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!

Duke Energy 3Q Earnings Hurt By Mild Weather

JONATHAN FAHEY

NEW YORK (AP) â¿¿ Duke Energy, the nation's largest electric utility by market value, reported stronger-than-expected earnings for the third quarter but company executives said the outlook for strong economic growth in the U.S. is dim.

The company said more customers signed up for service, which is a hopeful sign, but demand for electricity from homes and businesses has been weak. Jim Rogers, Duke's CEO, said in an interview that the company is operating under the expectation that electricity demand, excluding the effects of weather, will grow at a rate of less than 1 percent.

He said that with slow population growth in the U.S., the financial crisis in Europe, and diminished expectations of growth in China, "People look around and see there's no part of the world that can really juice growth."

"We are in a slow growth period," he said.

Still, Duke reported solid third quarter results Thursday, the company's first quarterly results since acquiring Progress Energy in late June to become the largest U.S. utility. The Charlotte, N.C.-based company serves 7 million customers in the Carolinas, Florida, Indiana, Kentucky and Ohio.

Duke reported earnings of $594 million, or 85 cents per share, on revenue of $6.72 billion. The company said it earned $1.47 per share when it excluded $457 million in deal-related costs, a $180 million increase in the costs it must pay to complete a new coal plant in Indiana and other unusual items.

Analysts surveyed by FactSet had expected Duke to earn an adjusted $1.44 per share on revenue of $6.79 billion.

Duke Energy Corp. shares fell 38 cents to close at $62.56 Thursday. Its shares have traded in a 52-week range of $58.74 to $71.13.

Andy Smith, an analyst at Edward Jones, welcomed the company's customer growth in both its Progress and Duke territories, and said he expects company results to improve in the coming months as it seeks to increase rates in the Carolinas and begins to realize savings from the merger.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
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 16,740.90 -139.46 -0.83%
S&P 500 1,960.37 -9.70 -0.49%
NASDAQ 4,421.3320 -41.57 -0.93%

Brokerage Partners

Rates from Bankrate.com

  • 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