OGE Energy Corp. reports second quarter 2024 results

Core Viewpoint - OGE Energy Corp. reported a strong operational performance in Q2 2024, with increased earnings driven by higher electricity demand and warmer weather, reaffirming its commitment to providing affordable and reliable energy to customers [1][2]. Financial Performance - OGE Energy's net income for Q2 2024 was $102.3 million, or $0.51 per diluted share, compared to $88.4 million, or $0.44 per diluted share in Q2 2023, reflecting a year-over-year increase of approximately 15% in earnings per share [1][2][5]. - OG&E contributed net income of $109.3 million, or $0.54 per diluted share, in Q2 2024, up from $91.9 million, or $0.46 per diluted share in the same period of 2023 [2][5]. - Other operations reported a loss of $7.0 million, or $0.03 per diluted share, compared to a loss of $3.5 million, or $0.02 per diluted share in Q2 2023, primarily due to higher interest expenses [2][5]. Revenue and Expenses - Total operating revenues for Q2 2024 were $662.6 million, an increase from $605.0 million in Q2 2023, driven by higher revenues from contracts with customers [3][5]. - Fuel, purchased power, and direct transmission expenses were $193.9 million in Q2 2024, compared to $181.8 million in Q2 2023, reflecting increased operational costs [3][5]. - Operating expenses totaled $292.8 million in Q2 2024, up from $276.8 million in Q2 2023, with depreciation and amortization expenses increasing to $135.5 million from $124.1 million [3][5]. Outlook - OGE Energy reaffirmed its 2024 consolidated earnings guidance, projecting earnings within a range of $2.06 to $2.18 per average diluted share, with expectations to be in the top half of this range due to strong load growth and favorable weather conditions [2][5]. - The guidance assumes approximately 201.5 million average diluted shares outstanding and normal weather for the remainder of the year [2][5]. Customer Base and Market Position - OGE Energy Corp. serves approximately 902,000 customers in Oklahoma and western Arkansas, indicating a stable customer base contributing to its revenue growth [1][2].