Electric utility Pinnacle West Capital's quarterly profit falls on higher costs

Reuters
2024-11-06
Electric utility Pinnacle West Capital's quarterly profit falls on higher costs

Nov 6 (Reuters) - Pinnacle West Capital PNW.N on Wednesday posted a fall in third-quarter profit as higher operating and maintenance costs offset gains from favorable weather and more electricity usage.

The electric utility firm said its service areas experienced record temperatures during the summer months, leading to higher electricity consumption.

However, excessive heat along with persistent windy and dry conditions also stoked wildfires across the U.S. Southwest in July.

Adverse weather can significantly impact utilities, leading to increased operation and maintenance costs due to potential damages to power lines, equipment failure and service disruptions.

Pinnacle West's operating expenses for the July-to-September quarter rose to $1.22 billion, from $1.12 billion a year ago.

Phoenix, the largest city in Arizona, endured a record-breaking 113 consecutive days of temperatures exceeding 100 degrees Fahrenheit (38 degrees Celsius) in September, resulting in numerous heat-related fatalities and widespread wildfires.

Pinnacle West provides electric services to about 1.4 million customers through its largest subsidiary in Arizona.

Total interest expenses rose 12% to $98 million in the quarter.

Pinnacle expects 2025 consolidated earnings of $4.40 to $4.60 per share.

The utility raised its annual adjusted earnings forecast to between $5 and $5.20 per share, from its earlier estimate of $4.60 to $4.80. Analysts expect $4.92 per share, according to data compiled by LSEG.

The Phoenix, Arizona-based utility said net income attributable to common shareholders declined slightly to $395 million for the quarter ended Sept. 30, from $398.2 million a year earlier.

(Reporting by Pooja Menon in Bengaluru; Editing by Devika Syamnath)

((Pooja.Menon@thomsonreuters.com;))

免责声明:投资有风险,本文并非投资建议,以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请,作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考,不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证,投资者应自行研究并在投资前寻求专业建议。

热议股票

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10