How did PSEG perform in 2023 compared with 2022?

Net income rose to $2,563 million ($5.13 per diluted share) from $1,031 million ($2.06 per share). Non-GAAP Operating Earnings were $1,742 million ($3.48 per share), essentially flat against $3.47 per share in 2022.

What is PSEG's earnings guidance for 2024?

PSEG reaffirmed its 2024 non-GAAP Operating Earnings guidance of $3.60 to $3.70 per share, consistent with its 5% to 7% earnings growth outlook through 2028.

What drove the gap between net income and non-GAAP Operating Earnings?

Non-GAAP Operating Earnings exclude gains and losses on the Nuclear Decommissioning Trust and mark-to-market accounting, along with other items. In 2023, reconciling items reduced net income by $821 million, including a $1,334 million pre-tax mark-to-market gain and a $184 million pre-tax NDT gain, and a $338 million pre-tax pension settlement charge.

What are PSEG's capital investment plans?

PSEG updated its five-year regulated capital spending plan to $18 billion to $21 billion for 2024 to 2028. PSE&G completed its largest-ever single-year capital program of $3.7 billion in 2023.

What regulatory filings did PSE&G make in December 2023?

PSE&G filed a comprehensive electric and gas base rate case with the New Jersey Board of Public Utilities to recover over $3 billion in infrastructure investments made since its 2018 rate case. It also submitted a $3.1 billion Clean Energy Future-Energy Efficiency II proposal covering January 2025 through June 2027.

PEG 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

Summary of the 8-K filed February 26, 2024. Cited figures are marked; the original filing is the authoritative source.

Public Service Enterprise Group Incorporated (PSEG) reported full-year 2023 net income of $2,563 million^a, or $5.13 per diluted share, compared with $1,031 million, or $2.06 per share, in 2022.

Non-GAAP Operating Earnings were $1,742 million^b, or $3.48 per share, versus $1,739 million, or $3.47 per share, in 2022. Fourth-quarter 2023 net income was $546 million ($1.10 per share) and non-GAAP Operating Earnings were $271 million ($0.54 per share). The company reaffirmed its 2024 non-GAAP Operating Earnings guidance of $3.60 to $3.70 per share and said it had met or exceeded its guidance for the 19th consecutive year.

The filing highlights PSE&G's largest-ever capital investment program in a single year, totaling $3.7 billion^c. Looking ahead, PSEG updated its five-year regulated capital spending plan to $18 billion to $21 billion for 2024 to 2028, supporting a rate base compound annual growth outlook of 6% to 7.5% and non-GAAP Operating Earnings growth of 5% to 7%. The indicative 2024 annual common dividend was raised by $0.12 to $2.40 per share.

Regulatory activity included PSE&G's December 2023 electric and gas base rate case filing with the New Jersey Board of Public Utilities, its first distribution rate request in six years, and a $3.1 billion^d Clean Energy Future-Energy Efficiency II filing. Net income in 2023 was lifted by large mark-to-market and nuclear decommissioning trust gains that are excluded from non-GAAP Operating Earnings, so investors should weigh the gap between GAAP and non-GAAP results.

02—Key points

Key Highlights

Full-year 2023 net income of $2,563 million ($5.13 per diluted share), up from $1,031 million ($2.06 per share) in 2022.
Full-year 2023 non-GAAP Operating Earnings of $1,742 million ($3.48 per share), compared with $3.47 per share in 2022; PSE&G contributed $3.06 per share and PSEG Power & Other $0.42 per share.
Fourth-quarter 2023 net income of $546 million ($1.10 per share) and non-GAAP Operating Earnings of $271 million ($0.54 per share), versus $0.64 per share a year earlier.
2024 non-GAAP Operating Earnings guidance of $3.60 to $3.70 per share reaffirmed.
Five-year regulated capital plan for 2024 to 2028 raised to $18 billion to $21 billion, supporting 6% to 7.5% rate base CAGR and 5% to 7% non-GAAP Operating Earnings growth.
Indicative 2024 annual common dividend increased by $0.12 to $2.40 per share, the 13th consecutive annual increase.
PSE&G filed its first distribution base rate case in six years with the New Jersey BPU and a $3.1 billion CEF-EE II energy efficiency proposal.

03—Questions

Frequently Asked Questions

How did PSEG perform in 2023 compared with 2022?
Net income rose to $2,563 million ($5.13 per diluted share) from $1,031 million ($2.06 per share). Non-GAAP Operating Earnings were $1,742 million ($3.48 per share), essentially flat against $3.47 per share in 2022.
What is PSEG's earnings guidance for 2024?
PSEG reaffirmed its 2024 non-GAAP Operating Earnings guidance of $3.60 to $3.70 per share, consistent with its 5% to 7% earnings growth outlook through 2028.
What drove the gap between net income and non-GAAP Operating Earnings?
Non-GAAP Operating Earnings exclude gains and losses on the Nuclear Decommissioning Trust and mark-to-market accounting, along with other items. In 2023, reconciling items reduced net income by $821 million, including a $1,334 million pre-tax mark-to-market gain and a $184 million pre-tax NDT gain, and a $338 million pre-tax pension settlement charge.
What are PSEG's capital investment plans?
PSEG updated its five-year regulated capital spending plan to $18 billion to $21 billion for 2024 to 2028. PSE&G completed its largest-ever single-year capital program of $3.7 billion in 2023.
What regulatory filings did PSE&G make in December 2023?
PSE&G filed a comprehensive electric and gas base rate case with the New Jersey Board of Public Utilities to recover over $3 billion in infrastructure investments made since its 2018 rate case. It also submitted a $3.1 billion Clean Energy Future-Energy Efficiency II proposal covering January 2025 through June 2027.

04—Continue

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