Edison International(US:EIX)2025-04-29 20:07Financial Performance - Edison International reported a significant increase in revenue, with a year-over-year growth of 12% for the three months ended March 31, 2025, compared to the same period in 2024[6]. - Edison International's net income for Q1 2025 was $1,436 million, an increase of $1,447 million compared to a net loss of $11 million in Q1 2024[18]. - SCE's core earnings increased by $107 million to $620 million in Q1 2025, up from $513 million in Q1 2024[21]. - Net income for the three months ended March 31, 2025, was $1,601 million, an increase of $1,495 million compared to $106 million in the same period of 2024[57]. - Operating income for Q1 2025 was $2,198 million, a significant increase from $261 million in Q1 2024[125]. - Basic earnings per share for common shareholders increased to $3.73 in Q1 2025 from a loss of $0.03 in Q1 2024[112]. Capital Expenditures and Investments - The company highlighted a total capital investment plan of $1.6 billion aimed at wildfire risk mitigation, which is excluded from the equity portion of SCE's rate base as per AB 1054[9]. - Edison International is focusing on enhancing its grid infrastructure to meet electrification needs, with planned investments of $2 billion over the next three years[11]. - The company anticipates total capital expenditures of $26.6 billion to $31.5 billion from 2025 to 2028[31]. - Total capital expenditures for Q1 2025 were $1.5 billion, compared to $1.2 billion in Q1 2024, reflecting a significant increase in investment[30]. - Capital expenditures for Q1 2025 were $1,407 million, up from $1,278 million in Q1 2024, indicating ongoing investment in infrastructure[134]. Regulatory and Compliance - The company is actively pursuing regulatory approvals for its Wildfire Mitigation Plan (WMP), which is critical for maintaining operational safety and compliance[11]. - SCE's requested revenue requirement for the 2025 General Rate Case (GRC) is approximately $10.4 billion, representing a 23% increase from the 2024 requirement of $8.4 billion[25]. - The 2025 CPUC-authorized return on equity (ROE) is set at 10.33%, with a weighted average return on rate base of 7.66%[28]. - SCE filed a WMCE Filing seeking to recover $320 million in operating expenses and $702 million in capital expenditures[76]. - SCE filed its 2025 annual transmission revenue requirement update with the FERC, reflecting a 2025 transmission revenue requirement of $1.3 billion, a $220 million, or 20%, increase from the 2024 requirement[155]. Wildfire Mitigation Efforts - SCE's ongoing wildfire mitigation efforts include the implementation of a Wildfire Mitigation Plan (WMP) and Public Safety Power Shutoff (PSPS) programs to reduce wildfire risks[33]. - The Eaton Fire in January 2025 resulted in significant damage, with estimated suppression costs of approximately $100 million and ongoing investigations into its cause[35]. - SCE recorded estimated losses of $9.9 billion related to the 2017/2018 Wildfire/Mudslide Events, with recoveries from insurance totaling $2.0 billion[46]. - As of March 31, 2025, SCE had paid $9.6 billion under executed settlements related to the 2017/2018 Wildfire/Mudslide Events, with an additional $71 million to be paid[47]. - For the Other Wildfire Events, SCE recorded total estimated losses of $1.2 billion, with expected recoveries from insurance and third parties of $800 million[50]. Liquidity and Financial Position - Edison International's liquidity position remains strong, with available liquidity reported at $1.2 billion, ensuring sufficient funds for ongoing operations and capital projects[10]. - At March 31, 2025, SCE had cash on hand of $1.1 billion and approximately $3.3 billion available to borrow on its revolving credit facility[73]. - SCE's debt to total capitalization ratio was 0.58 to 1 as of March 31, 2025, in compliance with financial covenants[74]. - Edison International Parent's consolidated debt to total capitalization ratio was 0.65 to 1 as of March 31, 2025[88]. - SCE expects to finance the recorded recoveries through the issuance of securitized bonds in the second quarter of 2025[44]. Environmental and Sustainability Initiatives - The company is committed to reducing greenhouse gas emissions and is implementing new technologies to support its sustainability goals[11]. - SCE's contracted capacity from VIE projects was 5,300 MW as of March 31, 2025, up from 4,642 MW in 2024, indicating a growth of approximately 14.2%[168]. - SCE generated investment tax credits of approximately $231 million in 2024 related to utility-owned storage projects[91]. Tax and Accounting - An increase in income tax expense of $572 million primarily due to a $580 million higher tax expense on increased pre-tax income[67]. - The effective tax rate for Edison International for the three months ended March 31, 2025, was 23.1%, compared to 185.2% in 2024[197]. - The new accounting guidance issued by FASB in December 2023 will require additional disclosures related to income tax rate reconciliation, effective for annual periods after January 1, 2025[157]. - The company does not expect the adoption of the new accounting standard to materially affect annual disclosures[157]. Shareholder Returns - Common stock dividends declared for the three months ended March 31, 2025, amounted to $319 million, with a per share dividend of $0.8275[159]. - The company repurchased common stock worth $29 million during the first quarter of 2025[159].