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Chesapeake Utilities Corporation Reports Third Quarter Results
For the nine months ended
"Third quarter results of operations met our expectations and demonstrate the success of our employees in cultivating growth in the areas we serve. The Eight Flags Energy project is now fully operational and contributed more than
A more detailed discussion and analysis of the Company's results for each segment is provided in the following pages.
Comparative Results for the Quarters Ended
Operating income for the third quarter decreased by
Regulated Energy Segment
The Regulated Energy segment operating income grew by
$1.6 million generated from natural gas transmission expansions completed in 2015 and 2016, as well as interim services to customers pending construction of facilities, which are discussed in the "Major Projects and Initiatives" section below;$943,000 from customer growth in natural gas distribution and transmission services unrelated to recent service expansions;$920,000 generated by additional Gas Reliability Infrastructure Program ("GRIP") investments in theFlorida natural gas distribution operations;$469,000 generated from the implementation of interim rates for the Company'sDelaware natural gas distribution division;$464,000 from new natural gas transmission and distribution services provided to the Company's Eight Flags' CHP plant; and$226,000 related to higher margins from system improvement rates for the Company's subsidiary,Sandpiper Energy, Inc. , ("Sandpiper") resulting from the continuing conversion of the Sandpiper system from propane service to natural gas service.
Other operating expenses increased by
$1.3 million in higher payroll and benefits costs for additional personnel to support growth;$702,000 in higher outside services costs primarily associated with growth and ongoing compliance activities;$517,000 in higher facilities costs to support growth; and$401,000 in higher depreciation, asset removal and property tax costs associated with recent capital investments to support growth and system integrity.
Unregulated Energy Segment
The Unregulated Energy segment reported an operating loss of
$1.6 million of additional gross margin from Eight Flags' CHP plant, which commenced operations inJune 2016 ; offset by:$613,000 in additional fixed pipeline and storage costs associated with natural gas supply contracts entered into byPeninsula Energy Services Company, Inc. ("PESCO"), where a significant portion of the sales volume will occur during the winter months;$414,000 less gross margin for the Company's propane distribution operations of which$344,000 is associated with theDelmarva Peninsula propane distribution operation where retail margins per gallon returned to more normal levels. The Company has assumed more normal levels of margins in its long-term financial plans and forecasts;$413,000 of lower gross margin fromXeron on executed trades; and$407,000 of decreased gross margin from Aspire Energy as a result of increased deliveries and imbalance positions that favorably impacted Aspire Energy in the third quarter of 2015, which are non-recurring. Lower margin associated with system volumes and imbalance positions in third quarter of 2016, also contributed to the decrease.
Other operating expenses increased by
$1.1 million in other operating expenses incurred by Eight Flags' CHP plant;$545,000 in higher payroll and benefits costs for additional personnel to support growth; and$225,000 in higher outside services costs primarily associated with growth and ongoing compliance activities.
Comparative Results for the Nine Months Ended
Operating income for the nine months ended
Regulated Energy Segment
Operating income for the Regulated Energy segment for the nine months ended
$5.5 million generated from natural gas transmission expansions completed in 2015 and 2016, as well as interim services to customers pending construction of facilities, which are more fully discussed in the "Major Projects and Initiatives" section below;$3.1 million generated by additional GRIP investments in theFlorida natural gas distribution operations;$2.6 million from customer growth in natural gas distribution and transmission services unrelated to recent service expansions;$1.4 million generated from the implementation of interim rates for the Company'sDelaware natural gas distribution division;$892,000 from new natural gas transmission and distribution services provided to Eight Flags' CHP plant; and$618,000 related to higher margins from system improvement rates for Sandpiper resulting from the continued conversion of its distribution system from propane service to natural gas service.
The above increases were partially offset by
Other operating expenses increased by
$2.0 million in higher payroll and benefits costs for additional personnel to support growth;$1.4 million due to the absence of a$1.5 million gain from the payment received by the Company in the customer billing system settlement, recorded in 2015, which was partially offset by an associated gain of$130,000 during the third quarter of 2016, representing an additional current portion of the contingent recovery in connection with such settlement;$1.4 million in higher depreciation, asset removal and property tax costs associated with recent capital investments to support growth and system integrity; and$817,000 in higher outside services costs primarily associated with growth and ongoing compliance activities.
