTS IN DEBT AND EQUITY SECURITIES

Duke Energy’s investments in debt and equity securities are primarily comprised of investments held in (i) the nuclear decommissioning trust funds (NDTF) at Duke Energy Carolinas, Duke Energy Progress and Duke Energy Florida, (ii) the grantor trusts at Duke Energy Florida and Duke Energy Indiana related to OPEB plans and (iii) Bison. The Duke Energy Registrants classify investments in debt securities as Available for Sale (AFS) and investments in equity securities as fair value through net income (FV-NI).

For investments in debt securities classified as AFS, the unrealized gains and losses are included in other comprehensive income until realized at which time they are reported through net income. For investments in equity securities classified as FV-NI, both realized and unrealized gains and losses are reported through net income. Substantially all of Duke Energy’s investments in debt and equity securities qualify for regulatory accounting, and accordingly, all associated realized and unrealized gains and losses on these investments are deferred as a regulatory asset or liability.

Duke Energy classifies the majority of investments in debt and equity securities as long term, unless otherwise noted.

Investment Trusts

The investments within the Investment Trusts are managed by independent investment managers with discretion to buy, sell and invest pursuant to the objectives and guidelines set forth by the investment manager agreements and trust agreements. The Duke Energy Registrants have limited oversight of the day-to-day management of these investments. As a result, the ability to hold investments in unrealized loss positions is outside the control of the Duke Energy Registrants. Accordingly, all unrealized losses associated with debt securities within the Investment Trusts are recognized immediately and deferred to regulatory accounts where appropriate.

Other AFS Securities

Unrealized gains and losses on all other AFS securities are included in other comprehensive income until realized, unless it is determined the carrying value of an investment has a credit loss. The Duke Energy Registrants analyze all investment holdings each reporting period to determine whether a decline in fair value is related to a credit loss. If a credit loss exists, the unrealized credit loss is included in earnings. There were no material credit losses as of March 31, 2026, and December 31, 2025.

Other Investments amounts are recorded in Other within Other Noncurrent Assets on the Condensed Consolidated Balance Sheets.

FINANCIAL STATEMENTS			INVESTMENTS IN DEBT AND EQUITY SECURITIES

DUKE ENERGY

The following table presents the estimated fair value of investments in debt and equity securities; equity investments are classified as FV-NI and debt investments are classified as AFS.

			March 31, 2026																		December 31, 2025
			Gross						Gross												Gross						Gross
			Unrealized						Unrealized						Estimated						Unrealized						Unrealized						Estimated
			Holding						Holding						Fair						Holding						Holding						Fair
(in millions)			Gains						Losses						Value						Gains						Losses						Value
NDTF
Cash and cash equivalents			$	—					$	—					$	200					$	—					$	—					$	175
Equity securities			5,135						37						7,269						6,041						14						8,519
Corporate debt securities			6						31						1,329						17						18						1,056
Municipal bonds			2						16						370						4						13						366
U.S. government bonds			15						57						3,176						31						39						2,487
Other debt securities			2						5						296						3						5						284
Total NDTF Investments			$	5,160					$	146					$	12,640					$	6,096					$	89					$	12,887
Other Investments
Cash and cash equivalents			$	—					$	—					$	229					$	—					$	—					$	53
Equity securities			54						—						135						57						—						139
Corporate debt securities			—						3						79						—						2						75
Municipal bonds			—						1						67						—						1						67
U.S. government bonds			—						5						54						—						4						59
Other debt securities			—						2						47						—						2						45
Total Other Investments			$	54					$	11					$	611					$	57					$	9					$	438
Total Investments			$	5,214					$	157					$	13,251					$	6,153					$	98					$	13,325

Realized gains and losses, which were determined on a specific identification basis, from sales of FV-NI and AFS securities for the three months ended March 31, 2026, and 2025, were as follows.

									Three Months Ended
(in millions)															March 31, 2026						March 31, 2025
FV-NI:
Realized gains															$	802					$	126
Realized losses															124						41
AFS:
Realized gains															17						10
Realized losses															16						20

DUKE ENERGY CAROLINAS

The following table presents the estimated fair value of investments in debt and equity securities; equity investments are classified as FV-NI and debt investments are classified as AFS.

			March 31, 2026																		December 31, 2025
			Gross						Gross												Gross						Gross
			Unrealized						Unrealized						Estimated						Unrealized						Unrealized						Estimated
			Holding						Holding						Fair						Holding						Holding						Fair
(in millions)			Gains						Losses						Value						Gains						Losses						Value
NDTF
Cash and cash equivalents			$	—					$	—					$	98					$	—					$	—					$	92
Equity securities			3,032						19						4,175						3,533						10						4,896
Corporate debt securities			3						24						846						9						15						662
Municipal bonds			—						6						46						—						5						42
U.S. government bonds			7						38						1,808						16						26						1,403
Other debt securities			2						5						239						3						5						242
Total NDTF Investments			$	3,044					$	92					$	7,212					$	3,561					$	61					$	7,337

FINANCIAL STATEMENTS			INVESTMENTS IN DEBT AND EQUITY SECURITIES

Realized gains and losses, which were determined on a specific identification basis, from sales of FV-NI and AFS securities for the three months ended March 31, 2026, and 2025, were as follows.

									Three Months Ended
(in millions)															March 31, 2026						March 31, 2025
FV-NI:
Realized gains															$	448					$	82
Realized losses															74						22
AFS:
Realized gains															11						7
Realized losses															9						14

PROGRESS ENERGY

The following table presents the estimated fair value of investments in debt and equity securities; equity investments are classified as FV-NI and debt investments are classified as AFS.

			March 31, 2026																		December 31, 2025
			Gross						Gross												Gross						Gross
			Unrealized						Unrealized						Estimated						Unrealized						Unrealized						Estimated
			Holding						Holding						Fair						Holding						Holding						Fair
(in millions)			Gains						Losses						Value						Gains						Losses						Value
NDTF
Cash and cash equivalents			$	—					$	—					$	102					$	—					$	—					$	83
Equity securities			2,103						18						3,094						2,508						4						3,623
Corporate debt securities			3						7						483						8						3						394
Municipal bonds			2						10						324						4						8						324
U.S. government bonds			8						19						1,368						15						13						1,084
Other debt securities			—						—						57						—						—						42
Total NDTF Investments			$	2,116					$	54					$	5,428					$	2,535					$	28					$	5,550
Other Investments
Cash and cash equivalents			$	—					$	—					$	30					$	—					$	—					$	34
Municipal bonds			—						—						25						—						—						24
Total Other Investments			$	—					$	—					$	55					$	—					$	—					$	58
Total Investments			$	2,116					$	54					$	5,483					$	2,535					$	28					$	5,608

Realized gains and losses, which were determined on a specific identification basis, from sales of FV-NI and AFS securities for the three months ended March 31, 2026, and 2025, were as follows.

