Edison International Earnings Cheat Sheet: Another Quarter of Falling Net Income

S&P 500 (NYSE:SPY) component Edison International (NYSE:EIX) reported its results for the third quarter. Through its subsidiaries, Edison International generates and distributes electric power and invests in infrastructure and energy assets, including renewable energy.

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Edison International Earnings Cheat Sheet for the Third Quarter

Results: Net income for the electric utilities company fell to $426 million ($1.31 per share) vs. $510 million ($1.56 per share) a year earlier. This is a decline of 16.5% from the year earlier quarter.

Actual vs. Wall St. Expectations: EIX beat the mean analyst estimate of $1.27 per share.

Quoting Management: “We are pleased that our third quarter financial results are consistent with delivering 2011 earnings at the high end of our guidance range,” said Ted Craver, chairman and chief executive officer of Edison International. “Based on our improved outlook across the company, we have increased our 2011 core earnings guidance to a range of $2.90 to $3.00 per share.”

Key Stats:

The company has now seen net income fall in each of the last three quarters. In the second quarter, net income fell 44.5% from the year earlier, while the figure fell 9.3% in the first quarter.

The company has now beaten estimates the last two quarters. In the second quarter, it topped expectations with net income of 54 cents versus a mean estimate of net income of 51 cents per share.

Looking Forward: Analysts have a positive outlook for the company’s performance next quarter. Over the past seven days, the average estimate for the fourth quarter has gone up to 44 cents a share from 42 cents. The average estimate for the fiscal year is $2.82 per share, a rise from $2.78 ninety days ago.

Competitors to Watch: PG&E Corporation (NYSE:PCG), Pinnacle West Capital Corp. (NYSE:PNW), UniSource Energy Corp. (NYSE:UNS), NV Energy, Inc. (NYSE:NVE), Portland General Electric Co. (NYSE:POR), PNM Resources, Inc. (NYSE:PNM), Constellation Energy Group, Inc. (NYSE:CEG), FirstEnergy Corp. (NYSE:FE), Hawaiian Electric Industries, Inc. (NYSE:HE), and Sempra Energy (NYSE:SRE).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Source: Xignite Financials)