PPL’s up to date marketing strategy drives enhanced worth for all stakeholders and delivers top-tier earnings and dividend progress

PPL’s up to date marketing strategy drives enhanced worth for all stakeholders and delivers top-tier earnings and dividend progress
  • Extends 6% to eight% annual EPS and dividend progress by way of not less than 2026.
  • $2.5 billion added to capital funding plan, leading to 5.6% charge base progress by way of 2026 with no fairness issuances.
  • O&M financial savings elevated to not less than $175 million yearly by 2026.
  • 2023 earnings per share anticipated to be $1.50 to $1.65 per share, with $1.58 midpoint representing 7% progress over midpoint of 2022 professional forma earnings forecast.
  • Plans to extend subsequent quarterly dividend by 7% to $0.24 per share.
  • Utility veteran Linda Sullivan joins PPL Board of Administrators.
  • Convention name and webcast at the moment at 11 a.m. ET.

ALLENTOWN, Pa., Jan. 11, 2023 /PRNewswire/ — PPL Company (NYSE: PPL) at the moment introduced an up to date marketing strategy that’s anticipated to generate top-tier 6% to eight% earnings and dividend progress by way of not less than 2026 with robust progress alternatives past.

“We proceed to execute on our technique to create utilities of the long run that ship protected, dependable, inexpensive, clear power for our clients and sustainable progress for our shareowners,” mentioned PPL President and Chief Govt Officer Vincent Sorgi. “The marketing strategy enhancements introduced at the moment replicate the significant progress we’re making and the arrogance we’ve got in our skill to proceed PPL’s progress momentum effectively into the long run.”

Highlights of PPL’s up to date marketing strategy embrace:

  • Prime-tier EPS and dividend progress by way of not less than 2026.
    PPL has prolonged its runway for earnings and dividend progress and now expects 6% to eight% annual earnings per share and dividend progress by way of not less than 2026. As well as, the corporate continues to see vital funding alternatives that help progress past the present planning horizon as PPL leads the clear power transition within the areas it serves and delivers distinctive worth to its clients.
  • $14.3 billion of capital investments by way of 2026, a >20% enhance from prior plan.
    As mirrored in current regulatory filings in Kentucky and Rhode Island to put money into crucial infrastructure, PPL has quite a few alternatives for investments that strengthen grid reliability and resiliency and economically substitute growing older coal era with dependable, least-cost and clear power sources. Since saying its capital plan final yr, PPL has recognized an extra $2.5 billion in funding alternatives for grid modernization and resiliency, digital transformation and era substitute in Kentucky. The deliberate investments enhance PPL’s projected common annual charge base progress charge to five.6% by way of 2026, with better than 7% charge base progress within the again half of the plan. The plan options minimal regulatory lag primarily based on present regulatory mechanisms.
  • Sturdy steadiness sheet and credit score metrics maintained.
    PPL’s steadiness sheet is among the many greatest within the U.S. utility sector and can help the corporate’s elevated capital funding plan and continued monetary flexibility with no fairness issuances. PPL’s continued robust credit score profile displays a projected Funds from Operations (FFO)/Money Circulate from Operations (CFO) to debt ratio of 16% to 18% all through the planning interval.
  • No less than $175 million of O&M value financial savings to help effectivity and affordability.
    PPL is rising its focused operations and upkeep (O&M) financial savings by $25 million to $175 million of annual O&M financial savings by 2026. The added financial savings will probably be pushed largely by the corporate’s transmission and distribution operations as PPL continues to deploy scalable applied sciences and information science and leverage administration’s confirmed working experience throughout the corporate’s utility portfolio.
  • Vital enhancements in PPL’s carbon footprint.
    The up to date plan introduced at the moment advances the corporate’s broader clear power technique, aligns with the corporate’s objective to realize net-zero carbon emissions by 2050, and is predicted to end in whole carbon emissions reductions of about 67% from 2010 ranges by 2030. The plan features a proposal to retire practically 1,500 megawatts of growing older coal era in Kentucky by 2028. The proposal, topic to Kentucky Public Service Fee approval, would add two new combined-cycle pure fuel vegetation, practically 1,000 megawatts of owned and contracted photo voltaic era and 125 megawatts of battery storage by 2028. Moreover, PPL’s investments in crucial infrastructure and grid modernization will additional allow a versatile, resilient grid able to integrating extra distributed power assets and supporting electrification.

