Exelon's Q2 Earnings In Line With Estimates, Revenues Rise Y/Y

Total Revenues of Exelon

Revenues totaled $5.97 billion, beating the Zacks Consensus Estimate of $5.66 billion by 5.46%.  The top line increased 10% from the year-ago figure of $5.43 billion.

EXC’s Costs Rise as Adjusted Earnings Improve

In the reported quarter, the company served more customers than in the year-ago quarter. Consequently, total electric deliveries reached 41,742 gigawatt hours in the first six months of 2026, up 0.1% from the year-ago period. 

Total operating expenses increased 10.8% year over year to $4.99 billion. The rise was primarily due to higher purchased power and fuel costs, which increased 16.6% to $2.21 billion, as well as a 4.9% jump in operating and maintenance expenses to $1.39 billion.

Operating income amounted to $979 million, up 5.6% year over year.

Interest expenses totaled $574 million, up nearly 8.1% from the year-ago quarter’s level.

In the reported quarter, adjusted net income was $438 million, up 11.7% from $392 million in the year-ago quarter.

EXC Posts Mixed Results Across Utilities

Commonwealth Edison Company (ComEd): Adjusted earnings increased 9.2% year over year to $249 million. The increase was primarily driven by growth in its distribution and transmission rates based on incremental customer-focused investments, along with higher AFUDC.

PECO Energy Company (PECO): Adjusted operating earnings for the reported quarter declined 4.4% to $130 million. The decrease was mainly attributable to higher depreciation, interest expense and tax-repair-related income taxes, despite support from favorable weather and the absence of customer surcharge credits.

Baltimore Gas and Electric Company (BGE): Adjusted earnings for the second quarter advanced 27.3% to $70 million, reflecting approved distribution rates. Higher credit loss expenses partially offset the benefit.

Pepco Holdings LLC (PHI): Adjusted operating earnings for the reported quarter decreased 12.5% to $126 million. Higher depreciation weighed on results, while approved distribution and transmission rates provided a partial offset.

Exelon’s Cash Flow Rises as Capital Spending & Debt Increase

Cash and cash equivalents totaled $1.81 billion as of June 30, 2026 compared with $626 million at the end of 2025.

As of June 30, 2026, long-term debt was $50.31 billion compared with $47.41 billion as of Dec. 31, 2025. 

Exelon generated $3.67 billion in operating cash flow during the first six months of 2026, up from $2.71 billion in the year-ago period. 

Capital expenditures for the first six months of 2026 increased to $4.56 billion from $3.96 billion, reflecting the company's continued investment in utility infrastructure.

The company had completed about 86% of its planned 2026 debt financings by the end of the second quarter. Exelon also priced roughly 37% of its $3.4 billion equity requirement through 2029 using forward contracts.

Exelon Advances Storage & Regulatory Plans

BGE filed an electric distribution rate case with the Maryland Public Service Commission in July. The utility requested a $156.1 million annual revenues increase based on a 10.40% return on equity. A decision is expected in January 2027.

Atlantic City Electric also filed a proposal for up to 500 megawatts of utility-owned battery storage in New Jersey. The project is targeted for completion by late 2030. Management expects customer benefits to exceed total life-cycle costs, with no customer bill impact through at least 2035.

EXC Reaffirms Its 2026 Earnings Outlook

Exelon reaffirmed its 2026 adjusted operating earnings guidance of $2.81-$2.91 per share. The company also continues to expect annualized adjusted operating earnings growth near the upper end of its 5-7% target through 2029. The Zacks Consensus Estimate for the same is pinned at $2.86 per share, on par with the midpoint of the company’s guided range. 

The outlook is supported by a $41.7 billion capital investment plan and projected rate-base growth of 7.9%. Exelon also identified $12-$17 billion of potential transmission investment opportunities beyond the current plan, primarily related to reliability, load growth, new generation and competitive transmission projects.

EXC's Zacks Rank

Exelon carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Releases

Duke Energy DUK is scheduled to report second-quarter results on Aug. 4, before the market opens. The Zacks Consensus Estimate for earnings is pegged at $1.29 per share, which suggests a year-over-year increase of 3.20%.

DUK’s long-term (three to five years) earnings growth rate is 6.76%. The Zacks Consensus Estimate for 2026 earnings is pinned at $6.72 per share, which implies a year-over-year improvement of 6.50%.

Consolidated Edison ED is slated to report second-quarter results on Aug. 6, after market close. The Zacks Consensus Estimate for earnings is pegged at 74 cents per share, which implies a year-over-year increase of 10.45%.

ED’s long-term earnings growth rate is 6.32%. The Zacks Consensus Estimate for 2026 earnings is pinned at $6.09 per share, which implies a year-over-year improvement of 6.84%.

PPL Corporation PPL is scheduled to report second-quarter results on Aug. 7, before the market opens. The Zacks Consensus Estimate for earnings is pegged at 35 cents per share, which implies year-over-year growth of 9.38%.

PPL’s long-term earnings growth rate is 7.52%. The Zacks Consensus Estimate for 2026 earnings is pinned at $1.94 per share, which implies a year-over-year improvement of 7.18%.

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