CenterPoint Energy Reports Third Quarter 2019 Earnings of $0.47 Per Diluted Share; $0.53 Earnings Per Diluted Share on a Guidance Basis, Excluding Certain Impacts Associated With the Vectren Merger
• Reiterate full-year 2019 EPS guidance, anticipate achieving near the upper end of the
• Utilities led company to a strong third quarter performance
“Our utilities delivered another strong performance this quarter, driven by solid customer growth, disciplined cost management and favorable weather,” said
Business Segments
The
The
Natural Gas Distribution
The natural gas distribution segment reported operating income of
Energy Services
The energy services segment reported operating income of
Infrastructure Services
The infrastructure services segment reported operating income of
Midstream Investments
The midstream investments segment reported
Corporate and Other
The corporate and other segment reported operating income of
Earnings Outlook
-
Anticipate delivering full year 2019 guidance basis EPS near the upper end of our guidance range of
$1.60 - $1.70 . This guidance excludes:-
Certain impacts associated with the merger:
- Integration and transaction-related fees and expenses, including severance and other costs to achieve the anticipated cost savings as a result of the merger
- Merger financing impacts in January, prior to the completion of the merger, due to the issuance of debt and equity securities to fund the merger that resulted in higher net interest expense, preferred stock dividend requirements and higher common stock share count
-
Potential impacts of the pending
Houston Electric rate case
-
Certain impacts associated with the merger:
- 2020 guidance range and EPS growth target to be provided on fourth quarter 2019 earnings call following normal annual financial planning process
The 2019 guidance range considers operations performance to date and assumptions for certain significant variables that may impact earnings, such as customer growth (approximately 2% for electric operations and 1% for natural gas distribution) and usage including normal weather, throughput, commodity prices, recovery of capital invested through rate cases and other rate filings (excluding potential impacts of the pending
In providing this guidance,
|
Quarter Ended |
||||||||||||||
|
September 30, 2019 |
|
September 30, 2018 |
||||||||||||
|
Dollars
|
|
Diluted EPS(1) |
|
Dollars
|
|
Diluted
|
||||||||
Consolidated income available to common shareholders and diluted EPS |
$ |
241 |
|
|
$ |
0.47 |
|
|
$ |
153 |
|
|
$ |
0.35 |
|
Timing effects impacting CES (2): |
|
|
|
|
|
|
|
||||||||
Mark-to-market (gains) losses (net of taxes of $1 and $0) (3) |
1 |
|
|
— |
|
|
(1 |
) |
|
— |
|
||||
ZENS-related mark-to-market (gains) losses: |
|
|
|
|
|
|
|
||||||||
Marketable securities (net of taxes of $12 and $9) (3)(4) |
(47 |
) |
|
(0.09 |
) |
|
(34 |
) |
|
(0.08 |
) |
||||
Indexed debt securities (net of taxes of $12 and $10) (3) |
50 |
|
|
0.10 |
|
|
34 |
|
|
0.08 |
|
||||
Consolidated on a guidance basis |
$ |
245 |
|
|
$ |
0.48 |
|
|
$ |
152 |
|
|
$ |
0.35 |
|
Impacts associated with the Vectren merger: |
|
|
|
|
|
|
|
||||||||
Impacts associated with the Vectren merger (net of taxes of $5 and $2) (3) |
20 |
|
|
0.05 |
|
|
18 |
|
|
0.04 |
|
||||
Consolidated on a guidance basis, excluding impacts associated with the Vectren merger |
$ |
265 |
|
|
$ |
0.53 |
|
|
$ |
170 |
|
|
$ |
0.39 |
|
(1) |
Quarterly diluted EPS on both a GAAP and guidance basis are based on the weighted average number of shares outstanding during the quarter, and the sum of the quarters may not equal year-to-date diluted EPS |
(2) |
Energy Services segment |
(3) |
Taxes are computed based on the impact removing such item would have on tax expense |
(4) |
Comprised of common stock of AT&T Inc. and Charter Communications, Inc. |
Filing of Form 10-Q for
Today,
Webcast of Earnings Conference Call
CenterPoint Energy’s management will host an earnings conference call on
Headquartered in
This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future earnings, and future financial performance and results of operations, including, but not limited to earnings guidance, targeted dividend growth rate and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release.
