FPL Group (FPL:NYSE - news - research - Cramer's Take), a power company, said its earnings surged 81% for the first quarter, thanks to a big performance at FPL Energy.
The company earned $248 million, or 63 cents a share, compared with $137 million, or 36 cents a share, a year earlier. Adjusted for items, earnings were 58 cents a share in the most recent quarter. On that basis, analysts surveyed by Thomson First Call were expecting earnings of 49 cents a share.
First-quarter revenue rose 47.1% from a year ago to $3.584 billion as against analysts' estimate of $2.931 billion.
FPL Group expects adjusted earnings of $2.80 to $2.90 a share for the full year 2006 and $3.15 to $3.35 a share for 2007. Analysts were forecasting earnings of $2.83 a share for the year 2006 and $3.24 for the year 2007.
Operating profit for the first quarter doubled to $468 million while operating margin rose 346 basis points to 13.1%.
Florida Power & Light, FPL Group's principal subsidiary's revenue increased 26.6% to $2.584 billion and operating profit increased 22.4% to $246 million. It continues to enjoy strong customer growth and its results were dampened somewhat by mild weather conditions.
The competitive energy subsidiary of FPL Group, FPL Energy's revenue increased one and half fold to $952 million and operating profit increased more than five and half fold to $224 million. During the first quarter FPL Energy completed the purchase of a 70% interest in the Duane Arnold Energy Center, a nuclear power plant from Interstate Power and Light