OGE Energy Corp. (OGE) Bundle
A Brief History of OGE Energy
OGE Energy Corp. is a leading energy company based in the United States, primarily serving the electric utility sector. As of 2024, OGE Energy continues to evolve, focusing on sustainable energy solutions and operational efficiency.
Company Overview
Founded in 1902, OGE Energy has grown through various acquisitions and expansions. The company primarily operates through its subsidiary, Oklahoma Gas and Electric Company (OG&E), which provides electric service to over 870,000 customers in Oklahoma and western Arkansas.
Recent Financial Performance
In 2024, OGE Energy reported significant financial metrics:
| Period | Net Income (in millions) | Basic Earnings per Share | Dividends per Share | Average Diluted Shares Outstanding (in millions) |
|---|---|---|---|---|
| Q3 2024 | $218.7 | $1.09 | $0.42125 | 201.5 |
| 9M 2024 | $339.6 | $1.69 | $1.25765 | 201.2 |
| Q3 2023 | $241.9 | $1.21 | $0.41820 | 201.0 |
| 9M 2023 | $368.6 | $1.83 | $1.24640 | 200.9 |
Operating Revenues
For the nine months ended September 30, 2024, OGE Energy's operating revenues were reported as follows:
| Segment | Operating Revenues (in millions) |
|---|---|
| OG&E | $2,224.8 |
| Other Operations | $0.0 |
Cost and Expenses
Operating expenses for the nine months ended September 30, 2024, included:
| Expense Type | Amount (in millions) |
|---|---|
| Fuel, purchased power, and direct transmission | $776.2 |
| Other operation and maintenance | $394.0 |
| Depreciation and amortization | $408.7 | Taxes other than income | $82.6 |
Debt and Financial Ratios
As of September 30, 2024, OGE Energy's total assets were valued at $13,360.5 million. The company issued senior notes and other debt instruments to manage its capital structure:
| Debt Instrument | Amount (in millions) |
|---|---|
| OGE Energy Senior Notes | $346.8 |
| OGE Energy Term Loan | $59.7 |
| OG&E Senior Notes | $4,499.6 |
| OG&E Industrial Authority Bonds | $135.4 |
Future Outlook
For the fiscal year 2024, OGE Energy expects consolidated earnings to be at the top of their guidance range of $2.06 to $2.18 per average diluted share. This projection is based on anticipated load growth and regulatory approvals affecting rates and tariffs.
In summary, OGE Energy is positioned to adapt to changing market conditions and regulatory landscapes while focusing on sustainable growth and shareholder returns.
A Who Owns OGE Energy Corp. (OGE)
Ownership Structure
As of September 30, 2024, OGE Energy Corp. has 200,947,879 shares of common stock outstanding, with a par value of $0.01 per share.
Oklahoma Gas and Electric Company (OG&E), a wholly-owned subsidiary of OGE Energy, has 40,378,745 shares of its common stock outstanding, with a par value of $2.50 per share, all held by OGE Energy Corp.
Major Shareholders
The major shareholders of OGE Energy Corp. include institutional investors, mutual funds, and individual shareholders. The largest institutional shareholders as of the latest filings include:
| Institution | Shares Owned | Percentage of Total Shares |
|---|---|---|
| The Vanguard Group, Inc. | 23,574,000 | 11.7% |
| BlackRock, Inc. | 22,800,000 | 11.4% |
| State Street Corporation | 15,400,000 | 7.7% |
| Wellington Management Group LLP | 10,500,000 | 5.2% |
| Invesco Ltd. | 8,200,000 | 4.1% |
Insider Ownership
Insider ownership provides insight into the alignment of management's interests with those of shareholders. As of September 30, 2024, insiders hold approximately:
- Executive Officers and Directors: 2.5% of total shares outstanding
- CEO: 0.5% of total shares outstanding
- Other Executives: 2% of total shares outstanding
Market Capitalization
The market capitalization of OGE Energy Corp. as of September 30, 2024, is approximately:
$5.87 billion based on a stock price of approximately $29.25 per share.
Financial Performance
For the three months ended September 30, 2024, OGE Energy reported:
- Net Income: $218.7 million
- Earnings Per Share (EPS): $1.09
- Operating Revenues: $965.4 million
For the nine months ended September 30, 2024, the figures were:
- Net Income: $339.6 million
- Earnings Per Share (EPS): $1.69
- Operating Revenues: $2.224 billion
Dividend Policy
OGE Energy Corp. has a consistent dividend policy. As of September 30, 2024, the declared dividend was:
- Dividend per Share: $0.42125
- Total Dividends Declared: $84.6 million for the quarter.
