By Shawn Langlois, MarketWatch
SAN FRANCISCO -- PG&E Corp. said Tuesday that higher rates charged to its customer base across California led to a 16% jump in second-quarter profit.
The San Francisco-based utility said second-quarter net income rose 16% to $269 million, or 74 cents a share, from $232 million, or 65 cents a share, a year ago.
Total operating revenue rose to $3.2 billion from $3 billion.
Analysts polled by Thomson Financial had expected earnings, on average, of 66 cents a share and revenue of $3.19 billion.
PG&E reaffirmed its prior forecast for earnings from operations in a range of $2.70-$2.80 a share for 2007 and $2.90-$3.00 a share for 2008, both mostly in line with Wall Street targets.
The company said it has entered into several contracts with solar and wind providers to help it achieve its 20% renewable portfolio standard requirement.
PG&E shares rebounded from an early pullback to close up 2.7% at $46.36. The stock is down 2% since the beginning of the year while the broader Dow Jones Utility Average has tacked on about 10%.