El Paso Electric Co. Earnings: Everything You Must Know Now

El Paso Electric Co. (NYSE:EE) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

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El Paso Electric Co. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 7.69% to $0.12 in the quarter versus EPS of $0.13 in the year-earlier quarter.

Revenue: Decreased 34.26% to $126 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: El Paso Electric Co. reported adjusted EPS income of $0.12 per share. By that measure, the company missed the mean analyst estimate of $0.16. It missed the average revenue estimate of $191.74 million.

Quoting Management:“We were pleased with the overall financial results for the year which included increased kWh retail sales reflecting steady customer growth in our service territory,” said Tom Shockley, Chief Executive Officer. “Our earnings for the fourth quarter of 2012 were consistent with our expectations given the Texas rate decrease, which went into effect on May 1, 2012, and the milder winter weather in our service territory.”

Key Stats (on next page)…

Revenue decreased 52.85% from $267.25 million in the previous quarter. EPS decreased 90.7% from $1.29 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.09 and has not changed. For the current year, the average estimate has moved down from a profit of $2.31 to a profit of $2.3 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)