- Third-quarter 2023 GAAP earnings of $1.83 per share; operating earnings of
$1.77 per share
- 2023 operating earnings (non-GAAP) guidance range narrowed to
$5.24 to $5.34 per share, midpoint maintained at
$5.29
- Long-term growth rate of 6% to 7% and FFO/Debt target of 14% to
15% reaffirmed
COLUMBUS, Ohio, Nov. 2, 2023
/PRNewswire/ --
AMERICAN ELECTRIC
POWER Preliminary, unaudited results
|
|
|
|
Third Quarter
ended September 30
|
|
Year-to-date ended
September 30
|
|
|
2023
|
2022
|
Variance
|
|
2023
|
2022
|
Variance
|
Revenue ($ in
billions):
|
5.3
|
5.5
|
(0.2)
|
|
14.4
|
14.8
|
(0.4)
|
Earnings ($ in
millions):
|
|
|
|
|
|
|
|
|
GAAP
|
953.7
|
683.7
|
270.0
|
|
1,871.9
|
1,922.9
|
(51.0)
|
|
Operating
(non-GAAP)
|
923.8
|
831.0
|
92.8
|
|
2,077.6
|
2,065.1
|
12.5
|
|
|
|
|
|
|
|
|
|
EPS
($):
|
|
|
|
|
|
|
|
|
|
GAAP
|
1.83
|
1.33
|
0.50
|
|
3.62
|
3.76
|
(0.14)
|
|
Operating
(non-GAAP)
|
1.77
|
1.62
|
0.15
|
|
4.02
|
4.04
|
(0.02)
|
|
|
|
EPS based on 520
million shares 3Q 2023, 514 million shares 3Q 2022, 517 million
shares YTD 2023 and 511 million shares YTD 2022.
|
|
|
American Electric Power (Nasdaq: AEP) today reported
third-quarter 2023 earnings, prepared in accordance with Generally
Accepted Accounting Principles (GAAP), of $954 million or $1.83 per share, compared with GAAP earnings of
$684 million or $1.33 per share in third-quarter 2022. Operating
earnings for third-quarter 2023 were $924
million or $1.77 per share,
compared with operating earnings of $831
million or $1.62 per share in
third-quarter 2022.
Operating earnings is a non-GAAP measure representing GAAP
earnings excluding special items. The difference between 2023 GAAP
and operating earnings for the quarter was largely due to the
mark-to-market impact of economic hedging activities. A full
reconciliation of GAAP earnings to operating earnings for the
quarter and year-to-date is included in the tables at the end of
this news release.
"Our earnings growth this quarter was driven by our long-term
strategy to invest in a modern, reliable energy system to meet the
evolving needs of our customers while keeping electricity rates
affordable," said Julie Sloat, AEP
chair, president and chief executive officer. "Our team has
delivered these results in the face of high interest rates,
inflation and unfavorable weather by actively managing the
business, controlling costs and executing on our flexible and
robust capital plan to help meet our stakeholder commitments.
"We are narrowing our operating earnings guidance range to
$5.24 to $5.34, maintaining the midpoint of $5.29 and reaffirming our long-term growth rate
of 6% to 7% and FFO/Debt target of 14%-15%. On Oct. 24, we announced an increase in our
quarterly dividend to 88 cents a
share, in line with our earnings growth rate.
"AEP is taking action to de-risk and simplify our business. We
completed the sale of our 1,365-megawatt unregulated renewables
portfolio in August, netting approximately $1.2 billion. We remain on track with the
previously announced sales processes for our retail and distributed
resources businesses, our share of a renewable energy joint venture
and two non-core transmission joint ventures. We also are
continuing our strategic review of the Transource Energy joint
venture, which we expect to complete this year," Sloat said.
"We've made significant progress on our five-year, $8.6 billion regulated renewables investment
plan, with $6 billion in approved
projects and $800 million currently
pending commission approval. These projects provide fuel savings
for our customers and are aligned with our integrated resource
plans. The transmission and distribution investments we're making
to enhance service and reliability for customers also continue to
support our earnings results.
"Commercial load increased 7.5% year over year, largely driven
by our focus on economic development in the communities we serve.
