Pinnacle West Q1 Earnings Miss Estimates, Revenues Beat

Pinnacle West Capital Corporation PNW reported first-quarter 2025 loss of 4 cents per share, which missed the Zacks Consensus Estimate of earnings of 5 cents by 180%. In the year-ago quarter, the company reported earnings of 15 cents per share.  (See the Zacks Earnings Calendar to stay ahead of market-making news.)

Total Revenues of PNW

Sales for the quarter totaled $1.03 billion, which surpassed the Zacks Consensus Estimate of $0.96 billion by 7.7%. The top line also increased 8.4% from $0.95 million recorded in the year-ago quarter.

PNW’s Operational Highlights

Total operating expenses were $975 million, up 10.2% year over year. This was due to higher fuel and purchased power, and increased operations and maintenance expenses.

Operating income totaled $57.2 million, down 14.4% from $66.8 million recorded in the year-ago quarter.

Total interest expenses were $104.9 million, up 5.1% from $99.8 million registered in the prior-year period.

PNW’s Financial Highlights

As of March 31, 2025, cash and cash equivalents totaled $10 million compared with $3.84 million as of Dec. 31, 2024.

As of the same date, long-term debt-less current maturities amounted to $8.06 billion compared with $8.058 billion as of Dec. 31, 2024.

Net cash flow provided by operating activities in the first quarter of 2025 totaled $401.9 million compared with $347.3 million in the year-ago period.

PNW’s Guidance

The company continues to expect its 2025 consolidated earnings in the range of $4.40-$4.60 per share. The Zacks Consensus Estimate for the same is pegged at $4.51, higher than the midpoint of the company’s guided range.

Pinnacle West plans to invest $7.6 billion in the 2025-2027 period to further strengthen its operations.

Management expects its retail customers to increase 1.5-2.5% in 2025.

PNW’s Zacks Rank

Pinnacle West currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Utility Releases

ONE Gas OGS is slated to report first-quarter results on May 5, after market close. The Zacks Consensus Estimate for earnings is pegged at $1.85 per share.

OGS’ long-term (three to five years) earnings growth rate is 5.56%. The Zacks Consensus Estimate for 2025 sales is pinned at $2.34 billion, implying a year-over-year increase of 12.4%.

Evergy EVRG is slated to report first-quarter results on May 8, before market open. The Zacks Consensus Estimate for earnings is pegged at 66 cents per share.

EVRG’s long-term earnings growth rate is 5.7%. The Zacks Consensus Estimate for 2025 sales is pinned at $5.98 billion, implying a year-over-year increase of 2.3%.

Alliant Energy LNT is slated to report first-quarter results on May 8, after market close. The Zacks Consensus Estimate for earnings is pegged at 57 cents per share.

LNT’s long-term earnings growth rate is 6.73%. The Zacks Consensus Estimate for first-quarter sales is pinned at $1.13 billion, which implies a year-over-year improvement of 9.2%.

 

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

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