Spire (SR) Beats Q1 Earnings & Sales Estimates, Ups 2023 View
Spire Inc. SR reported first-quarter fiscal 2023 earnings of $1.55 per share, which beat the Zacks Consensus Estimate of $1.15 by 34.8%.
In the year-ago quarter, the company reported earnings per share of $1.14. The year-over-year improvement was due to the strong Gas Marketing segment’s performance.
Revenues
Total revenues were $814 million, which surpassed the Zacks Consensus Estimate of $535 million by 52.1%. The top line also improved by 46.6% from $555.1 million in the year-ago quarter.
Spire Inc. Price, Consensus and EPS Surprise
Spire Inc. price-consensus-eps-surprise-chart | Spire Inc. Quote
Highlights of the Release
In the first quarter of fiscal 2023, operating expenses of $663.8 million increased 44.3% from the prior-year period’s $460.1 million due to an increase in natural gas purchased expenses.
The operating income was $150.2 million, up 57.6% from $95.3 million in the prior-year quarter.
Net interest expenses increased 52.4% year over year to $43.6 million for the reported quarter.
Financial Highlights
Cash and cash equivalents as of Dec 31, 2022, were $4.8 million compared with $6.5 million as of Sep 30, 2022.
The long-term debt (less current portion) as of Dec 31, 2022, was $3,156.3 million compared with $2,958.5 million as of Sep 30, 2022.
Spire’s net cash provided by operating activities for the first quarter of fiscal 2023 was $91 million compared with the $55.7 million recorded in the year-ago period.
Guidance
Spire expects net economic earnings per share to grow 5-7% over the long term.
Spire raised its fiscal 2023 net economic earnings guidance by 10 cents to $4.15-$4.35 per share.
Spire updated and expanded its 10-year capital investment plan through fiscal 2032 to be $7 billion, and the planned investment is expected to drive annual rate-base growth of 7-8%. The capital expenditure for fiscal 2023 is expected at $700 million.
Zacks Rank
Spire currently has a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Atmos Energy ATO is expected to release its first-quarter fiscal 2023 earnings on Feb 7, 2023. The Zacks Consensus Estimate for the quarter is pegged at 1.84 per share, suggesting a year-over-year decline of 1.1%.
The long-term (three- to five-year) earnings growth of ATO is pegged at 7.48%. The Zacks Consensus Estimate for ATO’s fiscal 2023 earnings implies year-over-year growth of 6.8%.
DTE Energy Company DTE is going to report its fourth-quarter earnings on Feb 23, 2023. The Zacks Consensus Estimate for the quarter is $1.21, indicating year-over-year growth of 15.3%.
Long-term earnings growth of DTE is pegged at 6%. The Zacks Consensus Estimate for DTE’s 2022 earnings implies year-over-year growth of 0.2%.
ONE Gas Inc. OGS is going to report its fourth-quarter earnings on Feb 22, 2023. The Zacks Consensus Estimate for the quarter is $1.2, suggesting year-over-year growth of 7.1%.
Long-term earnings growth of OGS is pegged at 5%. The Zacks Consensus Estimate for OGS’s 2022 earnings implies year-over-year growth of 5.5%.
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