| DTE Energy Beats Q1 Earnings Estimates, Misses Revenues - Analyst Blog | |
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DTE Energy Company DTE reported first-quarter 2015 operating earnings per share of $1.65, beating the Zacks Consensus Estimate of $1.49 by 10.7%. However, earnings were 2.4% lower than the year-ago figure of $1.69 per share.
The year-over-year decline was due to a 2% contraction in sales volume at DTE Energy’s electric as well as gas unit.
On a GAAP basis, earnings came in at $1.53 per share compared with $1.84 per share in the prior-year quarter. The variance between GAAP and pro forma earnings was due to adjustments of certain non-recurring items in its Energy Trading operations.
Total Revenue
Total revenues came in at $2,984 million in the quarter, lagging the Zacks Consensus Estimate by 24.9%. Reported revenues also decreased 24.1% year over year.
Operating Update
Operation and maintenance expenses in the reported quarter were $826 million, down 1.8% year over year.
Total operating expenses decreased 25.1% year over year to $2,523 million. This was primarily due to lower Fuel, Purchased Power and Gas expenses (down 35.1% year over year) and operation and maintenance expenses.
Due to the decline in the top line, operating income in the reported quarter was down 17.7% year over year to $461 million.
Segmental Highlights
DTE Electric: Segment earnings were $136 million, in line with the year-ago level.
DTE Gas: The segment reported operating earnings of $111 million, down from $129 million a year ago.
Non-Utility Operations
Gas Storage and Pipelines: The segment generated a profit of $27 million, up from $21 million in the year-ago quarter.
Power and Industrial Projects: The segment posted a profit of $33 million, up from $15 million in the year-ago quarter.
Energy Trading: The segment reported a profit of $12 million compared with a profit of $8 million in the prior-year period.
Corporate and Other: The segment incurred a loss of $25 million, wider than a loss of $9 million in the year-ago quarter.
Financial Update
Operating cash flow in first-quarter 2015 was $0.8 billion compared with $0.5 billion in first-quarter 2014.
The company utilized $0.1 billion to pay dividends and $0.5 billion to redeem existing debts during the period.
Guidance
DTE Energy reiterated its operating earnings per share guidance for 2015 in the range of $4.48−$4.72. The company maintained its earnings growth target of 5% to 6%.
Upcoming Utility Releases
NextEra Energy, Inc. NEE is expected to release its first-quarter earnings on Apr 29, 2015. The Zacks Consensus Estimate stands at $1.28.
Duke Energy Corp. DUK is expected to release its first-quarter earnings on May 1, 2015. The Zacks Consensus Estimate stands at $1.12.
Dominion Resources, Inc. D is expected to release its first-quarter earnings on May 4, 2015. The Zacks Consensus Estimate stands at 96 cents.
Our View
Though the colder-than-normal weather in its service territories was definitely a driver during the reported quarter, the year-over-year comparison was made difficult by the severe polar vortex witnessed in first-quarter 2014.
DTE Energy is investing in its infrastructure and gradually enhancing its renewable generation portfolio, which will help the company to meet its long-term earnings growth guidance of 5% to 6% over the 2015-2019 time frame.
DTE Energy currently has a Zacks Rank #2 (Buy). Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NEXTERA ENERGY (NEE): Free Stock Analysis Report DUKE ENERGY CP (DUK): Free Stock Analysis Report DTE ENERGY CO (DTE): Free Stock Analysis Report DOMINION RES VA (D): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
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Duke Energy
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CODE : DUK |
ISIN : US26441C2044 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Duke Energy is a and oil producing company based in United states of america. Duke Energy is listed in United States of America. Its market capitalisation is US$ 80.6 billions as of today (€ 72.5 billions). Its stock quote reached its lowest recent point on May 02, 2003 at US$ 10.00, and its highest recent level on September 19, 2024 at US$ 115.14. Duke Energy has 700 299 523 shares outstanding. |