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CMS Energy (CMS) Q1 Earnings Beat Estimates, Revenues Miss

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CMS Energy Corporation (CMS - Free Report) reported first-quarter 2021 earnings per share of $1.21 cents, which surpassed the Zacks Consensus Estimate of $1.17 by 3.4%. The reported figure also improved 42.4% on a year-over-year basis.

The year-over-year uptick in the bottom line can be attributed to higher revenues as well as operating income generated in the first quarter of 2021.

Operational Performance

For the quarter under review, CMS Energy’s operating revenues were $2,083 million, which missed the Zacks Consensus Estimate of $2,088 million by 0.2%. The top line, however, improved 11.7% on a year-over-year basis.

CMS Energy Corporation Price, Consensus and EPS Surprise

CMS Energy Corporation Price, Consensus and EPS Surprise

CMS Energy Corporation price-consensus-eps-surprise-chart | CMS Energy Corporation Quote

The company’s operating expenses were up 6.8% year over year to $1,598 million for the quarter under review.

Operating income for the first quarter was $485 million, up 31.8% from the year-ago figure.

CMS Energy’s interest charges were $136 million, down 0.7% from the year-ago period.

Financial Condition

CMS Energy had cash and cash equivalents of $496 million as of Mar 31, 2021, up from $168 million at the end of 2020.

As of Mar 31, 2021, total debt, capital leases and financing obligations (excluding securitization debt) were $14,893 million, down from $14,971 million in the comparable period of 2020.

During the first quarter of 2021, the company generated cash from operating activities worth $832 million compared with $201 million during first-quarter 2020.

2021 Guidance

CMS Energy reaffirmed its 2021 adjusted earnings per share guidance in the band of $2.83-$2.87. The Zacks Consensus Estimate for the company’s 2021 earnings is currently pegged at $2.90, above the company’s guided range.

Zacks Rank

CMS Energy currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Utility Releases

DTE Energy Company (DTE - Free Report) reported first-quarter 2021 operating earnings per share (EPS) of $2.44, which surpassed the Zacks Consensus Estimate of $2.16 by 13%.

American Electric Power Co., Inc. (AEP - Free Report) reported first-quarter 2021 adjusted earnings per share of $1.15, which missed the Zacks Consensus Estimate of $1.23 by 6.5%.

NextEra Energy, Inc. (NEE - Free Report) reported first-quarter 2021 adjusted earnings of 67 cents per share, which beat the Zacks Consensus Estimate of 60 cents by 11.7%.

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