Unregulated Energy Segment
The Unregulated Energy segment reported operating income of
Gross margin increased as a result of the following:
$4.5 million of additional gross margin from Aspire Energy as the first nine months of 2015 reflect only six months of margin for Aspire Energy, which became a wholly-owned subsidiary ofChesapeake Utilities onApril 1, 2015 . In addition, Aspire Energy generated additional margins as a result of pricing amendments to long-term gas sales agreements, additional management fees and the optimization of gathering system receipts and deliveries;$1.7 million of additional gross margin from Eight Flags' CHP plant, which commenced operations inJune 2016 ; and$1.1 million in additional gross margin from PESCO due to customer growth and favorable supply management activities.
Gross margin decreases offsetting the above increases included the following:
$4.1 million of lower gross margin due to lower customer consumption of propane. The decrease was driven mainly by weather as a result of warmer temperatures on theDelmarva Peninsula primarily during the first quarter of 2016 compared to colder temperatures during the first quarter of 2015;$2.2 million of lower gross margin for the Company's Delmarva propane distribution operation as retail margins per gallon returned to more normal levels; accordingly, the Company has assumed more normal levels of margins in its long-term financial plans and forecasts;$436,000 of lower gross margin due to decreased sales of propane to a third party who supplies Sandpiper Energy, as a result of significantly warmer weather in 2016 compared to 2015 as well as conversions to natural gas; and$419,000 of lower gross margin fromXeron on executed trades.
Other operating expenses increased by
$2.5 million in other operating expenses incurred by Aspire Energy, given the additional quarter's results included in 2016, compared to only six months of results in the nine months endedSeptember 30, 2015 ; and$1.1 million in other operating expenses incurred by Eight Flags since it commenced operations inJune 2016 .
Matters discussed in this release may include forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those in the forward-looking statements. Please refer to the Safe Harbor for Forward-Looking Statements in the Company's 2015 Annual Report on Form 10-K for further information on the risks and uncertainties related to the Company's forward-looking statements.
The discussions of the results use the term "gross margin," a non-Generally Accepted Accounting Principles ("GAAP") financial measure, which management uses to evaluate the performance of the Company's business segments. For an explanation of the calculation of "gross margin," see the footnote to the Financial Summary.
Unless otherwise noted, earnings per share is presented on a diluted basis.
Conference Call
About
Please note that
For more information, contact:
Senior Vice President & Chief Financial Officer
302.734.6799
Financial Summary | |||||||||||||||
(in thousands, except per share data) | |||||||||||||||
Three Months Ended |
Nine Months Ended | ||||||||||||||
|
| ||||||||||||||
2016 |
2015 |
2016 |
2015 | ||||||||||||
Gross Margin (1) |
|||||||||||||||
Regulated Energy segment |
$ |
45,375 |
$ |
40,635 |
$ |
145,446 |
$ |
134,024 |
|||||||
Unregulated Energy segment |
10,202 |
10,207 |
45,380 |
45,929 |
|||||||||||
Other businesses and eliminations |
(57) |
(49) |
(166) |
(157) |
|||||||||||
Total Gross Margin |
$ |
55,520 |
$ |
50,793 |
$ |
190,660 |
$ |
179,796 |
|||||||
Operating Income |
|||||||||||||||
Regulated Energy segment |
$ |
13,115 |
$ |
11,828 |
$ |
52,660 |
$ |
47,616 |
|||||||
Unregulated Energy segment |
(3,080) |
(1,022) |
