Utility Exelon forecasts 2025 profit above estimates
Feb 12 (Reuters) - Exelon (EXC.O), opens new tab forecast annual profit above Wall Street estimates on Wednesday, as the U.S. utility expects to benefit from higher rates for electricity and natural gas.
U.S. utilities have been seeking to raise customer power bills to fund infrastructure upgrades, as the country's electrical grids face extreme weather events and growing demand from industry electrification and data center expansions.
Exelon said it plans to invest $38 billion in capital expenditures over the next four years, 10% higher than its previous plan.
"With growth in our four-year capital plan driven by investment needs across our regions, we continue to expect 5-7% annualized earning growth through 2028," said CFO Jeanne Jones.
Exelon said several of its rate cases had been approved by regulators and came into effect earlier this year. Regulated utilities use rate case proceedings to determine the amount that customers need to pay for electricity and natural gas services.
As a result, the Chicago-based company said it expects 2025 adjusted operating earnings to be in the range of $2.64 per share to $2.74 per share, compared with analysts' average estimate of 2.63 per share, according to data compiled by LSEG.
Exelon posted adjusted operating earnings of 64 cents per share for the fourth quarter ended December 31, above analysts' estimate of 59 cents per share.
The company's shares were up over 1% in trading before the bell.
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