We've added nearly 30,000 new residential customers in our service
territory this year, which has helped offset lower average usage in
the residential segment. We continue to see a softening of
industrial load from the impacts of higher interest rates but still
expect overall retail load to grow in 2024," Sloat said.
SUMMARY OF RESULTS
BY SEGMENT $ in millions
|
|
GAAP
Earnings
|
3Q 23
|
3Q 22
|
Variance
|
YTD
23
|
YTD
22
|
Variance
|
Vertically Integrated
Utilities (a)
|
512.5
|
476.9
|
35.6
|
1,051.6
|
1,076.3
|
(24.7)
|
Transmission &
Distribution Utilities (b)
|
206.0
|
165.5
|
40.5
|
508.4
|
483.1
|
25.3
|
AEP Transmission
Holdco (c)
|
202.9
|
170.5
|
32.4
|
580.8
|
485.4
|
95.4
|
Generation &
Marketing (d)
|
130.7
|
97.5
|
33.2
|
(59.3)
|
284.3
|
(343.6)
|
All Other
|
(98.4)
|
(226.7)
|
128.3
|
(209.6)
|
(406.2)
|
196.6
|
Total GAAP Earnings
(Loss)
|
953.7
|
683.7
|
270.0
|
1,871.9
|
1,922.9
|
(51.0)
|
|
|
|
|
|
|
|
Operating Earnings
(non-GAAP)
|
3Q 23
|
3Q 22
|
Variance
|
YTD
23
|
YTD
22
|
Variance
|
Vertically Integrated
Utilities (a)
|
520.0
|
499.8
|
20.2
|
1,045.6
|
1,099.2
|
(53.6)
|
Transmission &
Distribution Utilities (b)
|
206.0
|
165.5
|
40.5
|
488.2
|
483.1
|
5.1
|
AEP Transmission
Holdco (c)
|
202.9
|
170.5
|
32.4
|
580.9
|
485.4
|
95.5
|
Generation &
Marketing (d)
|
92.8
|
70.0
|
22.8
|
204.1
|
175.6
|
28.5
|
All Other
|
(97.9)
|
(74.8)
|
(23.1)
|
(241.2)
|
(178.2)
|
(63.0)
|
Total Operating
Earnings (non-GAAP)
|
923.8
|
831.0
|
92.8
|
2,077.6
|
2,065.1
|
12.5
|
|
|
|
A full reconciliation
of GAAP earnings with operating earnings is included in tables at
the end of this news release.
|
|
|
a.
|
Includes AEP Generating
Co., Appalachian Power, Indiana Michigan Power, Kentucky Power,
Kingsport Power, Public Service Co. of Oklahoma, Southwestern
Electric Power and Wheeling Power
|
b.
|
Includes Ohio Power and
AEP Texas
|
c.
|
Includes wholly-owned
transmission-only subsidiaries and transmission-only joint
ventures
|
d.
|
Includes AEP OnSite
Partners, AEP Renewables, competitive generation in ERCOT and PJM
as well as marketing, risk management and retail activities in
ERCOT, PJM and MISO
|
EARNINGS GUIDANCE
AEP management narrowed its 2023 operating earnings guidance
range to $5.24 to $5.34 per share. Operating earnings could differ
from GAAP earnings for matters such as impairments, divestitures or
changes in accounting principles. AEP management is not able to
forecast if any of these items will occur or any amounts that may
be reported for future periods. Therefore, AEP is not able to
provide a corresponding GAAP equivalent for 2023 earnings
guidance.
Reflecting special items recorded through the third quarter, the
estimated earnings per share on a GAAP basis would be $4.84 to $4.94 per
share. See the table below for a full reconciliation of 2023
earnings guidance.
2023 EPS
Guidance Reconciliation
|
|
|
|
|
Estimated EPS on a
GAAP basis
|
$4.84
|
to
|
$4.94
|
|
|
|
|
Mark-to-market impact
of commodity hedging activities
|
|
0.34
|
|
|
|
|
|
Termination of the
sale of Kentucky operations
|
|
(0.06)
|
|
|
|
|
|
Sale of unregulated
renewables
|
|
0.17
|
|
|
|
|
|
Change in Texas
legislation
|
|
(0.05)
|
|
|
|
|
|
Operating EPS
Guidance
|
$5.24
|
to
|
$5.34
|
WEBCAST
AEP's quarterly discussion with financial analysts and investors
will be broadcast live over the internet at 9 a.m. Eastern today at
http://www.aep.com/webcasts. The webcast will include audio of the
discussion and visuals of charts and graphics referred to
by AEP management. The charts and graphics will be available
for download at http://www.aep.com/webcasts.