9,267 |
13,666 |
|||||||||||
Other businesses and eliminations |
121 |
103 |
350 |
305 |
|||||||||||
Total Operating Income |
10,156 |
10,909 |
62,277 |
61,587 |
|||||||||||
Other (Expense) Income, net |
(28) |
36 |
(68) |
(3) |
|||||||||||
Interest Charges |
2,722 |
2,492 |
7,996 |
7,425 |
|||||||||||
Pre-tax Income |
7,406 |
8,453 |
54,213 |
54,159 |
|||||||||||
Income Taxes |
2,990 |
3,334 |
21,401 |
21,638 |
|||||||||||
Net Income |
$ |
4,416 |
$ |
5,119 |
$ |
32,812 |
$ |
32,521 |
|||||||
Earnings Per Share of Common Stock |
|||||||||||||||
Basic |
$ |
0.29 |
$ |
0.34 |
$ |
2.14 |
$ |
2.16 |
|||||||
Diluted |
$ |
0.29 |
$ |
0.33 |
$ |
2.14 |
$ |
2.16 |
|||||||
(1)"Gross margin" is determined by deducting the cost of sales from operating revenue. Cost of sales includes the purchased fuel cost for natural gas, electricity and propane and the cost of labor spent on direct revenue-producing activities. Gross margin should not be considered an alternative to operating income or net income, which are determined in accordance with GAAP. |
Financial Summary Highlights | ||||||||||||
Key variances for the three months ended | ||||||||||||
(in thousands, except per share data) |
Pre-tax |
Net |
Earnings | |||||||||
Third Quarter of 2015 Reported Results |
$ |
8,453 |
$ |
5,119 |
$ |
0.33 |
||||||
Increased (Decreased) Gross Margins: |
||||||||||||
Eight Flags* |
2,033 |
1,212 |
0.08 |
|||||||||
Service expansions* |
1,577 |
940 |
0.06 |
|||||||||
Natural gas growth (excluding service expansions) |
943 |
562 |
0.04 |
|||||||||
GRIP* |
920 |
549 |
0.04 |
|||||||||
Implementation of Delaware Division interim rates* |
469 |
280 |
0.02 |
|||||||||
Lower retail propane margins |
(414) |
(247) |
(0.02) |
|||||||||
Lower margins for |
(413) |
(246) |
(0.02) |
|||||||||
Aspire Energy* |
(407) |
(243) |
(0.02) |
|||||||||
4,708 |
2,807 |
0.18 |
||||||||||
Decreased (Increased) Other Operating Expenses: |
||||||||||||
Higher payroll and benefits costs |
(1,830) |
(1,091) |
(0.07) |
|||||||||
Eight Flags operating expenses |
(1,065) |
(635) |
(0.04) |
|||||||||
Higher outside services costs |
(928) |
(553) |
(0.04) |
|||||||||
Higher facility maintenance |
(601) |
(358) |
(0.02) |
|||||||||
Higher depreciation, asset removal and property tax costs |
(466) |
(278) |
(0.02) |
|||||||||
(4,890) |
(2,915) |
(0.19) |
||||||||||
Interest charges |
(230) |
(137) |
(0.01) |
|||||||||
Net Other Changes |
(635) |
(458) |
(0.02) |
|||||||||
Third Quarter of 2016 Reported Results |
$ |
7,406 |
$ |
4,416 |
$ |
0.29 |
||||||
*See the Major Projects and Initiatives table later in this press release. | ||||||||||||
Key variances for the nine months ended | ||||||||||||
(in thousands, except per share data) |
Pre-tax |
Net |
Earnings | |||||||||
Nine months ended |
$ |
54,159 |
$ |
32,521 |
$ |
2.16 |
||||||
Adjusting for Unusual Items: |
||||||||||||
Weather impact, primarily in the first quarter |
(7,548) |
(4,533) |
(0.31) |
|||||||||
Net gain from settlement agreement associated with customer billing system |
(1,367) |
(821) |
(0.06) |
|||||||||
(8,915) |
(5,354) |
(0.37) |
||||||||||
Increased (Decreased) Gross Margins: |
||||||||||||
Service expansions* |
5,516 |
3,312 |
0.22 |
|||||||||
GRIP* |
3,069 |
1,843 |
0.12 |
|||||||||
Natural gas growth (excluding service expansions) |
2,630 |
1,579 |
0.11 |
|||||||||
Eight Flags* |
2,581 |
1,550 |
0.10 |
|||||||||
Lower retail propane margins |
(2,204) |
(1,324) |
(0.09) |
|||||||||
Implementation of Delaware Division interim rates* |
1,350 |
811 |
0.05 |
|||||||||
Natural gas marketing |
1,062 |
638 |
0.04 |
|||||||||
Sandpiper SIR |
618 |
371 |
0.03 |
|||||||||
14,622 |
8,780 |
0.58 |
||||||||||
Decreased (Increased) Other Operating Expenses: |
