Exact Name of Registrant as | ||||||||||||||
Specified in Its Charter | Commission File Number | I.R.S. Employer Identification No. | ||||||||||||
HAWAIIAN ELECTRIC INDUSTRIES, INC. | 1-8503 | 99-0208097 | ||||||||||||
and Principal Subsidiary | ||||||||||||||
HAWAIIAN ELECTRIC COMPANY, INC. | 1-4955 | 99-0040500 |
Registrant | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||
Hawaiian Electric Industries, Inc. | Common Stock, Without Par Value | HE | New York Stock Exchange |
Hawaiian Electric Industries, Inc. | Yes | ☒ | No | ☐ | Hawaiian Electric Company, Inc. | Yes | ☒ | No | ☐ |
Hawaiian Electric Industries, Inc. | Yes | ☒ | No | ☐ | Hawaiian Electric Company, Inc. | Yes | ☒ | No | ☐ |
Hawaiian Electric Industries, Inc.: | Hawaiian Electric Company, Inc.: | ||||||||||||||||||||||||
Large accelerated filer | |||||||||||||||||||||||||
☒ | |||||||||||||||||||||||||
Smaller reporting company | ☐ | Large accelerated filer | ☐ | Smaller reporting company | ☐ | ||||||||||||||||||||
Accelerated filer | ☐ | Emerging growth company | ☐ | Accelerated filer | ☐ | Emerging growth company | ☐ | ||||||||||||||||||
Non-accelerated filer | ☐ | Non-accelerated filer | ☒ |
Hawaiian Electric Industries, Inc. | ☐ | Hawaiian Electric Company, Inc. | ☐ |
Hawaiian Electric Industries, Inc. | Yes | ☐ | No | ☒ | Hawaiian Electric Company, Inc. | Yes | ☐ | No | ☒ |
Class of Common Stock | Outstanding October | ||||||||||
Hawaiian Electric Industries, Inc. (Without Par Value) | Shares | ||||||||||
Hawaiian Electric Company, Inc. ($6-2/3 Par Value) | Shares (not publicly traded) |
Page No. | |||||||||||
three and nine months ended September 30, | |||||||||||
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Condensed Consolidated Balance Sheets (unaudited) - September 30, | |||||||||||
three and nine months ended September 30, | |||||||||||
nine months ended September 30, | |||||||||||
three and nine months ended September 30, | |||||||||||
three and nine months ended September 30, | |||||||||||
Condensed Consolidated Balance Sheets (unaudited) - September 30, | |||||||||||
three and nine months ended September 30, | |||||||||||
nine months ended September 30, | |||||||||||
Terms | Definitions | |||||||
ABR | Alternate Base Rate | |||||||
ACL | Allowance for credit losses, which is the current credit loss standard, requires recording the allowance based on the expected loss model | |||||||
AES Hawaii | AES Hawaii, Inc. | |||||||
Accumulated other comprehensive income/(loss) | ||||||||
Annual revenue adjustment | ||||||||
ASB | American Savings Bank, F.S.B., a | |||||||
ASB Hawaii | ASB Hawaii, Inc. | |||||||
ASU | Accounting Standards Update | |||||||
Community-based renewable energy | ||||||||
Company | Hawaiian Electric Industries, Inc. and its direct and indirect subsidiaries, including, without limitation, Hawaiian Electric Company, Inc. and its subsidiaries (listed under Hawaiian Electric); ASB Hawaii, Inc. and its subsidiary, American Savings Bank, F.S.B. | |||||||
Consumer Advocate | Division of Consumer Advocacy, Department of Commerce and Consumer Affairs of the State of Hawaii | |||||||
Decision and order from the PUC | ||||||||
DRIP | HEI Dividend Reinvestment and Stock Purchase Plan | |||||||
ECRC | Energy cost | |||||||
EIP | 2010 Equity and Incentive Plan, as amended and restated | |||||||
EPA | Environmental Protection Agency — federal | |||||||
Exceptional Project Recovery Mechanism | ||||||||
EPS | Earnings per share | |||||||
ESM | Earnings Sharing Mechanism | |||||||
EVE | Economic value of equity | |||||||
Exchange Act | Securities Exchange Act of 1934 | |||||||
FDIC | Federal Deposit Insurance Corporation | |||||||
federal | U.S. Government | |||||||
FHLB | Federal Home Loan Bank | |||||||
FHLMC | Federal Home Loan Mortgage Corporation | |||||||
Fitch Ratings, Inc. | ||||||||
FNMA | Federal National Mortgage Association | |||||||
FRB | Federal Reserve Board | |||||||
GAAP | Accounting principles generally accepted in the United States of America |
GHG | Greenhouse gas | |||||||
Government National Mortgage Association | ||||||||
GSPA | Grid Services Purchase Agreement | |||||||
Hamakua Energy | Hamakua Energy, LLC, an indirect subsidiary of Pacific Current | |||||||
Hawaii Electric Light | Hawaii Electric Light Company, Inc., an electric utility subsidiary of Hawaiian Electric Company, Inc. | |||||||
Hawaiian Electric | Hawaiian Electric Company, Inc., an electric utility subsidiary of Hawaiian Electric Industries, Inc. and parent company of Hawaii Electric Light Company, Inc., Maui Electric Company, Limited | |||||||
Hawaiian Electric Industries, Inc., direct parent company of Hawaiian Electric Company, Inc., ASB Hawaii, Inc. |
Definitions | ||||||||
HEIRSP | Hawaiian Electric Industries Retirement Savings Plan | |||||||
HELOC | Home equity line of credit | |||||||
HPOWER | City and County of Honolulu with respect to a power purchase agreement for a refuse-fired plant | |||||||
Infrastructure Investment and Jobs Act | ||||||||
IPP | Independent power producer | |||||||
Interest rate lock commitments | ||||||||
Kalaeloa | Kalaeloa Partners, L.P. | |||||||
Kilowatthour/s (as applicable) | ||||||||
Low-to-moderate income | ||||||||
LTIP | Long-term incentive plan | |||||||
Mahipapa | Mahipapa, LLC, a subsidiary of Pacific Current | |||||||
Maui Electric | Maui Electric Company, Limited, an electric utility subsidiary of Hawaiian Electric Company, Inc. | |||||||
Mauo | Mauo, LLC, | |||||||
MPIR | Major Project Interim Recovery | |||||||
MRP | Multi-year rate period | |||||||
MSRs | Mortgage servicing rights | |||||||
MW | Megawatt/s (as applicable) | |||||||
Net interest income | ||||||||
NPBC | Net periodic benefit costs | |||||||
NPPC | Net periodic pension costs | |||||||
O&M | Other operation and maintenance | |||||||
OCC | Office of the Comptroller of the Currency | |||||||
OPEB | Postretirement benefits other than pensions | |||||||
Pacific Current, LLC, a wholly owned subsidiary of HEI and parent company of Hamakua Holdings, LLC, Mauo, LLC, Alenuihaha Developments, LLC, Kaʻieʻie Waho Company, LLC, Kaʻaipuaʻa, LLC, Upena, LLC and Mahipapa, LLC | ||||||||
PBR | Performance-based regulation | |||||||
PIMs | Performance incentive mechanisms | |||||||
PPA | Power purchase agreement | |||||||
PPAC | Purchased power adjustment clause | |||||||
Public Utilities Commission of the State of Hawaii | ||||||||
PV | Photovoltaic | |||||||
RAM | ||||||||
RBA | Revenue balancing account | |||||||
RFP | Request for proposals | |||||||
ROACE | Return on average common equity | |||||||
RORB | Return on rate base | |||||||
RPS | Renewable portfolio standards | |||||||
S&P Global Ratings | ||||||||
SBA | Small Business Administration | |||||||
SEC | Securities and Exchange Commission | |||||||
See | Means the referenced material is incorporated by reference | |||||||
Secured Overnight Financing Rate | ||||||||
TDR | Troubled debt restructuring | |||||||
Utilities | Hawaiian Electric Company, Inc., Hawaii Electric Light Company, Inc. and Maui Electric Company, Limited | |||||||
Variable interest |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands, except per share amounts) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Revenues | ||||||||||||||||
Electric utility | $ | 598,769 | $ | 572,253 | $ | 1,674,255 | $ | 1,549,700 | ||||||||
Bank | 74,289 | 73,708 | 222,474 | 213,297 | ||||||||||||
Other | 127 | 94 | 299 | 262 | ||||||||||||
Total revenues | 673,185 | 646,055 | 1,897,028 | 1,763,259 | ||||||||||||
Expenses | ||||||||||||||||
Electric utility | 511,693 | 482,441 | 1,483,194 | 1,333,876 | ||||||||||||
Bank | 47,525 | 50,981 | 146,754 | 150,752 | ||||||||||||
Other | 4,422 | 7,191 | 13,777 | 18,883 | ||||||||||||
Total expenses | 563,640 | 540,613 | 1,643,725 | 1,503,511 | ||||||||||||
Operating income (loss) | ||||||||||||||||
Electric utility | 87,076 | 89,812 | 191,061 | 215,824 | ||||||||||||
Bank | 26,764 | 22,727 | 75,720 | 62,545 | ||||||||||||
Other | (4,295 | ) | (7,097 | ) | (13,478 | ) | (18,621 | ) | ||||||||
Total operating income | 109,545 | 105,442 | 253,303 | 259,748 | ||||||||||||
Merger termination fee | — | 90,000 | — | 90,000 | ||||||||||||
Interest expense, net—other than on deposit liabilities and other bank borrowings | (19,227 | ) | (19,365 | ) | (59,235 | ) | (56,792 | ) | ||||||||
Allowance for borrowed funds used during construction | 1,339 | 854 | 3,371 | 2,276 | ||||||||||||
Allowance for equity funds used during construction | 3,482 | 2,274 | 8,908 | 6,010 | ||||||||||||
Income before income taxes | 95,139 | 179,205 | 206,347 | 301,242 | ||||||||||||
Income taxes | 34,595 | 51,592 | 72,003 | 96,203 | ||||||||||||
Net income | 60,544 | 127,613 | 134,344 | 205,039 | ||||||||||||
Preferred stock dividends of subsidiaries | 471 | 471 | 1,417 | 1,417 | ||||||||||||
Net income for common stock | $ | 60,073 | $ | 127,142 | $ | 132,927 | $ | 203,622 | ||||||||
Basic earnings per common share | $ | 0.55 | $ | 1.17 | $ | 1.22 | $ | 1.89 | ||||||||
Diluted earnings per common share | $ | 0.55 | $ | 1.17 | $ | 1.22 | $ | 1.88 | ||||||||
Dividends declared per common share | $ | 0.31 | $ | 0.31 | $ | 0.93 | $ | 0.93 | ||||||||
Weighted-average number of common shares outstanding | 108,786 | 108,268 | 108,737 | 107,951 | ||||||||||||
Net effect of potentially dilutive shares | 79 | 204 | 172 | 220 | ||||||||||||
Weighted-average shares assuming dilution | 108,865 | 108,472 | 108,909 | 108,171 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands, except per share amounts) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Revenues | ||||||||||||||||||||||||||
Electric utility | $ | 794,987 | $ | 955,971 | $ | 2,419,539 | $ | 2,483,636 | ||||||||||||||||||
Bank | 100,974 | 81,411 | 291,716 | 231,850 | ||||||||||||||||||||||
Other | 5,912 | 4,815 | 14,540 | 7,386 | ||||||||||||||||||||||
Total revenues | 901,873 | 1,042,197 | 2,725,795 | 2,722,872 | ||||||||||||||||||||||
Expenses | ||||||||||||||||||||||||||
Electric utility | 723,629 | 876,922 | 2,198,681 | 2,259,838 | ||||||||||||||||||||||
Bank | 88,415 | 54,311 | 230,769 | 152,797 | ||||||||||||||||||||||
Other | 14,718 | 8,849 | 34,737 | 22,178 | ||||||||||||||||||||||
Total expenses | 826,762 | 940,082 | 2,464,187 | 2,434,813 | ||||||||||||||||||||||
Operating income (loss) | ||||||||||||||||||||||||||
Electric utility | 71,358 | 79,049 | 220,858 | 223,798 | ||||||||||||||||||||||
Bank | 12,559 | 27,100 | 60,947 | 79,053 | ||||||||||||||||||||||
Other | (8,806) | (4,034) | (20,197) | (14,792) | ||||||||||||||||||||||
Total operating income | 75,111 | 102,115 | 261,608 | 288,059 | ||||||||||||||||||||||
Retirement defined benefits credit—other than service costs | 1,256 | 1,039 | 3,561 | 3,528 | ||||||||||||||||||||||
Interest expense, net—other than on deposit liabilities and other bank borrowings | (32,629) | (26,626) | (91,259) | (75,940) | ||||||||||||||||||||||
Allowance for borrowed funds used during construction | 1,372 | 825 | 3,798 | 2,401 | ||||||||||||||||||||||
Allowance for equity funds used during construction | 4,000 | 2,552 | 11,073 | 7,431 | ||||||||||||||||||||||
Gain on sales of equity-method investment | — | — | — | 8,123 | ||||||||||||||||||||||
Income before income taxes | 49,110 | 79,905 | 188,781 | 233,602 | ||||||||||||||||||||||
Income taxes | 7,521 | 17,352 | 36,915 | 48,395 | ||||||||||||||||||||||
Net income | 41,589 | 62,553 | 151,866 | 185,207 | ||||||||||||||||||||||
Preferred stock dividends of subsidiaries | 471 | 471 | 1,417 | 1,417 | ||||||||||||||||||||||
Net income for common stock | $ | 41,118 | $ | 62,082 | $ | 150,449 | $ | 183,790 | ||||||||||||||||||
Basic earnings per common share | $ | 0.37 | $ | 0.57 | $ | 1.37 | $ | 1.68 | ||||||||||||||||||
Diluted earnings per common share | $ | 0.37 | $ | 0.57 | $ | 1.37 | $ | 1.68 | ||||||||||||||||||
Weighted-average number of common shares outstanding | 109,728 | 109,470 | 109,606 | 109,421 | ||||||||||||||||||||||
Net effect of potentially dilutive shares (share-based compensation programs) | 189 | 235 | 326 | 291 | ||||||||||||||||||||||
Weighted-average shares assuming dilution | 109,917 | 109,705 | 109,932 | 109,712 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Net income for common stock | $ | 60,073 | $ | 127,142 | $ | 132,927 | $ | 203,622 | ||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||
Net unrealized gains (losses) on available-for-sale investment securities: | ||||||||||||||||
Net unrealized gains (losses) on available-for-sale investment securities arising during the period, net of (taxes) benefits of $(137), $1,417, $(1,619) and $(5,413), respectively | 208 | (2,147 | ) | 2,452 | 8,197 | |||||||||||
Reclassification adjustment for net realized gains included in net income, net of taxes of nil, nil, nil and $238, respectively | — | — | — | (360 | ) | |||||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||
Effective portion of foreign currency hedge net unrealized gains arising during the period, net of taxes of nil, $205, nil and $368, respectively | — | 321 | — | 578 | ||||||||||||
Reclassification adjustment to net income, net of (taxes) benefits of nil, $(110), $289 and $(75), respectively | — | (173 | ) | 454 | (119 | ) | ||||||||||
Retirement benefit plans: | ||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits of $2,516, $2,324, $7,526 and $6,943, respectively | 3,942 | 3,641 | 11,793 | 10,877 | ||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes of $2,290, $2,109, $6,872 and $6,327, respectively | (3,596 | ) | (3,311 | ) | (10,790 | ) | (9,934 | ) | ||||||||
Other comprehensive income (loss), net of taxes | 554 | (1,669 | ) | 3,909 | 9,239 | |||||||||||
Comprehensive income attributable to Hawaiian Electric Industries, Inc. | $ | 60,627 | $ | 125,473 | $ | 136,836 | $ | 212,861 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net income for common stock | $ | 41,118 | $ | 62,082 | $ | 150,449 | $ | 183,790 | ||||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||||||||
Net unrealized gains (losses) on available-for-sale investment securities: | ||||||||||||||||||||||||||
Net unrealized losses on available-for-sale investment securities arising during the period, net of taxes of $(13,918), $(36,230), $(11,860) and $(112,838), respectively | (38,016) | (98,965) | (32,395) | (308,229) | ||||||||||||||||||||||
Amortization of unrealized holding losses on held-to-maturity securities, net of taxes of $1,354, nil, $4,050 and nil, respectively | 3,699 | — | 11,065 | — | ||||||||||||||||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||||||||||||
Unrealized interest rate hedging gains (losses) arising during the period, net of taxes of $(185), $901, $(237) and $2,220, respectively | (535) | 2,597 | (684) | 6,400 | ||||||||||||||||||||||
Reclassification adjustment to net income, net of taxes of $(17), $19, $(50) and $56, respectively | (47) | 53 | (143) | 161 | ||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses (gains) recognized during the period in net periodic benefit cost, net of taxes of $(153), $1,943, $(397) and $3,549, respectively | (446) | 5,606 | (1,160) | 10,229 | ||||||||||||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes of $163, $(1,839), $458 and $(3,320), respectively | 470 | (5,303) | 1,321 | (9,572) | ||||||||||||||||||||||
Other comprehensive loss, net of tax benefits | (34,875) | (96,012) | (21,996) | (301,011) | ||||||||||||||||||||||
Comprehensive income (loss) attributable to Hawaiian Electric Industries, Inc. | $ | 6,243 | $ | (33,930) | $ | 128,453 | $ | (117,221) |
(dollars in thousands) | September 30, 2017 | December 31, 2016 | ||||||
Assets | ||||||||
Cash and cash equivalents | $ | 202,173 | $ | 278,452 | ||||
Accounts receivable and unbilled revenues, net | 264,426 | 237,950 | ||||||
Available-for-sale investment securities, at fair value | 1,320,110 | 1,105,182 | ||||||
Stock in Federal Home Loan Bank, at cost | 9,706 | 11,218 | ||||||
Loans receivable held for investment, net | 4,623,234 | 4,683,160 | ||||||
Loans held for sale, at lower of cost or fair value | 15,728 | 18,817 | ||||||
Property, plant and equipment, net of accumulated depreciation of $2,537,320 and $2,444,348 at September 30, 2017 and December 31, 2016, respectively | 4,813,875 | 4,603,465 | ||||||
Regulatory assets | 936,964 | 957,451 | ||||||
Other | 474,444 | 447,621 | ||||||
Goodwill | 82,190 | 82,190 | ||||||
Total assets | $ | 12,742,850 | $ | 12,425,506 | ||||
Liabilities and shareholders’ equity | ||||||||
Liabilities | ||||||||
Accounts payable | $ | 160,897 | $ | 143,279 | ||||
Interest and dividends payable | 26,484 | 25,225 | ||||||
Deposit liabilities | 5,752,326 | 5,548,929 | ||||||
Short-term borrowings—other than bank | 24,498 | — | ||||||
Other bank borrowings | 153,552 | 192,618 | ||||||
Long-term debt, net—other than bank | 1,618,446 | 1,619,019 | ||||||
Deferred income taxes | 756,814 | 728,806 | ||||||
Regulatory liabilities | 466,216 | 410,693 | ||||||
Contributions in aid of construction | 565,118 | 543,525 | ||||||
Defined benefit pension and other postretirement benefit plans liability | 620,788 | 638,854 | ||||||
Other | 460,396 | 473,512 | ||||||
Total liabilities | 10,605,535 | 10,324,460 | ||||||
Preferred stock of subsidiaries - not subject to mandatory redemption | 34,293 | 34,293 | ||||||
Commitments and contingencies (Notes 3 and 4) | ||||||||
Shareholders’ equity | ||||||||
Preferred stock, no par value, authorized 10,000,000 shares; issued: none | — | — | ||||||
Common stock, no par value, authorized 200,000,000 shares; issued and outstanding: 108,785,978 shares and 108,583,413 shares at September 30, 2017 and December 31, 2016, respectively | 1,661,492 | 1,660,910 | ||||||
Retained earnings | 470,750 | 438,972 | ||||||
Accumulated other comprehensive loss, net of tax benefits | (29,220 | ) | (33,129 | ) | ||||
Total shareholders’ equity | 2,103,022 | 2,066,753 | ||||||
Total liabilities and shareholders’ equity | $ | 12,742,850 | $ | 12,425,506 |
(dollars in thousands) | September 30, 2023 | December 31, 2022 | ||||||||||||
Assets | ||||||||||||||
Cash and cash equivalents | $ | 667,129 | $ | 199,877 | ||||||||||
Restricted cash | 15,164 | 5,050 | ||||||||||||
Accounts receivable and unbilled revenues, net | 540,082 | 511,903 | ||||||||||||
Available-for-sale investment securities, at fair value | 1,266,412 | 1,429,667 | ||||||||||||
Held-to-maturity investment securities, at amortized cost | 1,212,005 | 1,251,747 | ||||||||||||
Stock in Federal Home Loan Bank, at cost | 18,000 | 26,560 | ||||||||||||
Loans held for investment, net | 6,114,640 | 5,906,690 | ||||||||||||
Loans held for sale, at lower of cost or fair value | 2,171 | 824 | ||||||||||||
Property, plant and equipment, net of accumulated depreciation of $3,341,082 and $3,192,545 at September 30, 2023 and December 31, 2022, respectively | 5,917,342 | 5,687,003 | ||||||||||||
Operating lease right-of-use assets | 99,466 | 115,684 | ||||||||||||
Regulatory assets | 231,197 | 242,513 | ||||||||||||
Other | 826,020 | 824,536 | ||||||||||||
Goodwill | 82,190 | 82,190 | ||||||||||||
Total assets | $ | 16,991,818 | $ | 16,284,244 | ||||||||||
Liabilities and shareholders’ equity | ||||||||||||||
Liabilities | ||||||||||||||
Accounts payable | $ | 256,323 | $ | 251,460 | ||||||||||
Interest and dividends payable | 57,901 | 21,333 | ||||||||||||
Deposit liabilities | 8,224,351 | 8,169,696 | ||||||||||||
Short-term borrowings—other than bank | — | 172,568 | ||||||||||||
Other bank borrowings | 750,000 | 695,120 | ||||||||||||
Long-term debt, net—other than bank | 2,944,589 | 2,384,980 | ||||||||||||
Deferred income taxes | 258,942 | 262,462 | ||||||||||||
Operating lease liabilities | 108,681 | 126,604 | ||||||||||||
Finance lease liabilities | 122,320 | 48,709 | ||||||||||||
Regulatory liabilities | 1,101,773 | 1,055,650 | ||||||||||||
Defined benefit pension and other postretirement benefit plans liability | 70,785 | 71,813 | ||||||||||||
Other | 837,506 | 787,057 | ||||||||||||
Total liabilities | 14,733,171 | 14,047,452 | ||||||||||||
Preferred stock of subsidiaries - not subject to mandatory redemption | 34,293 | 34,293 | ||||||||||||
Commitments and contingencies (Notes 2, 4 and 5) | ||||||||||||||
Shareholders’ equity | ||||||||||||||
Preferred stock, no par value, authorized 10,000,000 shares; issued: none | — | — | ||||||||||||
Common stock, no par value, authorized 200,000,000 shares; issued and outstanding: 110,086,035 shares and 109,470,795 shares at September 30, 2023 and December 31, 2022, respectively | 1,704,447 | 1,692,697 | ||||||||||||
Retained earnings | 877,931 | 845,830 | ||||||||||||
Accumulated other comprehensive loss, net of tax benefits | (358,024) | (336,028) | ||||||||||||
Total shareholders’ equity | 2,224,354 | 2,202,499 | ||||||||||||
Total liabilities and shareholders’ equity | $ | 16,991,818 | $ | 16,284,244 |
Common stock | Retained | Accumulated other comprehensive | |||||||||||||||||
(in thousands) | Shares | Amount | Earnings | income (loss) | Total | ||||||||||||||
Balance, December 31, 2016 | 108,583 | $ | 1,660,910 | $ | 438,972 | $ | (33,129 | ) | $ | 2,066,753 | |||||||||
Net income for common stock | — | — | 132,927 | — | 132,927 | ||||||||||||||
Other comprehensive income, net of taxes | — | — | — | 3,909 | 3,909 | ||||||||||||||
Issuance of common stock, net of expenses | 203 | 582 | — | — | 582 | ||||||||||||||
Common stock dividends | — | — | (101,149 | ) | — | (101,149 | ) | ||||||||||||
Balance, September 30, 2017 | 108,786 | $ | 1,661,492 | $ | 470,750 | $ | (29,220 | ) | $ | 2,103,022 | |||||||||
Balance, December 31, 2015 | 107,460 | $ | 1,629,136 | $ | 324,766 | $ | (26,262 | ) | $ | 1,927,640 | |||||||||
Net income for common stock | — | — | 203,622 | — | 203,622 | ||||||||||||||
Other comprehensive income, net of taxes | — | — | — | 9,239 | 9,239 | ||||||||||||||
Issuance of common stock, net of expenses | 1,043 | 28,285 | — | — | 28,285 | ||||||||||||||
Common stock dividends | — | — | (100,398 | ) | — | (100,398 | ) | ||||||||||||
Balance, September 30, 2016 | 108,503 | $ | 1,657,421 | $ | 427,990 | $ | (17,023 | ) | $ | 2,068,388 |
Common stock | Retained | Accumulated other comprehensive | ||||||||||||||||||||||||||||||
(in thousands) | Shares | Amount | Earnings | income (loss) | Total | |||||||||||||||||||||||||||
Balance, December 31, 2022 | 109,471 | $ | 1,692,697 | $ | 845,830 | $ | (336,028) | $ | 2,202,499 | |||||||||||||||||||||||
Net income for common stock | — | — | 54,721 | — | 54,721 | |||||||||||||||||||||||||||
Other comprehensive income, net of taxes | — | — | — | 20,488 | 20,488 | |||||||||||||||||||||||||||
Share-based expenses and other, net | 101 | (307) | — | — | (307) | |||||||||||||||||||||||||||
Common stock dividends (36¢ per share) | — | — | (39,446) | — | (39,446) | |||||||||||||||||||||||||||
Balance, March 31, 2023 | 109,572 | 1,692,390 | 861,105 | (315,540) | 2,237,955 | |||||||||||||||||||||||||||
Net income for common stock | — | — | 54,610 | — | 54,610 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax benefits | — | — | — | (7,609) | (7,609) | |||||||||||||||||||||||||||
Share-based expenses and other, net | 40 | 3,868 | — | — | 3,868 | |||||||||||||||||||||||||||
Common stock dividends (36¢ per share) | — | — | (39,447) | — | (39,447) | |||||||||||||||||||||||||||
Balance, June 30, 2023 | 109,612 | 1,696,258 | 876,268 | (323,149) | 2,249,377 | |||||||||||||||||||||||||||
Net income for common stock | — | — | 41,118 | — | 41,118 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax benefits | — | — | — | (34,875) | (34,875) | |||||||||||||||||||||||||||
Dividend reinvestment and stock purchase plan | 474 | 5,827 | — | — | 5,827 | |||||||||||||||||||||||||||
Share-based expenses and other, net | — | 2,362 | — | — | 2,362 | |||||||||||||||||||||||||||
Common stock dividends (36¢ per share) | — | — | (39,455) | — | (39,455) | |||||||||||||||||||||||||||
Balance, September 30, 2023 | 110,086 | $ | 1,704,447 | $ | 877,931 | $ | (358,024) | $ | 2,224,354 | |||||||||||||||||||||||
Balance, December 31, 2021 | 109,312 | $ | 1,685,496 | $ | 757,921 | $ | (52,533) | $ | 2,390,884 | |||||||||||||||||||||||
Net income for common stock | — | — | 69,167 | — | 69,167 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax benefits | — | — | — | (117,159) | (117,159) | |||||||||||||||||||||||||||
Share-based expenses and other, net | 119 | (949) | — | — | (949) | |||||||||||||||||||||||||||
Common stock dividends (35¢ per share) | — | — | (38,301) | — | (38,301) | |||||||||||||||||||||||||||
Balance, March 31, 2022 | 109,431 | 1,684,547 | 788,787 | (169,692) | 2,303,642 | |||||||||||||||||||||||||||
Net income for common stock | — | — | 52,541 | — | 52,541 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax benefits | — | — | — | (87,840) | (87,840) | |||||||||||||||||||||||||||
Share-based expenses and other, net | 36 | 3,462 | — | — | 3,462 | |||||||||||||||||||||||||||
Common stock dividends (35¢ per share) | — | — | (38,301) | — | (38,301) | |||||||||||||||||||||||||||
Balance, June 30, 2022 | 109,467 | 1,688,009 | 803,027 | (257,532) | 2,233,504 | |||||||||||||||||||||||||||
Net income for common stock | — | — | 62,082 | — | 62,082 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax benefits | — | — | — | (96,012) | (96,012) | |||||||||||||||||||||||||||
Share-based expenses and other, net | 3 | 1,663 | — | — | 1,663 | |||||||||||||||||||||||||||
Common stock dividends (35¢ per share) | — | — | (38,315) | — | (38,315) | |||||||||||||||||||||||||||
Balance, September 30, 2022 | 109,470 | $ | 1,689,672 | $ | 826,794 | $ | (353,544) | $ | 2,162,922 |
Nine months ended September 30 | ||||||||||||||
(in thousands) | 2023 | 2022 | ||||||||||||
Cash flows from operating activities | ||||||||||||||
Net income | $ | 151,866 | $ | 185,207 | ||||||||||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||||||||||
Depreciation of property, plant and equipment | 200,722 | 190,075 | ||||||||||||
Other amortization | 32,744 | 28,916 | ||||||||||||
Provision for credit losses | 10,053 | (692) | ||||||||||||
Loans originated, held for sale | (37,288) | (120,195) | ||||||||||||
Proceeds from sale of loans, held for sale | 36,086 | 126,357 | ||||||||||||
Gain on sales of investment securities, net and equity-method investment | — | (8,123) | ||||||||||||
Gain on sale of loans, net | (701) | (1,630) | ||||||||||||
Deferred income taxes | (5,594) | (21,631) | ||||||||||||
Share-based compensation expense | 8,281 | 7,337 | ||||||||||||
Allowance for equity funds used during construction | (11,073) | (7,431) | ||||||||||||
Other | (5,315) | (5,392) | ||||||||||||
Changes in assets and liabilities | ||||||||||||||
Decrease (increase) in accounts receivable and unbilled revenues, net | 41,494 | (159,619) | ||||||||||||
Decrease (increase) in fuel oil stock | 38,587 | (127,413) | ||||||||||||
Decrease in regulatory assets | 13,908 | 34,278 | ||||||||||||
Increase in regulatory liabilities | 32,454 | 29,294 | ||||||||||||
Increase in accounts, interest and dividends payable | 70,850 | 39,009 | ||||||||||||
Change in prepaid and accrued income taxes, tax credits and utility revenue taxes | (24,860) | 73,279 | ||||||||||||
Decrease in defined benefit pension and other postretirement benefit plans liability | (6,722) | (4,228) | ||||||||||||
Change in other assets and liabilities | (70,354) | (44,411) | ||||||||||||
Net cash provided by operating activities | 475,138 | 212,987 | ||||||||||||
Cash flows from investing activities | ||||||||||||||
Available-for-sale investment securities purchased | — | (366,177) | ||||||||||||
Principal repayments on available-for-sale investment securities | 117,042 | 285,519 | ||||||||||||
Proceeds from repayments or maturities of held-to-maturity investment securities | 52,823 | 10,433 | ||||||||||||
Purchase of stock from Federal Home Loan Bank | (76,040) | (93,000) | ||||||||||||
Redemption of stock from Federal Home Loan Bank | 84,600 | 88,000 | ||||||||||||
Net increase in loans held for investment | (283,126) | (395,185) | ||||||||||||
Proceeds from sale of commercial loans | 94,665 | — | ||||||||||||
Purchase of loans held for investment | (26,195) | (77,274) | ||||||||||||
Capital expenditures | (342,364) | (236,278) | ||||||||||||
Contributions to low income housing investments | (418) | (740) | ||||||||||||
Acquisition of business | — | (25,706) | ||||||||||||
Other | 9,375 | 15,646 | ||||||||||||
Net cash used in investing activities | (369,638) | (794,762) |
Nine months ended September 30 | ||||||||
(in thousands) | 2017 | 2016 | ||||||
Cash flows from operating activities | ||||||||
Net income | $ | 134,344 | $ | 205,039 | ||||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||||
Depreciation of property, plant and equipment | 150,123 | 145,684 | ||||||
Other amortization | 15,362 | 7,368 | ||||||
Provision for loan losses | 7,231 | 15,266 | ||||||
Loans receivable originated and purchased, held for sale | (105,816 | ) | (172,657 | ) | ||||
Proceeds from sale of loans receivable, held for sale | 119,731 | 168,490 | ||||||
Deferred income taxes | 21,397 | 30,667 | ||||||
Share-based compensation expense | 4,383 | 3,581 | ||||||
Allowance for equity funds used during construction | (8,908 | ) | (6,010 | ) | ||||
Other | (1,350 | ) | 3,234 | |||||
Changes in assets and liabilities | ||||||||
Increase in accounts receivable and unbilled revenues, net | (26,250 | ) | (12,104 | ) | ||||
Decrease in fuel oil stock | 6,177 | 6,736 | ||||||
Decrease (increase) in regulatory assets | 3,922 | (2,251 | ) | |||||
Increase (decrease) in accounts, interest and dividends payable | (10,390 | ) | 3,399 | |||||
Change in prepaid and accrued income taxes, tax credits and utility revenue taxes | 2,828 | 52,558 | ||||||
Increase in defined benefit pension and other postretirement benefit plans liability | 670 | 150 | ||||||
Change in other assets and liabilities | (22,311 | ) | (39,850 | ) | ||||
Net cash provided by operating activities | 291,143 | 409,300 | ||||||
Cash flows from investing activities | ||||||||
Available-for-sale investment securities purchased | (369,467 | ) | (354,165 | ) | ||||
Principal repayments on available-for-sale investment securities | 155,026 | 172,829 | ||||||
Proceeds from sale of available-for-sale investment securities | — | 16,423 | ||||||
Purchase of stock from Federal Home Loan Bank | (2,868 | ) | (2,773 | ) | ||||
Redemption of stock from Federal Home Loan Bank | 4,380 | 2,233 | ||||||
Net decrease (increase) in loans held for investment | 13,188 | (175,303 | ) | |||||
Proceeds from sale of commercial loans | 31,427 | 37,946 | ||||||
Proceeds from sale of real estate acquired in settlement of loans | 411 | 829 | ||||||
Proceeds from sale of real estate held-for-sale | — | 1,764 | ||||||
Capital expenditures | (314,404 | ) | (259,207 | ) | ||||
Contributions in aid of construction | 40,603 | 23,568 | ||||||
Other | 1,345 | 112 | ||||||
Net cash used in investing activities | (440,359 | ) | (535,744 | ) | ||||
Cash flows from financing activities | ||||||||
Net increase in deposit liabilities | 203,397 | 355,467 | ||||||
Net increase (decrease) in short-term borrowings with original maturities of three months or less | 24,498 | (103,063 | ) | |||||
Net increase (decrease) in retail repurchase agreements | 24,469 | (21,121 | ) | |||||
Proceeds from other bank borrowings | 59,500 | 55,835 | ||||||
Repayments of other bank borrowings | (123,034 | ) | (97,902 | ) | ||||
Proceeds from issuance of long-term debt | 265,000 | 75,000 | ||||||
Repayment of long-term debt and funds transferred for redemption of special purpose revenue bonds | (265,000 | ) | (75,000 | ) | ||||
Withheld shares for employee taxes on vested share-based compensation | (3,796 | ) | (2,398 | ) | ||||
Net proceeds from issuance of common stock | — | 10,901 | ||||||
Common stock dividends | (101,149 | ) | (83,620 | ) | ||||
Preferred stock dividends of subsidiaries | (1,417 | ) | (1,417 | ) | ||||
Other | (9,531 | ) | (2,361 | ) | ||||
Net cash provided by financing activities | 72,937 | 110,321 | ||||||
Net decrease in cash and cash equivalents | (76,279 | ) | (16,123 | ) | ||||
Cash and cash equivalents, beginning of period | 278,452 | 300,478 | ||||||
Cash and cash equivalents, end of period | $ | 202,173 | $ | 284,355 |
Nine months ended September 30 | ||||||||||||||
(in thousands) | 2023 | 2022 | ||||||||||||
Cash flows from financing activities | ||||||||||||||
Net increase (decrease) in deposit liabilities | (43,655) | 86,673 | ||||||||||||
Net increase (decrease) in short-term borrowings with original maturities of three months or less | (137,650) | 117,127 | ||||||||||||
Net increase (decrease) in other bank borrowings with original maturities of three months or less | (596,810) | 320,735 | ||||||||||||
Proceeds from issuance of short-term debt | 65,000 | — | ||||||||||||
Repayment of short-term debt | (100,000) | — | ||||||||||||
Proceeds from issuance of other bank borrowings | 1,000,000 | — | ||||||||||||
Repayment of other bank borrowings | (250,000) | — | ||||||||||||
Proceeds from issuance of long-term debt | 625,000 | 67,312 | ||||||||||||
Repayment of long-term debt | (64,317) | (16,752) | ||||||||||||
Withheld shares for employee taxes on vested share-based compensation | (2,356) | (3,158) | ||||||||||||
Net proceeds from issuance of common stock | 437 | — | ||||||||||||
Common stock dividends | (112,957) | (114,917) | ||||||||||||
Preferred stock dividends of subsidiaries | (1,417) | (1,417) | ||||||||||||
Other | (9,409) | (6,112) | ||||||||||||
Net cash provided by financing activities | 371,866 | 449,491 | ||||||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | 477,366 | (132,284) | ||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 204,927 | 311,462 | ||||||||||||
Cash, cash equivalents and restricted cash, end of period | 682,293 | 179,178 | ||||||||||||
Less: Restricted cash | (15,164) | (3,898) | ||||||||||||
Cash and cash equivalents, end of period | $ | 667,129 | $ | 175,280 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Revenues | $ | 598,769 | $ | 572,253 | $ | 1,674,255 | $ | 1,549,700 | ||||||||
Expenses | ||||||||||||||||
Fuel oil | 146,258 | 128,624 | 431,787 | 334,263 | ||||||||||||
Purchased power | 160,347 | 157,750 | 440,538 | 412,667 | ||||||||||||
Other operation and maintenance | 100,102 | 94,789 | 306,716 | 298,260 | ||||||||||||
Depreciation | 48,206 | 46,759 | 144,578 | 140,300 | ||||||||||||
Taxes, other than income taxes | 56,780 | 54,519 | 159,575 | 148,386 | ||||||||||||
Total expenses | 511,693 | 482,441 | 1,483,194 | 1,333,876 | ||||||||||||
Operating income | 87,076 | 89,812 | 191,061 | 215,824 | ||||||||||||
Allowance for equity funds used during construction | 3,482 | 2,274 | 8,908 | 6,010 | ||||||||||||
Interest expense and other charges, net | (16,907 | ) | (17,323 | ) | (52,625 | ) | (49,734 | ) | ||||||||
Allowance for borrowed funds used during construction | 1,339 | 854 | 3,371 | 2,276 | ||||||||||||
Income before income taxes | 74,990 | 75,617 | 150,715 | 174,376 | ||||||||||||
Income taxes | 27,005 | 28,145 | 54,623 | 64,682 | ||||||||||||
Net income | 47,985 | 47,472 | 96,092 | 109,694 | ||||||||||||
Preferred stock dividends of subsidiaries | 228 | 228 | 686 | 686 | ||||||||||||
Net income attributable to Hawaiian Electric | 47,757 | 47,244 | 95,406 | 109,008 | ||||||||||||
Preferred stock dividends of Hawaiian Electric | 270 | 270 | 810 | 810 | ||||||||||||
Net income for common stock | $ | 47,487 | $ | 46,974 | $ | 94,596 | $ | 108,198 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Revenues | $ | 794,987 | $ | 955,971 | $ | 2,419,539 | $ | 2,483,636 | ||||||||||||||||||
Expenses | ||||||||||||||||||||||||||
Fuel oil | 267,438 | 383,602 | 881,692 | 874,543 | ||||||||||||||||||||||
Purchased power | 177,795 | 225,209 | 498,990 | 606,827 | ||||||||||||||||||||||
Other operation and maintenance | 142,508 | 121,110 | 407,184 | 371,259 | ||||||||||||||||||||||
Depreciation | 61,165 | 58,711 | 182,781 | 175,921 | ||||||||||||||||||||||
Taxes, other than income taxes | 74,723 | 88,290 | 228,034 | 231,288 | ||||||||||||||||||||||
Total expenses | 723,629 | 876,922 | 2,198,681 | 2,259,838 | ||||||||||||||||||||||
Operating income | 71,358 | 79,049 | 220,858 | 223,798 | ||||||||||||||||||||||
Allowance for equity funds used during construction | 4,000 | 2,552 | 11,073 | 7,431 | ||||||||||||||||||||||
Retirement defined benefits credit—other than service costs | 1,132 | 895 | 3,227 | 2,876 | ||||||||||||||||||||||
Interest expense and other charges, net | (22,447) | (19,609) | (63,565) | (56,735) | ||||||||||||||||||||||
Allowance for borrowed funds used during construction | 1,372 | 825 | 3,798 | 2,401 | ||||||||||||||||||||||
Income before income taxes | 55,415 | 63,712 | 175,391 | 179,771 | ||||||||||||||||||||||
Income taxes | 11,456 | 13,450 | 38,126 | 37,967 | ||||||||||||||||||||||
Net income | 43,959 | 50,262 | 137,265 | 141,804 | ||||||||||||||||||||||
Preferred stock dividends of subsidiaries | 228 | 228 | 686 | 686 | ||||||||||||||||||||||
