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Here are 1-2 brief analogies for Hawaiian Electric Industries (HE):

• Hawaiian Electric Industries is like Consolidated Edison (Con Edison) for Hawaii, serving as the primary electric utility for most of the islands.
• Alternatively, think of it as the Southern Company for Hawaii, a major utility holding company providing essential power services to a distinct region.

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• Electricity Generation: Production of electric power through various sources for consumption.
• Electricity Transmission & Distribution: Delivery of electric power across grids to residential, commercial, and industrial customers.

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Hawaiian Electric Industries (symbol: HE) primarily sells electricity directly to end-users (individuals and businesses) within its service territory across five islands in Hawaii (Oahu, Maui, Hawaii Island, Lanai, and Molokai). As a regulated electric utility, the company does not primarily sell to other companies for the purpose of reselling electricity.

Its major customer categories, reflecting the end-users of its services, include:

• Residential Customers: This category includes individual households and single-family or multi-family residences that use electricity for their homes.
• Commercial Customers: This broad category encompasses a wide range of businesses, such as retail stores, offices, hotels, restaurants, small industries, and other service-oriented establishments.
• Industrial Customers: This category typically includes larger businesses and facilities that have significant electricity demands, such as large manufacturing plants, agricultural processing facilities, and other high-load industrial sites.

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• Par Hawaii, LLC (subsidiary of Par Pacific Holdings, Inc. PARR)

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Scott W. H. Seu, President and Chief Executive Officer

Mr. Seu has been the President and Chief Executive Officer of Hawaiian Electric Industries since January 2022. Prior to this, he served as the President and Chief Executive Officer of Hawaiian Electric Company, the utility subsidiary. He joined Hawaiian Electric in 1993, holding various leadership roles in environmental management, renewable energy development, electric system operations, and government and community affairs. Earlier in his career, he worked as a mechanical and environmental engineer in California and taught English in China.

Scott T. DeGhetto, Executive Vice President, Chief Financial Officer and Treasurer

Mr. DeGhetto was appointed Executive Vice President, Chief Financial Officer, and Treasurer in 2023. Before joining Hawaiian Electric Industries, he served as the Managing Director of Power, Utilities & Renewable Energy at Moelis & Company from 2011 to 2023.

Thomas B. Fargo, Chairman Executive Board

Mr. Fargo is the Chairman of the company. His previous directorships include Huntington Ingalls Industries (2011-2020), Northrop Grumman Corporation (2008-2011), Hawaiian Holdings, Inc (2005-2008), and Alexander & Baldwin (2010-2011). He also holds positions as Vice Chairman of United Services Automotive Association and Senior Advisor of SKAI Ventures.

Kurt K. Murao, Executive Vice President, General Counsel, Secretary, and Chief Administrative Officer

Mr. Murao has served as Executive Vice President, General Counsel, Chief Administrative Officer, and Corporate Secretary. He joined Hawaiian Electric Industries in 2011. Before his tenure at HEI, he worked for the Division of Corporation Finance at the U.S. Securities and Exchange Commission and at a national law firm.

Shelee M. T. Kimura, President & Chief Executive Officer, Hawaiian Electric Company, Inc.

Ms. Kimura became the President and Chief Executive Officer of Hawaiian Electric Company, a subsidiary of Hawaiian Electric Industries, in January 2022. She previously held senior vice president roles at Hawaiian Electric in Customer Service & Public Affairs and Business Development & Strategic Planning. Prior to joining Hawaiian Electric in 2014, she spent ten years at HEI, overseeing corporate finance and investments, investor relations, and strategic planning.

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The primary and most significant risk to Hawaiian Electric Industries (HE) is the financial liability and operational fallout from the 2023 Maui wildfires.

The company's shares plummeted following the wildfires, and S&P Global downgraded its credit rating to a junk bond status due to concerns about the potential liability. Hawaiian Electric Industries reached an agreement to settle tort litigation claims related to the wildfires, with its share expected to be $1.99 billion, payable in four annual installments starting in mid-2025.

However, a critical concern is that management has not yet implemented a capital financing plan to address these substantial settlement payments. This lack of a clear financing plan has led to disclosures of "going concern" risk, indicating substantial doubt about the company's ability to continue operations within the next year if these issues are not resolved. The inability to raise the necessary capital on reasonable terms could result in an event of default, acceleration of debt, and a potential filing for bankruptcy protection.