Risks Related to
Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) the performance of
Use of Non-GAAP Financial Measures by
In addition to presenting its financial results in accordance with generally accepted accounting principles (GAAP), including presentation of income available to common shareholders and diluted earnings per share,
Management evaluates the company’s financial performance in part based on adjusted income and adjusted diluted earnings per share. Management believes that presenting these non-GAAP financial measures enhances an investor’s understanding of CenterPoint Energy’s overall financial performance by providing them with an additional meaningful and relevant comparison of current and anticipated future results across periods. The adjustments made in these non-GAAP financial measures exclude items that Management believes does not most accurately reflect the company’s fundamental business performance. These excluded items are reflected in the reconciliation tables of this news release, where applicable. CenterPoint Energy’s adjusted income and adjusted diluted earnings per share non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, income available to common shareholders and diluted earnings per share, which respectively are the most directly comparable GAAP financial measures. These non-GAAP financial measures also may be different than non-GAAP financial measures used by other companies.
CenterPoint Energy, Inc. and Subsidiaries |
|||||||||||||||
Condensed Statements of Consolidated Income |
|||||||||||||||
(Millions of Dollars) |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
Quarter Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
2019 |
|
2018 |
|
2019 |
|
2018 |
||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
Utility revenues |
$ |
1,539 |
|
|
$ |
1,299 |
|
|
$ |
5,255 |
|
|
$ |
4,534 |
|
Non-utility revenues |
1,203 |
|
|
913 |
|
|
3,816 |
|
|
3,019 |
|
||||
Total |
2,742 |
|
|
2,212 |
|
|
9,071 |
|
|
7,553 |
|
||||
Expenses: |
|
|
|
|
|
|
|
||||||||
Utility natural gas, fuel and purchased power
|
179 |
|
|
134 |
|
|
1,178 |
|
|
959 |
|
||||
Non-utility cost of revenues, including natural gas
|
852 |
|
|
864 |
|
|
3,013 |
|
|
2,927 |
|
||||
Operation and maintenance |
871 |
|
|
567 |
|
|
2,616 |
|
|
1,714 |
|
||||
Depreciation and amortization |
334 |
|
|
326 |
|
|
987 |
|
|
982 |
|
||||
Taxes other than income taxes |
114 |
|
|
95 |
|
|
353 |
|
|
307 |
|
||||
Total |
2,350 |
|
|
1,986 |
|
|
8,147 |
|
|
6,889 |
|
||||
Operating Income |
392 |
|
|
226 |
|
|
924 |
|
|
664 |
|
||||
Other Income (Expense): |
|
|
|
|
|
|
|
||||||||
Gain on marketable securities |
59 |
|
|
43 |
|
|
206 |
|
|
66 |
|
||||
Loss on indexed debt securities |
(62 |
) |
|
(44 |
) |
|
(216 |
) |
|
(316 |
) |
||||
Interest and other finance charges |
(134 |
) |
|
(90 |
) |
|
(389 |
) |
|
(259 |
) |
||||
