The AES Corporation (AES) is scheduled to release its first-quarter 2025 results on May 1, after market close.The company delivered an earnings surprise of 58.82% in the last reported quarter. Moreover, AES holds a four-quarter average earnings surprise of 34.74%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.Factors to Consider Ahead of AES’ Q1 ResultsAES’ service territories witnessed a b ...

Core Viewpoint - Edison International (EIX) reported strong first-quarter 2025 adjusted earnings of $1.37 per share, exceeding expectations and showing significant year-over-year growth [1][2] Financial Performance - Adjusted earnings per share of $1.37 surpassed the Zacks Consensus Estimate of $1.21 by 13.2% and increased 21.2% from $1.13 in the same quarter last year [1] - GAAP earnings were reported at $3.73 per share, a recovery from a GAAP loss of 3 cents per share in Q1 2024 [1] - Total operating revenues for Q1 2025 were $3.81 billion, missing the Zacks Consensus Estimate of $4.14 billion by 7.8% and down 6.5% from $4.08 billion in the prior year [3] Operational Highlights - Total operating expenses decreased significantly by 56.2% year over year to $1.68 billion [4] - Purchased power and fuel costs rose by 3.9%, while depreciation and amortization expenses increased by 5.7% [4] - Operating income for Q1 2025 was $2.13 billion, a substantial increase from $0.25 billion in the previous year [5] Segment Results - Southern California Edison reported adjusted earnings of $1.61 per share, up from $1.33 in the year-ago quarter, benefiting from interest expense related to cost recoveries [6] - The Edison International Parent and Other segment incurred an adjusted loss of 24 cents per share [6] Financial Update - As of March 31, 2025, cash and cash equivalents were $1.32 billion, a significant increase from $0.19 billion at the end of 2024 [7] - Long-term debt rose to $35.39 billion from $33.53 billion at the end of 2024 [7] - Net cash flow from operating activities was $1.22 billion, compared to $1.04 billion in the prior-year period [7] Capital Expenditures - Total capital expenditures for Q1 2025 were $1.41 billion, up from $1.28 billion in the same period last year [8] Guidance - The company reiterated its 2025 earnings outlook, expecting earnings in the range of $5.94 to $6.34 per share, with the Zacks Consensus Estimate currently at $6.02 per share [9][10] Zacks Rank - Edison International currently holds a Zacks Rank 2 (Buy) [11]

Financial Data and Key Metrics Changes - Enel Chile reported a net income of $175 million for Q1 2025, reflecting an 11% increase compared to the previous year [22] - The company's EBITDA for the quarter reached $365 million, showing a positive variation driven by improved energy distribution receivables [24] - The gross debt increased by 2% to $4 billion, with an average cost of debt remaining competitive at 4.9% [25][26] Business Line Data and Key Metrics Changes - Net electricity generation totaled 5.6 terawatt hours, an 8% decrease compared to 2024, primarily due to lower hydro and renewable generation [11] - Energy sales amounted to 7.7 terawatt hours, marking a 9% reduction from the previous year, attributed to lower sales to regulated customers [12] - The company achieved a total net installed capacity of 8.9 gigawatts, with 28% from renewable energy sources and battery energy storage systems [10] Market Data and Key Metrics Changes - The regulatory framework is undergoing significant updates, with expectations for changes in electricity subsidies and ancillary services [13][14] - The VAD 2020-2024 decree was published in April 2025, enabling recovery of outstanding balances from the tariff cycle [16][17] Company Strategy and Development Direction - Enel Chile is focused on strengthening grid infrastructure through a resilience program in response to increasing climate risks [8] - The company aims to modernize the regulatory framework to enhance asset rate resilience and promote innovation and efficiency [27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving strategic objectives despite a challenging environment, emphasizing the importance of a diversified business model [27] - The company remains committed to advocating for comprehensive distribution reform and modernization of the regulatory framework [27] Other Important Information - The final dividend for the 2024 fiscal year was approved at approximately 4.24 Chilean pesos per share [10] - The company is in a comfortable liquidity position with $640 million in committed lines and $460 million in cash equivalents [26] Q&A Session Summary Question: Additional details on the resilience program for distribution - Management confirmed that the resilience program includes investments in grid quality and digitalization, with increased CapEx compared to the previous year [34][35] Question: CapEx guidance for 2025 - The company maintains the $800 million CapEx guidance for 2025, with most investments expected in the second half of the year [40][41] Question: Impact of new regulatory changes - Management indicated it is too early to assess the financial impact of new regulatory changes, but they expect some benefits from improved rules for ancillary services [45][46] Question: Hydrology expectations for 2025 - The target of 10.7 terawatt hours for hydrology in 2025 remains valid, with further clarity expected by mid-year [56][57] Question: Economic impact of the resilient program - The CapEx for the resilience program is included in the last industrial plan, but estimating its impact on EBITDA is challenging at this stage [66] Question: Gas supply contracts with Argentina - Enel Chile's current gas contracts with Argentina include take-or-pay clauses, ensuring no issues are expected for the remainder of the year [71] Question: Expired regulated contracts - The expired regulated contracts were related to a tender process from 2013, which had prices indexed to commodities [79]

