Constellation Energy Market Performance

3 Non-GAAP Financial Measures Constellation reports its financial results in accordance with accounting principles generally accepted in the United States (GAAP). Constellation supplements the reporting of financial information determined in accordance with GAAP with certain non-GAAP financial measures, including: • . e 0 • Adjusted EBITDA represents earnings before interest, taxes, depreciation and amortization, and excludes certain costs, expenses, gains and losses and other specified items, including mark-to-market adjustments from economic hedging activities, decommissioning related activity, asset impairments, certain amounts associated with plant retirements and divestitures, pension and OPEB non-service costs, separation related costs and other items as set forth in the Appendix. Includes nuclear fuel amortization expense. Adjusted operating and maintenance expense excludes direct cost of sales for certain Constellation and Power businesses, ARO accretion expense from unregulated units and decommissioning costs that do not affect profit and loss, the impact from operating and maintenance expense related to variable interest entities at Constellation, and other items as set forth in the reconciliation in the Appendix Total gross margin is defined as operating revenues less purchased power and fuel expense, excluding revenue related to decommissioning, gross receipts tax, JExel Nuclear JV, variable interest entities, and net of direct cost of sales for certain Constellation and Power businesses Adjusted cash flows from operations primarily includes net cash flows from operating activities and Collection of Deferred Purchase Price (DPP) related to the revolving accounts receivable arrangement, which is presented in cash flows from investing activities for GAAP Free cash flows before growth (FCFbg) is Adjusted cash flows from operations less capital expenditures for maintenance and nuclear fuel, non-recurring capital expenditures related to separation and ERP system implementation, changes in collateral, net merger and acquisitions, and equity investments and other items as forth in Appendix Adjusted operating revenues exclude the Mark-to-Market impact of economic hedging activities due to the volatility and unpredictability of the future changes in commodity prices Adjusted purchased power and fuel excludes the Mark-to-Market impact of economic hedging activities due to the volatility and unpredictability of the future changes in commodity prices Due to the forward-looking nature of some forecasted non-GAAP measures, information to reconcile the forecasted adjusted (non-GAAP) measures to the most directly comparable GAAP measure may not be currently available, as management is unable to project all of these items for future periods Constellation.

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