American Electric Power’s 2024 Q3 Earnings and Growth Plans

American Electric Power Company, Inc. ( (AEP) ) has released its Q3 earnings. Here is a breakdown of the information American Electric Power Company, Inc. presented to its investors.

American Electric Power Company, Inc. (AEP) is a major utility company in the United States, focusing on electric power generation, transmission, and distribution with a significant presence across 11 states, serving millions of customers. The company is known for its expansive electric transmission system and diverse energy generation capacity.

In its third-quarter 2024 earnings report, AEP announced GAAP earnings of $1.80 per share and operating earnings of $1.85 per share. The company has revised its 2024 operating earnings guidance to a range of $5.58 to $5.68 per share, with a midpoint of $5.63, and introduced a new long-term growth rate of 6% to 8% based on 2025 earnings projections.

Key financial highlights include a slight increase in revenue to $5.4 billion for the quarter and a year-to-date revenue increase to $15.0 billion. The company reported an increase in operating earnings, driven by improved service investments and a robust grid, while projecting significant growth in commercial load driven by new customer contracts. AEP’s five-year capital plan has been expanded to $54 billion to support reliability and demand.

AEP’s CEO, Bill Fehrman, emphasized the company’s commitment to operational excellence and financial discipline, aiming to create value for stakeholders. The company is focusing on growth opportunities within its regulated businesses while adjusting its Generation & Marketing segment activities.

Looking forward, AEP is optimistic about continuing its strategic investments and operational improvements, aligning with its growth projections and capital investment plans. The company is poised to handle increased demand while maintaining customer affordability and service reliability.