PPL (PPL) Q3 2024 earnings summary

Executive summary

• Q3 2024 GAAP EPS was $0.29 and ongoing EPS was $0.42, with year-to-date ongoing EPS at $1.34, up from $1.20 year-over-year; 2024 ongoing EPS guidance narrowed to $1.67–$1.73, midpoint raised to $1.70, and 6–8% annual EPS and dividend growth reaffirmed through at least 2027.

• Net income for Q3 2024 was $214M, down from $230M in Q3 2023; nine-month net income rose to $711M from $627M year-over-year.

• Integration of Rhode Island Energy completed, exiting transition services with National Grid.

• Infrastructure improvements of $3.1B are on track for 2024, supporting reliability, resiliency, and cleaner energy.

• Strong progress on O&M savings, targeting $120–$130M in 2024 and at least $175M by 2026 versus 2021 baseline.

Financial highlights

• Q3 2024 ongoing EPS was $0.42, nearly flat compared to $0.43 in Q3 2023; Q3 GAAP EPS was $0.29, down from $0.31; YTD ongoing EPS rose to $1.34 from $1.20, and YTD GAAP EPS was $0.96, up from $0.85.

• Q3 2024 reported net income was $214M; ongoing operations net income was $310M, down from $317M.

• Q3 2024 operating revenues were $2.07B, up slightly from $2.04B in Q3 2023; operating income was $428M, down from $437M.

• Cash from operations for nine months 2024: $1.83B, up from $1.65B in 2023.

• Issued $750M of senior notes at 5.25% due 2034, reflecting strong credit demand.

Outlook and guidance

• 2024 ongoing EPS forecast narrowed to $1.67–$1.73, midpoint $1.70, expecting to exceed original midpoint.

• Projected 6–8% annual EPS and dividend growth through at least 2027.

• $14.3B capital plan for 2024–2027, with upside from data center and resiliency investments.

• No equity issuances required through at least 2027; capital plan to be updated in Q4 earnings call.

• Targeting at least $175M in annual O&M savings by 2026, with $120–$130M expected by end of 2024.