AES reported a narrower loss in the latest quarter, but saw a decline in revenue in the period. The energy company posted a net loss of $94 million, or 14 cents, compared with a loss of $903 million, or $1.35 a share, for the same period a year earlier. Analysts had forecast a net profit of 85 cents a share, but the company’s earnings per share came in at 73 cents.
Revenue Decline and Outlook
Revenue declined to $3.0 billion from $3.06 billion, missing analysts’ expectations. The company guided for adjusted earnings per share of $1.87 to $1.97, expecting growth from new renewables commissionings, rate base growth at U.S. utilities, and improved margins in China.
Increased Growth Expectations
AES also raised its expectations for annualized growth in adjusted earnings before interest, taxes, depreciation and amortization to 5% to 7% through 2027, showing confidence in their strategy and leading market position.
“Our 2024 targets and our higher long-term growth rates reflect our confidence in our strategy, our leading market position, and our ability to continue executing on our plan,” said Chief Financial Officer Stephen Coughlin.
This update indicates a strategic outlook for AES as they navigate the changing energy landscape.