						Three Months Ended
(in millions)															March 31, 2026						March 31, 2025
FV-NI:
Realized gains															$	354					$	44
Realized losses															50						19
AFS:
Realized gains															6						3
Realized losses															7						6

FINANCIAL STATEMENTS			INVESTMENTS IN DEBT AND EQUITY SECURITIES

DUKE ENERGY PROGRESS

The following table presents the estimated fair value of investments in debt and equity securities; equity investments are classified as FV-NI and debt investments are classified as AFS.

			March 31, 2026																		December 31, 2025
			Gross						Gross												Gross						Gross
			Unrealized						Unrealized						Estimated						Unrealized						Unrealized						Estimated
			Holding						Holding						Fair						Holding						Holding						Fair
(in millions)			Gains						Losses						Value						Gains						Losses						Value
NDTF
Cash and cash equivalents			$	—					$	—					$	86					$	—					$	—					$	71
Equity securities			1,981						18						2,962						2,380						4						3,485
Corporate debt securities			3						7						464						8						3						375
Municipal bonds			2						10						324						4						8						324
U.S. government bonds			8						16						1,262						14						10						958
Other debt securities			—						—						55						—						—						41
Total NDTF Investments			$	1,994					$	51					$	5,153					$	2,406					$	25					$	5,254
Other Investments
Cash and cash equivalents			$	—					$	—					$	22					$	—					$	—					$	24
Total Other Investments			$	—					$	—					$	22					$	—					$	—					$	24
Total Investments			$	1,994					$	51					$	5,175					$	2,406					$	25					$	5,278

Realized gains and losses, which were determined on a specific identification basis, from sales of FV-NI and AFS securities for the three months ended March 31, 2026, and 2025, were as follows.

						Three Months Ended
(in millions)															March 31, 2026						March 31, 2025
FV-NI:
Realized gains															$	354					$	44
Realized losses															50						19
AFS:
Realized gains															6						3
Realized losses															7						6

DUKE ENERGY FLORIDA

The following table presents the estimated fair value of investments in debt and equity securities; equity investments are classified as FV-NI and debt investments are classified as AFS.

			March 31, 2026																		December 31, 2025
			Gross						Gross												Gross						Gross
			Unrealized						Unrealized						Estimated						Unrealized						Unrealized						Estimated
			Holding						Holding						Fair						Holding						Holding						Fair
(in millions)			Gains						Losses						Value						Gains						Losses						Value
NDTF
Cash and cash equivalents			$	—					$	—					$	16					$	—					$	—					$	12
Equity securities			122						—						132						128						—						138
Corporate debt securities			—						—						19						—						—						19
U.S. government bonds			—						3						106						1						3						126
Other debt securities			—						—						2						—						—						1
Total NDTF Investments**(a)**			$	122					$	3					$	275					$	129					$	3					$	296
Other Investments
Cash and cash equivalents			$	—					$	—					$	4					$	—					$	—					$	5
Municipal bonds			—						—						25						—						—						24
Total Other Investments			$	—					$	—					$	29					$	—					$	—					$	29
Total Investments			$	122					$	3					$	304					$	129					$	3					$	325

(a)During the three months ended March 31, 2026, and the year ended December 31, 2025, Duke Energy Florida received reimbursements from the NDTF for costs related to ongoing decommissioning activity of Crystal River Unit 3.

FINANCIAL STATEMENTS			INVESTMENTS IN DEBT AND EQUITY SECURITIES

Realized gains and losses, which were determined on a specific identification basis, from sales of FV-NI and AFS securities for the three months ended March 31, 2026, and 2025, were immaterial.

DUKE ENERGY INDIANA

The following table presents the estimated fair value of investments in debt and equity securities; equity investments are measured at FV-NI and debt investments are classified as AFS.

			March 31, 2026																		December 31, 2025
			Gross						Gross												Gross						Gross
			Unrealized						Unrealized						Estimated						Unrealized						Unrealized						Estimated
			Holding						Holding						Fair						Holding						Holding						Fair
(in millions)			Gains						Losses						Value						Gains						Losses						Value
Investments
Cash and cash equivalents			$	—					$	—					$	1					$	—					$	—					$	—
Equity securities			5						—						51						6						—						53
Corporate debt securities			—						—						1						—						—						1
Municipal bonds			—						1						25						—						1						25
U.S. government bonds			—						—						3						—						—						3
Total Investments			$	5					$	1					$	81					$	6					$	1					$	82

Realized gains and losses, which were determined on a specific identification basis, from sales of FV-NI and AFS securities for the three months ended March 31, 2026, and 2025, were immaterial.

DEBT SECURITY MATURITIES

The table below summarizes the maturity date for debt securities.

			March 31, 2026
									Duke												Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Indiana
Due in one year or less			$	122					$	24					$	97					$	40					$	57					$	1
Due after one through five years			1,506						814						630						602						28						6
Due after five through 10 years			1,162						633						482						465						17						8
Due after 10 years			2,628						1,468						1,048						998						50						14
Total			$	5,418					$	2,939					$	2,257					$	2,105					$	152					$	29

11. FAIR VALUE MEASUREMENTS

Fair value is the exchange price to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. The fair value definition focuses on an exit price versus the acquisition cost. Fair value measurements use market data or assumptions market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs may be readily observable, corroborated by market data or generally unobservable. Valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. A midmarket pricing convention (the midpoint price between bid and ask prices) is permitted for use as a practical expedient.

Fair value measurements are classified in three levels based on the fair value hierarchy as defined by GAAP. Certain investments are not categorized within the fair value hierarchy. These investments are measured at fair value using the net asset value per share practical expedient. The net asset value is derived based on the investment cost, less any impairment, plus or minus changes resulting from observable price changes for an identical or similar investment of the same issuer.

