PPL's Q2 EPS rises on higher retail rates in Kentucky
PPL's Q2 EPS rises on higher retail rates in Kentucky
Overview
U.S. energy utility's Q2 EPS rose
Company reaffirmed 2026 ongoing EPS guidance and long-term growth targets
Disciplined cost management and timely recovery of investments supported Q2 results
Outlook
PPL reaffirms 2026 ongoing EPS forecast range of $1.90 to $1.98, midpoint $1.94
Company maintains 6% to 8% annual EPS growth target through at least 2029
PPL estimates $10 bln to $12 bln of potential generation investment upside through 2032
Result Drivers
RETAIL RATE INCREASES - Higher retail rates in Kentucky contributed to earnings, offset by increased operating costs, depreciation and interest expense
TRANSMISSION REVENUE - Pennsylvania segment earnings were supported by higher transmission revenue from additional capital investments, offset by higher depreciation and interest expense
LOWER OPERATING COSTS - Rhode Island segment earnings benefited from lower operating costs and higher rider revenue, offset by higher depreciation expense
Company press release: ID:nPn323yDfa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Reported earnings per share |
| $0.30 |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the multiline utilities peer group is "buy"
Wall Street's median 12-month price target for PPL Corp is $41.50, about 19.9% above its August 6 closing price of $34.62
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 19 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)