PNM Resources Inc (PNM) Reports Q3 2023 Earnings
PNM Resources Inc (NYSE:PNM) reported Q3 2023 GAAP earnings of $0.44 per diluted share and ongoing earnings of $1.54 per diluted share.
The company adjusted its 2023 ongoing earnings guidance range to $2.75 - $2.80 per diluted share due to significant weather impacts.
GAAP net earnings attributable to PNM Resources were $37.7 million, a decrease from $122.4 million in Q3 2022.
PNM Resources and Avangrid extended their merger agreement through December 31, 2023.
On October 27, 2023, PNM Resources Inc (NYSE:PNM) released its third-quarter earnings for 2023. The company reported GAAP earnings of $0.44 per diluted share and ongoing earnings of $1.54 per diluted share. The ongoing earnings guidance for 2023 has been adjusted to a range of $2.75 to $2.80 per diluted share due to significant weather impacts on third-quarter earnings.
Financial Highlights
PNM Resources reported GAAP net earnings attributable to the company of $37.7 million, a decrease from $122.4 million in Q3 2022. The GAAP diluted earnings per share (EPS) also decreased from $1.42 in Q3 2022 to $0.44 in Q3 2023. However, ongoing net earnings increased from $126.1 million in Q3 2022 to $132.9 million in Q3 2023, and ongoing diluted EPS increased from $1.46 to $1.54 over the same period.
Customer demands at PNM and TNMP increased substantially in the third quarter, said Pat Vincent-Collawn, PNM Resources Chairman and CEO. As we look forward and navigate a challenging market environment, we remain focused on prioritizing critical infrastructure investments to meet the changing needs of our customers, communities and environment.
M&A Update
On June 20, 2023, PNM Resources and Avangrid announced an amendment and extension of their merger agreement through December 31, 2023, with an option for a three-month further extension upon mutual agreement by the companies. The appeal of the New Mexico Public Regulation Commissions (NMPRC) December 2021 merger stipulation denial remains pending with the New Mexico Supreme Court.
Segment Reporting
The company's segment reporting revealed that PNM, a vertically integrated electric utility in New Mexico, reported GAAP diluted EPS of $0.09 and ongoing diluted EPS of $1.19 in Q3 2023. TNMP, an electric transmission and distribution utility in Texas, reported GAAP and ongoing diluted EPS of $0.46. The Corporate and Other segment reported a loss of $0.11 for both GAAP and ongoing diluted EPS.
Looking Ahead
PNM Resources continues to navigate a challenging market environment, focusing on prioritizing critical infrastructure investments to meet the changing needs of its customers, communities, and environment. The company's ongoing earnings guidance for 2023 has been adjusted due to significant weather impacts on third-quarter earnings, reflecting the company's adaptability in the face of unexpected challenges.
Explore the complete 8-K earnings release (here) from PNM Resources Inc for further details.
This article first appeared on GuruFocus.