Interest on Securitization Bonds |
(9 |
) |
|
(16 |
) |
|
(31 |
) |
|
(46 |
) |
||||
Equity in earnings of unconsolidated affiliates, net |
77 |
|
|
81 |
|
|
213 |
|
|
208 |
|
||||
Other income, net |
9 |
|
|
9 |
|
|
40 |
|
|
16 |
|
||||
Total |
(60 |
) |
|
(17 |
) |
|
(177 |
) |
|
(331 |
) |
||||
Income Before Income Taxes |
332 |
|
|
209 |
|
|
747 |
|
|
333 |
|
||||
Income tax expense |
62 |
|
|
51 |
|
|
113 |
|
|
85 |
|
||||
Net Income |
270 |
|
|
158 |
|
|
634 |
|
|
248 |
|
||||
Preferred stock dividend requirement |
29 |
|
|
5 |
|
|
88 |
|
|
5 |
|
||||
Income Available to Common Shareholders |
$ |
241 |
|
|
$ |
153 |
|
|
$ |
546 |
|
|
$ |
243 |
|
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries | |||||||||||||||
Selected Data From Statements of Consolidated Income |
|||||||||||||||
(Million of Dollars, Except Share and Per Share Amounts) |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
Quarter Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
2019 |
|
2018 |
|
2019 |
|
2018 |
||||||||
Basic Earnings Per Common Share |
$ |
0.48 |
|
|
$ |
0.35 |
|
|
$ |
1.09 |
|
|
$ |
0.56 |
|
Diluted Earnings Per Common Share |
$ |
0.47 |
|
|
$ |
0.35 |
|
|
$ |
1.08 |
|
|
$ |
0.56 |
|
Dividends Declared per Common Share |
$ |
0.2875 |
|
|
$ |
0.2775 |
|
|
$ |
0.5750 |
|
|
$ |
0.5550 |
|
Dividends Paid per Common Share |
$ |
0.2875 |
|
|
$ |
0.2775 |
|
|
$ |
0.8625 |
|
|
$ |
0.8325 |
|
Weighted Average Common Shares Outstanding (000): |
|
|
|
|
|
|
|
||||||||
- Basic |
502,228 |
|
|
431,554 |
|
|
501,986 |
|
|
431,437 |
|
||||
- Diluted |
505,080 |
|
|
434,891 |
|
|
504,838 |
|
|
434,774 |
|
||||
|
|
|
|
|
|
|
|
||||||||
Operating Income (Loss) by Reportable Segment |
|
|
|
|
|
|
|
||||||||
Houston Electric T&D: |
|
|
|
|
|
|
|
||||||||
TDU |
$ |
261 |
|
|
$ |
214 |
|
|
$ |
495 |
|
|
$ |
480 |
|
Bond Companies |
8 |
|
|
13 |
|
|
27 |
|
|
43 |
|
||||
Total Houston Electric T&D |
269 |
|
|
227 |
|
|
522 |
|
|
523 |
|
||||
Indiana Electric Integrated |
48 |
|
|
— |
|
|
64 |
|
|
— |
|
||||
Natural Gas Distribution |
27 |
|
|
3 |
|
|
241 |
|
|
166 |
|
||||
Energy Services |
2 |
|
|
(9 |
) |
|
64 |
|
|
(20 |
) |
||||
Infrastructure Services |
42 |
|
|
— |
|
|
50 |
|
|
— |
|
||||
Corporate and Other |
4 |
|
|
5 |
|
|
(17 |
) |
|
(5 |
) |
||||
Total |
$ |
392 |
|
|
$ |
226 |
|
|
$ |
924 |
|
|
$ |
664 |
|
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries |
|||||||||||||||||||||
Results of Operations by Segment |
|||||||||||||||||||||
(Millions of Dollars, Except Throughput and Customer Data) |
|||||||||||||||||||||
(Unaudited) |
|||||||||||||||||||||
Houston Electric T&D |
|||||||||||||||||||||
|
Quarter Ended September 30, |
|
% Diff |
|
Nine Months Ended September 30, |
|
% Diff |
||||||||||||||
|
2019 |
|
2018 |
|
Fav/Unfav |
|
2019 |
|
2018 |
|
Fav/Unfav |
||||||||||
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
TDU |
$ |
