[ACCESSWIRE]
LONDON, UK / ACCESSWIRE / August 8, 2016 / Active Wall St. announces its post-earnings coverage on Duke Energy Corporation (NYSE: DUK). The company announced its Q2 FY16 financial results on August 04, 2016. Duke Energy's earnings were impacted by unfavorable weather conditions; however its adjusted earnings beat market expectations. The company also said that its $4.9 billion acquisition of Piedmont Natural Gas is on track. Register with us now for your free membership at: http://www.activewallst.com/register/.
Today, AWS is promoting its earnings coverage on DUK. Get our free coverage by signing up to
http://www.activewallst.com/registration-3/?symbol=DUK.
Earnings Reviewed
For the three months ended on June 30, 2016, Duke Energy reported earnings of $509 million, or $0.74 per share, lower than earnings of $543 million, or $0.78 per share in the year ago period. Adjusted earnings from continuing operations rose to $1.07 per share from $0.95 per share in the prior year quarter. For Q2 FY16, revenue dropped 1.9% to $5.48 billion from $5.59 billion in Q2 FY15. Analysts expected earnings of $1.01 per share on revenue of $5.67 billion.
"Our solid second quarter performance reflects the strength of our regulated utilities driven by strategic investments, dedicated cost management and a relentless focus on operational excellence," said Lynn Good, Duke Energy's chairman, president, and CEO.
Duke's Division
During Q2 FY16, Duke Energy's Regulated Utilities division reported adjusted segment income of $718 million compared to $632 million in Q2 2015, an increase of $0.13 per share. The Regulated Utilities unit which generated more than 90% of the company's total revenue reported that wholesale net margins increased by $0.03 per share, primarily due to the long-term wholesale contract associated with the NCEMPA purchase in the previous year, which was partially offset by unfavorable weather condition (-$0.04 per share).
For the company's International Energy division, adjusted income came in at $43 million for Q2 FY16 compared to $52 million in Q2 FY15; the decline was attributed to a higher tax expense and weak results at National Methanol Company.
Duke energy's Commercial Portfolio segment reported an adjusted income of $14 million in the reported quarter compared to adjusted income of $11 million in Q2 FY15. The rise was attributed to increased investments in the Atlantic Coast and Sabal Trail pipelines.
Operational Update
Duke Energy's operating expenses for Q2 FY16 declined to $4.34 billion from $4.36 billion in the year ago periods on "dedicated cost management" as noted by the company in the earnings release. The Charlotte-based company also noted that it took charges related to "impairment in Central America, costs to achieve mergers and cost-savings initiatives". Furthermore, Duke Energy stated that it remains "on track" to complete its proposed acquisition of Piedmont Natural Gas and marketing of its Latin American assets.
"The successful completion of both transactions will align our portfolio to focus on domestic infrastructure businesses that drive more stable earnings and cash flow growth," stated Mr. Good, in the earnings release.
Outlook
Duke energy reiterated its fiscal 2016 earnings in the range of $4.50 to $4.70 per share. Analysts were estimating earnings of $4.60 per share.
Stock Performance
Duke Energy's stock price traded 1.18% lower on August 05, 2016, finishing the trading session at $84.23 with a total volume of 3.52 million shares changing hands. The company's share price has gained 20.48% since the beginning of the year as compared to the S&P 500 which is up 8.13% during the same time frame.
Active Wall Street:
Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
AWS has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email [email protected]. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
NO WARRANTY
AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/.
CONTACT
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Email: [email protected]
Phone number: 1-858-257-3144
Office Address: 3rd floor, 207 Regent Street, London, W1B 3HH, United Kingdom
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: Active Wall Street
