Portland General Electric Company (POR) Q4 2021 earnings summary

Executive summary

• 2021 net income was $244 million, or $2.72 per diluted share; revenue growth and higher wholesale sales were partly offset by higher purchased power and fuel costs.

• Priorities included clean-energy investment, grid resilience, reliability, and cost management amid the pandemic and extreme weather.

Financial highlights

• Revenue was $2.396 billion, up 12% YoY; income from operations was $378 million, up 41%; net income was $244 million, up 57%.

• Diluted EPS was $2.72 vs. $1.72 in 2020; 2020 results included $127 million of energy trading losses, for which recovery was not pursued.

• Retail revenue rose 8% to $2.078 billion; wholesale revenue increased 57% to $255 million, driven mainly by a 53% increase in average selling prices.

• Operating cash flow was $532 million; capital expenditures were $636 million; cash and cash equivalents ended the year at $52 million.

Outlook and guidance

• 2022 diluted EPS guidance is $2.75–$2.90; long-term EPS growth target is 4%–6%, with a 5%–7% long-term dividend growth target.

• Expected 2022 retail deliveries are 2.0%–2.5% above 2021 weather-adjusted levels; expected load growth is ~1.5%, primarily from commercial and industrial demand.

• 2022 capital expenditures are expected to be $660 million; operating cash flow is forecast at $575–$625 million.

• By 2030, plans call for 1,500–2,000 MW of clean and renewable resources and ~800 MW of non-emitting dispatchable capacity; the 2021 RFP targets 375–500 MW and 375 MW, respectively.