Ahead of its analysts meeting in New York City later on Tuesday, electric utility American Electric Power Co., Inc. (AEP) raised its fiscal 2022 operating earnings guidance to a range of $4.97 to $5.07 from the prior forecast range of $4.87 to $5.07 per share.
On average, 20 analysts polled by Thomson Reuters expect the company to report earnings of $4.99 per share for the year. Analysts' estimates usually exclude special items.
The company also initiated operating earnings guidance for fiscal 2023 in the range of $5.19 to $5.39 per share, with a projected annual operating earnings growth rate of 6% to 7%. The Street is currently looking for earnings of $5.28 per share for the year.
The company also said it has accelerated its emission reduction targets, including new net zero goal by 2045 and 80% reduction in full Scope 1 emissions by 2030 from 2005 baseline.
Additionally, the company said it is beginning a strategic review of its retail energy business and is on track to divest unregulated renewable assets and complete Kentucky sale.
The company noted that it plans to invest $40 billion in capital from 2023 through 2027 with an emphasis on transmission, distribution and renewable energy.