OGE Energy Corp. OGE shares rose 1.5% to reach $35.57 on May 6 following the release of its first-quarter 2024 results.
The company reported first-quarter 2024 earnings of 9 cents per share, which lagged the Zacks Consensus Estimate of 35 cents by 74.3%. The figure also declined 52.6% from 19 cents per share recorded in the year-ago quarter.
OGE Energy Corporation Price, Consensus and EPS Surprise 
OGE Energy Corporation price-consensus-eps-surprise-chart | OGE Energy Corporation Quote
Revenues
OGE’s operating revenues of $596.8 million rose 7.1% from $557.2 million recorded in the prior-year quarter. However, the top line missed the Zacks Consensus Estimate of $607 million by 1.7%.
Operational Highlights
Total sales in the reported quarter were 7.4 million megawatt-hours (MWh), up from 7 MWh in the prior-year quarter. The company’s customer count increased 1.1% to 899,871.
During the first quarter of 2024, the cost of fuel, purchased power and direct transmission increased 15.8% to $232.2 million from $200.6 million in the prior-year quarter.
Total operating expenses for the first quarter of 2024 rose 3.7% to $290.6 million, primarily driven by higher depreciation and amortization expenses and other operation and maintenance expenses.
Operating income totaled $74 million in the first quarter of 2024, down 3.3% from the year-ago quarter’s level of $76.5 million.
For the first quarter of 2024, interest expenses totaled $60.2 million, up 25.9% from $47.8 million recorded a year ago.
Segment Details
OGE Energy reported a first-quarter net income of $18.6 million, down 51.4% from the prior-year quarter’s figure of $38.3 million.
The OG&E segment’s net income amounted to $25.2 million, down 36.7% from the year-ago period’s $39.8 million. This decrease was primarily driven by higher depreciation and interest expenses on a growing asset base.
Financial Highlights
OGE had cash and cash equivalents of $4.3 million as of Mar 31, 2024 compared with $0.2 million as of Dec 31, 2023.
Long-term debt totaled $4.26 billion as of Mar 31, 2024, down from $4.34 billion as of Dec 31, 2023.
During the first quarter of 2024, OGE generated cash from operating activities worth $83 million compared with the year-ago figure of $172.3 million.
2024 Guidance
OGE Energy reiterated its 2024 earnings per share guidance. The company still expects to generate earnings in the range of $2.06-$2.18 per share. The Zacks Consensus Estimate is pegged at $2.13, which lies just above than the midpoint of the company’s guided range.
For its OG&E segment, OGE still expects earnings to be at $2.22 per share.
Zacks Rank
OGE Energy currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Utility Releases
American Electric Power Company, Inc. AEP reported a first-quarter 2024 adjusted EPS of $1.27, which missed the Zacks Consensus Estimate of $1.30 by 2.3%. However, the bottom line improved 14.4% from $1.11 recorded in the year-ago quarter.
AEP’s first-quarter operating revenues of $5.03 billion lagged the Zacks Consensus Estimate of $5.29 billion by 5.4%. However, the reported figure rose 7.1% from the year-ago quarter’s level of $4.69 billion.
CenterPoint Energy, Inc. CNP reported first-quarter 2024 adjusted earnings of 55 cents per share, which surpassed the Zacks Consensus Estimate of 51 cents by 7.8%. The bottom line improved 10% from the year-ago quarter’s figure of 50 cents per share.
CNP generated revenues of $2.62 billion, which missed the Zacks Consensus Estimate of $2.82 billion by 7%. The top line also came in 5.7% lower than the year-ago quarter’s reported figure of $2.78 billion.
Edison International EIX reported first-quarter 2024 adjusted earnings of $1.13 per share, which surpassed the Zacks Consensus Estimate of $1.12 by 0.9%. The bottom line also increased 3.7% from $1.09 in the year-ago quarter.
EIX’s first-quarter operating revenues totaled $4.08 billion, which missed the Zacks Consensus Estimate of $4.14 billion by 1.6%. However, the top line increased 2.8% from the year-ago quarter’s figure of $3.97 billion.
Where Will Stocks Go…
If Biden Wins? If Trump Wins?
The answers may surprise you.
Since 1950, even after negative midterm years, the market has never had a lower presidential election year. With voters energized and engaged, the market has been almost unrelentingly bullish no matter which party wins!
Now is the time to download Zacks’ free Special Report with 5 stocks that offer extreme upside for both Democrats and Republicans…
1. Medical manufacturer has gained +11,000% in the last 15 years.
2. Rental company is absolutely crushing its sector.
3. Energy powerhouse plans to grow its already large dividend by 25%.
4. Aerospace and defense standout just landed a potentially $80 billion contract.
5. Giant Chipmaker is building huge plants in the U.S.
Hurry, Download Special Report FREE >>
Edison International (EIX) : Free Stock Analysis Report
American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report
OGE Energy Corporation (OGE) : Free Stock Analysis Report
CenterPoint Energy, Inc. (CNP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
