Happy birthday to you(tilities)
Q1 results are in, marking the last quarter before Exelon Corporation (NYSE:EXC) stock put Constellation on its books. At the time of its merger, Exelon Corporation (NYSE:EXC) released a fact sheet comparing the two companies 2011 assets and revenues as a teaser for market share and profits to come:
Source: Exeloncorp.com
According to 2011 statistics, Constellation’s addition would more than double sales, but also increase assets by a substantial 25%.
| Before Merger ($B) | After Merger ($B) | % Increase | |
|---|---|---|---|
| Assets | 55.1 | 68.9 | 25% |
| Revenue | 18.9 | 38.3 | 103% |
With Q1 results in, here’s how Exelon’s advancements actually stand:Source: Exeloncorp.com, Author’s calculations. Note: 2011 assets and sales
| Q1 2012 Before Merger ($B) | Q1 2013 After Merger ($B) | % Increase | |
|---|---|---|---|
| Assets | 77.6 | 78.2 | 1% |
| Revenue | 4.69 | 6.89 | 47% |
Source: SEC filings, e*trade.com, author’s calculations
Exelon Corporation (NYSE:EXC)’s March merger was followed close behind by Duke Energy Corp (NYSE:DUK)‘s Progress Energy merger. Another mega move, this merger turned Duke Energy Corp (NYSE:DUK) into the largest U.S. utility by asset class. Not to be left behind, the company produced its own fact-sheet for income-hungry investors:
Source: Duke-energy.com
Compared to Exelon Corporation (NYSE:EXC) stock, Duke’s merger went heavy on assets accumulation and light on revenue gains.
| Before Merger ($B) | After Merger ($B) | % Increase | |
|---|---|---|---|
| Assets | 57.9 | 90.6 | 56% |
| Revenue | 12.7 | 22.7 | 79% |
Source: Duke-energy.com, author’s calculations. Note: 2010 assets, 2009 sales
With Q1 earnings hot off the press, Duke’s assets have progressed beyond Progress’ projections, but sales haven’t lived up to expectations.
| Q1 2012 Before Merger ($B) | Q1 2013 After Merger ($B) | % Increase | |
|---|---|---|---|
| Assets | 61.8 | 113.7 | 84% |
| Revenue | 3.63 | 5.89 | 62% |
Source: SEC filings, e*trade.com, author’s calculations.
