FE Earnings Prediction
The chart below shows how FE performed 10 days before and after its earnings report, based on data from the past quarters. Typically, FE sees a -1.13% change in stock price 10 days leading up to the earnings, and a -0.27% change 10 days following the report. On the earnings day itself, the stock moves by +0.37%. This data can give you a slight idea of what to expect for the next quarter's release.
FE Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.73B
6.94%
13.69%
Gross Margin
56.42%
9.30%
-1.47%
Operating Margin
19.50%
2.09%
51.16%
Net Margin
12.50%
-1.19%
318.06%
EPS
0.73
4.29%
812.50%
No Data Available
FE Earnings Analysis
FirstEnergy Corp. Corporation (FE.N) Earnings Conference Call
Positive
Capital Investment Surge: 1. Increased Capital Investments: FirstEnergy's capital investments totaled $3.1 billion in the first nine months of 2024, a 22% increase compared to the same period in 2023, reflecting a commitment to infrastructure improvements.
Long-Term Growth Rate Reaffirmed: 2. Reaffirmed Long-Term Growth Rate: The company reaffirmed its long-term annual operating earnings growth rate of 6% to 8%, supported by an average annual rate base growth of 9%.
Rate Case Settlement Success: 3. Successful Rate Case Settlement: FirstEnergy reached a $225 million settlement in Pennsylvania, which is expected to enhance service reliability and support investments in grid improvements, with new rates anticipated to take effect on January 1, 2025.
Liquidity Strength: 4. Strong Liquidity Position: As of October 28, 2024, FirstEnergy reported a total liquidity of approximately $6 billion, including $5.9 billion of committed liquidity to support growth initiatives.
Credit Rating Upgrade: 5. Positive Regulatory Developments: The company received a credit rating upgrade from Fitch to BBB flat, reflecting improved credit profile and constructive regulatory outcomes, enhancing its financial strength.
Negative
Earnings Decline Analysis: 1. Declining Earnings: GAAP earnings from continuing operations decreased to $0.73 per share in Q3 2024 from $0.74 per share in Q3 2023, while operating earnings fell to $0.85 per share from $0.88 per share in the same period.
Storm Cost Impact: 2. Increased Storm Costs: The company incurred approximately $30 million in non-deferred storm operating and maintenance expenses in Q3, representing 10% of consolidated O&M for the quarter, contributing to lower earnings.
Storm Restoration Expenses: 3. Year-to-Date Storm Restoration Costs: Total storm restoration costs for the year reached $550 million, with $60 million included in O&M, indicating significant financial strain due to adverse weather events.
Corporate Segment Loss: 4. Loss in Corporate Segment: The corporate segment reported a loss of $0.04 per share in Q3 2024, compared to earnings of $0.06 per share in Q3 2023, primarily due to the absence of a state tax benefit recognized in the previous year.
Earnings Guidance Adjustment: 5. Narrowed Earnings Guidance: The company narrowed its operating earnings guidance for the year from a range of $2.61 to $2.81 per share to $2.61 to $2.71 per share, reflecting ongoing financial headwinds.
FE FAQs
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FE Earning Call Sentiment
FirstEnergy Corp. (FE) Q3 2024 Earnings Call Transcript
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00:00
00:00
FE.N
2.2%Positive
The earnings call reveals positive momentum: increased capital investment, constructive regulatory engagements, and significant data center growth potential. Despite slight earnings decline, optimistic guidance, a strong dividend yield, and reduced debt enhance shareholder value. Q&A confirms real large load projects, boosting confidence. Execution risks exist, but overall sentiment is positive.