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The accelerating adoption of distributed renewable energy and battery storage by consumers and businesses poses a clear emerging threat. As the cost of rooftop solar and energy storage systems decreases, customers are increasingly able to generate, store, and consume their own electricity, significantly reducing their reliance on Hawaiian Electric's centralized grid and its traditional electricity sales. This trend directly erodes the utility's core revenue stream and can lead to challenges in maintaining grid infrastructure and service quality for remaining customers as a smaller base bears a disproportionate share of fixed costs.

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Hawaiian Electric Industries (HE) operates in two main segments: Electric Utility and Banking. The addressable markets for these services are within the state of Hawaii.

• Electric Utility: The estimated market size for utility electricity sales in Hawaii was approximately $3.543 billion in 2022. This figure is derived from 8,812 GWH in utility electricity sales and an average electricity revenue of 40.2 cents per kilowatt-hour in 2022.
• Banking: The market size of the Commercial Banking industry in Hawaii is $4.8 billion in 2025. Hawaiian Electric Industries' subsidiary, American Savings Bank, provides banking and financial services across Hawaii.

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• Capital Investments in Grid Modernization and Resilience: Hawaiian Electric Industries plans significant capital expenditures totaling $1.8 billion to $2.4 billion between 2026 and 2028. These investments are directed towards enhancing wildfire risk reduction, improving grid reliability and resilience, and repowering projects such as Waiau, along with the Army privatization project. These capital expenditures are expected to be recovered through regulatory mechanisms like the Annual Revenue Adjustment (ARA) and an Energy Cost Recovery Mechanism (EPRM), directly contributing to future revenue streams.
• Rate Adjustments through Regulatory Processes: The company is actively engaged in a regulatory process to rebase its target revenues. A rebasing proposal is expected by January 7, 2026, to establish target revenues for the second multi-year rate period under the performance-based regulation (PBR) framework, commencing on January 1, 2027. If this collaborative process does not yield an approved proposal, Hawaiian Electric will file a 2027 test year rate case in the second half of 2026, which would also lead to revised rates and, consequently, revenue adjustments.
• Investments in Wildfire Safety Strategy: Hawaiian Electric is implementing an enhanced Wildfire Safety Strategy for 2025-2027, which involves substantial infrastructure upgrades. This includes grid hardening, strategic undergrounding of power lines, deployment of covered conductors in high-risk areas, and the installation of additional weather stations and AI-assisted cameras. The costs associated with these critical safety improvements are anticipated to be incorporated into the utility's rate base, allowing for recovery through customer rates and supporting revenue growth.
• Advancement of Decarbonization and Renewable Energy Goals: Hawaiian Electric is focused on advancing decarbonization initiatives and modernizing its grid to increase renewable energy integration. The company achieved a 36% renewable portfolio standard in 2024 and aims for an interim goal of 40% by 2030. Investments in renewable energy projects and associated infrastructure will expand the company's asset base, which in a regulated utility environment, typically correlates with increased allowed revenues to provide a return on these investments.

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Share Issuance

• In September 2024, Hawaiian Electric Industries completed a sale of 62.2 million shares of common stock, generating net proceeds of approximately $557.7 million, intended to fund its contribution to the Maui wildfire tort litigation settlement and for general corporate purposes.
• Hawaiian Electric Industries filed a shelf registration statement in September 2024 for an at-the-market offering program, authorizing the potential sale of up to $250 million of common stock, although no shares have been sold under this program to date.
• Hawaiian Electric (a subsidiary) issued $500 million in unsecured senior notes in September 2025, with proceeds earmarked for capital expenditures and debt repayment.

Inbound Investments

• In September 2025, HEI increased its senior unsecured revolving credit facility capacity to $300 million from $175 million, and Hawaiian Electric expanded its own revolving commitments to $300 million from $200 million, enhancing overall liquidity and financial flexibility.

Outbound Investments

• Hawaiian Electric Industries completed the sale of a 90% stake in its American Savings Bank subsidiary for $405 million in late 2024 (specifically December 31, 2024), transitioning to a more utility-focused model.
• The company divested Hamakua Holdings on March 10, 2025, and PC Opco on August 1, 2025, as part of its strategic portfolio updates.

Capital Expenditures

• Hawaiian Electric expects capital expenditures to be approximately $400 million in 2025.
• Projected capital expenditures are set to increase to between $550 million and $700 million in 2026, with total capital expenditures for the 2026-2028 period estimated at $1.8 billion to $2.4 billion.
• The primary focus of these capital expenditures is on enhancing wildfire risk reduction, improving reliability, and investing in generation, safety, and resilience across the islands.