We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Entergy (ETR) Q3 Earnings Beat Estimates, Revenues Down Y/Y
Read MoreHide Full Article
Entergy Corporation (ETR - Free Report) reported third-quarter 2020 adjusted earnings of $2.44 per share, which surpassed the Zacks Consensus Estimate of $2.42 by 0.8%. However, the reported figure declined 3.2% from $2.52 per share in the year-ago quarter.
Excluding the effects of special items, the company registered GAAP earnings of $2.59 per share compared with $1.82 a year ago.
Total Revenues
In the quarter under review, total revenues came in at $2,903.6 million, which lagged the Zacks Consensus Estimate of $3,216 million by 9.7%. Moreover, the top line fell 7.5% from the year-ago quarter’s $3,140.6 million.
Segment Results
Utility: The segment’s quarterly adjusted earnings came in at $2.74 per share compared with $2.88 in the prior-year quarter. The decline primarily was due to lower sales volume and higher depreciation and interest expenses.
Parent & Other: The segment incurred an adjusted loss of 30 cents per share compared with a loss of 36 cents in the prior-year quarter.
Entergy Wholesale Commodities (EWC): The segment registered earnings of 15 cents per share on an as-reported basis against a loss of 70 cents in the year-ago quarter. The uptick in earnings was due to lower asset write-offs and impairments, higher gains on decommissioning trust funds and lower depreciation expenses.
Highlights of the Release
Operating expenses in the quarter summed $2,125.6 million, down 18.9% from $2,620.6 million in the year-ago quarter.
Interest expenses were $196.7 million, up 5.4% from $186.6 million in the year-ago quarter.
In the reported quarter, total retail customers served by the company increased 1% to nearly 2.96 million.
Entergy Corporation Price, Consensus and EPS Surprise
As of Sep 30, 2020, Entergy had cash and cash equivalents of $1,239.7 million compared with $425.7 million as of Dec 31, 2019.
Long-term debt was $19.61 billion as of Sep 30, 2020, compared with $17.08 billion as of Dec 31, 2019.
As of Sep 30, 2020, the company generated cash from operating activities of $921.9 million, down from $1,064.9 million in the prior-year quarter.
Guidance
For 2020, Entergy narrowed its adjusted EPS to $5.60-$5.70 from $5.45-$5.75. The Zacks Consensus Estimate for the company’s earnings is currently pegged at $5.58 per share, which is below the company’s guidance range.
American Electric Power (AEP - Free Report) reported third-quarter 2020 adjusted earnings per share of $1.47, which beat the Zacks Consensus Estimate of $1.46 by 0.7%.
NextEra Energy (NEE - Free Report) reported third-quarter 2020 adjusted earnings of $2.66 per share, which beat the Zacks Consensus Estimate of $2.65 by 0.4%.
An Upcoming Release
FirstEnergy Corporation (FE - Free Report) is scheduled to report third-quarter 2020 results on Nov 2.
Zacks’ 2020 Election Stock Report:
In addition to the companies you learned about above, we invite you to learn more about profiting from the upcoming presidential election. Trillions of dollars will shift into new market sectors after the votes are tallied, and investors could see significant gains. This report reveals specific stocks that could soar: 6 if Trump wins, 6 if Biden wins.
Image: Bigstock
Entergy (ETR) Q3 Earnings Beat Estimates, Revenues Down Y/Y
Entergy Corporation (ETR - Free Report) reported third-quarter 2020 adjusted earnings of $2.44 per share, which surpassed the Zacks Consensus Estimate of $2.42 by 0.8%. However, the reported figure declined 3.2% from $2.52 per share in the year-ago quarter.
Excluding the effects of special items, the company registered GAAP earnings of $2.59 per share compared with $1.82 a year ago.
Total Revenues
In the quarter under review, total revenues came in at $2,903.6 million, which lagged the Zacks Consensus Estimate of $3,216 million by 9.7%. Moreover, the top line fell 7.5% from the year-ago quarter’s $3,140.6 million.
Segment Results
Utility: The segment’s quarterly adjusted earnings came in at $2.74 per share compared with $2.88 in the prior-year quarter. The decline primarily was due to lower sales volume and higher depreciation and interest expenses.
Parent & Other: The segment incurred an adjusted loss of 30 cents per share compared with a loss of 36 cents in the prior-year quarter.
Entergy Wholesale Commodities (EWC): The segment registered earnings of 15 cents per share on an as-reported basis against a loss of 70 cents in the year-ago quarter. The uptick in earnings was due to lower asset write-offs and impairments, higher gains on decommissioning trust funds and lower depreciation expenses.
Highlights of the Release
Operating expenses in the quarter summed $2,125.6 million, down 18.9% from $2,620.6 million in the year-ago quarter.
Interest expenses were $196.7 million, up 5.4% from $186.6 million in the year-ago quarter.
In the reported quarter, total retail customers served by the company increased 1% to nearly 2.96 million.
Entergy Corporation Price, Consensus and EPS Surprise
Entergy Corporation price-consensus-eps-surprise-chart | Entergy Corporation Quote
Financial Highlights
As of Sep 30, 2020, Entergy had cash and cash equivalents of $1,239.7 million compared with $425.7 million as of Dec 31, 2019.
Long-term debt was $19.61 billion as of Sep 30, 2020, compared with $17.08 billion as of Dec 31, 2019.
As of Sep 30, 2020, the company generated cash from operating activities of $921.9 million, down from $1,064.9 million in the prior-year quarter.
Guidance
For 2020, Entergy narrowed its adjusted EPS to $5.60-$5.70 from $5.45-$5.75. The Zacks Consensus Estimate for the company’s earnings is currently pegged at $5.58 per share, which is below the company’s guidance range.
Zacks Rank
Entergy 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
American Electric Power (AEP - Free Report) reported third-quarter 2020 adjusted earnings per share of $1.47, which beat the Zacks Consensus Estimate of $1.46 by 0.7%.
NextEra Energy (NEE - Free Report) reported third-quarter 2020 adjusted earnings of $2.66 per share, which beat the Zacks Consensus Estimate of $2.65 by 0.4%.
An Upcoming Release
FirstEnergy Corporation (FE - Free Report) is scheduled to report third-quarter 2020 results on Nov 2.
Zacks’ 2020 Election Stock Report:
In addition to the companies you learned about above, we invite you to learn more about profiting from the upcoming presidential election. Trillions of dollars will shift into new market sectors after the votes are tallied, and investors could see significant gains. This report reveals specific stocks that could soar: 6 if Trump wins, 6 if Biden wins.
Check out the 2020 Election Stock Report >>