AEP's earnings are prepared in accordance with accounting
principles generally accepted in the
United States and represent the company's earnings as
reported to the Securities and Exchange Commission. The company's
operating earnings, a non-GAAP measure representing GAAP earnings
excluding special items as described in the news release and
charts, provide another representation for investors to evaluate
the performance of the company's ongoing business activities. AEP
uses operating earnings as the primary performance measurement when
communicating with analysts and investors regarding its earnings
outlook and results. The company uses operating earnings data
internally to measure performance against budget, to report to
AEP's Board of Directors and also as an input in determining
performance-based compensation under the company's employee
incentive compensation plans.
At American Electric Power, based in Columbus, Ohio, we understand that our
customers and communities depend on safe, reliable and affordable
power. Our nearly 17,000 employees operate and maintain more than
40,000 miles of transmission lines, the nation's largest electric
transmission system, and more than 225,000 miles of distribution
lines to deliver power to 5.6 million customers in 11 states. AEP
also is one of the nation's largest electricity producers with
nearly 29,000 megawatts of diverse generating capacity, including
approximately 6,100 megawatts of renewable energy. AEP is investing
$40 billion over the next five years
to make the electric grid cleaner and more reliable. We are on
track to reach an 80% reduction in carbon dioxide emissions from
2005 levels by 2030 and have a goal to achieve net zero by 2045.
AEP is recognized consistently for its focus on sustainability,
community engagement and inclusion. AEP's family of companies
includes utilities AEP Ohio, AEP Texas, Appalachian Power (in
Virginia and West Virginia), AEP Appalachian Power (in
Tennessee), Indiana Michigan
Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power
Company (in Arkansas, Louisiana, east Texas and the Texas
Panhandle). AEP also owns AEP Energy, which provides
innovative competitive energy solutions nationwide. For more
information, visit aep.com.
WEBSITE DISCLOSURE
AEP may use its website as a distribution channel for material
company information. Financial and other important information
regarding AEP is routinely posted on and accessible through AEP's
website at https://www.aep.com/investors/. In addition, you may
automatically receive email alerts and other information about AEP
when you enroll your email address by visiting the "Email Alerts"
section at https://www.aep.com/investors/.
---
This report made by American Electric Power and its Registrant
Subsidiaries contains forward-looking statements within the meaning
of Section 21E of the Securities Exchange Act of 1934. Although AEP
and each of its Registrant Subsidiaries believe that their
expectations are based on reasonable assumptions, any such
statements may be influenced by factors that could cause actual
outcomes and results to be materially different from those
projected. Among the factors that could cause actual results to
differ materially from those in the forward-looking statements are:
changes in economic conditions, electric market demand and
demographic patterns in AEP service territories; the impact of
pandemics and any associated disruption of AEP's business
operations due to impacts on economic or market conditions, costs
of compliance with potential government regulations, electricity
usage, supply chain issues, customers, service providers, vendors
and suppliers; the economic impact of increased global trade
tensions including the conflicts in Ukraine and the Middle East, and the adoption or expansion of
