•
Sep 30, 2022

PGE Q3 2022 Earnings Report

Reported solid financial results due to exceptional operating performance amidst challenging climate and power market conditions.

Key Takeaways

Portland General Electric reported a net income of $58 million, or $0.65 per diluted share, for the third quarter of 2022, compared to a net income of $50 million, or $0.56 per diluted share, for the third quarter of 2021. The company is also increasing long-term EPS growth guidance to 5% to 7% from a 2022 adjusted earnings base year.

Increased long-term EPS growth guidance to 5% to 7% from a 2022 adjusted earnings base year.

Collaborated with NextEra Energy Resources to construct a 311 MW wind energy facility in Eastern Montana, with 208 megawatts Company-owned.

Resolved 2020 wildfire, 2021 ice storm, and 2021 power cost deferrals.

Reaffirmed 2022 GAAP basis earnings guidance of $2.60 to $2.75 and non-GAAP basis adjusted earnings guidance of $2.74 to $2.89.

Total Revenue
$742M
Previous year: $654M
+13.5%
EPS
$0.65
Previous year: $0.56
+16.1%
Gross Profit
$406M
Previous year: $383M
+6.0%
Cash and Equivalents
$18M
Previous year: $294M
-93.9%
Free Cash Flow
-$73M
Previous year: $146M
-150.0%
Total Assets
$9.85B
Previous year: $9.54B
+3.2%

PGE

PGE

PGE Revenue by Segment

Forward Guidance

PGE is reaffirming its estimate for full-year 2022 GAAP earnings guidance of $2.60 to $2.75 per diluted share and its non-GAAP basis adjusted full-year 2022 earnings guidance of $2.74 to $2.89.

Positive Outlook

  • An increase in energy deliveries between 2% and 2.5%, weather adjusted
  • Normal temperatures in its utility service territory for the remainder of the year
  • Hydro conditions for the remainder of the year that reflect current estimates
  • Wind generation based on five years of historical levels or forecast studies when historical data is not available
  • Normal thermal plant operations for the remainder of the year

Challenges Ahead

  • Operating and maintenance expense revised from $620 to $640 million, which included the $17 million impact of released deferrals related to 2020, to between $640 million to $660 million, which also includes $10 million related to storm deferrals offset within Revenue, and an $11 million increase due to the post-retirement medical settlement originally forecast within O&M guidance but reclassified to Other Income
  • Depreciation and amortization expense between $410 million and $430 million
  • Effective tax rate of 15% to 20%
  • Cash from operations of $550 million to $600 million
  • Capital expenditures of $750 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income