Net income attributable to Hawaiian Electric | 43,731 | 50,034 | 136,579 | 141,118 | ||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric | 270 | 270 | 810 | 810 | ||||||||||||||||||||||
Net income for common stock | $ | 43,461 | $ | 49,764 | $ | 135,769 | $ | 140,308 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Net income for common stock | $ | 47,487 | $ | 46,974 | $ | 94,596 | $ | 108,198 | ||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||
Effective portion of foreign currency hedge net unrealized gains arising during the period, net of taxes of nil, $205, nil and $368, respectively | — | 321 | — | 578 | ||||||||||||
Reclassification adjustment to net income, net of (taxes) benefits of nil, $(110), $289 and $(110), respectively | — | (173 | ) | 454 | (173 | ) | ||||||||||
Retirement benefit plans: | ||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits of $2,306, $2,110, $6,916 and $6,331, respectively | 3,618 | 3,314 | 10,857 | 9,941 | ||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes of $2,290, $2,109, $6,872 and $6,327, respectively | (3,596 | ) | (3,311 | ) | (10,790 | ) | (9,934 | ) | ||||||||
Other comprehensive income, net of taxes | 22 | 151 | 521 | 412 | ||||||||||||
Comprehensive income attributable to Hawaiian Electric Company, Inc. | $ | 47,509 | $ | 47,125 | $ | 95,117 | $ | 108,610 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net income for common stock | $ | 43,461 | $ | 49,764 | $ | 135,769 | $ | 140,308 | ||||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses (gains) recognized during the period in net periodic benefit cost, net of taxes of $(190), $1,877, $(516) and $3,393, respectively | (547) | 5,411 | (1,487) | 9,782 | ||||||||||||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes of $163, $(1,839), $458 and $(3,320), respectively | 470 | (5,303) | 1,321 | (9,572) | ||||||||||||||||||||||
Other comprehensive income (loss), net of taxes | (77) | 108 | (166) | 210 | ||||||||||||||||||||||
Comprehensive income attributable to Hawaiian Electric Company, Inc. | $ | 43,384 | $ | 49,872 | $ | 135,603 | $ | 140,518 |
(dollars in thousands, except par value) | September 30, 2023 | December 31, 2022 | ||||||||||||
Assets | ||||||||||||||
Property, plant and equipment | ||||||||||||||
Utility property, plant and equipment | ||||||||||||||
Land | $ | 52,098 | $ | 52,060 | ||||||||||
Plant and equipment | 8,199,828 | 7,979,510 | ||||||||||||
Right-of-use assets - finance lease | 124,372 | 48,371 | ||||||||||||
Less accumulated depreciation | (3,222,030) | (3,086,499) | ||||||||||||
Construction in progress | 357,289 | 275,353 | ||||||||||||
Utility property, plant and equipment, net | 5,511,557 | 5,268,795 | ||||||||||||
Nonutility property, plant and equipment, less accumulated depreciation of $39 and $63 as of September 30, 2023 and December 31, 2022, respectively | 6,942 | 6,945 | ||||||||||||
Total property, plant and equipment, net | 5,518,499 | 5,275,740 | ||||||||||||
Current assets | ||||||||||||||
Cash and cash equivalents | 274,854 | 39,242 | ||||||||||||
Restricted cash | 2,000 | — | ||||||||||||
Customer accounts receivable, net | 241,762 | 288,338 | ||||||||||||
Accrued unbilled revenues, net | 179,327 | 183,280 | ||||||||||||
Other accounts receivable, net | 89,823 | 13,567 | ||||||||||||
Fuel oil stock, at average cost | 152,768 | 191,530 | ||||||||||||
Materials and supplies, at average cost | 99,526 | 79,568 | ||||||||||||
Prepayments and other | 54,538 | 33,482 | ||||||||||||
Regulatory assets | 57,921 | 52,273 | ||||||||||||
Total current assets | 1,152,519 | 881,280 | ||||||||||||
Other long-term assets | ||||||||||||||
Operating lease right-of-use assets | 76,061 | 89,318 | ||||||||||||
Regulatory assets | 173,276 | 190,240 | ||||||||||||
Other | 158,092 | 160,889 | ||||||||||||
Total other long-term assets | 407,429 | 440,447 | ||||||||||||
Total assets | $ | 7,078,447 | $ | 6,597,467 | ||||||||||
(dollars in thousands, except par value) | September 30, 2017 | December 31, 2016 | ||||||
Assets | ||||||||
Property, plant and equipment | ||||||||
Utility property, plant and equipment | ||||||||
Land | $ | 53,913 | $ | 53,153 | ||||
Plant and equipment | 6,778,254 | 6,605,732 | ||||||
Less accumulated depreciation | (2,460,429 | ) | (2,369,282 | ) | ||||
Construction in progress | 307,492 | 211,742 | ||||||
Utility property, plant and equipment, net | 4,679,230 | 4,501,345 | ||||||
Nonutility property, plant and equipment, less accumulated depreciation of $1,233 as of September 30, 2017 and $1,232 as of December 31, 2016 | 7,409 | 7,407 | ||||||
Total property, plant and equipment, net | 4,686,639 | 4,508,752 | ||||||
Current assets | ||||||||
Cash and cash equivalents | 9,987 | 74,286 | ||||||
Customer accounts receivable, net | 133,135 | 123,688 | ||||||
Accrued unbilled revenues, net | 109,707 | 91,693 | ||||||
Other accounts receivable, net | 4,097 | 5,233 | ||||||
Fuel oil stock, at average cost | 60,253 | 66,430 | ||||||
Materials and supplies, at average cost | 55,959 | 53,679 | ||||||
Prepayments and other | 29,871 | 23,100 | ||||||
Regulatory assets | 72,773 | 66,032 | ||||||
Total current assets | 475,782 | 504,141 | ||||||
Other long-term assets | ||||||||
Regulatory assets | 864,191 | 891,419 | ||||||
Unamortized debt expense | 661 | 208 | ||||||
Other | 80,228 | 70,908 | ||||||
Total other long-term assets | 945,080 | 962,535 | ||||||
Total assets | $ | 6,107,501 | $ | 5,975,428 | ||||
Capitalization and liabilities | ||||||||
Capitalization | ||||||||
Common stock ($6 2/3 par value, authorized 50,000,000 shares; outstanding 16,019,785 shares at September 30, 2017 and December 31, 2016) | $ | 106,818 | $ | 106,818 | ||||
Premium on capital stock | 601,487 | 601,491 | ||||||
Retained earnings | 1,120,571 | 1,091,800 | ||||||
Accumulated other comprehensive income (loss), net of taxes | 199 | (322 | ) | |||||
Common stock equity | 1,829,075 | 1,799,787 | ||||||
Cumulative preferred stock — not subject to mandatory redemption | 34,293 | 34,293 | ||||||
Long-term debt, net | 1,318,623 | 1,319,260 | ||||||
Total capitalization | 3,181,991 | 3,153,340 | ||||||
Commitments and contingencies (Note 3) | ||||||||
Current liabilities | ||||||||
Short-term borrowings from non-affiliates | 6,000 | — | ||||||
Accounts payable | 124,240 | 117,814 | ||||||
Interest and preferred dividends payable | 25,261 | 22,838 | ||||||
Taxes accrued | 183,365 | 172,730 | ||||||
Regulatory liabilities | 3,399 | 3,762 | ||||||
Other | 59,611 | 55,221 | ||||||
Total current liabilities | 401,876 | 372,365 | ||||||
Deferred credits and other liabilities | ||||||||
Deferred income taxes | 767,611 | 733,659 | ||||||
Regulatory liabilities | 462,817 | 406,931 | ||||||
Unamortized tax credits | 88,827 | 88,961 | ||||||
Defined benefit pension and other postretirement benefit plans liability | 581,713 | 599,726 | ||||||
Other | 57,548 | 76,921 | ||||||
Total deferred credits and other liabilities | 1,958,516 | 1,906,198 | ||||||
Contributions in aid of construction | 565,118 | 543,525 | ||||||
Total capitalization and liabilities | $ | 6,107,501 | $ | 5,975,428 |
(dollars in thousands, except par value) | September 30, 2023 | December 31, 2022 | ||||||||||||
Capitalization and liabilities | ||||||||||||||
Capitalization | ||||||||||||||
Common stock ($6 2/3 par value, authorized 50,000,000 shares; outstanding 17,854,278 shares at September 30, 2023 and December 31, 2022) | $ | 119,048 | $ | 119,048 | ||||||||||
Premium on capital stock | 810,955 | 810,955 | ||||||||||||
Retained earnings | 1,450,325 | 1,411,306 | ||||||||||||
Accumulated other comprehensive income, net of taxes-retirement benefit plans | 2,695 | 2,861 | ||||||||||||
Common stock equity | 2,383,023 | 2,344,170 | ||||||||||||
Cumulative preferred stock — not subject to mandatory redemption | 34,293 | 34,293 | ||||||||||||
Long-term debt, net | 1,934,044 | 1,584,854 | ||||||||||||
Total capitalization | 4,351,360 | 3,963,317 | ||||||||||||
Commitments and contingencies (Notes 2 and 4) | ||||||||||||||
Current liabilities | ||||||||||||||
Current portion of operating lease liabilities | 17,012 | 19,095 | ||||||||||||
Current portion of long-term debt, net | 99,996 | 99,962 | ||||||||||||
Short-term borrowings from non-affiliates | — | 87,967 | ||||||||||||
Accounts payable | 201,699 | 202,492 | ||||||||||||
Interest and preferred dividends payable | 30,058 | 17,176 | ||||||||||||
Taxes accrued, including revenue taxes | 274,272 | 289,902 | ||||||||||||
Regulatory liabilities | 26,325 | 31,475 | ||||||||||||
Other | 163,307 | 85,596 | ||||||||||||
Total current liabilities | 812,669 | 833,665 | ||||||||||||
Deferred credits and other liabilities | ||||||||||||||
Operating lease liabilities | 66,299 | 78,715 | ||||||||||||
Finance lease liabilities | 118,140 | 46,048 | ||||||||||||
Deferred income taxes | 385,675 | 384,430 | ||||||||||||
Regulatory liabilities | 1,075,449 | 1,024,175 | ||||||||||||
Unamortized tax credits | 89,747 | 95,300 | ||||||||||||
Defined benefit pension liability | 48,884 | 49,748 | ||||||||||||
Other | 130,224 | 122,069 | ||||||||||||
Total deferred credits and other liabilities | 1,914,418 | 1,800,485 | ||||||||||||
Total capitalization and liabilities | $ | 7,078,447 | $ | 6,597,467 |
Common stock | Premium on capital | Retained | Accumulated other comprehensive | ||||||||||||||||||||
(in thousands) | Shares | Amount | stock | earnings | income (loss) | Total | |||||||||||||||||
Balance, December 31, 2016 | 16,020 | $ | 106,818 | $ | 601,491 | $ | 1,091,800 | $ | (322 | ) | $ | 1,799,787 | |||||||||||
Net income for common stock | — | — | — | 94,596 | — | 94,596 | |||||||||||||||||
Other comprehensive income, net of taxes | — | — | — | — | 521 | 521 | |||||||||||||||||
Common stock dividends | — | — | — | (65,825 | ) | — | (65,825 | ) | |||||||||||||||
Common stock issuance expenses | — | — | (4 | ) | — | — | (4 | ) | |||||||||||||||
Balance, September 30, 2017 | 16,020 | $ | 106,818 | $ | 601,487 | $ | 1,120,571 | $ | 199 | $ | 1,829,075 | ||||||||||||
Balance, December 31, 2015 | 15,805 | $ | 105,388 | $ | 578,930 | $ | 1,043,082 | $ | 925 | $ | 1,728,325 | ||||||||||||
Net income for common stock | — | — | — | 108,198 | — | 108,198 | |||||||||||||||||
Other comprehensive income, net of taxes | — | — | — | — | 412 | 412 | |||||||||||||||||
Common stock dividends | — | — | — | (70,199 | ) | — | (70,199 | ) | |||||||||||||||
Common stock issuance expenses | — | — | (9 | ) | — | — | (9 | ) | |||||||||||||||
Balance, September 30, 2016 | 15,805 | $ | 105,388 | $ | 578,921 | $ | 1,081,081 | $ | 1,337 | $ | 1,766,727 |
Common stock | Premium on capital | Retained | Accumulated other comprehensive | |||||||||||||||||||||||||||||||||||
(in thousands) | Shares | Amount | stock | earnings | income (loss) | Total | ||||||||||||||||||||||||||||||||
Balance, December 31, 2022 | 17,854 | $ | 119,048 | $ | 810,955 | $ | 1,411,306 | $ | 2,861 | $ | 2,344,170 | |||||||||||||||||||||||||||
Net income for common stock | — | — | — | 47,009 | — | 47,009 | ||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | — | — | — | — | (45) | (45) | ||||||||||||||||||||||||||||||||
Common stock dividends | — | — | — | (32,250) | — | (32,250) | ||||||||||||||||||||||||||||||||
Balance, March 31, 2023 | 17,854 | 119,048 | 810,955 | 1,426,065 | 2,816 | 2,358,884 | ||||||||||||||||||||||||||||||||
Net income for common stock | — | — | — | 45,299 | — | 45,299 | ||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | — | — | — | — | (44) | (44) | ||||||||||||||||||||||||||||||||
Common stock dividends | — | — | (32,250) | — | (32,250) | |||||||||||||||||||||||||||||||||
Balance, June 30, 2023 | 17,854 | 119,048 | 810,955 | 1,439,114 | 2,772 | 2,371,889 | ||||||||||||||||||||||||||||||||
Net income for common stock | — | — | — | 43,461 | — | 43,461 | ||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | — | — | — | — | (77) | (77) | ||||||||||||||||||||||||||||||||
Common stock dividends | — | — | — | (32,250) | — | (32,250) | ||||||||||||||||||||||||||||||||
Balance, September 30, 2023 | 17,854 | $ | 119,048 | $ | 810,955 | $ | 1,450,325 | $ | 2,695 | $ | 2,383,023 | |||||||||||||||||||||||||||
Balance, December 31, 2021 | 17,753 | $ | 118,376 | $ | 798,526 | $ | 1,348,277 | $ | (3,280) | $ | 2,261,899 | |||||||||||||||||||||||||||
Net income for common stock | — | — | — | 46,409 | — | 46,409 | ||||||||||||||||||||||||||||||||
Other comprehensive income, net of taxes | — | — | — | — | 51 | 51 | ||||||||||||||||||||||||||||||||
Common stock dividends | — | — | — | (31,475) | — | (31,475) | ||||||||||||||||||||||||||||||||
Balance, March 31, 2022 | 17,753 | 118,376 | 798,526 | 1,363,211 | (3,229) | 2,276,884 | ||||||||||||||||||||||||||||||||
Net income for common stock | — | — | — | 44,135 | — | 44,135 | ||||||||||||||||||||||||||||||||
Other comprehensive income, net of taxes | — | — | — | — | 51 | 51 | ||||||||||||||||||||||||||||||||
Common stock dividends | — | — | — | (31,475) | — | (31,475) | ||||||||||||||||||||||||||||||||
Balance, June 30, 2022 | 17,753 | 118,376 | 798,526 | 1,375,871 | (3,178) | 2,289,595 | ||||||||||||||||||||||||||||||||
Net income for common stock | — | — | — | 49,764 | — | 49,764 | ||||||||||||||||||||||||||||||||
Other comprehensive income, net of taxes | — | — | — | — | 108 | 108 | ||||||||||||||||||||||||||||||||
Common stock dividends | — | — | — | (31,475) | — | (31,475) | ||||||||||||||||||||||||||||||||
Balance, September 30, 2022 | 17,753 | $ | 118,376 | $ | 798,526 | $ | 1,394,160 | $ | (3,070) | $ | 2,307,992 |
Nine months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||
(in thousands) | 2017 | 2016 | (in thousands) | 2023 | 2022 | |||||||||||||||||
Cash flows from operating activities | Cash flows from operating activities | |||||||||||||||||||||
Net income | $ | 96,092 | $ | 109,694 | Net income | $ | 137,265 | $ | 141,804 | |||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities | Adjustments to reconcile net income to net cash provided by operating activities | |||||||||||||||||||||
Depreciation of property, plant and equipment | 144,578 | 140,300 | Depreciation of property, plant and equipment | 182,781 | 175,921 | |||||||||||||||||
Other amortization | 6,118 | 5,380 | Other amortization | 19,639 | 19,044 | |||||||||||||||||
Deferred income taxes | 29,537 | 55,648 | Deferred income taxes | (8,807) | (27,671) | |||||||||||||||||
State refundable credit | State refundable credit | (8,625) | (8,275) | |||||||||||||||||||
Bad debt expense | Bad debt expense | 3,937 | 4,406 | |||||||||||||||||||
Allowance for equity funds used during construction | (8,908 | ) | (6,010 | ) | Allowance for equity funds used during construction | (11,073) | (7,431) | |||||||||||||||
Other | 526 | 3,234 | Other | 549 | 94 | |||||||||||||||||
Changes in assets and liabilities | Changes in assets and liabilities | |||||||||||||||||||||
Increase in accounts receivable | (8,087 | ) | (655 | ) | ||||||||||||||||||
Increase in accrued unbilled revenues | (18,014 | ) | (10,658 | ) | ||||||||||||||||||
Decrease in fuel oil stock | 6,177 | 6,736 | ||||||||||||||||||||
Decrease (increase) in accounts receivable | Decrease (increase) in accounts receivable | 40,187 | (64,404) | |||||||||||||||||||
Decrease (increase) in accrued unbilled revenues | Decrease (increase) in accrued unbilled revenues | 3,759 | (91,256) | |||||||||||||||||||
Decrease (increase) in fuel oil stock | Decrease (increase) in fuel oil stock | 38,762 | (125,647) | |||||||||||||||||||
Increase in materials and supplies | (2,280 | ) | (2,927 | ) | Increase in materials and supplies | (19,958) | (5,702) | |||||||||||||||
Decrease (increase) in regulatory assets | 3,922 | (2,251 | ) | |||||||||||||||||||
Decrease in accounts payable | (22,841 | ) | (676 | ) | ||||||||||||||||||
Decrease in regulatory assets | Decrease in regulatory assets | 13,908 | 34,278 | |||||||||||||||||||
Increase in regulatory liabilities | Increase in regulatory liabilities | 32,454 | 29,294 | |||||||||||||||||||
Increase in accounts payable | Increase in accounts payable | 26,967 | 18,108 | |||||||||||||||||||
Change in prepaid and accrued income taxes, tax credits and revenue taxes | 5,291 | (9,595 | ) | Change in prepaid and accrued income taxes, tax credits and revenue taxes | (18,754) | 57,681 | ||||||||||||||||
Increase in defined benefit pension and other postretirement benefit plans liability | 453 | 360 | ||||||||||||||||||||
Decrease in defined benefit pension and other postretirement benefit plans liability | Decrease in defined benefit pension and other postretirement benefit plans liability | (6,202) | (3,647) | |||||||||||||||||||
Change in other assets and liabilities | (2,662 | ) | (13,309 | ) | Change in other assets and liabilities | (20,678) | (22,430) | |||||||||||||||
Net cash provided by operating activities | 229,902 | 275,271 | Net cash provided by operating activities | 406,111 | 124,167 | |||||||||||||||||
Cash flows from investing activities | Cash flows from investing activities | |||||||||||||||||||||
Capital expenditures | (278,004 | ) | (250,704 | ) | Capital expenditures | (334,497) | (225,876) | |||||||||||||||
Contributions in aid of construction | 40,603 | 23,568 | ||||||||||||||||||||
Other | 8,114 | 1,100 | Other | 5,216 | 6,750 | |||||||||||||||||
Net cash used in investing activities | (229,287 | ) | (226,036 | ) | Net cash used in investing activities | (329,281) | (219,126) | |||||||||||||||
Cash flows from financing activities | Cash flows from financing activities | |||||||||||||||||||||
Common stock dividends | (65,825 | ) | (70,199 | ) | Common stock dividends | (96,750) | (94,425) | |||||||||||||||
Preferred stock dividends of Hawaiian Electric and subsidiaries | (1,496 | ) | (1,496 | ) | Preferred stock dividends of Hawaiian Electric and subsidiaries | (1,496) | (1,496) | |||||||||||||||
Proceeds from issuance of special purpose revenue bonds | 265,000 | — | ||||||||||||||||||||
Funds transferred for redemption of special purpose revenue bonds | (265,000 | ) | — | |||||||||||||||||||
Net increase in short-term borrowings from non-affiliates and affiliate with original maturities of three months or less | 6,000 | 21,000 | ||||||||||||||||||||
Proceeds from issuance of long-term debt | Proceeds from issuance of long-term debt | 350,000 | 60,000 | |||||||||||||||||||
Net increase (decrease) in short-term borrowings from non-affiliates and affiliates with original maturities of three months or less | Net increase (decrease) in short-term borrowings from non-affiliates and affiliates with original maturities of three months or less | (87,967) | 97,450 | |||||||||||||||||||
Payments of obligations under finance leases | Payments of obligations under finance leases | (2,162) | (266) | |||||||||||||||||||
Other | (3,593 | ) | (12 | ) | Other | (843) | (258) | |||||||||||||||
Net cash used in financing activities | (64,914 | ) | (50,707 | ) | ||||||||||||||||||
Net decrease in cash and cash equivalents | (64,299 | ) | (1,472 | ) | ||||||||||||||||||
Cash and cash equivalents, beginning of period | 74,286 | 24,449 | ||||||||||||||||||||
Net cash provided by financing activities | Net cash provided by financing activities | 160,782 | 61,005 | |||||||||||||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | Net increase (decrease) in cash, cash equivalents and restricted cash | 237,612 | (33,954) | |||||||||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | Cash, cash equivalents and restricted cash, beginning of period | 39,242 | 55,258 | |||||||||||||||||||
Cash, cash equivalents and restricted cash, end of period | Cash, cash equivalents and restricted cash, end of period | 276,854 | 21,304 | |||||||||||||||||||
Less: Restricted cash | Less: Restricted cash | (2,000) | — | |||||||||||||||||||
Cash and cash equivalents, end of period | $ | 9,987 | $ | 22,977 | Cash and cash equivalents, end of period | $ | 274,854 | $ | 21,304 |
(in millions) | September 30, 2023 | |||||||
2023 Maui windstorm and wildfires | ||||||||
One ‘Ohana Initiative contribution1 | $ | 75 | ||||||
Insurance recovery2 | (75) | |||||||
(in thousands) | Electric utility | Bank | Other | Total | ||||||||||||
Three months ended September 30, 2017 | ||||||||||||||||
Revenues from external customers | $ | 598,756 | $ | 74,289 | $ | 140 | $ | 673,185 | ||||||||
Intersegment revenues (eliminations) | 13 | — | (13 | ) | — | |||||||||||
Revenues | $ | 598,769 | $ | 74,289 | $ | 127 | $ | 673,185 | ||||||||
Income (loss) before income taxes | $ | 74,990 | $ | 26,764 | $ | (6,615 | ) | $ | 95,139 | |||||||
Income taxes (benefit) | 27,005 | 9,172 | (1,582 | ) | 34,595 | |||||||||||
Net income (loss) | 47,985 | 17,592 | (5,033 | ) | 60,544 | |||||||||||
Preferred stock dividends of subsidiaries | 498 | — | (27 | ) | 471 | |||||||||||
Net income (loss) for common stock | $ | 47,487 | $ | 17,592 | $ | (5,006 | ) | $ | 60,073 | |||||||
Nine months ended September 30, 2017 | ||||||||||||||||
Revenues from external customers | $ | 1,674,158 | $ | 222,474 | $ | 396 | $ | 1,897,028 | ||||||||
Intersegment revenues (eliminations) | 97 | — | (97 | ) | — | |||||||||||
Revenues | $ | 1,674,255 | $ | 222,474 | $ | 299 | $ | 1,897,028 | ||||||||
Income (loss) before income taxes | $ | 150,715 | $ | 75,720 | $ | (20,088 | ) | $ | 206,347 | |||||||
Income taxes (benefit) | 54,623 | 25,582 | (8,202 | ) | 72,003 | |||||||||||
Net income (loss) | 96,092 | 50,138 | (11,886 | ) | 134,344 | |||||||||||
Preferred stock dividends of subsidiaries | 1,496 | — | (79 | ) | 1,417 | |||||||||||
Net income (loss) for common stock | $ | 94,596 | $ | 50,138 | $ | (11,807 | ) | $ | 132,927 | |||||||
Total assets (at September 30, 2017) | $ | 6,107,501 | $ | 6,618,907 | $ | 16,442 | $ | 12,742,850 | ||||||||
Three months ended September 30, 2016 | ||||||||||||||||
Revenues from external customers | $ | 572,208 | $ | 73,708 | $ | 139 | $ | 646,055 | ||||||||
Intersegment revenues (eliminations) | 45 | — | (45 | ) | — | |||||||||||
Revenues | $ | 572,253 | $ | 73,708 | $ | 94 | $ | 646,055 | ||||||||
Income before income taxes | $ | 75,617 | $ | 22,727 | $ | 80,861 | $ | 179,205 | ||||||||
Income taxes | 28,145 | 7,623 | 15,824 | 51,592 | ||||||||||||
Net income | 47,472 | 15,104 | 65,037 | 127,613 | ||||||||||||
Preferred stock dividends of subsidiaries | 498 | — | (27 | ) | 471 | |||||||||||
Net income for common stock | $ | 46,974 | $ | 15,104 | $ | 65,064 | $ | 127,142 | ||||||||
Nine months ended September 30, 2016 | ||||||||||||||||
Revenues from external customers | $ | 1,549,602 | $ | 213,297 | $ | 360 | $ | 1,763,259 | ||||||||
Intersegment revenues (eliminations) | 98 | — | (98 | ) | — | |||||||||||
Revenues | $ | 1,549,700 | $ | 213,297 | $ | 262 | $ | 1,763,259 | ||||||||
Income before income taxes | $ | 174,376 | $ | 62,545 | $ | 64,321 | $ | 301,242 | ||||||||
Income taxes | 64,682 | 21,483 | 10,038 | 96,203 | ||||||||||||
Net income | 109,694 | 41,062 | 54,283 | 205,039 | ||||||||||||
Preferred stock dividends of subsidiaries | 1,496 | — | (79 | ) | 1,417 | |||||||||||
Net income for common stock | $ | 108,198 | $ | 41,062 | $ | 54,362 | $ | 203,622 | ||||||||
Total assets (at December 31, 2016) | $ | 5,975,428 | $ | 6,421,357 | $ | 28,721 | $ | 12,425,506 |
(in thousands) | Electric utility | Bank | Other | Total | ||||||||||||||||||||||
Three months ended September 30, 2023 | ||||||||||||||||||||||||||
Revenues | $ | 794,987 | $ | 100,974 | $ | 5,912 | $ | 901,873 | ||||||||||||||||||
Income (loss) before income taxes | $ | 55,415 | $ | 12,749 | $ | (19,054) | $ | 49,110 | ||||||||||||||||||
Income taxes (benefit) | 11,456 | 1,384 | (5,319) | 7,521 | ||||||||||||||||||||||
Net income (loss) | 43,959 | 11,365 | (13,735) | 41,589 | ||||||||||||||||||||||
Preferred stock dividends of subsidiaries | 498 | — | (27) | 471 | ||||||||||||||||||||||
Net income (loss) for common stock | $ | 43,461 | $ | 11,365 | $ | (13,708) | $ | 41,118 | ||||||||||||||||||
Nine months ended September 30, 2023 | ||||||||||||||||||||||||||
Revenues | $ | 2,419,539 | $ | 291,716 | $ | 14,540 | $ | 2,725,795 | ||||||||||||||||||
Income (loss) before income taxes | $ | 175,391 | $ | 61,511 | $ | (48,121) | $ | 188,781 | ||||||||||||||||||
Income taxes (benefit) | 38,126 | 11,380 | (12,591) | 36,915 | ||||||||||||||||||||||
Net income (loss) | 137,265 | 50,131 | (35,530) | 151,866 | ||||||||||||||||||||||
Preferred stock dividends of subsidiaries | 1,496 | — | (79) | 1,417 | ||||||||||||||||||||||
Net income (loss) for common stock | $ | 135,769 | $ | 50,131 | $ | (35,451) | $ | 150,449 | ||||||||||||||||||
Total assets (at September 30, 2023) | $ | 7,078,447 | $ | 9,657,428 | $ | 255,943 | $ | 16,991,818 | ||||||||||||||||||
Three months ended September 30, 2022 | ||||||||||||||||||||||||||
Revenues | $ | 955,971 | $ | 81,411 | $ | 4,815 | $ | 1,042,197 | ||||||||||||||||||
Income (loss) before income taxes | $ | 63,712 | $ | 27,281 | $ | (11,088) | $ | 79,905 | ||||||||||||||||||
Income taxes (benefit) | 13,450 | 6,525 | (2,623) | 17,352 | ||||||||||||||||||||||
Net income (loss) | 50,262 | 20,756 | (8,465) | 62,553 | ||||||||||||||||||||||
Preferred stock dividends of subsidiaries | 498 | — | (27) | 471 | ||||||||||||||||||||||
Net income (loss) for common stock | $ | 49,764 | $ | 20,756 | $ | (8,438) | $ | 62,082 | ||||||||||||||||||
Nine months ended September 30, 2022 | ||||||||||||||||||||||||||
Revenues from external customers and other sources | $ | 2,483,632 | $ | 231,850 | $ | 7,390 | $ | 2,722,872 | ||||||||||||||||||
Intersegment revenues (eliminations) | 4 | — | (4) | — | ||||||||||||||||||||||
Revenues | $ | 2,483,636 | $ | 231,850 | $ | 7,386 | $ | 2,722,872 | ||||||||||||||||||
Income (loss) before income taxes | $ | 179,771 | $ | 79,605 | $ | (25,774) | $ | 233,602 | ||||||||||||||||||
Income taxes (benefit) | 37,967 | 17,513 | (7,085) | 48,395 | ||||||||||||||||||||||
Net income (loss) | 141,804 | 62,092 | (18,689) | 185,207 | ||||||||||||||||||||||
Preferred stock dividends of subsidiaries | 1,496 | — | (79) | 1,417 | ||||||||||||||||||||||
Net income (loss) for common stock | $ | 140,308 | $ | 62,092 | $ | (18,610) | $ | 183,790 | ||||||||||||||||||
Total assets (at December 31, 2022) | $ | 6,597,467 | $ | 9,545,970 | $ | 140,807 | $ | 16,284,244 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||||||||
(in millions) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||
Kalaeloa | $ | 77 | $ | 101 | $ | 211 | $ | 244 | ||||||||||||||||||||||||||||||
AES Hawaii 1 | — | 21 | — | 82 | ||||||||||||||||||||||||||||||||||
HPOWER | 17 | 18 | 51 | 56 | ||||||||||||||||||||||||||||||||||
Hamakua Energy | 13 | 16 | 52 | 46 | ||||||||||||||||||||||||||||||||||
Puna Geothermal Venture | 7 | 13 | 24 | 37 | ||||||||||||||||||||||||||||||||||
Wind IPPs | 42 | 37 | 99 | 93 | ||||||||||||||||||||||||||||||||||
Solar IPPs | 21 | 18 | 57 | 44 | ||||||||||||||||||||||||||||||||||
Other IPPs 2 | 1 | 1 | 5 | 5 | ||||||||||||||||||||||||||||||||||
Total IPPs | $ | 178 | $ | 225 | $ | 499 | $ | 607 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in millions) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Kalaeloa | $ | 48 | $ | 44 | $ | 136 | $ | 109 | ||||||||
AES Hawaii | 39 | 38 | 103 | 112 | ||||||||||||
HPOWER | 18 | 19 | 51 | 52 | ||||||||||||
Puna Geothermal Venture | 10 | 7 | 28 | 19 | ||||||||||||
HEP | 8 | 8 | 25 | 23 | ||||||||||||
Other IPPs 1 | 38 | 42 | 98 | 98 | ||||||||||||
Total IPPs | $ | 161 | $ | 158 | $ | 441 | $ | 413 |
(in millions) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Total | ||||||||||||||||||||||
2024 ARA revenues | $ | 16.6 | $ | 4.1 | $ | 4.0 | $ | 24.7 | ||||||||||||||||||
Management Audit savings commitment | (4.6) | (1.0) | (1.0) | (6.6) | ||||||||||||||||||||||
Enterprise Resource Planning system benefits savings | — | (1.3) | (1.9) | (3.2) | ||||||||||||||||||||||
COVID-19 related cost recovery | 2.6 | 0.2 | 0.6 | 3.4 | ||||||||||||||||||||||
Net 2024 ARA revenues | $ | 14.6 | $ | 2.0 | $ | 1.7 | $ | 18.3 | ||||||||||||||||||
(in millions) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Total | ||||||||||||||||||||||
Incremental RAM revenues and ARA revenues | $ | 19.2 | $ | 3.0 | $ | 2.7 | $ | 24.9 | ||||||||||||||||||
Annual change in accrued RBA balance through September 30, 2023 (and associated revenue taxes) | 3.6 | (0.3) | 0.1 | 3.4 | ||||||||||||||||||||||
Incremental Performance Incentive Mechanisms (net) | 0.1 | — | — | 0.1 | ||||||||||||||||||||||
Net incremental amount to be collected under the RBA rate tariffs | $ | 22.9 | $ | 2.7 | $ | 2.8 | $ | 28.4 | ||||||||||||||||||
($ in millions) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | |||||||||
2017 Annual incremental RAM adjusted revenues | $ | 12.7 | $ | 3.2 | $ | 1.6 | ||||||
Annual change in accrued earnings sharing credits | $ | — | $ | — | $ | — | ||||||
Annual change in accrued RBA balance as of December 31, 2016 (and associated revenue taxes) (refunded) | $ | (2.4 | ) | $ | (2.5 | ) | $ | (0.2 | ) | |||
Net annual incremental amount to be collected under the tariffs | $ | 10.3 | $ | 0.7 | $ | 1.4 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | (in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | |||||||||||||||||||||||||||||||||||||||||||||
Revenues | $ | 429,267 | 84,334 | 85,198 | — | (30 | ) | $ | 598,769 | Revenues | $ | 570,323 | 116,192 | 108,472 | — | — | $ | 794,987 | ||||||||||||||||||||||||||||||||||||||||
Expenses | Expenses | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fuel oil | 103,959 | 15,754 | 26,545 | — | — | 146,258 | Fuel oil | 196,223 | 30,956 | 40,259 | — | — | 267,438 | |||||||||||||||||||||||||||||||||||||||||||||
Purchased power | 123,893 | 21,332 | 15,122 | — | — | 160,347 | Purchased power | 132,536 | 30,265 | 14,994 | — | — | 177,795 | |||||||||||||||||||||||||||||||||||||||||||||
Other operation and maintenance | 66,221 | 16,593 | 17,288 | — | — | 100,102 | Other operation and maintenance | 83,528 | 21,351 | 37,629 | — | — | 142,508 | |||||||||||||||||||||||||||||||||||||||||||||
Depreciation | 32,722 | 9,685 | 5,799 | — | — | 48,206 | Depreciation | 41,276 | 10,635 | 9,254 | — | — | 61,165 | |||||||||||||||||||||||||||||||||||||||||||||
Taxes, other than income taxes | 40,824 | 7,928 | 8,028 | — | — | 56,780 | Taxes, other than income taxes | 53,511 | 10,857 | 10,355 | — | — | 74,723 | |||||||||||||||||||||||||||||||||||||||||||||
Total expenses | 367,619 | 71,292 | 72,782 | — | — | 511,693 | Total expenses | 507,074 | 104,064 | 112,491 | — | — | 723,629 | |||||||||||||||||||||||||||||||||||||||||||||
Operating income | 61,648 | 13,042 | 12,416 | — | (30 | ) | 87,076 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Operating income (loss) | Operating income (loss) | 63,249 | 12,128 | (4,019) | — | — | 71,358 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for equity funds used during construction | 3,108 | 167 | 207 | — | — | 3,482 | Allowance for equity funds used during construction | 3,005 | 366 | 629 | — | — | 4,000 | |||||||||||||||||||||||||||||||||||||||||||||
Equity in earnings of subsidiaries | 12,767 | — | — | — | (12,767 | ) | — | Equity in earnings of subsidiaries | 3,005 | — | — | — | (3,005) | — | ||||||||||||||||||||||||||||||||||||||||||||
Retirement defined benefits credit (expense)—other than service costs | Retirement defined benefits credit (expense)—other than service costs | 992 | 163 | (23) | — | — | 1,132 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense and other charges, net | (11,786 | ) | (2,899 | ) | (2,252 | ) | — | 30 | (16,907 | ) | Interest expense and other charges, net | (16,295) | (2,988) | (3,164) | — | — | (22,447) | |||||||||||||||||||||||||||||||||||||||||
Allowance for borrowed funds used during construction | 1,173 | 72 | 94 | — | — | 1,339 | Allowance for borrowed funds used during construction | 1,047 | 117 | 208 | — | — | 1,372 | |||||||||||||||||||||||||||||||||||||||||||||
Income before income taxes | 66,910 | 10,382 | 10,465 | — | (12,767 | ) | 74,990 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Income (loss) before income taxes | Income (loss) before income taxes | 55,003 | 9,786 | (6,369) | — | (3,005) | 55,415 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Income taxes | 19,153 | 3,815 | 4,037 | — | — | 27,005 | Income taxes | 11,272 | 2,234 | (2,050) | — | — | 11,456 | |||||||||||||||||||||||||||||||||||||||||||||
Net income | 47,757 | 6,567 | 6,428 | — | (12,767 | ) | 47,985 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | Net income (loss) | 43,731 | 7,552 | (4,319) | — | (3,005) | 43,959 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock dividends of subsidiaries | — | 133 | 95 | — | — | 228 | Preferred stock dividends of subsidiaries | — | 133 | 95 | — | — | 228 | |||||||||||||||||||||||||||||||||||||||||||||
Net income attributable to Hawaiian Electric | 47,757 | 6,434 | 6,333 | — | (12,767 | ) | 47,757 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) attributable to Hawaiian Electric | Net income (loss) attributable to Hawaiian Electric | 43,731 | 7,419 | (4,414) | — | (3,005) | 43,731 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric | 270 | — | — | — | — | 270 | Preferred stock dividends of Hawaiian Electric | 270 | — | — | — | — | 270 | |||||||||||||||||||||||||||||||||||||||||||||
Net income for common stock | $ | 47,487 | 6,434 | 6,333 | — | (12,767 | ) | $ | 47,487 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) for common stock | Net income (loss) for common stock | $ | 43,461 | 7,419 | (4,414) | — | (3,005) | $ | 43,461 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Net income for common stock | $ | 47,487 | 6,434 | 6,333 | — | (12,767 | ) | $ | 47,487 | |||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits | 3,618 | 476 | 404 | — | (880 | ) | 3,618 | |||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | (3,596 | ) | (476 | ) | (404 | ) | — | 880 | (3,596 | ) | ||||||||||
Other comprehensive income, net of taxes | 22 | — | — | — | — | 22 | ||||||||||||||
Comprehensive income attributable to common shareholder | $ | 47,509 | 6,434 | 6,333 | — | (12,767 | ) | $ | 47,509 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Revenues | $ | 404,352 | 83,105 | 84,831 | — | (35 | ) | $ | 572,253 | |||||||||||
Expenses | ||||||||||||||||||||
Fuel oil | 88,676 | 14,603 | 25,345 | — | — | 128,624 | ||||||||||||||
Purchased power | 118,751 | 22,728 | 16,271 | — | — | 157,750 | ||||||||||||||
Other operation and maintenance | 64,683 | 15,017 | 15,089 | — | — | 94,789 | ||||||||||||||
Depreciation | 31,520 | 9,449 | 5,790 | — | — | 46,759 | ||||||||||||||
Taxes, other than income taxes | 38,666 | 7,836 | 8,017 | — | — | 54,519 | ||||||||||||||
Total expenses | 342,296 | 69,633 | 70,512 | — | — | 482,441 | ||||||||||||||
Operating income | 62,056 | 13,472 | 14,319 | — | (35 | ) | 89,812 | |||||||||||||
Allowance for equity funds used during construction | 1,806 | 238 | 230 | — | — | 2,274 | ||||||||||||||
Equity in earnings of subsidiaries | 14,729 | — | — | — | (14,729 | ) | — | |||||||||||||
Interest expense and other charges, net | (11,903 | ) | (2,972 | ) | (2,483 | ) | — | 35 | (17,323 | ) | ||||||||||
Allowance for borrowed funds used during construction | 669 | 91 | 94 | — | — | 854 | ||||||||||||||
Income before income taxes | 67,357 | 10,829 | 12,160 | — | (14,729 | ) | 75,617 | |||||||||||||
Income taxes | 20,113 | 3,392 | 4,640 | — | — | 28,145 | ||||||||||||||
Net income | 47,244 | 7,437 | 7,520 | — | (14,729 | ) | 47,472 | |||||||||||||
Preferred stock dividends of subsidiaries | — | 133 | 95 | — | — | 228 | ||||||||||||||
Net income attributable to Hawaiian Electric | 47,244 | 7,304 | 7,425 | — | (14,729 | ) | 47,244 | |||||||||||||
Preferred stock dividends of Hawaiian Electric | 270 | — | — | — | — | 270 | ||||||||||||||
Net income for common stock | $ | 46,974 | 7,304 | 7,425 | — | (14,729 | ) | $ | 46,974 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Net income (loss) for common stock | $ | 43,461 | 7,419 | (4,414) | — | (3,005) | $ | 43,461 | ||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes: | ||||||||||||||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||||||||||||||
Adjustment for amortization of prior service credit and net gains recognized during the period in net periodic benefit cost, net of taxes | (547) | (55) | (71) | — | 126 | (547) | ||||||||||||||||||||||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | 470 | 54 | 63 | — | (117) | 470 | ||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | (77) | (1) | (8) | — | 9 | (77) | ||||||||||||||||||||||||||||||||
Comprehensive income (loss) attributable to common shareholder | $ | 43,384 | 7,418 | (4,422) | — | (2,996) | $ | 43,384 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Net income for common stock | $ | 46,974 | 7,304 | 7,425 | — | (14,729 | ) | $ | 46,974 | |||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Derivatives qualified as cash flow hedges: | ||||||||||||||||||||
Effective portion of foreign currency hedge net unrealized loss, net of tax benefits | 321 | — | — | — | — | 321 | ||||||||||||||
Reclassification adjustment to net income, net of taxes | (173 | ) | — | — | — | — | (173 | ) | ||||||||||||