Financial Data and Key Metrics Changes - The company reported first quarter GAAP earnings of $0.56 per share, an increase from $0.42 per share in Q1 2024 [6][23] - Adjusted for special items, first quarter earnings from ongoing operations were $0.60 per share, an 11% increase from $0.54 per share a year ago [7][23] - The company remains confident in achieving its 2025 ongoing earnings forecast of $1.75 to $1.87 per share, with a midpoint of $1.81 per share [7][24] Business Line Data and Key Metrics Changes - Kentucky segment results increased by $0.05 per share compared to Q1 2024, driven by higher sales volumes due to mild weather [25] - Pennsylvania regulated segment results increased by $0.03 per share, also due to higher sales volumes and increased transmission revenue [26] - Rhode Island segment results decreased by $0.01 per share, primarily due to lower transmission revenues and higher operating costs [27] Market Data and Key Metrics Changes - The company has nearly 11 gigawatts of data center projects in advanced planning stages in Pennsylvania, up from nearly 9 gigawatts [15] - In Kentucky, the company is managing nearly 6 gigawatts of active data center requests, with recent legislative changes expected to attract more data centers [18] Company Strategy and Development Direction - The company is focused on its "Utility of the Future" strategy, which includes significant infrastructure improvements and capital investments [7][9] - Plans include over $4 billion in infrastructure improvements in 2025 and projected capital investment needs of $20 billion from 2025 to 2028 [7][9] - The company is advocating for legislative changes in Pennsylvania to incentivize new generation construction and reduce reliance on the PJM market [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating macroeconomic uncertainties and maintaining strong credit metrics [21] - The company is well-positioned to manage potential trade tariffs, with a significant portion of capital projects and materials sourced domestically [21] - Management highlighted ongoing economic development in Kentucky and the importance of new generation resources to support this growth [12][30] Other Important Information - The company has filed a CPCN request with the Kentucky Public Service Commission for new generation needs and received regulatory approval for cost recovery related to generation retirements [10][11] - The company is advancing key initiatives in Pennsylvania and Rhode Island to enhance energy service reliability [12][14] Q&A Session Summary Question: Advantages of resource adequacy legislation versus IPPs - Management discussed the limitations of the current market and the benefits of a regulated utility model for stability and predictability in power pricing [34] Question: Consideration of equity block or ATM - Management confirmed that the ATM program is the primary tool for equity needs, but they will remain opportunistic in assessing all options [36][38] Question: Impact of tariffs on battery storage projects - Management is actively working with vendors to minimize potential tariff impacts on battery projects and sees a need for these projects due to increasing demand [44] Question: Update on Project Lincoln in Kentucky - Management acknowledged ongoing discussions with the developer and expressed excitement about the project, which is part of the broader interest in Kentucky [47][48] Question: Coal executive order impact on generation planning - Management does not expect immediate impacts from the coal executive order on generation planning but will analyze demand and retirement schedules [56] Question: Data center announcements and ESA agreements - Management indicated that they are entering into ESAs and expect multiple gigawatts of interest, with announcements likely to follow as projects progress [91][73]