||||||||||||
Higher payroll and benefits costs |
(2,144) |
(1,287) |
(0.09) |
|||||||||
Higher depreciation, asset removal and property tax costs |
(1,705) |
(1,024) |
(0.07) |
|||||||||
Eight Flags operating expenses |
(1,136) |
(682) |
(0.05) |
|||||||||
Higher outside services costs |
(1,100) |
(661) |
(0.04) |
|||||||||
Higher facility maintenance |
(787) |
(473) |
(0.03) |
|||||||||
Lower bad debt, sales and advertising |
427 |
256 |
0.02 |
|||||||||
(6,445) |
(3,871) |
(0.26) |
||||||||||
Net contribution from Aspire Energy, including impact of shares issued* |
2,069 |
1,274 |
0.08 |
|||||||||
Interest Charges |
(571) |
(343) |
(0.02) |
|||||||||
Net Other Changes |
(706) |
(195) |
(0.03) |
|||||||||
Nine months ended |
$ |
54,213 |
$ |
32,812 |
$ |
2.14 |
||||||
*See the Major Projects and Initiatives table later in this press release. |
Major Projects and Initiatives | |||||||||||||||||||||||||||||||
The following table summarizes gross margin for the Company's major projects and initiatives completed since 2014 and major projects and initiatives currently underway, but which will be completed in the future. Gross margin reflects operating revenue less cost of sales, excluding depreciation, amortization and accretion (dollars in thousands): | |||||||||||||||||||||||||||||||
Gross Margin for the Period | |||||||||||||||||||||||||||||||
Three Months Ended |
Nine Months Ended |
Total |
|||||||||||||||||||||||||||||
|
|
2015 |
Estimate for | ||||||||||||||||||||||||||||
2016 |
2015 |
2016 |
2015 |
Margin |
2016 |
2017 |
2018 | ||||||||||||||||||||||||
Major projects and initiatives completed since 2014 |
$ |
12,083 |
$ |
7,490 |
$ |
34,086 |
$ |
17,030 |
$ |
25,270 |
$ |
47,603 |
$ |
54,258 |
$ |
54,727 |
|||||||||||||||
Major projects and |
— |
— |
— |
— |
— |
— |
5,255 |
20,238 |
|||||||||||||||||||||||
$ |
12,083 |
$ |
7,490 |
$ |
34,086 |
$ |
17,030 |
$ |
25,270 |
$ |
47,603 |
$ |
59,513 |
$ |
74,965 |
||||||||||||||||
(1) This represents gross margin for the System Reliability and the 2017 Expansion projects. |
Major Projects and Initiatives Completed since 2014 | |||||||||||||||||||||||||||||||||||||||
The following table summarizes gross margin generated from the Company's major projects and initiatives completed since 2014 (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||
Gross Margin for the Period | |||||||||||||||||||||||||||||||||||||||
Three Months Ended |
Nine Months Ended |
Total |
|||||||||||||||||||||||||||||||||||||
|
|
2015 |
Estimate for | ||||||||||||||||||||||||||||||||||||
2016 |
2015 |
Variance |
2016 |
2015 |
Variance |
Margin |
2016 |
2017 |
2018 | ||||||||||||||||||||||||||||||
Acquisition: |
|||||||||||||||||||||||||||||||||||||||
Aspire Energy |
$ |
1,630 |
$ |
2,037 |
$ |
(407) |
$ |
8,203 |
$ |
3,661 |
$ |
4,542 |
$ |
6,324 |
$ |
12,674 |
$ |
13,376 |
$ |
14,302 |
|||||||||||||||||||
Natural Gas Transmission Expansions and Contracts: |
|||||||||||||||||||||||||||||||||||||||
Short-term contracts |
|||||||||||||||||||||||||||||||||||||||
|
664 |
507 |
157 |
2,040 |
1,998 |
42 |
2,682 |
2,910 |
2,275 |
714 |
|||||||||||||||||||||||||||||
|
2,416 |
1,055 |
1,361 |
6,231 |
1,453 |
4,778 |
2,270 |
7,982 |
1,377 |
— |
|||||||||||||||||||||||||||||
Total short-term contracts |
$ |
3,080 |
$ |
1,562 |
$ |
1,518 |
$ |
8,271 |
$ |
3,451 |
$ |
4,820 |
$ |
4,952 |
$ |
10,892 |
$ |
3,652 |
$ |
714 |
|||||||||||||||||||
Long-term contracts |
|||||||||||||||||||||||||||||||||||||||
|
455 |
463 |
(8) |
1,366 |
1,389 |
(23) |
1,844 |
1,815 |
7,629 |
7,605 |
|||||||||||||||||||||||||||||
|
407 |
340 |
67 |
1,221 |
501 |
720 |
908 |
1,627 |
1,627 |
1,627 |
|||||||||||||||||||||||||||||
Total long-term contracts |
$ |
862 |
$ |
803 |
$ |
