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Consolidated Edison's (ED) Q3 Earnings Beat, Revenues Up Y/Y

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Consolidated Edison, Inc. (ED - Free Report) reported third-quarter 2022 adjusted earnings of $1.63 per share, which beat the Zacks Consensus Estimate of $1.47 by 10.9%. The bottom line improved 15.6% from $1.41 in the prior-year quarter.

Barring one-time adjustments, the company posted GAAP earnings of $1.73 per share compared with $1.52 in the third quarter of 2021.

Total Revenues

In the reported quarter, the company’s total revenues of $4,165 million surpassed the Zacks Consensus Estimate of $3,726 million by 11.8%. The top line also improved 15.3% from $3,613 million in the year-ago quarter. The upside was attributable to higher electric, gas, and steam as well as non-utility revenues.

Consolidated Edison Inc Price, Consensus and EPS Surprise

Consolidated Edison Inc Price, Consensus and EPS Surprise

Consolidated Edison Inc price-consensus-eps-surprise-chart | Consolidated Edison Inc Quote

Electric revenues totaled $3,328 million in the third quarter, up 12.7% from the prior-year quarter. Gas revenues were up 32.8% to $453 million.

Steam revenues were up 5.5% to $58 million. Also, non-utility revenues that amounted to $326 million went up 23% from the year-earlier quarter.

Operating Statistics

Total operating expenses in the third quarter escalated 18.6% year over year to $3,276 million.

Fuel expenses increased 34.1% year over year, while cost of gas purchased for resale increased a huge 123%. Depreciation and amortization and taxes, other than income taxes, increased 2.5% and 6.9% year over year, respectively. Other operations and maintenance expenses rose 17.7%, while purchase power costs increased 33.7%.

The company’s third-quarter operating income improved 4.6% year over year to $3889 million.

Financials

Cash and temporary cash investments as of Sep 30, 2022 were $70 million compared with $992 million as of Dec 31, 2021.

Long-term debt was $22,350 million as of Sep 30, 2022 compared with $22,604 million at 2021-end.

During the first nine months of 2022, cash from operating activities amounted to $2,191 million compared with $1,251 million generated in the year-ago period.

2022 Guidance     

For 2022, the company narrowed its adjusted earnings per share to the range of $4.50-$4.60 from the prior guidance range of $4.40-$4.60. The Zacks Consensus Estimate for full-year earnings is pegged at $4.52 per share, which lies below the mid-point of the company’s guided range.

Zacks Rank

Consolidated Edison 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

Sempra Energy’s (SRE - Free Report) third-quarter 2022 adjusted earnings per share (EPS) came in at $1.97, which beat the Zacks Consensus Estimate of $1.79 by 10.1%. The bottom line also increased 15.9% from $1.70 in the prior-year quarter.

In the quarter under review, Sempra’s total revenues of $3,617 million increased 20% year over year on higher contributions from the Natural Gas business (up 26.5%), Electric business (up 4%) as well as Energy-related businesses (up 48.6%).

FirstEnergy Corporation (FE - Free Report) delivered third-quarter 2022 operating EPS of 79 cents, beating the Zacks Consensus Estimate of 77 cents by 2.6%. In the trailing twelve-month period, FirstEnergy’s electricity sales improved 1.3% from the prior-year period.

FirstEnergy generated operating revenues of $3,533 million in the third quarter, which surpassed the Zacks Consensus Estimate of $3,190 million by 10.8%.

DTE Energy Company (DTE - Free Report) reported third-quarter 2022 operating EPS of $1.60, which surpassed the Zacks Consensus Estimate of $1.58 by 1.3%. However, the bottom line decreased 7% from the year-ago quarter’s $1.72 per share.

The operating net income of DTE in the reported quarter totaled $311 million compared with $334 million in the year-ago quarter.

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