Exelon Corp
Q3 2024 Earnings
Market Reaction
S&P 500 over the same 30 days: +4.07%.
Did EXC Beat Earnings? Q3 2024 Results
Exelon delivered a solid beat in the third quarter of 2024, posting adjusted operating earnings of $0.71 per share against a consensus estimate of $0.67, a 5.97% positive surprise, as revenue climbed 2.9% year-over-year to $6.15 billion. The standout driver was PHI, whose adjusted operating earnings surged to $278.00 million from $234.00 million on the back of higher electric distribution and transmission rates and notably lower storm costs, helping offset a softer quarter at PECO, where increased credit loss and depreciation expenses weighed on results. ComEd also contributed positively, with earnings rising to $360.00 million from $338.00 million, aided by favorable timing of distribution earnings and a growing rate base. Looking ahead, management reaffirmed full-year 2024 adjusted operating EPS guidance of $2.40 to $2.50 and its 5-7% compounded annual EPS growth target through 2027, backed by a $34.50 billion capital expenditure plan designed to generate approximately 7.5% rate base growth, with analysts maintaining a broadly constructive view on the stock despite modest post-earnings share price pressure.
- Distribution rate increases at BGE and PHI
- Timing of distribution earnings and higher return on regulatory assets at ComEd
- Decreased storm costs at PHI
- Higher distribution rate base at ComEd
- All utilities achieved top quartile reliability performance
“Our strong third quarter performance highlights the dedication of our 20,000 employees delivering top quartile service despite unprecedented challenges. This summer, our regions faced record-breaking severe weather, including an historic number of tornadoes in the Chicago area. Yet, we maintained top quartile reliability, with ComEd and Pepco Holdings performing in the top decile. We're also making progress on our work with regulators to invest in a resilient grid, and doing our part to keep energy affordability front and center. As we approach the end of 2024, we remain focused on building a cleaner and brighter future for our customers and communities.”
Exelon CEO, on the earnings call
Forward Guidance & Outlook
Exelon reaffirmed its full-year 2024 adjusted operating earnings guidance of $2.40 to $2.50 per share based on expected average outstanding shares of 1,004 million. The company reaffirmed its 2023-2027 adjusted operating EPS compounded annual growth target of 5-7%, with expectation to be at midpoint or better. Exelon is investing approximately $34.5 billion in capital expenditures over 2024-2027, resulting in expected rate base growth of approximately 7.5%. The company projects a dividend payout ratio of approximately 60%, with dividends growing in-line with the targeted 5-7% operating EPS CAGR through 2027. The financing plan includes $1.6 billion of total equity, with approximately $150 million issued in 2024 and the balance to be issued ratably from 2025-2027. The company targets a consolidated operating ROE of 9-10% and plans to deploy $7.4 billion of capital expenditures in 2024. Exelon anticipates having clarity into revenues covering approximately 90% of its rate base through 2026-2027 by year-end.
EXC YoY Financials
EXC Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.