Back to top

Image: Bigstock

Edison International (EIX) Misses on Q2 Earnings & Revenues

Read MoreHide Full Article

Edison International (EIX - Free Report) reported second-quarter 2020 adjusted earnings of $1.00 per share, which missed the Zacks Consensus Estimate of $1.11 by 9.9%. Moreover, the bottom line declined 36.7% year over year.

Excluding adjustments, quarterly earnings came in at 85 cents per share from continuing operations compared with$1.20 in second-quarter 2019.

Total Revenues

Edison International's second-quarter revenues totaled $2.99 billion, which missed the Zacks Consensus Estimate of $3.02 billion by approximately 1%. However, the top line improved 6.2% from the year-ago quarter’s figure.

Operational Highlights

In the reported quarter, total operating expenses increased 7.6% year over year to $2,487 million. Operation and maintenance costs grew 28.1% year over year, while purchased power and fuel costs declined 5.9%. Meanwhile, depreciation and amortization expenses increased 52.3%.

Edison International registered an operating income of $500 million in the second quarter, in line with the year-ago quarter’s figure.

Interest expenses were $229 million, higher than $211 million incurred in the prior-year quarter.

Segment Results

Southern California Edison’s (SCE) second-quarter earnings were $1.10 per share compared with $1.66 a year ago.

The Parent and Other segment incurred a loss of 10 cents per share compared with the year-ago quarter’s loss of 8 cents.

Edison International Price, Consensus and EPS Surprise

As of Jun 30, 2020, Edison International's cash and cash equivalents amounted to $524 million compared with $68 million as of Dec 31, 2019. Long-term debt summed $19.24 billion, higher than the 2019-end level of $17.87 billion.

Net cash from operating activities during the first six months of 2020 was $625 million compared with $598 million in the prior-year period. Total capital expenditures amounted to $2,514 million at the end of the second quarter, up from $2,235 million a year ago.

2020 Guidance

Edison International narrowed its 2020 core operating earnings per share guidance to $4.37-$4.62. The Zacks Consensus Estimate of $4.43 lies below the midpoint of the guided range.

Zacks Rank

Edison International currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Utility Releases

NextEra Energy (NEE - Free Report) reported second-quarter 2020 adjusted earnings of $2.61 per share, surpassing the Zacks Consensus Estimate of $2.50 by 4.4%.

FirstEnergy Corporation (FE - Free Report) delivered second-quarter 2020 operating earnings of 57 cents per share, which beat the Zacks Consensus Estimate of 55 cents by 3.64%.

Upcoming Releases

Dominion Energy (D - Free Report) is scheduled to report second-quarter 2020 results on Jul 31. The Zacks Consensus Estimate for quarterly earnings stands at 83 cents per share.

Today's Best Stocks from Zacks

Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2019, while the S&P 500 gained an impressive +53.6%, five of our strategies returned +65.8%, +97.1%, +118.0%, +175.7% and even +186.7%.

This outperformance has not just been a recent phenomenon. From 2000 – 2019, while the S&P averaged +6.0% per year, our top strategies averaged up to +54.7% per year.

See their latest picks free >>