Pinnacle West Capital Corporation (PNW) Q2 2023 Earnings Call Transcript

For the period ending June 30, 2023

August 3, 2023 12:00 p.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good day, everyone, and welcome to the Pinnacle West Capital Corporation 2023 Second Quarter Earnings Conference Call. At this time all participants have been placed on a listen-only mode. [Operator Instructions]

It is now my pleasure to turn the floor over to your host, Amanda Ho. Ma'am, the floor is yours.

Amanda Ho

Thank you, Matthew. I would like to thank everyone for participating in this conference call and webcast to review our second quarter 2023 earnings, recent developments and operating performance. Our speakers today will be our Chairman and CEO, Jeff Guldner; and our CFO, Andrew Cooper. Ted Geisler, APS' President; and Jacob Tetlow, Executive Vice President of Operations; and Jose Esparza, Senior Vice President, Public Policy, are also here with us.

First, I need to cover a few details with you. The slides that we will be using are available on our Investor Relations website along with our earnings release and related information. Today's comments and our slides contain forward-looking statements based on current expectations, and actual results may differ materially from expectations. Our second quarter 2023 Form 10-Q was filed this morning. Please refer to that document for forward-looking statements, cautionary language as well as the risk factors and MD&A sections which identify risks and uncertainties that could cause actual results to differ materially from those contained in our disclosures. A replay of this call will be available shortly on our website for the next 30 days. It will also be available by telephone through August 10, 2023.

I will now turn the call over to Jeff.

Jeff Guldner

Great. Thanks, Amanda. Thank you all for joining us today. Although our second quarter financials were negatively impacted by significantly mild weather in June, as well as higher operating expenses, we have updated our full year 2023 guidance to take into account the settlement that was reached between APS and the commission on the SCR matter. Before Andrew goes through the details of our second quarter results and updates to our 2023 full year guidance, I'll just provide a few updates on recent operational and regulatory developments. Starting with operations. As we progress through the summer season, I'm very proud to say that our team continues to excel in delivering reliable service to our customers. The Palo Verde Generating Station successfully completed its planned refueling and maintenance outage for Unit 1 on May 13. Additionally, we commissioned the remaining 60 megawatts of energy storage at our AZ Sun sites. So that totals now 201 megawatts of APS-owned storage installed this year and 150 megawatts of APS-owned solar at the Agave Solar facility. These are all valuable resources to help serve our customers through the summer season.