MGE Energy Reports Third-Quarter 2023 Earnings
MGE Energy, Inc. (Nasdaq: MGEE) reported Q3 2023 GAAP earnings of $37.9 million, or $1.05 per share, compared to $33.7 million, or $0.93 per share, for the same period last year. The increase in earnings was driven by investments included in rate base and a 5% increase in electric residential sales. MGE continues to invest in cost-effective renewable generation. Earnings from their investment in ATC also increased by $0.9 million.
11/02/2023 - 11:29 AM
MADISON, Wis. --(BUSINESS WIRE)--
MGE Energy, Inc. (Nasdaq: MGEE), today reported financial results for the third quarter of 2023.
MGE Energy's GAAP (Generally Accepted Accounting Principles) earnings for the third quarter of 2023 were $37.9 million , or $1.05 per share, compared to $33.7 million , or $0.93 per share, for the same period in the prior year.
Our third-quarter results were primarily driven by an increase in investments included in rate base. Also, warmer-than-normal weather led to an increase in electric residential sales of approximately 5% compared to the third quarter of 2022.
MGE continues to invest in new, cost-effective renewable generation, which is helping to fuel the company's asset growth. An increase in electric investments included in rate base contributed to increased electric earnings for the third quarter of 2023. The timing of depreciation expense also contributed to higher electric earnings in the third quarter of 2023. Depreciation costs are expected to increase after significant capital projects are completed, including the second phase of Badger Hollow and Paris solar projects.
In the third quarter of 2023, earnings from our investment in ATC increased $0.9 million , driven by an estimated possible loss recorded in 2022 from filed complaints regarding MISO transmission owners' authorized return on equity.
Gas net income in the third quarter of 2023 remained relatively flat compared to the third quarter of 2022.
MGE Energy, Inc.
(In thousands, except per-share amounts)
(Unaudited)
Three Months Ended September 30,
2023
2022
Operating revenues
$
160,528
$
163,400
Operating income
$
43,792
$
42,487
Net income
$
37,857
$
33,720
Earnings per share - basic
$
1.05
$
0.93
Earnings per share - diluted
$
1.05
$
0.93
Weighted average shares outstanding - basic
36,163
36,163
Weighted average shares outstanding - diluted
36,189
36,176
Nine Months Ended September 30,
2023
2022
Operating revenues
$
525,779
$
524,686
Operating income
$
122,216
$
109,808
Net income
$
97,616
$
89,901
Earnings per share - basic
$
2.70
$
2.49
Earnings per share - diluted
$
2.70
$
2.49
Weighted average shares outstanding - basic
36,163
36,163
Weighted average shares outstanding - diluted
36,185
36,174
About MGE Energy
MGE Energy is a public utility holding company. Its principal subsidiary, Madison Gas and Electric, generates and distributes electricity to 161,000 customers in Dane County, Wis. , and purchases and distributes natural gas to 173,000 customers in seven south-central and western Wisconsin counties. MGE's roots in the Madison area date back more than 150 years.
Forward-looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements are based on MGE Energy's current expectations, estimates and assumptions regarding future events, which are inherently uncertain. We caution you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. We undertake no obligation to revise or update publicly any such forward-looking statements to reflect any change in expectations or in events, conditions or circumstances on which any such statements may be based. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to our business in general, please refer to the "Risk Factors" sections in our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the Securities and Exchange Commission.
View source version on businesswire.com: https://www.businesswire.com/news/home/20231102858210/en/
Steve B. Schultz
Media Relations
608-252-7219 | sbschultz@mge.com
Ken Frassetto
Investor Relations
608-252-4723 | kfrassetto@mge.com
Source: MGE Energy, Inc.
What is the stock symbol for MGE Energy?
The stock symbol for MGE Energy is MGEE.
What were MGE Energy's Q3 2023 earnings per share?
MGE Energy's Q3 2023 earnings per share were $1.05.
What contributed to the increase in MGE Energy's earnings?
The increase in earnings was driven by investments included in rate base and a 5% increase in electric residential sales.
What is MGE Energy's focus in terms of investments?
MGE Energy continues to invest in new, cost-effective renewable generation.
How much did earnings from MGE Energy's investment in ATC increase?
Earnings from their investment in ATC increased by $0.9 million.
MGEE Rankings
#1786 Ranked by Stock Gains
MGEE Stock Data
Industry
Hydroelectric Power Generation
Sector
Utilities
Tags
Utilities, Electric Utilities, Hydroelectric Power Generation
Country
United States
City
Madison
About MGEE
mge energy, inc., through its subsidiaries, operates as a public utility holding company primarily in wisconsin. it operates through five segments: regulated electric utility operations; regulated gas utility operations; nonregulated energy operations; transmission investments; and all other. the company generates, purchases, and distributes electricity; owns or leases electric generation facilities located in wisconsin and iowa; and plans, constructs, operates, maintains, and expands transmission facilities to provide transmission services. it also generates electricity from coal, natural gas, and renewable energy sources, as well as purchases power under short and long-term commitments. as of february 26, 2020, the company distributed electricity to 155,000 customers in dane county, wisconsin; and purchased and distributed natural gas to 163,000 customers in seven south-central and western wisconsin counties. mge energy, inc. was founded in 1855 and is headquartered in madison, wisco