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WEC Energy Group (WEC - Free Report) delivered second-quarter 2021 earnings per share of 87 cents, which beat the Zacks Consensus Estimate of 79 cents by 10.1%. Also, the bottom line improved 14.5% from the year-ago quarter’s 76 cents per share.
Results benefited from recovering economy, operating efficiency and warmer-than-expected weather in June.
Revenues
Operating revenues of $1,676.2 million topped the Zacks Consensus Estimate of $1,641 million by 2.1%. Also, the top line grew 8.2% from $1,548.7 million in the year-ago quarter.
WEC Energy Group, Inc. Price, Consensus and EPS Surprise
In the second quarter of 2021, residential use of electricity fell3% year over year. Electricity consumption by small commercial and industrial customers increased10.4% year over year. Electricity used by large commercial and industrial customers excluding iron ore mines improved 14.8% on a year-over-year basis. On a weather-normal basis, retail deliveries of electricity excluding the iron ore mine went up 5.8%.
Natural gas deliveries in Wisconsin excluding gas used for power generation moved down4.9% during the reported quarter. On a weather-normal basis, natural gas deliveries rose 2.5%.
Total operating expenses for the second quarter amounted to $1,307.4 million, up 8.1% from the year-ago quarter’s $1,209.9 million.
Operating income came in at $368.8 million, increasing 8.9% from the prior-year period’s $338.8 million.
At the end of second-quarter 2021, the company was serving additional 4,000 electric and 18,000 natural gas customers from the year-ago quarter's levels.
Financial Position
As of Jun 30, 2021, WEC Energy had cash and cash equivalents of $35 million compared with $24.8 million as of Dec 31, 2020.
As of Jun 30, 2021, the company had long-term debt of $12,695.7 million compared with $11,728.1 million on Dec 31, 2020.
The company’s net cash provided by operating activities in the first six months of 2021 was $1,226.2 million compared with $1,379.6 million in the comparable period of 2020.
Capital expenditure in the first two quarters was $1,010.1 million compared with $1,037.2 million in the comparable period of last year.
2021 Guidance
The company lifted its current-year earnings guidance to $4.02-$4.05 per share from the prior range of $3.99-$4.03 with expectation to reach the higher end of the latest projection. Also, the Zacks Consensus Estimate for the same is $4.04, which is near the upper end of the utility’s current guided range.
NextEra Energy, Inc. (NEE - Free Report) reported second-quarter 2021 adjusted earnings of 71 cents per share, which beat the Zacks Consensus Estimate of 67 cents by 5.6%.
FirstEnergy Corporation (FE - Free Report) delivered second-quarter 2021 operating earnings of 59 cents per share, in line with the Zacks Consensus Estimate.
DTE Energy Company (DTE - Free Report) reported second-quarter 2021 operating earnings per share of $1.70, which beat the Zacks Consensus Estimate of $1.44 by 18.1%.
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WEC Energy's (WEC) Q2 Earnings Beat Mark, Revenues Rise Y/Y
WEC Energy Group (WEC - Free Report) delivered second-quarter 2021 earnings per share of 87 cents, which beat the Zacks Consensus Estimate of 79 cents by 10.1%. Also, the bottom line improved 14.5% from the year-ago quarter’s 76 cents per share.
Results benefited from recovering economy, operating efficiency and warmer-than-expected weather in June.
Revenues
Operating revenues of $1,676.2 million topped the Zacks Consensus Estimate of $1,641 million by 2.1%. Also, the top line grew 8.2% from $1,548.7 million in the year-ago quarter.
WEC Energy Group, Inc. Price, Consensus and EPS Surprise
WEC Energy Group, Inc. price-consensus-eps-surprise-chart | WEC Energy Group, Inc. Quote
Highlights of the Release
In the second quarter of 2021, residential use of electricity fell3% year over year. Electricity consumption by small commercial and industrial customers increased10.4% year over year. Electricity used by large commercial and industrial customers excluding iron ore mines improved 14.8% on a year-over-year basis. On a weather-normal basis, retail deliveries of electricity excluding the iron ore mine went up 5.8%.
Natural gas deliveries in Wisconsin excluding gas used for power generation moved down4.9% during the reported quarter. On a weather-normal basis, natural gas deliveries rose 2.5%.
Total operating expenses for the second quarter amounted to $1,307.4 million, up 8.1% from the year-ago quarter’s $1,209.9 million.
Operating income came in at $368.8 million, increasing 8.9% from the prior-year period’s $338.8 million.
At the end of second-quarter 2021, the company was serving additional 4,000 electric and 18,000 natural gas customers from the year-ago quarter's levels.
Financial Position
As of Jun 30, 2021, WEC Energy had cash and cash equivalents of $35 million compared with $24.8 million as of Dec 31, 2020.
As of Jun 30, 2021, the company had long-term debt of $12,695.7 million compared with $11,728.1 million on Dec 31, 2020.
The company’s net cash provided by operating activities in the first six months of 2021 was $1,226.2 million compared with $1,379.6 million in the comparable period of 2020.
Capital expenditure in the first two quarters was $1,010.1 million compared with $1,037.2 million in the comparable period of last year.
2021 Guidance
The company lifted its current-year earnings guidance to $4.02-$4.05 per share from the prior range of $3.99-$4.03 with expectation to reach the higher end of the latest projection. Also, the Zacks Consensus Estimate for the same is $4.04, which is near the upper end of the utility’s current guided range.
Zacks Rank
WEC Energy has a Zacks Rank #3 (Hold), currently. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Utility Releases
NextEra Energy, Inc. (NEE - Free Report) reported second-quarter 2021 adjusted earnings of 71 cents per share, which beat the Zacks Consensus Estimate of 67 cents by 5.6%.
FirstEnergy Corporation (FE - Free Report) delivered second-quarter 2021 operating earnings of 59 cents per share, in line with the Zacks Consensus Estimate.
DTE Energy Company (DTE - Free Report) reported second-quarter 2021 operating earnings per share of $1.70, which beat the Zacks Consensus Estimate of $1.44 by 18.1%.