Exelon Soars to New Heights: Record-Breaking Earnings and a Bright Future Ahead
Exelon, the nation's leading electric and gas utility company, has closed out another remarkable year with record-breaking earnings and a clear vision for a brighter future. In its 2024 Q4 earnings call, the company announced a stellar performance, achieving top-quartile reliability among all four of its utilities and delivering GAAP earnings of $2.45 per share.
Calvin Butler, Exelon's President and CEO, emphasized the company's commitment to excellence and service to its customers. He noted that this dedication has been a hallmark of the industry since Samuel Insull's vision made electricity more accessible to all in 1881. This unwavering commitment inspired the merger of Commonwealth Edison and Philadelphia Electric Company in 2000, which gave birth to Exelon.
With three out of its four utilities ranking in the top 5 among peer benchmarks and all four performing in the top 8 for reliability, Exelon has demonstrated its ability to navigate the ever-changing energy landscape with ease. The company's financial performance was equally impressive, achieving adjusted operating earnings of $2.50 per share – a feat that solidifies its position as a pure T&D company.
The separation of Exelon in 2021 marked the beginning of a new era for the company. Despite facing numerous challenges, including separation, generational high inflation and interest rates, Exelon has continued to thrive, maintaining its trajectory and delivering on guidance. This remarkable resilience is a testament to the company's strength and commitment to its customers, employees, policymakers, and investors.
On the regulatory front, Exelon successfully closed out a busy year for rate cases, positioning itself for future growth and development. The company is now poised to take advantage of exciting opportunities in artificial intelligence-powered data centers and transmission projects like MISO Tranche 2.1, which will require an additional $10 billion to $15 billion of investment over the next five to ten years.
Exelon's updated four-year plan reflects its commitment to steady investment growth, with a projected $38 billion invested from 2025 to 2028 to support customer needs. This investment is expected to create good local jobs and keep spending local, with more than $4 billion of supplier spend sourced from Exelon's jurisdictions.
The company's future looks brighter than ever, with Exelon poised to remain a key engine for its jurisdictions' economies. As Butler noted, "This type of investment ensures that our utilities remain a key engine of our jurisdictions' economies. Not only do our investments create good local jobs and estimated 70,000 plus, and not only do they ensure that spending stays local with more than $4 billion of our supplier spend sourced from our jurisdictions."
