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NRG Energy (NRG) Q3 Earnings Beat Estimates, Revenues Rise Y/Y

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NRG Energy, Inc. (NRG - Free Report) posted third-quarter 2021 earnings of $6.60 per share, outperforming the Zacks Consensus Estimate of $4.29 by 53.8%. The bottom line also improved 547.15% from $1.02 per share reported in the year-ago quarter.

Revenues

NRG Energy’s quarterly revenues came in at $6,609 million, up 135.3% year over year.

NRG Energy, Inc. Price, Consensus and EPS Surprise NRG Energy, Inc. Price, Consensus and EPS Surprise

NRG Energy, Inc. price-consensus-eps-surprise-chart | NRG Energy, Inc. Quote

Highlights of the Release

Third-quarter adjusted EBITDA was $767 million, up 2% from $752 million in the year-ago quarter.

The company’s total operating costs and expenses for third-quarter 2021 amounted to $4,290 million, up 77.6% from $2,416 million in third-quarter 2020.

Interest expenses of $122 million increased 23.2% from the prior-year quarter’s $99 million.

Financial Highlights

As of Sep 30, 2021, NRG Energy had cash and cash equivalents worth $259 million compared with $3,905 million on Dec 31, 2020.

As of Sep 30, 2021, its long-term debt and finance leases amounted to $7,957 million compared with $8,691 million on Dec 31, 2020.

Cash provided by operating activities for the first nine months of 2021 was $1,855 million compared with $1,386 million generated in the comparable period of 2020.

Capital expenditures for the first three quarters of 2021 were $219 million compared with $167 million in the comparable period in 2020.

Dividend Update

The company increased its 2022 annual dividend by 8% from $1.30 per share to $1.40.

Guidance

NRG Energy narrowed 2021 adjusted EBITDA view tothe $2,400-$2,500 millionrange from the prior guidance of $2,400-$2,600 million. It now expects 2021 free cash flow before growth investments in the band of $1,440-$1,540 million from the prior expectation of $1,440-$1,640 million.

NRG Energy envisioned 2022 adjusted EBITDA and free cash flow before growth investments in the band of $1,950-$2,250 million from the prior expectation of $1,140-$1,440 million.

Zacks Rank

NRG Energy has a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Peer Releases

NextEra Energy, Inc. (NEE - Free Report) reported third-quarter 2021 adjusted earnings of 75 cents per share, which beat the Zacks Consensus Estimate of 72 cents by 4.2%.

Avangrid, Inc. (AGR - Free Report) reported third-quarter 2021 earnings of 34 cents per share, beating the Zacks Consensus Estimate of 30 cents by 13.3%.

DTE Energy Company (DTE - Free Report) reported a third-quarter 2021 operating EPS of $1.72, which missed the Zacks Consensus Estimate of $1.83 by 6%.

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