59 |
$ |
2,587 |
$ |
1,890 |
$ |
697 |
$ |
2,752 |
$ |
3,442 |
$ |
9,256 |
$ |
9,232 |
|||||||||||||||||||
Total Expansions & Contracts |
$ |
3,942 |
$ |
2,365 |
$ |
1,577 |
$ |
10,858 |
$ |
5,341 |
$ |
5,517 |
$ |
7,704 |
$ |
14,334 |
$ |
12,908 |
$ |
9,946 |
|||||||||||||||||||
Florida GRIP |
$ |
2,987 |
$ |
2,067 |
$ |
920 |
$ |
8,383 |
$ |
5,314 |
$ |
3,069 |
$ |
7,508 |
$ |
11,405 |
$ |
13,756 |
$ |
15,960 |
|||||||||||||||||||
Florida Electric Rate Case |
$ |
1,021 |
$ |
1,021 |
$ |
— |
$ |
2,714 |
$ |
2,714 |
$ |
— |
$ |
3,734 |
$ |
3,562 |
$ |
3,562 |
$ |
3,562 |
|||||||||||||||||||
Delaware Division Rate Case |
$ |
469 |
$ |
— |
$ |
469 |
$ |
1,347 |
$ |
— |
$ |
1,347 |
$ |
— |
$ |
2,164 |
$ |
2,500 |
$ |
2,500 |
|||||||||||||||||||
Eight Flags CHP Plant |
$ |
2,034 |
$ |
— |
$ |
2,034 |
$ |
2,581 |
$ |
— |
$ |
2,581 |
$ |
— |
$ |
3,464 |
$ |
8,156 |
$ |
8,457 |
|||||||||||||||||||
Total Completed Major Projects and Initiatives |
$ |
12,083 |
$ |
7,490 |
$ |
4,593 |
$ |
34,086 |
$ |
17,030 |
$ |
17,056 |
$ |
25,270 |
$ |
47,603 |
$ |
54,258 |
$ |
54,727 |
Aspire Energy
Aspire Energy's gross margin decreased by
For the nine months ended
Service Expansions
On
In
On
GRIP
GRIP is a natural gas pipe replacement program approved by the Florida PSC, designed to expedite the replacement of qualifying distribution mains and services (any material other than coated steel or plastic) to enhance reliability and integrity of the Company's
Eight Flags
In
Major Projects and Initiatives Underway
2017
Other factors influencing gross margin
Weather and Consumption
Although weather was not a significant factor in the second and third quarters, warmer temperatures during the first three months of the year, compared to temperatures in 2015, had a significant impact on the Company's earnings. Lower customer consumption, directly attributable to warmer temperatures during the nine months ended
The following tables summarize the heating degree-day ("HDD") and cooling degree-day ("CDD") information for the three and nine months ended
HDD and CDD Information | |||||||||||||||||
Three Months Ended |
Nine Months Ended |
||||||||||||||||
|
|
||||||||||||||||
2016 |
2015 |
Variance |
2016 |
2015 |
Variance | ||||||||||||
Delmarva |
|||||||||||||||||
Actual HDD |
11 |
41 |
(30) |
2,590 |
3,249 |
(659) |
|||||||||||
10-Year Average HDD ("Delmarva Normal") |
65 |
65 |
— |
2,919 |
2,908 |
11 |
|||||||||||
Variance from Delmarva Normal |
(54) |
(24) |
(329) |
341 |
|||||||||||||
|
|||||||||||||||||
Actual HDD |
— |
— |
— |
646 |
501 |
145 |
|||||||||||
10-Year Average HDD ("Florida Normal") |
— |
— |
— |
553 |
557 |
(4) |
|||||||||||
Variance from Florida Normal |
— |
— |
93 |
(56) |
|||||||||||||
|
|||||||||||||||||
Actual HDD |
65 |
78 |
(13) |
3,747 |
710 |
3,037 |
|||||||||||
10-Year Average HDD ("Ohio Normal") |
137 |
143 |
(6) |
3,979 |
811 |
3,168 |
|||||||||||
Variance from Ohio Normal |
(72) |
(65) |
(232) |
(101) |
|||||||||||||
|
|||||||||||||||||
Actual CDD |
1,523 |
1,591 |
(68) |
2,737 |
2,827 |
(90) |
|||||||||||
10-Year Average CDD ("Florida CDD Normal") |
1,523 |
1,524 |
(1) |
2,548 |
2,506 |
42 |
|||||||||||
Variance from Florida CDD Normal |
— |
67 |
189 |
321 |
|||||||||||||
(1) HDD for |
Propane prices
Lower retail propane margins per gallon on the
In
Other Natural Gas Growth - Distribution Operations
In addition to service expansions, the Company's natural gas distribution operations on the
On
In addition, the Company's
Capital Expenditures
The Company's capital expenditures for the nine months ended
In order to fund the 2016 capital expenditures, the Company may further increase the level of borrowings during 2016 to supplement cash provided by operating activities.