Fair value accounting guidance permits entities to elect to measure certain financial instruments that are not required to be accounted for at fair value, such as equity method investments or the Company’s own debt, at fair value. The Duke Energy Registrants have not elected to record any of these items at fair value.

Valuation methods of the primary fair value measurements disclosed below are as follows.

Investments in equity securities

The majority of investments in equity securities are valued using Level 1 measurements. Investments in equity securities are typically valued at the closing price in the principal active market as of the last business day of the quarter. Principal active markets for equity prices include published exchanges such as the New York Stock Exchange and Nasdaq Stock Market. Foreign equity prices are translated from their trading currency using the currency exchange rate in effect at the close of the principal active market. There was no after-hours market activity that was required to be reflected in the reported fair value measurements.

FINANCIAL STATEMENTS			FAIR VALUE MEASUREMENTS

Investments in debt securities

Most investments in debt securities are valued using Level 2 measurements because the valuations use interest rate curves and credit spreads applied to the terms of the debt instrument (maturity and coupon interest rate) and consider the counterparty credit rating. If the market for a particular fixed-income security is relatively inactive or illiquid, the measurement is Level 3.

Commodity derivatives

Commodity derivatives with clearinghouses are classified as Level 1. Commodity derivatives with observable forward curves are classified as Level 2. If forward price curves are not observable for the full term of the contract and the unobservable period had more than an insignificant impact on the valuation, the commodity derivative is classified as Level 3. In isolation, increases (decreases) in natural gas forward prices result in favorable (unfavorable) fair value adjustments for natural gas purchase contracts; and increases (decreases) in electricity forward prices result in unfavorable (favorable) fair value adjustments for electricity sales contracts. Duke Energy regularly evaluates and validates pricing inputs used to estimate the fair value of certain commodity contracts by a market participant price verification procedure. This procedure provides a comparison of internal forward commodity curves to market participant generated curves.

Interest rate derivatives

Most over-the-counter interest rate contract derivatives are valued using financial models that utilize observable inputs for similar instruments and are classified as Level 2. Inputs include forward interest rate curves, notional amounts, interest rates and credit quality of the counterparties.

Foreign currency derivatives

Most over-the-counter foreign currency derivatives are valued using financial models that utilize observable inputs for similar instruments and are classified as Level 2. Inputs include forward foreign currency rate curves, notional amounts, foreign currency rates and credit quality of the counterparties.

Other fair value considerations

See Note 12 in Duke Energy's Annual Report on Form 10-K for the year ended December 31, 2025, for a discussion of the valuation of goodwill and intangible assets.

DUKE ENERGY

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets. Derivative amounts in the tables below for all Duke Energy Registrants exclude cash collateral, which is disclosed in Note 9. See Note 10 for additional information related to investments by major security type for the Duke Energy Registrants.

			March 31, 2026
(in millions)			Total Fair Value			Level 1			Level 2			Level 3			Not Categorized
NDTF cash and cash equivalents			$	200		$	200		$	—		$	—		$	—
NDTF equity securities			7,269			7,244			2			—			23
NDTF debt securities			5,171			1,986			3,185			—			—
Other equity securities			135			135			—			—			—
Other debt securities			247			50			197			—			—
Other cash and cash equivalents			229			229			—			—			—
Derivative assets			327			3			320			4			—
Total assets			13,578			9,847			3,704			4			23
Derivative liabilities			(283)			(10)			(273)			—			—
Net assets			$	13,295		$	9,837		$	3,431		$	4		$	23

			December 31, 2025
(in millions)			Total Fair Value			Level 1			Level 2			Level 3			Not Categorized
NDTF cash and cash equivalents			$	175		$	175		$	—		$	—		$	—
NDTF equity securities			8,519			8,494			3			—			22
NDTF debt securities			4,193			1,480			2,713			—			—
Other equity securities			139			139			—			—			—
Other debt securities			246			55			191			—			—
Other cash and cash equivalents			53			53			—			—			—
Derivative assets			382			2			371			9			—
Total assets			13,707			10,398			3,278			9			22
Derivative liabilities			(244)			(7)			(237)			—			—
Net assets			$	13,463		$	10,391		$	3,041		$	9		$	22

FINANCIAL STATEMENTS			FAIR VALUE MEASUREMENTS

The following table provides reconciliations of beginning and ending balances of assets and liabilities measured at fair value using Level 3 measurements.

															Derivatives (net)
									Three Months Ended March 31,
(in millions)															2026						2025
Balance at beginning of period															$	9					$	9
Purchases, sales, issuances and settlements:
Settlements															(4)						(6)
Total losses included on the Condensed Consolidated Balance Sheet															(1)						—
Balance at end of period															$	4					$	3

DUKE ENERGY CAROLINAS

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

			March 31, 2026
(in millions)			Total Fair Value			Level 1			Level 2						Not Categorized
NDTF cash and cash equivalents			$	98		$	98		$	—					$	—
NDTF equity securities			4,175			4,150			2						23
NDTF debt securities			2,939			1,078			1,861						—
Derivative assets			99			—			99						—
Total assets			7,311			5,326			1,962						23
Derivative liabilities			(102)			—			(102)						—
Net assets			$	7,209		$	5,326		$	1,860					$	23

			December 31, 2025
(in millions)			Total Fair Value			Level 1			Level 2						Not Categorized
NDTF cash and cash equivalents			$	92		$	92		$	—					$	—
NDTF equity securities			4,896			4,871			3						22
NDTF debt securities			2,349			776			1,573						—
Derivative assets			101			—			101						—
Total assets			7,438			5,739			1,677						22
Derivative liabilities			(88)			—			(88)						—
Net assets			$	7,350		$	5,739		$	1,589					$	22

PROGRESS ENERGY

The following table provides recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

			March 31, 2026												December 31, 2025
(in millions)			Total Fair Value			Level 1			Level 2						Total Fair Value			Level 1			Level 2
NDTF cash and cash equivalents			$	102		$	102		$	—					$	83		$	83		$	—
NDTF equity securities			3,094			3,094			—						3,623			3,623			—
NDTF debt securities			2,232			908			1,324						1,844			704			1,140
Other debt securities			25			—			25						24			—			24
Other cash and cash equivalents			30			30			—						34			34			—
Derivative assets			66			—			66						67			—			67
Total assets			5,549			4,134			1,415						5,675			4,444			1,231
Derivative liabilities			(73)			—			(73)						(48)			—			(48)
Net assets			$	5,476		$	4,134		$	1,342					$	5,627		$	4,444		$	1,183

