OGE Energy's Q4 Earnings Beat Estimates, Revenues Increase Y/Y

Core Viewpoint - OGE Energy Corp. reported strong fourth-quarter 2024 results, with earnings and revenues exceeding expectations, leading to a 2.7% increase in share price to $45.20 on February 21, 2024 [1]. Financial Performance - Fourth-quarter 2024 earnings were 50 cents per share, surpassing the Zacks Consensus Estimate of 48 cents and improving from 24 cents per share in the same quarter last year [1]. - Total revenues for the fourth quarter reached $761 million, a 34.2% increase from $567 million in the prior-year quarter, and also exceeded the Zacks Consensus Estimate of $673 million by 13.1% [3]. - For the full year 2024, earnings per share were $2.19, up from $2.07 in 2023 [2]. Operational Highlights - Total sales for the quarter were 7.7 million megawatt-hours (MWh), an increase from 6.9 million MWh in the prior-year quarter [4]. - The customer count rose by 1.2% to 906,952 [4]. - Operating income for 2024 was $745.3 million, a 14.6% increase from $650.2 million in the previous year [5]. Segment Performance - The net income for the fourth quarter was $101.9 million, up 111.4% from $48.2 million in the prior-year quarter [6]. - The OG&E segment's net income was $110.4 million, reflecting a 127.2% increase from $48.6 million in the year-ago period [6]. - The Other Operations unit reported a net loss of $8.5 million, widening from a loss of $0.4 million in the prior-year quarter due to higher interest expenses [7]. Financial Position - As of December 31, 2024, cash and cash equivalents were $0.6 million, up from $0.2 million a year earlier [8]. - Long-term debt increased to $5.02 billion from $4.34 billion as of December 31, 2023 [8]. - Net cash flow from operating activities was $0.81 billion in 2024, down from $1.23 billion at the end of 2023 [8]. Future Guidance - OGE Energy provided guidance for 2025, expecting earnings per share in the range of $2.21 to $2.33, with the Zacks Consensus Estimate at $2.27 per share [9]. Market Position - OGE currently holds a Zacks Rank of 2 (Buy), indicating a favorable outlook in the market [10].