Live Updates > Live Update Details
2025-07-29 20:00:30
[DTE Energy Profit Warning: Can a surge in investment break the deadlock amid weak natural gas and trading revenue?] ⑴ On July 29th, US utility DTE Energy reported second-quarter profits that fell short of Wall Street expectations, primarily due to declining revenue in its natural gas and energy trading divisions. ⑵ A 16.1% drop in natural gas prices in the quarter ended June 30th led to a 22.5% drop in profits in its energy trading division, to $24 million. ⑶ Meanwhile, quarterly profits in the natural gas division plummeted 50% to just $6 million due to rising operating, maintenance, and rate-based costs. ⑷ Despite this, DTE's largest electric division performed well, with second-quarter profits of $318 million, up from $279 million in the same period last year. ⑸ The company reiterated its full-year 2025 adjusted earnings per share forecast of $7.09 to $7.23, roughly in line with analysts' expectations of $7.22. (6) DTE stated that it had invested over $1.8 billion in utilities in the first half of 2025 and plans to invest $4.4 billion for the full year to enhance the safety and reliability of its electric and natural gas infrastructure. (7) These substantial investments are intended to meet the rapidly growing demand of data centers. Despite short-term profit pressure, they are likely to lay a solid foundation for the company in the long term. (8) For the three months ended June 30, the company reported adjusted earnings per share of $1.36, below analysts' expectations of $1.40.
