Entergy (ETR) Q2 2024 earnings summary

Executive summary

• Adjusted EPS for Q2 2024 was $1.92, up from $1.84 in Q2 2023, reflecting steady earnings growth and progress on risk reduction initiatives, including pension lift out and major regulatory settlements in Louisiana and SERI, subject to approvals.

• As-reported Q2 2024 EPS was $0.23, down from $1.84, due to a $317M pension settlement charge and $151M regulatory charges at Utility.

• The company remains on track to achieve its full-year adjusted EPS guidance and continues to execute on strategic, regulatory, and clean energy milestones.

Financial highlights

• Q2 2024 adjusted consolidated net income was $411M, up from $391M in Q2 2023; as-reported earnings were $49M, down from $391M.

• Q2 2024 operating revenues rose to $2.95B from $2.85B in Q2 2023, driven by favorable weather, higher industrial demand, and retail price increases.

• Retail sales grew 2.9% on a weather-adjusted basis, with industrial growth as the largest contributor.

• Net liquidity stood at $5.9B, including $800M in equity forwards not yet settled.

• Operating cash flow for Q2 2024 was $866M, down from $1,025M in Q2 2023, mainly due to timing of vendor payments and customer receipts.

Outlook and guidance

• 2024 adjusted EPS guidance of $7.05–$7.35 was reaffirmed, with long-term outlook targeting 6–8% CAGR from 2023–2026.

• Sales growth for the remainder of 2024 is expected to be weighted to Q4 as new large customers come online.

• 90% of remaining O&M savings anticipated in Q4, with flexibility to adjust spending based on weather.

• Full-year weather-adjusted retail sales growth now expected at ~0.4% year-over-year.

• Capital plan for 2024-2026 totals $19.85B, reflecting accelerated resilience spending and new generation projects.