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NRG Energy (NRG) Q1 Earnings Miss Estimates, Revenues Up Y/Y

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NRG Energy, Inc. (NRG - Free Report) posted first-quarter 2021 earnings from continuing operations of 84 cents per share, lagging the Zacks Consensus Estimate of $1.64 by 48.8%. However, the bottom line compared favorably with 49 cents per share reported in the year-ago quarter.

Revenues

NRG Energy’s quarterly revenues came in at $8,091 million, up a whopping 300.7% year over year.

NRG Energy, Inc. Price, Consensus and EPS Surprise

NRG Energy, Inc. Price, Consensus and EPS Surprise

NRG Energy, Inc. price-consensus-eps-surprise-chart | NRG Energy, Inc. Quote

Highlights of the Release

In January, the company closed the Direct Energy acquisition, paying a total purchase price of $3.625 billion in cash, plus an initial purchase price adjustment of $77 million.

For the quarter ended Mar 31, 2021, Winter Storm Uri's financial impact was a loss of $967 million. However, based on forecast expenses and estimated mitigants, the total cash impact from Winter Storm Uri is expected in the range of $500-$700 million.

First-quarter adjusted EBITDA was $567 million, up 62.5% from $349 million in the year-ago quarter.

The company’s total operating costs and expenses for first-quarter 2021 amounted to $8,164 million, up 358.4% from $1,781 million in first-quarter 2020.

Interest expenses of $127 million increased 29.6% from the prior-year quarter’s $98 million.

Financial Highlights

As of Mar 31, 2021, the company had cash and cash equivalents worth $501 million compared with $3,905 million on Dec 31, 2020.

As of Mar 31, 2021, its long-term debt amounted to $8,705 million compared with $8,691 million on Dec 31, 2020.

The company’s cash (used in)/provided by continuing operations for first-quarter 2021 was ($917) million against $208 million generated in the comparable period of 2020.

Capital expenditures for first-quarter 2021 were $63 million compared with $66 million in first-quarter 2020.

Guidance

NRG Energy maintained 2021 adjusted EBITDA view in the range of $2,400-$2,600 million. It expects 2021 free cash flow before growth investments in the band of $1,440-$1,640 million.

Zacks Rank

NRG Energy has a Zacks Rank #4 (Sell), at present.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Other Releases

The Southern Company (SO - Free Report) reported first-quarter 2021 earnings per share of 98 cents, beating the Zacks Consensus Estimate of 85 cents by 15.3%.

WEC Energy Group (WEC - Free Report) came up with first-quarter 2021 earnings per share of $1.61, which beat the Zacks Consensus Estimate of $1.47 by 9.5%.

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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