2023 earnings outlook and anticipated dividend enhance

PPL introduced at the moment that it expects 2023 earnings within the vary of $1.50 to $1.65 per share. On the $1.58 midpoint, this represents 13% progress over the 2022 ongoing earnings forecast midpoint of $1.40 per share (reflecting partial yr possession of Rhode Island Vitality) and a 7% enhance over the $1.48 midpoint of PPL’s 2022 professional forma earnings per share vary (reflecting a full yr of earnings contributions from Rhode Island Vitality).

The corporate additionally introduced that it expects to extend its subsequent quarterly frequent inventory dividend to $0.24 per share, topic to approval by the Board of Administrators. This could characterize a 7% enhance from the present dividend of $0.225 per share.

Longtime utility veteran Linda G. Sullivan joins PPL Board of Administrators

PPL introduced that utility business veteran Linda G. Sullivan has joined its Board of Administrators, efficient Jan. 10, 2023. She’s going to serve on PPL’s Compensation and Finance committees. With Sullivan’s appointment, PPL’s board contains 10 administrators. Along with an impartial chair, the board contains eight impartial administrators and PPL’s chief government officer. Seven of the board’s members are numerous throughout gender, race, ethnicity and nationality.

“Linda’s deep utility and monetary experience will additional strengthen and complement our numerous and skilled board,” mentioned impartial Board Chair Craig A. Rogerson. “We welcome her addition and vital expertise in driving progress and innovation.”

Sullivan spent practically three a long time within the utility business, serving as government vice chairman and chief monetary officer of American Water Works Firm, Inc., from 2014 to 2019, and greater than 20 years in quite a lot of management roles with Edison Worldwide. She has served on the Board of Administrators of NorthWestern Vitality since April 2017 and AltaGas Ltd. since January 2020.

Convention name and webcast particulars

As beforehand introduced, PPL’s government staff will host a convention name and webcast at the moment at 11 a.m. Japanese Time. The convention name will probably be webcast reside, in audio format, together with slides of the presentation. people can entry the webcast hyperlink at www.pplweb.com/buyers below Occasions and Shows or entry the reside convention name by way of phone at 1-888-346-8683. Worldwide members ought to name 1-412-902-4270. Members might want to enter the next “Elite Entry” quantity as a way to be a part of the convention: 9324531. For individuals who are unable to hearken to the reside webcast, a replay with slides will probably be accessible at www.pplweb.com/buyers for 90 days after the decision.

Following the decision, PPL’s government staff will probably be assembly with buyers on the annual Evercore ISI utility convention on Jan. 12 and 13 in Palm Seaside, Florida.

About PPL Company

PPL Company (NYSE: PPL), primarily based in Allentown, Pennsylvania, is a number one U.S. power firm targeted on offering electrical energy and pure fuel safely, reliably and affordably to three.5 million clients within the U.S. PPL’s high-performing, award-winning utilities are addressing power challenges head-on by constructing smarter, extra resilient and extra dynamic energy grids and advancing sustainable power options. For extra data, go to www.pplweb.com.

Statements contained on this information launch, together with statements with respect to future earnings, money flows, dividends, financing, regulation and company technique, are “forward-looking statements” throughout the that means of the federal securities legal guidelines. Though PPL Company believes that the expectations and assumptions mirrored in these forward-looking statements are cheap, these statements are topic to quite a few dangers and uncertainties, and precise outcomes might differ materially from the outcomes mentioned within the statements. Any such forward-looking statements must be thought-about along side elements and different issues mentioned in PPL Company’s most lately filed Annual Report on Type 10-Okay and different reviews on file with the Securities and Trade Fee.

Notice to editors: Go to our media web site at www.pplnewsroom.com for extra information about PPL Company.


For information media: Ryan Hill, 610-774-4033

For monetary analysts: Andy Ludwig, 610-774-3389


PPL’s up to date marketing strategy drives enhanced worth for all stakeholders and delivers top-tier earnings and dividend progress