Boston, MA 05/19/2014 (wallstreetpr) – Wisconsin Energy Corp (NYSE:WEC) reported its first quarter FY2014 results, and the company has beat both earnings and sales estimates.
Earnings
Wisconsin had earnings of $0.91 per share during 1Q2014. The earnings beat the Zacks Consensus Estimate by 9.6%. It also beat the 1Q2013 earnings figure by 19.7%.
The growth in earnings was mainly due to the high increase in retail electricity and natural gas sales. Bad weather increased demand for both during the first quarter.
Revenue
Wisconsin Energy Corp (NYSE:WEC) posted a revenue of $1695 million. It outperformed the Zacks Consensus Estimate by 29.1%. Compared to 1Q2013 figures, revenue increased 32.9%. The increase in revenues happened due to increased natural gas and electric customers.
Expenses
Total operating expenses went up 38% compared to the last year. It reached a figure of $1,316.7 million. The increase in operating expenses can be attributed to 119% increase in cost of gas sold.
The operating margin was 22.5% during 1Q2014, but it was 25.2% in 1Q2013.
Financials
At the end of the first quarter FY2014, cash and cash equivalents were $27.6 million. On December 31, 2013, the cash and cash equivalents were $26 million.
Long-term debt of the company increased to reach a figure of $4,348.8 million at the end of the first quarter. At the end of December 2013, it was $4363.2 million.
Cash from operating activities was $385.1 million for the quarter. In 1Q2013, cash from operating activities was $330.3 million.
Capital expenditure of Wisconsin were ($129.2) million. It was little lower from ($133.6) million from the same quarter previous year.
Outlook
Wisconsin continued its positive earnings and the first quarter it beat estimates with healthy earnings. The nature Wisconsin Energy’s Oak Creek and Port Washington facilities will keep adding more power generation capacity. Wisconsin Energy Corp (NYSE:WEC) is biomass-plant in Rothschild attained full commercial operation in November 2013. This is a large-scale biomass plant. These efforts will help the company to produce more to meet the increase in power demand.
