Core Viewpoint - FirstEnergy reported mixed financial results for the fourth quarter of 2024, with operating earnings missing estimates but showing year-over-year growth in both earnings and revenues [1][2][4]. Financial Performance - Fourth-quarter operating earnings were 67 cents per share, missing the Zacks Consensus Estimate of 70 cents by 4.3% [1]. - The bottom line increased by 8.1% from 62 cents in the same quarter last year, driven by rate base growth in distribution and transmission programs [2]. - GAAP earnings for the fourth quarter were 45 cents per share, up from 30 cents in the fourth quarter of 2023 [3]. - Total revenues for the fourth quarter were $3.18 billion, missing the Zacks Consensus Estimate of $3.67 billion by 13.5%, but increased by 1% from $3.15 billion in the prior year [4]. Annual Performance - For the full year 2024, FirstEnergy reported total revenues of $13.47 billion, reflecting a year-over-year increase of 4.7% from $12.87 billion in 2023 [4]. - Total operating expenses for 2024 were $11.1 billion, up 4.6% from $10.6 billion in the previous year [5]. - Operating income for 2024 totaled $2.38 billion, an increase of 4.8% from $2.27 billion in 2023 [5]. Distribution and Deliveries - Total distribution deliveries increased by 2.8% in 2024 compared to 2023, attributed to cooling degree days being 37% above the previous year [6]. Future Guidance - FirstEnergy expects 2025 earnings per share in the range of $2.40-$2.60, indicating a 5.5% increase over the 2024 guidance [7]. - The Zacks Consensus Estimate for 2025 is $2.89 per share, which is higher than the company's guidance [7]. - The company plans a capital investment of $5 billion in 2025, up from $4.5 billion in 2024, reflecting an 11% year-over-year increase [8]. Zacks Rank - FirstEnergy currently holds a Zacks Rank of 4 (Sell) [9].

Group 1 - FirstEnergy reported quarterly earnings of $0.67 per share, missing the Zacks Consensus Estimate of $0.70 per share, but showing an increase from $0.62 per share a year ago, resulting in an earnings surprise of -4.29% [1] - The company posted revenues of $3.18 billion for the quarter ended December 2024, missing the Zacks Consensus Estimate by 13.52%, and showing a slight increase from $3.15 billion year-over-year [2] - Over the last four quarters, FirstEnergy has surpassed consensus EPS estimates only once and has not beaten consensus revenue estimates during the same period [2] Group 2 - FirstEnergy shares have increased approximately 9.4% since the beginning of the year, outperforming the S&P 500's gain of 1.3% [3] - The company's earnings outlook, including current consensus earnings expectations for upcoming quarters, will be crucial for investors [4] - The trend for estimate revisions for FirstEnergy is currently unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Group 3 - The current consensus EPS estimate for the upcoming quarter is $0.60 on revenues of $3.64 billion, and for the current fiscal year, it is $2.89 on revenues of $15.53 billion [7] - The Utility - Electric Power industry, to which FirstEnergy belongs, is currently ranked in the bottom 49% of over 250 Zacks industries, which may negatively impact stock performance [8]

