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DTE Energy (DTE) Tops on Q2 Earnings, Raises '17 Outlook
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DTE Energy Company (DTE - Free Report) reported second-quarter 2017 operating earnings per share (EPS) of $1.07, which surpassed the Zacks Consensus Estimate of 97 cents by 10.3%. Operating earnings also grew 9.2% from the year-ago figure of 98 cents.
On a GAAP basis, reported earnings came in at 99 cents per share, compared with 84 cents in the prior-year quarter. The variance between GAAP and pro forma earnings was due to certain non-recurring items, mark-to-market adjustments and discontinued operations.
Total Revenue
Total revenue came in at $2.86 billion, which surpassed the Zacks Consensus Estimate of $2.31 billion by 23.8%. Reported revenues also increased 26.2% from the year-ago figure of $2.26 billion on account of higher contribution from non-utility operations.
Operating Update
Operation and maintenance expenses in the reported quarter were $559 million, up 3.1% year over year.
Total operating expenses increased 27.2% to $2.56 billion. This was primarily owing to higher fuel, purchased power and gas expenses at non-utility (74.1%), depreciation and amortization (2.5%) and taxes on other income (6.6%).
Operating income increased 18.4% to $303 million.
Segmental Highlights
Utility Operations
DTE Electric: The segment’s operating earnings were $148 million, up 9.6% year over year.
DTE Gas: The segment reported operating income of $1 million, down 92.3% year over year.
Non-Utility Operations
Gas Storage and Pipelines: The segment generated profits of $40 million, up from $35 million a year ago.
Power and Industrial Projects: The segment posted operating profits of $30 million, up from $17 million in the prior-year quarter.
Corporate and Other: The segment reported operating income of $4 million.
DTE Energy Company Price, Consensus and EPS Surprise
DTE Energy raised its 2017 guidance that was issued in November. The company expects to generate operating earnings in the range of $5.26–$5.57 per share in 2017, compared with the year-ago guidance of $5.15–$5.46.
American Electric Power Co., Inc. (AEP - Free Report) is a Zacks Rank #3 company. Its Zacks Consensus Estimate is pegged at 87 cents and is scheduled to release second-quarter 2017 earnings on Jul 27.
CMS Energy Corporation (CMS - Free Report) , another Zacks Rank #3 company, is scheduled to release second-quarter earnings on Jul 28. The Zacks Consensus Estimate is pegged at 42 cents.
Edison International (EIX - Free Report) is expected to release second-quarter earnings on Jul 27. Its Zacks Consensus Estimate is pegged at 83 cents. This company also carries a Zacks Rank #3.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
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DTE Energy (DTE) Tops on Q2 Earnings, Raises '17 Outlook
DTE Energy Company (DTE - Free Report) reported second-quarter 2017 operating earnings per share (EPS) of $1.07, which surpassed the Zacks Consensus Estimate of 97 cents by 10.3%. Operating earnings also grew 9.2% from the year-ago figure of 98 cents.
On a GAAP basis, reported earnings came in at 99 cents per share, compared with 84 cents in the prior-year quarter. The variance between GAAP and pro forma earnings was due to certain non-recurring items, mark-to-market adjustments and discontinued operations.
Total Revenue
Total revenue came in at $2.86 billion, which surpassed the Zacks Consensus Estimate of $2.31 billion by 23.8%. Reported revenues also increased 26.2% from the year-ago figure of $2.26 billion on account of higher contribution from non-utility operations.
Operating Update
Operation and maintenance expenses in the reported quarter were $559 million, up 3.1% year over year.
Total operating expenses increased 27.2% to $2.56 billion. This was primarily owing to higher fuel, purchased power and gas expenses at non-utility (74.1%), depreciation and amortization (2.5%) and taxes on other income (6.6%).
Operating income increased 18.4% to $303 million.
Segmental Highlights
Utility Operations
DTE Electric: The segment’s operating earnings were $148 million, up 9.6% year over year.
DTE Gas: The segment reported operating income of $1 million, down 92.3% year over year.
Non-Utility Operations
Gas Storage and Pipelines: The segment generated profits of $40 million, up from $35 million a year ago.
Power and Industrial Projects: The segment posted operating profits of $30 million, up from $17 million in the prior-year quarter.
Corporate and Other: The segment reported operating income of $4 million.
DTE Energy Company Price, Consensus and EPS Surprise
DTE Energy Company Price, Consensus and EPS Surprise | DTE Energy Company Quote
Guidance
DTE Energy raised its 2017 guidance that was issued in November. The company expects to generate operating earnings in the range of $5.26–$5.57 per share in 2017, compared with the year-ago guidance of $5.15–$5.46.
Zacks Rank
DTE Energy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Peer Releases
American Electric Power Co., Inc. (AEP - Free Report) is a Zacks Rank #3 company. Its Zacks Consensus Estimate is pegged at 87 cents and is scheduled to release second-quarter 2017 earnings on Jul 27.
CMS Energy Corporation (CMS - Free Report) , another Zacks Rank #3 company, is scheduled to release second-quarter earnings on Jul 28. The Zacks Consensus Estimate is pegged at 42 cents.
Edison International (EIX - Free Report) is expected to release second-quarter earnings on Jul 27. Its Zacks Consensus Estimate is pegged at 83 cents. This company also carries a Zacks Rank #3.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>