What caused DUK's Q4 2024 earnings to fall below forecasts?

Duke Energy's Q4 2024 earnings fell below forecasts due to a combination of factors:

1. Revenue Shortfall: The company's revenue for the quarter was $7.36 billion, which missed the expected $7.7 billion. This shortfall was primarily due to lower-than-expected sales in the Gas Utilities and Infrastructure segment, which was partly offset by higher revenues in the Electric Utilities and Infrastructure segment.
2. Higher Expenses: Increased operation and maintenance (O&M) expenses, including storm-related costs, higher depreciation from an expanding asset base, rising interest expenses, and the impact of milder weather contributed to the decline in earnings. These factors are part of the normal cost of doing business for Duke Energy, and their impact can vary from quarter to quarter based on weather conditions and the company's investment cycle.
3. Analyst Expectations: Analysts had expected a year-over-year decline in earnings on higher revenues when Duke Energy reported results for the quarter ended September 2024. This expectation was based on a Zacks Consensus Estimate of $1.73 per share, which represented a year-over-year change of -10.8%. The actual EPS of $1.66 missed the forecast by $0.02, representing a minor deviation.

In summary, Duke Energy's Q4 2024 earnings fell below forecasts due to a combination of lower-than-expected revenues and higher expenses. These factors, coupled with slightly lower-than-expected EPS, resulted in the company's earnings missing analyst forecasts.