OGE Energy Q3 profit rises on warmer weather; lifts outlook

Overview

• US regulated electric utility's Q3 revenue and net income rose sharply yr/yr

• Company says stronger sales from significantly warmer weather drove results

• OGE Energy raised full-year EPS guidance due to warmer than normal weather

Outlook

• OGE Energy raises 2026 earnings guidance to $2.62-$2.68 per diluted share

• Company says revised guidance assumes normal weather for remainder of year

• OG&E earnings remain highly seasonal due to weather patterns

Result Drivers

• WEATHER IMPACT - Co said significantly warmer weather led to stronger sales in Q3

• GRID INVESTMENT - Co said ongoing investments to strengthen the grid supported reliability and future growth, per CEO Sean Trauschke

• ENERGY INVESTMENTS - Higher income from energy-related investments and lower interest expense contributed to improved results in Other Operations

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electric utilities peer group is "buy"

• Wall Street's median 12-month price target for OGE Energy Corp. is $48.50, about 0.8% below its October 27 closing price of $48.91

• The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 19 three months ago

Reuters Recommended Reads

• Oct 28 - OGE Energy Q3 revenue rises on warmer weather

• Oct 28 - US closes $5.1 billion loan to Alliant Energy for new gas power generation, energy storage

• Oct 28 - Spain's Redeia increases power grid investments by 19%

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)