776 |
|
|
$ |
735 |
|
|
6 |
% |
|
$ |
2,043 |
|
|
$ |
2,009 |
|
|
2 |
% |
Bond Companies |
|
83 |
|
|
|
162 |
|
|
(49 |
)% |
|
|
270 |
|
|
|
493 |
|
|
(45 |
)% |
Total |
|
859 |
|
|
|
897 |
|
|
(4 |
)% |
|
|
2,313 |
|
|
|
2,502 |
|
|
(8 |
)% |
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operation and maintenance, excluding Bond Companies |
|
357 |
|
|
|
367 |
|
|
3 |
% |
|
|
1,080 |
|
|
|
1,056 |
|
|
(2 |
)% |
Depreciation and amortization, excluding Bond Companies |
|
95 |
|
|
|
95 |
|
|
— |
|
|
|
282 |
|
|
|
293 |
|
|
4 |
% |
Taxes other than income taxes |
|
63 |
|
|
|
59 |
|
|
(7 |
)% |
|
|
186 |
|
|
|
180 |
|
|
(3 |
)% |
Bond Companies |
|
75 |
|
|
|
149 |
|
|
50 |
% |
|
|
243 |
|
|
|
450 |
|
|
46 |
% |
Total expenses |
|
590 |
|
|
|
670 |
|
|
12 |
% |
|
|
1,791 |
|
|
|
1,979 |
|
|
9 |
% |
Operating Income |
$ |
269 |
|
|
$ |
227 |
|
|
19 |
% |
|
$ |
522 |
|
|
$ |
523 |
|
|
— |
|
Operating Income: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
TDU |
$ |
261 |
|
|
$ |
214 |
|
|
22 |
% |
|
$ |
495 |
|
|
$ |
480 |
|
|
3 |
% |
Bond Companies |
|
8 |
|
|
|
13 |
|
|
(38 |
)% |
|
|
27 |
|
|
|
43 |
|
|
(37 |
)% |
Total Segment Operating Income |
$ |
269 |
|
|
$ |
227 |
|
|
19 |
% |
|
$ |
522 |
|
|
$ |
523 |
|
|
— |
|
Actual MWH Delivered |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential |
|
11,224,256 |
|
|
|
10,554,656 |
|
|
6 |
% |
|
|
24,392,141 |
|
|
|
24,486,317 |
|
|
— |
|
Total |
|
28,379,262 |
|
|
|
27,014,925 |
|
|
5 |
% |
|
|
71,416,612 |
|
|
|
70,346,601 |
|
|
2 |
% |
Weather (percentage of 10-year average for service area): |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cooling degree days |
|
110 |
% |
|
|
101 |
% |
|
9 |
% |
|
|
106 |
% |
|
|
104 |
% |
|
2 |
% |
Heating degree days |
— |
% |
|
— |
% |
|
— |
% |
|
|
93 |
% |
|
|
95 |
% |
|
(2 |
)% |
||
Number of metered customers - end of period: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential |
|
2,232,740 |
|
|
|
2,188,211 |
|
|
2 |
% |
|
|
2,232,740 |
|
|
|
2,188,211 |
|
|
2 |
% |
Total |
|
2,523,450 |
|
|
|
2,475,018 |
|
|
2 |
% |
|
|
2,523,450 |
|
|
|
2,475,018 |
|
|
2 |
% |
Indiana Electric Integrated (1) |
|||||
|
Quarter Ended
|
|
Nine Months Ended
|
||
Revenues |
$ |
165 |
|
$ |
388 |
Utility natural gas, fuel and purchased power |
|
46 |
|
|
112 |
Revenues less Utility natural gas, fuel and purchased power |
|
119 |
|
|
276 |
Expenses: |
|
|
|
||
Operation and maintenance |
|
42 |
|
|
136 |
Depreciation and amortization |
|
25 |
|
|
66 |
Taxes other than income taxes |
|
4 |
|
|
10 |
Total expenses |
|
71 |
|
|
212 |
Operating Income |
$ |
48 |
|
$ |
64 |
Actual MWH Delivered |
|
|
|
||
Retail |
|
1,416 |
|
|
3,277 |
Wholesale |
|
139 |
|
|
291 |
Total |
|
1,555 |
|
|
3,568 |
Number of metered customers - end of period: |
|
|
|
||
Residential |
|
128,381 |
|
|
128,381 |
Total |
|
147,337 |
|
|
147,337 |
|
|
|
|
||
