WEC Energy Group reports third-quarter results
WEC Energy Group reported Q3 2024 net income of $240.1 million ($0.76 per share), down from $316.0 million ($1.00 per share) in Q3 2023. Adjusted earnings were $0.82 per share, excluding a $0.06 per share charge related to disallowed capital expenditures. For the first nine months of 2024, net income was $1.07 billion ($3.40 per share) compared to $1.11 billion ($3.52 per share) in 2023. Consolidated revenues decreased by $359.8 million to $6.3 billion. Retail electricity deliveries increased 0.7% in Q3 2024. The company affirmed its 2024 earnings guidance of $4.74-$4.84 per share on a GAAP basis and $4.80-$4.90 per share adjusted.
WEC Energy Group ha riportato un reddito netto per il terzo trimestre del 2024 di 240,1 milioni di dollari (0,76 dollari per azione), in calo rispetto a 316,0 milioni di dollari (1,00 dollaro per azione) nel terzo trimestre del 2023. Gli utili rettificati sono stati di 0,82 dollari per azione, escludendo un addebito di 0,06 dollari per azione relativo a spese in conto capitale non autorizzate. Nei primi nove mesi del 2024, il reddito netto è stato di 1,07 miliardi di dollari (3,40 dollari per azione), rispetto a 1,11 miliardi di dollari (3,52 dollari per azione) nel 2023. I ricavi consolidati sono diminuiti di 359,8 milioni di dollari, raggiungendo 6,3 miliardi di dollari. Le consegne di elettricità al dettaglio sono aumentate dello 0,7% nel terzo trimestre del 2024. L'azienda ha confermato la sua guida sugli utili per il 2024, compresa tra 4,74 e 4,84 dollari per azione su base GAAP e tra 4,80 e 4,90 dollari per azione rettificati.
WEC Energy Group reportó una ganancia neta en el tercer trimestre de 2024 de 240,1 millones de dólares (0,76 dólares por acción), por debajo de 316,0 millones de dólares (1,00 dólar por acción) en el tercer trimestre de 2023. Las ganancias ajustadas fueron de 0,82 dólares por acción, excluyendo un cargo de 0,06 dólares por acción relacionado con gastos de capital no aprobados. Durante los primeros nueve meses de 2024, la ganancia neta fue de 1,07 mil millones de dólares (3,40 dólares por acción) en comparación con 1,11 mil millones de dólares (3,52 dólares por acción) en 2023. Los ingresos consolidados disminuyeron en 359,8 millones de dólares, alcanzando 6,3 mil millones de dólares. Las entregas de electricidad al por menor aumentaron un 0,7% en el tercer trimestre de 2024. La compañía reafirmó su guía de ganancias para 2024 de entre 4,74 y 4,84 dólares por acción en base GAAP y entre 4,80 y 4,90 dólares por acción ajustados.
WEC 에너지 그룹은 2024년 3분기 순이익이 2억 401만 달러 (주당 0.76 달러)로, 2023년 3분기의 3억 1천600만 달러 (주당 1.00 달러)에서 감소했다고 보고했습니다. 조정된 수익은 주당 0.82 달러로, 승인되지 않은 자본 지출과 관련된 주당 0.06 달러의 부담을 제외한 수치입니다. 2024년 첫 9개월 동안 순이익은 10억 7천만 달러 (주당 3.40 달러)로, 2023년의 11억 1천만 달러 (주당 3.52 달러)와 비교되었습니다. 통합 매출은 3억 5천980만 달러 감소하여 63억 달러에 달했습니다. 소매 전기 배송은 2024년 3분기에 0.7% 증가했습니다. 이 회사는 GAAP 기준으로 주당 4.74~4.84 달러, 조정된 기준으로 주당 4.80~4.90 달러의 2024년 수익 가이드를 확인했습니다.