Financial Data and Key Metrics Changes - The company reported first quarter GAAP earnings of $0.56 per share, an increase from $0.42 per share in Q1 2024 [21] - Adjusted for special items, first quarter earnings from ongoing operations were $0.60 per share, an 11% increase from $0.54 per share a year ago [7][21] - The company remains confident in achieving its 2025 ongoing earnings forecast of $1.75 to $1.87 per share, with a midpoint of $1.81 per share [7] Business Line Data and Key Metrics Changes - Kentucky segment results increased by $0.05 per share compared to Q1 2024, driven by higher sales volumes due to mild weather [23] - Pennsylvania Regulated segment results increased by $0.03 per share, also due to higher sales volumes and increased transmission revenue from capital investments [23] - Rhode Island segment results decreased by $0.01 per share, primarily due to lower transmission revenues and higher operating costs [24] Market Data and Key Metrics Changes - In Pennsylvania, nearly 11 gigawatts of data center projects are in advanced planning stages, up from nearly 9 gigawatts [14] - The potential capital investment related to these data centers ranges from $700 million to $850 million, with $400 million already in the plan [15] - In Kentucky, the company is managing nearly 6 gigawatts of active data center requests, with recent legislative changes expected to attract more data centers [16] Company Strategy and Development Direction - The company is focused on its "Utility of the Future" strategy, which includes significant infrastructure improvements and capital investments [8] - Plans include over $4 billion in infrastructure improvements in 2025 to enhance grid reliability and resiliency [7] - The company aims for average annual rate base growth of 9.8% from 2025 to 2028, with a target of $20 billion in capital investment needs [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating macroeconomic uncertainties and trade tariffs, noting that 70% to 80% of capital projects are labor-based and most materials are sourced domestically [19] - The company is well-positioned to manage supply chain disruptions and is optimistic about achieving its long-term business plan [20] - Management highlighted ongoing economic development in Kentucky and the importance of new generation resources to support this growth [11] Other Important Information - The company filed a CPCN request with the Kentucky Public Service Commission for new generation needs and received regulatory approval for cost recovery related to the retirement of Mill Creek Unit 1 [9][10] - In Pennsylvania, the company secured approval to increase PPL Electric Utilities' DISC revenue cap to 7.5% [12] Q&A Session Summary Question: Advantages of resource adequacy legislation versus IPPs - Management discussed the limitations of the current capacity market and the benefits of a regulated utility model for stability and predictability in power pricing [31] Question: Consideration of block equity or ATM sufficiency - Management confirmed that the ATM program is the primary tool for equity needs, but they will remain opportunistic in assessing all options [35][36] Question: Impact of tariffs on battery storage projects - Management is actively working with vendors to minimize potential tariff impacts on battery projects and sees a need for these projects due to increasing demand [42] Question: Concerns regarding coal executive order and generation planning - Management does not expect immediate impacts from the executive order on generation planning but will analyze demand and retirement schedules [50] Question: Status of data center announcements in Pennsylvania - Management indicated that they are making progress on projects but do not control the timing of data center announcements [58] Question: Flexibility in large load tariff structures - Management expressed that they are already achieving objectives with existing ESA agreements and would want to maintain flexibility if a model tariff is introduced [62]

