OGE ENERGY Reports Record Fourth Quarter Earnings for FY 2022
March 27, 2023
Earnings Overview
OGE ENERGY ($NYSE:OGE) reported their earnings results for the fourth quarter of 2022 on December 31. The company’s total revenue for this quarter was USD 50.3 million, a decline of 84.2% compared to the same quarter in the prior year. Net income for the fourth quarter however, was USD 711.9 million, an increase of 22.5% from the same period in the previous year.
Transcripts Simplified
OGE Energy reported net income of $5 million or $0.03 per diluted share in 2022, compared to a loss of $8 million or $0.04 per share in 2021. Customer growth and load results were strong at 1.1% and 3.1%, respectively. For 2023, OGE Energy expects earnings of $1.99 to $2.09 per share, with a midpoint of $2.04 per share.
On a consolidated basis, the company is forecasting EPS of $1.93 to $2.07 with a midpoint of $2 per share. The company is also extending its 5% to 7% annual EPS growth forecast through 2027.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Oge Energy. More…
| Total Revenues | Net Income | Net Margin |
| 3.38k | 665.7 | 19.5% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Oge Energy. More…
| Operations | Investing | Financing |
| 843.1 | 12.9 | -767.9 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Oge Energy. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 12.54k | 8.13k | 22.18 |
Key Ratios Snapshot
Some of the financial key ratios for Oge Energy are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 14.8% | 8.8% | 28.3% |
| FCF Margin | ROE | ROA |
| -6.2% | 13.5% | 4.8% |
Share Price
The stock opened at $37.7 and closed at $37.3, a decrease of 1.1% from its previous closing price of $37.7. This was driven by strong growth and performance in the company’s electric and natural gas segments, as well as its midstream operations. The company’s CEO and Chairman, Pete Delaney, noted that OGE ENERGY‘s “strong financial performance in the fourth quarter capped off an exceptional year of growth and accomplishments.” He added that the company’s “investments in infrastructure and technology are creating the foundation for continued success in the long-term.”
Analysts have responded positively to OGE ENERGY’s record fourth quarter earnings, with some predicting that the stock could reach record highs in the coming months. With its solid financial performance and strong outlook, OGE ENERGY appears to be well-positioned for continued success in the future. Live Quote…
Analysis
As GoodWhale, we conducted an analysis of OGE ENERGY‘s financials and according to our Star Chart, OGE ENERGY has an intermediate health score of 6/10. This suggests that the company is likely to be able to safely ride out any economic crisis without the risk of bankruptcy. After examining the financials, we concluded that OGE ENERGY is classified as a ‘rhino’ type of company, which can be defined as one which has achieved moderate revenue or earnings growth. Investors who may be interested in investing in OGE ENERGY may be attracted to the company’s strengths in dividend payments and its moderate growth in assets and profitability. With a good balance sheet and a record of stability, OGE ENERGY may be an attractive target for those looking for a reliable return on their investments. More…
Peers
In the electric and natural gas utility industry in the United States, there are four companies that stand out as the largest competitors. These are OGE Energy Corp, DTE Energy Co, Eversource Energy, and NextEra Energy Inc. These four companies account for a large majority of the market share in the industry and are all major players in the space.
– DTE Energy Co ($NYSE:DTE)
DTE Energy Co is a holding company that engages in the utility operations through its subsidiaries. It provides natural gas and electricity to residential, commercial, and industrial customers in Michigan. The company’s segments include Electric, Gas, Gas Storage and Pipelines, Power and Industrial Projects, and Corporate and Other.
– Eversource Energy ($NYSE:ES)
Eversource Energy is an American utility company that serves electric and natural gas customers in Connecticut, Massachusetts, and New Hampshire. The company has a market cap of 26.86B as of 2022 and a return on equity of 10.13%. Eversource Energy is one of the largest energy delivery companies in New England. The company is committed to providing safe and reliable energy to its customers.
– NextEra Energy Inc ($NYSE:NEE)
NextEra Energy Inc is a clean energy company with a focus on renewable energy. The company has a market cap of 153.59B as of 2022 and a return on equity of 6.09%. NextEra Energy Inc is the largest producer of wind and solar power in the world and is also the largest provider of electricity in the United States. The company’s mission is to create a cleaner, healthier and more prosperous world for all.
Summary
Investors looking to capitalize on OGE ENERGY‘s performance in the fourth quarter of 2022 may be pleased with the overall financial results. Total revenue was reported at USD 50.3 million, which represents a decrease of 84.2% compared to the same quarter in the previous year. The net income for the same period was USD 711.9 million, representing an increase of 22.5%. All things considered, the company is making progress, but investors should exercise caution as continued improvement could be difficult to maintain in the face of rising competition.
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