WEC Energy Group a signalé pour le troisième trimestre de 2024 un bénéfice net de 240,1 millions de dollars (0,76 dollar par action), en baisse par rapport à 316,0 millions de dollars (1,00 dollar par action) au troisième trimestre de 2023. Les bénéfices ajustés étaient de 0,82 dollar par action, excluant une charge de 0,06 dollar par action liée à des dépenses d'investissement non autorisées. Pour les neuf premiers mois de 2024, le bénéfice net était de 1,07 milliard de dollars (3,40 dollars par action) contre 1,11 milliard de dollars (3,52 dollars par action) en 2023. Les revenus consolidés ont diminué de 359,8 millions de dollars pour atteindre 6,3 milliards de dollars. Les livraisons d’électricité au détail ont augmenté de 0,7 % au troisième trimestre 2024. L'entreprise a confirmé ses prévisions de bénéfices pour 2024 de 4,74 à 4,84 dollars par action selon les normes GAAP et de 4,80 à 4,90 dollars par action ajustés.
WEC Energy Group meldete für das 3. Quartal 2024 einen Nettogewinn von 240,1 Millionen Dollar (0,76 Dollar pro Aktie), was einen Rückgang von 316,0 Millionen Dollar (1,00 Dollar pro Aktie) im 3. Quartal 2023 darstellt. Anpassungsfähige Gewinne lagen bei 0,82 Dollar pro Aktie, ohne eine Belastung von 0,06 Dollar pro Aktie aufgrund von nicht genehmigten Investitionsausgaben. In den ersten neun Monaten 2024 betrug der Nettogewinn 1,07 Milliarden Dollar (3,40 Dollar pro Aktie) im Vergleich zu 1,11 Milliarden Dollar (3,52 Dollar pro Aktie) im Jahr 2023. Die konsolidierten Einnahmen verringerten sich um 359,8 Millionen Dollar auf 6,3 Milliarden Dollar. Die Stromlieferungen im Einzelhandel stiegen im 3. Quartal 2024 um 0,7%. Das Unternehmen bestätigte seine Gewinnprognose für 2024 von 4,74–4,84 Dollar pro Aktie auf GAAP-Basis und 4,80–4,90 Dollar pro Aktie angepasst.
- Retail electricity deliveries increased by 0.7% in Q3 2024
- Residential electricity use rose by 1.3%
- Small commercial and industrial customer electricity consumption up 1.0%
- Company maintains strong earnings guidance for 2024
- Q3 2024 net income decreased by 24% to $240.1M from $316.0M in Q3 2023
- Consolidated revenues declined by $359.8M for first nine months of 2024
- $0.06 per share charge due to disallowed capital expenditures
- Large commercial and industrial electricity use declined by 0.2%
Insights
WEC Energy Group's Q3 results show concerning trends with net income dropping to
Revenue headwinds are evident with consolidated revenues down
Third-quarter 2024 earnings include a charge of
For the first nine months of 2024, WEC Energy Group recorded net income based on GAAP of
Excluding the charge described above, WEC Energy Group's adjusted earnings for the first nine months of 2024 totaled
Consolidated revenues totaled
"We delivered another solid quarter, and we remain firmly on track for a strong 2024," said Scott Lauber, president and CEO. "Our focus remains on the fundamentals of our business — financial discipline, customer satisfaction and operating efficiency — enhancing value for our customers and stockholders."
Retail deliveries of electricity — excluding the iron ore mine in
Electricity consumption by small commercial and industrial customers was 1.0 percent higher. Electricity use by large commercial and industrial customers — excluding the iron ore mine — declined by 0.2 percent.
Residential electricity use rose by 1.3 percent.
On a weather-normal basis, retail deliveries of electricity during the third quarter of this year — excluding the iron ore mine — increased by 0.4 percent.
The company is affirming its 2024 earnings guidance range of
Earnings per share listed in this news release are on a fully diluted basis.
Non-GAAP Earnings Measures
Earnings and Earnings per Share
A reconciliation of GAAP net income and earnings per share to adjusted net income and earnings per share is included below for the quarter and nine months ended Sept. 30, 2024. There were no adjustments to GAAP net income or earnings per share for the quarter or nine months ended Sept. 30, 2023.
