Pinnacle West Capital ( (PNW) ) has released its Q4 earnings. Here is a breakdown of the information Pinnacle West Capital presented to its investors.
Pinnacle West Capital Corp., an energy holding company based in Phoenix, provides retail electricity services through its principal subsidiary, Arizona Public Service, to approximately 1.4 million customers in Arizona. The company is known for its commitment to reliable and clean energy solutions.
Pinnacle West Capital reported a strong financial performance for the full year of 2024, with consolidated net income attributable to common shareholders reaching $608.8 million, or $5.24 per diluted share, a significant increase from the previous year’s $501.6 million, or $4.41 per diluted share. This growth was driven by new customer rates, increased customer usage, and favorable weather conditions.
Key financial highlights include a 5.7% growth in retail sales and a 2.1% increase in annual retail customer growth. The company also benefited from Arizona Public Service’s Lost Fixed Cost Recovery adjustor mechanism and a surcharge from a 2019 Rate Case appeal. However, these gains were partially offset by higher operational costs, depreciation, and interest charges.
Looking ahead, Pinnacle West Capital is focused on expanding its renewable energy capacity and infrastructure to meet the growing demand. The company plans to add over 9,800 megawatts of renewable power, battery storage, and natural gas to its grid by 2028, with a significant portion being carbon-free. This aligns with its goal of achieving 100% clean, carbon-free energy by 2050.
The company remains optimistic about its future, projecting consolidated earnings for 2025 to be within the range of $4.40 to $4.60 per diluted share, driven by continued customer growth and infrastructure investments.