Entergy's Q1 Earnings Surpass Estimates, Revenues Increase Y/Y

Entergy Corporation ETR reported first-quarter 2025 earnings of 82 cents per share, which beat the Zacks Consensus Estimate of 62 cents by 32.3%. The bottom line also improved a massive 355.6% from the year-ago quarter’s figure of 18 cents. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

The year-over-year bottom-line improvement can be attributed to higher retail sales volume and lower other Operation and Maintenance (O&M) expenses.

ETR’s Q1 Revenues

Entergy reported revenues of $2.85 billion, which missed the Zacks Consensus Estimate of $3.01 billion by 6%. However, the top line inched up 1.9% from the year-ago quarter’s level, primarily driven by higher revenues from its electric utility and natural gas segments.

Entergy Corporation Price, Consensus and EPS Surprise

Entergy Corporation price-consensus-eps-surprise-chart | Entergy Corporation Quote

Entergy’s Segmental Results

Utility: The segment’s earnings were $1.11 per share, up from 46 cents reported in the first quarter of 2024.

Parent & Other: The segment posted a loss of 29 cents per share, reflecting a deterioration from loss of 28 cents reported in the first quarter of 2024.

Highlights of Entergy’s Release

Operating expenses totaled $2.15 billion, down 16% from $2.56 billion recorded in the prior-year quarter.

The operating income amounted to $700 million, up 194.2% from $240 million registered in the year-ago period.

Total interest expenses were $3.30 million, up 23.4% from $2.67 million reported in the comparable period of 2024.

As of March 31, 2025, the total retail customers served by the company increased 0.7% to 3.04 million

Entergy’s Financial Highlights

As of March 31, 2025, Entergy had cash and cash equivalents of $1.51 billion compared with $0.86 billion as of Dec. 31, 2024.

Long-term debt totaled $28.26 billion compared with $26.61 billion as of Dec. 31, 2024.

In the first three months of 2025, ETR generated cash from operating activities of $536.2 million compared with $521.1 million in the first three months of 2024.

Entergy’s Guidance

Entergy reaffirmed its financial guidance for 2025. The company still expects to generate adjusted earnings in the range of $3.75-$3.95 per share.

The Zacks Consensus Estimate for ETR’s earnings is currently pegged at $3.88 per share, which is above the midpoint of its guidance

ETR's Zacks Rank

ETR currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Recent Utility Releases

NextEra Energy, Inc. NEE reported first-quarter 2025 adjusted earnings of 99 cents per share, which beat the Zacks Consensus Estimate of 97 cents by 2.1%. The company reported operating revenues of $6.24 billion, which lagged the consensus estimate of $7.34 billion by 14.9%.

FirstEnergy FE reported first-quarter 2025 operating earnings of 67 cents per share, which beat the Zacks Consensus Estimate of 60 cents by 11.7%. The company reported operating revenues of $3.77 billion, which surpassed the consensus estimate of $3.65 billion by 3.2%.

CMS Energy Corporation CMS reported first-quarter 2025 earnings of $1.02, which missed the Zacks Consensus Estimate of $1.05 by 2.9%. The company reported operating revenues of $2.45 billion, which beat the consensus estimate of $2.24 billion by 8.9%.

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This article originally published on Zacks Investment Research (zacks.com).

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