| Market Capitalization (Millions $) |
28,305 |
| Shares
Outstanding (Millions) |
208 |
| Employees |
9,650 |
| Revenues (TTM) (Millions $) |
16,515 |
| Net Income (TTM) (Millions $) |
1,264 |
| Cash Flow (TTM) (Millions $) |
188 |
| Capital Exp. (TTM) (Millions $) |
0 |
Business Description
Company Overview
DTE Energy Co. was incorporated in the state of Michigan in 1995. The company’s operations are primarily divided into regulated and non-regulated segments. Its regulated operations include Detroit Edison, which is focused on electric distribution and generation, and MichCon, which deals with natural gas distribution. DTE Energy also operates several non-regulated subsidiaries that are involved in areas such as energy marketing and trading, energy services, and other electricity, coal, and gas-related businesses. Notably, DTE Energy is classified as an exempt holding company under the Public Utility Holding Company Act (PUHCA) of 1935.
Power Generation Segment
DTE Energys Power Generation segment comprises its regulated power generation facilities, which primarily fall under Detroit Edison. This division operates numerous generation plants that are subject to regulation by various federal and state governmental agencies, including the Michigan Public Service Commission (MPSC), the Nuclear Regulatory Commission (NRC), and the Environmental Protection Agency (EPA).
DTE Energy generates electricity through a mix of fossil fuel plants, a hydroelectric pumped storage plant, and a nuclear plant. Additionally, it supplements its power generation with electricity purchased from other generators, suppliers, and wholesalers. This diversified approach allows DTE Energy to sell electricity primarily to four classes of customers: residential, commercial, industrial, and wholesale, serving them mainly across Michigan and neighboring regions, including Ontario, Canada.
Sales and Demand Factors
The companys sales are affected by various factors, including weather conditions, economic factors, and fluctuations in electricity prices. The highest demand and peak power generation typically occur during the summer months, particularly in the third quarter of the year, driven largely by increased air conditioning usage.
DTE Energy’s customer base is diverse; however, due to a structure where residential rates are subsidized, a small percentage of customers (less than 1%) are responsible for about 80% of the power generation margin. Furthermore, business customers opting for the electric Customer Choice program have notably impacted the company’s financial performance negatively by reducing overall demand through market competition.
Energy Procurement Strategy
To meet customer demands, particularly during peak load periods, DTE Energy purchases additional power from other electricity generators, suppliers, and wholesalers. This strategy effectively allows the company to manage peak demand without requiring substantial capital investment in new base-load power facilities.
Commitment to Reliability and Cost Management
DTE Energy is committed to being the preferred electricity supplier in southeast Michigan. To achieve this goal, the company focuses on reliability and cost-effectiveness by working closely with customers, local communities, and regulatory agencies. The company aims to manage expenses effectively by optimizing its fuel blends, taking advantage of low-cost, environmentally friendly low-sulfur western coals.
Moreover, DTE Energy continues to invest in enhancing the reliability of its generating plants by improving their availability and operational efficiency. This focus on investment helps secure long-term service reliability for its customers.
By strategically balancing generation, procurement, and customer engagement, DTE Energy aims to provide reliable and affordable electricity while maintaining a commitment to environmental stewardship and sustainability.
Company Address: One Energy Plaza Detroit 48226 MI
Company Phone Number: 235-4000 Stock Exchange / Ticker: NYSE DTE
|
8.03% 
0.23 %