DTE Energy Co. - 4.375% DB REDEEM 01/12/2081 USD 25

Strong operating performance + 2026 guidance outlook (good): - Q2 2026 operating EPS: $1.32/share (operating earnings $274M). - High-end bias maintained: Management said they are on track to hit the high end of the 2026 operating EPS guidance range (6%–8% growth vs. 2025 midpoint). - Segment drivers (vs. Q2 2025): - DTE Electric: $270M, -$48M YoY (timing of taxes, higher rate base costs, colder weather; partially offset by rate implementation). - DTE Gas: -$10M YoY (higher rate base and O&M; warmer weather; partly offset by IRM revenue). - Vantage: $45M, +$14M YoY (custom energy solutions + RNG platforms). - Energy Trading: $41M, +$17M YoY (power portfolio timing; partial reversal of Q1). - No dividends/buybacks were discussed in the transcript.

Major storm impact + reliability progress still intact (good + challenging + surprising): - Early July severe fast-moving storm: impacted ~400,000 customers, with >600 broken poles and major tree-related damage outside utility right-of-way; storm models did not anticipate severity and it developed rapidly. - Outage restoration took longer than typical targets due to unexpectedly widespread damage. Crews were brought from as far as Oklahoma and Texas; work extended over the holiday weekend. - Positive surprising element: areas with completed reliability upgrades performed significantly better, reinforcing the investment thesis. - Reliability improvements remain strong: - Outage duration improved ~90% (2023–2025) - Best all-weather SAIDI in ~2 decades - In the prior 5 storms before July, DTE restored 97% within 24 hours and ~100% within 48 hours. - Implication for investors: near-term storm volatility is a known risk, but execution + hardening are showing measurable payoff.

Data center growth is the key upside lever (opportunities): - Oracle (1.4 GW): fully approved, under construction, included in the plan. - Google (1.0 GW): agreement submitted to MPSC and progressing; provides upside to the long-term plan. - Targeting another agreement by end of 2026: management reiterated ~2 GW in “advanced discussions” (mix of hyperscalers and colocators). - Commercial discussions ongoing; customers completing additional load ramp modeling and working on site plan approval / zoning path. - Pipeline outlook: now 5–6 GW additional opportunities (advanced + broader pipeline), with ~2 GW advanced and 3–4 GW earlier-stage. - Regulatory visibility: next IRP planned later this quarter (Q3); shaped load scenarios will include signed contracts in the base case and the broader pipeline in higher cases.