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Compared to Estimates, AEP (AEP) Q2 Earnings: A Look at Key Metrics

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American Electric Power (AEP - Free Report) reported $4.58 billion in revenue for the quarter ended June 2024, representing a year-over-year increase of 4.7%. EPS of $1.25 for the same period compares to $1.13 a year ago.

The reported revenue represents a surprise of +0.94% over the Zacks Consensus Estimate of $4.54 billion. With the consensus EPS estimate being $1.23, the EPS surprise was +1.63%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how AEP performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Total Energy Sales - Retail Electric - Transmission & Distribution Utilities - Total Retail: 22,808 GWh versus 21,052.14 GWh estimated by three analysts on average.
  • Total Energy Sales - Retail Electric - Vertically Integrated Utilities - Total Retail: 22,073 GWh versus the three-analyst average estimate of 21,579.41 GWh.
  • Total Energy Sales - Wholesale Electric - Vertically Integrated Utilities: 3,176 GWh versus 3,345.59 GWh estimated by two analysts on average.
  • Total Energy Sales - Transmission & Distribution Utilities - Total: 23,061 GWh compared to the 21,638.91 GWh average estimate based on two analysts.
  • Total Energy Sales - Wholesale Electric - Transmission & Distribution Utilities: 253 GWh compared to the 459.66 GWh average estimate based on two analysts.
  • Total Energy Sales - Vertically Integrated Utilities - Total: 25,249 GWh versus the two-analyst average estimate of 24,754.01 GWh.
  • Total Revenues- Generation & Marketing: $467.50 million versus the three-analyst average estimate of $348.81 million. The reported number represents a year-over-year change of +41.1%.
  • Total Revenues- Transmission and Distribution Utilities: $1.44 billion compared to the $1.43 billion average estimate based on three analysts. The reported number represents a change of +7.1% year over year.
  • Total Revenues- Vertically Integrated Utilities: $2.62 billion versus $2.84 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -2.1% change.
  • Total Revenues- AEP Transmission Holdco: $489.90 million versus the three-analyst average estimate of $493.28 million. The reported number represents a year-over-year change of +6.8%.
  • Operating Earnings (non-GAAP)- Vertically Integrated Utilities: $244.80 million compared to the $303.06 million average estimate based on three analysts.
  • Operating Earnings (non-GAAP)- Transmission & Distribution Utilities: $215.30 million versus $203.53 million estimated by three analysts on average.
View all Key Company Metrics for AEP here>>>

Shares of AEP have returned +11.2% over the past month versus the Zacks S&P 500 composite's +0.1% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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