CMS Energy's (CMS) Q2 Earnings Beat Estimates, Revenues Miss
CMS Energy Corporation CMS reported second-quarter 2020 adjusted earnings per share (EPS) of 49 cents, which surpassed the Zacks Consensus Estimate of 45 cents by 8.9%. Moreover, the bottom line surged 48.5% from 33 cents per share in the year-ago quarter.
Including one-time items, the company posted GAAP earnings of 48 cents per share in the reported quarter, up from 33 cents in the year-ago quarter.
The year-over-year uptick in the bottom line can be attributed to cost management coupled with favorable weather and sales mix.
In the quarter under review, CMS Energy’s operating revenues summed $1,443 million, which missed the Zacks Consensus Estimate of $1,512 million by 4.6%. The top line also edged down 0.1% on a year-over-year basis.
The company’s operating expenses declined 4.6% to $1,170 million in the quarter under review.
Operating income in the second quarter was $273 million, up 25.2% from $218 million in the year-ago quarter.
CMS Energy’s interest charges were $141 million, up 7.6% from $131 million in the year-ago period.
CMS Energy Corporation Price, Consensus and EPS Surprise
CMS Energy had cash and cash equivalents of $1,587 million as of Jun 30, 2020, up from $140 million as of Dec 31, 2019.
As of Jun 30, 2020, total debt, capital leases and financing obligations (excluding securitization debt) were $14,987 million, up from $12,996 million as of Dec 31, 2019.
At the end of the first half of 2020, cash from operating activities amounted to $796 million compared with $1,185 million in the first half of 2019.
CMS Energy reaffirmed its adjusted earnings per share guidance of $2.64-$2.68 for 2020. The Zacks Consensus Estimate for the company’s 2020 earnings is currently pegged at $2.65, below the midpoint of the company’s guidance range.
CMS Energy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Utility Releases
NextEra Energy NEE reported second-quarter 2020 adjusted earnings of $2.61 per share, surpassing the Zacks Consensus Estimate of $2.50 by 4.4%.
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%.
Entergy Corporation ETR reported second-quarter 2020 adjusted earnings of $1.37 per share, which surpassed the Zacks Consensus Estimate of $1.23 by 11.4%.
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