Edison International · NYSE:EIX
Edison International — Q1 2020 Earnings Presentation
14 slides from Edison International's earnings presentation, Apr 30, 2020
Slide 1: First Quarter 2020 Financial Results
First Quarter 2020 Financial Results April 30, 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements contained in this presentation about future performance, including, without limitation, operating results, capital expenditures, rate base growth, dividend policy, financial outlook, and other statements that are not purely historical, are forward-looking statem
Slide 3: Focus on Operations During COVID-19 Pandemic
Focus on Operations During COVID-19 Pandemic • Safety of workers and communities is our first priority; procedures in place to protect workers that align with guidance from the World Health Organization and Center for Disease Control • About 2/3 of all employees have been teleworking since March 16;
Slide 4: First Quarter Earnings Summary
First Quarter Earnings Summary Q1 Q1 Key SCE EPS Drivers4 2020 2019 Variance Higher revenue $ 0.42 - CPUC revenue 0.37 Basic Earnings Per Share (EPS)1 - FERC revenue 0.05 SCE $ 0.60 $ 0.90 $ (0.30) Higher O&M (0.28) Higher depreciation (0.01) EIX Parent & Other (0.10) (0.05) (0.05) Higher interest e
Slide 5: SCE Capital Expenditure Forecast
SCE Capital Expenditure Forecast ($ billions) $19.4 - $21.2 billion capital program Distribution for 2020-2023 Transmission • This capital forecast includes: Generation 1 2018 GRC approved CPUC capital spend Wildire mitigation-related spend for 2019-2020 $5.4 $5.4 $5.4 2021 GRC requested CPUC ca
Slide 6: SCE Rate Base Forecast
SCE Rate Base Forecast ($ billions) $41.0 $38.2 $35.9 $33.4 $30.8 $28.5 Range Case 1 CAGR 2018 2019 2020 2021 2022 2023 Range Case 2 $28.5 $30.8 $33.3 $35.1 $37.0 $39.2 6.6% 1. Morongo Transmission holds an option to invest up to $400 million in the West of Devers Transmission Project, or half of th
Slide 7: Regulatory Mechanisms Provide Revenue Certainty
Regulatory Mechanisms Provide Revenue Certainty • Earnings not affected by variability of retail electricity sales Revenue • Long-standing regulatory mechanism that annually adjusts rates to collect/refund variance Decoupling from authorized revenue requirement • Base Revenue Requirement Balancing A
Slide 8: Pension Well-Funded at Year End 2019
Pension Well-Funded at Year End 2019 Postretirement Benefits Other Than Pensions Pension Benefits are 96% Funded (PBOP) are 119% Funded with Resilient Asset with Resilient Asset Allocation1 Allocation2 Total Plan Assets: $3.8 billion Represented PBOP Trust: $1.4 billion Global Equity 10% Alternative
Slide 9: Strong EIX and SCE Liquidity Profiles
Strong EIX and SCE Liquidity Profiles ($ billions) Liquidity Profile1 Financing Activities • Targeting EIX long-term FFO/debt ratio of 15-17% $6.4 • EIX financing activities: $800 million 364-day term loan to enhance financial flexibility drawn on March 25th $4.0 $400 million senior note offerin
Slide 10: 2020 EIX Core Earnings Guidance
2020 EIX Core Earnings Guidance 2020 Assumption Additional Notes CPUC Rate Base $26.8 billion Return on Equity (ROE) 10.30% 2020 Cost of Capital Final Decision Capital Structure 52% equity 2020 Cost of Capital Final Decision FERC Rate Base $6.6 billion ~20% of total 2020 rate base forecast ROE Infor
Slide 11: Appendix
Appendix April 30, 2020 Energy for What's Ahead* 10
Slide 12: Earnings Per Share Non-GAAP Reconciliations
Earnings Per Share Non-GAAP Reconciliations Reconciliation of EIX Basic Earnings Per Share Guidance to EIX Core Earnings Per Share Guidance EPS Attributable to Edison International 2020 Low High Basic EIX EPS $4.19 $4.49 Total Non-Core Items1 (0.13) (0.13) Core EIX EPS $4.32 $4.62 1. EPS is calculat
Slide 13: Earnings Non-GAAP Reconciliations
Earnings Non-GAAP Reconciliations ($ millions) Reconciliation of EIX GAAP Earnings to EIX Core Earnings Q1 Q1 Earnings Attributable to Edison International 2020 2019 SCE $219 $293 EIX Parent & Other (36) (15) Basic Earnings $183 $278 Non-Core Items SCE1,2,3 ($42) 72 EIX Parent & Other3 (3) — Total N
Slide 14: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Edison International's earnings are prepared in accordance with generally accepted accounting principles used in the United States. Management uses core earnings (losses) internally for financial planning and for analysis of performance. Core earnings (losses) are