Ameren Corp (NYSE:AEE) stock fell 0.11% (As on Feb 18, 11:50:06 AM UTC-4, Source: Google Finance) after the company posted mixed results for the fourth quarter of FY 21. Ameren Missouri 2021 earnings were $518 million, compared to 2020 earnings of $436 million. The year-over-year improvement reflected increased earnings on infrastructure investments, including wind generation, and higher electric retail sales as the economy continues to recover from the impacts of COVID-19. Earnings also increased due to new electric service rates effective April 1, 2020. Ameren Illinois Electric Distribution 2021 earnings were $165 million, compared to 2020 earnings of $143 million. The year-over-year improvement reflected increased earnings on infrastructure investments and a higher allowed return on equity due to a higher average 30-year U.S. Treasury bond yield in 2021 compared to 2020. Ameren Illinois Natural Gas 2021 earnings were $108 million, compared to 2020 earnings of $99 million. The year-over-year improvement reflected higher delivery services rates effective late January 2021. Ameren Transmission 2021 earnings were $230 million, compared to 2020 earnings of $216 million. Ameren Parent results for 2021 reflected a loss of $31 million, compared to a 2020 loss of $23 million. The year-over-year comparison reflected increased interest expense, primarily due to higher long-term debt outstanding.
AEE in the fourth quarter of FY 21 has reported the adjusted earnings per share of 48 cents, missing the analysts’ estimates for the adjusted earnings per share of 49 cents, according to figures compiled by Thomson Reuters. The company had reported the adjusted revenue growth of 16.5 percent to $1.55 billion in the fourth quarter of FY 21, from $1.33 billion last year.
Ameren expects 2022 diluted earnings per share to be in a range of $3.95 to $4.15. Ameren expects diluted earnings per share to grow at a 6% to 8% compound annual rate from 2022 through 2026, using the 2022 guidance range midpoint of $4.05 per share as the base. Ameren’s multi-year earnings growth is expected to be driven by strong projected rate base growth of approximately 7% compounded annually from 2021 through 2026.
On the other hand, the subsidiary of Ameren Corp., Ameren Missouri has agreed to buy a 150-megawatt solar facility project from Chicago-based energy project developer Invenergy. The project is being developed in southeastern Illinois, could begin generating energy as soon as 2024, subject to regulatory approvals. Terms of the purchase, and the exact location of the project, weren’t disclosed.