Summary
Exelon Corporation reported a significant increase in net income attributable to common shareholders for the first quarter of 2019, reaching $907 million, a substantial rise from $585 million in the same period of 2018. This improvement was driven by several factors including favorable changes in Nuclear Decommissioning Trust (NDT) fund investments, reduced mark-to-market losses on economic hedging activities, a benefit from the remeasurement of the Three Mile Island Asset Retirement Obligation (ARO), and higher capacity prices. Additionally, regulatory rate increases at its utility subsidiaries (PECO, BGE, Pepco, and DPL) and lower storm costs at PECO and BGE contributed positively to the results. However, these positive developments were partially offset by lower realized energy prices and the absence of Zero Emission Credit (ZEC) revenues recognized in the prior year's first quarter. Exelon's management views adjusted operating earnings as a key indicator of ongoing operational performance, which stood at $846 million or $0.87 per diluted share for Q1 2019, compared to $925 million or $0.96 per diluted share for Q1 2018, highlighting the impact of non-operational items on GAAP net income. The company continues to focus on its integrated business model, balancing stable earnings from its regulated utility operations with the cash flow generation from its competitive businesses, while also managing costs and pursuing strategic policy alignment.
Financial Highlights
51 data points| Revenue | $9.48B |
| Operating Expenses | $8.26B |
| Operating Income | $1.22B |
| Interest Expense | $397.00M |
| Net Income | $907.00M |
| EPS (Basic) | $0.93 |
| EPS (Diluted) | $0.93 |
| Shares Outstanding (Basic) | 971.00M |
| Shares Outstanding (Diluted) | 972.00M |
Key Highlights
- 1Net income attributable to common shareholders increased to $907 million in Q1 2019 from $585 million in Q1 2018.
- 2Diluted earnings per share improved to $0.93 in Q1 2019 from $0.60 in Q1 2018.
- 3Favorable NDT fund investment performance, reduced mark-to-market losses, a TMI ARO remeasurement benefit, and higher capacity prices were key drivers of the earnings increase.
- 4Regulatory rate increases at PECO, BGE, Pepco, and DPL, along with lower storm costs at PECO and BGE, positively impacted results.
- 5The absence of prior year ZEC revenues and lower realized energy prices partially offset the positive drivers.
- 6Adjusted operating earnings, a non-GAAP measure, were $846 million ($0.87 per share) in Q1 2019, compared to $925 million ($0.96 per share) in Q1 2018.
- 7The company continues to invest in utility infrastructure modernization and maintain a strong focus on cost management.