| |||||||||||||||
Three Months Ended |
Nine Months Ended | ||||||||||||||
|
| ||||||||||||||
2016 |
2015 |
2016 |
2015 | ||||||||||||
Operating Revenues |
|||||||||||||||
Regulated Energy |
$ |
70,019 |
$ |
63,796 |
$ |
226,630 |
$ |
235,438 |
|||||||
Unregulated Energy and other |
38,329 |
28,117 |
130,356 |
119,238 |
|||||||||||
Total Operating Revenues |
108,348 |
91,913 |
356,986 |
354,676 |
|||||||||||
Operating Expenses |
|||||||||||||||
Regulated Energy cost of sales |
24,644 |
23,161 |
81,184 |
101,414 |
|||||||||||
Unregulated Energy and other cost of sales |
28,183 |
17,959 |
85,142 |
73,465 |
|||||||||||
Operations |
30,126 |
26,388 |
85,370 |
79,522 |
|||||||||||
Maintenance |
3,542 |
2,603 |
8,925 |
8,033 |
|||||||||||
Gain from a settlement |
— |
— |
(130) |
(1,500) |
|||||||||||
Depreciation and amortization |
8,209 |
7,636 |
23,493 |
22,155 |
|||||||||||
Other taxes |
3,488 |
3,257 |
10,725 |
10,000 |
|||||||||||
Total operating expenses |
98,192 |
81,004 |
294,709 |
293,089 |
|||||||||||
Operating Income |
10,156 |
10,909 |
62,277 |
61,587 |
|||||||||||
Other (expense) income, net |
(28) |
36 |
(68) |
(3) |
|||||||||||
Interest charges |
2,722 |
2,492 |
7,996 |
7,425 |
|||||||||||
Income Before Income Taxes |
7,406 |
8,453 |
54,213 |
54,159 |
|||||||||||
Income taxes |
2,990 |
3,334 |
21,401 |
21,638 |
|||||||||||
Net Income |
$ |
4,416 |
$ |
5,119 |
$ |
32,812 |
$ |
32,521 |
|||||||
Weighted Average Common Shares Outstanding: |
|||||||||||||||
Basic |
15,372,413 |
15,258,819 |
15,324,932 |
15,035,569 |
|||||||||||
Diluted |
15,412,783 |
15,306,843 |
15,365,955 |
15,083,641 |
|||||||||||
Earnings Per Share of Common Stock: |
|||||||||||||||
Basic |
$ |
0.29 |
$ |
0.34 |
$ |
2.14 |
$ |
2.16 |
|||||||
Diluted |
$ |
0.29 |
$ |
0.33 |
$ |
2.14 |
$ |
2.16 |
| ||||||||
Condensed Consolidated Balance Sheets (Unaudited) | ||||||||
Assets |
|
| ||||||
(in thousands, except shares and per share data) |
||||||||
Property, Plant and Equipment |
||||||||
Regulated Energy |
$ |
908,822 |
$ |
842,756 |
||||
Unregulated Energy |
194,743 |
145,734 |
||||||
Other businesses and eliminations |
20,835 |
18,999 |
||||||
Total property, plant and equipment |
1,124,400 |
1,007,489 |
||||||
Less: Accumulated depreciation and amortization |
(237,434) |
(215,313) |
||||||
Plus: Construction work in progress |
49,082 |
62,774 |
||||||
Net property, plant and equipment |
936,048 |
854,950 |
||||||
Current Assets |
||||||||
Cash and cash equivalents |
1,536 |
2,855 |
||||||
Accounts receivable (less allowance for uncollectible accounts of |
47,103 |
41,007 |
||||||
Accrued revenue |
9,506 |
12,452 |
||||||
Propane inventory, at average cost |
4,106 |
6,619 |
||||||
Other inventory, at average cost |
3,867 |
3,803 |
||||||
Regulatory assets |
6,045 |
8,268 |
||||||
Storage gas prepayments |
8,192 |
3,410 |
||||||
Income taxes receivable |
13,178 |
24,950 |
||||||
Prepaid expenses |
7,603 |
7,146 |
||||||
Mark-to-market energy assets |
477 |
153 |
||||||
Other current assets |
543 |
1,044 |
||||||
Total current assets |
102,156 |
111,707 |
||||||
Deferred Charges and Other Assets |
||||||||
|
15,070 |
14,548 |
||||||
Other intangible assets, net |
1,938 |
2,222 |
||||||
Investments, at fair value |
4,630 |
3,644 |
||||||
Regulatory assets |
76,343 |
77,519 |
||||||
Receivables and other deferred charges |
4,325 |
