) announced fourth-quarter 2013 adjusted operating earnings of 50
cents per share, missing the Zacks Consensus Estimate by 5.7%.
Quarterly earnings plunged 21.9% year over year due to a decline
in realized energy prices for the sale of energy at every region
and higher depreciation and amortization expenses.
On a GAAP basis, quarterly earnings were 58 cents compared with
44 cents a year ago. The difference between GAAP and adjusted
operating earnings was primarily due to the combined impact from
a mark-to-market gain from the economic hedging activities,
unrealized gains for the Nuclear Decommissioning Trust Fund
Investments, a merger and integration related costs, charges
related to the Midwest Generation bankruptcy and charges for the
amortization of commodity contract intangibles.
For 2013, the company's adjusted operating earnings were $2.50
per share, lagging the Zacks Consensus Estimate by 3 cents.
Annual earnings were 12.3% lower than the year-ago level.
Exelon's GAAP earnings were $2.00 per share in 2013 compared with
the prior-year figure of $1.42 per share.
In fourth-quarter 2013, Exelon's total operating revenues of $6.2
billion beat the Zacks Consensus Estimate by 11.6%. However,
quarterly revenues edged down 1.3% year over year primarily due
to lower sales figures at the company's
Commonwealth Edison Co.
("ComEd") businesses. This was partially offset by a rise in
PECO Energy Company
Baltimore Gas and Electric
The company's annual total operating revenues were $24.9 billion,
surpassing the Zacks Consensus Estimate by 1.2%. Reported
revenues increased 6% from the prior-year figure.
In the quarter under review, Exelon's total operating expenses
decreased 4.3% year over year to $5.3 billion, mainly due to a
decrease in purchase power and fuel expenses as well as operating
and maintenance expenses.
Decline in total operating expenses offset the decline in total
operating revenues, resulting in an operating income of $0.9
billion, up 26.3% year over year.
In fourth-quarter, the company supplied/sold total electricity of
59,381 Gigawatt hours, down 8.7% year over year.
As of Dec 31, 2013, Exelon's cash balance was $1.5 billion
compared with $1.4 billion at the end of 2012.
Long-term debt as of Dec 31, 2013 totaled $17.3 billion, up from
$17.2 billion as of Dec 31, 2012.
For 2013, net cash flows provided by operating activities were
$6.3 billion versus $6.1 billion in the year-ago comparable
Exelon's capital expenditure was $5.4 billion in 2013 compared
with $5.8 billion a year ago.
Exelon's hedging program involves hedging of the commodity risks
for expected generation, typically on a ratable basis over a
three-year period. The proportion of expected generation hedged
as of Dec 31, 2013, is 91% - 94% for 2014, 62% - 65% for 2015,
and 30% - 33% for 2016.
Exelon provided guidance for 2014 adjusted operating earnings in
the range of $2.25 - $2.55 per share.
Dominion Resources, Inc.
) reported fourth-quarter 2013 operating earnings of 80 cents per
share, missing the Zacks Consensus Estimate by 9.1%.
Exelon currently has a Zacks Rank #2 (Buy). Some other stocks
worth considering in the utilities sector include
The AES Corp.
CMS Energy Corp.
), each with Zacks Rank #2 (Buy).
AES CORP (AES): Free Stock Analysis Report
CMS ENERGY (CMS): Free Stock Analysis Report
DOMINION RES VA (D): Free Stock Analysis
EXELON CORP (EXC): Free Stock Analysis Report
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