AES Reports Record Performance in 2023 & Raises Long-Term Guidance

2023 Financial Results

Full year 2023 Net Income (Loss) was ($182) million, including $1.1 billion of impairments in 2023 primarily related to the Company's continued exit from coal-fired generation.  This represents an improvement of $323 million compared to full year 2022, primarily due to favorable contributions at the Utilities, New Energy Technologies, and Renewables Strategic Business Units (SBU), partially offset by lower contributions from LNG transactions as compared to 2022 at the Energy Infrastructure SBU.

Full year 2023 Adjusted EBITDA⁴ (a non-GAAP financial measure) was $2,812 million, a decrease of $119 million compared to full year 2022, primarily driven by lower contributions from the Energy Infrastructure SBU, partially offset by contributions from new renewables projects and the 2023 recovery of AES Ohio purchased power costs recognized in 2022.

During full year 2023, the Company realized Tax Attributes⁵ of $611 million, an increase of $344 million compared to full year 2022.

Full year 2023 Diluted Earnings Per Share from Continuing Operations (Diluted EPS) was $0.34, an increase of $1.16 compared to full year 2022, primarily reflecting lower goodwill impairments in 2023, higher contributions from renewables projects placed into service, gain on sale of shares in Fluence in 2023, and higher contributions at the Utilities SBU due to the 2023 recovery of AES Ohio purchased power costs recognized in 2022.  These positive drivers were partially offset by lower contributions from LNG transactions versus 2022, and higher unrealized foreign currency losses at the Energy Infrastructure SBU.

Full year 2023 Adjusted Earnings Per Share⁶ (Adjusted EPS, a non-GAAP financial measure) was $1.76, an increase of $0.09 compared to full year 2022, primarily driven by contributions from new renewables projects and the 2023 recovery of AES Ohio purchased power costs recognized in 2022, partially offset by lower contributions from the Energy Infrastructure SBU and higher Parent Company interest.

Strategic Accomplishments

• As of today, the Company's backlog, which consists of projects with signed contracts, but which are not yet operational, is 12.3 GW, including 5.1 GW under construction.
• In 2023, the Company completed the construction of 3.5 GW of solar, wind and energy storage.
• In 2023, the Company signed 5.6 GW of long-term contracts for new renewables.
• AES Indiana reached a unanimous settlement agreement for its first rate case since 2018, and expects to receive approval from the Indiana Utility Regulatory Commission (IURC) by the middle of 2024.
• AES Ohio received approval from the Public Utilities Commission of Ohio (PUCO) for its Electric Security Plan (ESP4), providing the regulatory foundation necessary to enable future investments.
• Exited, or announced the sale or closure of, 2.1 GW of coal generation in Vietnam, the United States and Chile.
• Signed agreements for three-year extensions of 1.4 GW of gas generation at the Southland legacy units in Southern California. These extensions will help meet the State of California's grid reliability needs while supporting its decarbonization goals.
• Awarded up to $2.4 billion of grant funding by the US Department of Energy for two green hydrogen hubs with AES participation.
• Secured $1.1 billion in asset sale proceeds, to accelerate portfolio transformation, outpacing target of $400 to $600 million.

Guidance and Expectations^7,8

The Company is raising its expectation for annualized growth in Adjusted EBITDA⁷ to 5% to 7% from 3% to 5% through 2027, from a base of its 2023 guidance of $2,600 to $2,900 million.

The Company is initiating 2024 guidance for Adjusted EBITDA⁷ of $2,600 to $2,900 million.  Results are expected to be driven by the impacts from significant asset sales closed in 2023 and expected to close in 2024, as well as prior year margins earned on LNG transactions, partially offset by contributions from new renewables projects, improved margins in Chile, and rate base growth at US utilities.

The Company is reaffirming its annualized growth target for Adjusted EPS⁹ of 7% to 9% through 2025, from a base of 2020.  The Company is also raising its annualized growth target for Adjusted EPS⁷ to 7% to 9% from 6% to 8% through 2027, from a base of its 2023 guidance of $1.65 to $1.75. 

The Company is initiating 2024 guidance for Adjusted EPS⁹ of $1.87 to $1.97.  Growth in 2024 is expected to be primarily driven by new renewables commissionings, rate base growth at US utilities, and improved margins in Chile, but partially offset by asset sales and prior year margins on LNG transactions.

