Back to top

Analyst Blog

Westar Energy, Inc. (WR - Snapshot Report) reported second-quarter 2013 earnings per share of 53 cents, beating the Zacks Consensus Estimate by 9 cents. Quarterly earnings were 10.4% higher than the year-ago level primarily due to effective cost-containment efforts and increased proceeds from corporate-owned life insurance.

Operational Update

Westar Energy posted total revenues of $569.6 million, marginally below the Zacks Consensus Estimate of $573 million. However, revenue increased 0.6% from the year-ago figure of $566.3 million.

A strong contribution from Wholesale, Transmission and Other segments, partially offset by a decline in revenues from Retail – Residential, Commercial and Industrial led to the moderate top-line increase.

The company’s total operating expenses increased 1.1% year over year to $438.1 million mainly attributable to higher fuel and purchased power as well as operating and maintenance costs. Westar Energy reported operating income of $131.5 million, down 1.2% year over year.

Interest expenses increased 2.2% year over year to $45.8 million primarily due to a rise in the long-term debt level.

Financial Condition

Cash and cash equivalents of Westar Energy as of Jun 30, 2013, were $4.0 million, down from $5.8 million as of Dec 31, 2012.

The company’s long-term debt increased to $5.7 billion as of Jun 30, 2013 from $5.5 billion as of Dec 31, 2012 due to the issuance of $250 million principal amount of first mortgage bonds.

Westar Energy’s cash flow from operating activities during the first six months of 2013 was $231.3 million, up 124.2% than $103.2 million in the first six months of 2012. Cash flow surged on account of receipts from retail and wholesale customers, lower pension and post-retirement benefit as well as fuel and purchased power costs.


Westar Energy increased its full-year 2013 earnings guidance to the range of $2.05-$2.15 from the prior $2.00-$2.15 per share.

Other Company Releases

ALLETE Inc. (ALE - Snapshot Report) reported second quarter earnings of 35 cents per share, missing the Zacks Consensus Estimate by 5 cents.

FirstEnergy Corporation (FE - Analyst Report) announced second quarter operating earnings of 59 cents per share, beating the Zacks Consensus Estimate by 7 cents.

PPL Corporation (PPL - Analyst Report) reported second quarter operational earnings of 49 cents per share ahead of the Zacks Consensus Estimate by a penny.

Zacks Rank

Westar Energy currently carries a Zacks Rank #3 (Hold).

Topeka, KS-based Westar Energy provides electricity to retail as well as wholesale customers. The company utilizes coal, natural gas, uranium, wind and landfill gas for electricity generation.

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
TRIQUINT SE… TQNT 20.67 +6.52%
RF MICRO DE… RFMD 12.47 +6.04%
VASCO DATA… VDSI 14.77 +4.68%
STRATTEC SE… STRT 80.24 +3.00%
PATTERSON-U… PTEN 34.54 +2.98%