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PPL Corp (PPL) Q1 Earnings Lag Estimates, Revenues Down Y/Y

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PPL Corporation (PPL - Free Report) delivered first-quarter 2020 adjusted earnings per share (EPS) of 67 cents, which missed the Zacks Consensus Estimate of 72 cents by 7%.

The figure declined 4% year over year, primarily due to share dilution and lower sales volumes stemming from unfavorable weather in the United States.

On a GAAP basis, the company generated EPS of 72 cents compared with 64 cents in the year-ago quarter.

Total Revenues

PPL Corp posted revenues of $2,054 million in the first quarter, which declined 1.2% year over year.

PPL Corporation Price, Consensus and EPS Surprise

 

PPL Corporation Price, Consensus and EPS Surprise

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

 

Segment Results

U.K. Regulated: Adjusted earnings fell 7.1% from the prior-year quarter’s tally to 39 cents per share.

Kentucky Regulated: Adjusted earnings were 16 cents, in line with the year-ago quarter’s figure.  

Pennsylvania Regulated: Adjusted earnings declined 5.8% from the prior-year quarter’s tally to 16 cents.

Corporate and Other: The segment reported a loss of 4 cents in the quarter, which was narrower than a loss of 5 cents in the prior-year quarter.

Operational Highlights

PPL Corp’s total operating expenses fell 4.7% year over year to $ 1,237 million in the reported quarter.

The company reported operating income of $817 million, up 4.6% $781 million in the prior-year quarter.

Interest expenses moved up 3% to $248 million from the year-ago quarter’s tally of $241 million.

Financial Position

As of Mar 31, 2020, the company had cash and cash equivalents of $915 million compared with $815 million as of Dec 31, 2019.

Long-term debt (excluding debts due within a year) was $20,670 million as of Mar 31 compared with $20,721 million at the end of 2019.

Net cash flow from operating activities at the end of the first quarter of 2020 was $692 million compared with $474 million at the end of the first quarter of 2019.

Guidance

PPL Corp maintained its guidance for 2020 EPS from ongoing operations in the range of $2.40-$2.60 with a midpoint of $2.50, which is higher than the Zacks Consensus Estimate of $2.43.

The company also maintained its 2021 EPS guidance in the range of $2.40 -$2.60 with a midpoint of $2.50, higher than the Zacks Consensus Estimate of $2.44.

Zacks Rank

Currently, PPL Corp 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 2020 operating earnings of 66 cents per share, which beat the Zacks Consensus Estimate of 64 cents by 3.13%.

NextEra Energy (NEE - Free Report) reported first-quarter 2020 adjusted earnings of $2.38 per share, which surpassed the Zacks Consensus Estimate of $2.21 by 7.7%.

CMS Energy Corporation (CMS - Free Report) reported first-quarter 2020 adjusted EPS of 86 cents, which surpassed the Zacks Consensus Estimate of 77 cents by 11.7%.

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