Watt‘s the Q2‘26 number for EXC?

Research evidence excerpt

Watt‘s the Q2‘26 number for EXC?

Q2’26 earnings preview:

We expect EXC to report Q2'26 operating EPS of $0.42/share, broadly consistent with

management's expectation that approximately 15% of annual earnings would be

recognized in the second quarter and its stated objective of achieving the midpoint of

guidance or better. Our estimate reflects a modest benefit from rate relief across the

utility portfolio and higher AFUDC associated with the company's growing capital

program. These positives are partially offset by less favorable weather relative to prior

year levels, higher financing costs, and ongoing pressure from depreciation and O&M

expenses. We assume normal storm activity during the quarter and do not expect a

material earnings impact from storm costs or recovery timing.

Management indicated on the Q1 call that second-quarter earnings should represent

roughly 15% of full-year EPS guidance, which would place quarterly earnings near

$0.43/share at the midpoint of guidance. The company entered the quarter following a

Q1'26 result of $0.91/share, driven by approved distribution and transmission rates,

favorable weather at PECO, higher AFUDC, and ongoing investment-related growth

across the regulated utility portfolio. Looking into Q2, we expect rate recovery

mechanisms and investment-related earnings growth to remain supportive, while

financing costs, depreciation expense, and normal quarterly variability in weather and

operating expenses temper year-over-year growth.

We also expect management to provide an update on its regulatory agenda. Key

discussion topics are likely to include the pending Pepco Maryland and DPL Delaware

rate cases, the recently filed BGE Maryland electric distribution rate case, and ongoing