Financial Overview - Total assets of FirstEnergy are $52 billion, serving over 6 million customers across a service territory of 65,000 square miles[9]. - FirstEnergy achieved $450 million in annual revenue increases from base rate cases approved since Q4 2023, representing a $14 billion rate base[17]. - The company has resolved several legacy issues and completed obligations under a Deferred Prosecution Agreement with the U.S. Department of Justice[17]. - The company anticipates a load growth of 2.4% CAGR from 2025 to 2029, with residential sales growth driven by electrification and EV adoption[38]. - The company is focused on executing its Energize365 transmission and distribution investment plan to enhance operational efficiency[146]. Earnings Guidance - Core EPS guidance for 2025 is projected to be between $2.40 and $2.60, with a 6-8% CAGR expected from 2025 to 2029[21]. - 2025 Core EPS guidance is projected to be between $2.40 and $2.60, with segment distributions of $1.29-$1.37 for Integrated, $0.91-$0.97 for Stand-Alone Transmission, and $0.57-$0.59 for Corp/Other[36]. - The 2024 operating earnings per share (Non-GAAP) for FirstEnergy is projected at $2.63, excluding special items[136]. - The 2023 operating earnings per share (Non-GAAP) for FirstEnergy is reported at $1.20, excluding special items[138]. - The 2022 core earnings per share (Non-GAAP) for FirstEnergy was $1.78, after adjustments for special items[140]. Investment Plans - The company plans a $28 billion base investment plan from 2025 to 2029, with 75% allocated to formula rate investments[24]. - The investment plan includes $7.4 billion for distribution, $10.9 billion for integrated operations, and $9.5 billion for stand-alone transmission[24]. - The investment plan totals $10.8 billion for the 2025-2029 period, with approximately 45% allocated to transmission investments[92]. - The company plans to invest $900 million in transmission projects from 2025 to 2029 to meet growing data center demand[43]. - FirstEnergy's distribution segment is focused on enhancing customer experience and reliability, with a rate base investment plan of $4.4 billion in Ohio[67]. Dividend Policy - The company has committed to a dividend payout ratio of 60-70% of Core EPS, with a targeted total return opportunity of 10-12%[14]. - Annual dividends per share are targeted to grow by approximately 5%, with a declared dividend of $1.70 per share and a payout ratio of 72% in 2024[35]. - The dividend yield is currently at 4%, with plans for continued growth subject to board approval[35]. Financial Discipline - FirstEnergy's financial discipline is reflected in a target of ~14%+ FFO/Debt and a commitment to maintaining a BBB credit profile[14]. - FirstEnergy Corp. maintains an investment-grade credit profile with ratings of BBB- from S&P, Baa3 from Moody's, and BBB from Fitch[58]. - The company is committed to maintaining a balance sheet with a target FFO/Debt ratio of 15% by 2023[59]. Rate Base and Growth - Rate base growth is expected to be 9% CAGR from 2025 to 2029, with a total rate base of $31.8 billion projected for 2025[29]. - The average rate base is expected to grow at a CAGR of 11% from 2025 to 2029, with a 24% CAGR specifically for transmission[93]. - The projected rate base for 2025 is $6.9 billion, with a 6% CAGR growth expected from 2025 to 2029[72]. Operating Expenses - Total Operating Expenses (GAAP) for 2023 are reported at $3,594 million, projected to increase to $4,159 million in 2024[145]. - Special items for 2023 total $247 million, expected to rise to $433 million in 2024, impacting overall financial performance[145]. - Baseline O&M (non-GAAP) remains relatively stable, with $1,280 million in 2023 and a slight increase to $1,283 million in 2024[145]. Regulatory and Compliance - The allowed return on equity (ROE) for Ohio operations is filed at 10.8%, with a debt/equity ratio of approximately 45%/55%[74]. - The allowed return on equity (ROE) for transmission investments is set at 9.6%[98]. - Forward-looking statements indicate potential risks from government investigations and regulatory changes that could impact financial performance[146]. Revenue Increases - A net annual revenue increase of $85 million was approved in the New Jersey base rate case settlement on February 14, 2024[94]. - The West Virginia base rate case settlement approved on March 26, 2024, will result in a net annual revenue increase of $105 million[101].

Reports full year 2024 GAAP earnings of $1.70 per share and Operating (non-GAAP) earnings of $2.63 per share, within guidance rangeCustomer-focused capital investments of $4.5 billion in 2024 to improve grid reliability and resiliency and support the energy transition represent a 20% increase over 2023Expands Energize365 capital investment program through 2029 with planned capital investments of $28 billion, an 8% increase from previous five-year plan, resulting in anticipated 9% rate base growthIntroduces ...

FirstEnergy Corporation (FE) is scheduled to release fourth-quarter 2024 results on Feb. 26, after market close. The company delivered a negative earnings surprise of 6.6% in the last reported quarter.See the Zacks Earnings Calendar to stay ahead of market-making news.Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.Factors That Might Have Impacted FE’s Q4 PerformanceDuring the fourth quarter, FirstEnergy’s subsidiary Jersey Central Power & Light relocated and upgr ...

Doug Mokoid, FirstEnergy's President of New Jersey: "We've designed a variety of grid enhancement projects tailored specifically to the area where the work is being done to help provide the most efficient and impactful upgrades that will meet customer demands for safe, reliable electricity for many years to come." The project includes: Upgrading approximately four miles of existing infrastructure in two separate areas with thicker, stronger poles and overhead wire that can safely carry more electricity and ...

AKRON, Ohio, Feb. 11, 2025 /PRNewswire/ -- FirstEnergy Corp. (NYSE: FE) will release financial results for the fourth quarter and full year of 2024 after markets close on Wednesday, February 26. These results will be discussed by FirstEnergy management during a conference call with financial analysts at 8 a.m. EST on Thursday, February 27. A question-and-answer session will follow.   Investors, customers and other interested parties are invited to listen to a live webcast of the call and view presentation s ...

FirstEnergy line rebuild to benefit 500 West Penn Power customers GREENSBURG, Pa., Feb. 10, 2025 /PRNewswire/ -- FirstEnergy Pennsylvania Electric Company (FE PA), a subsidiary of FirstEnergy Corp. (NYSE: FE) doing business as West Penn Power in western Pennsylvania, has upgraded its electric system in eastern Westmoreland County to help prevent service disruptions, support voltage and accommodate growth. The work centered on rebuilding part of an existing power line with larger diameter wire capable of car ...

FirstEnergy (FE) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report. On the other hand, if they miss, the stock may ...

AKRON, Ohio, Feb. 4, 2025 /PRNewswire/ -- FirstEnergy Corp. (NYSE: FE) received an Emergency Recovery Award from the Edison Electric Institute (EEI) in recognition of its outstanding response in restoring power to hundreds of thousands of customers in northeast Ohio following a historic weather event in August 2024 that brought severe thunderstorms, wind and tornadoes. FirstEnergy Corp. received an Emergency Recovery Award from the Edison Electric Institute (EEI) for its response in restoring power to hu ...