FINANCIAL STATEMENTS			FAIR VALUE MEASUREMENTS

DUKE ENERGY PROGRESS

The following table provides recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

			March 31, 2026												December 31, 2025
(in millions)			Total Fair Value			Level 1			Level 2						Total Fair Value			Level 1			Level 2
NDTF cash and cash equivalents			$	86		$	86		$	—					$	71		$	71		$	—
NDTF equity securities			2,962			2,962			—						3,485			3,485			—
NDTF debt securities			2,105			820			1,285						1,698			597			1,101
Other cash and cash equivalents			22			22			—						24			24			—
Derivative assets			45			—			45						52			—			52
Total assets			5,220			3,890			1,330						5,330			4,177			1,153
Derivative liabilities			(70)			—			(70)						(47)			—			(47)
Net assets			$	5,150		$	3,890		$	1,260					$	5,283		$	4,177		$	1,106

DUKE ENERGY FLORIDA

The following table provides recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

			March 31, 2026												December 31, 2025
(in millions)			Total Fair Value			Level 1			Level 2						Total Fair Value			Level 1			Level 2
NDTF cash and cash equivalents			$	16		$	16		$	—					$	12		$	12		$	—
NDTF equity securities			132			132			—						138			138			—
NDTF debt securities			127			88			39						146			107			39
Other debt securities			25			—			25						24			—			24
Other cash and cash equivalents			4			4			—						5			5			—
Derivative assets			21			—			21						15			—			15
Total assets			325			240			85						340			262			78
Derivative liabilities			(3)			—			(3)						(1)			—			(1)
Net assets			$	322		$	240		$	82					$	339		$	262		$	77

DUKE ENERGY OHIO

The recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets were not material at March 31, 2026, and December 31, 2025.

DUKE ENERGY INDIANA

The following table provides recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

			March 31, 2026															December 31, 2025
(in millions)			Total Fair Value			Level 1			Level 2			Level 3						Total Fair Value			Level 1			Level 2			Level 3
Other equity securities			$	51		$	51		$	—		$	—					$	53		$	53		$	—		$	—
Other debt securities			29			—			29			—						29			—			29			—
Other cash and cash equivalents			1			1			—			—						—			—			—			—
Derivative assets			9			3			2			4						12			2			1			9
Total assets			90			55			31			4						94			55			30			9
Derivative liabilities			(10)			(10)			—			—						(9)			(7)			(2)			—
Net assets			$	80		$	45		$	31		$	4					$	85		$	48		$	28		$	9

FINANCIAL STATEMENTS			FAIR VALUE MEASUREMENTS

The following table provides a reconciliation of beginning and ending balances of assets and liabilities measured at fair value using Level 3 measurements.

															Derivatives (net)
									Three Months Ended March 31,
(in millions)															2026						2025
Balance at beginning of period															$	9					$	8
Purchases, sales, issuances and settlements:
Settlements															(3)						(6)
Total losses included on the Condensed Consolidated Balance Sheet															(2)						—
Balance at end of period															$	4					$	2

PIEDMONT

The following table provides recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

			March 31, 2026									December 31, 2025
(in millions)			Total Fair Value						Level 2									Total Fair Value						Level 2
Derivative liabilities			(68)						(68)									(72)						(72)

QUANTITATIVE INFORMATION ABOUT UNOBSERVABLE INPUTS

The following tables include quantitative information about the Duke Energy Registrants' derivatives classified as Level 3.

			March 31, 2026
																					Weighted
			Fair Value																		Average
Investment Type			(in millions)			Valuation Technique			Unobservable Input			Range									Range
Duke Energy Indiana
FTRs			4			RTO auction pricing			FTR price – per MWh			(1.24)			-			15.13			1.11
Duke Energy
Total Level 3 derivatives			$	4

			December 31, 2025
																					Weighted
			Fair Value																		Average
Investment Type			(in millions)			Valuation Technique			Unobservable Input			Range									Range
Duke Energy Indiana
FTRs			9			RTO auction pricing			FTR price – per MWh			(1.00)			–			14.63			1.13
Duke Energy
Total Level 3 derivatives			$	9

FINANCIAL STATEMENTS			FAIR VALUE MEASUREMENTS

OTHER FAIR VALUE DISCLOSURES

The fair value and book value of long-term debt, including current maturities, is summarized in the following table. Estimates determined are not necessarily indicative of amounts that could have been settled in current markets. Fair value of long-term debt uses Level 2 measurements.

			March 31, 2026												December 31, 2025
(in millions)			Book Value						Fair Value						Book Value						Fair Value
Duke Energy(a)			$	87,872					$	81,221					$	87,212					$	79,863
Duke Energy Carolinas			19,788						17,947						18,777						16,764
Progress Energy			27,057						25,447						26,848						24,957
Duke Energy Progress			13,860						12,528						13,896						12,445
Duke Energy Florida			11,552						11,122						11,307						10,720
Duke Energy Ohio			4,376						4,136						4,420						4,151
Duke Energy Indiana			5,590						5,156						5,093						4,646
Piedmont			3,801						3,464						4,251						3,960

(a)Book value of long-term debt includes $900 million and $921 million at March 31, 2026, and December 31, 2025, respectively, of net unamortized debt discount and premium of purchase accounting adjustments related to the mergers with Progress Energy and Piedmont that are excluded from fair value of long-term debt.

At both March 31, 2026, and December 31, 2025, fair value of cash and cash equivalents, accounts and notes receivable, accounts payable, notes payable and commercial paper and nonrecourse notes payable of VIEs are not materially different from their carrying amounts because of the short-term nature of these instruments and/or because the stated rates approximate market rates.

12. VARIABLE INTEREST ENTITIES

CONSOLIDATED VIEs

The obligations of the consolidated VIEs discussed in the following paragraphs are nonrecourse to the Duke Energy Registrants. The registrants have no requirement to provide liquidity to purchase assets of or guarantee performance of these VIEs unless noted in the following paragraphs.

