Constellation Profit Plummets 95%

BALTIMORE (TheStreet) -- Constellation Energy(CEG Quote) said profit slumped a whopping 95% in the second quarter on a slew of one-time items and a drop in sales, though it did manage to beat some forecasts.

Constellation said earnings totaled $8.1 million, or 4 cents a share, during the quarter. That's well off the pace set during last year's second quarter, when the company posted profit of $171.5 million, or 95 cents a share.

After stripping out a series of items -- including effects from writedowns, asset sales, failed merger costs and job cuts -- Constellation said it ould have earned an adjusted $1.08 a share.

Analysts surveyed by Thomson Reuters expected Constellation to post earnings of 76 cents a share.

Top-line results fell by 19%, but still beat the Street view. Revenue fell to $3.86 billion from $4.76 billion in the year-earlier period. On average, estimates centered around $3.57 billion in revenue.

"Despite the difficult economic cycle, our core business units continue to deliver solid results, our liquidity position has improved markedly and we've made meaningful progress on our strategic realignment and pending nuclear joint venture with EDF Group,"Constellation CEO Mayo Shattuck said in a press release Friday. "We continue to see strong margins in our wholesale and retail businesses during the quarter."

The electricity supplier raised its 2009 earnings guidance to between $3.10 and $3.30 a share from an earlier range of $2.90 and $3.20 a share. Constellation also reaffirmed its 2010 earnings forecast range of $3.05 to $3.45 a share.

-- Reported by Sung Moss in New York