10-QPeriod: Q3 FY2024

EXELON CORP Quarterly Report for Q3 Ended Sep 30, 2024

Filed October 30, 2024For Securities:EXC

Summary

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 billion compared to the same period in 2023. Diluted earnings per share also saw an increase to $1.81 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.

Financial Highlights

46 data points
Beta

Revenue

$6.15B

Net Income

$707.00M

11.5% Net Margin

EPS (Diluted)

$0.70

Total Assets

$106.07B

Cash & Equivalents

$616.00M

Free Cash Flow

-$6.00M

Financial Statements
Beta
Revenue$6.15B
Operating Expenses$4.96B
Operating Income$1.20B
Net Income$707.00M
EPS (Basic)$0.70
EPS (Diluted)$0.70
Shares Outstanding (Basic)1.00B
Shares Outstanding (Diluted)1.00B

Key Highlights

  • 1Net income attributable to common shareholders increased by $102 million to $1.81 billion for the first nine months of 2024.
  • 2Diluted earnings per share rose to $1.81 in the first nine months of 2024, up from $1.72 in the prior year.
  • 3Favorable 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.
  • 4Exelon secured significant grant recommendations totaling up to $150 million from the Infrastructure Investment and Jobs Act for grid modernization and resilience projects.
  • 5ComEd recorded a charge of $70 million related to a FERC audit settlement regarding overhead cost allocation, pending final approval.
  • 6The company reported strong cash flow from operations of $4.14 billion for the first nine months of 2024.
  • 7Exelon amended and restated its syndicated revolving credit facilities, extending maturity dates to August 2029.

Frequently Asked Questions

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.

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.

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.

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.