Net Income | ||||
Three Months Ended | Nine Months Ended | |||
(in millions) | September 30, 2024 | September 30, 2024 | ||
WEC Energy Group GAAP | $ 240.1 | $ 1,073.7 | ||
Loss related to ICC disallowances pre-tax | 25.3 | 25.3 | ||
Tax impact | (6.9) | (6.9) | ||
WEC Energy Group adjusted net income | $ 258.5 | $ 1,092.1 | ||
Earnings Per Share | ||||
Three Months Ended | Nine Month Ended | |||
September 30, 2024 | September 30, 2024 | |||
WEC Energy Group GAAP | $ 0.76 | $ 3.40 | ||
Net loss related to ICC disallowances | 0.06 | 0.06 | ||
WEC Energy Group adjusted earnings per share (1) | $ 0.82 | $ 3.45 | ||
Diluted average shares outstanding (millions) | 316.5 | 316.2 | ||
(1) Note that WEC Energy Group adjusted earnings per share may not add due to rounding. | ||||
The company has provided adjusted earnings (non-GAAP earnings) in this news release as a complement to, and not as an alternative to, reported earnings presented in accordance with GAAP. The adjusted earnings exclude a charge related to certain capital expenditures under the QIP Rider that were disallowed by the Illinois Commerce Commission. The ICC's disallowance of costs of this nature is not indicative of WEC Energy Group's operating performance. Therefore, the company believes that the presentation of adjusted earnings is relevant and useful to investors to understand WEC Energy Group's operating performance. Management uses such measures internally to evaluate the company's performance and manage its operations.
Earnings Guidance
A reconciliation of 2024 GAAP earnings guidance to adjusted (non-GAAP earnings guidance) is provided below, and reflects the same adjustment for the ICC disallowances that was made to net income and earnings per share for the three and nine months ended Sept. 30, 2024.
Earnings Guidance - 2024 | ||||
Low End of Range | High End of Range | |||
WEC Energy Group GAAP earnings guidance | $ 4.74 | $ 4.84 | ||
Net loss related to ICC disallowances | 0.06 | 0.06 | ||
WEC Energy Group adjusted earnings guidance | $ 4.80 | $ 4.90 | ||
Conference call
A conference call is scheduled for 1 p.m. Central time, Thursday, Oct. 31. The call will review 2024 third-quarter earnings and the company's outlook for the future.
All interested parties, including stockholders, news media and the general public, are invited to listen. Access the call at 888-330-2443 up to 15 minutes before it begins. The number for international callers is 240-789-2728. The conference ID is 3088105.
Conference call access also is available at wecenergygroup.com. Under 'Webcasts,' select 'Q3 Earnings.' In conjunction with this earnings announcement, WEC Energy Group will post on its website a package of detailed financial information on its third-quarter performance. The materials will be available at 6:30 a.m. Central time, Thursday, Oct. 31.
Replay
A replay will be available on the website and by phone. Access to the webcast replay will be available on the website about two hours after the call. Access to a phone replay also will be available approximately two hours after the call and remain accessible through Nov. 14, 2024. Domestic callers should dial 800-770-2030. International callers should dial 647-362-9199. The replay conference ID is 3088105.
WEC Energy Group (NYSE: WEC), based in
The company's principal utilities are We Energies, Wisconsin Public Service, Peoples Gas, North Shore Gas, Michigan Gas Utilities, Minnesota Energy Resources and Upper Michigan Energy Resources. Another major subsidiary, We Power, designs, builds and owns electric generating plants. In addition, WEC Infrastructure LLC owns a growing fleet of renewable generation facilities in states ranging from
WEC Energy Group (wecenergygroup.com) is a Fortune 500 company and a component of the S&P 500. The company has approximately 34,000 stockholders of record, 7,000 employees and more than
Forward-looking statements
Certain statements contained in this press release are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based upon management's current expectations and are subject to risks and uncertainties that could cause our actual results to differ materially from those contemplated in the statements. Readers are cautioned not to place undue reliance on these statements. Forward-looking statements include, among other things, statements concerning management's expectations and projections regarding earnings, earnings growth rates, dividend payments and future results. In some cases, forward-looking statements may be identified by reference to a future period or periods or by the use of forward-looking terminology such as "anticipates," "believes," "estimates," "expects," "forecasts," "guidance," "intends," "may," "objectives," "plans," "possible," "potential," "projects," "should," "targets," "will" or similar terms or variations of these terms.
