Edison International Cuts 2019 Earnings Forecast on Wildfire Fund Payment

By Michael Tobin

Edison International (EIX) on Thursday cut its financial targets for this year after saying that it would make payments to California's newly established wildfire insurance fund.

The utility holding company said it expects full-year earnings between $4.46 and $4.66 a share, or between $4.61 and $4.81 on an adjusted basis. In May, the company guided 2019 earnings of $4.57 and $4.77 a share, or $4.72 to $4.92 a share as adjusted.

Southern California Edison said it would make a roughly $2.4 billion contribution to the wildfire fund by Sept. 10 and make $95 million in annual contributions to the fund for the next 10 years.

In the latest period, Edison posted a profit of $392 million, or $1.20 a share, compared with $276 million, or 85 cents a share, the same period last year. On an adjusted basis Edison's profit was $1.58 a share, higher than the $1.13 a share expected from analysts polled by FactSet.

Revenue was $2.8 billion, below analysts' expectations of $3.14 billion.

Write to Michael Tobin at [e-mail]

(END) Dow Jones Newswires

July 25, 2019 17:20 ET (21:20 GMT)

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