Latest news with #profitdecline
Reuters
5 hours ago
- Business
- Reuters
Edison International's quarterly profit falls as L.A. wildfire investigations continue
July 31 (Reuters) - Edison International (EIX.N), opens new tab reported a fall in second-quarter profit on Thursday, as the utility grappled with higher operating expenses while facing investigations related to the Los Angeles wildfires earlier this year. Multiple wildfires in January scorched tens of thousands of acres across Los Angeles in what is expected to have been the most costly natural disaster in U.S. history, and the area's electric utilities have come under increasing scrutiny. While wildfires can cause extensive power outages by damaging power lines and infrastructure, they can also originate from these power lines. Southern California Edison (SCE), Edison International's subsidiary, is facing multiple lawsuits, which allege that its electrical equipment started one of the major wildfires in the Los Angeles area – the Eaton fire. While investigations into the cause of the Eaton Fire are going on, lawsuits have honed in on SCE transmission infrastructure in the hills above the community of Altadena as starting the blaze. "SCE is not aware of evidence pointing to another possible source of ignition," Edison CEO Pedro Pizarro said on a company earnings call. "Absent additional evidence, we believe that SCE equipment could have been associated with the ignition." The company attributed the earnings decline primarily to higher operations and maintenance expenses and the net impact of regulatory decisions at Southern California Edison (SCE). Higher interest expenses at the parent company level also contributed to the decrease. SCE said it expected to invest $6.2 billion to prevent wildfires being caused by, or affecting, its system. The company also plans to launch a wildfire recovery compensation program. California has a wildfire fund that protects utilities like SCE from wildfire liability. On Wednesday, Bloomberg News reported that California Governor Gavin Newsom was proposing legislation to bolster the state's fund with an additional $18 billion for utilities. Electricity ratepayers would contribute half the money through a monthly fee while the other half would be funded by utility companies that benefit from the fund, including Edison International, the report said. The company reaffirmed its forecast for adjusted earnings between $5.94 per share and $6.34 per share for 2025. Analysts expect $6.06 per share. The Rosemead, California-based company, posted second-quarter net income of $343 million, or 89 cents per share, compared with $385 million, or $1.14 per share, a year earlier.
Reuters
17 hours ago
- Business
- Reuters
Coal India's quarterly profit falls on weak power demand
July 31 (Reuters) - Coal India ( opens new tab, which produces about 80% of the country's coal, reported a quarterly profit decline on Thursday as shipment volumes and prices fell amid weak power demand. The state-run company, which mainly produces non-coking thermal coal for power generation and industrial use, said its consolidated net profit declined 20% year-on-year to 87.43 billion rupees ($998 million) in the quarter ended June 30. Revenue from operations dropped 4.4% to 358.42 billion rupees. Coal-fired power generation, which remains the dominant source of electricity in India, declined by nearly 3% in the first half of 2025. Meanwhile, overall power output growth declined by 1.5% as a milder summer — driven by earlier-than-expected monsoon showers — reduced demand for coal. Coal India's average realisation from so-called e-auction sales stood at 2,331.51 rupees per ton in June-quarter, lower than the 2,410.94 rupees per ton in the year-ago period, while overall average price realisation of coal supplied rose by two rupees from a year ago. The company gets 10% of its sales through e-auctions at near-spot rates, and sells the rest of its output to domestic customers through long-term contracts. ($1 = 87.6040 Indian rupees)
South China Morning Post
a day ago
- Business
- South China Morning Post
Samsung chip arm logs big profit miss in sign of widening crisis
Samsung Electronics' semiconductor division reported profit that fell far short of expectations, reflecting a deepening crisis at the world's largest memory chipmaker. The pivotal unit reported operating profit of 400 billion won (US$288 million) for the June quarter versus analysts' average projection for 2.73 trillion won, hurt by US export controls on high-bandwidth memory chips and losses at its foundry arm. South Korea's largest company, which gave grim preliminary operating profit and revenue numbers earlier in July, said on Thursday net income came to 4.93 trillion won, missing the analysts' estimate of 6.37 trillion won. Profit fell after Samsung's foundry arm, which relies in part on Chinese demand, booked a one-time inventory cost as export controls led to unsold AI chips. Usage rates also fell. The profit decline was despite solid demand for high-end memory products for servers, it said. Operating losses at its foundry unit are expected to narrow in the second half of the year on a gradual recovery in demand, the company said. A man walks past an ad for the Samsung Galaxy S25 series smartphones at a Samsung store in Seoul on July 8, 2025. Photo: AFP Samsung's underwhelming quarterly report comes after the company won a US$16.5 billion contract from Tesla to produce AI chips at an upcoming plant in Taylor, Texas. Its stock is up 10 per cent since news about the agreement broke on Monday, bringing Samsung's gains in July to over 20 per cent and putting the stock on track for its best month in more than four years.
Reuters
3 days ago
- Business
- Reuters
UPS quarterly revenue and profit drop on China tariffs; shares fall
July 29 (Reuters) - United Parcel Service (UPS.N), opens new tab reported a decline in second-quarter profit and revenue on Tuesday, as demand took a hit from new "de minimis" tariffs on low-value Chinese shipments and mounting risks from President Donald Trump's trade policies. Shares of the delivery giant dropped nearly 3% before the bell. The company did not update its full-year revenue or operating profit outlook for a second straight quarter, citing ongoing macroeconomic uncertainty. In its last forecast, issued in January, UPS projected 2025 revenue of $89 billion. The White House in May began collecting tariffs on shipments under $800 from China that were previously duty-free. While those levies were reduced to 54% from 120% as part of a trade truce, consumer demand is still expected to take a hit. Experts say the removal of the exemption likely creates a greater-than-expected volume headwind for the company, as customers may cut back on discretionary online purchases, reducing shipments from bargain e-commerce sellers such as Temu (PDD.O), opens new tab and Shein on UPS's most profitable China-U.S. trade lines. UPS and rival FedEx (FDX.N), opens new tab are seen as bellwethers for the health of the global economy as they serve clients across industries and geographies. Atlanta-based UPS reported consolidated revenues of $21.2 billion, compared with $21.8 billion last year. Revenue in its U.S. domestic segment declined to $14.08 billion from $14.20 billion, pressured by a sluggish recovery in retail sales and industrial activity. The company reported adjusted net income of $1.55 per share for the quarter ended June 30, from $1.79 per share a year earlier. UPS has been shuttering hundreds of facilities and slashing thousands of jobs as part of a sweeping overhaul, its largest ever, aimed at generating $3.5 billion in cost savings in 2025. In April, the company announced plans to cut 20,000 jobs due to shedding half of its shipping volume from (AMZN.O), opens new tab, its largest customer. UPS in July said it was offering voluntary buyouts to its unionized full-time drivers for the first time.
Yahoo
3 days ago
- Business
- Yahoo
UPS posts fall in second-quarter profit and revenue
(Reuters) -United Parcel Service reported a decline in second-quarter profit and revenue on Tuesday, as demand took a hit from new "de minimis" tariffs on low-value Chinese shipments and mounting risks from President Donald Trump's trade policies. The company reported adjusted net income of $1.55 per share for the quarter ended June 30, from $1.79 per share a year earlier. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
