PSEG Q4 2022 Earnings Report
Key Takeaways
PSEG reported a net income of $788 million, or $1.58 per share, for the fourth quarter of 2022, compared to $445 million, or $0.88 per share, in the fourth quarter of 2021. Non-GAAP Operating Earnings for the fourth quarter of 2022 were $318 million, or $0.64 per share, compared to $352 million, or $0.69 per share in 2021.
PSEG delivered results within management's non-GAAP Operating Earnings guidance for the 18th consecutive year.
PSE&G posted an 8.2% annual increase in Net Income, representing approximately 90% of PSEG's consolidated non-GAAP Operating Earnings.
PSEG successfully navigated challenges including inflation, supply chain disruptions, and energy price spikes.
PSEG completed the sale of its fossil generating plants and a $500 million share repurchase in 2022.
PSEG
PSEG
Forward Guidance
PSEG narrowed its full-year 2023 non-GAAP Operating Earnings Guidance Range to $3.40 - $3.50 Per Share and affirms outlook for 5%-7% long-term earnings growth through 2027
Positive Outlook
- Near contemporaneously recovered investments
- Predictability of utility margin from the Conservation Incentive Program
- Implementation of the pension accounting filing effective January 1, 2023
- Strong cash flow
- Solid investment grade ratings
Challenges Ahead
- Lower pension and OPEB income compared to 2022
- Higher expected interest expense
- Impact of actual 2022 investment returns on 2023 pension calculations
- Inflation
- Energy price spikes