PPL Corp Earnings: Profits Grow by Double Digits For Fifth Straight Quarter

S&P 500 (NYSE:SPY) component PPL Corporation (NYSE:PPL) reported net income above Wall Street’s expectations for the fourth quarter. PPL Corporation is an energy and utility holding company that generates and markets electricity in the northeastern and western U.S.

Investing Insights: Will the iPad 3 Be the Next Catalyst for Apple’s Stock?

PPL Earnings Cheat Sheet for the Fourth Quarter

Results: Net income for the electric utilities company rose to $401 million (69 cents per share) vs. $355 million (73 cents per share) in the same quarter a year earlier. This marks a rise of 13% from the year earlier quarter.

Revenue: Rose more than twofold to $4.22 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: PPL Corporation reported adjusted net income of 70 cents per share. By that measure, the company beat the mean estimate of 62 cents per share. It beat the average revenue estimate of $3.04 billion.

Quoting Management: “Our strong 2011 results are due to solid performance across our business segments, coupled with the success of our Midlands integration plan to achieve, and eventually exceed, the projected synergy savings in the U.K.,” said James H. Miller, PPL’s chairman.

Key Stats:

The company has now seen net income rise in three straight quarters. In the third quarter, net income rose 79% and in the second quarter, the figure rose more than twofold.

The company has now topped analyst estimates for the last four quarters. It beat the mark by 7 cents in the third quarter, by one cent in the second quarter, and by 11 cents in the first quarter.

Revenue has now gone up for three straight quarters. In the third quarter, revenue rose 43.2% to $3.12 billion while the figure rose 65.6% in the second quarter from the year earlier.

Looking Forward: Analysts appear increasingly optimistic about the company’s results for the next quarter. The average estimate for the first quarter of the next fiscal year has moved up from 68 cents a share to 69 cents over the last thirty days. For the fiscal year, the average estimate has moved up from $2.63 a share to $2.65 over the last sixty days.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

Don’t Miss These Additional Hot Stories:

Investors Wake Up to the Return of Dividends

Do We Know If the Housing Market Has Hit Bottom?

Should Investors Reconsider Cash and Gold as Safe-Havens?

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com