2,831 |
||||||
Total deferred charges and other assets |
102,306 |
100,764 |
||||||
Total Assets |
$ |
1,140,510 |
$ |
1,067,421 |
| ||||||||
Condensed Consolidated Balance Sheets (Unaudited) | ||||||||
Capitalization and Liabilities |
|
| ||||||
(in thousands, except shares and per share data) |
||||||||
Capitalization |
||||||||
Stockholders' equity |
||||||||
Preferred stock, par value |
$ |
— |
$ |
— |
||||
Common stock, par value |
7,932 |
7,432 |
||||||
Additional paid-in capital |
250,202 |
190,311 |
||||||
Retained earnings |
185,195 |
166,235 |
||||||
Accumulated other comprehensive loss |
(5,029) |
(5,840) |
||||||
Deferred compensation obligation |
2,476 |
1,883 |
||||||
Treasury stock |
(2,476) |
(1,883) |
||||||
Total stockholders' equity |
438,300 |
358,138 |
||||||
Long-term debt, net of current maturities |
143,525 |
149,006 |
||||||
Total capitalization |
581,825 |
507,144 |
||||||
Current Liabilities |
||||||||
Current portion of long-term debt |
12,087 |
9,151 |
||||||
Short-term borrowing |
154,490 |
173,397 |
||||||
Accounts payable |
41,297 |
39,300 |
||||||
Customer deposits and refunds |
26,858 |
27,173 |
||||||
Accrued interest |
3,119 |
1,311 |
||||||
Dividends payable |
4,678 |
4,390 |
||||||
Accrued compensation |
7,823 |
10,014 |
||||||
Regulatory liabilities |
2,412 |
7,365 |
||||||
Mark-to-market energy liabilities |
29 |
433 |
||||||
Other accrued liabilities |
10,260 |
7,059 |
||||||
Total current liabilities |
263,053 |
279,593 |
||||||
Deferred Credits and Other Liabilities |
||||||||
Deferred income taxes |
205,562 |
192,600 |
||||||
Regulatory liabilities |
43,354 |
43,064 |
||||||
Environmental liabilities |
8,682 |
8,942 |
||||||
Other pension and benefit costs |
32,501 |
33,481 |
||||||
Deferred investment tax credits and other liabilities |
5,533 |
2,597 |
||||||
Total deferred credits and other liabilities |
295,632 |
280,684 |
||||||
Total Capitalization and Liabilities |
$ |
1,140,510 |
$ |
1,067,421 |
| ||||||||||||||||||||||||||||||
For the Three Months Ended |
For the Three Months Ended | |||||||||||||||||||||||||||||
Delmarva NG Distribution |
Chesapeake Utilities Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution |
Delmarva NG Distribution |
Chesapeake Utilities Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution | |||||||||||||||||||||||
Operating Revenues (in thousands) |
||||||||||||||||||||||||||||||
Residential |
$ |
5,327 |
$ |
1,139 |
$ |
5,016 |
$ |
15,186 |
$ |
5,133 |
$ |
1,103 |
$ |
4,076 |
$ |
14,821 |
||||||||||||||
Commercial |
5,136 |
1,201 |
5,752 |
11,991 |
4,967 |
1,117 |
4,891 |
12,585 |
||||||||||||||||||||||
Industrial |
1,695 |
1,581 |
4,825 |
676 |
1,611 |
1,478 |
3,469 |
812 |
||||||||||||||||||||||
Other (1) |
(76) |
908 |
797 |
(1,805) |
263 |
744 |
2,073 |
(4,021) |
||||||||||||||||||||||
Total Operating Revenues |
$ |
12,082 |
$ |
4,829 |
$ |
16,390 |
$ |
26,048 |
$ |
11,974 |
$ |
4,442 |
$ |
14,509 |
$ |
24,197 |
||||||||||||||
Volume (in Dts/MWHs) |
||||||||||||||||||||||||||||||
Residential |
176,886 |
47,274 |
196,831 |
99,896 |
176,715 |
48,481 |
197,177 |
96,857 |
||||||||||||||||||||||
Commercial |
469,921 |
1,313,963 |
409,155 |
90,013 |
461,219 |
1,305,028 |
469,011 |
95,059 |
||||||||||||||||||||||
Industrial |
1,135,077 |
2,313,776 |
1,029,165 |
5,890 |
1,041,864 |
2,503,874 |
881,556 |
4,570 |
