By Will Feuer
PPL Corp. said it plans to invest billions more into its system as the Pennsylvania-based electrical-utility company seeks to draw higher rates.
The utility company posted a fourth-quarter profit of $113 million, or 15 cents a share, compared with $190 million, or 26 cents a share, in the same period a year earlier.
Stripping out one-time items, adjusted earnings were 40 cents a share. Analysts surveyed by FactSet had expected 38 cents a share.
Revenue fell more than 11% to $2.03 billion. Analysts were expecting $1.9 billion.
Operating costs fell more than 16% to $1.64 billion.
Chief Executive Vincent Sorgi said the company was hurt by mild weather, heightened storm activity and challenging macroeconomic factors last year. He said the company surpassed its operation-and-maintenance efficiency targets.
For 2024, PPL is targeting earnings of $1.63 to $1.75 a share. Analysts expect non-adjusted earnings of $1.69 a share.
The company also increased its planned infrastructure investments to $14.3 billion from 2024 to 2027, up from its previous plan for $11.9 billion in investments from 2023 to 2026. Those investments are expected to lead to 6.3% average annual rate base growth through 2027, up from 5.6% over the prior plan period.
Write to Will Feuer at [email protected]
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