The Company's 2024 guidance is based on foreign currency and commodity forward curves as of December 31, 2023.

The Company expects to grow its dividend by 2% to 3% annually after 2024, reflecting a larger pool of attractive investment opportunities and to minimize equity issuance as a source of capital.

Non-GAAP Financial Measures

See Non-GAAP Measures for definitions of Adjusted EBITDA, Adjusted EBITDA with Tax Attributes, Tax Attributes, Adjusted Earnings Per Share and Adjusted Pre-Tax Contribution, as well as reconciliations to the most comparable GAAP financial measures.

Attachments

Condensed Consolidated Statements of Operations, Segment Information, Condensed Consolidated Balance Sheets, Condensed Consolidated Statements of Cash Flows, Non-GAAP Financial Measures and Parent Financial Information.

Conference Call Information

AES will host a conference call on Tuesday, February 27, 2024 at 10:00 a.m. Eastern Time (ET).  Interested parties may listen to the teleconference by dialing 1-833-470-1428 at least ten minutes before the start of the call. International callers should dial +1-404-975-4839.  The Participant Access Code for this call is 958499.  Internet access to the conference call and presentation materials will be available on the AES website at www.aes.com by selecting "Investors" and then "Presentations and Webcasts."

A webcast replay will be accessible at www.aes.com beginning shortly after the completion of the call.

About AES

The AES Corporation (NYSE: AES) is a Fortune 500 global energy company accelerating the future of energy.  Together with our many stakeholders, we're improving lives by delivering the greener, smarter energy solutions the world needs.  Our diverse workforce is committed to continuous innovation and operational excellence, while partnering with our customers on their strategic energy transitions and continuing to meet their energy needs today.  For more information, visit www.aes.com. 

Safe Harbor Disclosure

This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES' current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, our expectations regarding accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at our distribution companies and operational performance at our generation businesses consistent with historical levels, as well as the execution of PPAs, conversion of our backlog and growth investments at normalized investment levels, and rates of return consistent with prior experience.

Actual results could differ materially from those projected in our forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES' filings with the Securities and Exchange Commission (the "SEC"), including, but not limited to, the risks discussed under Item 1A: "Risk Factors" and Item 7: "Management's Discussion & Analysis" in AES' 2023 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES' filings to learn more about the risk factors associated with AES' business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except where required by law.

Any Stockholder who desires a copy of the Company's 2023 Annual Report on Form 10-K filed February 26, 2024 with the SEC may obtain a copy (excluding the exhibits thereto) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made. A copy of the Annual Report on Form 10-K may be obtained by visiting the Company's website at www.aes.com.

Website Disclosure

AES uses its website, including its quarterly updates, as channels of distribution of Company information.  The information AES posts through these channels may be deemed material.  Accordingly, investors should monitor our website, in addition to following AES' press releases, quarterly SEC filings and public conference calls and webcasts.  In addition, you may automatically receive e-mail alerts and other information about AES when you enroll your e-mail address by visiting the "Subscribe to Alerts" page of AES' Investors website.  The contents of AES' website, including its quarterly updates, are not, however, incorporated by reference into this release.

THE AES CORPORATION Consolidated Statements of Operations
	Year Ended December 31,
	2023		2022		2021
	(in millions, except per share amounts)
Revenue:
Non-Regulated	$         9,245		$         9,079		$         8,273
Regulated	3,423		3,538		2,868
Total revenue	12,668		12,617		11,141
Cost of Sales:
Non-Regulated	(7,173)		(6,907)		(5,982)
Regulated	(2,991)		(3,162)		(2,448)
Total cost of sales	(10,164)		(10,069)		(8,430)
Operating margin	2,504		2,548		2,711
General and administrative expenses	(255)		(207)		(166) Werbung Mehr Nachrichten zur AES Aktie kostenlos abonnieren E-Mail-Adresse Bitte überprüfe deine die E-Mail-Adresse. Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1 Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News 06:51 - PR Newswire Bodycote Plc - Director Declaration 02:00 - PR Newswire International Business Machines Corp - Doc re Form 10-Q 02:00 - PR Newswire Bodycote Plc - Transaction in Own Shares Paukenschlag in USA    Cannabis-Neuregulierung durch DEA sorgt für Kursexplosion! weiterlesen» Anzeige wo-site-teaser-box-16809_site-teaser-box_2024-05-01_09%253A00%253A00_2024-05-02_09%253A00%253A59