“Accordingly, we are confident that our earnings CAGR will be at midpoint or better of the 5% to 7% range over the 2023 to 2027 period and in future updates.”

In context

“ating an annualized operating earnings growth target of 5% to 7% through 2027 from our 2023 guidance midpoint of $2.36 per share. The lower growth outlook from what we previously laid out is not a decision we took lightly, but as a result of the challenging rate case outcomes and decelerated piece of investment in Illinois. As you heard from Calvin, Illinois is only one jurisdiction in which we operate. We are continuing momentum in our other jurisdictions as the second multiyear plans at Pepco progressed in line with our expectations, as PECO anticipates filing in the first half of this year, consistent with our general two to three-year rate case cadence and does all of our utilities execute on the robust transmission strategy and cost management initiatives outlined on the prior slide. Accordingly, we are confident that our earnings CAGR will be at midpoint or better of the 5% to 7% range over the 2023 to 2027 period and in future updates. Even with the process in Illinois remaining uncertain, our earnings growth guidance is resilient and account for the possibility that limited progress is made in Illinois, and we need to significantly reduce investment in common distribution further. We also continue to project an approximate 60% dividend payout ratio of operating earnings, with the dividend growing in line with our long-term earnings target. We announced today an expected annualized dividend of $1.52 per share in 2024 which is over 5.5% higher than the 23% dividends. Maintaining our commitment to transparency and predictability, we have provided year-over-year drivers contributing to the expected annual growth in our earnings through 2027 on slide 13. While there is variability in the year-over-year growth over the four”