Recent Developments
In May and August 2024, OGE Energy issued senior notes totaling $700 million to enhance liquidity and fund capital investments.
Conclusion on Ownership Dynamics
OGE Energy's ownership structure reflects a diverse mix of institutional and individual investors, with significant insider ownership indicating alignment with shareholder interests. The financial performance and dividend policy suggest a commitment to returning value to shareholders while maintaining a solid growth trajectory.
OGE Energy Corp. (OGE) Mission Statement
Mission Statement Overview
OGE Energy Corp. is committed to delivering safe and reliable energy services to its customers while ensuring the sustainability of the environment and the communities it serves. The company focuses on operational excellence and innovation to enhance customer satisfaction and support economic growth in its service areas.
Core Values
- Safety: Prioritizing the safety of employees, customers, and the public.
- Integrity: Conducting business with honesty and transparency.
- Excellence: Striving for high performance in all operations.
- Community: Supporting the communities served through engagement and investment.
- Environment: Committing to sustainable practices and reducing carbon emissions.
Financial Performance
As of September 30, 2024, OGE Energy reported a net income of $218.7 million, or $1.09 per diluted share, compared to $241.9 million, or $1.20 per diluted share in the same period of 2023. For the nine months ended September 30, 2024, net income was $339.6 million, or $1.69 per diluted share, down from $368.6 million, or $1.83 per diluted share in 2023.
| Financial Metrics | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Net Income (in millions) | $218.7 | $241.9 | $339.6 | $368.6 |
| Basic EPS | $1.09 | $1.21 | $1.69 | $1.84 |
| Diluted EPS | $1.09 | $1.20 | $1.69 | $1.83 |
| Operating Revenues (in millions) | $965.4 | $945.4 | $2,224.8 | $2,107.6 |
| Dividends Declared per Share | $0.42125 | $0.41820 | $1.25765 | $1.24640 |
Operational Highlights
OGE Energy continues to focus on enhancing its operational capabilities through technological advancements and infrastructure improvements. The company has invested significantly in capital expenditures, totaling $794.3 million for the nine months ended September 30, 2024, compared to $879.6 million during the same period in 2023.
Future Outlook
The company anticipates strong load growth and favorable weather conditions to support earnings, with guidance for 2024 expected to be in the range of $2.06 to $2.18 per average diluted share. OGE Energy's strategic initiatives include ongoing investments in renewable energy and efficiency improvements to align with its mission and community goals.
| Future Guidance | 2024 Earnings Guidance |
|---|---|
| Range (per diluted share) | $2.06 - $2.18 |
How OGE Energy Corp. (OGE) Works
Company Overview
OGE Energy Corp. is a holding company primarily involved in the generation, transmission, distribution, and sale of electric energy in Oklahoma and western Arkansas. The company's electric operations are conducted through its wholly-owned subsidiary, Oklahoma Gas and Electric Company (OG&E).
Financial Performance
For the three months ended September 30, 2024, OGE Energy reported a net income of $218.7 million, or $1.09 per diluted share, compared to $241.9 million, or $1.20 per diluted share, in the same period of 2023. The decrease in net income was attributed to higher expenses in several categories, including depreciation, operations, maintenance, and interest expenses.
For the nine months ended September 30, 2024, net income was $339.6 million, or $1.69 per diluted share, down from $368.6 million, or $1.83 per diluted share, in the prior year.
| Period | Net Income (Million $) | Earnings per Share (Diluted $) |
|---|---|---|
| Q3 2024 | 218.7 | 1.09 |
| Q3 2023 | 241.9 | 1.20 |
| 9M 2024 | 339.6 | 1.69 |
| 9M 2023 | 368.6 | 1.83 |
Revenue Streams
Operating revenues for OG&E during the three months ended September 30, 2024, were $965.4 million, up from $945.4 million in the same quarter of 2023. For the nine months, revenues increased to $2,224.8 million from $2,107.6 million year-over-year.
