DTE Energy Company (NYSE:DTE) reported first-quarter 2017 operating earnings per share (EPS) of $1.79, which surpassed the Zacks Consensus Estimate of $1.57 by 14%. Operating earnings also grew 17.8% from the year-ago figure of $1.52.
On a GAAP basis, reported earnings came in at $2.23 per share compared with $1.37 reported in the prior-year quarter. The difference between GAAP and pro forma earnings was due to certain non-recurring items, mark-to-market adjustments and discontinued operations.
Total Revenue
Total revenue came in at $3.24 billion, which surpassed the Zacks Consensus Estimate of $2.58 billion by 25.6%. However, reported revenues increased 26.1% from the year-ago figure of $2.57 billion on account of higher contribution from both the utility and non-utility operations.
Operating Update
Operation and maintenance expenses in the reported quarter were $600 million, up 16.3% year over year.
Total operating expenses increased 22.1% to $2.67 billion. This was primarily due to higher fuel, purchased power and gas expenses at non-utility (52.1%), depreciation and amortization (8.7%) and taxes on other income (10.1%).
Operating income increased 49.3% to $569 million.
Segmental Highlights
Utility Operations
DTE Electric: The segment’s operating earnings were $106 million, down 16.5% year over year.
DTE Gas: The segment reported operating income of $107 million, up 23% year over year.
Non-Utility Operations
Gas Storage and Pipelines: The segment generated profits of $45 million, up from $30 million a year ago.
Power and Industrial Projects: The segment posted operating profits of $30 million, up from $21 million in the prior-year quarter.
Corporate and Other: The segment reported operating income of $16 million as against the year-ago loss of $7 million.
DTE Energy Company Price, Consensus and EPS Surprise
DTE Energy Company Price, Consensus and EPS Surprise | DTE Energy Company Quote
Guidance
DTE Energy reiterated its 2017 guidance that was issued last November. The company expects to generate operating earnings guidance in the range of $5.15–$5.46 per share in 2017.
Zacks Rank
DTE Energy currently carries a Zacks Rank #3 (Hold). You can seethe complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Peer Releases
American Electric Power Co., Inc. (NYSE:AEP) is a Zacks Rank #3 company. The Zacks Consensus Estimate is pegged at 97 cents and the company is scheduled to release first-quarter 2017 earnings on Apr 27.
CMS Energy Corporation (NYSE:CMS) , another Zacks Rank #3 stock, is scheduled to release first-quarter earnings on May 1. The Zacks Consensus Estimate is pegged at 65 cents.
Edison International (NYSE:EIX) is expected to release first-quarter earnings on May 1. The Zacks Consensus Estimate is pegged at 86 cents. This company also carries a Zacks Rank #3.
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American Electric Power Company, Inc. (AEP): Free Stock Analysis Report
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DTE Energy Company (DTE): Free Stock Analysis Report
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