(1) Represents February 1, 2019 through September 30, 2019 results only due to the Merger. |
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries | ||||||||||||||||||||||
Results of Operations by Segment |
||||||||||||||||||||||
(Millions of Dollars, Except Throughput and Customer Data) |
||||||||||||||||||||||
(Unaudited) |
||||||||||||||||||||||
|
Natural Gas Distribution (1) |
|||||||||||||||||||||
|
Quarter Ended September 30, |
|
% Diff |
|
Nine Months Ended September 30, |
|
% Diff |
|||||||||||||||
|
2019 |
|
2018 |
|
Fav/Unfav |
|
2019 (1) |
|
2018 |
|
Fav/Unfav |
|||||||||||
Revenues |
$ |
524 |
|
|
$ |
410 |
|
|
28 |
% |
|
$ |
2,583 |
|
|
$ |
2,058 |
|
|
26 |
% |
|
Utility natural gas, fuel and purchased power |
|
125 |
|
|
|
120 |
|
|
(4 |
)% |
|
|
1,118 |
|
|
|
972 |
|
|
(15 |
)% |
|
Revenues less Utility natural gas, fuel and purchased power |
|
399 |
|
|
|
290 |
|
|
38 |
% |
|
|
1,465 |
|
|
|
1,086 |
|
|
35 |
% |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operation and maintenance |
|
221 |
|
|
|
183 |
|
|
(21 |
)% |
|
|
767 |
|
|
|
592 |
|
|
(30 |
)% |
|
Depreciation and amortization |
|
108 |
|
|
|
73 |
|
|
(48 |
)% |
|
|
308 |
|
|
|
210 |
|
|
(47 |
)% |
|
Taxes other than income taxes |
|
43 |
|
|
|
31 |
|
|
(39 |
)% |
|
|
149 |
|
|
|
118 |
|
|
(26 |
)% |
|
Total expenses |
|
372 |
|
|
|
287 |
|
|
(30 |
)% |
|
|
1,224 |
|
|
|
920 |
|
|
(33 |
)% |
|
Operating Income |
$ |
27 |
|
|
$ |
3 |
|
|
800 |
% |
|
$ |
241 |
|
|
$ |
166 |
|
|
45 |
% |
|
Throughput data in BCF |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Residential |
|
16 |
|
|
13 |
|
|
23 |
% |
|
|
160 |
|
|
|
123 |
|
|
30 |
% |
||
Commercial and Industrial |
|
88 |
|
|
53 |
|
|
66 |
% |
|
|
326 |
|
|
|
208 |
|
|
57 |
% |
||
Total Throughput |
|
104 |
|
|
66 |
|
|
58 |
% |
|
|
486 |
|
|
|
331 |
|
|
47 |
% |
||
Weather (average for service area) |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Percentage of 10-year average: |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Heating degree days |
|
18 |
% |
|
|
119 |
% |
|
(101 |
)% |
|
|
100 |
% |
|
|
103 |
% |
|
(3 |
)% |
|
Number of customers - end of period: |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Residential |
|
4,194,232 |
|
|
|
3,205,916 |
|
|
31 |
% |
|
|
4,194,232 |
|
|
|
3,205,916 |
|
|
31 |
% |
|
Commercial and Industrial |
|
344,858 |
|
|
|
255,244 |
|
|
35 |
% |
|
|
344,858 |
|
|
|
255,244 |
|
|
35 |
% |
|
Total |
|
4,539,090 |
|
|
|
3,461,160 |
|
|
31 |
% |
|
|
4,539,090 |
|
|
|
3,461,160 |
|
|
31 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
(1) Includes acquired natural gas operations February 1, 2019 through September 30, 2019 results only due to the Merger. |
||||||||||||||||||||||
|
|
|||||||||||||||||||||
|
Energy Services |
|||||||||||||||||||||
|
Quarter Ended September 30, |
|
% Diff |
|
Nine Months Ended September 30, |
|
% Diff |
|||||||||||||||
