ALLETE, Inc. (ALE - Free Report) reported fourth-quarter 2016 adjusted earnings of 89 cents per share, surpassing the Zacks Consensus Estimate of 73 cents by 21.9%. On a year-over-year basis earnings rose 140.5%.
Full-year 2016 earnings came in at $3.14 per share, on par with the Zacks Consensus Estimate. Yearly earnings grew 7.5% year over year.
Total Revenue
In the fourth quarter of 2016, ALLETE’s total revenues of $341.5 million lagged the Zacks Consensus Estimate of $375 million by 8.9%. Further, revenues were down 10.3% from $380.6 million reported in the prior-year quarter.
Full-year 2016 revenues came in at $1,339.7 million, marginally missing the Zacks Consensus Estimate of $1,350 million. Revenues, however, declined 9.9% from the year-ago quarter.
Highlights of the Release
ALLETE’s total electricity sales volume declined 6.7% year over year to 3,419 million kilowatt-hours.
The company’s total operating expenses were $280.4 million, down 20.1% year over year due to lower cost of sales.
Operating income in the reported quarter was up 106.4% year over year to $61.1 million.
Interest expenses increased 8.8% year over year to $17.3 million.
Financial Update
ALLETE’s cash and cash equivalents, as of Dec 31, 2016 were $27.5 million, down from $97 million as of Dec 31, 2015.
Long-term debt as of Dec 31, 2016 was $1,370.4 million, lower than $1,556.7 million at 2015 end.
Peer Releases
American Electric Power Co., Inc. (AEP - Free Report) reported fourth-quarter 2016 operating earnings of 67 cents per share, beating the Zacks Consensus Estimate of 55 cents by 21.8%.
NextEra Energy, Inc. (NEE - Free Report) reported fourth-quarter 2016 adjusted earnings of $1.21 per share, missing the Zacks Consensus Estimate of $1.29 by 6.2%. Reported earnings were, however, up 3.4% year over year.
WEC Energy Group (WEC - Free Report) reported fourth-quarter 2016 adjusted earnings of 61 cents per share, a penny below both the Zacks Consensus Estimate and the year-ago figure.
Zacks Rank
ALLETE currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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ALLETE, Inc. (ALE - Free Report) reported fourth-quarter 2016 adjusted earnings of 89 cents per share, surpassing the Zacks Consensus Estimate of 73 cents by 21.9%. On a year-over-year basis earnings rose 140.5%.
Full-year 2016 earnings came in at $3.14 per share, on par with the Zacks Consensus Estimate. Yearly earnings grew 7.5% year over year.
Total Revenue
In the fourth quarter of 2016, ALLETE’s total revenues of $341.5 million lagged the Zacks Consensus Estimate of $375 million by 8.9%. Further, revenues were down 10.3% from $380.6 million reported in the prior-year quarter.
Full-year 2016 revenues came in at $1,339.7 million, marginally missing the Zacks Consensus Estimate of $1,350 million. Revenues, however, declined 9.9% from the year-ago quarter.
Highlights of the Release
ALLETE’s total electricity sales volume declined 6.7% year over year to 3,419 million kilowatt-hours.
The company’s total operating expenses were $280.4 million, down 20.1% year over year due to lower cost of sales.
Operating income in the reported quarter was up 106.4% year over year to $61.1 million.
Interest expenses increased 8.8% year over year to $17.3 million.
Financial Update
ALLETE’s cash and cash equivalents, as of Dec 31, 2016 were $27.5 million, down from $97 million as of Dec 31, 2015.
Long-term debt as of Dec 31, 2016 was $1,370.4 million, lower than $1,556.7 million at 2015 end.
Peer Releases
American Electric Power Co., Inc. (AEP - Free Report) reported fourth-quarter 2016 operating earnings of 67 cents per share, beating the Zacks Consensus Estimate of 55 cents by 21.8%.
NextEra Energy, Inc. (NEE - Free Report) reported fourth-quarter 2016 adjusted earnings of $1.21 per share, missing the Zacks Consensus Estimate of $1.29 by 6.2%. Reported earnings were, however, up 3.4% year over year.
WEC Energy Group (WEC - Free Report) reported fourth-quarter 2016 adjusted earnings of 61 cents per share, a penny below both the Zacks Consensus Estimate and the year-ago figure.
Zacks Rank
ALLETE currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks' Top Investment Ideas for Long-Term Profit
How would you like to see our best recommendations to help you find today’s most promising long-term stocks? Starting now, you can look inside our portfolios featuring stocks under $10, income stocks, value investments and more. These picks, which have double and triple-digit profit potential, are rarely available to the public. But you can see them now. Click here >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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