Constellation Energy earnings fall short

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First quarter net earnings fell to $145.7 million, or 81 cents per share, from $195.7 million, or $1.07 per share in the same period last year.

NEW YORK (Reuters) - Power company Constellation Energy Group Inc <CEG.N> on Wednesday posted quarterly earnings that fell well short of Wall Street forecasts on weaker profits from its merchant power arm.

First quarter net earnings fell to $145.7 million, or 81 cents per share, from $195.7 million, or $1.07 per share in the same period last year.

Excluding one-time items, discontinued operations, the company's adjusted earnings totaled 95 cents per share, 8 percent lower than the $1.03 it earned same period last year and below analysts' average forecast of $1.25 per share, according to Reuters Estimates.

Constellation's Baltimore Gas and Electric utility posted a 1-cent increase in adjusted earnings per share to 37 cents.

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But its merchant energy arm, which sells electricity in the non-regulated markets, saw adjusted earnings slide to 58 cents per share from 62 cents a year earlier.

Constellation backed its 2008 outlook of $5.25 to $5.75 per share. For 2009, the company expects earnings to rise 15 percent to 20 percent over projected 2008 earnings.

Revenue fell to $4.83 billion from $5.11 billion.

(Reporting by Christopher Kaufman; Editing by Derek Caney)