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Jun 30, 2024

PGE Q2 2024 Earnings Report

Second quarter results reflected continued focus on execution and cost management, semiconductor manufacturing and data center demand growth, and solid power cost performance.

Key Takeaways

Portland General Electric reported net income of $72 million, or $0.69 per diluted share, for the second quarter of 2024. The company reaffirmed its 2024 adjusted earnings guidance of $2.98 to $3.18 per diluted share.

Second quarter results reflect continued focus on execution and cost management.

Semiconductor manufacturing and data center demand growth contributed to the results.

Solid power cost performance was observed.

The company reaffirmed 2024 adjusted earnings guidance of $2.98 to $3.18 per diluted share.

Total Revenue
$726M
Previous year: $648M
+12.0%
EPS
$0.69
Previous year: $0.44
+56.8%
Gross Profit
$219M
Previous year: $428M
-48.8%
Cash and Equivalents
$6M
Previous year: $13M
-53.8%
Free Cash Flow
-$109M
Previous year: -$117M
-6.8%
Total Assets
$11.6B
Previous year: $10.4B
+11.7%

PGE

PGE

PGE Revenue by Segment

Forward Guidance

PGE is reaffirming its estimate for full-year 2024 adjusted earnings guidance of $2.98 to $3.18 per diluted share.

Positive Outlook

  • Exclusion of the impacts of the January 2024 winter storm, including non-deferrable Reliability Contingency Event (RCE) costs and non-deferred incremental storm restoration costs
  • An increase in energy deliveries of 2% to 3%, weather adjusted
  • Normal temperatures in its utility service territory
  • Hydro conditions for the year that reflect current estimates
  • Wind generation based on five years of historical levels or forecast studies when historical data is not available

Challenges Ahead

  • Normal thermal plant operations
  • Operating and maintenance expense between $800 million and $825 million which includes approximately $150 million of wildfire, vegetation management, deferral amortization and other expenses that are offset in other income statement lines
  • Depreciation and amortization expense between $475 million and $525 million
  • Effective tax rate of 10% to 15%
  • Cash from operations of $700 to $800 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income