Retirement benefit plans: | ||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits | 3,314 | 429 | 387 | — | (816 | ) | 3,314 | |||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | (3,311 | ) | (429 | ) | (389 | ) | — | 818 | (3,311 | ) | ||||||||||
Other comprehensive income (loss), net of taxes | 151 | — | (2 | ) | — | 2 | 151 | |||||||||||||
Comprehensive income attributable to common shareholder | $ | 47,125 | 7,304 | 7,423 | — | (14,727 | ) | $ | 47,125 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Revenues | $ | 693,281 | 130,858 | 131,910 | — | (78) | $ | 955,971 | ||||||||||||||||||||||||||||||
Expenses | ||||||||||||||||||||||||||||||||||||||
Fuel oil | 280,447 | 40,540 | 62,615 | — | — | 383,602 | ||||||||||||||||||||||||||||||||
Purchased power | 171,470 | 37,263 | 16,476 | — | — | 225,209 | ||||||||||||||||||||||||||||||||
Other operation and maintenance | 77,115 | 21,882 | 22,113 | — | — | 121,110 | ||||||||||||||||||||||||||||||||
Depreciation | 39,474 | 10,350 | 8,887 | — | — | 58,711 | ||||||||||||||||||||||||||||||||
Taxes, other than income taxes | 64,051 | 12,026 | 12,213 | — | — | 88,290 | ||||||||||||||||||||||||||||||||
Total expenses | 632,557 | 122,061 | 122,304 | — | — | 876,922 | ||||||||||||||||||||||||||||||||
Operating income | 60,724 | 8,797 | 9,606 | — | (78) | 79,049 | ||||||||||||||||||||||||||||||||
Allowance for equity funds used during construction | 2,063 | 206 | 283 | — | — | 2,552 | ||||||||||||||||||||||||||||||||
Equity in earnings of subsidiaries | 10,577 | — | — | — | (10,577) | — | ||||||||||||||||||||||||||||||||
Retirement defined benefits credit (expense)—other than service costs | 760 | 166 | (31) | — | — | 895 | ||||||||||||||||||||||||||||||||
Interest expense and other charges, net | (14,221) | (2,716) | (2,750) | — | 78 | (19,609) | ||||||||||||||||||||||||||||||||
Allowance for borrowed funds used during construction | 674 | 63 | 88 | — | — | 825 | ||||||||||||||||||||||||||||||||
Income before income taxes | 60,577 | 6,516 | 7,196 | — | (10,577) | 63,712 | ||||||||||||||||||||||||||||||||
Income taxes | 10,543 | 1,424 | 1,483 | — | — | 13,450 | ||||||||||||||||||||||||||||||||
Net income | 50,034 | 5,092 | 5,713 | — | (10,577) | 50,262 | ||||||||||||||||||||||||||||||||
Preferred stock dividends of subsidiaries | — | 133 | 95 | — | — | 228 | ||||||||||||||||||||||||||||||||
Net income attributable to Hawaiian Electric | 50,034 | 4,959 | 5,618 | — | (10,577) | 50,034 | ||||||||||||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric | 270 | — | — | — | — | 270 | ||||||||||||||||||||||||||||||||
Net income for common stock | $ | 49,764 | 4,959 | 5,618 | — | (10,577) | $ | 49,764 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Net income for common stock | $ | 49,764 | 4,959 | 5,618 | — | (10,577) | $ | 49,764 | ||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of taxes | 5,411 | 768 | 732 | — | (1,500) | 5,411 | ||||||||||||||||||||||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | (5,303) | (766) | (733) | — | 1,499 | (5,303) | ||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of taxes | 108 | 2 | (1) | — | (1) | 108 | ||||||||||||||||||||||||||||||||
Comprehensive income attributable to common shareholder | $ | 49,872 | 4,961 | 5,617 | — | (10,578) | $ | 49,872 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Revenues | $ | 1,742,542 | 343,554 | 333,573 | — | (130) | $ | 2,419,539 | ||||||||||||||||||||||||||||||
Expenses | ||||||||||||||||||||||||||||||||||||||
Fuel oil | 663,521 | 79,187 | 138,984 | — | — | 881,692 | ||||||||||||||||||||||||||||||||
Purchased power | 362,275 | 101,597 | 35,118 | — | — | 498,990 | ||||||||||||||||||||||||||||||||
Other operation and maintenance | 255,728 | 64,367 | 87,089 | — | — | 407,184 | ||||||||||||||||||||||||||||||||
Depreciation | 123,114 | 31,906 | 27,761 | — | — | 182,781 | ||||||||||||||||||||||||||||||||
Taxes, other than income taxes | 164,510 | 31,983 | 31,541 | — | — | 228,034 | ||||||||||||||||||||||||||||||||
Total expenses | 1,569,148 | 309,040 | 320,493 | — | — | 2,198,681 | ||||||||||||||||||||||||||||||||
Operating income | 173,394 | 34,514 | 13,080 | — | (130) | 220,858 | ||||||||||||||||||||||||||||||||
Allowance for equity funds used during construction | 8,604 | 1,004 | 1,465 | — | — | 11,073 | ||||||||||||||||||||||||||||||||
Equity in earnings of subsidiaries | 25,960 | — | — | — | (25,960) | — | ||||||||||||||||||||||||||||||||
Retirement defined benefits credit (expense)—other than service costs | 2,801 | 500 | (74) | — | — | 3,227 | ||||||||||||||||||||||||||||||||
Interest expense and other charges, net | (45,594) | (8,794) | (9,307) | — | 130 | (63,565) | ||||||||||||||||||||||||||||||||
Allowance for borrowed funds used during construction | 2,995 | 321 | 482 | — | — | 3,798 | ||||||||||||||||||||||||||||||||
Income before income taxes | 168,160 | 27,545 | 5,646 | — | (25,960) | 175,391 | ||||||||||||||||||||||||||||||||
Income taxes | 31,581 | 6,261 | 284 | — | — | 38,126 | ||||||||||||||||||||||||||||||||
Net income | 136,579 | 21,284 | 5,362 | — | (25,960) | 137,265 | ||||||||||||||||||||||||||||||||
Preferred stock dividends of subsidiaries | — | 400 | 286 | — | — | 686 | ||||||||||||||||||||||||||||||||
Net income attributable to Hawaiian Electric | 136,579 | 20,884 | 5,076 | — | (25,960) | 136,579 | ||||||||||||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric | 810 | — | — | — | — | 810 | ||||||||||||||||||||||||||||||||
Net income for common stock | $ | 135,769 | 20,884 | 5,076 | — | (25,960) | $ | 135,769 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Revenues | $ | 1,186,524 | 245,026 | 242,756 | — | (51 | ) | $ | 1,674,255 | |||||||||||
Expenses | ||||||||||||||||||||
Fuel oil | 301,774 | 47,486 | 82,527 | — | — | 431,787 | ||||||||||||||
Purchased power | 340,498 | 63,403 | 36,637 | — | — | 440,538 | ||||||||||||||
Other operation and maintenance | 204,460 | 49,667 | 52,589 | — | — | 306,716 | ||||||||||||||
Depreciation | 98,167 | 29,056 | 17,355 | — | — | 144,578 | ||||||||||||||
Taxes, other than income taxes | 113,483 | 23,080 | 23,012 | — | — | 159,575 | ||||||||||||||
Total expenses | 1,058,382 | 212,692 | 212,120 | — | — | 1,483,194 | ||||||||||||||
Operating income | 128,142 | 32,334 | 30,636 | — | (51 | ) | 191,061 | |||||||||||||
Allowance for equity funds used during construction | 7,823 | 416 | 669 | — | — | 8,908 | ||||||||||||||
Equity in earnings of subsidiaries | 29,306 | — | — | — | (29,306 | ) | — | |||||||||||||
Interest expense and other charges, net | (36,405 | ) | (8,899 | ) | (7,372 | ) | — | 51 | (52,625 | ) | ||||||||||
Allowance for borrowed funds used during construction | 2,910 | 172 | 289 | — | — | 3,371 | ||||||||||||||
Income before income taxes | 131,776 | 24,023 | 24,222 | — | (29,306 | ) | 150,715 | |||||||||||||
Income taxes | 36,370 | 8,973 | 9,280 | — | — | 54,623 | ||||||||||||||
Net income | 95,406 | 15,050 | 14,942 | — | (29,306 | ) | 96,092 | |||||||||||||
Preferred stock dividends of subsidiaries | — | 400 | 286 | — | — | 686 | ||||||||||||||
Net income attributable to Hawaiian Electric | 95,406 | 14,650 | 14,656 | — | (29,306 | ) | 95,406 | |||||||||||||
Preferred stock dividends of Hawaiian Electric | 810 | — | — | — | — | 810 | ||||||||||||||
Net income for common stock | $ | 94,596 | 14,650 | 14,656 | — | (29,306 | ) | $ | 94,596 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Net income for common stock | $ | 94,596 | 14,650 | 14,656 | — | (29,306 | ) | $ | 94,596 | |||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||||||
Reclassification adjustment to net income, net of tax benefits | 454 | — | — | — | — | 454 | ||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits | 10,857 | 1,428 | 1,214 | — | (2,642 | ) | 10,857 | |||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | (10,790 | ) | (1,427 | ) | (1,214 | ) | — | 2,641 | (10,790 | ) | ||||||||||
Other comprehensive income, net of taxes | 521 | 1 | — | — | (1 | ) | 521 | |||||||||||||
Comprehensive income attributable to common shareholder | $ | 95,117 | 14,651 | 14,656 | — | (29,307 | ) | $ | 95,117 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Revenues | $ | 1,088,537 | 229,940 | 231,295 | — | (72 | ) | $ | 1,549,700 | |||||||||||
Expenses | ||||||||||||||||||||
Fuel oil | 224,995 | 40,725 | 68,543 | — | — | 334,263 | ||||||||||||||
Purchased power | 313,730 | 58,885 | 40,052 | — | — | 412,667 | ||||||||||||||
Other operation and maintenance | 202,438 | 46,574 | 49,248 | — | — | 298,260 | ||||||||||||||
Depreciation | 94,564 | 28,347 | 17,389 | — | — | 140,300 | ||||||||||||||
Taxes, other than income taxes | 104,764 | 21,632 | 21,990 | — | — | 148,386 | ||||||||||||||
Total expenses | 940,491 | 196,163 | 197,222 | — | — | 1,333,876 | ||||||||||||||
Operating income | 148,046 | 33,777 | 34,073 | — | (72 | ) | 215,824 | |||||||||||||
Allowance for equity funds used during construction | 4,771 | 571 | 668 | — | — | 6,010 | ||||||||||||||
Equity in earnings of subsidiaries | 33,541 | — | — | — | (33,541 | ) | — | |||||||||||||
Interest expense and other charges, net | (34,113 | ) | (8,606 | ) | (7,087 | ) | — | 72 | (49,734 | ) | ||||||||||
Allowance for borrowed funds used during construction | 1,785 | 219 | 272 | — | — | 2,276 | ||||||||||||||
Income before income taxes | 154,030 | 25,961 | 27,926 | — | (33,541 | ) | 174,376 | |||||||||||||
Income taxes | 45,022 | 9,075 | 10,585 | — | — | 64,682 | ||||||||||||||
Net income | 109,008 | 16,886 | 17,341 | — | (33,541 | ) | 109,694 | |||||||||||||
Preferred stock dividends of subsidiaries | — | 400 | 286 | — | — | 686 | ||||||||||||||
Net income attributable to Hawaiian Electric | 109,008 | 16,486 | 17,055 | — | (33,541 | ) | 109,008 | |||||||||||||
Preferred stock dividends of Hawaiian Electric | 810 | — | — | — | — | 810 | ||||||||||||||
Net income for common stock | $ | 108,198 | 16,486 | 17,055 | — | (33,541 | ) | $ | 108,198 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Net income for common stock | $ | 135,769 | 20,884 | 5,076 | — | (25,960) | $ | 135,769 | ||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes: | ||||||||||||||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||||||||||||||
Adjustment for amortization of prior service credit and net gains recognized during the period in net periodic benefit cost, net of taxes | (1,487) | (166) | (200) | — | 366 | (1,487) | ||||||||||||||||||||||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | 1,321 | 157 | 177 | — | (334) | 1,321 | ||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | (166) | (9) | (23) | — | 32 | (166) | ||||||||||||||||||||||||||||||||
Comprehensive income attributable to common shareholder | $ | 135,603 | 20,875 | 5,053 | — | (25,928) | $ | 135,603 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Net income for common stock | $ | 108,198 | 16,486 | 17,055 | — | (33,541 | ) | $ | 108,198 | |||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||||||
Effective portion of foreign currency hedge net unrealized gain, net of taxes | 578 | — | — | — | — | 578 | ||||||||||||||
Reclassification adjustment to net income, net of taxes | (173 | ) | — | — | — | — | (173 | ) | ||||||||||||
Retirement benefit plans: | ||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits | 9,941 | 1,288 | 1,162 | — | (2,450 | ) | 9,941 | |||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | (9,934 | ) | (1,289 | ) | (1,166 | ) | — | 2,455 | (9,934 | ) | ||||||||||
Other comprehensive income (loss), net of taxes | 412 | (1 | ) | (4 | ) | — | 5 | 412 | ||||||||||||
Comprehensive income attributable to common shareholder | $ | 108,610 | 16,485 | 17,051 | — | (33,536 | ) | $ | 108,610 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Revenues | $ | 1,769,995 | 363,888 | 349,866 | — | (113) | $ | 2,483,636 | ||||||||||||||||||||||||||||||
Expenses | ||||||||||||||||||||||||||||||||||||||
Fuel oil | 619,169 | 98,856 | 156,518 | — | — | 874,543 | ||||||||||||||||||||||||||||||||
Purchased power | 460,855 | 106,710 | 39,262 | — | — | 606,827 | ||||||||||||||||||||||||||||||||
Other operation and maintenance | 243,478 | 63,427 | 64,354 | — | — | 371,259 | ||||||||||||||||||||||||||||||||
Depreciation | 118,459 | 31,053 | 26,409 | — | — | 175,921 | ||||||||||||||||||||||||||||||||
Taxes, other than income taxes | 165,350 | 33,436 | 32,502 | — | — | 231,288 | ||||||||||||||||||||||||||||||||
Total expenses | 1,607,311 | 333,482 | 319,045 | — | — | 2,259,838 | ||||||||||||||||||||||||||||||||
Operating income | 162,684 | 30,406 | 30,821 | — | (113) | 223,798 | ||||||||||||||||||||||||||||||||
Allowance for equity funds used during construction | 5,999 | 616 | 816 | — | — | 7,431 | ||||||||||||||||||||||||||||||||
Equity in earnings of subsidiaries | 36,475 | — | — | — | (36,475) | — | ||||||||||||||||||||||||||||||||
Retirement defined benefits credit (expense)—other than service costs | 2,471 | 500 | (95) | — | — | 2,876 | ||||||||||||||||||||||||||||||||
Interest expense and other charges, net | (40,833) | (7,967) | (8,048) | — | 113 | (56,735) | ||||||||||||||||||||||||||||||||
Allowance for borrowed funds used during construction | 1,962 | 190 | 249 | — | — | 2,401 | ||||||||||||||||||||||||||||||||
Income before income taxes | 168,758 | 23,745 | 23,743 | — | (36,475) | 179,771 | ||||||||||||||||||||||||||||||||
Income taxes | 27,640 | 5,351 | 4,976 | — | — | 37,967 | ||||||||||||||||||||||||||||||||
Net income | 141,118 | 18,394 | 18,767 | — | (36,475) | 141,804 | ||||||||||||||||||||||||||||||||
Preferred stock dividends of subsidiaries | — | 400 | 286 | — | — | 686 | ||||||||||||||||||||||||||||||||
Net income attributable to Hawaiian Electric | 141,118 | 17,994 | 18,481 | — | (36,475) | 141,118 | ||||||||||||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric | 810 | — | — | — | — | 810 | ||||||||||||||||||||||||||||||||
Net income for common stock | $ | 140,308 | 17,994 | 18,481 | — | (36,475) | $ | 140,308 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Net income for common stock | $ | 140,308 | 17,994 | 18,481 | — | (36,475) | $ | 140,308 | ||||||||||||||||||||||||||||||
Other comprehensive income, net of taxes: | ||||||||||||||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of taxes | 9,782 | 1,366 | 1,938 | (3,304) | 9,782 | |||||||||||||||||||||||||||||||||
Reclassification adjustment for impact of D&Os of the PUC included in regulatory assets, net of taxes | (9,572) | (1,362) | (1,938) | 3,300 | (9,572) | |||||||||||||||||||||||||||||||||
Other comprehensive income, net of taxes | 210 | 4 | — | — | (4) | 210 | ||||||||||||||||||||||||||||||||
Comprehensive income attributable to common shareholder | $ | 140,518 | 17,998 | 18,481 | — | (36,479) | $ | 140,518 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsi- diary | Consoli- dating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Property, plant and equipment | ||||||||||||||||||||||||||||||||||||||
Utility property, plant and equipment | ||||||||||||||||||||||||||||||||||||||
Land | $ | 42,859 | 5,645 | 3,594 | — | — | $ | 52,098 | ||||||||||||||||||||||||||||||
Plant and equipment | 5,422,393 | 1,448,183 | 1,329,252 | — | — | 8,199,828 | ||||||||||||||||||||||||||||||||
Right-of-use assets - finance lease | 88,297 | 36,075 | — | — | — | 124,372 | ||||||||||||||||||||||||||||||||
Less accumulated depreciation | (1,953,609) | (663,303) | (605,118) | — | — | (3,222,030) | ||||||||||||||||||||||||||||||||
Construction in progress | 258,204 | 35,281 | 63,804 | — | — | 357,289 | ||||||||||||||||||||||||||||||||
Utility property, plant and equipment, net | 3,858,144 | 861,881 | 791,532 | — | — | 5,511,557 | ||||||||||||||||||||||||||||||||
Nonutility property, plant and equipment, less accumulated depreciation | 5,295 | 115 | 1,532 | — | — | 6,942 | ||||||||||||||||||||||||||||||||
Total property, plant and equipment, net | 3,863,439 | 861,996 | 793,064 | — | — | 5,518,499 | ||||||||||||||||||||||||||||||||
Investment in wholly owned subsidiaries, at equity | 703,311 | — | — | — | (703,311) | — | ||||||||||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 233,518 | 32,716 | 8,543 | 77 | — | 274,854 | ||||||||||||||||||||||||||||||||
Restricted cash | 2,000 | — | — | — | — | 2,000 | ||||||||||||||||||||||||||||||||
Customer accounts receivable, net | 172,730 | 34,550 | 34,482 | — | — | 241,762 | ||||||||||||||||||||||||||||||||
Accrued unbilled revenues, net | 132,552 | 22,062 | 24,713 | — | — | 179,327 | ||||||||||||||||||||||||||||||||
Other accounts receivable, net | 115,498 | 7,124 | 11,778 | — | (44,577) | 89,823 | ||||||||||||||||||||||||||||||||
Fuel oil stock, at average cost | 112,468 | 14,400 | 25,900 | — | — | 152,768 | ||||||||||||||||||||||||||||||||
Materials and supplies, at average cost | 58,834 | 13,077 | 27,615 | — | — | 99,526 | ||||||||||||||||||||||||||||||||
Prepayments and other | 41,304 | 5,468 | 7,766 | — | — | 54,538 | ||||||||||||||||||||||||||||||||
Regulatory assets | 49,489 | 5,110 | 3,322 | — | — | 57,921 | ||||||||||||||||||||||||||||||||
Total current assets | 918,393 | 134,507 | 144,119 | 77 | (44,577) | 1,152,519 | ||||||||||||||||||||||||||||||||
Other long-term assets | ||||||||||||||||||||||||||||||||||||||
Operating lease right-of-use assets | 36,627 | 29,193 | 10,241 | — | — | 76,061 | ||||||||||||||||||||||||||||||||
Regulatory assets | 146,735 | 14,583 | 11,958 | — | — | 173,276 | ||||||||||||||||||||||||||||||||
Other | 112,601 | 33,011 | 29,468 | — | (16,988) | 158,092 | ||||||||||||||||||||||||||||||||
Total other long-term assets | 295,963 | 76,787 | 51,667 | — | (16,988) | 407,429 | ||||||||||||||||||||||||||||||||
Total assets | $ | 5,781,106 | 1,073,290 | 988,850 | 77 | (764,876) | $ | 7,078,447 | ||||||||||||||||||||||||||||||
Capitalization and liabilities | ||||||||||||||||||||||||||||||||||||||
Capitalization | ||||||||||||||||||||||||||||||||||||||
Common stock equity | $ | 2,383,023 | 352,170 | 351,064 | 77 | (703,311) | $ | 2,383,023 | ||||||||||||||||||||||||||||||
Cumulative preferred stock—not subject to mandatory redemption | 22,293 | 7,000 | 5,000 | — | — | 34,293 | ||||||||||||||||||||||||||||||||
Long-term debt, net | 1,426,353 | 249,308 | 258,383 | — | — | 1,934,044 | ||||||||||||||||||||||||||||||||
Total capitalization | 3,831,669 | 608,478 | 614,447 | 77 | (703,311) | 4,351,360 | ||||||||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||||||||||||
Current portion of operating lease liabilities | 7,308 | 6,942 | 2,762 | — | — | 17,012 | ||||||||||||||||||||||||||||||||
Current portion of long-term debt | 49,998 | 19,999 | 29,999 | — | — | 99,996 | ||||||||||||||||||||||||||||||||
Accounts payable | 141,738 | 25,436 | 34,525 | — | — | 201,699 | ||||||||||||||||||||||||||||||||
Interest and preferred dividends payable | 21,304 | 3,924 | 4,830 | — | — | 30,058 | ||||||||||||||||||||||||||||||||
Taxes accrued, including revenue taxes | 196,037 | 40,706 | 37,529 | — | — | 274,272 | ||||||||||||||||||||||||||||||||
Regulatory liabilities | 9,999 | 6,842 | 9,484 | — | — | 26,325 | ||||||||||||||||||||||||||||||||
Other | 148,400 | 23,182 | 36,302 | — | (44,577) | 163,307 | ||||||||||||||||||||||||||||||||
Total current liabilities | 574,784 | 127,031 | 155,431 | — | (44,577) | 812,669 | ||||||||||||||||||||||||||||||||
Deferred credits and other liabilities | ||||||||||||||||||||||||||||||||||||||
Operating lease liabilities | 35,967 | 22,575 | 7,757 | — | — | 66,299 | ||||||||||||||||||||||||||||||||
Finance lease liabilities | 82,935 | 35,205 | — | — | — | 118,140 | ||||||||||||||||||||||||||||||||
Deferred income taxes | 274,577 | 50,405 | 60,693 | — | — | 385,675 | ||||||||||||||||||||||||||||||||
Regulatory liabilities | 770,268 | 197,045 | 108,136 | — | — | 1,075,449 | ||||||||||||||||||||||||||||||||
Unamortized tax credits | 65,153 | 12,410 | 12,184 | — | — | 89,747 | ||||||||||||||||||||||||||||||||
Defined benefit pension liability | 65,872 | — | — | — | (16,988) | 48,884 | ||||||||||||||||||||||||||||||||
Other | 79,881 | 20,141 | 30,202 | — | — | 130,224 | ||||||||||||||||||||||||||||||||
Total deferred credits and other liabilities | 1,374,653 | 337,781 | 218,972 | — | (16,988) | 1,914,418 | ||||||||||||||||||||||||||||||||
Total capitalization and liabilities | $ | 5,781,106 | 1,073,290 | 988,850 | 77 | (764,876) | $ | 7,078,447 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consoli- dating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Assets | ||||||||||||||||||||
Property, plant and equipment | ||||||||||||||||||||
Utility property, plant and equipment | ||||||||||||||||||||
Land | $ | 44,706 | 6,191 | 3,016 | — | — | $ | 53,913 | ||||||||||||
Plant and equipment | 4,368,428 | 1,278,884 | 1,130,942 | — | — | 6,778,254 | ||||||||||||||
Less accumulated depreciation | (1,441,963 | ) | (524,759 | ) | (493,707 | ) | — | — | (2,460,429 | ) | ||||||||||
Construction in progress | 262,098 | 16,459 | 28,935 | — | — | 307,492 | ||||||||||||||
Utility property, plant and equipment, net | 3,233,269 | 776,775 | 669,186 | — | — | 4,679,230 | ||||||||||||||
Nonutility property, plant and equipment, less accumulated depreciation | 5,762 | 115 | 1,532 | — | — | 7,409 | ||||||||||||||
Total property, plant and equipment, net | 3,239,031 | 776,890 | 670,718 | — | — | 4,686,639 | ||||||||||||||
Investment in wholly owned subsidiaries, at equity | 559,671 | — | — | — | (559,671 | ) | — | |||||||||||||
Current assets | ||||||||||||||||||||
Cash and cash equivalents | 3,454 | 4,714 | 1,718 | 101 | — | 9,987 | ||||||||||||||
Advances to affiliates | — | 6,600 | 4,000 | — | (10,600 | ) | — | |||||||||||||
Customer accounts receivable, net | 92,961 | 20,830 | 19,344 | — | — | 133,135 | ||||||||||||||
Accrued unbilled revenues, net | 80,644 | 15,145 | 13,918 | — | — | 109,707 | ||||||||||||||
Other accounts receivable, net | 7,402 | 2,797 | 1,244 | — | (7,346 | ) | 4,097 | |||||||||||||
Fuel oil stock, at average cost | 40,460 | 8,034 | 11,759 | — | — | 60,253 | ||||||||||||||
Materials and supplies, at average cost | 28,865 | 8,960 | 18,134 | — | — | 55,959 | ||||||||||||||
Prepayments and other | 22,197 | 4,183 | 3,647 | — | (156 | ) | 29,871 | |||||||||||||
Regulatory assets | 63,608 | 4,341 | 4,824 | — | — | 72,773 | ||||||||||||||
Total current assets | 339,591 | 75,604 | 78,588 | 101 | (18,102 | ) | 475,782 | |||||||||||||
Other long-term assets | ||||||||||||||||||||
Regulatory assets | 639,689 | 118,655 | 105,847 | — | — | 864,191 | ||||||||||||||
Unamortized debt expense | 472 | 83 | 106 | — | — | 661 | ||||||||||||||
Other | 50,424 | 14,981 | 14,823 | — | — | 80,228 | ||||||||||||||
Total other long-term assets | 690,585 | 133,719 | 120,776 | — | — | 945,080 | ||||||||||||||
Total assets | $ | 4,828,878 | 986,213 | 870,082 | 101 | (577,773 | ) | $ | 6,107,501 | |||||||||||
Capitalization and liabilities | ||||||||||||||||||||
Capitalization | ||||||||||||||||||||
Common stock equity | $ | 1,829,075 | 294,319 | 265,251 | 101 | (559,671 | ) | $ | 1,829,075 | |||||||||||
Cumulative preferred stock—not subject to mandatory redemption | 22,293 | 7,000 | 5,000 | — | — | 34,293 | ||||||||||||||
Long-term debt, net | 915,097 | 213,658 | 189,868 | — | — | 1,318,623 | ||||||||||||||
Total capitalization | 2,766,465 | 514,977 | 460,119 | 101 | (559,671 | ) | 3,181,991 | |||||||||||||
Current liabilities | ||||||||||||||||||||
Short-term borrowings from non-affiliates | 6,000 | — | — | — | — | 6,000 | ||||||||||||||
Short-term borrowings from affiliate | 10,600 | — | — | — | (10,600 | ) | — | |||||||||||||
Accounts payable | 94,618 | 15,291 | 14,331 | — | — | 124,240 | ||||||||||||||
Interest and preferred dividends payable | 17,870 | 3,973 | 3,429 | — | (11 | ) | 25,261 | |||||||||||||
Taxes accrued | 134,935 | 27,571 | 25,919 | — | (5,060 | ) | 183,365 | |||||||||||||
Regulatory liabilities | 576 | 1,029 | 1,794 | — | — | 3,399 | ||||||||||||||
Other | 45,662 | 8,173 | 13,111 | — | (7,335 | ) | 59,611 | |||||||||||||
Total current liabilities | 310,261 | 56,037 | 58,584 | — | (23,006 | ) | 401,876 | |||||||||||||
Deferred credits and other liabilities | ||||||||||||||||||||
Deferred income taxes | 540,857 | 113,277 | 108,573 | — | 4,904 | 767,611 | ||||||||||||||
Regulatory liabilities | 328,530 | 100,973 | 33,314 | — | — | 462,817 | ||||||||||||||
Unamortized tax credits | 57,577 | 16,048 | 15,202 | — | — | 88,827 | ||||||||||||||
Defined benefit pension and other postretirement benefit plans liability | 431,191 | 72,366 | 78,156 | — | — | 581,713 | ||||||||||||||
Other | 27,097 | 14,383 | 16,068 | — | — | 57,548 | ||||||||||||||
Total deferred credits and other liabilities | 1,385,252 | 317,047 | 251,313 | — | 4,904 | 1,958,516 | ||||||||||||||
Contributions in aid of construction | 366,900 | 98,152 | 100,066 | — | — | 565,118 | ||||||||||||||
Total capitalization and liabilities | $ | 4,828,878 | 986,213 | 870,082 | 101 | (577,773 | ) | $ | 6,107,501 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsi-diary | Consoli- dating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Property, plant and equipment | ||||||||||||||||||||||||||||||||||||||
Utility property, plant and equipment | ||||||||||||||||||||||||||||||||||||||
Land | $ | 42,860 | 5,606 | 3,594 | — | — | $ | 52,060 | ||||||||||||||||||||||||||||||
Plant and equipment | 5,260,685 | 1,425,442 | 1,293,383 | — | — | 7,979,510 | ||||||||||||||||||||||||||||||||
Finance lease right-of-use assets | 48,371 | — | — | — | — | 48,371 | ||||||||||||||||||||||||||||||||
Less accumulated depreciation | (1,855,150) | (644,457) | (586,892) | — | — | (3,086,499) | ||||||||||||||||||||||||||||||||
Construction in progress | 215,560 | 23,989 | 35,804 | — | — | 275,353 | ||||||||||||||||||||||||||||||||
Utility property, plant and equipment, net | 3,712,326 | 810,580 | 745,889 | — | — | 5,268,795 | ||||||||||||||||||||||||||||||||
Nonutility property, plant and equipment, less accumulated depreciation | 5,298 | 115 | 1,532 | — | — | 6,945 | ||||||||||||||||||||||||||||||||
Total property, plant and equipment, net | 3,717,624 | 810,695 | 747,421 | — | — | 5,275,740 | ||||||||||||||||||||||||||||||||
Investment in wholly owned subsidiaries, at equity | 701,833 | — | — | — | (701,833) | — | ||||||||||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 27,579 | 5,092 | 6,494 | 77 | — | 39,242 | ||||||||||||||||||||||||||||||||
Advances to affiliates | — | 4,500 | 21,700 | — | (26,200) | — | ||||||||||||||||||||||||||||||||
Customer accounts receivable, net | 216,802 | 39,339 | 32,197 | — | — | 288,338 | ||||||||||||||||||||||||||||||||
Accrued unbilled revenues, net | 136,508 | 23,839 | 22,933 | — | — | 183,280 | ||||||||||||||||||||||||||||||||
Other accounts receivable, net | 23,746 | 5,519 | 6,686 | — | (22,384) | 13,567 | ||||||||||||||||||||||||||||||||
Fuel oil stock, at average cost | 153,342 | 16,964 | 21,224 | — | — | 191,530 | ||||||||||||||||||||||||||||||||
Materials and supplies, at average cost | 48,130 | 9,783 | 21,655 | — | — | 79,568 | ||||||||||||||||||||||||||||||||
Prepayments and other | 24,040 | 6,346 | 4,137 | — | (1,041) | 33,482 | ||||||||||||||||||||||||||||||||
Regulatory assets | 46,504 | 2,435 | 3,334 | — | — | 52,273 | ||||||||||||||||||||||||||||||||
Total current assets | 676,651 | 113,817 | 140,360 | 77 | (49,625) | 881,280 | ||||||||||||||||||||||||||||||||
Other long-term assets | ||||||||||||||||||||||||||||||||||||||
Operating lease right-of-use assets | 42,752 | 34,283 | 12,283 | — | — | 89,318 | ||||||||||||||||||||||||||||||||
Regulatory assets | 154,040 | 21,816 | 14,384 | — | — | 190,240 | ||||||||||||||||||||||||||||||||
Other | 115,028 | 32,654 | 29,495 | — | (16,288) | 160,889 | ||||||||||||||||||||||||||||||||
Total other long-term assets | 311,820 | 88,753 | 56,162 | — | (16,288) | 440,447 | ||||||||||||||||||||||||||||||||
Total assets | $ | 5,407,928 | 1,013,265 | 943,943 | 77 | (767,746) | $ | 6,597,467 | ||||||||||||||||||||||||||||||
Capitalization and liabilities | ||||||||||||||||||||||||||||||||||||||
Capitalization | ||||||||||||||||||||||||||||||||||||||
Common stock equity | $ | 2,344,170 | 344,720 | 357,036 | 77 | (701,833) | $ | 2,344,170 | ||||||||||||||||||||||||||||||
Cumulative preferred stock—not subject to mandatory redemption | 22,293 | 7,000 | 5,000 | — | — | 34,293 | ||||||||||||||||||||||||||||||||
Long-term debt, net | 1,126,915 | 224,439 | 233,500 | — | — | 1,584,854 | ||||||||||||||||||||||||||||||||
Total capitalization | 3,493,378 | 576,159 | 595,536 | 77 | (701,833) | 3,963,317 | ||||||||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||||||||||||
Current portion of operating lease liabilities | 9,775 | 6,690 | 2,630 | — | — | 19,095 | ||||||||||||||||||||||||||||||||
Current portion of long-term debt | 49,981 | 19,992 | 29,989 | — | — | 99,962 | ||||||||||||||||||||||||||||||||
Short-term borrowings-non-affiliate | 87,967 | — | — | — | — | 87,967 | ||||||||||||||||||||||||||||||||
Short-term borrowings-affiliate | 26,200 | — | — | — | (26,200) | — | ||||||||||||||||||||||||||||||||
Accounts payable | 143,253 | 32,113 | 27,126 | — | — | 202,492 | ||||||||||||||||||||||||||||||||
Interest and preferred dividends payable | 12,398 | 2,576 | 2,282 | — | (80) | 17,176 | ||||||||||||||||||||||||||||||||
Taxes accrued, including revenue taxes | 207,798 | 42,436 | 40,709 | — | (1,041) | 289,902 | ||||||||||||||||||||||||||||||||
Regulatory liabilities | 13,145 | 8,553 | 9,777 | — | — | 31,475 | ||||||||||||||||||||||||||||||||
Other | 64,659 | 20,856 | 22,385 | — | (22,304) | 85,596 | ||||||||||||||||||||||||||||||||
Total current liabilities | 615,176 | 133,216 | 134,898 | — | (49,625) | 833,665 | ||||||||||||||||||||||||||||||||
Deferred credits and other liabilities | ||||||||||||||||||||||||||||||||||||||
Operating lease liabilities | 41,049 | 27,817 | 9,849 | — | — | 78,715 | ||||||||||||||||||||||||||||||||
Finance lease liabilities | 46,048 | — | — | — | — | 46,048 | ||||||||||||||||||||||||||||||||
Deferred income taxes | 271,234 | 50,615 | 62,581 | — | — | 384,430 | ||||||||||||||||||||||||||||||||
Regulatory liabilities | 729,683 | 194,222 | 100,270 | — | — | 1,024,175 | ||||||||||||||||||||||||||||||||
Unamortized tax credits | 69,614 | 13,150 | 12,536 | — | — | 95,300 | ||||||||||||||||||||||||||||||||
Defined benefit pension and other postretirement benefit plans liability | 65,907 | 129 | — | — | (16,288) | 49,748 | ||||||||||||||||||||||||||||||||
Other | 75,839 | 17,957 | 28,273 | — | — | 122,069 | ||||||||||||||||||||||||||||||||
Total deferred credits and other liabilities | 1,299,374 | 303,890 | 213,509 | — | (16,288) | 1,800,485 | ||||||||||||||||||||||||||||||||
Total capitalization and liabilities | $ | 5,407,928 | 1,013,265 | 943,943 | 77 | (767,746) | $ | 6,597,467 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consoli- dating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Assets | ||||||||||||||||||||
Property, plant and equipment | ||||||||||||||||||||
Utility property, plant and equipment | ||||||||||||||||||||
Land | $ | 43,956 | 6,181 | 3,016 | — | — | $ | 53,153 | ||||||||||||
Plant and equipment | 4,241,060 | 1,255,185 | 1,109,487 | — | — | 6,605,732 | ||||||||||||||
Less accumulated depreciation | (1,382,972 | ) | (507,666 | ) | (478,644 | ) | — | — | (2,369,282 | ) | ||||||||||
Construction in progress | 180,194 | 12,510 | 19,038 | — | — | 211,742 | ||||||||||||||
Utility property, plant and equipment, net | 3,082,238 | 766,210 | 652,897 | — | — | 4,501,345 | ||||||||||||||
Nonutility property, plant and equipment, less accumulated depreciation | 5,760 | 115 | 1,532 | — | — | 7,407 | ||||||||||||||
Total property, plant and equipment, net | 3,087,998 | 766,325 | 654,429 | — | — | 4,508,752 | ||||||||||||||
Investment in wholly owned subsidiaries, at equity | 550,946 | — | — | — | (550,946 | ) | — | |||||||||||||
Current assets | ||||||||||||||||||||
Cash and cash equivalents | 61,388 | 10,749 | 2,048 | 101 | — | 74,286 | ||||||||||||||
Advances to affiliates | — | 3,500 | 10,000 | — | (13,500 | ) | — | |||||||||||||
Customer accounts receivable, net | 86,373 | 20,055 | 17,260 | — | — | 123,688 | ||||||||||||||
Accrued unbilled revenues, net | 65,821 | 13,564 | 12,308 | — | — | 91,693 | ||||||||||||||
Other accounts receivable, net | 7,652 | 2,445 | 1,416 | — | (6,280 | ) | 5,233 | |||||||||||||
Fuel oil stock, at average cost | 47,239 | 8,229 | 10,962 | — | — | 66,430 | ||||||||||||||
Materials and supplies, at average cost | 29,928 | 7,380 | 16,371 | — | — | 53,679 | ||||||||||||||
Prepayments and other | 16,502 | 5,352 | 2,179 | — | (933 | ) | 23,100 | |||||||||||||
Regulatory assets | 60,185 | 3,483 | 2,364 | — | — | 66,032 | ||||||||||||||
Total current assets | 375,088 | 74,757 | 74,908 | 101 | (20,713 | ) | 504,141 | |||||||||||||
Other long-term assets | ||||||||||||||||||||
Regulatory assets | 662,232 | 120,863 | 108,324 | — | — | 891,419 | ||||||||||||||
Unamortized debt expense | 151 | 23 | 34 | — | — | 208 | ||||||||||||||
Other | 43,743 | 13,573 | 13,592 | — | — | 70,908 | ||||||||||||||
Total other long-term assets | 706,126 | 134,459 | 121,950 | — | — | 962,535 | ||||||||||||||
Total assets | $ | 4,720,158 | 975,541 | 851,287 | 101 | (571,659 | ) | $ | 5,975,428 | |||||||||||
Capitalization and liabilities | ||||||||||||||||||||
Capitalization | ||||||||||||||||||||
Common stock equity | $ | 1,799,787 | 291,291 | 259,554 | 101 | (550,946 | ) | $ | 1,799,787 | |||||||||||
Cumulative preferred stock—not subject to mandatory redemption | 22,293 | 7,000 | 5,000 | — | — | 34,293 | ||||||||||||||
Long-term debt, net | 915,437 | 213,703 | 190,120 | — | — | 1,319,260 | ||||||||||||||
Total capitalization | 2,737,517 | 511,994 | 454,674 | 101 | (550,946 | ) | 3,153,340 | |||||||||||||
Current liabilities | ||||||||||||||||||||
Short-term borrowings from affiliate | 13,500 | — | — | — | (13,500 | ) | — | |||||||||||||
Accounts payable | 86,369 | 18,126 | 13,319 | — | — | 117,814 | ||||||||||||||
Interest and preferred dividends payable | 15,761 | 4,206 | 2,882 | — | (11 | ) | 22,838 | |||||||||||||
Taxes accrued | 120,176 | 28,100 | 25,387 | — | (933 | ) | 172,730 | |||||||||||||
Regulatory liabilities | — | 2,219 | 1,543 | — | — | 3,762 | ||||||||||||||
Other | 41,352 | 7,637 | 12,501 | — | (6,269 | ) | 55,221 | |||||||||||||
Total current liabilities | 277,158 | 60,288 | 55,632 | — | (20,713 | ) | 372,365 | |||||||||||||
Deferred credits and other liabilities | ||||||||||||||||||||
Deferred income taxes | 524,433 | 108,052 | 100,911 | — | 263 | 733,659 | ||||||||||||||
Regulatory liabilities | 281,112 | 93,974 | 31,845 | — | — | 406,931 | ||||||||||||||
Unamortized tax credits | 57,844 | 15,994 | 15,123 | — | — | 88,961 | ||||||||||||||
Defined benefit pension and other postretirement benefit plans liability | 444,458 | 75,005 | 80,263 | — | — | 599,726 | ||||||||||||||
Other | 49,191 | 13,024 | 14,969 | — | (263 | ) | 76,921 | |||||||||||||
Total deferred credits and other liabilities | 1,357,038 | 306,049 | 243,111 | — | — | 1,906,198 | ||||||||||||||
Contributions in aid of construction | 348,445 | 97,210 | 97,870 | — | — | 543,525 | ||||||||||||||
Total capitalization and liabilities | $ | 4,720,158 | 975,541 | 851,287 | 101 | (571,659 | ) | $ | 5,975,428 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Balance, December 31, 2016 | $ | 1,799,787 | 291,291 | 259,554 | 101 | (550,946 | ) | $ | 1,799,787 | |||||||||||
Net income for common stock | 94,596 | 14,650 | 14,656 | — | (29,306 | ) | 94,596 | |||||||||||||
Other comprehensive income, net of taxes | 521 | 1 | — | — | (1 | ) | 521 | |||||||||||||
Common stock dividends | (65,825 | ) | (11,622 | ) | (8,959 | ) | — | 20,581 | (65,825 | ) | ||||||||||
Common stock issuance expenses | (4 | ) | (1 | ) | — | — | 1 | (4 | ) | |||||||||||
Balance, September 30, 2017 | $ | 1,829,075 | 294,319 | 265,251 | 101 | (559,671 | ) | $ | 1,829,075 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Balance, December 31, 2022 | $ | 2,344,170 | 344,720 | 357,036 | 77 | (701,833) | $ | 2,344,170 | ||||||||||||||||||||||||||||||
Net income for common stock | 135,769 | 20,884 | 5,076 | — | (25,960) | 135,769 | ||||||||||||||||||||||||||||||||
Other comprehensive loss, net of taxes | (166) | (9) | (23) | — | 32 | (166) | ||||||||||||||||||||||||||||||||
Common stock dividends | (96,750) | (13,425) | (11,025) | — | 24,450 | (96,750) | ||||||||||||||||||||||||||||||||
Balance, September 30, 2023 | $ | 2,383,023 | 352,170 | 351,064 | 77 | (703,311) | $ | 2,383,023 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Balance, December 31, 2021 | $ | 2,261,899 | 332,900 | 343,260 | 77 | (676,237) | $ | 2,261,899 | ||||||||||||||||||||||||||||||
Net income for common stock | 140,308 | 17,994 | 18,481 | — | (36,475) | 140,308 | ||||||||||||||||||||||||||||||||
Other comprehensive income, net of taxes | 210 | 4 | — | — | (4) | 210 | ||||||||||||||||||||||||||||||||
Common stock dividends | (94,425) | (12,300) | (11,400) | — | 23,700 | (94,425) | ||||||||||||||||||||||||||||||||
Balance, September 30, 2022 | $ | 2,307,992 | 338,598 | 350,341 | 77 | (689,016) | $ | 2,307,992 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Balance, December 31, 2015 | $ | 1,728,325 | 292,702 | 263,725 | 101 | (556,528 | ) | $ | 1,728,325 | |||||||||||