Factors that could cause actual results to differ materially from those contemplated in any forward-looking statements include, but are not limited to: general economic conditions, including business and competitive conditions in the company's service territories; timing, resolution and impact of rate cases and other regulatory decisions, including rider reconciliations; the company's ability to continue to successfully integrate the operations of its subsidiaries; availability of the company's generating facilities and/or distribution systems; unanticipated changes in fuel and purchased power costs; key personnel changes; unusual, varying or severe weather conditions; continued industry restructuring and consolidation; continued advances in, and adoption of, new technologies that produce power or reduce power consumption; energy and environmental conservation efforts; electrification initiatives, mandates and other efforts to reduce the use of natural gas; the company's ability to successfully acquire and/or dispose of assets and projects and to execute on its capital plan; terrorist, physical or cyber security threats or attacks and data security breaches; construction risks; labor disruptions; equity and bond market fluctuations; changes in the company's and its subsidiaries' ability to access the capital markets; changes in tax legislation or our ability to use certain tax benefits and carryforwards; federal, state, and local legislative and regulatory changes, including changes in rate-setting policies or procedures and environmental standards, the enforcement of these laws and regulations or permit conditions and changes in the interpretation of regulations by regulatory agencies; supply chain disruptions; inflation; political or geopolitical developments, including impacts on the global economy, supply chain and fuel prices, generally, from ongoing, escalating, or expanding regional conflicts; the impact from any health crises, including epidemics and pandemics; current and future litigation and regulatory investigations, proceedings or inquiries; changes in accounting standards; the financial performance of the American Transmission Company as well as projects in which the company's energy infrastructure business invests; the ability of the company to obtain additional generating capacity at competitive prices; goodwill and its possible impairment; and other factors described under the heading "Factors Affecting Results, Liquidity and Capital Resources" in Management's Discussion and Analysis of Financial Condition and Results of Operations and under the headings "Cautionary Statement Regarding Forward-Looking Information" and "Risk Factors" contained in the company's Form 10-K for the year ended December 31, 2023, and in subsequent reports filed with the Securities and Exchange Commission. Except as may be required by law, the company expressly disclaims any obligation to publicly update or revise any forward-looking information.
Tables follow
WEC ENERGY GROUP, INC. | ||||||||
CONDENSED CONSOLIDATED INCOME STATEMENTS (Unaudited) | Three Months Ended | Nine Months Ended | ||||||
September 30 | September 30 | |||||||
(in millions, except per share amounts) | 2024 | 2023 | 2024 | 2023 | ||||
Operating revenues | $ 1,863.5 | $ 1,957.4 | $ 6,315.7 | $ 6,675.5 | ||||
Operating expenses | ||||||||
Cost of sales | 520.8 | 587.4 | 1,917.6 | 2,430.1 | ||||
Other operation and maintenance | 566.8 | 516.6 | 1,631.0 | 1,546.6 | ||||
