CenterPoint Energy Q3 Earnings Miss Estimates, Revenues Decline Y/Y

Core Insights - CenterPoint Energy, Inc. (CNP) reported third-quarter 2024 adjusted earnings of 31 cents per share, missing the Zacks Consensus Estimate of 36 cents by 13.9% and reflecting a 22.5% decline from the previous year due to increased operating and maintenance expenses [1][2] - The company's GAAP earnings were 30 cents per share, down 25% from 40 cents in the prior year, attributed to lower revenues and higher total expenses [2] - CNP generated revenues of $1.86 billion, missing the Zacks Consensus Estimate of $1.88 billion by 1.2% and showing a 0.2% decrease from the year-ago figure [3] Operational Results - Total expenses increased by 6.7% year over year to $1.43 billion, with operating income reported at $424 million, down from $518 million a year ago [4] - Interest expenses and other finance charges rose to $191 million, an increase of 8.5% from $176 million in the previous year [4] Financial Condition - As of September 30, 2024, cash and cash equivalents stood at $112 million, up from $90 million as of December 31, 2023 [5] - Total long-term debt increased to $19.73 billion from $17.56 billion as of December 31, 2023 [5] - Net cash flow from operating activities was $1.25 billion, down from $3.07 billion in the year-ago period [5] Capital Expenditure - Total capital expenditure was reported at $2.50 million as of September 30, 2024, compared to $3.32 billion a year ago [6] 2024 Guidance - CenterPoint Energy reaffirmed its 2024 earnings guidance, expecting adjusted earnings per share in the range of $1.61-$1.63, with the Zacks Consensus Estimate at $1.62 [7] - The company initiated its 2025 earnings guidance, projecting adjusted earnings in the range of $1.74-$1.76 per share, with the Zacks Consensus Estimate at $1.73, which is below the company's guided range [8] Zacks Rank - CNP currently holds a Zacks Rank 4 (Sell) [9]