Financial Data and Key Metrics Changes - PSEG reported net income of $1.18 per share for Q1 2025, up from $1.06 per share in 2024, while non-GAAP operating earnings increased to $1.43 per share from $1.31 per share in the previous year [12][13] - Overall results benefited from regulatory recovery and seasonal gas revenues, with a notable increase in nuclear generation performance [5][6] Business Line Data and Key Metrics Changes - PSE&G's net income and non-GAAP operating earnings for Q1 2025 were $546 million, compared to $488 million in 2024, driven by new electric and gas distribution rates [13][14] - The distribution margin increased by $0.20 per share, reflecting the impact of the rate case and recovery of energy efficiency investments [14] - PSEG Power reported net income of $43 million, slightly down from $44 million in Q1 2024, but non-GAAP operating earnings rose to $172 million from $169 million [17] Market Data and Key Metrics Changes - The Basic Generation Service (BGS) default rate is set to increase residential electric bills by 17% starting June 1, largely due to auction results and true-up for prior years [7][8] - PSEG's combined electric and gas bill remains competitive compared to other utilities in New Jersey, with high reliability metrics and customer satisfaction rankings [8][9] Company Strategy and Development Direction - PSEG's capital investment plan for 2025 focuses on infrastructure replacement and modernization, with a five-year capital spending program of $21 billion to $24 billion [11][16] - The company is rolling out the second phase of its Clean Energy Future Energy Efficiency II program to help customers save energy and reduce carbon emissions [9][16] - PSEG is open to potential legislation allowing regulated utilities to build and own new generation, actively engaging with policymakers [10][30] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by rising energy prices and the need for new generation supply to address resource adequacy [8][10] - The company reiterated its full-year non-GAAP operating earnings guidance of $3.94 to $4.06 per share, reflecting a 9% increase from 2024 results [11][22] - Management emphasized the importance of maintaining affordability for customers amid rising costs and ongoing discussions with the Board of Public Utilities [54][56] Other Important Information - PSEG has total available liquidity of $4.6 billion, including $900 million in cash, following significant bond market access [19][20] - The company is focused on maintaining a low level of variable rate debt, representing approximately 7% of total debt [20] Q&A Session Summary Question: Timeline for large load interconnection and resource adequacy in New Jersey - Management indicated that interconnections are happening at different stages, with ongoing discussions about resource adequacy in New Jersey [26][28] Question: Views on FERC settlement process - Management expressed a preference for a settlement process to address industry needs and ensure non-discriminatory treatment among customer classes [32][34] Question: Demand perspective from large load customers - Management noted continued demand for power, particularly nuclear, despite market fluctuations and ongoing discussions [42][43] Question: Strategy for managing affordability concerns - Management highlighted efforts to provide customer assistance programs and promote energy efficiency to mitigate affordability challenges [56][90] Question: Status of commercial agreements related to nuclear capacity - Management confirmed that discussions are ongoing and not contingent on the FERC process, with continued interest from large load customers [60][61] Question: Potential capacity price outcomes and customer bill growth - Management anticipated that capacity prices would remain stable, with no significant increases expected for customers in the near term [75][80] Question: Offshore wind impacts on transmission planning - Management stated that there are no direct impacts from offshore wind developments, but emphasized the need for accurate planning to address future resource adequacy [82]

Core Viewpoint - Edison International (EIX) is currently considered undervalued based on various financial metrics, making it an attractive option for value investors [4][9]. Valuation Metrics - EIX has a Zacks Rank of 2 (Buy) and an A grade for Value, indicating strong potential for value investing [4][3]. - The stock's P/E ratio is 9.77, significantly lower than the industry average of 14.27, suggesting it is undervalued [4]. - EIX's PEG ratio stands at 1.16, compared to the industry average of 1.81, indicating favorable growth expectations relative to its price [5]. - The P/B ratio for EIX is 1.40, which is attractive compared to the industry's average P/B of 2.27 [6]. - EIX has a P/S ratio of 1.3, significantly lower than the industry average of 2.35, reinforcing its undervalued status [7]. - The P/CF ratio for EIX is 4.78, well below the industry average of 10.57, highlighting its strong cash flow outlook [8].

1 st Quarter 2025 Investor Update April 30, 2025 PPL CORPORATION Cautionary Statements and Factors That May Affect Future Results Statements made in this presentation about future operating results or other future events are forward-looking statements under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from the forward-looking statements. A discussion of some of the factors that could cause actual results or events to vary is contain ...