No financial support was provided to any of the consolidated VIEs during the three months ended March 31, 2026, and the year ended December 31, 2025, or is expected to be provided in the future that was not previously contractually required.

Nuclear Asset-Recovery Bonds

Duke Energy Florida Project Finance, LLC (DEFPF) is a bankruptcy remote, wholly owned special purpose subsidiary of Duke Energy Florida. DEFPF was formed in 2016 for the sole purpose of issuing nuclear asset-recovery bonds to finance Duke Energy Florida's unrecovered regulatory asset related to Crystal River Unit 3.

DEFPF issued senior secured bonds and used the proceeds to acquire nuclear asset-recovery property from Duke Energy Florida. The nuclear asset-recovery property acquired includes the right to impose, bill, collect and adjust a non-bypassable nuclear asset-recovery charge from all Duke Energy Florida retail customers until the bonds are paid in full and all financing costs have been recovered. The nuclear asset-recovery bonds are secured by the nuclear asset-recovery property and cash collections from the nuclear asset-recovery charges are the sole source of funds to satisfy the debt obligation. The bondholders have no recourse to Duke Energy Florida.

DEFPF is considered a VIE primarily because the equity capitalization is insufficient to support its operations. Duke Energy Florida has the power to direct the significant activities of the VIE as described above and therefore Duke Energy Florida is considered the primary beneficiary and consolidates DEFPF.

The following table summarizes the impact of DEFPF on Duke Energy Florida's Condensed Consolidated Balance Sheets.

(in millions)			March 31, 2026			December 31, 2025
Regulatory Assets: Current			62			62
Current Assets: Other			10			34
Other Noncurrent Assets: Regulatory assets			669			682
Current maturities of long-term debt			62			61
Long-Term Debt			679			712

Storm Recovery Bonds

Duke Energy Carolinas NC Storm Funding, LLC (DECNCSF), Duke Energy Carolinas NC Storm Funding II, LLC (DECNCSFII), Duke Energy Carolinas SC Storm Funding, LLC (DECSCSF), Duke Energy Progress NC Storm Funding, LLC (DEPNCSF), Duke Energy Progress NC Storm Funding II, LLC (DEPNCSFII) and Duke Energy Progress SC Storm Funding, LLC (DEPSCSF) are bankruptcy remote, wholly owned special purpose subsidiaries of Duke Energy Carolinas and Duke Energy Progress. DECNCSF and DEPNCSF were formed in 2021, DEPSCSF was formed in 2024, and DECNCSFII, DECSCSF and DEPNCSFII were formed in 2025, all for the sole purpose of issuing storm recovery bonds to finance certain of Duke Energy Carolinas’ and Duke Energy Progress’ unrecovered regulatory assets related to storm costs incurred in North Carolina and South Carolina.

FINANCIAL STATEMENTS			VARIABLE INTEREST ENTITIES

These subsidiaries issued senior secured bonds and used the proceeds to acquire storm recovery property from Duke Energy Carolinas and Duke Energy Progress. The storm recovery property acquired includes the right to impose, bill, collect and adjust a non-bypassable charge from all Duke Energy Carolinas’ and Duke Energy Progress’ North Carolina and South Carolina retail customers until the bonds are paid in full and all financing costs have been recovered. The storm recovery bonds are secured by the storm recovery property and cash collections from the storm recovery charges are the sole source of funds to satisfy the debt obligation. The bondholders have no recourse to Duke Energy Carolinas or Duke Energy Progress. These entities are considered VIEs primarily because their equity capitalization is insufficient to support their operations. Duke Energy Carolinas and Duke Energy Progress have the power to direct the significant activities of the VIEs as described above and therefore Duke Energy Carolinas and Duke Energy Progress are considered the primary beneficiaries. Duke Energy Carolinas consolidates DECNCSF, DECNCSFII and DECSCSF and Duke Energy Progress consolidates DEPNCSF, DEPNCSFII and DEPSCSF.

The following table summarizes the impact of these VIEs on Duke Energy Carolinas’ and Duke Energy Progress’ Consolidated Balance Sheets.

			March 31, 2026
			Duke Energy Carolinas												Duke Energy Progress
(in millions)			DECNCSF			DECNCSFII			DECSCSF						DEPNCSF			DEPNCSFII			DEPSCSF
Regulatory Assets: Current			$	12		$	29		$	31					$	39		$	23		$	8
Current Assets: Other			6			17			8						20			14			3
Other Noncurrent Assets: Regulatory assets			175			544			525						572			429			148
Current Maturities of Long-Term Debt			11			12			13						35			9			5
Long-Term Debt			182			566			543						594			448			155

			December 31, 2025
			Duke Energy Carolinas												Duke Energy Progress
(in millions)			DECNCSF			DECNCSFII			DECSCSF						DEPNCSF			DEPNCSFII			DEPSCSF
Regulatory Assets: Current			12			29			31						39			23			8
Current Assets: Other			9			3			—						30			3			5
Other Noncurrent Assets: Regulatory assets			179			550			528						583			435			151
Current Maturities of Long-Term Debt			11			2			3						35			1			5
Long-Term Debt			188			575			553						611			455			158

Procurement Companies

Duke Energy Florida Purchasing Company, LLC (DEF ProCo) and Duke Energy Indiana Purchasing Company, LLC (DEI ProCo) are wholly owned special purpose subsidiaries of Duke Energy Florida and Duke Energy Indiana, respectively. DEF ProCo was formed in 2023 as the primary procurement agent for equipment, materials and supplies for Duke Energy Florida. DEI ProCo was formed in 2025 and became operational in 2026 as the primary procurement agent for equipment, materials and supplies for Duke Energy Indiana. The ProCos interact with third-party suppliers on Duke Energy Florida’s and Duke Energy Indiana's behalf with credit and risk support provided by Duke Energy Florida and Duke Energy Indiana. Both ProCos are qualified resellers under their respective state's tax laws and convey acquired assets to the utilities through leases on each acquired asset.

These entities are considered VIEs primarily because their equity capitalization is insufficient to support their operations. Duke Energy Florida and Duke Energy Indiana have the power to direct the significant activities of the VIEs as described above and therefore Duke Energy Florida and Duke Energy Indiana are considered the primary beneficiaries and consolidate each respective procurement company.

The following table summarizes the impact of this VIE on Duke Energy Florida's and Duke Energy Indiana's Consolidated Balance Sheets.

