Southwest Gas (SWX) Reports Breakeven Q3 Earnings
Zacks Investment Research | Nov 08, 2016 04:40AM ET
Southwest Gas Corporation (NYSE:SWX) reported breakeven results in third-quarter 2016, missing the Zacks Consensus Estimate of a penny. However, in the year-ago quarter, the company had incurred a loss of 10 cents.
Including the income of 5 cents associated with an increase in the cash surrender values of company-owned life insurance (COLI) policies and recognized net death benefits, GAAP earnings in the reported quarter came in at 5 cents, while in the year-ago period, the company had posted a loss of 10 cents.
Total Revenue
Southwest Gas’ total revenue of nearly $540 million beat the Zacks Consensus Estimate of $518 million by 4.2%. Revenues were also up 6.8% from $505.4 million in the prior-year quarter.
In the third quarter, the natural gas segment reported net loss of $12.4 million, 34.4% narrower than the year-ago loss of $18.9 million.
In the quarter under review, the construction services segment reported net income of $14.9 million, up 4.9% from $14.2 million a year ago.
SOUTHWEST GAS Price, Consensus and EPS Surprise
Guidance
The company plans to invest $470 million in its natural gas segment in 2016. These investments are intended to support customer growth, system improvements and accelerated pipe replacement programs. Operating income is expected to increase in the range of 2% to 3% in 2016.
Construction Services’ operating income is expected to constitute 5% of the total revenue in 2016.Centuri is expected to rake in revenues of $1.1 billion in 2016.
Peer Releases
ONE Gas, Inc.’s (NYSE:OGS) third-quarter earnings of 24 cents per share outpaced the Zacks Consensus Estimate of 19 cents by 26.3%.
ONEOK Inc. (NYSE:OKE) reported third-quarter 2016 operating earnings of 44 cents per share, outpacing the Zacks Consensus Estimate of 43 cents by 2.3%.
MDU Resources Group Inc. (NYSE:MDU) reported third-quarter 2016 operating earnings of 45 cents per share, beating the Zacks Consensus Estimate of 43 cents by 4.7%.
Zacks Rank
Southwest Gas Corporationcarries a Zacks Rank #2 (Buy). You can see .
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.