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Dec 31, 2020
ConEd Q4 2020 Earnings Report
Con Edison reported mixed results for Q4 2020, with net income decreasing but adjusted earnings showing a smaller decline.
Key Takeaways
Con Edison's Q4 2020 net income was $43 million, or $0.13 per share, a decrease from $295 million, or $0.89 per share, in Q4 2019. Adjusted earnings were $253 million, or $0.75 per share, compared to $288 million, or $0.87 per share, in the prior year. The results were impacted by an impairment loss related to the Mountain Valley Pipeline investment.
Q4 2020 net income decreased to $43 million, or $0.13 per share, compared to Q4 2019.
Adjusted earnings for Q4 2020 were $253 million, or $0.75 per share, a decrease from the previous year.
The company's results were affected by an impairment loss related to its investment in Mountain Valley Pipeline, LLC.
Con Edison expects its adjusted earnings per share for 2021 to be in the range of $4.15 to $4.35.
ConEd
ConEd
Forward Guidance
Con Edison expects its adjusted earnings per share to be in the range of $4.15 to $4.35 a share for the year of 2021. The company is also forecasting a five-year compounded annual adjusted earnings per share growth rate of 4% to 6% based off 2021 adjusted earnings per share guidance.
Positive Outlook
- Adjusted earnings per share to be in the range of $4.15 to $4.35 a share for 2021.
- Five-year compounded annual adjusted earnings per share growth rate of 4% to 6% based off 2021 adjusted earnings per share guidance.
- Capital investments of $4,018 million in 2021.
- Capital investments of $8,114 million in aggregate for 2022 and 2023.
- Planned debt issuance is in addition to the issuance of long-term debt secured by the Clean Energy Businesses’ renewable electric production projects.
Challenges Ahead
- Adjusted earnings per share exclude the effects of HLBV accounting for tax equity investments in certain of the Clean Energy Businesses' renewable electric production projects (approximately $0.16 a share).
- Adjusted earnings per share also exclude the Clean Energy Businesses' net mark-to-market effects, the amount of which will not be determinable until year end.
- Forecast reflects operations and maintenance expenses of $3,292 million.
- The company's plans include the issuance of between $1,900 million and $2,600 million of long-term debt, including for maturing securities, primarily at the Utilities, in 2021 and approximately $1,400 million in aggregate of long-term debt at the Utilities during 2022 and 2023.
- The company's plans also include the issuance of up to $800 million of common equity in 2021 and approximately $700 million in aggregate of common equity during 2022 and 2023, in addition to equity under its dividend reinvestment, employee stock purchase and long-term incentive plans.