|
2019 |
|
2018 |
|
Fav/Unfav |
|
2019 |
|
|
2018 |
|
Fav/Unfav |
||||||||||
Revenues |
$ |
745 |
|
|
$ |
920 |
|
|
(19 |
)% |
|
$ |
2,846 |
|
|
$ |
3,065 |
|
|
(7 |
)% |
|
Non-utility cost of revenues, including natural gas |
|
716 |
|
|
|
897 |
|
|
20 |
% |
|
|
2,696 |
|
|
|
2,998 |
|
|
10 |
% |
|
Revenues less Non-utility cost of revenues, including natural gas |
|
29 |
|
|
|
23 |
|
|
26 |
% |
|
|
150 |
|
|
|
67 |
|
|
124 |
% |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operation and maintenance |
|
23 |
|
|
|
28 |
|
|
18 |
% |
|
|
73 |
|
|
|
74 |
|
|
1 |
% |
|
Depreciation and amortization |
|
4 |
|
|
|
4 |
|
|
— |
|
|
|
12 |
|
|
|
12 |
|
|
— |
|
|
Taxes other than income taxes |
— |
|
|
— |
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
|
— |
|
|||
Total expenses |
|
27 |
|
|
|
32 |
|
|
16 |
% |
|
|
86 |
|
|
|
87 |
|
|
1 |
% |
|
Operating Income (Loss) |
$ |
2 |
|
|
$ |
(9 |
) |
|
122 |
% |
|
$ |
64 |
|
|
$ |
(20 |
) |
|
420 |
% |
|
Timing impacts of mark-to-market gain (loss) |
$ |
(2 |
) |
|
$ |
1 |
|
|
(300 |
)% |
|
$ |
47 |
|
|
$ |
(71 |
) |
|
166 |
% |
|
Throughput data in BCF |
|
283 |
|
|
|
307 |
|
|
(8 |
)% |
|
|
960 |
|
|
|
993 |
|
|
(3 |
)% |
|
Number of customers - end of period |
|
31,000 |
|
|
|
30,000 |
|
|
3 |
% |
|
|
31,000 |
|
|
|
30,000 |
|
|
3 |
% |
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries |
|||||
Results of Operations by Segment |
|||||
(Millions of Dollars, Except Throughput and Customer Data) |
|||||
(Unaudited) |
|||||
Infrastructure Services (1) |
|||||
|
Quarter Ended
|
|
Nine Months Ended
|
||
Revenues |
$ |
377 |
|
$ |
849 |
Non-utility cost of revenues, including natural gas |
|
96 |
|
|
228 |
Revenues less Non-utility cost of revenues, including natural gas |
|
281 |
|
|
621 |
Expenses: |
|
|
|
||
Operation and maintenance |
|
223 |
|
|
530 |
Depreciation and amortization |
|
15 |
|
|
39 |
Taxes other than income taxes |
|
1 |
|
|
2 |
Total expenses |
|
239 |
|
|
571 |
Operating Income |
$ |
42 |
|
$ |
50 |
Backlog at period end: |
|
|
|
||
Blanket contracts |
$ |
637 |
|
$ |
637 |
Bid contracts |
|
301 |
|
|
301 |
Total |
$ |
938 |
|
$ |
938 |
|
|
|
|
||
(1) Represents February 1, 2019 through September 30, 2019 results only due to the Merger. |
|
Corporate and Other |
||||||||||||||||||||
|
Quarter Ended September 30, |
|
% Diff |
|
Nine Months Ended September 30, |
|
% Diff |
||||||||||||||
|
2019 |
|
2018 |
|
Fav/Unfav |
|
2019 (1) |
|
2018 |
|
Fav/Unfav |
||||||||||
Revenues |
$ |
93 |
|
|
$ |
3 |
|
|
3,000 |
% |
|
$ |
215 |
|
|
$ |
11 |
|
|
1,855 |
% |
Non-utility cost of revenues, including natural gas |
68 |
|
|
— |
|
|
— |
|
|
158 |
|
|
— |
|
|
— |
|
||||
Revenues less Non-utility cost of revenues, including natural gas |
25 |
|
|
3 |
|
|
733 |
% |
|
57 |
|
|
11 |
|
|
418 |
% |
||||
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operation and maintenance |
