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CMS Energy (CMS) Misses on Q4 Earnings, Ups 2019 Guidance

CMS Energy CorporationCMS reported fourth-quarter 2018 adjusted earnings per share (EPS) of 40 cents, down 21.6% year over year. The bottom line also missed the Zacks Consensus Estimate of 41 cents by a penny.

The company delivered GAAP earnings of 38 cents against a loss of a penny incurred in the prior-year period.

For 2018, CMS Energy's adjusted EPS came in at $2.33, up 7.4% from the prior-year figure of $2.17. The figure missed the Zacks Consensus Estimate of $2.34 by a penny.

CMS Energy Corporation Price, Consensus and EPS Surprise

CMS Energy Corporation Price, Consensus and EPS Surprise | CMS Energy Corporation Quote

Operational Performance

In the quarter under review, CMS Energy's operating revenues summed $1,829 million, which outshined the Zacks Consensus Estimate of $1,535 million by 19.2%. The top line improved 2.9% on a year-over-year basis.

For 2018, operating revenues totaled $6.87 billion, which exceeded the Zacks Consensus Estimate of $6.64 billion by 3.5%. Annually revenues improved 4.4%.

The company's operating expenses increased 12.9% to $1,579 million in the quarter under review.

Operating income in the fourth quarter was $250 million, down 34% from $379 million a year ago.

CMS Energy's interest charges were $121 million, up 10% from $110 million in the year-ago period.

Financial Condition

CMS Energy had cash and cash equivalents of $153 million as of Dec 31, 2018, down from $182 million as of Dec 31, 2017.

As of Dec 31, 2018, debt, capital leases and financing obligations stood at $9,646 million, up from $8,940 million as of Dec 31, 2017.

At the end of 2018, cash from operating activities amounted to $1,703 million compared with $1,705 million in the prior year.

2019 Guidance

CMS Energy currently expects its adjusted earnings per share in the range of $2.47-$2.51 in 2019, up from its prior forecast of $2.46-$2.50.

Zacks Rank

CMS Energy currently sports a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .

Recent Utility Releases

American Electric Power Co., Inc. AEP reported fourth-quarter 2018 operating earnings per share (EPS) of 72 cents in line with the Zacks Consensus Estimate.

NextEra Energy, Inc. NEE reported fourth-quarter 2018 adjusted earnings of $1.49 per share, which fell short of the Zacks Consensus Estimate of $1.51 by 1.3%.

Xcel Energy Inc. XEL posted fourth-quarter 2018 operating earnings of 42 cents per share in line with the Zacks Consensus Estimate.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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