By Angela Chen
American Electric Power Co. on Thursday raised its earnings
guidance for the year, buoyed by better-than-expected earnings in
the June quarter.
It now expects earnings per-share of $3.50 to $3.65, from its
previous range of $3.40 to $3.60. Analysts had called for earnings
of $3.54 a share.
"Although the level of industrial sales growth has moderated
recently, we continue to see robust industrial sales growth from
shale gas activity, including pipeline transportation
infrastructure being built to support the Marcellus, Utica and
Texas shale operations. As anticipated, new oil- and gas-related
expansions are expected to come on line over the next 18 months,"
said Chief Executive Nicholas Akins.
The Ohio-based public utilities company also increased its
capital investment plan by $200 million to $4.6 billion.
Overall, the company reported a profit of $430 million, or 88
cents a share, up from $390 million, or 80 cents a share, a year
earlier. Revenue, however, fell to $3.9 billion from $4
billion.
Analysts had expected per-share earnings of 81 cents on revenue
of $4.08 billion, according to Thomson Reuters.
Shares, inactive premarket, have declined about 9% this
year.
Write to Angela Chen at angela.chen@wsj.com
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