Public Service Enterprise Group (PEG) Q2 2022 Earnings Call Transcript

For the period ending June 30, 2022

August 2, 2022 11:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Ladies and gentlemen, thank you for standing by. My name is Kyle and I am your event operator today. I would like to welcome everyone to Today's Conference, Public Service Enterprise Group's Second Quarter 2022 Earnings Conference Call and Webcast. At this time, all participants are in a listen-only mode .

As a reminder, this conference call is being recorded today, August 2, 2022, and will be available for reply as an audio webcast on PSEG's Investor Relations website at http://investor.pseg.com.

I'd now like to turn the conference over to Carlotta Chan. Please go ahead.

Carlotta Chan - Vice President IR

Thank you, Kyle. Good morning, everyone. PSEG's second quarter 2022 earnings release, attachments and slides detailing operating results by company are posted on our IR Web site located at www.investor.pseg.com, and on 10-Q will be filed shortly. The earnings release and other matters discussed during today's call contain forward-looking statements and estimates that are subject to various risks and uncertainties. We will also discuss non-GAAP operating earnings, which differs from net loss as reported in accordance with generally accepted accounting principles or GAAP in the United States. We include reconciliations of our non-GAAP financial measures and a disclaimer regarding forward-looking statements on our IR Web site and in today's earnings material.

On today's call are Ralph Izzo, Chair, President and Chief Executive Officer of PSEG; Dan Cregg, Executive Vice President and Chief Financial Officer. And following their prepared remarks, Ralph LaRossa, currently our Chief Operating Officer and our next CEO, will join Ralph and Dan to take your questions. Ralph?

Ralph Izzo - Chair, President and CEO

Thank you, Carlotta. Good morning, everyone, and thanks for joining us for a review of PSEG second quarter 2022 results. For the second quarter, PSEG reported net income of $131 million or $0.26 per share compared to a net loss of $177 million or $0.35 per share in the second quarter of 2021. Non-GAAP operating earnings for the second quarter of '22 were $320 million or $0.64 per share compared to non-GAAP operating earnings of $356 million or $0.70 per share in 2021 second quarter. And just a reminder and I'll repeat this several times throughout this call that the second quarter 2021 included the results from our divested Fossil assets and Solar Source. PSEG is on track to achieve our 2022 non-GAAP operating earnings guidance of $3.35 to $3.55 per share based on results through the first six months of 2022. This is largely driven by ongoing rate based growth from regulated investments and lower costs due to the already mentioned sale of generation assets on the carbon free infrastructure side of the business.