Net income for common stock | 108,198 | 16,486 | 17,055 | — | (33,541 | ) | 108,198 | |||||||||||||
Other comprehensive income (loss), net of taxes | 412 | (1 | ) | (4 | ) | — | 5 | 412 | ||||||||||||
Common stock dividends | (70,199 | ) | (9,906 | ) | (9,795 | ) | — | 19,701 | (70,199 | ) | ||||||||||
Common stock issuance expenses | (9 | ) | (5 | ) | — | — | 5 | (9 | ) | |||||||||||
Balance, September 30, 2016 | $ | 1,766,727 | 299,276 | 270,981 | 101 | (570,358 | ) | $ | 1,766,727 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Net cash provided by operating activities | $ | 336,248 | 59,029 | 35,284 | — | (24,450) | $ | 406,111 | ||||||||||||||||||||||||||||||
Cash flows from investing activities | ||||||||||||||||||||||||||||||||||||||
Capital expenditures | (217,276) | (47,609) | (69,612) | — | — | (334,497) | ||||||||||||||||||||||||||||||||
Advances from affiliates | — | 4,500 | 21,700 | — | (26,200) | — | ||||||||||||||||||||||||||||||||
Other | 3,179 | 912 | 1,125 | — | — | 5,216 | ||||||||||||||||||||||||||||||||
Net cash used in investing activities | (214,097) | (42,197) | (46,787) | — | (26,200) | (329,281) | ||||||||||||||||||||||||||||||||
Cash flows from financing activities | ||||||||||||||||||||||||||||||||||||||
Common stock dividends | (96,750) | (13,425) | (11,025) | — | 24,450 | (96,750) | ||||||||||||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric and subsidiaries | (810) | (400) | (286) | — | — | (1,496) | ||||||||||||||||||||||||||||||||
Proceeds from issuance of long-term debt | 300,000 | 25,000 | 25,000 | — | — | 350,000 | ||||||||||||||||||||||||||||||||
Net decrease in short-term borrowings from non-affiliates and affiliate with original maturities of three months or less | (114,167) | — | — | — | 26,200 | (87,967) | ||||||||||||||||||||||||||||||||
Payments of obligations under finance leases | (1,914) | (248) | — | (2,162) | ||||||||||||||||||||||||||||||||||
Other | (571) | (135) | (137) | — | — | (843) | ||||||||||||||||||||||||||||||||
Net cash provided by financing activities | 85,788 | 10,792 | 13,552 | — | 50,650 | 160,782 | ||||||||||||||||||||||||||||||||
Net increase in cash, cash equivalents and restricted cash | 207,939 | 27,624 | 2,049 | — | — | 237,612 | ||||||||||||||||||||||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 27,579 | 5,092 | 6,494 | 77 | — | 39,242 | ||||||||||||||||||||||||||||||||
Cash, cash equivalents and restricted cash, end of period | 235,518 | 32,716 | 8,543 | 77 | — | 276,854 | ||||||||||||||||||||||||||||||||
Less: Restricted cash | (2,000) | — | — | — | — | (2,000) | ||||||||||||||||||||||||||||||||
Cash and cash equivalents, end of period | $ | 233,518 | 32,716 | 8,543 | 77 | — | $ | 274,854 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Cash flows from operating activities | ||||||||||||||||||||
Net income | $ | 95,406 | 15,050 | 14,942 | — | (29,306 | ) | $ | 96,092 | |||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||||||||
Equity in earnings of subsidiaries | (29,381 | ) | — | — | — | 29,306 | (75 | ) | ||||||||||||
Common stock dividends received from subsidiaries | 20,656 | — | — | — | (20,581 | ) | 75 | |||||||||||||
Depreciation of property, plant and equipment | 98,167 | 29,056 | 17,355 | — | — | 144,578 | ||||||||||||||
Other amortization | 2,168 | 1,718 | 2,232 | — | — | 6,118 | ||||||||||||||
Deferred income taxes | 12,166 | 5,237 | 7,493 | — | 4,641 | 29,537 | ||||||||||||||
Allowance for equity funds used during construction | (7,823 | ) | (416 | ) | (669 | ) | — | — | (8,908 | ) | ||||||||||
Other | 216 | 566 | (256 | ) | — | — | 526 | |||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Increase in accounts receivable | (6,114 | ) | (1,127 | ) | (1,912 | ) | — | 1,066 | (8,087 | ) | ||||||||||
Increase in accrued unbilled revenues | (14,823 | ) | (1,581 | ) | (1,610 | ) | — | — | (18,014 | ) | ||||||||||
Decrease (increase) in fuel oil stock | 6,779 | 195 | (797 | ) | — | — | 6,177 | |||||||||||||
Decrease (increase) in materials and supplies | 1,063 | (1,580 | ) | (1,763 | ) | — | — | (2,280 | ) | |||||||||||
Decrease (increase) in regulatory assets | 9,471 | (2,935 | ) | (2,614 | ) | — | — | 3,922 | ||||||||||||
Increase (decrease) in accounts payable | (22,224 | ) | (2,955 | ) | 2,338 | — | — | (22,841 | ) | |||||||||||
Change in prepaid and accrued income taxes, tax credits and revenue taxes | 10,920 | (758 | ) | 210 | — | (5,081 | ) | 5,291 | ||||||||||||
Increase (decrease) in defined benefit pension and other postretirement benefit plans liability | 532 | 39 | (118 | ) | — | — | 453 | |||||||||||||
Change in other assets and liabilities | (2,709 | ) | 1,059 | 54 | — | (1,066 | ) | (2,662 | ) | |||||||||||
Net cash provided by operating activities | 174,470 | 41,568 | 34,885 | — | (21,021 | ) | 229,902 | |||||||||||||
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | (207,493 | ) | (36,405 | ) | (34,106 | ) | — | — | (278,004 | ) | ||||||||||
Contributions in aid of construction | 34,787 | 3,460 | 2,356 | — | — | 40,603 | ||||||||||||||
Other | 6,089 | 871 | 714 | — | 440 | 8,114 | ||||||||||||||
Advances from affiliates | — | (3,100 | ) | 6,000 | — | (2,900 | ) | — | ||||||||||||
Net cash used in investing activities | (166,617 | ) | (35,174 | ) | (25,036 | ) | — | (2,460 | ) | (229,287 | ) | |||||||||
Cash flows from financing activities | ||||||||||||||||||||
Common stock dividends | (65,825 | ) | (11,622 | ) | (8,959 | ) | — | 20,581 | (65,825 | ) | ||||||||||
Preferred stock dividends of Hawaiian Electric and subsidiaries | (810 | ) | (400 | ) | (286 | ) | — | — | (1,496 | ) | ||||||||||
Proceeds from issuance of special purpose revenue bonds | 162,000 | 28,000 | 75,000 | — | 265,000 | |||||||||||||||
Funds transferred for redemption of special purpose revenue bonds | (162,000 | ) | (28,000 | ) | (75,000 | ) | — | — | (265,000 | ) | ||||||||||
Net increase in short-term borrowings from non-affiliates and affiliate with original maturities of three months or less | 3,100 | — | — | — | 2,900 | 6,000 | ||||||||||||||
Other | (2,252 | ) | (407 | ) | (934 | ) | — | — | (3,593 | ) | ||||||||||
Net cash used in financing activities | (65,787 | ) | (12,429 | ) | (10,179 | ) | — | 23,481 | (64,914 | ) | ||||||||||
Net decrease in cash and cash equivalents | (57,934 | ) | (6,035 | ) | (330 | ) | — | — | (64,299 | ) | ||||||||||
Cash and cash equivalents, beginning of period | 61,388 | 10,749 | 2,048 | 101 | — | 74,286 | ||||||||||||||
Cash and cash equivalents, end of period | $ | 3,454 | 4,714 | 1,718 | 101 | — | $ | 9,987 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiary | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||
Net cash provided by operating activities | $ | 74,053 | 38,302 | 35,512 | — | (23,700) | $ | 124,167 | ||||||||||||||||||||||||||||||
Cash flows from investing activities | ||||||||||||||||||||||||||||||||||||||
Capital expenditures | (152,015) | (34,055) | (39,806) | — | — | (225,876) | ||||||||||||||||||||||||||||||||
Advances from (to) affiliates | 1,000 | (1,500) | (16,000) | — | 16,500 | — | ||||||||||||||||||||||||||||||||
Other | 4,545 | 825 | 1,380 | — | — | 6,750 | ||||||||||||||||||||||||||||||||
Net cash used in investing activities | (146,470) | (34,730) | (54,426) | — | 16,500 | (219,126) | ||||||||||||||||||||||||||||||||
Cash flows from financing activities | ||||||||||||||||||||||||||||||||||||||
Common stock dividends | (94,425) | (12,300) | (11,400) | — | 23,700 | (94,425) | ||||||||||||||||||||||||||||||||
Preferred stock dividends of Hawaiian Electric and subsidiaries | (810) | (400) | (286) | — | — | (1,496) | ||||||||||||||||||||||||||||||||
Proceeds from issuance of long-term debt | 40,000 | 10,000 | 10,000 | — | — | 60,000 | ||||||||||||||||||||||||||||||||
Net increase (decrease) in short-term borrowings from non-affiliates and affiliate with original maturities of three months or less | 114,950 | (1,000) | — | — | (16,500) | 97,450 | ||||||||||||||||||||||||||||||||
Payments of obligations under finance leases | (266) | — | — | — | — | (266) | ||||||||||||||||||||||||||||||||
Other | (170) | (44) | (44) | — | — | (258) | ||||||||||||||||||||||||||||||||
Net cash provided by (used in) financing activities | 59,279 | (3,744) | (1,730) | — | 7,200 | 61,005 | ||||||||||||||||||||||||||||||||
Net decrease in cash and cash equivalents | (13,138) | (172) | (20,644) | — | — | (33,954) | ||||||||||||||||||||||||||||||||
Cash and cash equivalents, beginning of period | 26,433 | 5,326 | 23,422 | 77 | — | 55,258 | ||||||||||||||||||||||||||||||||
Cash and cash equivalents, end of period | $ | 13,295 | 5,154 | 2,778 | 77 | — | $ | 21,304 |
(in thousands) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Other subsidiaries | Consolidating adjustments | Hawaiian Electric Consolidated | ||||||||||||||
Cash flows from operating activities | �� | |||||||||||||||||||
Net income | $ | 109,008 | 16,886 | 17,341 | — | (33,541 | ) | $ | 109,694 | |||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||||||||
Equity in earnings of subsidiaries | (33,616 | ) | — | — | — | 33,541 | (75 | ) | ||||||||||||
Common stock dividends received from subsidiaries | 19,776 | — | — | — | (19,701 | ) | 75 | |||||||||||||
Depreciation of property, plant and equipment | 94,564 | 28,347 | 17,389 | — | — | 140,300 | ||||||||||||||
Other amortization | 2,462 | 1,366 | 1,552 | — | — | 5,380 | ||||||||||||||
Deferred income taxes | 41,005 | 4,529 | 10,085 | — | 29 | 55,648 | ||||||||||||||
Allowance for equity funds used during construction | (4,771 | ) | (571 | ) | (668 | ) | — | — | (6,010 | ) | ||||||||||
Other | 2,925 | 162 | 147 | — | — | 3,234 | ||||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Decrease (increase) in accounts receivable | 328 | (2,716 | ) | (1,313 | ) | — | 3,046 | (655 | ) | |||||||||||
Increase in accrued unbilled revenues | (9,673 | ) | (373 | ) | (612 | ) | — | — | (10,658 | ) | ||||||||||
Decrease in fuel oil stock | 4,157 | 1,425 | 1,154 | — | — | 6,736 | ||||||||||||||
Decrease (increase) in materials and supplies | (1,755 | ) | (1,559 | ) | 387 | — | — | (2,927 | ) | |||||||||||
Decrease (increase) in regulatory assets | (2,474 | ) | (150 | ) | 373 | — | — | (2,251 | ) | |||||||||||
Increase (decrease) in accounts payable | (2,628 | ) | 143 | 1,809 | — | — | (676 | ) | ||||||||||||
Change in prepaid and accrued income taxes, tax credits and revenue taxes | (7,324 | ) | 2,230 | (4,472 | ) | — | (29 | ) | (9,595 | ) | ||||||||||
Increase (decrease) in defined benefit pension and other postretirement benefit plans liability | 449 | 40 | (129 | ) | — | — | 360 | |||||||||||||
Change in other assets and liabilities | (10,548 | ) | 2,856 | (2,571 | ) | — | (3,046 | ) | (13,309 | ) | ||||||||||
Net cash provided by operating activities | 201,885 | 52,615 | 40,472 | — | (19,701 | ) | 275,271 | |||||||||||||
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | (188,415 | ) | (37,835 | ) | (24,454 | ) | — | — | (250,704 | ) | ||||||||||
Contributions in aid of construction | 18,181 | 2,691 | 2,696 | — | — | 23,568 | ||||||||||||||
Other | 901 | 169 | 30 | — | — | 1,100 | ||||||||||||||
Advances from affiliates | — | (3,000 | ) | (8,000 | ) | — | 11,000 | — | ||||||||||||
Net cash used in investing activities | (169,333 | ) | (37,975 | ) | (29,728 | ) | — | 11,000 | (226,036 | ) | ||||||||||
Cash flows from financing activities | ||||||||||||||||||||
Common stock dividends | (70,199 | ) | (9,906 | ) | (9,795 | ) | — | 19,701 | (70,199 | ) | ||||||||||
Preferred stock dividends of Hawaiian Electric and subsidiaries | (810 | ) | (400 | ) | (286 | ) | — | — | (1,496 | ) | ||||||||||
Net increase in short-term borrowings from non-affiliates and affiliate with original maturities of three months or less | 32,000 | — | — | — | (11,000 | ) | 21,000 | |||||||||||||
Other | (3 | ) | (8 | ) | (1 | ) | — | — | (12 | ) | ||||||||||
Net cash used in financing activities | (39,012 | ) | (10,314 | ) | (10,082 | ) | — | 8,701 | (50,707 | ) | ||||||||||
Net increase (decrease) in cash and cash equivalents | (6,460 | ) | 4,326 | 662 | — | — | (1,472 | ) | ||||||||||||
Cash and cash equivalents, beginning of period | 16,281 | 2,682 | 5,385 | 101 | — | 24,449 | ||||||||||||||
Cash and cash equivalents, end of period | $ | 9,821 | 7,008 | 6,047 | 101 | — | $ | 22,977 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Interest and dividend income | ||||||||||||||||||||||||||
Interest and fees on loans | $ | 71,540 | $ | 53,365 | $ | 204,348 | $ | 147,499 | ||||||||||||||||||
Interest and dividends on investment securities | 14,096 | 15,052 | 42,508 | 43,729 | ||||||||||||||||||||||
Total interest and dividend income | 85,636 | 68,417 | 246,856 | 191,228 | ||||||||||||||||||||||
Interest expense | ||||||||||||||||||||||||||
Interest on deposit liabilities | 14,446 | 1,704 | 30,944 | 3,572 | ||||||||||||||||||||||
Interest on other borrowings | 8,598 | 1,055 | 25,171 | 1,199 | ||||||||||||||||||||||
Total interest expense | 23,044 | 2,759 | 56,115 | 4,771 | ||||||||||||||||||||||
Net interest income | 62,592 | 65,658 | 190,741 | 186,457 | ||||||||||||||||||||||
Provision for credit losses | 8,835 | (186) | 10,053 | (692) | ||||||||||||||||||||||
Net interest income after provision for credit losses | 53,757 | 65,844 | 180,688 | 187,149 | ||||||||||||||||||||||
Noninterest income | ||||||||||||||||||||||||||
Fees from other financial services | 4,703 | 4,763 | 14,391 | 15,066 | ||||||||||||||||||||||
Fee income on deposit liabilities | 4,924 | 4,879 | 14,027 | 14,122 | ||||||||||||||||||||||
Fee income on other financial products | 2,440 | 2,416 | 7,952 | 7,663 | ||||||||||||||||||||||
Bank-owned life insurance | 2,303 | 122 | 5,683 | 661 | ||||||||||||||||||||||
Mortgage banking income | 341 | 181 | 701 | 1,630 | ||||||||||||||||||||||
Gain on sale of real estate | — | — | 495 | 1,002 | ||||||||||||||||||||||
Other income, net | 627 | 633 | 2,106 | 1,480 | ||||||||||||||||||||||
Total noninterest income | 15,338 | 12,994 | 45,355 | 41,624 | ||||||||||||||||||||||
Noninterest expense | ||||||||||||||||||||||||||
Compensation and employee benefits | 29,902 | 28,597 | 89,500 | 83,478 | ||||||||||||||||||||||
Occupancy | 5,154 | 5,577 | 16,281 | 16,996 | ||||||||||||||||||||||
Data processing | 5,133 | 4,509 | 15,240 | 13,144 | ||||||||||||||||||||||
Services | 3,627 | 2,751 | 8,911 | 7,712 | ||||||||||||||||||||||
Equipment | 3,125 | 2,432 | 8,728 | 7,163 | ||||||||||||||||||||||
Office supplies, printing and postage | 1,022 | 1,123 | 3,296 | 3,256 | ||||||||||||||||||||||
Marketing | 984 | 925 | 2,834 | 2,877 | ||||||||||||||||||||||
Other expense | 7,399 | 5,643 | 19,742 | 14,542 | ||||||||||||||||||||||
Total noninterest expense | 56,346 | 51,557 | 164,532 | 149,168 | ||||||||||||||||||||||
Income before income taxes | 12,749 | 27,281 | 61,511 | 79,605 | ||||||||||||||||||||||
Income taxes | 1,384 | 6,525 | 11,380 | 17,513 | ||||||||||||||||||||||
Net income | 11,365 | 20,756 | 50,131 | 62,092 | ||||||||||||||||||||||
Other comprehensive income (loss), net of taxes | (34,231) | (98,942) | (23,011) | (310,218) | ||||||||||||||||||||||
Comprehensive income (loss) | $ | (22,866) | $ | (78,186) | $ | 27,120 | $ | (248,126) |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Interest and dividend income | ||||||||||||||||
Interest and fees on loans | $ | 52,210 | $ | 50,444 | $ | 155,269 | $ | 148,571 | ||||||||
Interest and dividends on investment securities | 6,850 | 4,759 | 20,593 | 14,219 | ||||||||||||
Total interest and dividend income | 59,060 | 55,203 | 175,862 | 162,790 | ||||||||||||
Interest expense | ||||||||||||||||
Interest on deposit liabilities | 2,444 | 1,871 | 6,858 | 5,154 | ||||||||||||
Interest on other borrowings | 470 | 1,464 | 2,110 | 4,416 | ||||||||||||
Total interest expense | 2,914 | 3,335 | 8,968 | 9,570 | ||||||||||||
Net interest income | 56,146 | 51,868 | 166,894 | 153,220 | ||||||||||||
Provision for loan losses | 490 | 5,747 | 7,231 | 15,266 | ||||||||||||
Net interest income after provision for loan losses | 55,656 | 46,121 | 159,663 | 137,954 | ||||||||||||
Noninterest income | ||||||||||||||||
Fees from other financial services | 5,635 | 5,599 | 17,055 | 16,799 | ||||||||||||
Fee income on deposit liabilities | 5,533 | 5,627 | 16,526 | 16,045 | ||||||||||||
Fee income on other financial products | 1,904 | 2,151 | 5,741 | 6,563 | ||||||||||||
Bank-owned life insurance | 1,257 | 1,616 | 4,165 | 3,620 | ||||||||||||
Mortgage banking income | 520 | 2,347 | 1,896 | 5,096 | ||||||||||||
Gains on sale of investment securities, net | — | — | — | 598 | ||||||||||||
Other income, net | 380 | 1,165 | 1,229 | 1,786 | ||||||||||||
Total noninterest income | 15,229 | 18,505 | 46,612 | 50,507 | ||||||||||||
Noninterest expense | ||||||||||||||||
Compensation and employee benefits | 23,724 | 22,844 | 71,703 | 67,197 | ||||||||||||
Occupancy | 4,284 | 3,991 | 12,623 | 12,244 | ||||||||||||
Data processing | 3,262 | 3,150 | 9,749 | 9,599 | ||||||||||||
Services | 2,863 | 2,427 | 7,989 | 8,093 | ||||||||||||
Equipment | 1,814 | 1,759 | 5,333 | 5,193 | ||||||||||||
Office supplies, printing and postage | 1,444 | 1,483 | 4,506 | 4,431 | ||||||||||||
Marketing | 934 | 747 | 2,290 | 2,507 | ||||||||||||
FDIC insurance | 746 | 907 | 2,296 | 2,704 | ||||||||||||
Other expense | 5,050 | 4,591 | 14,066 | 13,948 | ||||||||||||
Total noninterest expense | 44,121 | 41,899 | 130,555 | 125,916 | ||||||||||||
Income before income taxes | 26,764 | 22,727 | 75,720 | 62,545 | ||||||||||||
Income taxes | 9,172 | 7,623 | 25,582 | 21,483 | ||||||||||||
Net income | $ | 17,592 | $ | 15,104 | $ | 50,138 | $ | 41,062 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Interest and dividend income | $ | 85,636 | $ | 68,417 | $ | 246,856 | $ | 191,228 | ||||||||||||||||||
Noninterest income | 15,338 | 12,994 | 45,355 | 41,624 | ||||||||||||||||||||||
Less: Gain on sale of real estate | — | — | 495 | 1,002 | ||||||||||||||||||||||
*Revenues-Bank | 100,974 | 81,411 | 291,716 | 231,850 | ||||||||||||||||||||||
Total interest expense | 23,044 | 2,759 | 56,115 | 4,771 | ||||||||||||||||||||||
Provision for credit losses | 8,835 | (186) | 10,053 | (692) | ||||||||||||||||||||||
Noninterest expense | 56,346 | 51,557 | 164,532 | 149,168 | ||||||||||||||||||||||
Less: Gain on sale of real estate | — | — | 495 | 1,002 | ||||||||||||||||||||||
Less: Retirement defined benefits credit—other than service costs | (190) | (181) | (564) | (552) | ||||||||||||||||||||||
*Expenses-Bank | 88,415 | 54,311 | 230,769 | 152,797 | ||||||||||||||||||||||
*Operating income-Bank | 12,559 | 27,100 | 60,947 | 79,053 | ||||||||||||||||||||||
Add back: Retirement defined benefits credit—other than service costs | (190) | (181) | (564) | (552) | ||||||||||||||||||||||
Income before income taxes | $ | 12,749 | $ | 27,281 | $ | 61,511 | $ | 79,605 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Net income | $ | 17,592 | $ | 15,104 | $ | 50,138 | $ | 41,062 | ||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||
Net unrealized gains (losses) on available-for-sale investment securities: | ||||||||||||||||
Net unrealized gains (losses) on available-for-sale investment securities arising during the period, net of (taxes) benefits of $(137), $1,417, $(1,619) and $(5,413), respectively | 208 | (2,147 | ) | 2,452 | 8,197 | |||||||||||
Reclassification adjustment for net realized gains included in net income, net of taxes of nil, nil, nil and $238, respectively | — | — | — | (360 | ) | |||||||||||
Retirement benefit plans: | ||||||||||||||||
Adjustment for amortization of prior service credit and net losses recognized during the period in net periodic benefit cost, net of tax benefits of $138, $144, $675 and $421, respectively | 209 | 219 | 1,023 | 638 | ||||||||||||
Other comprehensive income (loss), net of taxes | 417 | (1,928 | ) | 3,475 | 8,475 | |||||||||||
Comprehensive income | $ | 18,009 | $ | 13,176 | $ | 53,613 | $ | 49,537 |
(in thousands) | September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||
Cash and due from banks | $ | 139,059 | $ | 153,042 | ||||||||||||||||||||||
Interest-bearing deposits | 124,531 | 3,107 | ||||||||||||||||||||||||
Cash and cash equivalents | 263,590 | 156,149 | ||||||||||||||||||||||||
Investment securities | ||||||||||||||||||||||||||
Available-for-sale, at fair value | 1,266,412 | 1,429,667 | ||||||||||||||||||||||||
Held-to-maturity, at amortized cost (fair value of $1,052,221 and $1,150,971, respectively) | 1,212,005 | 1,251,747 | ||||||||||||||||||||||||
Stock in Federal Home Loan Bank, at cost | 18,000 | 26,560 | ||||||||||||||||||||||||
Loans held for investment | 6,191,006 | 5,978,906 | ||||||||||||||||||||||||
Allowance for credit losses | (76,366) | (72,216) | ||||||||||||||||||||||||
Net loans | 6,114,640 | 5,906,690 | ||||||||||||||||||||||||
Loans held for sale, at lower of cost or fair value | 2,171 | 824 | ||||||||||||||||||||||||
Other | 698,420 | 692,143 | ||||||||||||||||||||||||
Goodwill | 82,190 | 82,190 | ||||||||||||||||||||||||
Total assets | $ | 9,657,428 | $ | 9,545,970 | ||||||||||||||||||||||
Liabilities and shareholder’s equity | ||||||||||||||||||||||||||
Deposit liabilities—noninterest-bearing | $ | 2,573,010 | $ | 2,811,077 | ||||||||||||||||||||||
Deposit liabilities—interest-bearing | 5,651,341 | 5,358,619 | ||||||||||||||||||||||||
Other borrowings | 750,000 | 695,120 | ||||||||||||||||||||||||
Other | 224,136 | 212,269 | ||||||||||||||||||||||||
Total liabilities | 9,198,487 | 9,077,085 | ||||||||||||||||||||||||
Common stock | 1 | 1 | ||||||||||||||||||||||||
Additional paid-in capital | 357,742 | 355,806 | ||||||||||||||||||||||||
Retained earnings | 460,824 | 449,693 | ||||||||||||||||||||||||
Accumulated other comprehensive loss, net of tax benefits | ||||||||||||||||||||||||||
Net unrealized losses on securities | $ | (350,234) | $ | (328,904) | ||||||||||||||||||||||
Retirement benefit plans | (9,392) | (359,626) | (7,711) | (336,615) | ||||||||||||||||||||||
Total shareholder’s equity | 458,941 | 468,885 | ||||||||||||||||||||||||
Total liabilities and shareholder’s equity | $ | 9,657,428 | $ | 9,545,970 | ||||||||||||||||||||||
Other assets | ||||||||||||||||||||||||||
Bank-owned life insurance | $ | 186,143 | $ | 182,986 | ||||||||||||||||||||||
Premises and equipment, net | 189,950 | 195,324 | ||||||||||||||||||||||||
Accrued interest receivable | 29,361 | 25,077 | ||||||||||||||||||||||||
Mortgage-servicing rights | 8,376 | 9,047 | ||||||||||||||||||||||||
Low-income housing investments | 103,580 | 106,978 | ||||||||||||||||||||||||
Deferred tax asset | 127,735 | 116,441 | ||||||||||||||||||||||||
Real estate acquired in settlement of loans, net | — | 115 | ||||||||||||||||||||||||
Other | 53,275 | 56,175 | ||||||||||||||||||||||||
$ | 698,420 | $ | 692,143 | |||||||||||||||||||||||
Other liabilities | ||||||||||||||||||||||||||
Accrued expenses | $ | 102,540 | $ | 97,295 | ||||||||||||||||||||||
Federal and state income taxes payable | 845 | 863 | ||||||||||||||||||||||||
Cashier’s checks | 38,483 | 36,401 | ||||||||||||||||||||||||
Advance payments by borrowers | 4,289 | 9,637 | ||||||||||||||||||||||||
Other | 77,979 | 68,073 | ||||||||||||||||||||||||
$ | 224,136 | $ | 212,269 |
(in thousands) | September 30, 2017 | December 31, 2016 | ||||||||||||||
Assets | ||||||||||||||||
Cash and due from banks | $ | 120,492 | $ | 137,083 | ||||||||||||
Interest-bearing deposits | 69,223 | 52,128 | ||||||||||||||
Restricted cash | — | 1,764 | ||||||||||||||
Available-for-sale investment securities, at fair value | 1,320,110 | 1,105,182 | ||||||||||||||
Stock in Federal Home Loan Bank, at cost | 9,706 | 11,218 | ||||||||||||||
Loans receivable held for investment | 4,676,281 | 4,738,693 | ||||||||||||||
Allowance for loan losses | (53,047 | ) | (55,533 | ) | ||||||||||||
Net loans | 4,623,234 | 4,683,160 | ||||||||||||||
Loans held for sale, at lower of cost or fair value | 15,728 | 18,817 | ||||||||||||||
Other | 378,224 | 329,815 | ||||||||||||||
Goodwill | 82,190 | 82,190 | ||||||||||||||
Total assets | $ | 6,618,907 | $ | 6,421,357 | ||||||||||||
Liabilities and shareholder’s equity | ||||||||||||||||
Deposit liabilities—noninterest-bearing | $ | 1,710,698 | $ | 1,639,051 | ||||||||||||
Deposit liabilities—interest-bearing | 4,041,628 | 3,909,878 | ||||||||||||||
Other borrowings | 153,552 | 192,618 | ||||||||||||||
Other | 107,558 | 101,635 | ||||||||||||||
Total liabilities | 6,013,436 | 5,843,182 | ||||||||||||||
Commitments and contingencies | ||||||||||||||||
Common stock | 1 | 1 | ||||||||||||||
Additional paid in capital | 344,512 | 342,704 | ||||||||||||||
Retained earnings | 279,956 | 257,943 | ||||||||||||||
Accumulated other comprehensive loss, net of tax benefits | ||||||||||||||||
Net unrealized losses on securities | $ | (5,479 | ) | $ | (7,931 | ) | ||||||||||
Retirement benefit plans | (13,519 | ) | (18,998 | ) | (14,542 | ) | (22,473 | ) | ||||||||
Total shareholder’s equity | 605,471 | 578,175 | ||||||||||||||
Total liabilities and shareholder’s equity | $ | 6,618,907 | $ | 6,421,357 | ||||||||||||
Other assets | ||||||||||||||||
Bank-owned life insurance | $ | 147,391 | $ | 143,197 | ||||||||||||
Premises and equipment, net | 123,326 | 90,570 | ||||||||||||||
Prepaid expenses | 5,356 | 3,348 | ||||||||||||||
Accrued interest receivable | 17,488 | 16,824 | ||||||||||||||
Mortgage-servicing rights | 9,070 | 9,373 | ||||||||||||||
Low-income housing equity investments | 54,515 | 47,081 | ||||||||||||||
Real estate acquired in settlement of loans, net | 1,183 | 1,189 | ||||||||||||||
Other | 19,895 | 18,233 | ||||||||||||||
$ | 378,224 | $ | 329,815 | |||||||||||||
Other liabilities | ||||||||||||||||
Accrued expenses | $ | 41,698 | $ | 36,754 | ||||||||||||
Federal and state income taxes payable | 6,829 | 4,728 | ||||||||||||||
Cashier’s checks | 27,448 | 24,156 | ||||||||||||||
Advance payments by borrowers | 4,867 | 10,335 | ||||||||||||||
Other | 26,716 | 25,662 | ||||||||||||||
$ | 107,558 | $ | 101,635 |
Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | Gross unrealized losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(dollars in thousands) | Number of issues | Fair value | Amount | Number of issues | Fair value | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 82,252 | $ | — | $ | (7,252) | $ | 75,000 | — | $ | — | $ | — | 14 | $ | 75,000 | $ | (7,252) | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities* | 1,427,186 | — | (282,019) | 1,145,167 | 5 | 12,650 | (3,432) | 178 | 1,132,517 | (278,587) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate bonds | 35,273 | — | (3,522) | 31,751 | — | — | — | 3 | 31,751 | (3,522) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage revenue bonds | 14,494 | — | — | 14,494 | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 1,559,205 | $ | — | $ | (292,793) | $ | 1,266,412 | 5 | $ | 12,650 | $ | (3,432) | 195 | $ | 1,239,268 | $ | (289,361) | |||||||||||||||||||||||||||||||||||||||||||||
Held-to-maturity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 59,912 | $ | — | $ | (9,541) | $ | 50,371 | — | $ | — | $ | — | 3 | $ | 50,371 | $ | (9,541) | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities* | 1,152,093 | — | (150,243) | 1,001,850 | 62 | 612,587 | (42,892) | 41 | 389,263 | (107,351) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 1,212,005 | $ | — | $ | (159,784) | $ | 1,052,221 | 62 | $ | 612,587 | $ | (42,892) | 44 | $ | 439,634 | $ | (116,892) | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 88,344 | $ | — | $ | (7,281) | $ | 81,063 | 12 | $ | 41,201 | $ | (2,120) | 4 | $ | 39,862 | $ | (5,161) | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities* | 1,530,582 | — | (237,614) | 1,292,968 | 113 | 455,836 | (56,999) | 70 | 837,132 | (180,615) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate bonds | 44,377 | — | (3,643) | 40,734 | 4 | 29,644 | (2,028) | 1 | 11,090 | (1,615) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage revenue bonds | 14,902 | — | — | 14,902 | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 1,678,205 | $ | — | $ | (248,538) | $ | 1,429,667 | 129 | $ | 526,681 | $ | (61,147) | 75 | $ | 888,084 | $ | (187,391) | |||||||||||||||||||||||||||||||||||||||||||||
Held-to-maturity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 59,894 | $ | — | $ | (8,478) | $ | 51,416 | 1 | $ | 16,874 | $ | (3,222) | 2 | $ | 34,542 | $ | (5,256) | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities* | 1,191,853 | 2,670 | (94,968) | 1,099,555 | 22 | 183,629 | (10,593) | 51 | 567,250 | (84,375) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 1,251,747 | $ | 2,670 | $ | (103,446) | $ | 1,150,971 | 23 | $ | 200,503 | $ | (13,815) | 53 | $ | 601,792 | $ | (89,631) |
Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | Gross unrealized losses | ||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | |||||||||||||||||||||||||||||||||||||
(dollars in thousands) | Number of issues | Fair value | Amount | Number of issues | Fair value | Amount | ||||||||||||||||||||||||||||||||
September 30, 2017 | ||||||||||||||||||||||||||||||||||||||
Available-for-sale | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 182,535 | $ | 882 | $ | (1,299 | ) | $ | 182,118 | 15 | $ | 91,203 | $ | (1,064 | ) | 2 | $ | 13,072 | $ | (235 | ) | |||||||||||||||||
Mortgage-related securities- FNMA, FHLMC and GNMA | 1,131,245 | 2,127 | (10,807 | ) | 1,122,565 | 84 | 686,186 | (7,709 | ) | 29 | 138,051 | (3,098 | ) | |||||||||||||||||||||||||
Mortgage revenue bond | 15,427 | — | — | 15,427 | — | — | — | — | — | — | ||||||||||||||||||||||||||||
$ | 1,329,207 | $ | 3,009 | $ | (12,106 | ) | $ | 1,320,110 | 99 | $ | 777,389 | $ | (8,773 | ) | 31 | $ | 151,123 | $ | (3,333 | ) | ||||||||||||||||||
December 31, 2016 | ||||||||||||||||||||||||||||||||||||||
Available-for-sale | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 193,515 | $ | 920 | $ | (2,154 | ) | $ | 192,281 | 18 | $ | 123,475 | $ | (2,010 | ) | 1 | $ | 3,485 | $ | (144 | ) | |||||||||||||||||
Mortgage-related securities- FNMA, FHLMC and GNMA | 909,408 | 1,742 | (13,676 | ) | 897,474 | 88 | 709,655 | (12,143 | ) | 13 | 47,485 | (1,533 | ) | |||||||||||||||||||||||||
Mortgage revenue bond | 15,427 | — | — | 15,427 | — | — | — | — | — | — | ||||||||||||||||||||||||||||
$ | 1,118,350 | $ | 2,662 | $ | (15,830 | ) | $ | 1,105,182 | 106 | $ | 833,130 | $ | (14,153 | ) | 14 | $ | 50,970 | $ | (1,677 | ) |
September 30, 2023 | Amortized cost | Fair value | ||||||||||||
(in thousands) | ||||||||||||||
Available-for-sale | ||||||||||||||
Due in one year or less | $ | 1,811 | $ | 1,782 | ||||||||||
Due after one year through five years | 115,714 | 104,970 | ||||||||||||
Due after five years through ten years | 14,494 | 14,494 | ||||||||||||
Due after ten years | — | — | ||||||||||||
132,019 | 121,246 | |||||||||||||
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies | 1,427,186 | 1,145,166 | ||||||||||||
Total available-for-sale securities | $ | 1,559,205 | $ | 1,266,412 | ||||||||||
Held-to-maturity | ||||||||||||||
Due in one year or less | $ | — | $ | — | ||||||||||
Due after one year through five years | 39,824 | 34,133 | ||||||||||||
Due after five years through ten years | 20,088 | 16,238 | ||||||||||||
Due after ten years | — | — | ||||||||||||
59,912 | 50,371 | |||||||||||||
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies | 1,152,093 | 1,001,850 | ||||||||||||
Total held-to-maturity securities | $ | 1,212,005 | $ | 1,052,221 |
September 30, 2017 | Amortized cost | Fair value | ||||||
(in thousands) | ||||||||
Due in one year or less | $ | 9,998 | $ | 9,999 | ||||
Due after one year through five years | 77,138 | 77,331 | ||||||
Due after five years through ten years | 81,464 | 81,170 | ||||||
Due after ten years | 29,362 | 29,045 | ||||||
197,962 | 197,545 | |||||||
Mortgage-related securities-FNMA, FHLMC and GNMA | 1,131,245 | 1,122,565 | ||||||
Total available-for-sale securities | $ | 1,329,207 | $ | 1,320,110 |
September 30, 2017 | December 31, 2016 | ||||||
(in thousands) | |||||||
Real estate: | |||||||
Residential 1-4 family | $ | 2,066,023 | $ | 2,048,051 | |||
Commercial real estate | 745,583 | 800,395 | |||||
Home equity line of credit | 905,249 | 863,163 | |||||
Residential land | 18,611 | 18,889 | |||||
Commercial construction | 128,407 | 126,768 | |||||
Residential construction | 13,031 | 16,080 | |||||
Total real estate | 3,876,904 | 3,873,346 | |||||
Commercial | 589,669 | 692,051 | |||||
Consumer | 211,571 | 178,222 | |||||
Total loans | 4,678,144 | 4,743,619 | |||||
Less: Deferred fees and discounts | (1,863 | ) | (4,926 | ) | |||
Allowance for loan losses | (53,047 | ) | (55,533 | ) | |||
Total loans, net | $ | 4,623,234 | $ | 4,683,160 |
September 30, 2023 | December 31, 2022 | ||||||||||
(in thousands) | |||||||||||
Real estate: | |||||||||||
Residential 1-4 family | $ | 2,566,300 | $ | 2,479,637 | |||||||
Commercial real estate | 1,400,570 | 1,358,123 | |||||||||
Home equity line of credit | 1,032,749 | 1,002,905 | |||||||||
Residential land | 20,245 | 20,679 | |||||||||
Commercial construction | 168,539 | 88,489 | |||||||||
Residential construction | 17,295 | 20,788 | |||||||||
Total real estate | 5,205,698 | 4,970,621 | |||||||||
Commercial | 732,458 | 779,691 | |||||||||
Consumer | 282,946 | 254,709 | |||||||||
Total loans | 6,221,102 | 6,005,021 | |||||||||
Less: Deferred fees and discounts | (30,096) | (26,115) | |||||||||
Allowance for credit losses | (76,366) | (72,216) | |||||||||
Total loans, net | $ | 6,114,640 | $ | 5,906,690 |
(in thousands) | Residential 1-4 family | Commercial real estate | Home equity line of credit | Residential land | Commercial construction | Residential construction | Commercial loans | Consumer loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Three months ended September 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,708 | $ | 20,278 | $ | 7,139 | $ | 653 | $ | 2,549 | $ | 26 | $ | 11,358 | $ | 22,357 | $ | 69,068 | ||||||||||||||||||||||||||||||||||||||
Charge-offs | — | — | — | — | — | — | (125) | (2,667) | (2,792) | |||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 57 | — | 131 | 1 | — | — | 725 | 841 | 1,755 | |||||||||||||||||||||||||||||||||||||||||||||||
Provision | 1,702 | 2,180 | 505 | (33) | 1,075 | 16 | (1,175) | 4,065 | 8,335 | |||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 6,467 | $ | 22,458 | $ | 7,775 | $ | 621 | $ | 3,624 | $ | 42 | $ | 10,783 | $ | 24,596 | $ | 76,366 | ||||||||||||||||||||||||||||||||||||||
Three months ended September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 8,520 | $ | 20,900 | $ | 6,096 | $ | 677 | $ | 2,634 | $ | 46 | $ | 12,413 | $ | 18,170 | $ | 69,456 | ||||||||||||||||||||||||||||||||||||||
Charge-offs | — | — | — | — | — | — | (143) | (1,503) | (1,646) | |||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 2 | — | 14 | — | — | — | 303 | 963 | 1,282 | |||||||||||||||||||||||||||||||||||||||||||||||
Provision | (938) | 136 | (167) | 12 | (1,635) | 3 | 378 | 3,525 | 1,314 | |||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 7,584 | $ | 21,036 | $ | 5,943 | $ | 689 | $ | 999 | $ | 49 | $ | 12,951 | $ | 21,155 | $ | 70,406 | ||||||||||||||||||||||||||||||||||||||
Nine months ended September 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 6,270 | $ | 21,898 | $ | 6,125 | $ | 717 | $ | 1,195 | $ | 46 | $ | 12,426 | $ | 23,539 | $ | 72,216 | ||||||||||||||||||||||||||||||||||||||
Charge-offs | (990) | — | (360) | — | — | — | (509) | (7,558) | (9,417) | |||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 63 | — | 165 | 4 | — | — | 1,329 | 2,653 | 4,214 | |||||||||||||||||||||||||||||||||||||||||||||||
Provision | 1,124 | 560 | 1,845 | (100) | 2,429 | (4) | (2,463) | 5,962 | 9,353 | |||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 6,467 | $ | 22,458 | $ | 7,775 | $ | 621 | $ | 3,624 | $ | 42 | $ | 10,783 | $ | 24,596 | $ | 76,366 | ||||||||||||||||||||||||||||||||||||||
Nine months ended September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 6,545 | $ | 24,696 | $ | 5,657 | $ | 646 | $ | 2,186 | $ | 18 | $ | 15,798 | $ | 15,584 | $ | 71,130 | ||||||||||||||||||||||||||||||||||||||
Charge-offs | — | — | — | — | — | — | (367) | (4,354) | (4,721) | |||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | 13 | — | 56 | 101 | — | — | 1,055 | 2,964 | 4,189 | |||||||||||||||||||||||||||||||||||||||||||||||
Provision | 1,026 | (3,660) | 230 | (58) | (1,187) | 31 | (3,535) | 6,961 | (192) | |||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 7,584 | $ | 21,036 | $ | 5,943 | $ | 689 | $ | 999 | $ | 49 | $ | 12,951 | $ | 21,155 | $ | 70,406 |
(in thousands) | Residential 1-4 family | Commercial real estate | Home equity line of credit | Residential land | Commercial construction | Residential construction | Commercial loans | Consumer loans | Unallo-cated | Total | ||||||||||||||||||||||||||||||
Three months ended September 30, 2017 | ||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 3,130 | $ | 18,840 | $ | 5,527 | $ | 1,264 | $ | 4,706 | $ | 9 | $ | 14,552 | $ | 8,328 | $ | — | $ | 56,356 | ||||||||||||||||||||
