By Erin McCarthy
Pepco Holdings Inc. (POM) on Wednesday said it swung to a profit
in the first quarter, as the electricity provider benefited from a
notable increase in revenue and a favorable comparison to year-ago
quarter.
Last month, Chicago-based electricity company Exelon Corp. (EXC)
agreed to buy Pepco for $27.25 a share in cash. The companies said
the combined utility will serve about 10 million customers across
the Mid-Atlantic region, with a rate base of about $26 billion.
Pepco affirmed that the acquisition is expected to close in the
second or third quarter of 2015.
For the latest quarter, Pepco posted a profit of $75 million, or
30 cents a share, compared with a year-earlier loss of $430
million, or $1.82 a share. The prior year's quarter included a loss
of $319 million from discontinued operations.
Total operating revenue climbed 13% to $1.33 billion.
Analysts polled by Thomson Reuters forecast per-share earnings
of 24 cents and revenue of $1.06 billion.
Pepco's power-delivery segment, the biggest contributor to its
top line, posted a revenue increase of 13% to $1.27 billion. The
Pepco Energy Services unit's revenue rose to $60 million from $56
million a year earlier.
The company also backed its full-year adjusted earnings
guidance.
Write to Erin McCarthy at erin.mccarthy@wsj.com
Access Investor Kit for Exelon Corp.
Visit
http://www.companyspotlight.com/partner?cp_code=A591&isin=US30161N1019
Access Investor Kit for Pepco Holdings, Inc.
Visit
http://www.companyspotlight.com/partner?cp_code=A591&isin=US7132911022
Subscribe to WSJ: http://online.wsj.com?mod=djnwires