Depreciation and amortization | 340.5 | 320.3 | 1,010.5 | 939.7 | ||||
Property and revenue taxes | 51.7 | 61.1 | 194.7 | 192.5 | ||||
Total operating expenses | 1,479.8 | 1,485.4 | 4,753.8 | 5,108.9 | ||||
Operating income | 383.7 | 472.0 | 1,561.9 | 1,566.6 | ||||
Equity in earnings of transmission affiliates | 46.7 | 44.7 | 138.3 | 132.1 | ||||
Other income, net | 44.0 | 41.8 | 128.7 | 130.9 | ||||
Interest expense | 204.2 | 182.5 | 596.8 | 533.4 | ||||
Other expense | (113.5) | (96.0) | (329.8) | (270.4) | ||||
Income before income taxes | 270.2 | 376.0 | 1,232.1 | 1,296.2 | ||||
Income tax expense | 31.6 | 60.4 | 160.9 | 183.0 | ||||
Net income | 238.6 | 315.6 | 1,071.2 | 1,113.2 | ||||
Preferred stock dividends of subsidiary | 0.3 | 0.3 | 0.9 | 0.9 | ||||
Net loss attributed to noncontrolling interests | 1.8 | 0.7 | 3.4 | 0.9 | ||||
Net income attributed to common shareholders | $ 240.1 | $ 316.0 | $ 1,073.7 | $ 1,113.2 | ||||
Earnings per share | ||||||||
Basic | $ 0.76 | $ 1.00 | $ 3.40 | $ 3.53 | ||||
Diluted | $ 0.76 | $ 1.00 | $ 3.40 | $ 3.52 | ||||
Weighted average common shares outstanding | ||||||||
Basic | 316.2 | 315.4 | 315.9 | 315.4 | ||||
Diluted | 316.5 | 315.8 | 316.2 | 315.9 | ||||
Dividends per share of common stock | $ 0.8350 | $ 0.7800 | $ 2.5050 | $ 2.3400 | ||||
WEC ENERGY GROUP, INC. | ||||
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (in millions, except share and per share amounts) | September 30, 2024 | December 31, 2023 | ||
Assets | ||||
Current assets | ||||
Cash and cash equivalents | $ 322.5 | $ 42.9 | ||
Accounts receivable and unbilled revenues, net of reserves of | 1,175.5 | 1,503.2 | ||
Materials, supplies, and inventories | 789.9 | 775.2 | ||
Prepaid taxes | 124.5 | 173.9 | ||
Other prepayments | 50.7 | 76.8 | ||
Other | 156.1 | 223.7 | ||
Current assets | 2,619.2 | 2,795.7 | ||
Long-term assets | ||||
Property, plant, and equipment, net of accumulated depreciation and amortization of | 32,852.9 | 31,581.5 | ||
Regulatory assets (September 30, 2024 and December 31, 2023 include | 3,346.5 | 3,249.8 | ||
Equity investment in transmission affiliates | 2,080.8 | 2,005.9 | ||
Goodwill | 3,052.8 | 3,052.8 | ||
Pension and OPEB assets | 918.1 | 870.9 | ||
Other | 326.2 | 383.1 | ||
Long-term assets | 42,577.3 | 41,144.0 | ||
Total assets | $ 45,196.5 | $ 43,939.7 | ||
Liabilities and Equity | ||||
Current liabilities | ||||
Short-term debt | $ 597.0 | $ 2,020.9 | ||
Current portion of long-term debt (September 30, 2024 and December 31, 2023 include | 1,823.7 | 1,264.2 | ||
Accounts payable | 740.7 | 896.6 | ||
Accrued interest | 202.4 | 154.4 | ||
Other | 645.6 | 778.7 | ||
Current liabilities | 4,009.4 | 5,114.8 | ||
Long-term liabilities | ||||
Long-term debt (September 30, 2024 and December 31, 2023 include | 16,889.2 | 15,512.8 | ||
Deferred income taxes | 5,322.2 | 4,918.5 | ||
Deferred revenue, net | 339.9 | 356.4 | ||
Regulatory liabilities | 3,889.1 | 3,697.7 | ||
Intangible liabilities | 554.6 | 594.8 | ||
Environmental remediation liabilities | 430.5 | 463.7 | ||
Asset retirement obligations | 547.9 | 374.2 | ||
Other | 822.5 | 835.3 | ||
Long-term liabilities | 28,795.9 | 26,753.4 | ||
Commitments and contingencies | ||||
Common shareholders' equity | ||||
Common stock – | 3.2 | 3.2 | ||
Additional paid in capital | 4,191.4 | 4,115.9 | ||
Retained earnings | 7,895.3 | 7,612.8 | ||
Accumulated other comprehensive loss | (7.9) | (7.7) | ||