Charge-offs | (522 | ) | — | — | — | — | — | (1,215 | ) | (3,160 | ) | — | (4,897 | ) | ||||||||||||||||||||||||||
Recoveries | 33 | — | 164 | 259 | — | — | 326 | 316 | — | 1,098 | ||||||||||||||||||||||||||||||
Provision | 347 | (2,800 | ) | (36 | ) | (141 | ) | 370 | 2 | (595 | ) | 3,343 | — | 490 | ||||||||||||||||||||||||||
Ending balance | $ | 2,988 | $ | 16,040 | $ | 5,655 | $ | 1,382 | $ | 5,076 | $ | 11 | $ | 13,068 | $ | 8,827 | $ | — | $ | 53,047 | ||||||||||||||||||||
Three months ended September 30, 2016 | ||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,384 | $ | 13,561 | $ | 7,836 | $ | 1,689 | $ | 6,993 | $ | 12 | $ | 17,085 | $ | 3,771 | $ | — | $ | 55,331 | ||||||||||||||||||||
Charge-offs | (373 | ) | — | (108 | ) | — | — | — | (833 | ) | (1,879 | ) | — | (3,193 | ) | |||||||||||||||||||||||||
Recoveries | 92 | — | 15 | 187 | — | — | 347 | 211 | — | 852 | ||||||||||||||||||||||||||||||
Provision | 154 | 1,289 | (248 | ) | 23 | 179 | (2 | ) | 2,457 | 1,895 | — | 5,747 | ||||||||||||||||||||||||||||
Ending balance | $ | 4,257 | $ | 14,850 | $ | 7,495 | $ | 1,899 | $ | 7,172 | $ | 10 | $ | 19,056 | $ | 3,998 | $ | — | $ | 58,737 | ||||||||||||||||||||
Nine months ended September 30, 2017 | ||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 2,873 | $ | 16,004 | $ | 5,039 | $ | 1,738 | $ | 6,449 | $ | 12 | $ | 16,618 | $ | 6,800 | $ | — | $ | 55,533 | ||||||||||||||||||||
Charge-offs | (528 | ) | — | (14 | ) | (92 | ) | — | — | (3,477 | ) | (8,360 | ) | — | (12,471 | ) | ||||||||||||||||||||||||
Recoveries | 91 | — | 294 | 477 | — | — | 922 | 970 | — | 2,754 | ||||||||||||||||||||||||||||||
Provision | 552 | 36 | 336 | (741 | ) | (1,373 | ) | (1 | ) | (995 | ) | 9,417 | — | 7,231 | ||||||||||||||||||||||||||
Ending balance | $ | 2,988 | $ | 16,040 | $ | 5,655 | $ | 1,382 | $ | 5,076 | $ | 11 | $ | 13,068 | $ | 8,827 | $ | — | $ | 53,047 | ||||||||||||||||||||
September 30, 2017 | ||||||||||||||||||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 1,317 | $ | 72 | $ | 409 | $ | 373 | $ | — | $ | — | $ | 667 | $ | 30 | $ | 2,868 | ||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 1,671 | $ | 15,968 | $ | 5,246 | $ | 1,009 | $ | 5,076 | $ | 11 | $ | 12,401 | $ | 8,797 | $ | — | $ | 50,179 | ||||||||||||||||||||
Financing Receivables: | ||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 2,066,023 | $ | 745,583 | $ | 905,249 | $ | 18,611 | $ | 128,407 | $ | 13,031 | $ | 589,669 | $ | 211,571 | $ | 4,678,144 | ||||||||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 19,757 | $ | 1,281 | $ | 7,078 | $ | 2,385 | $ | — | $ | — | $ | 5,486 | $ | 67 | $ | 36,054 | ||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 2,046,266 | $ | 744,302 | $ | 898,171 | $ | 16,226 | $ | 128,407 | $ | 13,031 | $ | 584,183 | $ | 211,504 | $ | 4,642,090 | ||||||||||||||||||||||
Nine months ended September 30, 2016 | ||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,186 | $ | 11,342 | $ | 7,260 | $ | 1,671 | $ | 4,461 | $ | 13 | $ | 17,208 | $ | 3,897 | $ | — | $ | 50,038 | ||||||||||||||||||||
Charge-offs | (433 | ) | — | (108 | ) | — | — | — | (3,138 | ) | (4,977 | ) | — | (8,656 | ) | |||||||||||||||||||||||||
Recoveries | 144 | — | 46 | 306 | — | — | 907 | 686 | — | 2,089 | ||||||||||||||||||||||||||||||
Provision | 360 | 3,508 | 297 | (78 | ) | 2,711 | (3 | ) | 4,079 | 4,392 | — | 15,266 | ||||||||||||||||||||||||||||
Ending balance | $ | 4,257 | $ | 14,850 | $ | 7,495 | $ | 1,899 | $ | 7,172 | $ | 10 | $ | 19,056 | $ | 3,998 | $ | — | $ | 58,737 | ||||||||||||||||||||
December 31, 2016 | ||||||||||||||||||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 1,352 | $ | 80 | $ | 215 | $ | 789 | $ | — | $ | — | $ | 1,641 | $ | 6 | $ | 4,083 | ||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 1,521 | $ | 15,924 | $ | 4,824 | $ | 949 | $ | 6,449 | $ | 12 | $ | 14,977 | $ | 6,794 | $ | — | $ | 51,450 | ||||||||||||||||||||
Financing Receivables: | ||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 2,048,051 | $ | 800,395 | $ | 863,163 | $ | 18,889 | $ | 126,768 | $ | 16,080 | $ | 692,051 | $ | 178,222 | $ | 4,743,619 | ||||||||||||||||||||||
Ending balance: individually evaluated for impairment | $ | 19,854 | $ | 1,569 | $ | 6,158 | $ | 3,629 | $ | — | $ | — | $ | 20,539 | $ | 10 | $ | 51,759 | ||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 2,028,197 | $ | 798,826 | $ | 857,005 | $ | 15,260 | $ | 126,768 | $ | 16,080 | $ | 671,512 | $ | 178,212 | $ | 4,691,860 |
(in thousands) | Home equity line of credit | Commercial construction | Commercial loans | Total | ||||||||||||||||||||||
Three months ended September 30, 2023 | ||||||||||||||||||||||||||
Allowance for loan commitments: | ||||||||||||||||||||||||||
Beginning balance | $ | 600 | $ | 3,800 | $ | 200 | $ | 4,600 | ||||||||||||||||||
Provision | — | 500 | — | 500 | ||||||||||||||||||||||
Ending balance | $ | 600 | $ | 4,300 | $ | 200 | $ | 5,100 | ||||||||||||||||||
Three months ended September 30, 2022 | ||||||||||||||||||||||||||
Allowance for loan commitments: | ||||||||||||||||||||||||||
Beginning balance | $ | 400 | $ | 4,100 | $ | 1,400 | $ | 5,900 | ||||||||||||||||||
Provision | — | (1,500) | — | (1,500) | ||||||||||||||||||||||
Ending balance | $ | 400 | $ | 2,600 | $ | 1,400 | $ | 4,400 | ||||||||||||||||||
Nine months ended September 30, 2023 | ||||||||||||||||||||||||||
Allowance for loan commitments: | ||||||||||||||||||||||||||
Beginning balance | $ | 400 | $ | 2,600 | $ | 1,400 | $ | 4,400 | ||||||||||||||||||
Provision | 200 | 1,700 | (1,200) | 700 | ||||||||||||||||||||||
Ending balance | $ | 600 | $ | 4,300 | $ | 200 | $ | 5,100 | ||||||||||||||||||
Nine months ended September 30, 2022 | ||||||||||||||||||||||||||
Allowance for loan commitments: | ||||||||||||||||||||||||||
Beginning balance | $ | 400 | $ | 3,700 | $ | 800 | $ | 4,900 | ||||||||||||||||||
Provision | — | (1,100) | 600 | (500) | ||||||||||||||||||||||
Ending balance | $ | 400 | $ | 2,600 | $ | 1,400 | $ | 4,400 |
Term Loans by Origination Year | Revolving Loans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | Prior | Revolving | Converted to term loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | $ | 199,880 | $ | 414,053 | $ | 741,401 | $ | 405,552 | $ | 107,566 | $ | 692,167 | $ | — | $ | — | $ | 2,560,619 | ||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | 267 | — | 2,654 | — | — | 2,921 | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | 973 | — | — | 973 | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | 1,787 | — | — | 1,787 | |||||||||||||||||||||||||||||||||||||||||||||||
199,880 | 414,053 | 741,401 | 405,819 | 107,566 | 697,581 | — | — | 2,566,300 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | — | — | — | 990 | — | — | 990 | |||||||||||||||||||||||||||||||||||||||||||||||
Home equity line of credit | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | — | — | — | — | — | — | 976,029 | 54,579 | 1,030,608 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | — | — | 463 | 246 | 709 | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | — | 350 | 321 | 671 | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | — | 495 | 266 | 761 | |||||||||||||||||||||||||||||||||||||||||||||||
— | — | — | — | — | — | 977,337 | 55,412 | 1,032,749 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | — | — | — | — | 77 | 283 | 360 | |||||||||||||||||||||||||||||||||||||||||||||||
Residential land | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | 3,077 | 5,118 | 7,549 | 3,518 | — | 983 | — | — | 20,245 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
3,077 | 5,118 | 7,549 | 3,518 | — | 983 | — | — | 20,245 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Residential construction | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | 2,780 | 11,019 | 3,496 | — | — | — | — | — | 17,295 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
2,780 | 11,019 | 3,496 | — | — | — | — | — | 17,295 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | 82,282 | 164,693 | 12,203 | 2,394 | 1,010 | 222 | 10,345 | 3,413 | 276,562 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | 822 | 1,882 | 122 | 43 | 49 | 1 | 46 | 156 | 3,121 | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | 362 | 933 | 108 | 35 | 52 | — | 32 | 81 | 1,603 | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | 375 | 785 | 102 | 33 | 26 | 2 | 151 | 186 | 1,660 | |||||||||||||||||||||||||||||||||||||||||||||||
83,841 | 168,293 | 12,535 | 2,505 | 1,137 | 225 | 10,574 | 3,836 | 282,946 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | 850 | 4,637 | 840 | 163 | 363 | 39 | 279 | 387 | 7,558 | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 81,287 | 390,352 | 177,125 | 265,808 | 66,112 | 329,235 | 15,482 | — | 1,325,401 | |||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | — | 11,214 | 3,381 | 14,452 | 22,367 | — | — | 51,414 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard | 5,386 | — | 1,549 | — | 11,048 | 5,772 | — | — | 23,755 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
86,673 | 390,352 | 189,888 | 269,189 | 91,612 | 357,374 | 15,482 | — | 1,400,570 |
September 30, 2017 | December 31, 2016 | |||||||||||||||||||||||
(in thousands) | Commercial real estate | Commercial construction | Commercial | Commercial real estate | Commercial construction | Commercial | ||||||||||||||||||
Grade: | ||||||||||||||||||||||||
Pass | $ | 647,599 | $ | 103,892 | $ | 539,336 | $ | 701,657 | $ | 102,955 | $ | 614,139 | ||||||||||||
Special mention | 44,088 | 22,500 | 25,053 | 65,541 | — | 25,229 | ||||||||||||||||||
Substandard | 53,896 | 2,015 | 23,130 | 33,197 | 23,813 | 52,683 | ||||||||||||||||||
Doubtful | — | — | 2,150 | — | — | — | ||||||||||||||||||
Loss | — | — | — | — | — | — | ||||||||||||||||||
Total | $ | 745,583 | $ | 128,407 | $ | 589,669 | $ | 800,395 | $ | 126,768 | $ | 692,051 |
Term Loans by Origination Year | Revolving Loans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | Prior | Revolving | Converted to term loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial construction | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 10,643 | 21,440 | 66,143 | 356 | — | — | 69,957 | — | 168,539 | |||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
10,643 | 21,440 | 66,143 | 356 | — | — | 69,957 | — | 168,539 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 82,145 | 209,364 | 124,453 | 75,753 | 46,291 | 81,409 | 81,627 | 9,560 | 710,602 | |||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | 1,945 | — | 970 | — | 272 | — | 7,151 | — | 10,338 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | 3,054 | 2,040 | 230 | 763 | 3,409 | 1,506 | 516 | 11,518 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
84,090 | 212,418 | 127,463 | 75,983 | 47,326 | 84,818 | 90,284 | 10,076 | 732,458 | ||||||||||||||||||||||||||||||||||||||||||||||||
Current YTD period | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross charge-offs | — | — | 51 | — | — | — | 177 | 281 | 509 | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans | $ | 470,984 | $ | 1,222,693 | $ | 1,148,475 | $ | 757,370 | $ | 247,641 | $ | 1,140,981 | $ | 1,163,634 | $ | 69,324 | $ | 6,221,102 |
Term Loans by Origination Year | Revolving Loans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2022 | 2021 | 2020 | 2019 | 2018 | Prior | Revolving | Converted to term loans | Total | |||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | $ | 432,707 | $ | 755,056 | $ | 423,455 | $ | 113,096 | $ | 51,860 | $ | 698,354 | $ | — | $ | — | $ | 2,474,528 | ||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | 448 | 1,098 | — | — | 1,546 | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | 268 | — | — | 90 | — | — | 358 | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | 809 | 2,396 | — | — | 3,205 | |||||||||||||||||||||||||||||||||||||||||||||||
432,707 | 755,056 | 423,723 | 113,096 | 53,117 | 701,938 | — | — | 2,479,637 | ||||||||||||||||||||||||||||||||||||||||||||||||
Home equity line of credit | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | — | — | — | — | — | — | 959,131 | 40,814 | 999,945 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | — | — | 1,103 | 209 | 1,312 | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | — | 209 | 226 | 435 | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | — | 587 | 626 | 1,213 | |||||||||||||||||||||||||||||||||||||||||||||||
— | — | — | — | — | — | 961,030 | 41,875 | 1,002,905 | ||||||||||||||||||||||||||||||||||||||||||||||||
Residential land | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | 5,245 | 9,010 | 5,222 | 203 | 522 | 477 | — | — | 20,679 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
5,245 | 9,010 | 5,222 | 203 | 522 | 477 | — | — | 20,679 | ||||||||||||||||||||||||||||||||||||||||||||||||
Residential construction | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | 7,986 | 11,624 | 1,178 | — | — | — | — | — | 20,788 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
7,986 | 11,624 | 1,178 | — | — | — | — | — | 20,788 | ||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current | 199,574 | 21,330 | 5,543 | 7,580 | 527 | 140 | 10,810 | 4,782 | 250,286 | |||||||||||||||||||||||||||||||||||||||||||||||
30-59 days past due | 1,110 | 287 | 65 | 239 | 30 | — | 81 | 167 | 1,979 | |||||||||||||||||||||||||||||||||||||||||||||||
60-89 days past due | 756 | 163 | 88 | 137 | 19 | — | 45 | 107 | 1,315 | |||||||||||||||||||||||||||||||||||||||||||||||
Greater than 89 days past due | 621 | 105 | 37 | 176 | 28 | — | 20 | 142 | 1,129 | |||||||||||||||||||||||||||||||||||||||||||||||
202,061 | 21,885 | 5,733 | 8,132 | 604 | 140 | 10,956 | 5,198 | 254,709 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 390,206 | 177,130 | 283,321 | 51,542 | 63,084 | 278,280 | 8,235 | — | 1,251,798 | |||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | 11,250 | 3,446 | 40,423 | — | 24,466 | — | — | 79,585 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | — | 665 | 11,357 | — | 14,718 | — | — | 26,740 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
390,206 | 188,380 | 287,432 | 103,322 | 63,084 | 317,464 | 8,235 | — | 1,358,123 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial construction | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 15,094 | 47,478 | 44 | — | — | — | 25,873 | — | 88,489 | |||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
15,094 | 47,478 | 44 | — | — | — | 25,873 | — | 88,489 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass | 239,852 | 185,013 | 85,220 | 68,161 | 46,142 | 53,192 | 60,871 | 13,964 | 752,415 | |||||||||||||||||||||||||||||||||||||||||||||||
Special Mention | — | — | — | 2,374 | — | 645 | 9,005 | 8 | 12,032 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard | 3,322 | 2,305 | 401 | 1,304 | 1,346 | 3,849 | 1,664 | 1,053 | 15,244 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
243,174 | 187,318 | 85,621 | 71,839 | 47,488 | 57,686 | 71,540 | 15,025 | 779,691 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total loans | $ | 1,296,473 | $ | 1,220,751 | $ | 808,953 | $ | 296,592 | $ | 164,815 | $ | 1,077,705 | $ | 1,077,634 | $ | 62,098 | $ | 6,005,021 |
(in thousands) | 30-59 days past due | 60-89 days past due | Greater than 90 days | Total past due | Current | Total financing receivables | Amortized cost> 90 days and accruing | |||||||||||||||||||||||||||||||||||||
September 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | $ | 2,921 | $ | 973 | $ | 1,787 | $ | 5,681 | $ | 2,560,619 | $ | 2,566,300 | $ | — | ||||||||||||||||||||||||||||||
Commercial real estate | — | — | — | — | 1,400,570 | 1,400,570 | — | |||||||||||||||||||||||||||||||||||||
Home equity line of credit | 709 | 671 | 761 | 2,141 | 1,030,608 | 1,032,749 | — | |||||||||||||||||||||||||||||||||||||
Residential land | — | — | — | — | 20,245 | 20,245 | — | |||||||||||||||||||||||||||||||||||||
Commercial construction | — | — | — | — | 168,539 | 168,539 | — | |||||||||||||||||||||||||||||||||||||
Residential construction | — | — | — | — | 17,295 | 17,295 | — | |||||||||||||||||||||||||||||||||||||
Commercial | 575 | 100 | 77 | 752 | 731,706 | 732,458 | — | |||||||||||||||||||||||||||||||||||||
Consumer | 3,121 | 1,603 | 1,660 | 6,384 | 276,562 | 282,946 | — | |||||||||||||||||||||||||||||||||||||
Total loans | $ | 7,326 | $ | 3,347 | $ | 4,285 | $ | 14,958 | $ | 6,206,144 | $ | 6,221,102 | $ | — | ||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | $ | 1,546 | $ | 358 | $ | 3,205 | $ | 5,109 | $ | 2,474,528 | $ | 2,479,637 | $ | — | ||||||||||||||||||||||||||||||
Commercial real estate | 508 | 217 | — | 725 | 1,357,398 | 1,358,123 | — | |||||||||||||||||||||||||||||||||||||
Home equity line of credit | 1,312 | 435 | 1,213 | 2,960 | 999,945 | 1,002,905 | — | |||||||||||||||||||||||||||||||||||||
Residential land | — | — | — | — | 20,679 | 20,679 | — | |||||||||||||||||||||||||||||||||||||
Commercial construction | — | — | — | — | 88,489 | 88,489 | — | |||||||||||||||||||||||||||||||||||||
Residential construction | — | — | — | — | 20,788 | 20,788 | — | |||||||||||||||||||||||||||||||||||||
Commercial | 614 | 18 | 77 | 709 | 778,982 | 779,691 | — | |||||||||||||||||||||||||||||||||||||
Consumer | 1,979 | 1,315 | 1,129 | 4,423 | 250,286 | 254,709 | — | |||||||||||||||||||||||||||||||||||||
Total loans | $ | 5,959 | $ | 2,343 | $ | 5,624 | $ | 13,926 | $ | 5,991,095 | $ | 6,005,021 | $ | — |
(in thousands) | 30-59 days past due | 60-89 days past due | Greater than 90 days | Total past due | Current | Total financing receivables | Recorded investment> 90 days and accruing | |||||||||||||||||||||
September 30, 2017 | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 3,905 | $ | 1,513 | $ | 4,452 | $ | 9,870 | $ | 2,056,153 | $ | 2,066,023 | $ | — | ||||||||||||||
Commercial real estate | 5,414 | — | — | 5,414 | 740,169 | 745,583 | — | |||||||||||||||||||||
Home equity line of credit | 1,936 | 177 | 1,367 | 3,480 | 901,769 | 905,249 | — | |||||||||||||||||||||
Residential land | 498 | 984 | 497 | 1,979 | 16,632 | 18,611 | — | |||||||||||||||||||||
Commercial construction | — | — | — | — | 128,407 | 128,407 | — | |||||||||||||||||||||
Residential construction | — | — | — | — | 13,031 | 13,031 | — | |||||||||||||||||||||
Commercial | 1,095 | 218 | 648 | 1,961 | 587,708 | 589,669 | — | |||||||||||||||||||||
Consumer | 2,508 | 1,465 | 1,178 | 5,151 | 206,420 | 211,571 | — | |||||||||||||||||||||
Total loans | $ | 15,356 | $ | 4,357 | $ | 8,142 | $ | 27,855 | $ | 4,650,289 | $ | 4,678,144 | $ | — | ||||||||||||||
December 31, 2016 | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 5,467 | $ | 2,338 | $ | 3,505 | $ | 11,310 | $ | 2,036,741 | $ | 2,048,051 | $ | — | ||||||||||||||
Commercial real estate | 2,416 | — | — | 2,416 | 797,979 | 800,395 | — | |||||||||||||||||||||
Home equity line of credit | 1,263 | 381 | 1,342 | 2,986 | 860,177 | 863,163 | — | |||||||||||||||||||||
Residential land | — | — | 255 | 255 | 18,634 | 18,889 | — | |||||||||||||||||||||
Commercial construction | — | — | — | — | 126,768 | 126,768 | — | |||||||||||||||||||||
Residential construction | — | — | — | — | 16,080 | 16,080 | — | |||||||||||||||||||||
Commercial | 413 | 510 | 1,303 | 2,226 | 689,825 | 692,051 | — | |||||||||||||||||||||
Consumer | 1,945 | 1,001 | 963 | 3,909 | 174,313 | 178,222 | — | |||||||||||||||||||||
Total loans | $ | 11,504 | $ | 4,230 | $ | 7,368 | $ | 23,102 | $ | 4,720,517 | $ | 4,743,619 | $ | — |
(in thousands) | September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||||||||||||||
With a Related ACL | Without a Related ACL | Total | With a Related ACL | Without a Related ACL | Total | |||||||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | $ | 573 | $ | 2,500 | $ | 3,073 | $ | 4,198 | $ | 2,981 | $ | 7,179 | ||||||||||||||||||||||||||
Commercial real estate | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Home equity line of credit | 2,764 | 1,017 | 3,781 | 3,654 | 1,442 | 5,096 | ||||||||||||||||||||||||||||||||
Residential land | 106 | — | 106 | 420 | — | 420 | ||||||||||||||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Residential construction | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Commercial | 508 | — | 508 | 2,183 | — | 2,183 | ||||||||||||||||||||||||||||||||
Consumer | 2,414 | — | 2,414 | 1,588 | — | 1,588 | ||||||||||||||||||||||||||||||||
Total | $ | 6,365 | $ | 3,517 | $ | 9,882 | $ | 12,043 | $ | 4,423 | $ | 16,466 | ||||||||||||||||||||||||||
(in thousands) | September 30, 2017 | December 31, 2016 | ||||||
Real estate: | ||||||||
Residential 1-4 family | $ | 12,853 | $ | 11,154 | ||||
Commercial real estate | — | 223 | ||||||
Home equity line of credit | 4,000 | 3,080 | ||||||
Residential land | 1,022 | 878 | ||||||
Commercial construction | — | — | ||||||
Residential construction | — | — | ||||||
Commercial | 3,691 | 6,708 | ||||||
Consumer | 1,791 | 1,282 | ||||||
Total nonaccrual loans | $ | 23,357 | $ | 23,325 | ||||
Real estate: | ||||||||
Residential 1-4 family | $ | — | $ | — | ||||
Commercial real estate | — | — | ||||||
Home equity line of credit | — | — | ||||||
Residential land | — | — | ||||||
Commercial construction | — | — | ||||||
Residential construction | — | — | ||||||
Commercial | — | — | ||||||
Consumer | — | — | ||||||
Total accruing loans 90 days or more past due | $ | — | $ | — | ||||
Real estate: | ||||||||
Residential 1-4 family | $ | 11,592 | $ | 14,450 | ||||
Commercial real estate | 1,281 | 1,346 | ||||||
Home equity line of credit | 5,250 | 4,934 | ||||||
Residential land | 1,555 | 2,751 | ||||||
Commercial construction | — | — | ||||||
Residential construction | — | — | ||||||
Commercial | 2,052 | 14,146 | ||||||
Consumer | 67 | 10 | ||||||
Total troubled debt restructured loans not included above | $ | 21,797 | $ | 37,637 |
(in thousands) | December 31, 2022 | |||||||||||||
Real estate: | ||||||||||||||
Residential 1-4 family | $ | 8,821 | ||||||||||||
Commercial real estate | 9,477 | |||||||||||||
Home equity line of credit | 4,404 | |||||||||||||
Residential land | 782 | |||||||||||||
Commercial construction | — | |||||||||||||
Residential construction | — | |||||||||||||
Commercial | 6,596 | |||||||||||||
Consumer | 50 | |||||||||||||
Total troubled debt restructured loans accruing interest | $ | 30,130 |
Three months ended September 30, 2022 | Nine months ended September 30, 2022 | |||||||||||||||||||||||||||||||||||||
(dollars in thousands) | Number of contracts | Outstanding recorded investment (as of period end)1 | Related allowance (as of period end) | Number of contracts | Outstanding recorded investment (as of period end)1 | Related allowance (as of period end) | ||||||||||||||||||||||||||||||||
Troubled debt restructurings | ||||||||||||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | 2 | $ | 512 | $ | — | 3 | $ | 893 | $ | 135 | ||||||||||||||||||||||||||||
Commercial real estate | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Home equity line of credit | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Residential land | 1 | 204 | 16 | 1 | 204 | 16 | ||||||||||||||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Residential construction | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Commercial | — | — | — | 1 | 288 | 20 | ||||||||||||||||||||||||||||||||
Consumer | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
3 | $ | 716 | $ | 16 | 5 | $ | 1,385 | $ | 171 |
September 30, 2017 | Three months ended September 30, 2017 | Nine months ended September 30, 2017 | ||||||||||||||||||||||||||
(in thousands) | Recorded investment | Unpaid principal balance | Related Allowance | Average recorded investment | Interest income recognized* | Average recorded investment | Interest income recognized* | |||||||||||||||||||||
With no related allowance recorded | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 9,987 | $ | 10,541 | $ | — | $ | 9,650 | $ | 70 | $ | 9,503 | $ | 230 | ||||||||||||||
Commercial real estate | — | — | — | — | — | 121 | 11 | |||||||||||||||||||||
Home equity line of credit | 1,565 | 1,889 | — | 1,918 | 32 | 2,108 | 97 | |||||||||||||||||||||
Residential land | 1,134 | 1,425 | — | 1,209 | 73 | 1,080 | 107 | |||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Commercial | 2,901 | 6,257 | — | 1,808 | 29 | 2,888 | 37 | |||||||||||||||||||||
Consumer | — | — | — | — | — | — | — | |||||||||||||||||||||
$ | 15,587 | $ | 20,112 | $ | — | $ | 14,585 | $ | 204 | $ | 15,700 | $ | 482 | |||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 9,770 | $ | 9,972 | $ | 1,317 | $ | 9,788 | $ | 97 | $ | 9,963 | $ | 333 | ||||||||||||||
Commercial real estate | 1,281 | 1,281 | 72 | 1,284 | 13 | 1,292 | 41 | |||||||||||||||||||||
Home equity line of credit | 5,513 | 5,543 | 409 | 5,076 | 68 | 4,670 | 164 | |||||||||||||||||||||
Residential land | 1,251 | 1,251 | 373 | 1,251 | 12 | 1,620 | 73 | |||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Commercial | 2,585 | 2,595 | 667 | 2,482 | 225 | 4,104 | 694 | |||||||||||||||||||||
Consumer | 67 | 67 | 30 | 67 | 1 | 55 | 2 | |||||||||||||||||||||
$ | 20,467 | $ | 20,709 | $ | 2,868 | $ | 19,948 | $ | 416 | $ | 21,704 | $ | 1,307 | |||||||||||||||
Total | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 19,757 | $ | 20,513 | $ | 1,317 | $ | 19,438 | $ | 167 | $ | 19,466 | $ | 563 | ||||||||||||||
Commercial real estate | 1,281 | 1,281 | 72 | 1,284 | 13 | 1,413 | 52 | |||||||||||||||||||||
Home equity line of credit | 7,078 | 7,432 | 409 | 6,994 | 100 | 6,778 | 261 | |||||||||||||||||||||
Residential land | 2,385 | 2,676 | 373 | 2,460 | 85 | 2,700 | 180 | |||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Commercial | 5,486 | 8,852 | 667 | 4,290 | 254 | 6,992 | 731 | |||||||||||||||||||||
Consumer | 67 | 67 | 30 | 67 | 1 | 55 | 2 | |||||||||||||||||||||
$ | 36,054 | $ | 40,821 | $ | 2,868 | $ | 34,533 | $ | 620 | $ | 37,404 | $ | 1,789 |
December 31, 2016 | Three months ended September 30, 2016 | Nine months ended September 30, 2016 | ||||||||||||||||||||||||||
(in thousands) | Recorded investment | Unpaid principal balance | Related allowance | Average recorded investment | Interest income recognized* | Average recorded investment | Interest income recognized* | |||||||||||||||||||||
With no related allowance recorded | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 9,571 | $ | 10,400 | $ | — | $ | 10,069 | $ | 65 | $ | 10,378 | $ | 268 | ||||||||||||||
Commercial real estate | 223 | 228 | — | 1,206 | — | 1,177 | — | |||||||||||||||||||||
Home equity line of credit | 1,500 | 1,900 | — | 1,220 | 6 | 1,035 | 15 | |||||||||||||||||||||
Residential land | 1,218 | 1,803 | — | 1,521 | 16 | 1,532 | 47 | |||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Commercial | 6,299 | 8,869 | — | 14,352 | 141 | 9,240 | 154 | |||||||||||||||||||||
Consumer | — | — | — | 10 | — | 3 | — | |||||||||||||||||||||
$ | 18,811 | $ | 23,200 | $ | — | $ | 28,378 | $ | 228 | $ | 23,365 | $ | 484 | |||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 10,283 | $ | 10,486 | $ | 1,352 | $ | 11,800 | $ | 119 | $ | 11,933 | $ | 356 | ||||||||||||||
Commercial real estate | 1,346 | 1,346 | 80 | 2,444 | — | 1,939 | — | |||||||||||||||||||||
Home equity line of credit | 4,658 | 4,712 | 215 | 4,165 | 36 | 3,470 | 91 | |||||||||||||||||||||
Residential land | 2,411 | 2,411 | 789 | 2,915 | 44 | 3,090 | 165 | |||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Commercial | 14,240 | 14,240 | 1,641 | 11,433 | 65 | 15,075 | 275 | |||||||||||||||||||||
Consumer | 10 | 10 | 6 | 11 | — | 12 | — | |||||||||||||||||||||
$ | 32,948 | $ | 33,205 | $ | 4,083 | $ | 32,768 | $ | 264 | $ | 35,519 | $ | 887 | |||||||||||||||
Total | ||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||
Residential 1-4 family | $ | 19,854 | $ | 20,886 | $ | 1,352 | $ | 21,869 | $ | 184 | $ | 22,311 | $ | 624 | ||||||||||||||
Commercial real estate | 1,569 | 1,574 | 80 | 3,650 | — | 3,116 | — | |||||||||||||||||||||
Home equity line of credit | 6,158 | 6,612 | 215 | 5,385 | 42 | 4,505 | 106 | |||||||||||||||||||||
Residential land | 3,629 | 4,214 | 789 | 4,436 | 60 | 4,622 | 212 | |||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | |||||||||||||||||||||
Commercial | 20,539 | 23,109 | 1,641 | 25,785 | 206 | 24,315 | 429 | |||||||||||||||||||||
Consumer | 10 | 10 | 6 | 21 | — | 15 | — | |||||||||||||||||||||
$ | 51,759 | $ | 56,405 | $ | 4,083 | $ | 61,146 | $ | 492 | $ | 58,884 | $ | 1,371 |
Three months ended September 30, 2017 | Nine months ended September 30, 2017 | |||||||||||||||||||||||||||||
Number of contracts | Outstanding recorded investment1 | Net increase in allowance | Number of contracts | Outstanding recorded investment1 | Net increase in allowance | |||||||||||||||||||||||||
(dollars in thousands) | Pre-modification | Post-modification | (as of period end) | Pre-modification | Post-modification | (as of period end) | ||||||||||||||||||||||||
Troubled debt restructurings | ||||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||||
Residential 1-4 family | 2 | $ | 83 | $ | 83 | $ | — | 7 | $ | 955 | $ | 963 | $ | 45 | ||||||||||||||||
Commercial real estate | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Home equity line of credit | 15 | 862 | 862 | 184 | 28 | 1,386 | 1,372 | 277 | ||||||||||||||||||||||
Residential land | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Commercial | 1 | 330 | 330 | 38 | 2 | 672 | 672 | 38 | ||||||||||||||||||||||
Consumer | — | — | — | — | 1 | 59 | 59 | 27 | ||||||||||||||||||||||
18 | $ | 1,275 | $ | 1,275 | $ | 222 | 38 | $ | 3,072 | $ | 3,066 | $ | 387 |
Three months ended September 30, 2016 | Nine months ended September 30, 2016 | |||||||||||||||||||||||||||||
Number of contracts | Outstanding recorded investment1 | Net increase in allowance | Number of contracts | Outstanding recorded investment1 | Net increase in allowance | |||||||||||||||||||||||||
(dollars in thousands) | Pre-modification | Post-modification | (as of period end) | Pre-modification | Post-modification | (as of period end) | ||||||||||||||||||||||||
Troubled debt restructurings | ||||||||||||||||||||||||||||||
Real estate: | ||||||||||||||||||||||||||||||
Residential 1-4 family | 2 | $ | 251 | $ | 251 | $ | 46 | 11 | $ | 2,239 | $ | 2,351 | $ | 305 | ||||||||||||||||
Commercial real estate | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Home equity line of credit | 12 | 1,268 | 1,268 | 237 | 30 | 2,705 | 2,705 | 492 | ||||||||||||||||||||||
Residential land | — | — | — | — | 1 | 120 | 121 | — | ||||||||||||||||||||||
Commercial construction | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Residential construction | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
Commercial | 6 | 3,462 | 3,462 | 53 | 14 | 20,119 | 20,119 | 723 | ||||||||||||||||||||||
Consumer | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
20 | $ | 4,981 | $ | 4,981 | $ | 336 | 56 | $ | 25,183 | $ | 25,296 | $ | 1,520 |
Three months ended September 30, 2017 | Nine months ended September 30, 2017 | |||||||||||
(dollars in thousands) | Number of contracts | Recorded investment | Number of contracts | Recorded investment | ||||||||
Troubled debt restructurings that subsequently defaulted | ||||||||||||
Real estate: | ||||||||||||
Residential 1-4 family | — | $ | — | 1 | $ | 222 | ||||||
Commercial real estate | — | — | — | — | ||||||||
Home equity line of credit | — | — | — | — | ||||||||
Residential land | — | — | — | — | ||||||||
Commercial construction | — | — | — | — | ||||||||
Residential construction | — | — | — | — | ||||||||
Commercial | — | — | — | — | ||||||||
Consumer | — | — | — | — | ||||||||
— | $ | — | 1 | $ | 222 |
Three months ended September 30, 2016 | Nine months ended September 30, 2016 | |||||||||||
(dollars in thousands) | Number of contracts | Recorded investment | Number of contracts | Recorded investment | ||||||||
Troubled debt restructurings that subsequently defaulted | ||||||||||||
Real estate: | ||||||||||||
Residential 1-4 family | 1 | $ | 239 | 1 | $ | 239 | ||||||
Commercial real estate | — | — | — | — | ||||||||
Home equity line of credit | — | — | — | — | ||||||||
Residential land | — | — | — | — | ||||||||
Commercial construction | — | — | — | — | ||||||||
Residential construction | — | — | — | — | ||||||||
Commercial | — | — | 1 | 25 | ||||||||
Consumer | — | — | — | — | ||||||||
1 | $ | 239 | 2 | $ | 264 |
Amortized cost | ||||||||||||||||||||
(in thousands) | September 30, 2023 | December 31, 2022 | Collateral type | |||||||||||||||||
Real estate: | ||||||||||||||||||||
Residential 1-4 family | $ | 2,584 | $ | 3,959 | Residential real estate property | |||||||||||||||
Home equity line of credit | 1,017 | 1,425 | Residential real estate property | |||||||||||||||||
Total | $ | 3,601 | $ | 5,384 |
(in thousands) | Gross carrying amount | Accumulated amortization | Valuation allowance | Net carrying amount | ||||||||||||||||||||||
September 30, 2023 | $ | 18,125 | $ | (9,749) | $ | — | $ | 8,376 | ||||||||||||||||||
December 31, 2022 | 19,544 | (10,497) | — | 9,047 |
(in thousands) | Gross carrying amount1 | Accumulated amortization1 | Valuation allowance | Net carrying amount | ||||||||||||
September 30, 2017 | $ | 18,463 | $ | (9,393 | ) | $ | — | $ | 9,070 | |||||||
December 31, 2016 | 17,271 | (7,898 | ) | — | 9,373 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Mortgage servicing rights | ||||||||||||||||
Beginning balance | $ | 9,181 | $ | 9,016 | $ | 9,373 | $ | 8,884 | ||||||||
Amount capitalized | 394 | 824 | 1,192 | 1,944 | ||||||||||||
Amortization | (505 | ) | (649 | ) | (1,495 | ) | (1,637 | ) | ||||||||
Other-than-temporary impairment | — | — | — | — | ||||||||||||
Carrying amount before valuation allowance | 9,070 | 9,191 | 9,070 | 9,191 | ||||||||||||
Valuation allowance for mortgage servicing rights | ||||||||||||||||
Beginning balance | — | — | — | — | ||||||||||||
Provision (recovery) | — | — | — | — | ||||||||||||
Other-than-temporary impairment | — | — | — | — | ||||||||||||
Ending balance | — | — | — | — | ||||||||||||
Net carrying value of mortgage servicing rights | $ | 9,070 | $ | 9,191 | $ | 9,070 | $ | 9,191 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Mortgage servicing rights | ||||||||||||||||||||||||||
Beginning balance | $ | 8,495 | $ | 9,696 | $ | 9,047 | $ | 9,950 | ||||||||||||||||||
Amount capitalized | 184 | 117 | 319 | 1,040 | ||||||||||||||||||||||
Amortization | (303) | (462) | (990) | (1,639) | ||||||||||||||||||||||
Other-than-temporary impairment | — | — | — | — | ||||||||||||||||||||||
Carrying amount before valuation allowance | 8,376 | 9,351 | 8,376 | 9,351 | ||||||||||||||||||||||
Valuation allowance for mortgage servicing rights | ||||||||||||||||||||||||||
Beginning balance | — | — | — | — | ||||||||||||||||||||||
Provision | — | — | — | — | ||||||||||||||||||||||
Other-than-temporary impairment | — | — | — | — | ||||||||||||||||||||||
Ending balance | — | — | — | — | ||||||||||||||||||||||
Net carrying value of mortgage servicing rights | $ | 8,376 | $ | 9,351 | $ | 8,376 | $ | 9,351 |
(dollars in thousands) | September 30, 2023 | December 31, 2022 | ||||||||||||
Unpaid principal balance | $ | 1,412,412 | $ | 1,451,322 | ||||||||||
Weighted average note rate | 3.44 | % | 3.38 | % | ||||||||||
Weighted average discount rate | 10.00 | % | 10.00 | % | ||||||||||
Weighted average prepayment speed | 5.58 | % | 6.56 | % |
(dollars in thousands) | September 30, 2017 | December 31, 2016 | ||||||
Unpaid principal balance | $ | 1,212,730 | $ | 1,188,380 | ||||
Weighted average note rate | 3.94 | % | 3.96 | % | ||||
Weighted average discount rate | 10.0 | % | 9.4 | % | ||||
Weighted average prepayment speed | 9.2 | % | 8.5 | % |
(dollars in thousands) | September 30, 2017 | December 31, 2016 | ||||||
Prepayment rate: | ||||||||
25 basis points adverse rate change | $ | (878 | ) | $ | (567 | ) | ||
50 basis points adverse rate change | (1,847 | ) | (1,154 | ) | ||||
Discount rate: | ||||||||
25 basis points adverse rate change | (111 | ) | (128 | ) | ||||
50 basis points adverse rate change | (220 | ) | (254 | ) |
(dollars in thousands) | September 30, 2023 | December 31, 2022 | ||||||||||||
Prepayment rate: | ||||||||||||||
25 basis points adverse rate change | $ | (90) | $ | (92) | ||||||||||
50 basis points adverse rate change | (207) | (214) | ||||||||||||
Discount rate: | ||||||||||||||
25 basis points adverse rate change | (206) | (182) | ||||||||||||
50 basis points adverse rate change | (407) | (361) |
(in millions) | Gross amount of recognized liabilities | Gross amount offset in the Balance Sheets | Net amount of liabilities presented in the Balance Sheets | |||||||||||||||||
Repurchase agreements | ||||||||||||||||||||
September 30, 2023 | $ | — | $ | — | $ | — | ||||||||||||||
December 31, 2022 | 281 | — | 281 |
(in millions) | Gross amount of recognized liabilities | Gross amount offset in the Balance Sheet | Net amount of liabilities presented in the Balance Sheet | |||
Repurchase agreements | ||||||
September 30, 2017 | $104 | $— | $104 | |||
December 31, 2016 | 93 | — | 93 |
Gross amount not offset in the Balance Sheet | ||||||||||||
(in millions) | Net amount of liabilities presented in the Balance Sheet | Financial instruments | Cash collateral pledged | |||||||||
