Portland General Electric (PGE) released its first quarter 2024 results, reporting a net income of $109 million, or $1.08 per diluted share, based on Generally Accepted Accounting Principles (GAAP). Adjusted for the impact of the January 2024 storm, non-GAAP net income was $123 million, or $1.21 per diluted share. This is a significant increase compared to the first quarter of 2023, where GAAP net income was $74 million, or $0.80 per diluted share.
Total revenues for the first quarter of 2024 increased due to demand growth from semiconductor and digital customers, along with the recovery of capital, operating, and power costs. Purchased power and fuel expense also rose due to unfavorable market conditions during severe weather events. Operating and administrative expenses saw an increase due to higher generation maintenance, vegetation management, wildfire mitigation, and service restoration costs.
The company also provided updates on various projects. The Clearwater Wind development, a 311 MW wind project, was placed in-service in January 2024, providing geographic resource diversity and clean energy generation to customers. PGE also filed a general rate case based on a 2025 test year with the Oregon Public Utility Commission, with regulatory review expected to continue throughout 2024.
Additionally, PGE announced plans to join the California Independent System Operator’s (CAISO) Extended Day-Ahead Market (EDAM) to help lower power costs, increase resilience, and access more clean energy sources from across the West. The company anticipates gross energy cost savings between $6 million and $18 million annually through the EDAM, expected to begin operating in 2026.
Looking ahead, PGE reaffirmed its estimate for full-year 2024 adjusted earnings guidance of $2.98 to $3.18 per diluted share, based on various assumptions including an increase in energy deliveries, normal temperatures, hydro conditions, and thermal plant operations. The company also announced a quarterly common stock dividend of $0.50 per share, payable on or before July 15, 2024, to shareholders of record at the close of business on June 24, 2024.
The market has reacted to these announcements by moving the company's shares 1.8% to a price of $44.02. For more information, read the company's full 8-K submission here.
