Jun 30, 2020

Pinnacle West Q2 2020 Earnings Report

Pinnacle West's Q2 2020 earnings were driven by hotter-than-normal weather and cost management, partially offset by COVID-19 impacts.

Key Takeaways

Pinnacle West reported a consolidated net income attributable to common shareholders of $193.6 million, or $1.71 per diluted share, for the quarter ended June 30, 2020, compared to $144.1 million, or $1.28 per share, in the same 2019 period. The increase was primarily driven by hotter-than-normal weather, which increased revenues, net of fuel and purchased power costs, and lower operations and maintenance expenses, which partially offset the impacts of the COVID-19 pandemic.

Triple-digit temperatures and record heat drove higher quarter-over-quarter earnings.

COVID-19 impact on sales was partially offset by Lean efforts and continued cost management.

Customer Support Fund was expanded to provide more relief to customers impacted by the pandemic.

Customers set an all-time record peak demand of 7,659 megawatts on July 30.

Total Revenue
$930M
Previous year: $870M
+6.9%
EPS
$1.71
Previous year: $1.28
+33.6%
Customer Growth
2.4%
0
Gross Profit
$472M
Previous year: $400M
+18.0%
Cash and Equivalents
$6.76M
Previous year: $1.65M
+310.4%
Total Assets
$19.3B
Previous year: $18.2B
+6.3%

Pinnacle West

Pinnacle West

Forward Guidance

Pinnacle West continues to believe its 2020 consolidated earnings guidance of $4.75 to $4.95 per diluted share is still achievable.