Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

DTE Energy Company (DTE - Analyst Report) reported first quarter 2013 earnings per share of $1.34, easily beating the Zacks Consensus Estimate of $1.03. Results improved 47.3% year over year.

Earnings were driven by normal weather compared to a very mild winter in 2012, operating cost improvements at the utilities, and solid performance from the non-utility businesses.

Operating Statistics

Total revenue at DTE Energy was $2.5 billion, up 12.4% year over year. The reported quarter’s revenue also comfortably surpassed the Zacks Consensus Estimate of $2.3 billion.

Fuel, purchased power and gas expenses increased 15.2% year over year to $1 billion. Operation and maintenance expenses were up 1.9% year over year to $735 million.

The increase in expenses was offset by the revenue climb, thereby resulting in an operating income of $410 million, up 31.4% year over year.

Segment Update

DTE Electric: Segment earnings were $115 million or 66 cents per share, up from $96 million or 56 cents in the prior-year quarter.

DTE Gas: Segment profit was $96 million or 55 cents per share, up from $52 million or 31 cents per share in first quarter 2012.

Non-Utility Operations

Gas Storage and Pipelines: The segment generated profit of $17 million or 10 cents per share, flat year over year.

Power and Industrial Projects: The segment posted a profit of $12 million or 7 cents per share, up from $8 million or 5 cents per share in the year-ago period.

Energy Trading: The segment posted a profit of $7 million or 4 cents per share versus a loss of $2 million or 1 cent per share in the prior-year period.

Corporate and Other: Loss in the quarter was $13 million or 8 cents per share versus a loss of 15 cents or 10 cents per share.

Financial Update

As of Mar 31, 2013, cash and cash equivalents were $218 million, up from $65 million as of Dec 31, 2012. At the end of first quarter 2013, long-term debt, net of current portion, was $7.2 billion versus $7 billion at year-end 2012.

During the quarter, net cash from operating activities was $597 million, down from $620 million in the first quarter of 2012.

Guidance

The company expects earnings per share for 2013 in the range of $3.85 to $4.15. DTE Energy expects cash from operations of $1.8 billion for 2013.

In the long term, the company expects earnings growth in the range of 5.0% to 6.0%.

Zacks Rank

DTE Energy presently retains a short-term Zacks Rank #4 (Sell). Stocks in the energy sector worth considering are ALLETE, Inc. (ALE - Snapshot Report), Calpine Corp. (CPN - Snapshot Report), Cleco Corporation (CNL - Snapshot Report), all with a Zacks Rank #2 (Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

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 Zacks.com. 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
DIXIE GROUP DXYN 15.84 +7.90%
BOFL HOLDING BOFI 85.30 +4.97%
RAMBUS INC RMBS 12.31 +4.41%
VIPSHOP HOLD VIPS 148.73 +4.35%
NETFLIX INC NFLX 345.74 +4.32%