September 30, 2017 | ||||||||||||
Financial institution | $ | — | $ | — | $ | — | ||||||
Government entities | — | — | — | |||||||||
Commercial account holders | 104 | 165 | — | |||||||||
Total | $ | 104 | $ | 165 | $ | — | ||||||
December 31, 2016 | ||||||||||||
Financial institution | $ | — | $ | — | $ | — | ||||||
Government entities | 14 | 15 | — | |||||||||
Commercial account holders | 79 | 101 | — | |||||||||
Total | $ | 93 | $ | 116 | $ | — |
Gross amount not offset in the Balance Sheets | ||||||||||||||||||||
(in millions) | Net amount of liabilities presented in the Balance Sheets | Financial instruments | Cash collateral pledged | |||||||||||||||||
Commercial account holders | ||||||||||||||||||||
September 30, 2023 | $ | — | $ | — | $ | — | ||||||||||||||
December 31, 2022 | 281 | 327 | — | |||||||||||||||||
September 30, 2023 | December 31, 2022 | |||||||||||||||||||||||||
(in thousands) | Notional amount | Fair value | Notional amount | Fair value | ||||||||||||||||||||||
Interest rate lock commitments | $ | 4,910 | $ | 54 | $ | 1,720 | $ | 9 | ||||||||||||||||||
Forward commitments | 3,500 | 15 | 1,500 | 18 |
September 30, 2017 | December 31, 2016 | |||||||||||||||
(in thousands) | Notional amount | Fair value | Notional amount | Fair value | ||||||||||||
Interest rate lock commitments | $ | 385 | $ | 7 | $ | 25,883 | $ | 421 | ||||||||
Forward commitments | 500 | (2 | ) | 30,813 | (177 | ) |
Derivative Financial Instruments Not Designated as Hedging Instruments 1 | September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||
(in thousands) | Asset derivatives | Liability derivatives | Asset derivatives | Liability derivatives | ||||||||||||||||||||||
Interest rate lock commitments | $ | 54 | $ | — | $ | 9 | $ | — | ||||||||||||||||||
Forward commitments | 15 | — | 18 | — | ||||||||||||||||||||||
$ | 69 | $ | — | $ | 27 | $ | — |
Derivative Financial Instruments Not Designated as Hedging Instruments 1 | September 30, 2017 | December 31, 2016 | ||||||||||||||
(in thousands) | Asset derivatives | Liability derivatives | Asset derivatives | Liability derivatives | ||||||||||||
Interest rate lock commitments | $ | 7 | $ | — | $ | 445 | $ | 24 | ||||||||
Forward commitments | — | 2 | 8 | 185 | ||||||||||||
$ | 7 | $ | 2 | $ | 453 | $ | 209 |
Derivative Financial Instruments Not Designated as Hedging Instruments | Location of net gains (losses) recognized in the Statements of Income | Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
Interest rate lock commitments | Mortgage banking income | $ | (34) | $ | (129) | $ | 45 | $ | (722) | |||||||||||||||||||||||
Forward commitments | Mortgage banking income | (36) | 145 | (3) | 182 | |||||||||||||||||||||||||||
$ | (70) | $ | 16 | $ | 42 | $ | (540) |
Derivative Financial Instruments Not Designated as Hedging Instruments | Location of net gains (losses) recognized in the Statement of Income | Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | ||||||||||||||
Interest rate lock commitments | Mortgage banking income | $ | (119 | ) | $ | 48 | $ | (414 | ) | $ | 459 | |||||||
Forward commitments | Mortgage banking income | (90 | ) | 103 | 175 | (134 | ) | |||||||||||
$ | (209 | ) | $ | 151 | $ | (239 | ) | $ | 325 |
Refunding Series 2017A Special Purpose Revenue Bonds | Refunding Series 2017B Special Purpose Revenue Bonds | |
Aggregate principal amount | $125 million | $140 million |
Fixed coupon interest rate | 3.10% | 4.00% |
Maturity date | May 1, 2026 | March 1, 2037 |
Department loaned the proceeds to: | ||
Hawaiian Electric | $62 million | $100 million |
Hawaii Electric Light | $8 million | $20 million |
Maui Electric | $55 million | $20 million |
Refunding Series 2007B Special Purpose Revenue Bonds | Series 2007A Special Purpose Revenue Bonds | |
Aggregate principal amount | $125 million | $140 million |
Fixed coupon interest rate | 4.60% | 4.65% |
Maturity date | May 1, 2026 | March 1, 2037 |
HEI Series 2023A | HEI Series 2023B | |||||||||||||
Aggregate principal amount | $39 million | $61 million | ||||||||||||
Fixed coupon interest rate | 6.04% | 6.10% | ||||||||||||
Maturity date | 6/15/2028 | 6/15/2033 | ||||||||||||
Series 2023A | Series 2023B | Series 2023C | |||||||||
Aggregate principal amount | $90 million | $40 million | $20 million | ||||||||
Fixed coupon interest rate | |||||||||||
Hawaiian Electric | 6.11% | 6.25% | 6.70% | ||||||||
Hawaii Electric Light | 6.25% | — | — | ||||||||
Maui Electric | 6.25% | — | — | ||||||||
Maturity date | |||||||||||
Hawaiian Electric | 2/9/2030 | 2/9/2033 | 2/9/2053 | ||||||||
Hawaii Electric Light | 2/9/2033 | — | — | ||||||||
Maui Electric | 2/9/2033 | — | — | ||||||||
Principal amount by company | |||||||||||
Hawaiian Electric | $40 million | $40 million | $20 million | ||||||||
Hawaii Electric Light | $25 million | — | — | ||||||||
Maui Electric | $25 million | — | — |
HEI Consolidated | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||||||||||||||||
(in thousands) | Net unrealized gains (losses) on securities | Unrealized gains (losses) on derivatives | Retirement benefit plans | AOCI | AOCI-Retirement benefit plans | ||||||||||||||||||||||||||||||||||||
Balance, December 31, 2022 | $ | (328,904) | $ | 1,991 | $ | (9,115) | $ | (336,028) | $ | 2,861 | |||||||||||||||||||||||||||||||
Current period other comprehensive income (loss) | (21,330) | (827) | 161 | (21,996) | (166) | ||||||||||||||||||||||||||||||||||||
Balance, September 30, 2023 | $ | (350,234) | $ | 1,164 | $ | (8,954) | $ | (358,024) | $ | 2,695 | |||||||||||||||||||||||||||||||
Balance, December 31, 2021 | $ | (32,037) | $ | (3,638) | $ | (16,858) | $ | (52,533) | $ | (3,280) | |||||||||||||||||||||||||||||||
Current period other comprehensive income (loss) | (308,229) | 6,561 | 657 | (301,011) | 210 | ||||||||||||||||||||||||||||||||||||
Balance, September 30, 2022 | $ | (340,266) | $ | 2,923 | $ | (16,201) | $ | (353,544) | $ | (3,070) |
HEI Consolidated | Hawaiian Electric Consolidated | ||||||||||||||||||||||||||
(in thousands) | Net unrealized gains (losses) on securities | Unrealized gains (losses) on derivatives | Retirement benefit plans | AOCI | Unrealized gains (losses) on derivatives | Retirement benefit plans | AOCI | ||||||||||||||||||||
Balance, December 31, 2016 | $ | (7,931 | ) | $ | (454 | ) | $ | (24,744 | ) | $ | (33,129 | ) | $ | (454 | ) | $ | 132 | $ | (322 | ) | |||||||
Current period other comprehensive income | 2,452 | 454 | 1,003 | 3,909 | 454 | 67 | 521 | ||||||||||||||||||||
Balance, September 30, 2017 | $ | (5,479 | ) | $ | — | $ | (23,741 | ) | $ | (29,220 | ) | $ | — | $ | 199 | $ | 199 | ||||||||||
Balance, December 31, 2015 | $ | (1,872 | ) | $ | (54 | ) | $ | (24,336 | ) | $ | (26,262 | ) | $ | — | $ | 925 | $ | 925 | |||||||||
Current period other comprehensive income | 7,837 | 459 | 943 | 9,239 | 405 | 7 | 412 | ||||||||||||||||||||
Balance, September 30, 2016 | $ | 5,965 | $ | 405 | $ | (23,393 | ) | $ | (17,023 | ) | $ | 405 | $ | 932 | $ | 1,337 |
Amount reclassified from AOCI | Affected line item in the Statements of Income / Balance Sheets | |||||||||||||||||||||||||||||||
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||
Net unrealized gains (losses) on available-for sale investment securities - amortization of unrealized holding losses on held-to-maturity securities | $ | 3,699 | $ | — | $ | 11,065 | $ | — | Bank revenues | |||||||||||||||||||||||
Net realized losses (gains) on derivatives qualifying as cash flow hedges | (47) | 53 | (143) | 161 | Interest expense | |||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||||||||
Amortization of prior service credit and net losses (gains) recognized during the period in net periodic benefit cost | (446) | 5,606 | (1,160) | 10,229 | See Note 9 for additional details | |||||||||||||||||||||||||||
Impact of D&Os of the PUC included in regulatory assets | 470 | (5,303) | 1,321 | (9,572) | See Note 9 for additional details | |||||||||||||||||||||||||||
Total reclassifications | $ | 3,676 | $ | 356 | $ | 11,083 | $ | 818 | ||||||||||||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||||||||||||||
Retirement benefit plans: | ||||||||||||||||||||||||||||||||
Amortization of prior service credit and net losses (gains) recognized during the period in net periodic benefit cost | $ | (547) | $ | 5,411 | $ | (1,487) | $ | 9,782 | See Note 9 for additional details | |||||||||||||||||||||||
Impact of D&Os of the PUC included in regulatory assets | 470 | (5,303) | 1,321 | (9,572) | See Note 9 for additional details | |||||||||||||||||||||||||||
Total reclassifications | $ | (77) | $ | 108 | $ | (166) | $ | 210 |
Amount reclassified from AOCI | ||||||||||||||||||
Three months ended September 30 | Nine months ended September 30 | Affected line item in the | ||||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | Statements of Income / Balance Sheets | |||||||||||||
HEI consolidated | ||||||||||||||||||
Net realized gains on securities included in net income | $ | — | $ | — | $ | — | $ | (360 | ) | Revenues-bank (net gains on sales of securities) | ||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||||
Window forward contracts | — | (173 | ) | 454 | (173 | ) | Property, plant and equipment-electric utilities | |||||||||||
Interest rate contracts (settled in 2011) | — | — | — | 54 | Interest expense | |||||||||||||
Retirement benefit plans: | ||||||||||||||||||
Amortization of prior service credit and net losses recognized during the period in net periodic benefit cost | 3,942 | 3,641 | 11,793 | 10,877 | See Note 7 for additional details | |||||||||||||
Impact of D&Os of the PUC included in regulatory assets | (3,596 | ) | (3,311 | ) | (10,790 | ) | (9,934 | ) | See Note 7 for additional details | |||||||||
Total reclassifications | $ | 346 | $ | 157 | $ | 1,457 | $ | 464 | ||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||
Derivatives qualifying as cash flow hedges: | ||||||||||||||||||
Window forward contracts | $ | — | $ | (173 | ) | $ | 454 | $ | (173 | ) | Construction in progress | |||||||
Retirement benefit plans: | ||||||||||||||||||
Amortization of prior service credit and net losses recognized during the period in net periodic benefit cost | 3,618 | 3,314 | 10,857 | 9,941 | See Note 7 for additional details | |||||||||||||
Impact of D&Os of the PUC included in regulatory assets | (3,596 | ) | (3,311 | ) | (10,790 | ) | (9,934 | ) | See Note 7 for additional details | |||||||||
Total reclassifications | $ | 22 | $ | (170 | ) | $ | 521 | $ | (166 | ) |
Three months ended September 30, 2023 | Nine months ended September 30, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Electric utility | Bank | Other | Total | Electric utility | Bank | Other | Total | ||||||||||||||||||||||||||||||||||||||||||
Revenues from contracts with customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
Electric energy sales - residential | $ | 257,790 | $ | — | $ | — | $ | 257,790 | $ | 753,207 | $ | — | $ | — | $ | 753,207 | ||||||||||||||||||||||||||||||||||
Electric energy sales - commercial | 257,876 | — | — | 257,876 | 762,454 | — | — | 762,454 | ||||||||||||||||||||||||||||||||||||||||||
Electric energy sales - large light and power | 284,607 | — | — | 284,607 | 855,396 | — | — | 855,396 | ||||||||||||||||||||||||||||||||||||||||||
Electric energy sales - other | 4,688 | — | — | 4,688 | 14,628 | — | — | 14,628 | ||||||||||||||||||||||||||||||||||||||||||
Bank fees | — | 12,067 | — | 12,067 | — | 36,370 | — | 36,370 | ||||||||||||||||||||||||||||||||||||||||||
Other sales | — | — | 5,016 | 5,016 | — | — | 13,361 | 13,361 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues from contracts with customers | 804,961 | 12,067 | 5,016 | 822,044 | 2,385,685 | 36,370 | 13,361 | 2,435,416 | ||||||||||||||||||||||||||||||||||||||||||
Revenues from other sources | ||||||||||||||||||||||||||||||||||||||||||||||||||
Regulatory revenue | (20,927) | — | — | (20,927) | 3,716 | — | — | 3,716 | ||||||||||||||||||||||||||||||||||||||||||
Bank interest and dividend income | — | 85,636 | — | 85,636 | — | 246,856 | — | 246,856 | ||||||||||||||||||||||||||||||||||||||||||
Other bank noninterest income | — | 3,271 | — | 3,271 | — | 8,490 | — | 8,490 | ||||||||||||||||||||||||||||||||||||||||||
Other | 10,953 | — | 896 | 11,849 | 30,138 | — | 1,179 | 31,317 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues from other sources | (9,974) | 88,907 | 896 | 79,829 | 33,854 | 255,346 | 1,179 | 290,379 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues | $ | 794,987 | $ | 100,974 | $ | 5,912 | $ | 901,873 | $ | 2,419,539 | $ | 291,716 | $ | 14,540 | $ | 2,725,795 | ||||||||||||||||||||||||||||||||||
Timing of revenue recognition | ||||||||||||||||||||||||||||||||||||||||||||||||||
Services/goods transferred at a point in time | $ | — | $ | 12,067 | $ | — | $ | 12,067 | $ | — | $ | 36,370 | $ | — | $ | 36,370 | ||||||||||||||||||||||||||||||||||
Services/goods transferred over time | 804,961 | — | 5,016 | 809,977 | 2,385,685 | — | 13,361 | 2,399,046 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues from contracts with customers | $ | 804,961 | $ | 12,067 | $ | 5,016 | $ | 822,044 | $ | 2,385,685 | $ | 36,370 | $ | 13,361 | $ | 2,435,416 |
Three months ended September 30, 2022 | Nine months ended September 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Electric utility | Bank | Other | Total | Electric utility | Bank | Other | Total | ||||||||||||||||||||||||||||||||||||||||||
Revenues from contracts with customers | ||||||||||||||||||||||||||||||||||||||||||||||||||
Electric energy sales - residential | $ | 306,417 | $ | — | $ | — | $ | 306,417 | $ | 790,424 | $ | — | $ | — | $ | 790,424 | ||||||||||||||||||||||||||||||||||
Electric energy sales - commercial | 309,940 | — | — | 309,940 | 794,238 | — | — | 794,238 | ||||||||||||||||||||||||||||||||||||||||||
Electric energy sales - large light and power | 351,763 | — | — | 351,763 | 886,733 | — | — | 886,733 | ||||||||||||||||||||||||||||||||||||||||||
Electric energy sales - other | 5,400 | — | — | 5,400 | 11,699 | — | — | 11,699 | ||||||||||||||||||||||||||||||||||||||||||
Bank fees | — | 12,058 | — | 12,058 | — | 36,851 | — | 36,851 | ||||||||||||||||||||||||||||||||||||||||||
Other sales | — | — | 4,760 | 4,760 | — | — | 7,208 | 7,208 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues from contracts with customers | 973,520 | 12,058 | 4,760 | 990,338 | 2,483,094 | 36,851 | 7,208 | 2,527,153 | ||||||||||||||||||||||||||||||||||||||||||
Revenues from other sources | ||||||||||||||||||||||||||||||||||||||||||||||||||
Regulatory revenue | (26,301) | — | — | (26,301) | (24,843) | — | — | (24,843) | ||||||||||||||||||||||||||||||||||||||||||
Bank interest and dividend income | — | 68,417 | — | 68,417 | — | 191,228 | — | 191,228 | ||||||||||||||||||||||||||||||||||||||||||
Other bank noninterest income | — | 936 | — | 936 | — | 3,771 | — | 3,771 | ||||||||||||||||||||||||||||||||||||||||||
Other | 8,752 | — | 55 | 8,807 | 25,385 | — | 178 | 25,563 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues from other sources | (17,549) | 69,353 | 55 | 51,859 | 542 | 194,999 | 178 | 195,719 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues | $ | 955,971 | $ | 81,411 | $ | 4,815 | $ | 1,042,197 | $ | 2,483,636 | $ | 231,850 | $ | 7,386 | $ | 2,722,872 | ||||||||||||||||||||||||||||||||||
Timing of revenue recognition | ||||||||||||||||||||||||||||||||||||||||||||||||||
Services/goods transferred at a point in time | $ | — | $ | 12,058 | $ | — | $ | 12,058 | $ | — | $ | 36,851 | $ | — | $ | 36,851 | ||||||||||||||||||||||||||||||||||
Services/goods transferred over time | 973,520 | — | 4,760 | 978,280 | 2,483,094 | — | 7,208 | 2,490,302 | ||||||||||||||||||||||||||||||||||||||||||
Total revenues from contracts with customers | $ | 973,520 | $ | 12,058 | $ | 4,760 | $ | 990,338 | $ | 2,483,094 | $ | 36,851 | $ | 7,208 | $ | 2,527,153 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||||||||||||||||||||
Pension benefits | Other benefits | Pension benefits | Other benefits | |||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||||
Service cost | $ | 11,418 | $ | 18,831 | $ | 385 | $ | 624 | $ | 34,210 | $ | 58,478 | $ | 1,072 | $ | 1,937 | ||||||||||||||||||||||||||||||||||
Interest cost | 26,022 | 20,274 | 2,075 | 1,593 | 77,265 | 59,895 | 6,389 | 4,868 | ||||||||||||||||||||||||||||||||||||||||||
Expected return on plan assets | (35,238) | (35,163) | (3,426) | (3,394) | (105,630) | (105,827) | (10,236) | (10,189) | ||||||||||||||||||||||||||||||||||||||||||
Amortization of net prior period gain | — | — | (218) | (232) | — | — | (656) | (696) | ||||||||||||||||||||||||||||||||||||||||||
Amortization of net actuarial (gain)/losses | 138 | 7,782 | (518) | (3) | 515 | 20,376 | (1,416) | (9) | ||||||||||||||||||||||||||||||||||||||||||
Net periodic pension/benefit cost (return) | 2,340 | 11,724 | (1,702) | (1,412) | 6,360 | 32,922 | (4,847) | (4,089) | ||||||||||||||||||||||||||||||||||||||||||
Impact of PUC D&Os | 17,663 | 8,758 | 1,536 | 1,289 | 53,929 | 27,861 | 4,385 | 3,725 | ||||||||||||||||||||||||||||||||||||||||||
Net periodic pension/benefit cost (return) (adjusted for impact of PUC D&Os) | $ | 20,003 | $ | 20,482 | $ | (166) | $ | (123) | $ | 60,289 | $ | 60,783 | $ | (462) | $ | (364) | ||||||||||||||||||||||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||||
Service cost | $ | 11,071 | $ | 18,248 | $ | 380 | $ | 617 | $ | 33,108 | $ | 56,883 | $ | 1,060 | $ | 1,915 | ||||||||||||||||||||||||||||||||||
Interest cost | 24,116 | 18,850 | 1,981 | 1,525 | 71,513 | 55,773 | 6,107 | 4,670 | ||||||||||||||||||||||||||||||||||||||||||
Expected return on plan assets | (33,029) | (33,314) | (3,374) | (3,343) | (98,972) | (100,405) | (10,081) | (10,035) | ||||||||||||||||||||||||||||||||||||||||||
Amortization of net prior period gain | — | — | (218) | (232) | — | — | (654) | (694) | ||||||||||||||||||||||||||||||||||||||||||
Amortization of net actuarial (gain)/losses | (16) | 7,519 | (503) | — | 21 | 19,769 | (1,370) | — | ||||||||||||||||||||||||||||||||||||||||||
Net periodic pension/benefit cost (return) | 2,142 | 11,303 | (1,734) | (1,433) | 5,670 | 32,020 | (4,938) | (4,144) | ||||||||||||||||||||||||||||||||||||||||||
Impact of PUC D&Os | 17,663 | 8,758 | 1,536 | 1,289 | 53,929 | 27,861 | 4,385 | 3,725 | ||||||||||||||||||||||||||||||||||||||||||
Net periodic pension/benefit cost (return) (adjusted for impact of PUC D&Os) | $ | 19,805 | $ | 20,061 | $ | (198) | $ | (144) | $ | 59,599 | $ | 59,881 | $ | (553) | $ | (419) |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||
Pension benefits | Other benefits | Pension benefits | Other benefits | |||||||||||||||||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | 2017 | 2016 | 2017 | 2016 | ||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||
Service cost | $ | 16,271 | $ | 15,126 | $ | 843 | $ | 831 | $ | 48,635 | $ | 45,430 | $ | 2,530 | $ | 2,499 | ||||||||||||||||
Interest cost | 20,304 | 20,396 | 2,363 | 2,417 | 60,881 | 61,154 | 7,089 | 7,254 | ||||||||||||||||||||||||
Expected return on plan assets | (25,689 | ) | (24,640 | ) | (3,078 | ) | (3,064 | ) | (77,056 | ) | (73,920 | ) | (9,248 | ) | (9,207 | ) | ||||||||||||||||
Amortization of net prior service gain | (14 | ) | (15 | ) | (448 | ) | (449 | ) | (41 | ) | (43 | ) | (1,345 | ) | (1,345 | ) | ||||||||||||||||
Amortization of net actuarial loss | 6,638 | 6,228 | 283 | 200 | 19,858 | 18,605 | 848 | 603 | ||||||||||||||||||||||||
Net periodic pension/benefit cost | 17,510 | 17,095 | (37 | ) | (65 | ) | 52,277 | 51,226 | (126 | ) | (196 | ) | ||||||||||||||||||||
Impact of PUC D&Os | (4,534 | ) | (4,653 | ) | 346 | 336 | (14,557 | ) | (13,464 | ) | 1,019 | 1,008 | ||||||||||||||||||||
Net periodic pension/benefit cost (adjusted for impact of PUC D&Os) | $ | 12,976 | $ | 12,442 | $ | 309 | $ | 271 | $ | 37,720 | $ | 37,762 | $ | 893 | $ | 812 | ||||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||||||||||||||
Service cost | $ | 15,764 | $ | 14,699 | $ | 839 | $ | 821 | $ | 47,294 | $ | 44,097 | $ | 2,515 | $ | 2,463 | ||||||||||||||||
Interest cost | 18,659 | 18,702 | 2,279 | 2,334 | 55,974 | 56,106 | 6,837 | 7,003 | ||||||||||||||||||||||||
Expected return on plan assets | (23,973 | ) | (22,908 | ) | (3,037 | ) | (3,023 | ) | (71,919 | ) | (68,725 | ) | (9,110 | ) | (9,072 | ) | ||||||||||||||||
Amortization of net prior service loss (gain) | 2 | 3 | (451 | ) | (451 | ) | 6 | 10 | (1,353 | ) | (1,353 | ) | ||||||||||||||||||||
Amortization of net actuarial loss | 6,098 | 5,674 | 275 | 198 | 18,294 | 17,020 | 826 | 595 | ||||||||||||||||||||||||
Net periodic pension/benefit cost | 16,550 | 16,170 | (95 | ) | (121 | ) | 49,649 | 48,508 | (285 | ) | (364 | ) | ||||||||||||||||||||
Impact of PUC D&Os | (4,534 | ) | (4,653 | ) | 346 | 336 | (14,557 | ) | (13,464 | ) | 1,019 | 1,008 | ||||||||||||||||||||
Net periodic pension/benefit cost (adjusted for impact of PUC D&Os) | $ | 12,016 | $ | 11,517 | $ | 251 | $ | 215 | $ | 35,092 | $ | 35,044 | $ | 734 | $ | 644 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(in millions) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||
Share-based compensation expense 1 | $ | 2.4 | $ | 1.7 | $ | 8.3 | $ | 7.3 | ||||||||||||||||||
Income tax benefit | 0.5 | 0.4 | 1.6 | 1.5 | ||||||||||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||||||||
Share-based compensation expense 1 | 0.7 | 0.6 | 2.5 | 2.1 | ||||||||||||||||||||||
Income tax benefit | 0.1 | 0.1 | 0.5 | 0.5 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
(in millions) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
HEI consolidated | ||||||||||||||||
Share-based compensation expense 1 | $ | 1.1 | $ | 1.6 | $ | 4.4 | $ | 3.6 | ||||||||
Income tax benefit | 0.4 | 0.5 | 1.5 | 1.2 | ||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||
Share-based compensation expense 1 | 0.4 | 0.5 | 1.6 | 1.0 | ||||||||||||
Income tax benefit | 0.2 | 0.2 | 0.6 | 0.4 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||
($ in millions) | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Shares granted | — | 19,846 | 35,770 | 19,846 | ||||||||||||
Fair value | $ | — | $ | 0.6 | $ | 1.2 | $ | 0.6 | ||||||||
Income tax benefit | — | 0.2 | 0.5 | 0.2 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(dollars in millions) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Shares granted | — | 965 | 40,450 | 35,720 | ||||||||||||||||||||||
Fair value | $ | — | $ | — | $ | 1.5 | $ | 1.5 | ||||||||||||||||||
Income tax benefit | — | — | 0.4 | 0.4 |
Three months ended September 30 | Nine months ended September 30 | ||||||||||||||||||||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Shares | (1) | Shares | (1) | Shares | (1) | Shares | (1) | ||||||||||||||||||||||||||||||||||||||||
Outstanding, beginning of period | 199,130 | $ | 41.22 | 208,953 | $ | 39.71 | 182,528 | $ | 39.75 | 233,448 | $ | 38.10 | |||||||||||||||||||||||||||||||||||
Granted | — | — | — | — | 100,088 | 42.41 | 98,463 | 41.31 | |||||||||||||||||||||||||||||||||||||||
Vested | — | — | (4,244) | 39.49 | (81,112) | 39.37 | (95,658) | 37.73 | |||||||||||||||||||||||||||||||||||||||
Forfeited | — | — | (16,540) | 39.99 | (2,374) | 41.79 | (48,084) | 39.19 | |||||||||||||||||||||||||||||||||||||||
Outstanding, end of period | 199,130 | $ | 41.22 | 188,169 | $ | 39.69 | 199,130 | $ | 41.22 | 188,169 | $ | 39.69 | |||||||||||||||||||||||||||||||||||
Total weighted-average grant-date fair value of shares granted (in millions) | $ | — | $ | — | $ | 4.2 | $ | 4.1 |
Three months ended September 30 | Nine months ended September 30 | ||||||||||||||||||||||||||||||
2017 | 2016 | 2017 | 2016 | ||||||||||||||||||||||||||||
Shares | (1) | Shares | (1) | Shares | (1) | Shares | (1) | ||||||||||||||||||||||||
Outstanding, beginning of period | 206,483 | $ | 31.50 | 225,752 | $ | 29.59 | 220,683 | $ | 29.57 | 210,634 | $ | 28.82 | |||||||||||||||||||
Granted | — | — | 766 | 30.65 | 97,873 | 33.47 | 95,048 | 29.91 | |||||||||||||||||||||||
Vested | (687 | ) | 24.48 | (4,419 | ) | 27.26 | (89,681 | ) | 28.84 | (83,583 | ) | 27.88 | |||||||||||||||||||
Forfeited | — | — | (2,352 | ) | 29.69 | (23,079 | ) | 31.50 | (2,352 | ) | 29.69 | ||||||||||||||||||||
Outstanding, end of period | 205,796 | $ | 31.53 | 219,747 | $ | 29.64 | 205,796 | $ | 31.53 | 219,747 | $ | 29.64 | |||||||||||||||||||
Total weighted-average grant-date fair value of shares granted ($ millions) | $ | — | $ | — | $ | 3.3 | $ | 2.8 |
Three months ended September 30 | Nine months ended September 30 | ||||||||||||||||||||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Shares | (1) | Shares | (1) | Shares | (1) | Shares | (1) | ||||||||||||||||||||||||||||||||||||||||
Outstanding, beginning of period | 79,284 | $ | 50.28 | 76,730 | $ | 47.74 | 71,574 | $ | 47.67 | 90,974 | $ | 42.86 | |||||||||||||||||||||||||||||||||||
Granted | — | — | — | — | 27,123 | 55.98 | 26,469 | 54.92 | |||||||||||||||||||||||||||||||||||||||
Vested (issued or unissued and cancelled) | — | — | — | — | (18,691) | 48.62 | (29,042) | 41.07 | |||||||||||||||||||||||||||||||||||||||
Forfeited | — | — | (4,829) | 48.52 | (722) | 48.92 | (16,500) | 44.33 | |||||||||||||||||||||||||||||||||||||||
Outstanding, end of period | 79,284 | $ | 50.28 | 71,901 | $ | 47.69 | 79,284 | $ | 50.28 | 71,901 | $ | 47.69 | |||||||||||||||||||||||||||||||||||
Total weighted-average grant-date fair value of shares granted (in millions) | $ | — | $ | — | $ | 1.5 | $ | 1.5 |
Three months ended September 30 | Nine months ended September 30 | ||||||||||||||||||||||||||||||
2017 | 2016 | 2017 | 2016 | ||||||||||||||||||||||||||||
Shares | (1) | Shares | (1) | Shares | (1) | Shares | (1) | ||||||||||||||||||||||||
Outstanding, beginning of period | 33,770 | $ | 39.51 | 83,947 | $ | 22.95 | 83,106 | $ | 22.95 | 162,500 | $ | 27.66 | |||||||||||||||||||
Granted (target level) | — | — | — | — | 37,204 | 39.51 | — | — | |||||||||||||||||||||||
Vested (issued or unissued and cancelled) | — | — | — | — | (83,106 | ) | 22.95 | (78,553 | ) | 32.69 | |||||||||||||||||||||
Forfeited | — | — | (175 | ) | 22.95 | (3,434 | ) | 39.51 | (175 | ) | 22.95 | ||||||||||||||||||||
Outstanding, end of period | 33,770 | $ | 39.51 | 83,772 | $ | 22.95 | 33,770 | $ | 39.51 | 83,772 | $ | 22.95 | |||||||||||||||||||
Total weighted-average grant-date fair value of shares granted ($ millions) | $ | — | $ | — | $ | 1.5 | $ | — |
2023 | 2022 | |||||||||||||
Risk-free interest rate | 4.19 | % | 1.71 | % | ||||||||||
Expected life in years | 3 | 3 | ||||||||||||
Expected volatility | 33.1 | % | 31.0 | % | ||||||||||
Range of expected volatility for Peer Group | 28.7% to 38.8% | 25.4% to 76.7% | ||||||||||||
Grant date fair value (per share) | $55.98 | $54.92 |
Three months ended September 30 | Nine months ended September 30 | ||||||||||||||||||||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Shares | (1) | Shares | (1) | Shares | (1) | Shares | (1) | ||||||||||||||||||||||||||||||||||||||||
Outstanding, beginning of period | 357,477 | $ | 38.78 | 293,711 | $ | 39.91 | 309,589 | $ | 39.50 | 306,342 | $ | 38.42 | |||||||||||||||||||||||||||||||||||
Granted | — | — | — | — | 108,499 | 42.41 | 105,860 | 41.31 | |||||||||||||||||||||||||||||||||||||||
Vested | — | — | — | — | (62,778) | 48.07 | (71,807) | 37.68 | |||||||||||||||||||||||||||||||||||||||
Increase above target | 4,277 | 38.02 | — | — | 10,278 | 37.77 | — | — | |||||||||||||||||||||||||||||||||||||||
Forfeited | — | — | (19,316) | 38.60 | (3,834) | 43.53 | (66,000) | 37.31 | |||||||||||||||||||||||||||||||||||||||
Outstanding, end of period | 361,754 | $ | 39.17 | 274,395 | $ | 40.00 | 361,754 | $ | 39.17 | 274,395 | $ | 40.00 | |||||||||||||||||||||||||||||||||||
Total weighted-average grant-date fair value of shares granted (at target performance levels) (in millions) | $ | — | $ | — | $ | 4.6 | $ | 4.4 |
Three months ended September 30 | Nine months ended September 30 | ||||||||||||||||||||||||||||||
2017 | 2016 | 2017 | 2016 | ||||||||||||||||||||||||||||
Shares | (1) | Shares | (1) | Shares | (1) | Shares | (1) | ||||||||||||||||||||||||
Outstanding, beginning of period | 135,078 | $ | 33.47 | 113,550 | $ | 25.18 | 109,816 | $ | 25.18 | 222,647 | $ | 26.02 | |||||||||||||||||||
Granted (target level) | — | — | — | — | 148,818 | 33.47 | — | — | |||||||||||||||||||||||
Vested (issued) | — | — | — | — | (109,816 | ) | 25.18 | (109,097 | ) | 26.89 | |||||||||||||||||||||
Forfeited | — | — | (699 | ) | 25.19 | (13,740 | ) | 33.48 | (699 | ) | 25.19 | ||||||||||||||||||||
Outstanding, end of period | 135,078 | $ | 33.47 | 112,851 | $ | 25.18 | 135,078 | $ | 33.47 | 112,851 | $ | 25.18 | |||||||||||||||||||
Total weighted-average grant-date fair value of shares granted (at target performance levels) ($ millions) | $ | — | $ | — | $ | 5.0 | $ | — |
Nine months ended September 30 | 2023 | 2022 | ||||||||||||
(in millions) | ||||||||||||||
Supplemental disclosures of cash flow information | ||||||||||||||
HEI consolidated | ||||||||||||||
Interest paid to non-affiliates, net of amounts capitalized | $ | 104 | $ | 59 | ||||||||||
Income taxes paid (including refundable credits) | 28 | 26 | ||||||||||||
Income taxes refunded (including refundable credits) | 1 | 2 | ||||||||||||
Hawaiian Electric consolidated | ||||||||||||||
Interest paid to non-affiliates | 45 | 40 | ||||||||||||
Income taxes paid (including refundable credits) | 38 | 46 | ||||||||||||
Income taxes refunded (including refundable credits) | 2 | — | ||||||||||||
Supplemental disclosures of noncash activities | ||||||||||||||
HEI consolidated | ||||||||||||||
Property, plant and equipment | ||||||||||||||
Estimated fair value of noncash contributions in aid of construction (investing) | 9 | 6 | ||||||||||||
Unpaid invoices and accruals for capital expenditures, balance, end of period (investing) | 45 | 34 | ||||||||||||
Increase related to an acquisition (investing) | — | 15 | ||||||||||||
Right-of-use assets obtained in exchange for finance lease obligations (financing) | 76 | 48 | ||||||||||||
Right-of-use assets obtained in exchange for operating lease obligations (investing) | 1 | 48 | ||||||||||||
Property, plant, equipment and other assets received in exchange for the assumption of debt associated with a business acquisition (investing) | — | 68 | ||||||||||||
Debt, lease liabilities and other liabilities assumed in business acquisition (financing) | — | 68 | ||||||||||||
Common stock issued (gross) for director and executive/management compensation (financing)1 | 8 | 10 | ||||||||||||
Obligations to fund low income housing investments (investing) | 7 | 9 | ||||||||||||
Loans transferred from held for investment to held for sale (investing) | 95 | — | ||||||||||||
Transfer of retail repurchase agreements to deposit liabilities (financing) | 98 | — | ||||||||||||
Hawaiian Electric consolidated | ||||||||||||||
Electric utility property, plant and equipment | ||||||||||||||
Estimated fair value of noncash contributions in aid of construction (investing) | 9 | 6 | ||||||||||||
Unpaid invoices and accruals for capital expenditures, balance, end of period (investing) | 43 | 31 | ||||||||||||
Increase related to an acquisition (investing) | — | 15 | ||||||||||||
Right-of-use assets obtained in exchange for finance lease obligations (financing) | 76 | 48 | ||||||||||||
Right-of-use assets obtained in exchange for operating lease obligations (investing) | — | 44 |
Nine months ended September 30 | 2017 | 2016 | ||||||
(in millions) | ||||||||
Supplemental disclosures of cash flow information | ||||||||
HEI consolidated | ||||||||
Interest paid to non-affiliates | $ | 62 | $ | 61 | ||||
Income taxes paid (including refundable credits) | 32 | 19 | ||||||
Income taxes refunded (including refundable credits) | — | 45 | ||||||
Hawaiian Electric consolidated | ||||||||
Interest paid to non-affiliates | 45 | 43 | ||||||
Income taxes paid (including refundable credits) | 9 | — | ||||||
Income taxes refunded (including refundable credits) | — | 20 | ||||||
Supplemental disclosures of noncash activities | ||||||||
HEI consolidated | ||||||||
Property, plant and equipment | ||||||||
Estimated fair value of noncash contributions in aid of construction (investing) | 3 | 12 | ||||||
Unpaid invoices and accruals for capital expenditures (investing) | ||||||||
Change during the period | 31 | (6 | ) | |||||
Balance, end of period | 116 | 64 | ||||||
Common stock dividends reinvested in HEI common stock (financing)1 | — | 17 | ||||||
Loans transferred from held for investment to held for sale (investing) | 41 | 14 | ||||||
Common stock issued (gross) for director and executive/management compensation (financing)2 | 11 | 7 | ||||||
Obligations to fund low income housing investments (investing) | 10 | — | ||||||
Hawaiian Electric consolidated | ||||||||
Electric utility property, plant and equipment | ||||||||
Estimated fair value of noncash contributions in aid of construction (investing) | 3 | 12 | ||||||
Unpaid invoices and accruals for capital expenditures (investing) | ||||||||
Change during the period | 29 | (7 | ) | |||||
Balance, end of period | 113 | 63 |
Estimated fair value | ||||||||||||||||||||||||||||||||
(in thousands) | Carrying or notional amount | Quoted prices in active markets for identical assets (Level 1) | Significant other observable inputs (Level 2) | Significant unobservable inputs (Level 3) | Total | |||||||||||||||||||||||||||
September 30, 2023 | ||||||||||||||||||||||||||||||||
Financial assets | ||||||||||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||
Available-for-sale investment securities | $ | 1,266,412 | $ | — | $ | 1,251,918 | $ | 14,494 | $ | 1,266,412 | ||||||||||||||||||||||
Held-to-maturity investment securities | 1,212,005 | — | 1,052,221 | — | 1,052,221 | |||||||||||||||||||||||||||
Loans, net | 6,116,811 | — | 2,174 | 5,541,812 | 5,543,986 | |||||||||||||||||||||||||||
Mortgage servicing rights | 8,376 | — | — | 18,867 | 18,867 | |||||||||||||||||||||||||||
Derivative assets | 19,044 | 15 | 1,350 | — | 1,365 | |||||||||||||||||||||||||||
Financial liabilities | ||||||||||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||
Deposit liabilities | 1,050,692 | — | 1,035,501 | — | 1,035,501 | |||||||||||||||||||||||||||
Other bank borrowings | 750,000 | — | 743,366 | — | 743,366 | |||||||||||||||||||||||||||
Long-term debt, net—other than bank | 2,944,589 | — | 2,120,573 | — | 2,120,573 | |||||||||||||||||||||||||||
Derivative liabilities | 22,949 | — | 1,344 | — | 1,344 | |||||||||||||||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||||||||||||||
Long-term debt, net | 2,034,040 | — | 1,400,901 | — | 1,400,901 | |||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||
Financial assets | ||||||||||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||
Available-for-sale investment securities | $ | 1,429,667 | $ | — | $ | 1,414,765 | $ | 14,902 | $ | 1,429,667 | ||||||||||||||||||||||
Held-to-maturity investment securities | 1,251,747 | — | 1,150,971 | — | 1,150,971 | |||||||||||||||||||||||||||
Loans, net | 5,907,514 | — | 821 | 5,453,381 | 5,454,202 | |||||||||||||||||||||||||||
Mortgage servicing rights | 9,047 | — | — | 17,646 | 17,646 | |||||||||||||||||||||||||||
Derivative assets | 16,220 | 18 | 1,330 | — | 1,348 | |||||||||||||||||||||||||||
Financial liabilities | ||||||||||||||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||||||||||||||
Deposit liabilities | 611,718 | — | 597,617 | — | 597,617 | |||||||||||||||||||||||||||
Short-term borrowings—other than bank | 172,568 | — | 172,568 | — | 172,568 | |||||||||||||||||||||||||||
Other bank borrowings | 695,120 | — | 695,095 | — | 695,095 | |||||||||||||||||||||||||||
Long-term debt, net—other than bank | 2,384,980 | — | 2,122,605 | — | 2,122,605 | |||||||||||||||||||||||||||
Derivative liabilities | 22,949 | — | 472 | — | 472 | |||||||||||||||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||||||||||||||
Short-term borrowings | 87,967 | — | 87,967 | — | 87,967 | |||||||||||||||||||||||||||
Long-term debt, net | 1,684,816 | — | 1,487,496 | — | 1,487,496 | |||||||||||||||||||||||||||
Estimated fair value | ||||||||||||||||||||
Carrying or notional amount | Quoted prices in active markets for identical assets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||
September 30, 2017 | ||||||||||||||||||||
Financial assets | ||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||
Available-for-sale investment securities | $ | 1,320,110 | $ | — | $ | 1,304,683 | $ | 15,427 | $ | 1,320,110 | ||||||||||
Stock in Federal Home Loan Bank | 9,706 | — | 9,706 | — | 9,706 | |||||||||||||||
Loans receivable, net | 4,638,962 | 13,260 | 2,468 | 4,791,209 | 4,806,937 | |||||||||||||||
Mortgage servicing rights | 9,070 | — | — | 12,091 | 12,091 | |||||||||||||||
Bank-owned life insurance | 147,391 | — | 147,391 | — | 147,391 | |||||||||||||||
Derivative assets | 8,399 | — | 591 | — | 591 | |||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||
Derivative assets-window forward contracts | 8,014 | — | 584 | — | 584 | |||||||||||||||
Financial liabilities | ||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||
