Yahoo Finance PPL Corp (PPL) Q2 Earnings Lag Estimates, Revenues Fall Y/Y
PPL Corporation PPL reported second-quarter 2020 adjusted earnings per share of 55 cents, which missed the Zacks Consensus Estimate of 56 cents by a penny.
The bottom line also declined 5.2% year over year. The results were impacted by lower sales volumes, stemming from the ongoing pandemic and share dilution.
On a GAAP basis, the company generated earnings per share (EPS) of 45 cents compared with 60 cents in the year-ago quarter.
Total Revenues
PPL Corp posted revenues of $1,739 million in the second quarter, which dipped 3.5% year over year.
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 8.3% from the prior-year quarter to 33 cents per share.
Kentucky Regulated: Adjusted earnings were 10 cents, down 23.1% from the year-ago quarter’s figure.
Pennsylvania Regulated: Adjusted earnings increased 15.4% from the prior-year quarter’s numberto 15 cents.
Corporate and Other: The segment reported a loss of 3 cents in the quarter, narrower than a loss of 4 cents in the prior-year quarter.
Operational Highlights
PPL Corp’s total operating expenses fell 1.6% year over year to $1,144 million in the reported quarter.
The company reported operating income of $595 million, down 7% from $640 million in the prior-year quarter.
Interest expenses inched up 2.8% to $253 million from the year-ago quarter’s $246 million.
Financial Position
As of Jun 30, 2020, the company had cash and cash equivalents of $1,278 million compared with $815 million as of Dec 31, 2019.
Long-term debt (excluding debts due within a year) was $21,098 million as of Jun 30 compared with $20,721 million at the end of 2019.
Net cash provided by operating activities at the end of the first half of 2020 was $1,299 million compared with $1,070 million at the end of the first half 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 $2.42.
However, the company withdrew its 2021 EPS guidance, reflecting company's announced process to sell the U.K. business.
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 delivered second-quarter 2020 operating earnings of 57 cents per share, which beat the Zacks Consensus Estimate of 55 cents by 3.64%.
NextEra Energy, Inc. NEE reported second-quarter 2020 adjusted earnings of $2.61 per share, trumping the Zacks Consensus Estimate of $2.50 by 4.4%.
CMS Energy Corporation CMS reported second-quarter 2020 adjusted earnings per share of 49 cents, which surpassed the Zacks Consensus Estimate of 45 cents by 8.9%.
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