economic sanctions or trade restrictions; inflationary or
deflationary interest rate trends; volatility and disruptions in
the financial markets precipitated by any cause, including failure
to make progress on federal budget or debt ceiling matters,
particularly developments affecting the availability or cost of
capital to finance new capital projects and refinance existing
debt; the availability and cost of funds to finance working capital
and capital needs, particularly if expected sources of capital,
such as proceeds from the sale of assets or subsidiaries, do not
materialize, and during periods when the time lag between incurring
costs and recovery is long and the costs are material; decreased
demand for electricity; weather conditions, including storms and
drought conditions, and AEP's ability to recover significant storm
restoration costs; limitations or restrictions on the amounts and
types of insurance available to cover losses that might arise in
connection with natural disasters or operations; the cost of fuel
and its transportation, the creditworthiness and performance of
fuel suppliers and transporters and the cost of storing and
disposing of used fuel, including coal ash and spent nuclear fuel;
the availability of fuel and necessary generation capacity and the
performance of generation plants; AEP's ability to recover fuel and
other energy costs through regulated or competitive electric rates;
the ability to transition from fossil generation and the ability to
build or acquire renewable generation, transmission lines and
facilities (including the ability to obtain any necessary
regulatory approvals and permits) when needed at acceptable prices
and terms, including favorable tax treatment, and to recover those
costs; new legislation, litigation and government regulation,
including changes to tax laws and regulations, oversight of nuclear
generation, energy commodity trading and new or heightened
requirements for reduced emissions of sulfur, nitrogen, mercury,
carbon, soot or particulate matter and other substances that could
impact the continued operation, cost recovery, and/or profitability
of generation plants and related assets; the impact of federal tax
legislation on results of operations, financial condition, cash
flows or credit ratings; the risks associated with fuels used
before, during and after the generation of electricity and the
byproducts and wastes of such fuels, including coal ash and spent
nuclear fuel; timing and resolution of pending and future rate
cases, negotiations and other regulatory decisions, including rate
or other recovery of new investments in generation, distribution
and transmission service and environmental compliance; resolution
of litigation or regulatory proceedings or investigations; AEP's
ability to constrain operation and maintenance costs; prices and
demand for power generated and sold at wholesale; changes in
technology, particularly with respect to energy storage and new,
developing, alternative or distributed sources of generation; AEP's
ability to recover through rates any remaining unrecovered
investment in generation units that may be retired before the end
of their previously projected useful lives; volatility and changes
in markets for coal and other energy-related commodities,
particularly changes in the price of natural gas; the impact of
changing expectations and demands of customers, regulators,
investors and stakeholders, including heightened emphasis on
environmental, social and governance concerns; changes in utility
regulation and the allocation of costs within regional transmission
organizations, including ERCOT, PJM and SPP; changes in the
creditworthiness of the counterparties with contractual