Deposit liabilities | 5,752,326 | — | 5,748,858 | — | 5,748,858 | |||||||||||||||
Short-term borrowings—other than bank | 24,498 | — | 24,498 | — | 24,498 | |||||||||||||||
Other bank borrowings | 153,552 | — | 153,717 | — | 153,717 | |||||||||||||||
Long-term debt, net—other than bank | 1,618,446 | — | 1,747,972 | — | 1,747,972 | |||||||||||||||
Derivative liabilities | 500 | 2 | — | — | 2 | |||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||
Short-term borrowings | 6,000 | — | 6,000 | — | 6,000 | |||||||||||||||
Long-term debt, net | 1,318,623 | — | 1,441,855 | — | 1,441,855 | |||||||||||||||
December 31, 2016 | ||||||||||||||||||||
Financial assets | ||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||
Money market funds | $ | 13,085 | $ | — | $ | 13,085 | $ | — | $ | 13,085 | ||||||||||
Available-for-sale investment securities | 1,105,182 | — | 1,089,755 | 15,427 | 1,105,182 | |||||||||||||||
Stock in Federal Home Loan Bank | 11,218 | — | 11,218 | — | 11,218 | |||||||||||||||
Loans receivable, net | 4,701,977 | — | 13,333 | 4,839,493 | 4,852,826 | |||||||||||||||
Mortgage servicing rights | 9,373 | — | — | 13,216 | 13,216 | |||||||||||||||
Bank-owned life insurance | 143,197 | — | 143,197 | — | 143,197 | |||||||||||||||
Derivative assets | 23,578 | — | 453 | — | 453 | |||||||||||||||
Financial liabilities | ||||||||||||||||||||
HEI consolidated | ||||||||||||||||||||
Deposit liabilities | 5,548,929 | — | 5,546,644 | — | 5,546,644 | |||||||||||||||
Other bank borrowings | 192,618 | — | 193,991 | — | 193,991 | |||||||||||||||
Long-term debt, net—other than bank | 1,619,019 | — | 1,704,717 | — | 1,704,717 | |||||||||||||||
Derivative liabilities | 53,852 | 129 | 823 | — | 952 | |||||||||||||||
Hawaiian Electric consolidated | ||||||||||||||||||||
Long-term debt, net | 1,319,260 | — | 1,399,490 | — | 1,399,490 | |||||||||||||||
Derivative liabilities-window forward contracts | 20,734 | — | 743 | — | 743 |
September 30, 2023 | December 31, 2022 | |||||||||||||||||||||||||||||||||||||
Fair value measurements using | Fair value measurements using | |||||||||||||||||||||||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||||||||
Available-for-sale investment securities (bank segment) | ||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies | $ | — | $ | 1,145,167 | $ | — | $ | — | $ | 1,292,968 | $ | — | ||||||||||||||||||||||||||
U.S. Treasury and federal agency obligations | — | 75,000 | — | — | 81,063 | — | ||||||||||||||||||||||||||||||||
Corporate bonds | — | 31,751 | — | — | 40,734 | — | ||||||||||||||||||||||||||||||||
Mortgage revenue bonds | — | — | 14,494 | — | — | 14,902 | ||||||||||||||||||||||||||||||||
$ | — | $ | 1,251,918 | $ | 14,494 | $ | — | $ | 1,414,765 | $ | 14,902 | |||||||||||||||||||||||||||
Derivative assets | ||||||||||||||||||||||||||||||||||||||
Interest rate lock commitments (bank segment)1 | $ | — | $ | 54 | $ | — | $ | — | $ | 9 | $ | — | ||||||||||||||||||||||||||
Forward commitments (bank segment)1 | 15 | — | — | 18 | — | — | ||||||||||||||||||||||||||||||||
Interest rate swap (Other segment)2 | — | 1,296 | — | — | 1,321 | — | ||||||||||||||||||||||||||||||||
$ | 15 | $ | 1,350 | $ | — | $ | 18 | $ | 1,330 | $ | — | |||||||||||||||||||||||||||
Derivative liabilities | ||||||||||||||||||||||||||||||||||||||
Interest rate swap (Other segment)2 | $ | — | $ | 1,344 | $ | — | $ | — | $ | 472 | $ | — | ||||||||||||||||||||||||||
September 30, 2017 | December 31, 2016 | |||||||||||||||||||||||
Fair value measurements using | Fair value measurements using | |||||||||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | ||||||||||||||||||
Money market funds (“other” segment) | $ | — | $ | — | $ | — | $ | — | $ | 13,085 | $ | — | ||||||||||||
Available-for-sale investment securities (bank segment) | ||||||||||||||||||||||||
Mortgage-related securities-FNMA, FHLMC and GNMA | $ | — | $ | 1,122,565 | $ | — | $ | — | $ | 897,474 | $ | — | ||||||||||||
U.S. Treasury and federal agency obligations | — | 182,118 | — | — | 192,281 | — | ||||||||||||||||||
Mortgage revenue bond | — | — | 15,427 | — | — | 15,427 | ||||||||||||||||||
$ | — | $ | 1,304,683 | $ | 15,427 | $ | — | $ | 1,089,755 | $ | 15,427 | |||||||||||||
Derivative assets | ||||||||||||||||||||||||
Interest rate lock commitments (bank segment) 1 | $ | — | $ | 7 | $ | — | $ | — | $ | 445 | $ | — | ||||||||||||
Forward commitments (bank segment) 1 | — | — | — | — | 8 | — | ||||||||||||||||||
Window forward contracts (electric utility segment)2 | — | 584 | — | — | — | — | ||||||||||||||||||
$ | — | $ | 591 | $ | — | $ | — | $ | 453 | $ | — | |||||||||||||
Derivative liabilities | ||||||||||||||||||||||||
Interest rate lock commitments (bank segment) 1 | $ | — | $ | — | $ | — | $ | — | $ | 24 | $ | — | ||||||||||||
Forward commitments (bank segment) 1 | 2 | — | — | 129 | 56 | — | ||||||||||||||||||
Window forward contracts (electric utility segment)2 | — | — | — | — | 743 | — | ||||||||||||||||||
$ | 2 | $ | — | $ | — | $ | 129 | $ | 823 | $ | — |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
Mortgage revenue bonds | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||
Beginning balance | $ | 14,630 | $ | 15,165 | $ | 14,902 | $ | 15,427 | ||||||||||||||||||
Principal payments received | (136) | (132) | (408) | (394) | ||||||||||||||||||||||
Purchases | — | — | — | — | ||||||||||||||||||||||
Unrealized gain (loss) included in other comprehensive income | — | — | — | — | ||||||||||||||||||||||
Ending balance | $ | 14,494 | $ | 15,033 | $ | 14,494 | $ | 15,033 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||
Mortgage revenue bond | 2017 | 2016 | 2017 | 2016 | ||||||||||
(in thousands) | ||||||||||||||
Beginning balance | $ | 15,427 | $ | — | $ | 15,427 | $ | — | ||||||
Principal payments received | — | — | — | — | ||||||||||
Purchases | — | — | — | — | ||||||||||
Unrealized gain (loss) included in other comprehensive income | — | — | — | — | ||||||||||
Ending balance | $ | 15,427 | $ | — | $ | 15,427 | $ | — |
Fair value measurements | ||||||||||||||||
(in thousands) | Balance | Level 1 | Level 2 | Level 3 | ||||||||||||
September 30, 2017 | ||||||||||||||||
Loans | $ | 2,881 | $ | — | $ | — | $ | 2,881 | ||||||||
Real estate acquired in settlement of loans | 93 | — | — | 93 | ||||||||||||
December 31, 2016 | ||||||||||||||||
Loans | 2,767 | — | — | 2,767 | ||||||||||||
Real estate acquired in settlement of loans | 1,189 | — | — | 1,189 |
Significant unobservable input value (1) | ||||||||||||
($ in thousands) | Fair value | Valuation technique | Significant unobservable input | Range | Weighted Average | |||||||
September 30, 2017 | ||||||||||||
Residential loans | $ | 731 | Fair value of collateral | Appraised value less 7% selling cost | 50-91% | 69% | ||||||
Commercial loans | 2,150 | Fair value of collateral | Appraised value | 72-76% | 76% | |||||||
Total loans | $ | 2,881 | ||||||||||
Real estate acquired in settlement of loans | $ | 93 | Sales price | Sales price less 7% selling cost | N/A (2) | |||||||
December 31, 2016 | ||||||||||||
Residential loans | $ | 2,468 | Sales price | Sales price | 95-100% | 97% | ||||||
Residential loans | 287 | Fair value of property or collateral | Appraised value less 7% selling cost | 42-65% | 61% | |||||||
Home equity lines of credit | 12 | Fair value of property or collateral | Appraised value less 7% selling cost | N/A (2) | ||||||||
Total loans | $ | 2,767 | ||||||||||
Real estate acquired in settlement of loans | $ | 1,189 | Fair value of property or collateral | Appraised value less 7% selling cost | 100% | 100% |
Three months ended September 30 | % | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | change | Primary reason(s)* | ||||||||||||||||||||||
Revenues | $ | 901,873 | $ | 1,042,197 | (13) | Decrease for the electric utility segment, partly offset by increases for bank and “other” segments. | ||||||||||||||||||||
Operating income | 75,111 | 102,115 | (26) | Decreases for bank and electric utility segments and higher losses for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs. | ||||||||||||||||||||||
Net income for common stock | 41,118 | 62,082 | (34) | Lower net income at the bank and electric utility segments and higher net loss for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs and effective tax rate explanation. | ||||||||||||||||||||||
(in thousands, except per | Three months ended September 30 | % | |||||||||||
share amounts) | 2017 | 2016 | change | Primary reason(s)* | |||||||||
Revenues | $ | 673,185 | $ | 646,055 | 4 | Increases for the electric utility and bank segments | |||||||
Operating income | 109,545 | 105,442 | 4 | Increase for the bank segment and lower losses for the “other” segment, partly offset by a decrease at the electric utility segment | |||||||||
Merger termination fee | — | 90,000 | (100 | ) | See Note 12 of the Condensed Consolidated Financial Statements | ||||||||
Net income for common stock | 60,073 | 127,142 | (53 | ) | Merger termination fee at corporate in 2016 (in the “other” segment), partly offset by higher bank net income in 2017 | ||||||||
Basic earnings per common share | $ | 0.55 | $ | 1.17 | (53 | ) | Lower net income | ||||||
Weighted-average number of common shares outstanding | 108,786 | 108,268 | — | Issuances of shares under the HEI Dividend Reinvestment and Stock Purchase Plan and other plans |
Nine months ended September 30 | % | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | change | Primary reason(s)* | ||||||||||||||||||||||
Revenues | $ | 2,725,795 | $ | 2,722,872 | — | Increases for bank and “other” segments, offset by decrease for the electric utility segment. | ||||||||||||||||||||
Operating income | 261,608 | 288,059 | (9) | Decreases for bank and electric utility segments and higher losses for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs. | ||||||||||||||||||||||
Net income for common stock | 150,449 | 183,790 | (18) | Lower net income at the bank and electric utility segments and higher net loss for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs and effective tax rate explanation. | ||||||||||||||||||||||
(in thousands, except per | Nine months ended September 30 | % | |||||||||||
share amounts) | 2017 | 2016 | change | Primary reason(s)* | |||||||||
Revenues | $ | 1,897,028 | $ | 1,763,259 | 8 | Increases for the electric utility and bank segments | |||||||
Operating income | 253,303 | 259,748 | (2 | ) | Decrease for the electric utility segment, partly offset by an increase at the bank segment and lower losses for the “other” segment | ||||||||
Merger termination fee | — | 90,000 | (100 | ) | See Note 12 of the Condensed Consolidated Financial Statements | ||||||||
Net income for common stock | 132,927 | 203,622 | (35 | ) | Merger termination fee at corporate in 2016 (in the “other” segment) and lower net income at the electric utility segment, partly offset by higher net income at the bank segment | ||||||||
Basic earnings per common share | $ | 1.22 | $ | 1.89 | (35 | ) | Lower net income | ||||||
Weighted-average number of common shares outstanding | 108,737 | 107,951 | 1 | Issuances of shares under the HEI Dividend Reinvestment and Stock Purchase Plan and other plans |
Three and nine months ended September 30, 2023 | ||||||||||||||||||||||||||||||||
(in thousands) | Electric utility | Bank | Other segment | HEI Consolidated | ||||||||||||||||||||||||||||
Maui windstorm and wildfires related expenses: | ||||||||||||||||||||||||||||||||
Legal expenses | $ | 6,251 | $ | 550 | $ | 3,950 | $ | 10,751 | ||||||||||||||||||||||||
Outside services expense | 4,706 | 750 | 678 | 6,134 | ||||||||||||||||||||||||||||
Provision for credit losses | — | 5,900 | — | 5,900 | ||||||||||||||||||||||||||||
Other expense | 2,482 | 1,357 | 3 | 3,842 | ||||||||||||||||||||||||||||
Interest expense | 503 | — | 452 | 955 | ||||||||||||||||||||||||||||
Total Maui windstorm and wildfires related expenses | $ | 13,942 | $ | 8,557 | $ | 5,083 | $ | 27,582 | ||||||||||||||||||||||||
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | Primary reason(s) | |||||||||||||||||||||||||||
Revenues | $ | 5,912 | $ | 4,815 | $ | 14,540 | $ | 7,386 | The revenues for the third quarter of 2023 were higher than the comparable period in 2022 due primarily to interest income at corporate in the third quarter of 2023. The nine months of 2023 was higher than the comparable period in 2022 due to increase in other sales at Pacific Current subsidiaries and higher interest income at corporate. | |||||||||||||||||||||||
Operating loss | (8,806) | (4,034) | (20,197) | (14,792) | The third quarters of 2023 and 2022 include ($1.3 million) and $0.9 million, respectively, of operating income (loss) from Pacific Current1, attributable to lower asset performance. Corporate expenses for the third quarter of 2023 were $3.4 million higher than the same period in 2022, primarily due to $4.6 million of Maui windstorm and wildfires related costs in third quarter of 2023, partly offset by lower general and administrative expenses. The first nine months of 2023 and 2022 include ($1.8 million) and $2.3 million of operating income (loss), respectively, from Pacific Current1. The higher operating loss is primarily due to lower Pacific Current asset performance. Corporate expenses for the first nine months of 2023 were $2.1 million higher than the same period in 2022, primarily due to $4.6 million of Maui windstorm and wildfires related cost in the first nine months 2023, partly offset by lower general and administrative expenses. | |||||||||||||||||||||||||||
Gain on sale of equity-method investment | — | — | — | 8,123 | Gain on sale of an equity-method investment at Pacific Current in first quarter of 2022. | |||||||||||||||||||||||||||
Net loss | (13,708) | (8,438) | (35,451) | (18,610) | The net loss for the third quarter of 2023 was higher than the net loss for the third quarter of 2022 due to the same factors cited for the change in operating loss and higher interest expense, net of $1.7 million primarily due to higher average borrowings and higher average rates. The net loss for the first nine months of 2023 was higher than the net loss for the first nine months of 2022 due to the first quarter of 2022 gain on sale of an equity-method investment by Pacific Current, higher interest expense, net of $5.6 million primarily due to higher average borrowings and higher average rates and the same factors cited for the change in operating loss. |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | Primary reason(s) | |||||||||||||
Revenues | $ | 127 | $ | 94 | $ | 299 | $ | 262 | ||||||||||
Operating loss | (4,295 | ) | (7,097 | ) | (13,478 | ) | (18,621 | ) | Third quarter and first nine months of 2016 merger and spin-off-related expenses (see below) and lower other administrative and general expenses in the third quarter and first nine months of 2017 | |||||||||
Merger termination fee | — | 90,000 | — | 90,000 | See Note 12 of the Condensed Consolidated Financial Statements | |||||||||||||
Net income (loss) | (5,006 | ) | 65,064 | (11,807 | ) | 54,362 | Third quarter of 2016 merger termination fee and $8 million of tax benefits on previously non-deductible expenses related to the previously proposed merger with NEE and spin-off of ASBH and tax benefits recognized for the Domestic Production Activities Deduction in 2016 (see Note 9 of the Condensed Consolidated Financial Statements) |
Three months ended September 30 | % | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | change | Primary reason(s)* | ||||||||||||||||||||||
Revenues | $ | 901,873 | $ | 1,042,197 | (13) | Decrease for the electric utility segment, partly offset by increases for bank and “other” segments. | ||||||||||||||||||||
Operating income | 75,111 | 102,115 | (26) | Decreases for bank and electric utility segments and higher losses for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs. | ||||||||||||||||||||||
Net income for common stock | 41,118 | 62,082 | (34) | Lower net income at the bank and electric utility segments and higher net loss for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs and effective tax rate explanation. | ||||||||||||||||||||||
Nine months ended September 30 | % | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | change | Primary reason(s)* | ||||||||||||||||||||||
Revenues | $ | 2,725,795 | $ | 2,722,872 | — | Increases for bank and “other” segments, offset by decrease for the electric utility segment. | ||||||||||||||||||||
Operating income | 261,608 | 288,059 | (9) | Decreases for bank and electric utility segments and higher losses for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs. | ||||||||||||||||||||||
Net income for common stock | 150,449 | 183,790 | (18) | Lower net income at the bank and electric utility segments and higher net loss for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs and effective tax rate explanation. | ||||||||||||||||||||||
Three and nine months ended September 30, 2023 | ||||||||||||||||||||||||||||||||
(in thousands) | Electric utility | Bank | Other segment | HEI Consolidated | ||||||||||||||||||||||||||||
Maui windstorm and wildfires related expenses: | ||||||||||||||||||||||||||||||||
Legal expenses | $ | 6,251 | $ | 550 | $ | 3,950 | $ | 10,751 | ||||||||||||||||||||||||
Outside services expense | 4,706 | 750 | 678 | 6,134 | ||||||||||||||||||||||||||||
Provision for credit losses | — | 5,900 | — | 5,900 | ||||||||||||||||||||||||||||
Other expense | 2,482 | 1,357 | 3 | 3,842 | ||||||||||||||||||||||||||||
Interest expense | 503 | — | 452 | 955 | ||||||||||||||||||||||||||||
Total Maui windstorm and wildfires related expenses | $ | 13,942 | $ | 8,557 | $ | 5,083 | $ | 27,582 | ||||||||||||||||||||||||
(dollars in millions) | September 30, 2017 | December 31, 2016 | ||||||||||||
Short-term borrowings—other than bank | $ | 25 | — | % | $ | — | — | % | ||||||
Long-term debt, net—other than bank | 1,618 | 43 | 1,619 | 43 | ||||||||||
Preferred stock of subsidiaries | 34 | 1 | 34 | 1 | ||||||||||
Common stock equity | 2,103 | 56 | 2,067 | 56 | ||||||||||
$ | 3,780 | 100 | % | $ | 3,720 | 100 | % |
Average balance | Balance | |||||||||||
(in millions) | Nine months ended September 30, 2017 | September 30, 2017 | December 31, 2016 | |||||||||
Short-term borrowings 1 | ||||||||||||
Commercial paper | $ | 3 | $ | 19 | $ | — | ||||||
Line of credit draws | — | — | — | |||||||||
Undrawn capacity under HEI’s line of credit facility | 150 | 150 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | Primary reason(s) | |||||||||||||||||||||||||||
Revenues | $ | 5,912 | $ | 4,815 | $ | 14,540 | $ | 7,386 | The revenues for the third quarter of 2023 were higher than the comparable period in 2022 due primarily to interest income at corporate in the third quarter of 2023. The nine months of 2023 was higher than the comparable period in 2022 due to increase in other sales at Pacific Current subsidiaries and higher interest income at corporate. | |||||||||||||||||||||||
Operating loss | (8,806) | (4,034) | (20,197) | (14,792) | The third quarters of 2023 and 2022 include ($1.3 million) and $0.9 million, respectively, of operating income (loss) from Pacific Current1, attributable to lower asset performance. Corporate expenses for the third quarter of 2023 were $3.4 million higher than the same period in 2022, primarily due to $4.6 million of Maui windstorm and wildfires related costs in third quarter of 2023, partly offset by lower general and administrative expenses. The first nine months of 2023 and 2022 include ($1.8 million) and $2.3 million of operating income (loss), respectively, from Pacific Current1. The higher operating loss is primarily due to lower Pacific Current asset performance. Corporate expenses for the first nine months of 2023 were $2.1 million higher than the same period in 2022, primarily due to $4.6 million of Maui windstorm and wildfires related cost in the first nine months 2023, partly offset by lower general and administrative expenses. | |||||||||||||||||||||||||||
Gain on sale of equity-method investment | — | — | — | 8,123 | Gain on sale of an equity-method investment at Pacific Current in first quarter of 2022. | |||||||||||||||||||||||||||
Net loss | (13,708) | (8,438) | (35,451) | (18,610) | The net loss for the third quarter of 2023 was higher than the net loss for the third quarter of 2022 due to the same factors cited for the change in operating loss and higher interest expense, net of $1.7 million primarily due to higher average borrowings and higher average rates. The net loss for the first nine months of 2023 was higher than the net loss for the first nine months of 2022 due to the first quarter of 2022 gain on sale of an equity-method investment by Pacific Current, higher interest expense, net of $5.6 million primarily due to higher average borrowings and higher average rates and the same factors cited for the change in operating loss. |
Three months ended September 30 | % | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | change | Primary reason(s)* | ||||||||||||||||||||||
Revenues | $ | 901,873 | $ | 1,042,197 | (13) | Decrease for the electric utility segment, partly offset by increases for bank and “other” segments. | ||||||||||||||||||||
Operating income | 75,111 | 102,115 | (26) | Decreases for bank and electric utility segments and higher losses for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs. | ||||||||||||||||||||||
Net income for common stock | 41,118 | 62,082 | (34) | Lower net income at the bank and electric utility segments and higher net loss for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs and effective tax rate explanation. | ||||||||||||||||||||||
Three months ended September 30 | Increase | |||||||||||||||
2017 | 2016 | (decrease) | (dollars in millions, except per barrel amounts) | |||||||||||||
$ | 599 | $ | 572 | $ | 27 | Revenues. Net increase largely due to: | ||||||||||
$ | 25 | higher fuel oil prices1 | ||||||||||||||
5 | higher RAM revenues | |||||||||||||||
2 | higher purchased power energy costs2 | |||||||||||||||
(5 | ) | lower KWH generated | ||||||||||||||
146 | 129 | 17 | Fuel oil expense. Increase due to higher fuel oil prices, partially offset by lower KWH generated | |||||||||||||
160 | 158 | 2 | Purchased power expense. Increase due to higher fuel oil prices | |||||||||||||
100 | 95 | 5 | Operation and maintenance expenses. Net increase due to: | |||||||||||||
6 | higher overhaul costs due to more overhauls being performed in 2017 | |||||||||||||||
2 | ERP project costs commencing in 2017 | |||||||||||||||
(1 | ) | lower production operating and maintenance cost | ||||||||||||||
(1 | ) | PSIP consulting costs incurred in 2016 | ||||||||||||||
105 | 101 | 4 | Other expenses. Increase due to higher revenue taxes from higher revenue, coupled with higher depreciation expense for plant investments in 2016 | |||||||||||||
87 | 90 | (3 | ) | Operating income. Decrease due to higher O&M and other expenses | ||||||||||||
47 | 47 | — | Net income for common stock. Lower operating income, offset by higher AFUDC in 2017 due to larger capital projects, primarily Schofield generating station | |||||||||||||
2,340 | 2,372 | (32 | ) | Kilowatthour sales (millions)4 | ||||||||||||
$ | 66.73 | $ | 57.72 | $ | 9.01 | Average fuel oil cost per barrel1 |
Nine months ended September 30 | % | |||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | change | Primary reason(s)* | ||||||||||||||||||||||
Revenues | $ | 2,725,795 | $ | 2,722,872 | — | Increases for bank and “other” segments, offset by decrease for the electric utility segment. | ||||||||||||||||||||
Operating income | 261,608 | 288,059 | (9) | Decreases for bank and electric utility segments and higher losses for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs. | ||||||||||||||||||||||
Net income for common stock | 150,449 | 183,790 | (18) | Lower net income at the bank and electric utility segments and higher net loss for the “other” segment. See below for HEI Consolidated Maui windstorm and wildfires costs and effective tax rate explanation. | ||||||||||||||||||||||
Nine months ended September 30 | Increase | |||||||||||||||
2017 | 2016 | (decrease) | (dollars in millions, except per barrel amounts) | |||||||||||||
$ | 1,674 | $ | 1,550 | $ | 124 | Revenues. Net increase largely due to: | ||||||||||
$ | 114 | higher fuel oil prices1 | ||||||||||||||
35 | higher purchased power energy costs2 | |||||||||||||||
(20 | ) | lower RAM revenues due to expiration of 2013 settlement agreement that allowed the accrual of RAM revenues on January 1 (vs. June 1) for years 2014 to 2016 at Hawaiian Electric | ||||||||||||||
(7 | ) | lower KWH generated | ||||||||||||||
432 | 334 | 98 | Fuel oil expense. Increase due to higher fuel oil prices, partially offset by lower KWH generated | |||||||||||||
441 | 413 | 28 | Purchased power expense. Increase due to higher fuel oil prices | |||||||||||||
307 | 298 | 9 | Operation and maintenance expenses. Net increase due to: | |||||||||||||
6 | higher overhaul costs due to more overhauls being performed in 2017 | |||||||||||||||
4 | ERP project costs commencing in 2017 | |||||||||||||||
2 | higher transmission and distribution operating and maintenance costs | |||||||||||||||
1 | Grid modernization consultant costs | |||||||||||||||
1 | write off of portion of deferred Geothermal RFP costs | |||||||||||||||
1 | additional reserves for environmental costs in 20173 | |||||||||||||||
(4 | ) | PSIP consulting costs incurred in 2016 | ||||||||||||||
(3 | ) | LNG consulting costs incurred in 2016 to negotiate an LNG contract that was subsequently terminated following HEI/NextEra merger termination | ||||||||||||||
304 | 289 | 15 | Other expenses. Increase due to higher revenue taxes from higher revenue, coupled with higher depreciation expense for plant investments in 2016 | |||||||||||||
191 | 216 | (25 | ) | Operating income. Decrease due to lower RAM revenues and higher O&M and other expenses | ||||||||||||
95 | 108 | (13 | ) | Net income for common stock. Decrease due to lower operating income, partially offset by resulting lower income taxes | ||||||||||||
6,528 | 6,613 | (85 | ) | Kilowatthour sales (millions)4 | ||||||||||||
$ | 67.42 | $ | 52.06 | $ | 15.36 | Average fuel oil cost per barrel1 | ||||||||||
461,408 | 459,590 | 1,818 | Customer accounts (end of period) |
Three and nine months ended September 30, 2023 | ||||||||||||||||||||||||||||||||
(in thousands) | Electric utility | Bank | Other segment | HEI Consolidated | ||||||||||||||||||||||||||||
Maui windstorm and wildfires related expenses: | ||||||||||||||||||||||||||||||||
Legal expenses | $ | 6,251 | $ | 550 | $ | 3,950 | $ | 10,751 | ||||||||||||||||||||||||
Outside services expense | 4,706 | 750 | 678 | 6,134 | ||||||||||||||||||||||||||||
Provision for credit losses | — | 5,900 | — | 5,900 | ||||||||||||||||||||||||||||
Other expense | 2,482 | 1,357 | 3 | 3,842 | ||||||||||||||||||||||||||||
Interest expense | 503 | — | 452 | 955 | ||||||||||||||||||||||||||||
Total Maui windstorm and wildfires related expenses | $ | 13,942 | $ | 8,557 | $ | 5,083 | $ | 27,582 | ||||||||||||||||||||||||
% | Rate-making Return on rate base (RORB)* | ROACE** | Rate-making ROACE*** | ||||||||||||||||||||||||
Twelve months ended September 30, 2017 | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Hawaiian Electric | Hawaii Electric Light | Maui Electric | ||||||||||||||||||
Utility returns | 6.77 | 6.71 | 6.83 | 7.35 | 6.54 | 6.99 | 7.99 | 7.54 | 7.96 | ||||||||||||||||||
PUC-allowed returns | 8.11 | 7.80 | 7.34 | 10.00 | 9.50 | 9.00 | 10.00 | 9.50 | 9.00 | ||||||||||||||||||
Difference | (1.34 | ) | (1.09 | ) | (0.51 | ) | (2.65 | ) | (2.96 | ) | (2.01 | ) | (2.01 | ) | (1.96 | ) | (1.04 | ) |
Test year (dollars in millions) | Date (filed/ implemented) | Amount | % over rates in effect | ROACE (%) | RORB (%) | Rate base | Common equity % | Stipulated agreement reached with Consumer Advocate | ||||||||||||||||
Hawaiian Electric | ||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
Request | 6/27/14 | |||||||||||||||||||||||
2017 | ||||||||||||||||||||||||
Request | 12/16/16 | $ | 106.4 | 6.9 | 10.60 | 8.28 | $ | 2,002 | 57.36 | |||||||||||||||
Hawaii Electric Light | ||||||||||||||||||||||||
2016 | ||||||||||||||||||||||||
Request | 9/19/16 | $ | 19.3 | 6.5 | 10.60 | 8.44 | $ | 479 | 57.12 | Yes | ||||||||||||||
Interim increase | 8/31/17 | 9.9 | 3.4 | 9.50 | 7.80 | 482 | 56.69 | |||||||||||||||||
Maui Electric | ||||||||||||||||||||||||
2015 | ||||||||||||||||||||||||
Request | 12/30/14 | |||||||||||||||||||||||
2018 | ||||||||||||||||||||||||
Request | 10/12/17 | $ | 30.1 | 9.3 | 10.60 | 8.05 | $ | 473 | 56.94 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||||||||
(in thousands) | 2023 | 2022 | 2023 | 2022 | Primary reason(s) | |||||||||||||||||||||||||||
Revenues | $ | 5,912 | $ | 4,815 | $ | 14,540 | $ | 7,386 | The revenues for the third quarter of 2023 were higher than the comparable period in 2022 due primarily to interest income at corporate in the third quarter of 2023. The nine months of 2023 was higher than the comparable period in 2022 due to increase in other sales at Pacific Current subsidiaries and higher interest income at corporate. | |||||||||||||||||||||||
Operating loss | (8,806) | (4,034) | (20,197) | (14,792) | The third quarters of 2023 and 2022 include ($1.3 million) and $0.9 million, respectively, of operating income (loss) from Pacific Current1, attributable to lower asset performance. Corporate expenses for the third quarter of 2023 were $3.4 million higher than the same period in 2022, primarily due to $4.6 million of Maui windstorm and wildfires related costs in third quarter of 2023, partly offset by lower general and administrative expenses. The first nine months of 2023 and 2022 include ($1.8 million) and $2.3 million of operating income (loss), respectively, from Pacific Current1. The higher operating loss is primarily due to lower Pacific Current asset performance. Corporate expenses for the first nine months of 2023 were $2.1 million higher than the same period in 2022, primarily due to $4.6 million of Maui windstorm and wildfires related cost in the first nine months 2023, partly offset by lower general and administrative expenses. | |||||||||||||||||||||||||||
Gain on sale of equity-method investment | — | — | — | 8,123 | Gain on sale of an equity-method investment at Pacific Current in first quarter of 2022. | |||||||||||||||||||||||||||
Net loss | (13,708) | (8,438) | (35,451) | (18,610) | The net loss for the third quarter of 2023 was higher than the net loss for the third quarter of 2022 due to the same factors cited for the change in operating loss and higher interest expense, net of $1.7 million primarily due to higher average borrowings and higher average rates. The net loss for the first nine months of 2023 was higher than the net loss for the first nine months of 2022 due to the first quarter of 2022 gain on sale of an equity-method investment by Pacific Current, higher interest expense, net of $5.6 million primarily due to higher average borrowings and higher average rates and the same factors cited for the change in operating loss. |
(dollars in millions) | September 30, 2017 | December 31, 2016 | ||||||||||||
Short-term borrowings | $ | 6 | — | % | $ | — | — | % | ||||||
Long-term debt, net | 1,319 | 41 | 1,319 | 42 | ||||||||||
Preferred stock | 34 | 1 | 34 | 1 | ||||||||||
Common stock equity | 1,829 | 58 | 1,800 | 57 | ||||||||||
$ | 3,188 | 100 | % | $ | 3,153 | 100 | % |
Average balance | Balance | |||||||||||
(in millions) | Nine months ended September 30, 2017 | September 30, 2017 | December 31, 2016 | |||||||||
Short-term borrowings 1 | ||||||||||||
Commercial paper | $ | 6 | $ | 6 | $ | — | ||||||
Line of credit draws | — | — | — | |||||||||
Borrowings from HEI | 2 | — | — | |||||||||
Undrawn capacity under line of credit facility | 200 | 200 |
Nine months ended September 30, | |||||||||||
(in thousands) | 2017 | 2016 | Change | ||||||||
Net cash provided by operating activities | $ | 229,902 | $ | 275,271 | $ | (45,369 | ) | ||||
Net cash used in investing activities | (229,287 | ) | (226,036 | ) | (3,251 | ) | |||||
Net cash used in financing activities | (64,914 | ) | (50,707 | ) | (14,207 | ) |
Three months ended September 30 | Increase | |||||||||||||
(in millions) | 2017 | 2016 | (decrease) | Primary reason(s) | ||||||||||
Interest income | $ | 59 | $ | 55 | $ | 4 | The increase in interest income was the result of a higher average investment securities portfolio balance and an increase in yields on earning assets. ASB’s average loan portfolio balance for the three months ended September 30, 2017 decreased by $68 million compared to the same period in 2016 as increases in average consumer and home equity lines of credit balances of $54 million and $31 million, respectively, were more than offset by a decrease in commercial loan balances of $132 million. The decrease in the average commercial loan balance was primarily due to a decrease in the syndicated national credit loan portfolio and paydowns in the commercial loan portfolio. The yield on earning assets increased by 8 basis points due to the repricing of the adjustable rate loans with the increase in the interest rate environment and a shift in the mix of the loan portfolio with the growth in the consumer loan portfolio, which resulted in an increase in the loan portfolio yield of 20 basis points. The average investment securities portfolio balance increased by $378 million due to the use of excess liquidity to purchase investments. The yield on the investment securities portfolio increased by 8 basis points as new investment purchase yields were higher due to the increase in short-term interest rates. | |||||||
Noninterest income | 15 | 19 | (4 | ) | Noninterest income decreased for the three months ended September 30, 2017 compared to noninterest income for the three months ended September 30, 2016 due to lower mortgage banking income. Prior year’s noninterest income included a gain on sale of real estate with no similar sale in 2017. | |||||||||
Revenues | 74 | 74 | — | |||||||||||
Interest expense | 3 | 3 | — | Interest expense was flat for the three months ended September 30, 2017 compared to the same period in 2016 as higher interest expense from the growth in term certificates was offset by lower interest expense on other borrowings as a result of lower repurchase agreements and FHLB advances. Average deposit balances for the three months ended September 30, 2017 increased by $392 million compared to the same period in 2016 due to an increase in core deposits and term certificates of $303 million and $89 million, respectively. Other borrowings decreased by $105 million primarily due to a decrease in repurchase agreements and FHLB advances of $72 million and $33 million, respectively. The interest-bearing liability rate for the three months ended September 30, 2017 decreased by 5 basis points compared to the same period in 2016. | ||||||||||
Provision for loan losses | 1 | 6 | (5 | ) | The provision for loan losses decreased by $5.3 million for the three months ended September 30, 2017 compared to the provision for loan losses for the three months ended September 30, 2016. The provision for loan losses for 2017 was primarily due to increased loan loss reserves for the consumer loan portfolio partly offset by the release of reserves for the commercial real estate and syndicated national credit loan portfolios due to loan paydowns and sales as the Bank strategically worked to improve commercial asset quality. The provision for loan losses for 2016 was primarily due to increased reserves for growth in the loan portfolio, additional loan loss reserves for the consumer loan portfolio and loan loss reserves for commercial loans due to downgrades of specific commercial credits. Delinquency rates have increased from 0.51% at September 30, 2016 to 0.60% at September 30, 2017. The annualized net charge-off ratio for the three months ended September 30, 2017 was 0.32% compared to an annualized net charge-off ratio of 0.20% for the same period in 2016. The increase in net charge-offs were due to an increase in consumer loan portfolio charge-offs as a result of ASB’s strategic expansion of its unsecured consumer loan product offering with risk-based pricing. | |||||||||
Noninterest expense | 44 | 42 | 2 | The increase in noninterest expense for the three months ended September 30, 2017 compared to the same period in 2016 was primarily due to higher compensation and employee benefits expenses as a result of higher performance-based compensation costs and higher employee benefit costs. | ||||||||||
Expenses | 48 | 51 | (3 | ) | ||||||||||
Operating income | 26 | 23 | 3 | Higher net interest income and lower provision for loan losses was partly offset by higher noninterest expenses and lower noninterest income. | ||||||||||
Net income | 18 | 15 | 3 |
Nine months ended September 30 | Increase | |||||||||||||
(in millions) | 2017 | 2016 | (decrease) | Primary reason(s) | ||||||||||
