"Our commitment to sustainability is not just about compliance but about leading the industry in innovation and efficiency."
— CEO
03Detailed Report
0HEC.L
American Electric Power Company Inc
Period
Q3 2024
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedMay 15, 2026
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Executive Summary
American Electric Power Company Inc (AEP) reported strong financial results for Q3 2024, highlighted by a revenue increase of 1.47% year-over-year to $5.42 billion and a significant quarter-over-quarter growth of 18.36%. The company's net income rose to $959.6 million, reflecting a year-over-year improvement of 0.62% and a remarkable 181.99% increase compared to the previous quarter. This performance is attributed to improvements in operational efficiency and cost management, despite rising interest expenses that reached $498.8 million. AEP's EBITDA margin also saw resilience, standing at approximately 43%. Management emphasized the company's focus on sustainable energy investments which will drive long-term growth and stability for shareholders.
Key Performance Indicators
Revenue
Increasing
5.42B
QoQ: 18.36% | YoY: 1.47%
Gross Profit
Increasing
3.42B
63.05% margin
QoQ: 19.52% | YoY: 4.84%
Operating Income
Decreasing
1.35B
QoQ: 97.62% | YoY: -0.13%
Net Income
Increasing
959.60M
QoQ: 181.99% | YoY: 0.62%
EPS
Decreasing
1.80
QoQ: 181.25% | YoY: -1.64%
Revenue Trend
Margin Analysis
Financial Highlights
### Financial Metrics Analysis
- Revenue: $5.42 billion, increased 1.47% YoY and 18.36% QoQ.
- Gross Profit: $3.42 billion, reflecting a 4.84% YoY increase and a 19.52% QoQ rise.
- Operating Income: $1.35 billion, showing a slight decrease of 0.13% YoY but a sharp 97.62% increase QoQ.
- Net Income: $959.6 million, up 0.62% YoY and up 181.99% QoQ.
- EPS: $1.80 per share, a decrease of 1.64% YoY but a significant increase of 181.25% QoQ.
These metrics highlight AEP's strong performance against industry challenges, particularly in managing costs and improving profitability drastically quarter-on-quarter.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
5.42B
1.47%
18.36%
Gross Profit
3.42B
4.84%
19.52%
Operating Income
1.35B
-0.13%
97.62%
Net Income
959.60M
0.62%
181.99%
EPS
1.80
-1.64%
181.25%
Key Financial Ratios
Gross Profit Margin
Fair
33.30%
Gross profit margin is moderate, room for improvement in cost management
Operating Profit Margin
Excellent
25.90%
Operating margin is exceptional, indicating strong pricing power and operational efficiency
Net Profit Margin
Good
17.50%
Net profit margin is healthy and competitive within industry standards
Return on Assets
Weak
0.96%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
3.61%
Return on equity suggests inefficient capital allocation
Current Ratio
Concern
0.57
Current ratio below safe levels, potential liquidity risk
Debt to Equity
High Risk
1.64
Debt-to-equity indicates high leverage and elevated financial risk
P/E Ratio
Value
14.23x
P/E ratio suggests potential undervaluation or stable earnings
Price to Book
Fair Value
2.05x
Price-to-book ratio reasonable for profitable companies
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