arrangements, including participants in the energy trading market;
actions of rating agencies, including changes in the ratings of
debt; the impact of volatility in the capital markets on the value
of the investments held by AEP's pension, other postretirement
benefit plans, captive insurance entity and nuclear decommissioning
trust and the impact of such volatility on future funding
requirements; accounting standards periodically issued by
accounting standard-setting bodies; other risks and unforeseen
events, including wars and military conflicts, the effects of
terrorism (including increased security costs), embargoes,
wildfires, cyber security threats and other catastrophic events;
and the ability to attract and retain the requisite work force and
key personnel.
American Electric
Power
|
|
Financial Results
for the Third Quarter of 2023
|
|
Reconciliation of
GAAP to Operating Earnings (non-GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2023
|
|
|
|
|
Vertically Integrated
Utilities
|
|
Transmission &
Distribution Utilities
|
|
AEP Transmission
Holdco
|
|
Generation &
Marketing
|
|
Corporate and
Other
|
|
Total
|
|
EPS (a)
|
|
|
|
($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Earnings
(Loss)
|
|
512.5
|
|
206.0
|
|
202.9
|
|
130.7
|
|
(98.4)
|
|
953.7
|
|
$
1.83
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special Items
(b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mark-to-Market Impact
of Commodity Hedging Activities
|
(c)
|
7.5
|
|
—
|
|
—
|
|
(37.9)
|
|
—
|
|
(30.4)
|
|
(0.06)
|
|
Sale of Unregulated
Renewables
|
(d)
|
—
|
|
—
|
|
—
|
|
—
|
|
0.5
|
|
0.5
|
|
—
|
Total Special
Items
|
|
7.5
|
|
—
|
|
—
|
|
(37.9)
|
|
0.5
|
|
(29.9)
|
|
$
(0.06)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Earnings
(Loss)
(non-GAAP)
|
|
520.0
|
|
206.0
|
|
202.9
|
|
92.8
|
|
(97.9)
|
|
923.8
|
|
$
1.77
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Results
for the Third Quarter of 2022
|
|
Reconciliation of
GAAP to Operating Earnings (non-GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2022
|
|
|
|
|
Vertically Integrated
Utilities
|
|
Transmission &
Distribution Utilities
|
|
AEP Transmission
Holdco
|
|
Generation &
Marketing
|
|
Corporate and
Other
|
|
Total
|
|
EPS (a)
|
|
|
|
($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Earnings
(Loss)
|
|
476.9
|
|
165.5
|
|
170.5
|
|
97.5
|
|
(226.7)
|
|
683.7
|
|
$
1.33
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special Items
(b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mark-to-Market Impact
of Commodity Hedging Activities
|
(c)
|
(1.5)
|
|
—
|
|
—
|
|
(29.4)
|
|
—
|
|
(30.9)
|
|
(0.06)
|
|
Pending Sale of
Unregulated Renewables
|
(d)
|
—
|
|
—
|
|
—
|
|
—
|
|
3.6
|
|
3.6
|
|
0.01
|
|
Pending Sale of
Kentucky Operations
|
(e)
|
—
|
|
—
|
|
—
|
|
—
|
|
150.6
|
|
150.6
|
|
0.29
|
|
Mark-to-Market Impact
of Certain Investments
|
(f)
|
—
|
|
—
|
|
—
|
|
—
|
|
(2.3)
|
|
(2.3)
|
|
—
|
|
Impairment of
Investment in Flat Ridge 2
|
(g)
|
—
|
|
—
|
|
—
|
|
1.9
|
|
—
|
|
1.9
|
|
—
|
|
Virginia Triennial
Review
|
(h)
|
24.4
|
|
—
|
|
—
|
|
—
|
|
—
|
|
24.4
|
|
0.05
|
Total Special
Items
|
|
22.9
|
|
—
|
|
—
|
|
(27.5)
|
|
151.9
|
|
147.3
|
|
$
0.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Earnings
(Loss)
(non-GAAP)
|
|
499.8
|
|
165.5
|
|
170.5
|
|
70.0
|
|
(74.8)
|
|
831.0
|
|
$
1.62
|
|
|
|
|
(a)
|
Per share amounts are
divided by Weighted Average Common Shares Outstanding –
Basic
|
(b)
|
Excluding tax related
adjustments, all items presented in the table are tax adjusted at
the statutory rate unless otherwise noted
|
(c)
|
Represents the impact
of mark-to-market economic hedging activities
|
(d)
|
Represents third-party
transaction costs related to the sale of the Competitive Contracted
