) expects preliminary first quarter 2013 operational earnings of
93 cents per share, above the Zacks Consensus Estimate of 66
cents by almost 41%. The expectation is also higher considerably
from the year-ago profit of 44 cents.
The improved outlook is mainly due to better performance at
Utility and Entergy Wholesale Commodities.
On a reported basis, the company expects first quarter earnings
to be approximately 89 cents a share, reversing its loss per
share of 86 cents incurred in the same period last year.
For its Utility division, Entergy expects to generate higher
revenues in the first quarter mainly due to pricing adjustments
for the investments made last year related to nuclear and
combined cycle natural gas-fired generation. Again, the company
also hopes to incur lower income tax expense due to a
prior-period item. This segment, however, will likely experience
higher non-fuel operation and maintenance and depreciation
At Entergy Wholesale Commodities, higher nuclear energy and
capacity pricing also led to the increase in earnings. This is
partially tempered by an increase in nuclear refueling and
unplanned outage days.
However, results from its Parent & Other segment dropped as
numerous individually insignificant items hindered quarterly
Entergy maintained its 2013 earnings guidance in the range of
$4.60 to $5.40 per share on an operational basis. However, the
company revised its as-reported earnings assumption to $4.56 to
$5.36 per share from $4.60 to $5.40 earlier, reflecting expenses
related to the proposed spin-off and merger of the transmission
ITC Holdings Corporation
New Orleans-based Entergy Corp. is primarily engaged in electric
power production and retail distribution of power. The company
remains well positioned with its geographically diverse mix of
regulated and merchant operations. The company is focused on
maximizing shareholder value through steady investment in rate
base growth, as well as through its ongoing stock buyback program
and incremental dividend payments.
Entergy − the second largest U.S. nuclear power generator after
) − is scheduled to report first quarter 2013 financial results
on Apr 25 before the earnings bell.
The company has a Zacks Rank #3 (Hold). However, we would advise
investors to focus on Zacks Rank #1 (Strong Buy) electric power
Pike Electric Corporation
ENTERGY CORP (ETR): Free Stock Analysis
EXELON CORP (EXC): Free Stock Analysis Report
ITC HOLDINGS CP (ITC): Free Stock Analysis
PIKE ELECTRIC (PIKE): Free Stock Analysis
To read this article on Zacks.com click here.