||||||||||||||||||||||
Other |
28,208 |
— |
601 |
1,979 |
28,552 |
— |
(42,998) |
(1,274) |
||||||||||||||||||||||
Total |
1,810,092 |
3,675,013 |
1,635,752 |
197,778 |
1,708,350 |
3,857,383 |
1,504,746 |
195,212 |
||||||||||||||||||||||
Average Customers |
||||||||||||||||||||||||||||||
Residential |
65,663 |
15,337 |
53,314 |
24,367 |
62,989 |
14,789 |
52,100 |
24,103 |
||||||||||||||||||||||
Commercial |
6,695 |
1,408 |
4,216 |
4,388 |
6,571 |
1,355 |
4,223 |
7,412 |
||||||||||||||||||||||
Industrial |
125 |
74 |
1,814 |
3,015 |
120 |
69 |
1,663 |
2 |
||||||||||||||||||||||
Other |
6 |
— |
— |
— |
4 |
— |
— |
— |
||||||||||||||||||||||
Total |
72,489 |
16,819 |
59,344 |
31,770 |
69,684 |
16,213 |
57,986 |
31,517 |
||||||||||||||||||||||
| |||||||||||||||||||||||||||||||
For the Nine Months Ended |
For the Nine Months Ended | ||||||||||||||||||||||||||||||
Delmarva NG Distribution |
Chesapeake Utilities Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution |
Delmarva NG Distribution |
Chesapeake Utilities Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution | ||||||||||||||||||||||||
Operating Revenues (in thousands) |
|||||||||||||||||||||||||||||||
Residential |
$ |
37,074 |
$ |
3,977 |
$ |
20,597 |
$ |
36,911 |
$ |
53,339 |
$ |
3,788 |
$ |
17,646 |
$ |
37,495 |
|||||||||||||||
Commercial |
20,576 |
3,847 |
20,912 |
31,814 |
27,950 |
3,610 |
20,435 |
32,524 |
|||||||||||||||||||||||
Industrial |
5,274 |
4,808 |
15,399 |
2,154 |
5,379 |
4,536 |
11,955 |
2,361 |
|||||||||||||||||||||||
Other (1) |
(1,164) |
2,665 |
(2,615) |
(5,410) |
(3,466) |
2,275 |
557 |
(8,979) |
|||||||||||||||||||||||
Total Operating Revenues |
$ |
61,760 |
$ |
15,297 |
$ |
54,293 |
$ |
65,469 |
$ |
83,202 |
$ |
14,209 |
$ |
50,593 |
$ |
63,401 |
|||||||||||||||
Volume (in Dts/MWHs) |
|||||||||||||||||||||||||||||||
Residential |
2,495,103 |
260,404 |
993,917 |
241,691 |
3,128,130 |
255,273 |
970,570 |
244,344 |
|||||||||||||||||||||||
Commercial |
2,539,404 |
4,118,131 |
1,633,920 |
233,199 |
2,954,973 |
4,069,566 |
1,886,076 |
239,633 |
|||||||||||||||||||||||
Industrial |
3,680,383 |
8,405,424 |
3,188,556 |
17,470 |
3,372,321 |
8,187,722 |
3,035,617 |
14,220 |
|||||||||||||||||||||||
Other |
68,293 |
— |
(4,723) |
6,577 |
57,008 |
— |
(151,631) |
4,074 |
|||||||||||||||||||||||
Total |
8,783,183 |
12,783,959 |
5,811,670 |
498,937 |
9,512,432 |
12,512,561 |
5,740,632 |
502,271 |
|||||||||||||||||||||||
Average Customers |
|||||||||||||||||||||||||||||||
Residential |
65,943 |
15,303 |
53,215 |
24,268 |
63,700 |
14,805 |
51,907 |
24,022 |
|||||||||||||||||||||||
Commercial |
6,745 |
1,391 |
4,247 |
4,398 |
6,637 |
1,351 |
4,258 |
7,390 |
|||||||||||||||||||||||
Industrial |
123 |
72 |
1,760 |
3,003 |
117 |
68 |
1,606 |
2 |
|||||||||||||||||||||||
Other |
5 |
— |
— |
— |
5 |
— |
— |
— |
|||||||||||||||||||||||
Total |
72,816 |
16,766 |
59,222 |
31,669 |
70,459 |
16,224 |
57,771 |
31,414 |
|||||||||||||||||||||||
(1) Operating Revenues from "Other" sources include unbilled revenue, under (over) recoveries of fuel cost, conservation revenue, other miscellaneous charges, fees for billing services provided to third parties and adjustments for pass-through taxes. |
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/chesapeake-utilities-corporation-reports-third-quarter-results-300356465.html
SOURCE
News Provided by Acquire Media