(in millions)			March 31, 2026						December 31, 2025
			DEF ProCo			DEI ProCo			DEF ProCo
Inventory			$	675		$	387		$	669
Accounts Payable			258			109			289

NON-CONSOLIDATED VIEs

Natural Gas Investments

Duke Energy has investments in various joint ventures, including pipeline and renewable natural gas projects. These entities are considered VIEs due to having insufficient equity to finance their own activities without subordinated financial support. Duke Energy does not have the power to direct the activities that most significantly impact the economic performance, the obligation to absorb losses or the right to receive benefits of these VIEs and therefore does not consolidate these entities.

Non-consolidated VIEs are immaterial on the Condensed Consolidated Balance Sheets and the Duke Energy Registrants are not aware of any situations where the maximum exposure to loss significantly exceeds the carrying values.

13. REVENUE

Duke Energy earns substantially all of its revenues through its reportable segments, EU&I and GU&I.

FINANCIAL STATEMENTS			REVENUE

Electric Utilities and Infrastructure

EU&I earns the majority of its revenues through retail and wholesale electric service through the generation, transmission, distribution and sale of electricity. Duke Energy generally provides retail and wholesale electric service customers with their full electric load requirements or with supplemental load requirements when the customer has other sources of electricity.

The majority of wholesale revenues are full requirements contracts where the customers purchase the substantial majority of their energy needs and do not have a fixed quantity of contractually required energy or capacity. As such, related forecasted revenues are considered optional purchases. Supplemental requirements contracts that include contracted blocks of energy and capacity at contractually fixed prices have the following estimated remaining performance obligations as of March 31, 2026:

			Remaining Performance Obligations
(in millions)			2026			2027			2028			2029			2030			Thereafter			Total
Duke Energy Carolinas			$	9		$	12		$	12		$	—		$	—		$	—		$	33
Progress Energy			33			43			13			13			15			29			146
Duke Energy Progress			4			6			6			6			8			14			44
Duke Energy Florida			29			37			7			7			7			15			102
Duke Energy Indiana			3			2			—			—			—			—			5

Revenues for block sales are recognized monthly as energy is delivered and stand-ready service is provided, consistent with invoiced amounts and unbilled estimates.

Gas Utilities and Infrastructure

GU&I earns its revenue through retail and wholesale natural gas service through the transportation, distribution and sale of natural gas. Duke Energy generally provides retail and wholesale natural gas service customers with all natural gas load requirements. Additionally, while natural gas can be stored, substantially all natural gas provided by Duke Energy is consumed by customers simultaneously with receipt of delivery.

Fixed-capacity payments under long-term contracts for the GU&I segment include minimum margin contracts and supply arrangements with municipalities and power generation facilities. Revenues for related sales are recognized monthly as natural gas is delivered and stand-ready service is provided, consistent with invoiced amounts and unbilled estimates. Estimated remaining performance obligations as of March 31, 2026, are as follows:

			Remaining Performance Obligations
(in millions)			2026			2027			2028			2029			2030			Thereafter			Total
Piedmont			$	40		$	48		$	45		$	44		$	42		$	109		$	328

Other

The remainder of Duke Energy’s operations is presented as Other, which does not include material revenues from contracts with customers.

FINANCIAL STATEMENTS			REVENUE

Disaggregated Revenues

Disaggregated revenues are presented as follows:

			Three Months Ended March 31, 2026
						Duke						Duke			Duke			Duke			Duke
(in millions)			Duke			Energy			Progress			Energy			Energy			Energy			Energy
By market or type of customer			Energy			Carolinas			Energy			Progress			Florida			Ohio			Indiana			Piedmont
Electric Utilities and Infrastructure
Residential			$	3,619		$	1,160		$	1,738		$	875		$	863		$	302		$	420		$	—
Commercial			2,030			699			911			444			467			153			267			—
Industrial			827			327			264			186			78			34			204			—
Wholesale			870			166			600			525			75			60			43			—
Other revenues			330			339			296			201			95			27			11			—
Total Electric Utilities and Infrastructure revenue from contracts with customers			$	7,676		$	2,691		$	3,809		$	2,231		$	1,578		$	576		$	945		$	—
Gas Utilities and Infrastructure
Residential			$	790		$	—		$	—		$	—		$	—		$	213		$	—		$	577
Commercial			374			—			—			—			—			83			—			291
Industrial			62			—			—			—			—			16			—			46
Power Generation			—			—			—			—			—			—			—			9
Other revenues			88			—			—			—			—			4			—			88
Total Gas Utilities and Infrastructure revenue from contracts with customers			$	1,314		$	—		$	—		$	—		$	—		$	316		$	—		$	1,011
Other
Revenue from contracts with customers			$	5		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Total Revenue from contracts with customers			$	8,995		$	2,691		$	3,809		$	2,231		$	1,578		$	892		$	945		$	1,011
Other revenue sources(a)			$	183		$	75		$	116		$	70		$	43		$	(13)		$	21		$	—
Total operating revenues			$	9,178		$	2,766		$	3,925		$	2,301		$	1,621		$	879		$	966		$	1,011

FINANCIAL STATEMENTS			REVENUE

			Three Months Ended March 31, 2025
						Duke						Duke			Duke			Duke			Duke
(in millions)			Duke			Energy			Progress			Energy			Energy			Energy			Energy
By market or type of customer			Energy			Carolinas			Energy			Progress			Florida			Ohio			Indiana			Piedmont
Electric Utilities and Infrastructure
Residential			$	3,403		$	1,127		$	1,614		$	820		$	794		$	282		$	379		$	—
Commercial			1,921			701			845			415			430			142			233			—
Industrial			823			334			267			193			74			33			187			—
Wholesale			670			149			443			404			39			22			57			—
Other revenues			236			180			239			163			76			18			(1)			—
Total Electric Utilities and Infrastructure revenue from contracts with customers			$	7,053		$	2,491		$	3,408		$	1,995		$	1,413		$	497		$	855		$	—
Gas Utilities and Infrastructure
Residential			$	706		$	—		$	—		$	—		$	—		$	186		$	—		$	520
Commercial			322			—			—			—			—			70			—			252
Industrial			55			—			—			—			—			16			—			39
Power Generation			—			—			—			—			—			—			—			24
Other revenues			74			—			—			—			—			6			—			53
Total Gas Utilities and Infrastructure revenue from contracts with customers			$	1,157		$	—		$	—		$	—		$	—		$	278		$	—		$	888
Other
Revenue from contracts with customers			$	8		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Total Revenue from contracts with customers			$	8,218		$	2,491		$	3,408		$	1,995		$	1,413		$	775		$	855		$	888
Other revenue sources(a)			$	31		$	33		$	59		$	23		$	31		$	(9)		$	3		$	(31)
Total operating revenues			$	8,249		$	2,524		$	3,467		$	2,018		$	1,444		$	766		$	858		$	857

(a)Other revenue sources include revenues from leases, derivatives and alternative revenue programs that are not considered revenues from contracts with customers. Alternative revenue programs in certain jurisdictions include regulatory mechanisms that periodically adjust for over or under collection of related revenues.