| Revenue Source | Q3 2024 (Million $) | Q3 2023 (Million $) | 9M 2024 (Million $) | 9M 2023 (Million $) |
|---|---|---|---|---|
| Operating Revenues | 965.4 | 945.4 | 2,224.8 | 2,107.6 | Fuel, Purchased Power, and Direct Transmission Expense | 350.1 | 333.8 | 776.2 | 716.2 |
Operational Expenses
OGE Energy's operational expenses for the three months ended September 30, 2024, included:
- Other operation and maintenance: $131.4 million
- Depreciation and amortization: $144.0 million
- Income tax expense: $45.7 million
- Interest expense: $54.1 million
Debt and Financing
As of September 30, 2024, OGE Energy had a total short-term debt of $215.6 million and long-term debt obligations including:
- $350.0 million of senior notes issued in May 2024 at 5.45% interest due in 2029
- $350.0 million of senior notes issued in August 2024 at 5.60% interest due in 2053
Cash Flow
For the nine months ended September 30, 2024, OGE Energy reported:
- Net cash provided from operating activities: $683.2 million
- Net cash used in investing activities: ($851.3 million)
- Net cash provided from financing activities: $177.8 million
| Cash Flow Activities | 2024 (Million $) | 2023 (Million $) |
|---|---|---|
| Operating Activities | 683.2 | 921.3 |
| Investing Activities | (851.3) | (955.0) |
| Financing Activities | 177.8 | (51.6) |
Future Outlook
OGE Energy's guidance for 2024 indicates expected consolidated earnings between $2.06 and $2.18 per average diluted share, contingent upon the approval of regulatory matters and normal weather conditions for the remainder of the year.
As of September 30, 2024, OGE Energy's stockholders' equity stood at $4,617.1 million, reflecting a solid capital structure for future investments and operational stability.
How OGE Energy Corp. (OGE) Makes Money
Revenue Streams
OGE Energy generates revenue primarily through its regulated utility operations under Oklahoma Gas and Electric Company (OG&E). The revenue is derived from the sale of electricity to residential, commercial, and industrial customers.
| Revenue Source | Three Months Ended September 30, 2024 (in millions) | Three Months Ended September 30, 2023 (in millions) | Change (%) |
|---|---|---|---|
| Residential | $422.8 | $401.2 | 5.0% |
| Commercial | $288.8 | $243.8 | 18.5% |
| Industrial | $79.0 | $78.0 | 1.3% |
| Oilfield | $68.1 | $68.0 | 0.1% |
| Public Authorities and Street Light | $86.8 | $82.2 | 5.6% |
| Total Operating Revenues | $965.4 | $945.4 | 2.1% |
Operating Expenses
Operating expenses are critical to understanding OGE's profitability. The main components include fuel, purchased power, and direct transmission expenses.
| Expense Type | Three Months Ended September 30, 2024 (in millions) | Three Months Ended September 30, 2023 (in millions) | Change (%) |
|---|---|---|---|
| Fuel, Purchased Power, and Direct Transmission Expense | $350.1 | $333.8 | 4.9% |
| Other Operation and Maintenance | $131.4 | $123.3 | 6.6% |
| Depreciation and Amortization | $144.0 | $132.5 | 8.8% |
| Taxes Other Than Income | $26.7 | $24.7 | 8.1% |
| Total Operating Expenses | $302.1 | $280.5 | 7.7% |
Net Income
For the three months ended September 30, 2024, OGE Energy reported a net income of $218.7 million, down from $241.9 million in the same period of 2023, reflecting a decrease of 9.6%.
| Metric | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 |
|---|---|---|
| Net Income (in millions) | $218.7 | $241.9 |
| Earnings Per Share (EPS) | $1.09 | $1.20 |
Capital Expenditures
Investments in infrastructure and maintenance are essential for OGE's operational capacity and include expenditures for new facilities and upgrades.
| Type of Expenditure | Nine Months Ended September 30, 2024 (in millions) | Nine Months Ended September 30, 2023 (in millions) |
|---|---|---|
| Capital Expenditures | $794.3 | $879.6 |
| Cost of Removal | $54.9 | $72.4 |
Debt and Financing
Debt management is crucial for maintaining liquidity and funding operations. OGE Energy's long-term debt stood at $4.6 billion as of September 30, 2024.
| Debt Metric | Value (in millions) |
|---|---|
| Long-Term Debt | $4,614.3 |
| Short-Term Debt | $204.0 |
Cash Flow
Cash flow from operations is a key indicator of financial health. OGE Energy reported net cash provided from operating activities of $683.2 million for the nine months ended September 30, 2024.
| Cash Flow Type | Nine Months Ended September 30, 2024 (in millions) | Nine Months Ended September 30, 2023 (in millions) |
|---|---|---|
| Net Cash Provided from Operating Activities | $683.2 | $921.3 |
| Net Cash Used in Investing Activities | $(851.3) | $(955.0) |
| Net Cash Provided from Financing Activities | $177.8 | $(51.6) |
Future Outlook
OGE Energy anticipates strong load growth and warmer-than-normal weather, projecting earnings at the top of the 2024 guidance range of $2.06 to $2.18 per diluted share.
OGE Energy Corp. (OGE) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- OGE Energy Corp. (OGE) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of OGE Energy Corp. (OGE)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View OGE Energy Corp. (OGE)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.