American Electric Power to Post Q3 Earnings: What's in Store?

Core Insights - American Electric Power Company, Inc. (AEP) is set to release its third-quarter 2025 results on October 29, before market open [1] - The company achieved an earnings surprise of 11.72% in the last quarter, with a trailing four-quarter average earnings surprise of 6.61% [1] Factors Influencing Q3 Results - Warmer-than-normal weather conditions in AEP's service territories likely increased electricity demand for cooling, positively impacting revenue [2] - Favorable rate revisions, industrial load growth, data center demand, and higher normalized retail sales due to economic development in AEP's operating states are expected to contribute to revenue growth [3] - Increased operating & maintenance (O&M), interest expenses, and depreciation expenses may negatively affect earnings, but positive revenue expectations are anticipated to support bottom-line performance [4] Q3 Expectations - The Zacks Consensus Estimate for AEP's sales is $5.64 billion, indicating a year-over-year growth of 4.5% [5] - The consensus estimate for earnings is $1.80 per share, reflecting a year-over-year decline of 2.7% [5] - Total energy sales for vertically integrated utilities are estimated at 28.87 billion kWh, showing a year-over-year growth of 0.9% [5] Earnings Prediction Model - The current model does not predict an earnings beat for AEP, with an Earnings ESP of -2.35% and a Zacks Rank of 3 (Hold) [6][7] Industry Comparisons - Other industry players like Xcel Energy, Eversource Energy, and Duke Energy are also set to report their Q3 results, with varying Earnings ESPs and growth rates [9][10][11]