01—Abstract
Summary
Summary of the 8-K filed November 7, 2024. Cited figures are marked; the original filing is the authoritative source.
Evergy, Inc. (NASDAQ: EVRG) filed a combined Form 8-K on November 7, 2024, together with its subsidiaries Evergy Kansas Central, Inc. and Evergy Metro, Inc., furnishing a press release announcing third quarter 2024 results (Exhibit 99.1).
Third quarter 2024 GAAP net income attributable to Evergy was $465.6 milliona, or $2.02 per diluted share, compared with $351.6 million, or $1.53 per share, in the third quarter of 2023. Adjusted (non-GAAP) earnings were $465.6 million, or $2.02 per share, versus $432.3 million, or $1.88 per share, a year earlier. Management attributed the higher adjusted EPS mainly to new retail rates, FERC regulated investments and growth in weather-normalized demand, partially offset by cooler summer weather and higher depreciation and amortization expense.
The release reaffirms 2024 GAAP and adjusted EPS guidance of $3.73 to $3.93b and establishes 2025 guidance of $3.92 to $4.12. Evergy also introduced a 2025E-2029E capital investment plan of $16.2 billion, and management expects long-term adjusted EPS growth in the upper half of a 4% to 6% range starting in 2026. The board declared a quarterly dividend of $0.6675 per share, an increase of 4%, payable December 20, 2024 to holders of record as of November 21, 2024.
CEO David Campbell highlighted a unanimous settlement agreement in the Missouri West rate case, which still requires Missouri Public Service Commission approval, and the announced sites of two 705-megawatt combined-cycle natural gas plants in Kansas and Missouri. The 2024 and 2025 guidance and the capital plan are furnished under Regulation FD and are not deemed filed for Exchange Act purposes.
02—Key points
Key Highlights
- Q3 2024 GAAP and adjusted EPS of $2.02, up from $1.53 GAAP and $1.88 adjusted in Q3 2023; Q3 2024 adjusted earnings of $465.6 million versus $432.3 million
- Year-to-date September 30, 2024 adjusted EPS of $3.46, compared with $3.27 for the same period of 2023
- 2025 GAAP and adjusted EPS guidance established at $3.92 to $4.12; 2024 guidance of $3.73 to $3.93 reaffirmed
- Long-term adjusted EPS growth target of 4% to 6% through 2029, with growth expected in the upper half of that range starting in 2026
- 2025E-2029E capital investment plan of $16.2 billion, incorporating significant new generation from the 2024 Integrated Resource Plans
- Quarterly dividend increased 4% to $0.6675 per share, payable December 20, 2024 to holders of record as of November 21, 2024
- Unanimous settlement in the Missouri West rate case pending Missouri Public Service Commission approval; two 705 MW combined-cycle natural gas plants sited
03—Questions
Frequently Asked Questions
How did Evergy perform in the third quarter of 2024?
Evergy reported GAAP net income attributable to Evergy, Inc. of $465.6 million, or $2.02 per diluted share, compared with $351.6 million, or $1.53 per share, in the third quarter of 2023. Adjusted earnings (non-GAAP) were $465.6 million, or $2.02 per share, versus $432.3 million, or $1.88 per share, a year earlier. Management cited new retail rates, FERC regulated investments and growth in weather-normalized demand as drivers, partly offset by cooler summer weather and higher depreciation and amortization expense.
What earnings guidance did Evergy provide?
Evergy reaffirmed its 2024 GAAP and adjusted EPS guidance range of $3.73 to $3.93 and established 2025 GAAP and adjusted EPS guidance of $3.92 to $4.12. The company also set a long-term adjusted EPS growth target of 4% to 6% through 2029, based on the 2025 guidance midpoint of $4.02, and expects growth in the upper half of that range beginning in 2026.
What is the capital investment plan?
Evergy introduced a 2025E-2029E capital investment plan of $16.2 billion. Management said it reflects the infrastructure needed to serve growing demand, including a significant portion of the new generation outlined in its 2024 Integrated Resource Plans, along with transmission and distribution modernization projects.
Is there a change to the dividend?
Yes. The board declared a quarterly dividend of $0.6675 per share, a 4% increase, payable December 20, 2024 to shareholders of record as of November 21, 2024.
What regulatory and development updates were mentioned?
CEO David Campbell noted a unanimous settlement agreement in the Missouri West rate case, which is subject to approval by the Missouri Public Service Commission. He also cited the recently announced sites of two 705 megawatt combined-cycle natural gas plants intended to meet growing energy needs in Kansas and Missouri.
04—Continue