Common shareholders' equity | 12,082.0 | 11,724.2 | ||
Preferred stock of subsidiary | 30.4 | 30.4 | ||
Noncontrolling interests | 278.8 | 316.9 | ||
Total liabilities and equity | $ 45,196.5 | $ 43,939.7 | ||
WEC ENERGY GROUP, INC. | ||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) | Nine Months Ended | |||
September 30 | ||||
(in millions) | 2024 | 2023 | ||
Operating activities | ||||
Net income | $ 1,071.2 | $ 1,113.2 | ||
Reconciliation to cash provided by operating activities | ||||
Depreciation and amortization | 1,010.5 | 939.7 | ||
Deferred income taxes and ITCs, net | 368.3 | 155.9 | ||
Contributions and payments related to pension and OPEB plans | (11.0) | (13.0) | ||
Equity income in transmission affiliates, net of distributions | (29.3) | (23.1) | ||
Change in – | ||||
Accounts receivable and unbilled revenues, net | 324.0 | 600.7 | ||
Materials, supplies, and inventories | (14.7) | 67.2 | ||
Collateral on deposit | 47.7 | 4.0 | ||
Amounts recoverable from customers | (34.2) | 26.5 | ||
Other current assets | 81.8 | 77.8 | ||
Accounts payable | (151.7) | (350.6) | ||
Accrued interest | 48.0 | 82.4 | ||
Other current liabilities | (75.2) | (30.1) | ||
Other, net | (5.4) | (112.2) | ||
Net cash provided by operating activities | 2,630.0 | 2,538.4 | ||
Investing activities | ||||
Capital expenditures | (1,934.7) | (1,729.5) | ||
Acquisition of West Riverside Energy Center | (97.9) | (95.3) | ||
Acquisition of Whitewater Cogeneration Facility | — | (76.0) | ||
Acquisition of Sapphire Sky Wind Energy LLC, net of cash acquired of | — | (442.6) | ||
Acquisition of Samson I Solar Energy Center LLC, net of cash acquired of | — | (249.4) | ||
Acquisition of Red Barn Wind Park | — | (143.8) | ||
Capital contributions to transmission affiliates | (45.5) | (51.5) | ||
Proceeds from the sale of assets | 1.2 | 30.4 | ||
Proceeds from the sale of investments held in rabbi trust | 14.8 | 10.4 | ||
Payments for American Transmission Company LLC's construction costs that will be reimbursed | (0.7) | (19.5) | ||
Other, net | 9.6 | (4.9) | ||
Net cash used in investing activities | (2,053.2) | (2,771.7) | ||
Financing activities | ||||
Exercise of stock options | 13.4 | 3.0 | ||
Issuance of common stock | 51.0 | — | ||
Purchase of common stock | (3.2) | (10.7) | ||
Dividends paid on common stock | (791.2) | (738.1) | ||
Issuance of long-term debt | 2,672.4 | 2,050.0 | ||
Retirement of long-term debt | (837.5) | (996.0) | ||
Change in commercial paper | (1,424.8) | (98.2) | ||
Purchase of additional ownership interest in Samson I Solar Energy Center LLC from noncontrolling interest | (28.1) | — | ||
Payments for debt extinguishment and issuance costs | (30.7) | (13.0) | ||
Other, net | (2.3) | (4.5) | ||
Net cash provided by (used in) financing activities | (381.0) | 192.5 | ||
Net change in cash, cash equivalents, and restricted cash | 195.8 | (40.8) | ||
Cash, cash equivalents, and restricted cash at beginning of period | 165.2 | 182.2 | ||
Cash, cash equivalents, and restricted cash at end of period | $ 361.0 | $ 141.4 | ||
View original content:https://www.prnewswire.com/news-releases/wec-energy-group-reports-third-quarter-results-302292146.html
SOURCE WEC Energy Group
FAQ
What was WEC Energy Group's Q3 2024 earnings per share?
How much did WEC Energy Group's revenue decline in the first nine months of 2024?
What is WEC Energy Group's earnings guidance for 2024?
How did WEC's residential electricity usage perform in Q3 2024?
