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Pinnacle West Capital (PNW) Lags Q3 Earnings, View Intact
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Pinnacle West Capital Corp. (PNW - Free Report) reported adjusted earnings per share of $2.35 in the third quarter of 2016, lagging the Zacks Consensus Estimate of $2.41 by 2.5%. Reported earnings however, inched up 2.2% year over year.
Total Revenue
In the quarter under review, total revenue of $1,166.9 million missed the Zacks Consensus Estimates of $1,220 million by 4.3%. Reported revenues were also declined 2.7% from the year-ago figure of $1,199 million.
Mild temperatures in August and September were responsible for the decline in the top line.
Operational Highlights
Total operating expenses in third-quarter 2016 fell 5.1% to $715.6 million primarily due to lower fuel and purchased power, and other expenses.
In the reported quarter, operating income increased 1.4% over year to $451.3 million.
Interest expenses increased 2.4% to $46.9 million from $45.8 million a year ago.
Cash & cash equivalents were $48.3 million as of Sep 30, 2016, up from $39.5 million as of Dec 31, 2015.
Long-term debt was $4,145.4 million as of Sep 30, 2016, up from $3,462.4 millionas of Dec 31, 2015.
Cash from operating activities in the first nine months of 2016 was $765.1 million, down from $821.4 million in the prior-year period.
Guidance
For 2016, Pinnacle West Capital reiterated its earnings guidance in the range of $3.90–$4.10 per diluted share.
The company expects operating & maintenance expenditure in the range of $825–$845 million.
Capital expenditure is projected to be $1,233 million, $1,337 million and $1,124 million for 2016, 2017 and 2018, respectively.
Other Utility Releases
NextEra Energy, Inc.(NEE - Free Report) announcedthird-quarter 2016 adjusted earnings of $1.74 per share, outpacing the Zacks Consensus Estimate of $1.65 by 5.5%.
WEC Energy Group (WEC - Free Report) reported third-quarter 2016 adjusted earnings of 69 cents per share, beating the Zacks Consensus Estimate of 60 cents by 15%.
Xcel Energy Inc. (XEL - Free Report) recorded third-quarter operating earnings of 90 cents per share, outpacing the Zacks Consensus Estimate of 87 cents by 3.5%.
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Pinnacle West Capital (PNW) Lags Q3 Earnings, View Intact
Pinnacle West Capital Corp. (PNW - Free Report) reported adjusted earnings per share of $2.35 in the third quarter of 2016, lagging the Zacks Consensus Estimate of $2.41 by 2.5%. Reported earnings however, inched up 2.2% year over year.
Total Revenue
In the quarter under review, total revenue of $1,166.9 million missed the Zacks Consensus Estimates of $1,220 million by 4.3%. Reported revenues were also declined 2.7% from the year-ago figure of $1,199 million.
Mild temperatures in August and September were responsible for the decline in the top line.
Operational Highlights
Total operating expenses in third-quarter 2016 fell 5.1% to $715.6 million primarily due to lower fuel and purchased power, and other expenses.
In the reported quarter, operating income increased 1.4% over year to $451.3 million.
Interest expenses increased 2.4% to $46.9 million from $45.8 million a year ago.
PINNACLE WEST Price, Consensus and EPS Surprise
PINNACLE WEST Price, Consensus and EPS Surprise | PINNACLE WEST Quote
Financial Update
Cash & cash equivalents were $48.3 million as of Sep 30, 2016, up from $39.5 million as of Dec 31, 2015.
Long-term debt was $4,145.4 million as of Sep 30, 2016, up from $3,462.4 millionas of Dec 31, 2015.
Cash from operating activities in the first nine months of 2016 was $765.1 million, down from $821.4 million in the prior-year period.
Guidance
For 2016, Pinnacle West Capital reiterated its earnings guidance in the range of $3.90–$4.10 per diluted share.
The company expects operating & maintenance expenditure in the range of $825–$845 million.
Capital expenditure is projected to be $1,233 million, $1,337 million and $1,124 million for 2016, 2017 and 2018, respectively.
Other Utility Releases
NextEra Energy, Inc.(NEE - Free Report) announcedthird-quarter 2016 adjusted earnings of $1.74 per share, outpacing the Zacks Consensus Estimate of $1.65 by 5.5%.
WEC Energy Group (WEC - Free Report) reported third-quarter 2016 adjusted earnings of 69 cents per share, beating the Zacks Consensus Estimate of 60 cents by 15%.
Xcel Energy Inc. (XEL - Free Report) recorded third-quarter operating earnings of 90 cents per share, outpacing the Zacks Consensus Estimate of 87 cents by 3.5%.
Zacks Rank
Pinnacle West presently carries a Zacks Rank #2 (Buy).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>