Ameren 2Q Net Down 9.2%, Narrows Full-Year Estimate

   DOW JONES NEWSWIRES 
 

Ameren Corp.'s (AEE) second-quarter earnings fell 9.2% as milder temperatures hurt sales to regulated native load customers.

Ameren narrowed its full-year earnings estimate to $2.30 to $2.55 a share from its previous view of $2.20 to $2.60 a share.

The company, which operates electric and gas utilities in Missouri and Illinois as well as a merchant power business, has generally seen revenue improve after the industry suffered broadly from weak demand during the economic downturn.

The company reported a profit of $138 million, or 57 cents a share, down from $152 million, or 64 cents a share, a year earlier. Excluding hedging impacts and a charge on changes in federal healthcare laws, earnings fell to 59 cents from 73 cents. Revenue was up 3% to $1.78 billion.

Analysts polled by Thomson Reuters had most recently forecast earnings of 62 cents on revenue of $1.73 billion.

Operating margin narrowed to 17.7% from 19.2% as operating expenses rose 5.1%.

The company's merchant generation business saw revenue rise 2.6% and earnings rise 18% on reduced costs. Ameren's Missouri utility saw revenue rise 7.3% and earnings fall 20% as milder temperatures hurt sales to native load utility customers.

Illinois operations saw earnings fall 20% and revenue fall 2.8% on milder temperatures and storm-related expenses.

Shares were up 0.2% to $28.60 in premarket trading. The stock is up 9.1% in the past 12 months.

--By Nathalie Tadena, Dow Jones Newswires; 212-416-3287; [e-mail]