CenterPoint Energy Q2 Profit Meets View; Reiterates 2015 Outlook

(RTTNews) - Ultilty holding company CenterPoint Energy, Inc. (CNP) on Monday reported a 28 percent decline in profit for the second quarter from last year on lower revenues.

However, earnings per share for the quarter matched analysts' expectations, while revenues missed their estimates. Looking ahead, the company reiterated its earnings outlook for fiscal 2015.

The company's net income for the second quarter was $77 million or $0.18 per share, down from $107 million or $0.25 per share in the same period last year.

On a guidance basis, CenterPoint Energy earned $0.19 per share for the latest quarter, consisting of $0.13 per share from utility operations and $0.06 per share from midstream investments.

On average, seventeen analysts polled by Thomson Reuters expected the company to report earnings of $0.19 per share for the quarter. Analysts' estimates typically exclude special items.

Total revenues for the quarter declined 19 percent to $1.53 billion from $1.88 billion in the prior year and also missed analysts' consensus revenue estimate of $1.87 billion.

However, total operating expenses declined 21 percent from last year to $1.35 billion.

Utility operations' operating income for the quarter was flat with last year at $186 million, while equity income from midstream investments declined 39 percent to $43 million.

Looking ahead, CenterPoint Energy forecasts 4 percent to 6 percent annual earnings per share growth on a guidance basis through 2018, inclusive of midstream investments, and anticipates dividend growth to be in line with earnings per share growth. The company said it remains committed to providing a secure dividend with stable, competitive growth.

For fiscal 2015, CenterPoint Energy reiterated its outlook for consolidated earnings on a guidance basis in a range of $1.00 to $1.10 per share. The Street expects earnings of $1.05 per share for the year.

CenterPoint Energy also reaffirmed its full-year guidance for utility operations earnings of $0.71 to $0.75 per share and earnings from midstream investments of $0.29 to $0.35 per share.

The company anticipates utility operations earnings near the high end of the range, while midstream investments' earnings are anticipated to be near the low end of the range provided.

CNP is trading at $19.32, up $0.18 or 0.91 percent on a volume of 195,463 shares.