Renewable Portfolio
|
(e)
|
Represents an
adjustment to the loss on the expected sale of the Kentucky
Operations which was terminated in April 2023 and other related
third-party transaction costs
|
(f)
|
Represents the impact
of mark-to-market on certain investments
|
(g)
|
Represents the impact
of the write-off of AEP's investment in the Flat Ridge 2 wind farm
joint venture
|
(h)
|
Represents the impact
of the Virginia Supreme Court opinion on AEP's appeal of
Appalachian Power's 2017-2019 Triennial Review
|
American Electric
Power
|
Summary of Selected
Sales Data
|
Regulated Connected
Load
|
(Data based on
preliminary, unaudited results)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30
|
ENERGY &
DELIVERY SUMMARY
|
|
2023
|
|
2022
|
|
Change
|
|
|
|
|
|
|
|
Vertically
Integrated Utilities
|
|
|
|
|
|
|
Retail Electric
(in millions of kWh):
|
|
|
|
|
|
|
Residential
|
|
8,975
|
|
9,115
|
|
(1.5) %
|
Commercial
|
|
6,686
|
|
6,640
|
|
0.7 %
|
Industrial
|
|
8,731
|
|
8,862
|
|
(1.5) %
|
Miscellaneous
|
|
618
|
|
623
|
|
(0.8) %
|
Total
Retail
|
|
25,010
|
|
25,240
|
|
(0.9) %
|
|
|
|
|
|
|
|
Wholesale Electric (in millions of kWh): (a)
|
|
3,876
|
|
4,254
|
|
(8.9) %
|
|
|
|
|
|
|
|
Total
KWHs
|
|
28,886
|
|
29,494
|
|
(2.1) %
|
|
|
|
|
|
|
|
Transmission &
Distribution Utilities
|
|
|
|
|
|
|
Retail Electric
(in millions of kWh):
|
|
|
|
|
|
|
Residential
|
|
8,442
|
|
8,033
|
|
5.1 %
|
Commercial
|
|
8,574
|
|
7,538
|
|
13.7 %
|
Industrial
|
|
6,601
|
|
6,554
|
|
0.7 %
|
Miscellaneous
|
|
220
|
|
210
|
|
4.8 %
|
Total Retail
(b)
|
|
23,837
|
|
22,335
|
|
6.7 %
|
|
|
|
|
|
|
|
Wholesale Electric (in millions of kWh): (a)
|
|
485
|
|
587
|
|
(17.4) %
|
|
|
|
|
|
|
|
Total
KWHs
|
|
24,322
|
|
22,922
|
|
6.1 %
|
|
|
(a)
|
Includes off-system
sales, municipalities and cooperatives, unit power and other
wholesale customers
|
(b)
|
Represents energy
delivered to distribution customers
|
American Electric
Power
|
|
Financial Results
for Year-to-Date 2023
|
|
Reconciliation of
GAAP to Operating Earnings (non-GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2023
|
|
|
|
|
Vertically Integrated
Utilities
|
|
Transmission &
Distribution Utilities
|
|
AEP Transmission
Holdco
|
|
Generation &
Marketing
|
|
Corporate and
Other
|
|
Total
|
|
EPS (a)
|
|
|
|
($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Earnings
(Loss)
|
|
1,051.6
|
|
508.4
|
|
580.8
|
|
(59.3)
|
|
(209.6)
|
|
1,871.9
|
|
$3.62
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special Items
(b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mark-to-Market Impact
of Commodity Hedging Activities
|
(c)
|
(1.7)
|
|
—
|
|
—
|
|
174.9
|
|
—
|
|
173.2
|
|
0.34
|
|
Termination of the Sale
of Kentucky Operations
|
(d)
|
—
|
|
—
|
|
—
|
|
—
|
|
(33.7)
|
|
(33.7)
|
|
(0.06)
|
|
Sale of Unregulated
Renewables
|
(e)
|
—
|
|
—
|
|
—
|
|
88.5
|
|
2.1
|
|
90.6
|
|
0.17
|
|
Change in Texas
Legislation
|
(f)
|
(4.3)
|
|
(20.2)
|
|
0.1
|
|
—
|
|
—
|
|
(24.4)
|
|
(0.05)
|
Total Special
Items
|
|
(6.0)
|
|
(20.2)
|
|
0.1
|
|
263.4
|
|
(31.6)
|
|
205.7
|
|
$0.40
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Earnings
(Loss)
(non-GAAP)
|
|
1,045.6
|
|
488.2
|
|
580.9
|
|
204.1
|
|
(241.2)
|
|
2,077.6
|
|
$4.02
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Results
for Year-to-Date 2022
|
|
Reconciliation of
GAAP to Operating Earnings (non-GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2022
|
|
|
|
|
Vertically Integrated
Utilities
|
|
Transmission &
Distribution Utilities
|
|
AEP Transmission
Holdco
|
|
Generation &
Marketing
|
|
Corporate and
Other
|
|
Total
|
|
EPS (a)
|
|
|
|
($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Earnings
(Loss)
|
|
1,076.3
|
|
483.1
|
|
485.4
|
|
284.3
|
|
(406.2)
