What factors drove NEE's earnings volatility in 2024?

NextEra Energy's (NEE) earnings volatility in 2024 was primarily driven by a combination of factors: 1. **Decline in Operating Revenue**: The company's operating revenue decreased by 14.7% year-over-year to $5.7 billion during the quarter. This decline was due to factors such as high inflation, lofty interest rates, and an uncertain demand environment, which affected the energy sector overall. 2. **Fuel Costs**: The costs of the company's fuel input, which are subject to market fluctuations, had a significant impact on the company's earnings. Higher fuel costs can lead to increased expenses, which can negatively affect profitability. 3. **Interest Rates**: NextEra Energy, like many companies in the energy sector, relies on low interest rates to finance its clean power generation projects. When interest rates rise, the company may need to adjust its distribution per unit growth, as it did in September 2023, which can lead to a reduction in earnings. In summary, NEE's earnings volatility in 2024 was primarily driven by a decline in operating revenue and fuel costs, as well as the impact of interest rates on the company's financing costs and distribution per unit growth.