FirstEnergy Corp. (NYSE:FE) reported revenues of $309 million on GAAP basis in Q2 2020 compared to $308 million in Q2 2019. It expects to post revenues of $450 million in Q3 2020 and $1.13 billion for the whole year.
CEO of First Energy, Charles E. Jones, said the company posted better earnings in Q2 2020 despite ongoing coronavirus crisis. The staff at First Energy adhered to stringent safety measures while delivering energy to its clients.
FirstEnergy posted better results in Q2 2020 because of weather-related usage, incremental (rider) revenues in Pennsylvania and Ohio, and improved residential volume.
Its overall distribution revenues are dropped by 3.1% YoY in Q2 2020 because of ongoing coronavirus impact on industrial and commercial sales. The company reported a raise of 17.1% in residential revenues because several people stayed at home. It posted a drop of 14.4% in commercial deliveries.
Cooperates with the DOJ
Jones said the company will cooperate with the Department of Justice (DOJ) in an investigation that involves the speaker of the house in Ohio. It will ensure a proper understanding of its engagement in supporting HB6. The company said its support for the nuclear plants in Ohio does not supersede or interfere with the business’s ethical obligations.
The house speaker of Ohio is arrested for a bribery scheme of $60 million. First Energy stock is declined by almost 45% in just two days after the news of bribery scandal.
Declares 39 cents/share dividend
FirstEnergy’s board of directors declared a dividend of 39 cents for each share. It set the record date for dividend on August 7, 2020, and will pay to investors on September 1, 2020.
The company is the parent of 10 electric distribution firms that serve customers in New York, West Virginia, Pennsylvania, Ohio, New Jersey, and Maryland. Its transmission lines connect the mid-Atlantic and mid-west regions.
Commences construction in Altoona, Pennsylvania
In Altoona, PA, MAIT (Mid-Atlantic Interstate Transmission), a First Energy subsidiary, commenced laying a new transmission line. It helps restore power to the clients after interruptions caused by faulty equipment, accidents caused by vehicles, and storms.
The new 46 KV transmission line that links west fall substation in Penelec to 20th street substation situated close to the Boyer candy will benefit 3,000 commercial and residential customers downtown.