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Entergy (ETR) Q1 Earnings Miss Estimates, Revenues Rise Y/Y

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Entergy Corporation (ETR - Free Report) reported first-quarter 2022 adjusted earnings of $1.32 per share, which missed the Zacks Consensus Estimate of $1.38 by 4.3%. The reported figure also declined 10.2% from $1.47 per share in the year-ago quarter.

Entergy reported GAAP earnings of $1.36 per share compared with $1.66 a year ago.

Total Revenues

Entergy’s first-quarter revenues of $2.88 billion exceeded the Zacks Consensus Estimate of $2.75 billion by 4.8%. Further, revenues increased 1.2% from $2.84 billion in the year-ago quarter due to higher Electric and Natural gas revenues.

Entergy Corporation Price, Consensus and EPS Surprise

Entergy Corporation Price, Consensus and EPS Surprise

Entergy Corporation price-consensus-eps-surprise-chart | Entergy Corporation Quote

Segment Results

Utility: The segment’s quarterly earnings came in at $1.67 per share compared with $1.77 in the prior-year quarter.

Parent & Other: The segment incurred a loss of 35 cents per share compared with a loss of 30 cents in the prior-year quarter.

Highlights of the Release

Operating expenses in the fourth quarter were $2.31 billion, down 1.1% from $2.34 billion in the year-ago quarter.

Operating income during the quarter totaled $566.1 million, up 11.4% from $508 million in the year-ago quarter.

Interest expenses were $227.6 million, up 10.6% from $205.9 million in the year-ago quarter.

As of Mar 31, 2022, total retail customers served by the company increased 0.9% to 2.98 million.

Financial Highlights

As of Mar 31, 2022, Entergy had cash and cash equivalents of $701.6 million compared with $442.6 million as of Dec 31, 2021.

Long-term debt was $26.18 billion as of Mar 31, 2022 compared with $24.84 billion as of Dec 31, 2021.

During the first quarter of 2022, the company generated cash from operating activities of $538 million against cash outflow from operating activities of $49.6 million in the first quarter of 2021.

Guidance for 2022

For 2022, Entergy still expects to generate adjusted earnings in the range of $6.15-$6.45. The Zacks Consensus Estimate for the company’s earnings is currently pegged at $6.34 per share, which is higher than $6.30, the midpoint of the guided 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.

Other Utility Releases

FirstEnergy Corporation (FE - Free Report) delivered first-quarter 2022 operating earnings per share (EPS) of 60 cents, which missed the Zacks Consensus Estimate of 62 cents by 3.2%. The bottom line declined 13% from the year-ago earnings of 69 cents per share.

The company generated operating revenues of $2,991 million in the first quarter, which surpassed the Zacks Consensus Estimate of $2,782 million by 7.5%. The top line improved 8.7% from $2,752 million in the year-ago quarter.

NextEra Energy (NEE - Free Report) reported first-quarter 2022 adjusted earnings of 74 cents per share, which beat the Zacks Consensus Estimate of 69 cents by 7.3%. The bottom line was also up 10.5% from the prior-year quarter.

Its operating revenues were $2,890 million, which lagged the Zacks Consensus Estimate of $5,178 million by 44.2%. The top line also decreased 22.4% year over year.

Upcoming Releases

PNM Resources (PNM - Free Report) is slated to report first-quarter 2022 earnings on Apr 28 before market open. The Zacks Consensus Estimate for the company’s first-quarter EPS is pegged at 45 cents.

PNM Resources’ long-term earnings growth is currently pegged at 4.4%. The Zacks Consensus Estimate for PNM’s 2022 earnings implies year-over-year growth of 4.1%.