01—Abstract
Summary
Summary of the 10-Q filed October 30, 2024. Cited figures are marked; the original filing is the authoritative source.
Exelon Corporation reported solid financial results for the nine months ended September 30, 2024, with net income attributable to common shareholders increasing by $102 million to $1.81 billiona compared to the same period in 2023.
Diluted earnings per share also saw an increase to $1.81b from $1.72. This growth was driven by favorable impacts from rate increases across its utility segments, particularly at BGE and PHI, alongside improved regulatory asset returns at ComEd and a reduction in storm costs at PHI. Operationally, Exelon's core utility businesses, including ComEd, PECO, BGE, Pepco, DPL, and ACE, demonstrated resilience.
While higher interest expenses and increased credit loss provisions presented headwinds, the company's strategic focus on infrastructure investment and regulatory proceedings appears to be paying off. Several key rate case filings were completed and pending, indicating ongoing efforts to manage costs and recover investments. Exelon also continued to pursue funding opportunities under the Infrastructure Investment and Jobs Act, securing significant grant recommendations for grid modernization and resilience projects.
02—Key points
Key Highlights
- Net income attributable to common shareholders increased by $102 million to $1.81 billion for the first nine months of 2024.
- Diluted earnings per share rose to $1.81 in the first nine months of 2024, up from $1.72 in the prior year.
- Favorable impacts from rate increases at BGE and PHI, along with improved regulatory asset returns at ComEd and lower storm costs at PHI, were key drivers of the improved performance.
- Exelon secured significant grant recommendations totaling up to $150 million from the Infrastructure Investment and Jobs Act for grid modernization and resilience projects.
- ComEd recorded a charge of $70 million related to a FERC audit settlement regarding overhead cost allocation, pending final approval.
- The company reported strong cash flow from operations of $4.14 billion for the first nine months of 2024.
- Exelon amended and restated its syndicated revolving credit facilities, extending maturity dates to August 2029.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2024filed October 30, 2024Financial Statements
Q3 FY2024 against Q3 FY2023
| Line item | Q3 FY2024Q3 FY2023 | Change |
|---|---|---|
| Revenue | $6.15B$5.98B | +2.9% |
| Operating Expenses | $4.96B$4.86B | +2.1% |
| Operating Income | $1.20B$1.12B | +6.5% |
| Net Income | $707.00M$700.00M | +1.0% |
| EPS (Basic) | $0.70$0.70 | 0.0% |
| EPS (Diluted) | $0.70$0.70 | 0.0% |
| Shares Outstanding (Basic) | 1.00B996.00M | +0.7% |
| Shares Outstanding (Diluted) | 1.00B997.00M | +0.7% |
05—Questions
Frequently Asked Questions
What was the primary driver of Exelon's net income growth in the first nine months of 2024?
Exelon's net income growth was primarily driven by favorable impacts from rate increases across its utility segments, particularly at BGE and PHI, improved regulatory asset returns at ComEd, and a reduction in storm costs at PHI.
How is Exelon investing in grid modernization and resilience?
Exelon is actively pursuing funding under the Infrastructure Investment and Jobs Act. The company has received grant recommendations totaling up to $150 million for projects focused on grid modernization, distributed energy resource integration, and enhancing grid resilience, particularly in disadvantaged communities.
What is the impact of the FERC audit settlement on ComEd?
ComEd reached an agreement in principle to settle a FERC audit finding related to overhead cost allocation. This resulted in a charge of $70 million recorded in the third quarter for probable disallowance of capitalized construction costs, which are not expected to be recovered in future rates, pending final FERC approval.
How did Exelon's cash flows from operations perform?
Exelon reported strong cash flows from operating activities, totaling $4.14 billion for the first nine months of 2024, which is an increase from $3.29 billion in the same period of 2023. This reflects the company's robust operational performance.
06—Continue