Investment Thesis
Exelon demonstrates solid operational profitability with 21.2% operating margins and strong interest coverage of 13.5x, indicating stable utility operations and financial sustainability. However, negative free cash flow of -$2.3B and elevated leverage (1.72x debt/equity) raise concerns about capital intensity and dividend sustainability, requiring careful monitoring of infrastructure investment efficiency.
EXC Strengths
- Strong operating margin of 21.2% reflects efficient utility operations and pricing power
- Robust interest coverage ratio of 13.5x provides substantial debt service cushion and financial stability
- Solid net margin of 11.4% with revenue growth of 5.3% YoY demonstrates business expansion
- Substantial operating cash flow of $6.3B supports dividend and debt obligations
EXC Risks
- Negative free cash flow of -$2.3B indicates capex exceeds operating cash generation, raising sustainability concerns
- High leverage ratio of 1.72x debt/equity limits financial flexibility and refinancing risk in rising rate environment
- Depressed returns on equity (9.6%) and assets (2.4%) suggest capital is not being deployed efficiently
- Weak liquidity position with current ratio of 0.92x below 1.0x threshold indicates short-term working capital stress
Key Metrics to Watch
- Free cash flow trend and ability to achieve positive FCF while maintaining capital discipline
- Debt/equity ratio trajectory and management's deleveraging progress
- Operating cash flow growth relative to capital expenditure requirements
- Return on equity improvement and capital efficiency on infrastructure investments
EXC Financial Metrics
EXC Profitability Ratios
EXC Balance Sheet & Liquidity
EXC 5-Year Financial Trend
5-Year Trend Summary: EXELON CORP's revenue has declined by 33% over the 5-year period, indicating business contraction. The most recent EPS of $3.01 reflects profitable operations.
EXC Growth Metrics (YoY)
EXC Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $6.2B | $391.0M | $0.70 |
| Q2 2025 | $5.4B | $391.0M | $0.39 |
| Q1 2025 | $6.0B | $658.0M | $0.66 |
| Q3 2024 | $6.0B | $343.0M | $0.70 |
| Q2 2024 | $4.8B | $343.0M | $0.34 |
| Q1 2024 | $5.6B | $658.0M | $0.66 |
| Q3 2023 | $4.8B | $343.0M | N/A |
| Q2 2023 | $4.2B | $343.0M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
EXC Capital Allocation
EXC SEC Filings
Access official SEC EDGAR filings for EXELON CORP (CIK: 0001109357)