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PG&E Corporation (PCG) Q2 Earnings Miss, Revenues Up Y/Y

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PG&E Corporation (PCG - Free Report) reported adjusted operating earnings per share of 27 cents in second-quarter 2021, which missed the Zacks Consensus Estimate of 29 cents by 6.9%. The bottom line also declined 73.8% from the year-ago quarter’s reported figure.

Including one-time items, the company reported GAAP earnings of 18 cents per share against a loss of $3.73 in the prior-year quarter.

Revenue Update

PG&E Corp’s total revenues of $5,215 million rose 15% from the year-ago quarter’s $4,533 million. Revenues also exceeded the Zacks Consensus Estimate of $4,953 million by 5.3%. This year-over-year upside was primarily driven by an increase in Electric and Natural Gas sales.

Operational Highlights

Operating expenses in the reported quarter totaled $4,581 million, which increased 7.8% from $4,251 million in second-quarter 2020. The decline was due to higher costs of electricity, natural gas, and operation and maintenance.

The company reported an operating income of $634 million compared to the operating income of $282 million during the previous year’s second quarter.

Interest expenses in second-quarter 2021 summed $398 million compared with $199 million in the year-ago period.

Pacific Gas & Electric Co. Price, Consensus and EPS Surprise

Guidance

PG&E Corp. has adjusted the 2021 GAAP earnings guidance in the range of $0.01-$0.15 per share.

On a non-GAAP basis, the guidance for 2021 core earnings has been reaffirmed at $0.95-$1.05 per share. The Zacks Consensus Estimate for 2021 earnings, pegged at $1.01 per share, lies above the midpoint of the company’s guided range.

Zacks Rank

PG&E Corp. currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Utility Releases

American Electric Power (AEP - Free Report) reported second-quarter 2021 adjusted earnings per share of $1.18, which exceeded the Zacks Consensus Estimate of $1.14 by 3.5%.

NextEra Energy (NEE - Free Report) reported second-quarter 2021 adjusted earnings of 71 cents per share, which beat the Zacks Consensus Estimate of 67 cents by 5.6%.

DTE Energy Company (DTE - Free Report) reported second-quarter 2021 operating earnings per share (EPS) of $1.70, which beat the Zacks Consensus Estimate of $1.44 by 18.1%.

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