The following table presents the reserve for credit losses for trade and other receivables.

			Three Months Ended March 31, 2025 and 2026
						Duke						Duke			Duke			Duke			Duke
			Duke			Energy			Progress			Energy			Energy			Energy			Energy
(in millions)			Energy			Carolinas			Energy			Progress			Florida			Ohio			Indiana			Piedmont
Balance at December 31, 2024			$	207		$	69		$	73		$	44		$	29		$	43		$	15		$	7
Write-Offs			(29)			(14)			(15)			(8)			(7)			—			—			—
Credit Loss Expense			14			5			8			5			3			1			—			—
Other Adjustments			9			4			1			1			—			2			2			—
Balance at March 31, 2025			$	201		$	64		$	67		$	42		$	25		$	46		$	17		$	7
Balance at December 31, 2025			$	194		$	55		$	65		$	38		$	27		$	51		$	15		$	6
Write-Offs			(27)			(7)			(10)			(6)			(4)			(7)			(2)			(1)
Credit Loss Expense			35			10			10			7			3			8			3			4
Other Adjustments			(1)			(1)			—			—			—			—			—			—
Balance at March 31, 2026			$	201		$	57		$	65		$	39		$	26		$	52		$	16		$	9

Trade and other receivables are evaluated based on an estimate of the risk of loss over the life of the receivable and current and historical conditions using supportable assumptions. Management evaluates the risk of loss for trade and other receivables by comparing the historical write-off amounts to total revenue over a specified period. Historical loss rates are adjusted due to the impact of current conditions, as well as forecasted conditions over a reasonable time period. The calculated write-off rate can be applied to the receivable balance for which an established reserve does not already exist. Management reviews the assumptions and risk of loss periodically for trade and other receivables.

FINANCIAL STATEMENTS			STOCKHOLDERS' EQUITY

14. STOCKHOLDERS' EQUITY

Basic EPS is computed by dividing net income available to Duke Energy common stockholders, as adjusted for distributed and undistributed earnings allocated to participating securities and accumulated preferred dividends, by the weighted average number of common shares outstanding during the period. Diluted EPS is computed by dividing net income available to Duke Energy common stockholders, as adjusted for distributed and undistributed earnings allocated to participating securities, by the diluted weighted average number of common shares outstanding during the period. Diluted EPS reflects the potential dilution that could occur if securities or other agreements to issue common stock, such as equity forward sale agreements or convertible debt, were exercised or settled. Duke Energy applies the if-converted method for calculating any potential dilutive effect of the conversion of the outstanding convertible notes on diluted EPS, if applicable. Duke Energy’s participating securities are restricted stock units that are entitled to dividends declared on Duke Energy common stock during the restricted stock unit’s vesting periods. Dividends declared on preferred stock are recorded on the Condensed Consolidated Statements of Operations as a reduction of net income to arrive at net income available to Duke Energy common stockholders.

The following table presents Duke Energy’s basic and diluted EPS calculations, the weighted average number of common shares outstanding and common and preferred share dividends declared.

									Three Months Ended March 31,
(in millions, except per share amounts)															2026						2025
Net Income available to Duke Energy common stockholders															$	1,536					$	1,365
Less: Income from discontinued operations attributable to Duke Energy common stockholders															13						—
Less: Impact of participating securities															2						1
Income from continuing operations available to Duke Energy common stockholders															$	1,521					$	1,364
Weighted average common shares outstanding – basic															778						777
Convertible notes / equity forwards															1						—
Weighted average common shares outstanding – diluted															779						777
EPS from continuing operations available to Duke Energy common stockholders
Basic and diluted(a)															$	1.95					$	1.76
Potentially dilutive items excluded from the calculation(b)															2						2
Dividends declared per common share															$	1.065					$	1.045
Dividends declared on Series A preferred stock per depositary share(c)															$	0.359					$	0.359

(a)Convertible notes were included in the calculation of diluted EPS for the three months ended March 30, 2026, but the impact was immaterial. For the three months ended March 31, 2025, convertible notes were excluded from the calculation of diluted EPS because the effect was antidilutive.

(b)Performance stock awards were not included in the dilutive securities calculation because the performance measures related to the awards had not been met.

(c)5.75% Series A Cumulative Redeemable Perpetual Preferred Stock dividends are payable quarterly in arrears on the 16th day of March, June, September and December. The preferred stock has a $25 liquidation preference per depositary share.

Common Stock

In March 2026, Duke Energy filed a prospectus supplement and executed an Equity Distribution Agreement (EDA) under which it may sell up to $6 billion of its common stock through an at-the-market (ATM) offering program, including an equity forward sales component. Under the terms of the EDA, Duke Energy is entitled to issue and sell shares of common stock through September 2028.

The following table shows ATM equity issuances pursuant to forward contracts executed in March 2026.

Tranche						Shares Priced			Initial Forward Price
1						1,129,654			$	131.82
2						1,164,943			$	127.84
Total						2,294,597

The following table shows ATM equity issuances pursuant to forward contracts executed during the three months ended March 31, 2025.

