Public Service Enterprise Group (NYSE:PEG) shares dropped more than 5% intra-day today despite the company posting third-quarter results that exceeded expectations, benefiting from increased distribution margins and newly implemented nuclear production tax credits. The utility reported adjusted earnings of $0.90 per share, above the Street estimate of $0.87, and revenue of $2.64 billion, surpassing forecasts of $2.43 billion.
PSEG revised its full-year 2024 earnings guidance to a range of $3.64 to $3.68 per share, narrowing from its previous outlook of $3.60 to $3.70.
Earnings from PSE&G, the company’s regulated utility, slipped to $0.76 per share from $0.80 the previous year, as higher distribution margins were offset by increased depreciation and interest costs ahead of a recent rate case approval. Meanwhile, PSEG Power & Other, which includes merchant generation, saw earnings rise to $0.14 per share from $0.05 last year, aided by stronger energy margins and the federal nuclear production tax credit introduced in January.