This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

DTE Energy Management Discusses Q1 2012 Results - Earnings Call Transcript

Stocks in this article: DTE

Many of you have heard us talk about our intense focus that we have on continuous improvement. This is something we've been working on for many years, and I'll talk more about that when I talk about how we're going to offset weather this year. But it's something we take great pride in. As we look at the challenges of the quarter, we're going to use this continuous improvement program as a lever to help pull us in line with what our goals are for the entire year.

We continue to see attractive growth opportunities in our non-utility businesses, both at the power industrial projects and Gas Storage & Pipelines. And as I mentioned, we'll give you a more detailed update on that at AGA in just over a week.

On Page 6 is an overview of the quarter. In the face of the unusually warm winter, DTE Energy had operating earnings per share of $0.91 compared to $1.11 on the first quarter of last year. Detroit Edison earnings were flat year-over-year, while MichCon's earnings were down significantly due to the weather. Earnings at Energy Trading were down a little from last year, and we are reaffirming our full year operating earnings per share guidance of $3.65 to $3.95, and we're targeting the midpoint of $3.80. We'll leverage our cost and revenue opportunities across the portfolio businesses to offset the first quarter weather. And as we've indicated, it's a priority for us, and our balance sheet continues to remain strong. We generated over $600 million of cash from operations from the first quarter, and Nick will talk about that a little bit later in the call.

Turning to Page 7, with the first quarter behind us, I'd like to take a few minutes to take you through how I'm thinking about our full year 2012 guidance. With a final order in the Detroit Edison rate case last fall, we are expecting earnings to be relatively flat year-over-year. And this is consistent with our original guidance that we provided you. As you know, the summer cooling months and storm activities are drivers of results at Detroit Edison, and much of that still lies ahead of us. Assuming normal weather, I am confident that Detroit Edison will hit its target and actually might get slightly above midpoint. With the biggest part of 2012 heating season behind us, MichCon is going to need to work hard to reach its guidance range for the year. But with continuous improvement and potential onetime cost actions, the bottom end of the range is achievable.

Read the rest of this transcript for free on

3 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs