American Electric Power (AEP +1.7%) shares hit all-time highs after reporting Q1 earnings surged 54% thanks to "the coldest temperatures in 35 years," which led to strong residential and commercial demand.
AEP says it saw improvement across residential and commercial customer classes, even if demand is adjusted for the weather.
Overall utility margins increased 13% to $1.5B on favorable rate decisions and lower temperatures.
Raised 2014 EPS guidance to $3.35-$3.55 vs. $3.35 analyst consensus estimate and prior guidance of $3.20-$3.40.
American Electric Power's (AEP +0.5%) net profit jumps to $346M from $21M a year earlier, with growth at many of its utility operations and benefits from rate decisions helping to outweigh the effect of customer losses after it sold its Ohio business.
In Q4 2012, higher expenses from storm restoration, warmer weather and lower grain exports dragged down AEP's utility ops.
Overall utility margins rose 4.4% to $2.19B in Q4 2013, helped by favorable rate decisions.
AEP affirmed its 2014 guidance for operating EPS of $3.20-3.40 vs consensus of $3.33. (PR) (Previous)
More on American Electric (AEP) Q2: profit -6.6% to $338M, revenue flat at $3.6B. Takes pretax charge of $154M on coal-powered Muskingum River plant, which the company is retiring, although the impairment is partly offset by an $80M tax credit. Profit from utility operations -39% to $221M, transmission operations climb to $18M from $8M, AEP River operations swing to a loss of $9M from a profit of $3M. Reaffirms 2013 operating EPS guidance of $3.05-3.25 vs consensus of $3.14. Shares -0.9%. (PR)
American Electric Power Co Inc is a public utility holding company, through its subsidiaries, provides electric service, consisting of generation, transmission and distribution, on an integrated basis to its retail customers.