2 |
|
|
(13 |
) |
|
(115 |
)% |
|
25 |
|
|
(14 |
) |
|
(279 |
)% |
||||
Depreciation and amortization |
16 |
|
|
9 |
|
|
(78 |
)% |
|
44 |
|
|
24 |
|
|
(83 |
)% |
||||
Taxes other than income taxes |
3 |
|
|
2 |
|
|
(50 |
)% |
|
5 |
|
|
6 |
|
|
17 |
% |
||||
Total expenses |
21 |
|
|
(2 |
) |
|
(1,150 |
)% |
|
74 |
|
|
16 |
|
|
(363 |
)% |
||||
Operating Income (Loss) |
$ |
4 |
|
|
$ |
5 |
|
|
(20 |
)% |
|
$ |
(17 |
) |
|
$ |
(5 |
) |
|
(240 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
(1) Includes acquired corporate and other operations February 1, 2019 through September 30, 2019 results only due to the Merger. |
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries |
|||||||||||||||
Results of Operations by Segment |
|||||||||||||||
(Millions of Dollars, Except Throughput and Customer Data) |
|||||||||||||||
(Unaudited) |
|||||||||||||||
Capital Expenditures by Segment |
|||||||||||||||
|
Quarter Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
2019 |
|
2018 |
|
2019 (1) |
|
2018 |
||||||||
Houston Electric T & D |
$ |
239 |
|
|
$ |
252 |
|
|
$ |
722 |
|
|
$ |
669 |
|
Indiana Electric Integrated |
46 |
|
|
— |
|
|
135 |
|
|
— |
|
||||
Natural Gas Distribution |
324 |
|
|
170 |
|
|
773 |
|
|
409 |
|
||||
Energy Services |
— |
|
|
5 |
|
|
9 |
|
|
13 |
|
||||
Infrastructure Services |
14 |
|
|
— |
|
|
52 |
|
|
— |
|
||||
Corporate and Other |
43 |
|
|
7 |
|
|
137 |
|
|
35 |
|
||||
Total |
$ |
666 |
|
|
$ |
434 |
|
|
$ |
1,828 |
|
|
$ |
1,126 |
|
|
|
|
|
|
|
|
|
||||||||
(1) Includes capital expenditures of acquired businesses from February 1, 2019 through September 30, 2019 only due to the Merger. |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Interest Expense Detail |
||||||||||||||
|
Quarter Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
2019 |
|
2018 |
|
2019 |
|
2018 |
||||||||
Amortization of Deferred Financing Cost |
$ |
8 |
|
|
$ |
16 |
|
|
$ |
22 |
|
|
$ |
34 |
|
Capitalization of Interest Cost |
(10 |
) |
|
(2 |
) |
|
(29 |
) |
|
(6 |
) |
||||
Securitization Bonds Interest Expense |
9 |
|
|
16 |
|
|
31 |
|
|
46 |
|
||||
Other Interest Expense |
136 |
|
|
76 |
|
|
396 |
|
|
231 |
|
||||
Total Interest Expense |
$ |
143 |
|
|
$ |
106 |
|
|
$ |
420 |
|
|
$ |
305 |
|
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries |
|||||||
Condensed Consolidated Balance Sheets |
|||||||
(Millions of Dollars) |
|||||||
(Unaudited) |
|||||||
|
September 30,
|
|
December 31,
|
||||
ASSETS |
|||||||
Current Assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
259 |
|
|
$ |
4,231 |
|
Other current assets |
3,157 |
|
|
2,794 |
|
||
Total current assets |
3,416 |
|
|
7,025 |
|
||
|
|
|
|
||||
Property, Plant and Equipment, net |
20,328 |
|
|
14,044 |
|
||
|
|
|
|
||||
Other Assets: |
|
|
|
||||
Goodwill |
5,179 |
|
|
867 |
|
||
Regulatory assets |
2,194 |
|
|
1,967 |
|
||
Investment in unconsolidated affiliates |
