Edison Profit Falls on Expenses

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Electric utility Edison International said its third-quarter earnings fell 5 percent as revenue growth was offset by a regulatory penalty against its Southern California Edison unit. The results didn’t meet Wall Street expectations.

Rosemead-based Edison on Friday reported net income of $439 million ($1.33 a share) compared with $461 million ($1.39) a year ago. Revenue rose 4.3 percent to $4.11 billion.

The California Public Utilities Commission in September ordered SoCal Edison utility to pay nearly $148 million for faking data on customer satisfaction and safety used to justify higher rates over seven years.

Excluding the penalty and other one-time items, Edison said it earned $1.46 per share. That surprised analysts surveyed by Thomson Reuters, who on average had expected adjusted earnings of $1.54 per share on $4.39 billion revenue.

Edison reaffirmed its full-year guidance range of $3.61 to $4.01 per share, but said it expects the results to be in the middle of that range instead of the high end. The analyst consensus is for $3.91 per share profit.

Edison shares were down 95 cents, or 3 percent, to $34.07 in morning trading on the New York Stock Exchange.

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