Ameren (AEE) Q2 2024 earnings summary

Executive summary

• Q2 2024 diluted EPS was $0.97, up from $0.90 in Q2 2023, with net income attributable to common shareholders rising to $258 million from $237 million, driven by infrastructure investments, customer growth, and disciplined cost control.

• Six-month 2024 net income attributable to common shareholders was $519 million ($1.95 per diluted share), compared to $501 million ($1.90 per diluted share) in 2023.

• Remain on track to deliver full-year earnings within the $4.52–$4.72 per share guidance range, reaffirmed amid strong long-term growth outlook and disciplined execution of strategic plan.

• Significant progress on regulatory, operational, and economic development fronts, including new data center and manufacturing load commitments, and major capital investments in solar, natural gas, and transmission projects.

• Robust pipeline of investment opportunities exceeding $55 billion over the next decade, with strong tailwinds from economic development and transmission projects.

Financial highlights

• Q2 2024 EPS increased to $0.97 from $0.90 year-over-year, with six-month EPS at $1.95, up from $1.90; operating revenues and cash from operations declined year-over-year.

• Year-to-date weather-normalized industrial sales growth of 3% compared to prior year, with strong growth in digital and data analytics customers.

• Company-wide O&M expenses were flat for the quarter, excluding non-recurring items, but higher O&M and interest expenses offset some gains.

• Dividend yield stands at 3.4%, supporting a compelling total return; annualized dividend rate is $2.68/share.

• Q2 2024 gross margin was approximately 21.4%, up from 18.7% in Q2 2023.

Outlook and guidance

• 2024 earnings expected in the $4.52–$4.72 per share range, with confidence in achieving guidance, assuming normal temperatures for the remainder of the year.

• Five-year plan targets 6%–8% compound annual EPS growth from 2024–2028, driven by 8.2% rate base growth and $21.9B planned infrastructure investment.

• Ameren plans up to $22.8 billion in capital expenditures from 2024–2028, including $3.3 billion for renewables and $2.7 billion for dispatchable generation.

• Anticipate updating the Missouri Integrated Resource Plan (IRP) by February 2025 to reflect new load growth.

• Guidance subject to regulatory, operational, market, and weather-related risks and uncertainties.