01—Abstract
Summary
Summary of the 8-K filed November 1, 2024. Cited figures are marked; the original filing is the authoritative source.
Alliant Energy Corporation (NASDAQ: LNT) filed this combined Form 8-K on October 31, 2024, furnishing its press release (Exhibit 99.1) announcing third-quarter 2024 results.
GAAP earnings per share were $1.15a for the third quarter of 2024, compared to $1.02 in the third quarter of 2023. Net income attributable to common shareowners was $295 million for the quarter, versus $259 million a year earlier. For the nine months ended September 30, 2024, GAAP EPS was $2.10 versus $2.31 in 2023, reflecting a $0.17 per share asset valuation charge tied to IPL's Lansing Generating Station and a $0.06 per share asset retirement obligation charge for IPL's steam assets.
Non-GAAP EPS for the nine months was $2.33 compared to $2.34b in the prior year. The company narrowed its 2024 EPS guidance to $2.99 to $3.06, down from the previous range of $2.99 to $3.13 at the top end. Management said it expects to offset a majority of the negative 2024 temperature impacts on earnings.
The company also introduced 2025 EPS guidance of $3.15 to $3.25c per share and raised its 2025 annual common stock dividend target to $2.03 per share from $1.92. The press release reiterates a long-term earnings growth range of 5% to 7%. Management also noted strong data center interest in its service territory and said it will provide an update along with an updated load forecast.
The company forecasts capital expenditures of $11 billiond in aggregate for 2025 through 2028, with total projected spending of $2,025 million in 2024, $2,205 million in 2025, $2,680 million in 2026, $3,020 million in 2027 and $2,960 million in 2028. The filing is a combined report for Alliant Energy Corporation, Interstate Power and Light Company and Wisconsin Power and Light Company.
02—Key points
Key Highlights
- Q3 2024 GAAP EPS of $1.15, up from $1.02 in Q3 2023; net income of $295 million versus $259 million
- 2024 EPS guidance narrowed to $2.99 to $3.06, from $2.99 to $3.13 previously
- 2025 EPS guidance of $3.15 to $3.25 per share, with reiterated long-term earnings growth of 5% to 7%
- 2025 annual common stock dividend target raised to $2.03 per share from $1.92
- Nine-month 2024 GAAP EPS of $2.10 includes a $0.17 per share Lansing Generating Station asset valuation charge and a $0.06 per share steam asset ARO charge at IPL
- Projected capital expenditures of $11 billion in aggregate for 2025 through 2028
- Management cites strong data center interest in its service territory and plans an updated load forecast
03—Questions
Frequently Asked Questions
Why did Alliant Energy narrow its 2024 earnings guidance?
The filing revises the 2024 EPS guidance to $2.99 to $3.06 from $2.99 to $3.13. Management said it expects to offset a majority of the negative 2024 temperature impacts on earnings. The year-to-date estimated temperature impact is a $0.10 per share loss.
What drove the increase in third-quarter earnings?
Utilities and Corporate Services EPS rose to $1.20 from $1.11. The primary drivers were $0.17 per share of higher revenue requirements from capital investments at WPL and a $0.02 per share timing benefit from income taxes. These were partly offset by higher depreciation, financing expense and other items.
What are the 2025 earnings and dividend targets?
The company provided 2025 EPS guidance of $3.15 to $3.25 per share and raised its 2025 annual common stock dividend target to $2.03 per share from $1.92. Dividend payment remains subject to quarterly board declaration, with the first-quarter 2025 dividend expected to be declared in January 2025.
What were the one-time charges in 2024?
For the nine months ended September 30, 2024, the company recorded a $60 million asset valuation charge for IPL's Lansing Generating Station, which is $0.17 per share on a non-GAAP basis, and a $20 million asset retirement obligation charge for IPL's steam assets, which is $0.06 per share. Both are excluded from non-GAAP EPS. The filing also notes a voluntary employee separation program being executed in the fourth quarter of 2024.
What is the company's capital spending outlook?
Projected capital expenditures are $2,025 million in 2024, $2,205 million in 2025, $2,680 million in 2026, $3,020 million in 2027 and $2,960 million in 2028. Management forecasts $11 billion in aggregate spending for 2025 through 2028, with the largest generation spending in renewables and battery storage projects.
04—Continue