Tranche						Shares Priced			Initial Forward Price
1						1,710,979			$	116.02
2						1,262,618			$	117.94
3						1,264,410			$	117.79
Total						4,238,007

FINANCIAL STATEMENTS			STOCKHOLDERS' EQUITY

The equity forwards require Duke Energy to either physically settle the transactions by issuing shares in exchange for net proceeds at the then-applicable forward sale price specified by the agreements or net settle in whole or in part through the delivery or receipt of cash or shares. The settlement alternatives are at Duke Energy's election. No amounts have or will be recorded in Duke Energy's Condensed Consolidated Financial Statements with respect to the ATM offering until settlement of the equity forwards occurs, which is expected by December 31, 2027. The initial forward sale prices will be subject to adjustment on a daily basis based on a floating interest rate factor and will decrease by other fixed amounts specified in the relevant forward sale agreements. Until settlement of the equity forwards, earnings per share dilution resulting from the agreements, if any, will be determined under the treasury stock method.

15. EMPLOYEE BENEFIT PLANS

DEFINED BENEFIT RETIREMENT PLANS

Duke Energy and certain subsidiaries maintain, and the Subsidiary Registrants participate in, qualified and non-qualified, non-contributory defined benefit retirement plans. Duke Energy's policy is to fund amounts on an actuarial basis to provide assets sufficient to meet benefit payments to be paid to plan participants.

QUALIFIED PENSION PLANS

The following tables include the components of net periodic pension costs for qualified pension plans.

			Three Months Ended March 31, 2026
									Duke												Duke						Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Service cost			$	26					$	9					$	7					$	4					$	3					$	1					$	2					$	1
Interest cost on projected benefit obligation			78						19						25						11						14						4						6						2
Expected return on plan assets			(142)						(36)						(53)						(23)						(30)						(6)						(10)						(5)
Amortization of actuarial loss			27						6						9						5						5						1						2						2
Amortization of prior service credit			(1)						—						—						—						—						—						—						(1)
Amortization of settlement charges			6						3						2						1						1						—						—						1
Net periodic pension costs			$	(6)					$	1					$	(10)					$	(2)					$	(7)					$	—					$	—					$	—

			Three Months Ended March 31, 2025
									Duke												Duke						Duke						Duke						Duke
			Duke						Energy						Progress						Energy						Energy						Energy						Energy
(in millions)			Energy						Carolinas						Energy						Progress						Florida						Ohio						Indiana						Piedmont
Service cost			$	27					$	9					$	7					$	5					$	3					$	—					$	1					$	1
Interest cost on projected benefit obligation			82						19						26						11						14						4						7						3
Expected return on plan assets			(149)						(38)						(55)						(24)						(30)						(5)						(10)						(5)
Amortization of actuarial loss			15						4						5						2						2						1						1						1
Amortization of prior service credit			(3)						—						—						—						—						—						—						(2)
Amortization of settlement charges			6						3						2						1						1						—						—						1
Net periodic pension costs			$	(22)					$	(3)					$	(15)					$	(5)					$	(10)					$	—					$	(1)					$	(1)

NON-QUALIFIED PENSION PLANS

Net periodic pension costs for non-qualified pension plans were not material for the three months ended March 31, 2026, and 2025.

OTHER POST-RETIREMENT BENEFIT PLANS

Net periodic costs for OPEB plans were not material for the three months ended March 31, 2026, and 2025.

16. INCOME TAXES

The IRA established transferability markets that enable monetization of tax credits. In April 2026, Duke Energy executed a multi-year agreement with a counterparty for the sale of up to $3.1 billion in net tax credits, including nuclear PTCs, solar PTCs and ITCs to be earned from 2025 through 2028. Proceeds are expected to be received from 2026 through 2029, including approximately $2 billion for Duke Energy Carolinas, $700 million for Duke Energy Progress and $350 million for Duke Energy Florida. The net realizable value from the sale of these tax credits is expected to ultimately flow back to customers through rates over time, subject to regulatory approval.

Corporate Alternative Minimum Tax

On February 18, 2026, the U.S. Treasury Department published Notice 2026-7 (Notice) providing additional interim guidance on the application of the Corporate Alternative Minimum Tax (CAMT) under the Internal Revenue Code. The notice includes adjustments to the adjusted financial statement income that permit taxpayers to deduct certain tax-deductible repairs with respect to Section 168 property for CAMT purposes, as well as other adjustments related to capitalization differences.

FINANCIAL STATEMENTS			INCOME TAXES

As a result, Duke Energy intends to file amended federal tax returns with additional refund claims of approximately $70 million for tax years 2023 and 2024. Duke Energy also reduced accrued taxes by $80 million related to tax year 2025. These amounts have been recorded to the Duke Energy Condensed Consolidated Balance Sheets as of March 31, 2026, as well as a corresponding $150 million reduction to deferred income tax assets due to lower CAMT credit carryforwards.

EFFECTIVE TAX RATES

The ETRs from continuing operations for each of the Duke Energy Registrants are included in the following table.

									Three Months Ended
									March 31,
															2026						2025
Duke Energy															17.6		%				12.1		%
Duke Energy Carolinas															2.5		%				9.0		%
Progress Energy															14.1		%				16.8		%
Duke Energy Progress															10.2		%				14.5		%
Duke Energy Florida															19.7		%				19.9		%
Duke Energy Ohio															19.3		%				18.0		%
Duke Energy Indiana															14.0		%				12.5		%
Piedmont															25.1		%				20.7		%

The increase in the ETR for Duke Energy for the three months ended March 31, 2026, was primarily due to non-deductible goodwill associated with the sale of Piedmont's Tennessee business and a decrease in the amortization of EDIT, partially offset by an increase in the amortization of nuclear PTCs.

The decrease in the ETR for Duke Energy Carolinas for the three months ended March 31, 2026, was primarily due to an increase in the amortization of nuclear PTCs, partially offset by a decrease in the amortization of EDIT.

The decrease in the ETR for Progress Energy for the three months ended March 31, 2026, was primarily due to an increase in the amortization of nuclear PTCs.

The decrease in the ETR for Duke Energy Progress for the three months ended March 31, 2026, was primarily due to an increase in the amortization of nuclear PTCs.

The increase in the ETR for Duke Energy Ohio for the three months ending March 31, 2026, was primarily due to a decrease in the amortization of EDIT.

The increase in the ETR for Duke Energy Indiana for the three months ended March 31, 2026, was primarily due to a decrease in the amortization of EDIT.

The increase in the ETR for Piedmont for the three months ending March 31, 2026, was primarily due to higher state tax expense associated with the sale of Piedmont's Tennessee business.

MD&A			DUKE ENERGY