2,469 |
|
|
2,482 |
|
||
Preferred units – unconsolidated affiliate |
363 |
|
|
363 |
|
||
Other non-current assets |
693 |
|
|
261 |
|
||
Total other assets |
10,898 |
|
|
5,940 |
|
||
Total Assets |
$ |
34,642 |
|
|
$ |
27,009 |
|
|
|
|
|
||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
|||||||
Current Liabilities: |
|
|
|
||||
Current portion of securitization bonds long-term debt |
229 |
|
|
458 |
|
||
Indexed debt |
21 |
|
|
24 |
|
||
Current portion of other long-term debt |
618 |
|
|
— |
|
||
Other current liabilities |
2,566 |
|
|
2,820 |
|
||
Total current liabilities |
3,434 |
|
|
3,302 |
|
||
|
|
|
|
||||
Other Liabilities: |
|
|
|
||||
Accumulated deferred income taxes, net |
3,851 |
|
|
3,239 |
|
||
Regulatory liabilities |
3,481 |
|
|
2,525 |
|
||
Other non-current liabilities |
1,516 |
|
|
1,203 |
|
||
Total other liabilities |
8,848 |
|
|
6,967 |
|
||
|
|
|
|
||||
Long-term Debt: |
|
|
|
||||
Securitization bonds |
817 |
|
|
977 |
|
||
Other |
13,197 |
|
|
7,705 |
|
||
Total long-term debt |
14,014 |
|
|
8,682 |
|
||
|
|
|
|
||||
Shareholders' Equity |
8,346 |
|
|
8,058 |
|
||
Total Liabilities and Shareholders' Equity |
$ |
34,642 |
|
|
$ |
27,009 |
|
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
CenterPoint Energy, Inc. and Subsidiaries | |||||||
Condensed Statements of Consolidated Cash Flows |
|||||||
(Millions of Dollars) |
|||||||
(Unaudited) |
|||||||
|
Nine Months Ended September 30, |
||||||
|
2019 |
|
2018 |
||||
Net income |
$ |
634 |
|
|
$ |
248 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
1,028 |
|
|
1,016 |
|
||
Deferred income taxes |
8 |
|
|
33 |
|
||
Write-down of natural gas inventory |
5 |
|
|
2 |
|
||
Equity in earnings of unconsolidated affiliates, net of distributions |
13 |
|
|
(15 |
) |
||
Changes in net regulatory assets and liabilities |
(101 |
) |
|
44 |
|
||
Changes in other assets and liabilities |
(511 |
) |
|
341 |
|
||
Other, net |
10 |
|
|
10 |
|
||
Net cash provided by operating activities |
1,086 |
|
|
1,679 |
|
||
|
|
|
|
||||
Net cash used in investing activities |
(7,775 |
) |
|
(674 |
) |
||
|
|
|
|
||||
Net cash provided by (used in) financing activities |
2,708 |
|
|
(970 |
) |
||
|
|
|
|
||||
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash |
(3,981 |
) |
|
35 |
|
||
|
|
|
|
||||
Cash, Cash Equivalents and Restricted Cash at Beginning of Period |
4,278 |
|
|
296 |
|
||
|
|
|
|
||||
Cash, Cash Equivalents and Restricted Cash at End of Period |
$ |
297 |
|
|
$ |
331 |
|
Reference is made to the Combined Notes to Unaudited Condensed Consolidated Financial Statements contained in the Quarterly Report on Form 10-Q of
View source version on businesswire.com: https://www.businesswire.com/news/home/20191107005242/en/
Source:
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Phone 713.825.9107
Investors:
David Mordy
Phone 713.207.6500