|
|
1,922.9
|
|
$3.76
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special Items
(b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mark-to-Market Impact
of Commodity Hedging Activities
|
(c)
|
(1.5)
|
|
—
|
|
—
|
|
(165.3)
|
|
—
|
|
(166.8)
|
|
(0.33)
|
|
Pending Sale of
Kentucky Operations
|
(d)
|
—
|
|
—
|
|
—
|
|
—
|
|
226.4
|
|
226.4
|
|
0.44
|
|
Pending Sale of
Unregulated Renewables
|
(e)
|
—
|
|
—
|
|
—
|
|
—
|
|
3.6
|
|
3.6
|
|
0.01
|
|
Gain on Sale of Mineral
Rights
|
(g)
|
—
|
|
—
|
|
—
|
|
(91.9)
|
|
—
|
|
(91.9)
|
|
(0.18)
|
|
Impairment of
Investment in Flat Ridge 2
|
(h)
|
—
|
|
—
|
|
—
|
|
148.5
|
|
—
|
|
148.5
|
|
0.29
|
|
Virginia Triennial
Review
|
(i)
|
24.4
|
|
—
|
|
—
|
|
—
|
|
—
|
|
24.4
|
|
0.05
|
|
Accumulated Deferred
Income Tax Adjustments
|
(j)
|
—
|
|
—
|
|
—
|
|
—
|
|
(2.0)
|
|
(2.0)
|
|
—
|
Total Special
Items
|
|
22.9
|
|
—
|
|
—
|
|
(108.7)
|
|
228.0
|
|
142.2
|
|
$0.28
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Earnings
(Loss)
(non-GAAP)
|
|
1,099.2
|
|
483.1
|
|
485.4
|
|
175.6
|
|
(178.2)
|
|
2,065.1
|
|
$4.04
|
|
|
|
|
(a)
|
Per share amounts are
divided by Weighted Average Common Shares Outstanding –
Basic
|
(b)
|
Excluding tax related
adjustments, all items presented in the table are tax adjusted at
the statutory rate unless otherwise noted
|
(c)
|
Represents the impact
of mark-to-market economic hedging activities
|
(d)
|
Represents an
adjustment to the loss on the expected sale of the Kentucky
Operations which was terminated in April 2023 and other related
third-party transaction costs
|
(e)
|
Represents the loss on
the sale of the Competitive Contracted Renewable Portfolio and
other related third-party transaction costs
|
(f)
|
Represents the impact
of recent legislation in Texas regarding recovery of certain
employee incentives
|
(g)
|
Represents the gain on
the sale of certain mineral rights
|
(h)
|
Represents the impact
of the write-off of AEP's investment in the Flat Ridge 2 wind farm
joint venture
|
(i)
|
Represents the impact
of the Virginia Supreme Court opinion on AEP's appeal of
Appalachian Power's 2017-2019 Triennial Review
|
(j)
|
Represents the impact
of out-of-period adjustments related to accumulated deferred income
taxes
|
American Electric
Power
|
Summary of Selected
Sales Data
|
Regulated Connected
Load
|
(Data based on
preliminary, unaudited results)
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30
|
ENERGY &
DELIVERY SUMMARY
|
|
2023
|
|
2022
|
|
Change
|
|
|
|
|
|
|
|
Vertically
Integrated Utilities
|
|
|
|
|
|
|
Retail Electric
(in millions of kWh):
|
|
|
|
|
|
|
Residential
|
|
23,406
|
|
25,379
|
|
(7.8) %
|
Commercial
|
|
17,781
|
|
18,069
|
|
(1.6) %
|
Industrial
|
|
25,686
|
|
25,930
|
|
(0.9) %
|
Miscellaneous
|
|
1,684
|
|
1,745
|
|
(3.5) %
|
Total
Retail
|
|
68,557
|
|
71,123
|
|
(3.6) %
|
|
|
|
|
|
|
|
Wholesale Electric (in millions of kWh): (a)
|
|
10,620
|
|
12,388
|
|
(14.3) %
|
|
|
|
|
|
|
|
Total
KWHs
|
|
79,177
|
|
83,511
|
|
(5.2) %
|
|
|
|
|
|
|
|
Transmission &
Distribution Utilities
|
|
|
|
|
|
|
Retail Electric
(in millions of kWh):
|
|
|
|
|
|
|
Residential
|
|
20,618
|
|
21,599
|
|
(4.5) %
|
Commercial
|
|
22,711
|
|
20,478
|
|
10.9 %
|
Industrial
|
|
19,800
|
|
19,131
|
|
3.5 %
|
Miscellaneous
|
|
565
|
|
578
|
|
(2.2) %
|
Total Retail
(b)
|
|
63,694
|
|
61,786
|
|
3.1 %
|
|
|
|
|
|
|
|
Wholesale Electric (in millions of kWh): (a)
|
|
1,366
|
|
1,723
|
|
(20.7) %
|
|
|
|
|
|
|
|
Total
KWHs
|
|
65,060
|
|
63,509
|
|
2.4 %
|
|
|
(a)
|
Includes off-system
sales, municipalities and cooperatives, unit power and other
wholesale customers
|
(b)
|
Represents energy
delivered to distribution customers
|
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SOURCE American Electric Power