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Sep 30, 2023

PGE Q3 2023 Earnings Report

Announced third quarter 2023 results, reflecting challenging weather, power market volatility, and continued investment to support grid resiliency, customer growth and decarbonization.

Key Takeaways

Portland General Electric reported a net income of $47 million, or $0.46 per diluted share, for the third quarter of 2023. The company reached a constructive global settlement stipulation in the 2024 General Rate Case, including updates to the power cost recovery framework.

Reached constructive global settlement stipulation in 2024 GRC, including updates to the power cost recovery framework

Third quarter results reflect challenging weather, power market volatility, and continued investment to support grid resiliency, customer growth and decarbonization

Narrowing 2023 adjusted earnings guidance from $2.60 to $2.75 to $2.60 to $2.65 per diluted share to reflect the impact of third quarter power cost results

The U.S. DOE selected the Pacific Northwest Hydrogen Association’s PNWH2 Hub for award negotiations as one of the Regional Clean Hydrogen Hubs

Total Revenue
$706M
Previous year: $742M
-4.9%
EPS
$0.46
Previous year: $0.65
-29.2%
Gross Profit
$416M
Previous year: $406M
+2.5%
Cash and Equivalents
$47M
Previous year: $18M
+161.1%
Free Cash Flow
-$170M
Previous year: -$73M
+132.9%
Total Assets
$10.6B
Previous year: $9.85B
+7.7%

PGE

PGE

PGE Revenue by Segment

Forward Guidance

PGE is narrowing its estimate for full-year 2023 adjusted earnings guidance from $2.60 to $2.75 to $2.60 to $2.65 per diluted share.

Positive Outlook

  • An increase in energy deliveries of 2%, 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
  • Normal thermal plant operations

Challenges Ahead

  • Operating and maintenance expense between $695 million and $715 million which includes approximately $40 million of storm, wildfire and related deferral and other expenses that are offset in revenue and other income statement lines
  • Depreciation and amortization expense between $445 million and $465 million
  • Effective tax rate of 15% to 20%
  • Cash from operations of $500 to $550 million
  • Capital expenditures of $1,475 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income