American Electric Power Q3 revenue rises 13.7%, beats estimates
AEP•American Electric Power’s third-quarter revenue rose 13.65% year over year to $6.83 billion, while adjusted EPS of $2.23 beat analyst estimates. The company announced a $100 billion five-year capital plan and raised its long-term operating EPS growth target to 9%-11% annually for 2027-2031.
1. Quarterly results
Third-quarter revenue rose 13.65% year over year to $6.83 billion, beating the $6.55 billion consensus estimate. Adjusted EPS was $2.23, above the $2.05 estimate; reported EPS was $2.18 and net income was $1.19 billion.
2. Growth outlook
American Electric Power announced a $100 billion five-year capital plan and targets annual operating EPS growth of 9%-11% from 2027 through 2031. It expects 2026 operating EPS at or above the high end of its $6.25-$6.55 range, forecasts $6.75-$7.05 for 2027 and $7.40-$7.70 for 2028.
3. Drivers of results
The company said new large customer contracts increased electricity demand and supported results. It also cited investments in transmission, generation and distribution, and said fixed cost offsets from large customer contracts benefited residential customers.