Financial Performance - PSEG's Q1 2025 net income was $1.18 per share[13] - PSEG's Q1 2025 non-GAAP operating earnings were $1.43 per share[13] - PSEG maintains its 2025 non-GAAP operating earnings guidance of $3.94 - $4.06 per share, representing approximately a 9% increase at the midpoint over 2024 results[16] - PSEG's long-term non-GAAP earnings growth outlook is 5%-7%, based on the midpoint of the 2025 guidance range[19] Capital Investment and Dividends - PSE&G invested approximately $0.8 billion in Q1 2025[13,31] - PSE&G's full-year capital spending plan is approximately $3.8 billion[13,31] - PSE&G commenced a Clean Energy Future - Energy Efficiency II Program (CEF-EE II), representing approximately $2.9 billion in approved spending over a six-year period[13,31] - The indicative 2025 annual common dividend increased by 5% to $2.52 per share[13,16] - PSEG's total capital program is projected to be $22.5 billion - $26 billion for 2025-2029, with over 90% from regulated activities[19] PSE&G Operations - Residential electric and gas customer count each grew by approximately 1% for the trailing 12 months ended March 31, 2025[31] - PSE&G replaced approximately 48 miles of gas main and approximately 5,080 associated gas services in Q1 2025[31] PSEG Power & Other - PSEG Nuclear achieved a capacity factor of 99.9% for Q1 2025[13,32]

Financial Data and Key Metrics Changes - Consolidated earnings for Q1 2025 were reported at $0.31 per diluted share, an increase from $0.09 per share in Q1 2024 [14] - The electric company achieved net income of $71 million or $0.35 per diluted share, compared to $25 million or $0.12 per share in the same period of 2024 [14] - The holding company reported a loss of $8 million or $0.04 per diluted share, compared to a loss of $7 million or $0.03 per share in Q1 2024 [14] - The company affirmed its 2025 earnings per share guidance of $2.27 within a range of $2.21 to $2.33 per share [14][21] Business Line Data and Key Metrics Changes - Customer growth was at 1% year-over-year, with demand growing by 8%, primarily driven by residential and commercial sectors [6][15] - Residential load growth was reported at 3%, while commercial load growth was at 28% [15] - Industrial and oilfield classes experienced some softness due to planned and unplanned outages [16] Market Data and Key Metrics Changes - The company noted that its rates are among the lowest in the nation, with the lowest rates in both Oklahoma and Arkansas [8] - The company is experiencing strong demand growth in Oklahoma and Arkansas, supported by economic development efforts [6][17] Company Strategy and Development Direction - The company is focused on delivering safe, reliable, and affordable electric service while investing in grid reliability and resilience [5][10] - Future investments will include regulatory filings for rate reviews and generation capacity to meet planning margin requirements [10][19] - The company is pursuing a diversified supply base to limit exposure to tariff impacts and ensure project continuity [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strong financial position and operational excellence, despite macroeconomic uncertainties [12][21] - The company is optimistic about future load growth driven by economic development and customer expansion [6][17] - Management highlighted the importance of maintaining low rates for customers to support economic development [8][21] Other Important Information - The company has secured key components like transformers and wire through 2026, ensuring minimal disruptions to planned projects [11] - The company is actively pursuing legislative and regulatory improvements to enhance credit and support future investments [19] Q&A Session Summary Question: Are there any disruptive or inflationary impacts on the current CapEx plan? - Management feels confident about the current CapEx plan and expects little to no disruption in the coming years [27] Question: What is the outlook for industrial load growth? - Management indicated that the lower growth in the industrial segment is due to transitory events like outages and maintenance, with no external impacts expected [29] Question: Are there any discussions around regulatory improvements in Oklahoma? - Management confirmed ongoing discussions about pursuing formula rate improvements, but noted that significant changes are not expected this year [32] Question: How would the generation rider impact financing plans? - The generation rider would provide cash flow during construction phases, enhancing financing capabilities for incremental CapEx [40][42] Question: Is there any impact from the Supreme Court decision on serving large load customers? - Management confirmed that the Supreme Court ruling does not affect the ability to serve large load customers [46] Question: How is the demand narrative for data centers evolving? - Management reported ongoing discussions with several data center companies, indicating strong demand remains [52] Question: What is the company's strategy regarding Moody's credit rating? - Management emphasized that while they are targeting a 17% FFO to debt ratio, they believe ongoing improvements and regulatory actions could positively influence their credit rating [56]