Summary
This 10-K filing for Exelon Corporation (EXC) on February 9, 2018, details the company's operations as a utility services holding company. Exelon is engaged in both energy generation through Exelon Generation Company, LLC (Generation) and energy delivery through its subsidiaries: Commonwealth Edison Company (ComEd), PECO Energy Company (PECO), Baltimore Gas and Electric Company (BGE), Pepco Holdings LLC (PHI), Potomac Electric Power Company (Pepco), Delmarva Power & Light Company (DPL), and Atlantic City Electric Company (ACE). The company's business model leverages its regulated utility operations for stable earnings and its competitive generation business for free cash flow, which is reinvested in utilities and long-term contracted assets. Key financial highlights from 2017 show a significant increase in net income attributable to common shareholders compared to 2016, largely driven by the inclusion of PHI's operations for the full year and the acquisition of the FitzPatrick nuclear generating station. The company also announced an updated dividend policy, increasing it by 5% annually from 2018 through 2020. Exelon's strategy focuses on improving utility reliability and customer experience, alongside pursuing growth opportunities in competitive energy businesses through optimal asset structure and stable revenues. The company anticipates significant future investments in its regulated utility infrastructure.
Financial Highlights
54 data points| Revenue | $33.56B |
| Operating Expenses | $29.62B |
| Operating Income | $4.39B |
| Interest Expense | $1.52B |
| Net Income | $3.78B |
| EPS (Basic) | $3.99 |
| EPS (Diluted) | $3.98 |
| Shares Outstanding (Basic) | 947.00M |
| Shares Outstanding (Diluted) | 949.00M |
Key Highlights
- 1Exelon operates as a utility services holding company with a dual focus on energy generation (Generation) and energy delivery through its six regulated utility subsidiaries: ComEd, PECO, BGE, Pepco, DPL, and ACE.
- 2The company completed a major merger with Pepco Holdings, Inc. (PHI) in March 2016, integrating its operations and expanding its regulated utility footprint.
- 3Exelon Generation is one of the largest competitive electric generation companies in the U.S., with a diverse fleet including nuclear, fossil fuels, and renewables, and markets power through its customer-facing business, Constellation.
- 4The utility subsidiaries are subject to state and federal regulations, with rates and services overseen by various state utility commissions and the FERC.
- 5The company is investing heavily in its utility infrastructure, with projected capital expenditures of approximately $2.1 billion for Generation and a total of approximately $26 billion over the next five years across its utilities for improvements and modernization.
- 6Exelon announced an updated dividend policy providing a 5% annual increase for 2018-2020, indicating a commitment to shareholder returns.
- 7The company is navigating evolving regulatory landscapes, including the impact of federal tax reform (Tax Cuts and Jobs Act of 2017) and state-level initiatives related to clean energy and nuclear plant preservation.