Interest income | $ | 176 | $ | 163 | $ | 13 | The increase in interest income was the result of higher average earning asset balances and an increase in yields on earning assets. ASB’s average loan portfolio balance for the nine months ended September 30, 2017 increased by $17 million compared to the same period in 2016 as average consumer, commercial real estate and home equity lines of credit balances increased by $58 million, $48 million and $23 million, respectively. The growth in these loan portfolios was reflective of ASB’s portfolio mix target and loan growth strategy. The average commercial loan balance decreased by $103 million primarily due to a decrease in the syndicated national credit loan portfolio. The yield on earning assets increased by 7 basis points due to a shift in the mix of the loan portfolio with the growth in the commercial real estate and consumer loan portfolios and repricing of the adjustable rate loans with the increase in the interest rate environment, which resulted in an increase in loan portfolio yields of 17 basis points. The average investment securities portfolio balance increased by $358 million due to the use of excess liquidity to purchase investments. The yield on the investment securities portfolio increased by 9 basis points as new investment purchase yields were higher due to the increase in short-term interest rates. | |||||||
Noninterest income | 47 | 50 | (3 | ) | Noninterest income decreased slightly for the nine months ended September 30, 2017 compared to noninterest income for the nine months ended September 30, 2016 due to lower mortgage banking income. Prior year’s noninterest income included gains on sales of securities and a gain on sale of real estate with no similar sales in 2017. | |||||||||
Revenues | 223 | 213 | 10 | |||||||||||
Interest expense | 9 | 10 | (1 | ) | Interest expense was lower for the nine months ended September 30, 2017 compared to the same period in 2016 as higher interest expense from the growth in term certificates was more than offset by lower interest expense on other borrowings as a result of lower repurchase agreements and FHLB advances. Average deposit balances for the nine months ended September 30, 2017 increased by $471 million compared to the same period in 2016 due to an increase in core deposits and term certificates of $334 million and $137 million, respectively. Other borrowings decreased by $102 million primarily due to a decrease in repurchase agreements. The interest-bearing liability rate for the nine months ended September 30, 2017 decreased by 3 basis points compared to the same period in 2016. | |||||||||
Provision for loan losses | 7 | 15 | (8 | ) | The provision for loan losses decreased by $8.0 million for the nine months ended September 30, 2017 compared to the provision for loan losses for the nine months ended September 30, 2016. The provision for loan losses for the first nine months of 2017 was primarily due to increased loan loss reserves for the consumer loan portfolio partly offset by the release of reserves for the commercial real estate and syndicated national credit loan portfolios due to lower outstanding balances and improved credit quality. The provision for loan losses for the first nine months of 2016 was primarily due to increased reserves for growth in the loan portfolio, additional loan loss reserves for the consumer loan portfolio and loan loss reserves for commercial loans due to downgrades of specific commercial credits. Delinquency rates have increased from 0.51% at September 30, 2016 to 0.60% at September 30, 2017. The annualized net charge-off ratio for the nine months ended September 30, 2017 was 0.27% compared to an annualized net charge-off ratio of 0.19% for the same period in 2016. The increase in net charge-offs for the first nine months of 2017 was due to an increase in consumer loan portfolio charge-offs as a result of ASB’s strategic expansion of its unsecured consumer loan product offering with risk-based pricing. | |||||||||
Noninterest expense | 131 | 126 | 5 | The increase in noninterest expense for the nine months ended September 30, 2017 compared to the same period in 2016 was primarily due to higher compensation and employee benefits expenses as a result of higher performance-based compensation costs and higher employee benefit costs. Prior year’s noninterest expense included costs related to the replacement and upgrade of the electronic banking platform. | ||||||||||
Expenses | 147 | 151 | (4 | ) | ||||||||||
Operating income | 76 | 62 | 14 | Higher net interest income and lower provision for loan losses was partly offset by higher noninterest expenses and lower noninterest income. | ||||||||||
Net income | 50 | 41 | 9 |
Three months ended September 30 | Nine months ended September 30 | |||||||||||
(percent) | 2017 | 2016 | 2017 | 2016 | ||||||||
Return on average assets | 1.07 | 0.97 | 1.02 | 0.89 | ||||||||
Return on average equity | 11.64 | 10.36 | 11.24 | 9.50 | ||||||||
Net interest margin | 3.69 | 3.57 | 3.68 | 3.59 |
Three months ended September 30 | ||||||||||||||||||||||
2017 | 2016 | |||||||||||||||||||||
(dollars in thousands) | Average balance | Interest1 income/ expense | Yield/ rate (%) | Average balance | Interest1 income/ expense | Yield/ rate (%) | ||||||||||||||||
Assets: | ||||||||||||||||||||||
Interest-earning deposits | $ | 54,598 | $ | 172 | 1.23 | $ | 97,885 | $ | 124 | 0.50 | ||||||||||||
FHLB stock | 10,401 | 45 | 1.70 | 11,218 | 54 | 1.89 | ||||||||||||||||
Available-for-sale investment securities | ||||||||||||||||||||||
Taxable | 1,291,604 | 6,521 | 2.02 | 928,698 | 4,581 | 1.97 | ||||||||||||||||
Non-taxable | 15,427 | 171 | 4.33 | — | — | — | ||||||||||||||||
Total available-for-sale investment securities | 1,307,031 | 6,692 | 2.05 | 928,698 | 4,581 | 1.97 | ||||||||||||||||
Loans | ||||||||||||||||||||||
Residential 1-4 family | 2,066,648 | 21,383 | 4.14 | 2,077,135 | 22,044 | 4.24 | ||||||||||||||||
Commercial real estate | 880,304 | 9,542 | 4.26 | 888,886 | 9,113 | 4.08 | ||||||||||||||||
Home equity line of credit | 895,224 | 7,714 | 3.42 | 864,589 | 7,204 | 3.31 | ||||||||||||||||
Residential land | 16,340 | 296 | 7.26 | 18,764 | 282 | 6.00 | ||||||||||||||||
Commercial | 618,708 | 6,863 | 4.39 | 750,366 | 7,327 | 3.87 | ||||||||||||||||
Consumer | 213,619 | 6,412 | 11.91 | 159,226 | 4,474 | 11.18 | ||||||||||||||||
Total loans 2,3 | 4,690,843 | 52,210 | 4.42 | 4,758,966 | 50,444 | 4.22 | ||||||||||||||||
Total interest-earning assets 2 | 6,062,873 | 59,119 | 3.88 | 5,796,767 | 55,203 | 3.80 | ||||||||||||||||
Allowance for loan losses | (55,881 | ) | (55,480 | ) | ||||||||||||||||||
Non-interest-earning assets | 558,736 | 514,120 | ||||||||||||||||||||
Total assets | $ | 6,565,728 | $ | 6,255,407 | ||||||||||||||||||
Liabilities and shareholder’s equity: | ||||||||||||||||||||||
Savings | $ | 2,292,341 | $ | 400 | 0.07 | $ | 2,139,863 | $ | 358 | 0.07 | ||||||||||||
Interest-bearing checking | 901,645 | 61 | 0.03 | 837,480 | 43 | 0.02 | ||||||||||||||||
Money market | 138,151 | 41 | 0.12 | 161,149 | 52 | 0.13 | ||||||||||||||||
Time certificates | 686,638 | 1,942 | 1.12 | 597,537 | 1,418 | 0.94 | ||||||||||||||||
Total interest-bearing deposits | 4,018,775 | 2,444 | 0.24 | 3,736,029 | 1,871 | 0.20 | ||||||||||||||||
Advances from Federal Home Loan Bank | 66,848 | 436 | 2.59 | 100,000 | 792 | 3.10 | ||||||||||||||||
Securities sold under agreements to repurchase | 90,011 | 34 | 0.15 | 161,652 | 672 | 1.63 | ||||||||||||||||
Total interest-bearing liabilities | 4,175,634 | 2,914 | 0.28 | 3,997,681 | 3,335 | 0.33 | ||||||||||||||||
Non-interest bearing liabilities: | ||||||||||||||||||||||
Deposits | 1,681,774 | 1,572,821 | ||||||||||||||||||||
Other | 103,695 | 101,759 | ||||||||||||||||||||
Shareholder’s equity | 604,625 | 583,146 | ||||||||||||||||||||
Total liabilities and shareholder’s equity | $ | 6,565,728 | $ | 6,255,407 | ||||||||||||||||||
Net interest income | $ | 56,205 | $ | 51,868 | ||||||||||||||||||
Net interest margin (%) 4 | 3.69 | 3.57 |
Nine months ended September 30 | ||||||||||||||||||||||
2017 | 2016 | |||||||||||||||||||||
(dollars in thousands) | Average balance | Interest1 income/ expense | Yield/ rate (%) | Average balance | Interest1 income/ expense | Yield/ rate (%) | ||||||||||||||||
Assets: | ||||||||||||||||||||||
Interest-earning deposits | $ | 64,426 | $ | 479 | 0.98 | $ | 80,738 | $ | 304 | 0.50 | ||||||||||||
FHLB stock | 11,128 | 150 | 1.80 | 11,094 | 142 | 1.71 | ||||||||||||||||
Available-for-sale investment securities | ||||||||||||||||||||||
Taxable | 1,235,029 | 19,651 | 2.12 | 892,726 | 13,773 | 2.06 | ||||||||||||||||
Non-taxable | 15,427 | 481 | 4.11 | — | — | — | ||||||||||||||||
Total available-for-sale investment securities | 1,250,456 | 20,132 | 2.15 | 892,726 | 13,773 | 2.06 | ||||||||||||||||
Loans | ||||||||||||||||||||||
Residential 1-4 family | 2,070,150 | 65,172 | 4.20 | 2,076,308 | 66,565 | 4.27 | ||||||||||||||||
Commercial real estate | 902,605 | 28,676 | 4.20 | 854,977 | 25,993 | 4.04 | ||||||||||||||||
Home equity line of credit | 880,472 | 22,078 | 3.35 | 857,652 | 21,058 | 3.28 | ||||||||||||||||
Residential land | 16,816 | 791 | 6.28 | 18,577 | 843 | 6.05 | ||||||||||||||||
Commercial | 650,554 | 21,108 | 4.32 | 753,783 | 22,294 | 3.93 | ||||||||||||||||
Consumer | 201,379 | 17,444 | 11.58 | 143,514 | 11,818 | 11.00 | ||||||||||||||||
Total loans 2,3 | 4,721,976 | 155,269 | 4.38 | 4,704,811 | 148,571 | 4.21 | ||||||||||||||||
Total interest-earning assets 2 | 6,047,986 | 176,030 | 3.88 | 5,689,369 | 162,790 | 3.81 | ||||||||||||||||
Allowance for loan losses | (56,276 | ) | (52,902 | ) | ||||||||||||||||||
Non-interest-earning assets | 537,894 | 505,014 | ||||||||||||||||||||
Total assets | $ | 6,529,604 | $ | 6,141,481 | ||||||||||||||||||
Liabilities and shareholder’s equity: | ||||||||||||||||||||||
Savings | $ | 2,271,926 | $ | 1,160 | 0.07 | $ | 2,095,975 | $ | 1,034 | 0.07 | ||||||||||||
Interest-bearing checking | 898,794 | 175 | 0.03 | 831,412 | 127 | 0.02 | ||||||||||||||||
Money market | 146,864 | 133 | 0.12 | 164,596 | 157 | 0.13 | ||||||||||||||||
Time certificates | 676,083 | 5,390 | 1.07 | 539,314 | 3,836 | 0.95 | ||||||||||||||||
Total interest-bearing deposits | 3,993,667 | 6,858 | 0.23 | 3,631,297 | 5,154 | 0.19 | ||||||||||||||||
Advances from Federal Home Loan Bank | 89,273 | 1,999 | 2.99 | 101,232 | 2,363 | 3.07 | ||||||||||||||||
Securities sold under agreements to repurchase | 93,128 | 111 | 0.16 | 182,671 | 2,053 | 1.48 | ||||||||||||||||
Total interest-bearing liabilities | 4,176,068 | 8,968 | 0.29 | 3,915,200 | 9,570 | 0.32 | ||||||||||||||||
Non-interest bearing liabilities: | ||||||||||||||||||||||
Deposits | 1,658,238 | 1,549,467 | ||||||||||||||||||||
Other | 100,499 | 100,210 | ||||||||||||||||||||
Shareholder’s equity | 594,799 | 576,604 | ||||||||||||||||||||
Total liabilities and shareholder’s equity | $ | 6,529,604 | $ | 6,141,481 | ||||||||||||||||||
Net interest income | $ | 167,062 | $ | 153,220 | ||||||||||||||||||
Net interest margin (%) 4 | 3.68 | 3.59 |
September 30, 2017 | December 31, 2016 | |||||||||||||
(dollars in thousands) | Balance | % of total | Balance | % of total | ||||||||||
Real estate: | ||||||||||||||
Residential 1-4 family | $ | 2,066,023 | 44.2 | $ | 2,048,051 | 43.2 | ||||||||
Commercial real estate | 745,583 | 15.9 | 800,395 | 16.9 | ||||||||||
Home equity line of credit | 905,249 | 19.4 | 863,163 | 18.2 | ||||||||||
Residential land | 18,611 | 0.4 | 18,889 | 0.4 | ||||||||||
Commercial construction | 128,407 | 2.7 | 126,768 | 2.7 | ||||||||||
Residential construction | 13,031 | 0.3 | 16,080 | 0.3 | ||||||||||
Total real estate | 3,876,904 | 82.9 | 3,873,346 | 81.7 | ||||||||||
Commercial | 589,669 | 12.6 | 692,051 | 14.6 | ||||||||||
Consumer | 211,571 | 4.5 | 178,222 | 3.7 | ||||||||||
4,678,144 | 100.0 | 4,743,619 | 100.0 | |||||||||||
Less: Deferred fees and discounts | (1,863 | ) | (4,926 | ) | ||||||||||
Allowance for loan losses | (53,047 | ) | (55,533 | ) | ||||||||||
Total loans, net | $ | 4,623,234 | $ | 4,683,160 |
September 30, 2017 | December 31, 2016 | |||||||
Outstanding balance of home equity loans (in thousands) | $ | 905,249 | $ | 863,163 | ||||
Percent of portfolio in first lien position | 47.2 | % | 45.1 | % | ||||
Annualized net charge-off (recovery) ratio | (0.04 | )% | 0.01 | % | ||||
Delinquency ratio | 0.38 | % | 0.35 | % |
End of draw period – interest only | Current | |||||||||||||||||||||||
September 30, 2017 | Total | Interest only | 2017-2018 | 2019-2021 | Thereafter | amortizing | ||||||||||||||||||
Outstanding balance (in thousands) | $ | 905,249 | $ | 718,843 | $ | 55,842 | $ | 97,061 | $ | 565,940 | $ | 186,406 | ||||||||||||
% of total | 100 | % | 79 | % | 6 | % | 11 | % | 62 | % | 21 | % |
September 30, 2017 | December 31, 2016 | |||||||||||||
(dollars in thousands) | Balance | % of total | Balance | % of total | ||||||||||
U.S. Treasury and federal agency obligations | $ | 182,118 | 14 | % | $ | 192,281 | 18 | % | ||||||
Mortgage-related securities — FNMA, FHLMC and GNMA | 1,122,565 | 85 | 897,474 | 81 | ||||||||||
Mortgage revenue bond | 15,427 | 1 | 15,427 | 1 | ||||||||||
Total available-for-sale investment securities | $ | 1,320,110 | 100 | % | $ | 1,105,182 | 100 | % |
Nine months ended September 30 | Year ended December 31, | |||||||||||
(in thousands) | 2017 | 2016 | 2016 | |||||||||
Allowance for loan losses, January 1 | $ | 55,533 | $ | 50,038 | $ | 50,038 | ||||||
Provision for loan losses | 7,231 | 15,266 | 16,763 | |||||||||
Less: net charge-offs | 9,717 | 6,567 | 11,268 | |||||||||
Allowance for loan losses, end of period | $ | 53,047 | $ | 58,737 | $ | 55,533 | ||||||
Ratio of net charge-offs during the period to average loans outstanding (annualized) | 0.27 | % | 0.19 | % | 0.24 | % |
Effective dates | 1/1/2015 | 1/1/2016 | 1/1/2017 | 1/1/2018 | 1/1/2019 | ||||||||||
Capital conservation buffer | 0.625 | % | 1.25 | % | 1.875 | % | 2.50 | % | |||||||
Common equity Tier-1 ratio + conservation buffer | 4.50 | % | 5.125 | % | 5.75 | % | 6.375 | % | 7.00 | % | |||||
Tier-1 capital ratio + conservation buffer | 6.00 | % | 6.625 | % | 7.25 | % | 7.875 | % | 8.50 | % | |||||
Total capital ratio + conservation buffer | 8.00 | % | 8.625 | % | 9.25 | % | 9.875 | % | 10.50 | % | |||||
Tier-1 leverage ratio | 4.00 | % | 4.00 | % | 4.00 | % | 4.00 | % | 4.00 | % | |||||
Countercyclical capital buffer — not applicable to ASB | 0.625 | % | 1.25 | % | 1.875 | % | 2.50 | % |
(dollars in millions) | September 30, 2017 | December 31, 2016 | % change | ||||||||
Total assets | $ | 6,619 | $ | 6,421 | 3 | ||||||
Available-for-sale investment securities | 1,320 | 1,105 | 19 | ||||||||
Loans receivable held for investment, net | 4,623 | 4,683 | (1 | ) | |||||||
Deposit liabilities | 5,752 | 5,549 | 4 | ||||||||
Other bank borrowings | 154 | 193 | (20 | ) |
Fitch | Moody’s | S&P | ||||||||||||||||||
To | From | To | From | To | From | |||||||||||||||
Long-term issuer default, long-term and issuer credit, respectively | B | BBB+ | * | WR* | B- | BBB- | ||||||||||||||
Short-term issuer default, commercial paper and commercial paper, respectively | B | F2 | NP | P-2 | B | A-3 | ||||||||||||||
Outlook | Watch Negative | Stable | Review for downgrade | Stable | Watch Negative | Stable |
(dollars in millions) | September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||
Short-term borrowings—other than bank, net of discount | $ | — | — | % | $ | 173 | 3 | % | ||||||||||||||||||
Long-term debt, net—other than bank | 2,945 | 56 | 2,385 | 50 | ||||||||||||||||||||||
Preferred stock of subsidiaries | 34 | 1 | 34 | 1 | ||||||||||||||||||||||
Common stock equity | 2,224 | 43 | 2,202 | 46 | ||||||||||||||||||||||
$ | 5,203 | 100 | % | $ | 4,794 | 100 | % |
Average balance | Balance | |||||||||||||||||||
(in millions) | Nine months ended September 30, 2023 | September 30, 2023 | December 31, 2022 | |||||||||||||||||
Commercial paper | $ | 32 | $ | — | $ | 50 | ||||||||||||||
Line of credit draws on revolving credit facility | 25 | 175 | — | |||||||||||||||||
Three months ended September 30 | Increase | |||||||||||||||||||||||||
2023 | 2022 | (decrease) | (dollars in millions, except per barrel amounts) | |||||||||||||||||||||||
$ | 795 | $ | 956 | $ | (161) | Revenues. Net decrease largely due to: | ||||||||||||||||||||
$ | (127) | lower fuel oil prices, partially offset by higher kWh generated1 | ||||||||||||||||||||||||
(52) | lower kWh purchased, lower purchase power energy prices, and lower PPAC revenues2 | |||||||||||||||||||||||||
1 | higher MPIR revenue | |||||||||||||||||||||||||
2 | higher investment interest income | |||||||||||||||||||||||||
4 | higher fuel-cost risk sharing adjustment (reward) | |||||||||||||||||||||||||
10 | higher revenue from ARA adjustments | |||||||||||||||||||||||||
267 | 384 | (117) | Fuel oil expense1. Net decrease largely due to lower fuel oil prices, partially offset by higher kWh generated | |||||||||||||||||||||||
178 | 225 | (47) | Purchased power expense1, 2. Net decrease largely due to lower kWh purchased, lower AES charges due to its closure on September 1, 2022, and lower purchased power energy prices; offset in part by the addition of Stage 1 solar-plus-storage projects | |||||||||||||||||||||||
143 | 121 | 22 | Operation and maintenance expenses. Net increase largely due to: | |||||||||||||||||||||||
13 | incremental Maui windstorm and wildfires costs | |||||||||||||||||||||||||
4 | higher transmission and distribution operation and maintenance expense | |||||||||||||||||||||||||
1 | higher outside services for Customer Service Support Improvement | |||||||||||||||||||||||||
1 | more station maintenance work performed | |||||||||||||||||||||||||
1 | more generating facility overhauls performed | |||||||||||||||||||||||||
1 | increased employee benefits costs | |||||||||||||||||||||||||
1 | higher facilities expenses | |||||||||||||||||||||||||
136 | 147 | (11) | Other expenses. Decrease due to lower revenue taxes, partially offset by higher depreciation expense due to increasing investments to integrate more renewable energy and improve customer reliability and system efficiency and higher payroll taxes due to higher unemployment tax rate | |||||||||||||||||||||||
71 | 79 | (8) | Operating income. Decrease largely due to higher operation and maintenance expenses, higher depreciation expenses, offset in part by higher ARA, higher fuel-cost risk sharing adjustment (reward), higher investment interest income, and higher MPIR revenue. See below for the Utilities’ incremental expenses related to the Maui windstorm and wildfires. | |||||||||||||||||||||||
55 | 64 | (9) | Income before income taxes. Decrease largely due to lower operating income and higher interest expense due to increased borrowings, partially offset by higher AFUDC related to increased capital expenditures | |||||||||||||||||||||||
43 | 50 | (7) | Net income for common stock. Decrease due to lower income before income taxes. See below for the Utilities’ incremental expenses related to the Maui windstorm and wildfires and effective tax rate explanation. | |||||||||||||||||||||||
2,157 | 2,212 | (55) | Kilowatthour sales (millions)3 | |||||||||||||||||||||||
$ | 111.51 | $ | 166.79 | $ | (55.28) | Average fuel oil cost per barrel |
Nine months ended September 30 | Increase | |||||||||||||||||||||||||
2023 | 2022 | (decrease) | (dollars in millions, except per barrel amounts) | |||||||||||||||||||||||
$ | 2,420 | $ | 2,484 | $ | (64) | Revenues. Net decrease largely due to: | ||||||||||||||||||||
$ | (118) | lower kWh purchased and lower PPAC revenues, partially offset by higher purchased power energy prices2 | ||||||||||||||||||||||||
1 | one-time true-up pole attachment fee revenue | |||||||||||||||||||||||||
4 | higher MPIR revenue | |||||||||||||||||||||||||
4 | higher investment interest income | |||||||||||||||||||||||||
7 | higher fuel-cost risk sharing adjustment (reward in 2023) | |||||||||||||||||||||||||
8 | higher kWh generated, offset by lower fuel oil prices1 | |||||||||||||||||||||||||
30 | higher revenue from ARA adjustments | |||||||||||||||||||||||||
882 | 875 | 7 | Fuel oil expense2. Net increase largely due to higher kWh generated offset by lower fuel oil prices | |||||||||||||||||||||||
499 | 607 | (108) | Purchased power expense1, 2. Net decrease largely due to lower kWh purchased and lower AES charges due to its closure on September 1, 2022, partially offset by higher purchased power energy prices | |||||||||||||||||||||||
407 | 371 | 36 | Operation and maintenance expenses. Net increase largely due to: | |||||||||||||||||||||||
13 | incremental Maui windstorm and wildfires costs | |||||||||||||||||||||||||
11 | higher transmission and distribution operation and maintenance expense | |||||||||||||||||||||||||
8 | increased labor and employee benefits costs | |||||||||||||||||||||||||
3 | higher outside services for Customer Service Support Improvement and Integrated Grid Planning | |||||||||||||||||||||||||
2 | higher station maintenance work performed | |||||||||||||||||||||||||
2 | higher facilities expenses | |||||||||||||||||||||||||
(2) | lower scope of generating facility overhauls performed | |||||||||||||||||||||||||
411 | 407 | 4 | Other expenses. Increase due to higher depreciation expense due to increasing investments to integrate more renewable energy and improve customer reliability and system efficiency and higher payroll taxes due to higher unemployment tax rate, offset by lower revenue taxes | |||||||||||||||||||||||
221 | 224 | (3) | Operating income. Decrease largely due to higher operation and maintenance expenses, higher depreciation expenses, offset in part by higher ARA, higher fuel-cost risk adjustment, higher investment interest income, and higher MPIR revenue. See below for the Utilities’ incremental expenses related to the Maui windstorm and wildfires. | |||||||||||||||||||||||
175 | 180 | (5) | Income before income taxes. Decrease largely due to higher interest expense due to increased borrowings and lower operating income, partially offset by higher AFUDC related to increased capital expenditures | |||||||||||||||||||||||
136 | 140 | (4) | Net income for common stock. Decrease due to lower income before income taxes. See below for the Utilities’ incremental expenses related to the Maui windstorm and wildfires and effective tax rate explanation. | |||||||||||||||||||||||
6,087 | 6,200 | (113) | Kilowatthour sales (millions)3 | |||||||||||||||||||||||
$ | 124.70 | $ | 137.23 | $ | (12.53) | Average fuel oil cost per barrel | ||||||||||||||||||||
471,372 | 471,026 | 346 | Customer accounts (end of period) |
(in thousands) | Three and nine months ended September 30, 2023 | ||||||||||||||||
Hawaiian Electric Maui windstorm and wildfires related expenses: | |||||||||||||||||
Legal expense | $ | 6,251 | |||||||||||||||
Outside services expense | 4,706 | ||||||||||||||||
Other expenses | 2,482 | ||||||||||||||||
Interest expense | 503 | ||||||||||||||||
Total Hawaiian Electric Maui windstorm and wildfires related expenses | $ | 13,942 | |||||||||||||||
% | Rate-making Return on rate base (RORB)* | ROACE** | Rate-making ROACE*** | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Twelve months ended September 30, 2023 | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Hawaiian Electric | Hawaii Electric Light | Maui Electric | Hawaiian Electric | Hawaii Electric Light | Maui Electric | |||||||||||||||||||||||||||||||||||||||||||||||
Utility returns | 7.35 | 6.23 | 4.01 | 8.94 | 7.15 | 3.50 | 9.95 | 7.69 | 3.71 | |||||||||||||||||||||||||||||||||||||||||||||||
PUC-allowed returns | 7.37 | 7.52 | 7.43 | 9.50 | 9.50 | 9.50 | 9.50 | 9.50 | 9.50 | |||||||||||||||||||||||||||||||||||||||||||||||
Difference | (0.02) | (1.29) | (3.42) | (0.56) | (2.35) | (6.00) | 0.45 | (1.81) | (5.79) |
Utilities | Number of contracts | Total photovoltaic size (MW) | BESS Size (MW/MWh) | Guaranteed commercial operation dates | Contract term (years) | Total projected annual payment (in millions) | ||||||||||||||||||||||||||||||||
Hawaiian Electric | 4 | 139.5 | 139.5/558 | 7/31/22, 1/11/23, 1/20/23* & 10/31/24 | 20 & 25 | $ | 34.0 | |||||||||||||||||||||||||||||||
Hawaii Electric Light | 2 | 60 | 60/240 | 10/11/24 & 4/21/23 | 25 | 19.2 | ||||||||||||||||||||||||||||||||
Maui Electric | 2 | 75 | 75/300 | 4/28/23* & 5/31/24 | 25 | 18.0 | ||||||||||||||||||||||||||||||||
Total | 8 | 274.5 | 274.5/1,098 | $ | 71.2 |
Utilities | Number of contracts | Total photovoltaic size (MW) | BESS Size (MW/MWh) | Guaranteed commercial operation dates | Contract term (years) | Total projected annual payment (in millions) | ||||||||||||||||||||||||||||||||||||||
Hawaiian Electric | 3 | 79 | 79 | / | 443 | 5/17/24, 9/1/2024, & 4/9/2024 | 20 & 25 | $ | 31.4 | |||||||||||||||||||||||||||||||||||
Hawaiian Electric | 1 | * | N/A | 185 | / | 565 | 12/30/2022** | 20 | 24.0 | |||||||||||||||||||||||||||||||||||
Total | 4 | 79 | 264 | / | 1,008 | $ | 55.4 |
Utilities | Fast Frequency Response - 1 (MW) | Fast Frequency Response - 2 (MW) | Capacity - Load Build (MW) | Capacity - Load Reduction (MW) | ||||||||||||||||||||||||||||
Hawaiian Electric | — | 26.7 | 14.5 | 19.4 | ||||||||||||||||||||||||||||
Hawaii Electric Light | 6.0 | — | 3.2 | 4.0 | ||||||||||||||||||||||||||||
Maui Electric | 6.1 | — | 1.9 | 4.7 | ||||||||||||||||||||||||||||
Total | 12.1 | 26.7 | 19.6 | 28.1 |
Utilities | Number of contracts | BESS Size (MW/MWh) | Guaranteed commercial operation dates | |||||||||||||||||
Hawaii Electric Light | 1 | * | 12/12 | 12/30/22 | ||||||||||||||||
Maui Electric | 1 | 40/160 | 4/28/23 | |||||||||||||||||
Total | 2 | 52/172 |
(dollars in millions) | September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||
Short-term borrowings, net | $ | — | — | % | $ | 88 | 2 | % | ||||||||||||||||||
Long-term debt, net | 2,034 | 46 | 1,685 | 41 | ||||||||||||||||||||||
Preferred stock | 34 | 1 | 34 | 1 | ||||||||||||||||||||||
Common stock equity | 2,383 | 53 | 2,344 | 56 | ||||||||||||||||||||||
$ | 4,451 | 100 | % | $ | 4,151 | 100 | % |
Average balance | Balance | |||||||||||||||||||
(in millions) | Nine months ended September 30, 2023 | September 30, 2023 | December 31, 2022 | |||||||||||||||||
Short-term borrowings1 | ||||||||||||||||||||
Commercial paper | $ | 8 | $ | — | $ | 88 | ||||||||||||||
Borrowings from HEI | — | — | — | |||||||||||||||||
Line of credit draws on revolving credit facility | 29 | 200 | — |
Fitch | Moody’s | S&P | ||||||||||||||||||
To | From | To | From | To | From | |||||||||||||||
Long-term issuer default, long-term and issuer credit, respectively | B | A- | Ba3 | Baa1 | B- | BBB | ||||||||||||||
Short-term issuer default, commercial paper and commercial paper, respectively | B | F2 | NP | P-2 | B | A-2 | ||||||||||||||
Senior unsecured debt/special purpose revenue bonds | B+ | A | Ba3 | Baa1 | * | * | ||||||||||||||
Cumulative preferred stock (selected series) | * | * | B3 | Baa3 | * | * | ||||||||||||||
Outlook | Watch Negative | Stable | Review for Downgrade | Stable | Watch Negative | Stable |
(in millions) | Hawaiian Electric | Hawaii Electric Light | Maui Electric | ||||||||
Total “up to” amounts of taxable debt authorized from 2023 through 2026 | $ | 230 | $ | 65 | $ | 105 | |||||
Less: | |||||||||||
Taxable debt executed on January 10, 2023, but issued on February 9, 2023 | 100 | 25 | 25 | ||||||||
Remaining authorized amounts | $ | 130 | $ | 40 | $ | 80 |
Nine months ended September 30 | |||||||||||||||||
(in thousands) | 2023 | 2022 | Change | ||||||||||||||
Net cash provided by operating activities | $ | 406,111 | $ | 124,167 | $ | 281,944 | |||||||||||
Net cash used in investing activities | (329,281) | (219,126) | (110,155) | ||||||||||||||
Net cash provided by financing activities | 160,782 | 61,005 | 99,777 |
Three months ended September 30 | Increase | |||||||||||||||||||||||||
(in millions) | 2023 | 2022 | (decrease) | Primary reason(s) | ||||||||||||||||||||||
Interest and dividend income | $ | 86 | $ | 68 | $ | 18 | ||||||||||||||||||||
Average loan portfolio yields were 80 basis points higher—yield benefited from the rising interest rate environment as adjustable rate yields repriced upward and new loan production yields were higher than the portfolio yields. | ||||||||||||||||||||||||||
Average loan portfolio balances increased $609 million - commercial real estate, home equity line of credit and commercial loan portfolio average balances increased $157 million, $85 million and $63 million, respectively, due to increased demand for these loan products. Residential loan average balances increased $221 million due to the Bank’s decision to portfolio a larger portion of the residential loan production. Consumer loan portfolio average balance increased $83 million primarily due to purchases of solar and sustainable home improvement loans. | ||||||||||||||||||||||||||
Average investment securities portfolio balances decreased $260 million—investment security portfolio repayments were used to fund loan growth. Average investment securities portfolio yields were 13 basis points lower due to higher investment portfolio premium amortizations. | ||||||||||||||||||||||||||
Average other investments increased $75 million - increase due to higher interest earning deposits being held. | ||||||||||||||||||||||||||
Noninterest income | 15 | 13 | 2 | |||||||||||||||||||||||
Higher bank owned life insurance income - higher returns from insurance policies. | ||||||||||||||||||||||||||
Revenues | 101 | 81 | 20 | The increase in revenues for the three months ended September 30, 2023 compared to the same period in 2022 was primarily due to higher interest and dividend income and higher noninterest income. | ||||||||||||||||||||||
Interest expense | 23 | 3 | 20 | |||||||||||||||||||||||
Increase in interest expense on deposits and other borrowings was due to an increase in term certificate and other borrowing balances which were required to fund the loan portfolio growth, higher yields due to the increase in the interest rate environment and a shift in costing liability mix. | ||||||||||||||||||||||||||
Average core deposit balances decreased $539 million; average term certificate balances increased $436 million. | ||||||||||||||||||||||||||
Average deposit yields increased from 8 basis points to 70 basis points due to a shift in mix of deposits and higher yields from the increase in the interest rate environment. | ||||||||||||||||||||||||||
Average other borrowings increased $488 million and average yields increased 295 basis points. | ||||||||||||||||||||||||||
Average cost of funds increased from 13 basis points to 102 basis points due to a shift in funding from low cost core deposits to higher costing term certificates and other borrowings. | ||||||||||||||||||||||||||
Provision for credit losses | 9 | — | 9 | |||||||||||||||||||||||
2023 provision for credit losses included credit loss reserves for loans impacted by the Maui wildfires, additional credit loss reserves for the residential and commercial real estate loan portfolios and credit loss reserves to cover net charge-offs, partly offset by the release of credit loss reserves for a delinquent commercial loan that paid off. | ||||||||||||||||||||||||||
The release of credit loss reserves in 2022 for improved credit trends in the residential, home equity line of credit and consumer loan portfolios was offset by additional credit loss reserves for growth in the consumer loan portfolio which included purchases of solar and sustainable home improvement loans. | ||||||||||||||||||||||||||
2022 provision for credit losses also included the release of credit loss reserves for unfunded commercial construction loan commitments. | ||||||||||||||||||||||||||
Delinquency rates have decreased—from 0.27% at September 30, 2022 to 0.24% at September 30, 2023 primarily due to lower residential and commercial loan delinquencies, partly offset by higher consumer and home equity line of credit loan delinquencies. | ||||||||||||||||||||||||||
Net charge-off to average loans increased from 0.03% at September 30, 2022 to 0.07% at September 30, 2023 primarily due to an increase in consumer loan net charge-offs. | ||||||||||||||||||||||||||
Noninterest expense | 56 | 52 | 4 |
Three months ended September 30 | Increase | |||||||||||||||||||||||||
(in millions) | 2023 | 2022 | (decrease) | Primary reason(s) | ||||||||||||||||||||||
The increase in noninterest expenses was primarily due to higher compensation and benefits as a result of higher base compensation and the fair value adjustment related to the deferred compensation plan, higher FDIC insurance assessments and additional expenses related to the Maui wildfires. | ||||||||||||||||||||||||||
Expenses | 88 | 55 | 33 | The increase in expenses for the three months ended September 30, 2023 compared to the same period in 2022 was due to increases in interest expenses, provision for credit losses and higher noninterest expenses. | ||||||||||||||||||||||
Operating income | 13 | 26 | (13) | The decrease in operating income for the three months ended September 30, 2023 compared to the same period in 2022 was primarily due to increases in interest expense, provision for credit losses and noninterest expenses, partly offset by higher interest and noninterest income. | ||||||||||||||||||||||
Net income | 11 | 21 | (10) | Net income for the three months ended September 30, 2023 was lower than the same period in 2022 due to lower operating income partly offset by lower income tax expense. |
Nine months ended September 30 | Increase | |||||||||||||||||||||||||
(in millions) | 2023 | 2022 | (decrease) | Primary reason(s) | ||||||||||||||||||||||
Interest and dividend income | $ | 247 | $ | 191 | $ | 56 | ||||||||||||||||||||
Average loan portfolio yields were 78 basis points higher—loan yields continued to increase in 2023 due to the interest rate environment as adjustable rate loan yields repriced with rising interest rates and new loan production yields were higher than the portfolio rates. | ||||||||||||||||||||||||||
Average loan portfolio balances increased $753 million - commercial real estate, home equity line of credit and commercial loan portfolio average balances increased $234 million, $136 million and $63 million, respectively, due to demand for these loan types. Residential loan portfolio average balances increased $205 million due to the Bank’s decision to portfolio a larger portion of the residential loan production. Consumer loan portfolio average balances increased $117 million primarily due to the purchase of solar and sustainable home improvement loans. | ||||||||||||||||||||||||||
Average investment securities portfolio balances decreased $209 million—repayments in the investment securities portfolio were used to fund the loan portfolio growth. | ||||||||||||||||||||||||||
Average investment securities portfolio yields decreased 2 basis points. | ||||||||||||||||||||||||||
Noninterest income | 45 | 42 | 3 | |||||||||||||||||||||||
Higher bank-owned life insurance income - higher returns from insurance policies. | ||||||||||||||||||||||||||
Lower mortgage banking income - lower residential loan sale volume due to lower production volume as the higher interest rate environment has reduced the demand for residential mortgage loans. ASB’s decision to portfolio a larger portion of the residential loan production also reduced the amount of loans sold on the secondary market. | ||||||||||||||||||||||||||
Less: gain on sale of real estate | — | (1) | 1 | Gain on sale of real estate, which is included in Noninterest income above and in the Bank’s statements of income and comprehensive income in Note 4, is classified as gain on sale of real estate in the condensed consolidated statements of income, and accordingly, is reflected in operating expenses below as a separate line item and excluded from Revenues. | ||||||||||||||||||||||
Revenues | 292 | 232 | 60 | The increase in revenues for the nine months ended September 30, 2023 compared to the same period in 2022 was primarily due to higher interest and dividend income and higher noninterest income. | ||||||||||||||||||||||
Interest expense | 56 | 5 | 51 | |||||||||||||||||||||||
Interest expense on deposits and other borrowings increased in 2023 compared to 2022 due to an increase in term certificate and other borrowing balances which were required to fund the loan portfolio growth, higher yields due to the increase in the interest rate environment and a shift in deposit mix. | ||||||||||||||||||||||||||
Average core deposit balances decreased $513 million; average term certificate balances increased $398 million. | ||||||||||||||||||||||||||
Average deposit yields increased from 6 basis points to 51 basis points. The increase was primarily due to the increase in term certificate yields of 258 basis points and the shift in mix of deposits from low cost core deposits to term certificates. | ||||||||||||||||||||||||||
Average other borrowings increased $598 million and average yields increased 343 basis points. Other borrowings were used to fund the growth in the loan portfolio. The higher yields were reflective of the higher interest rate environment. | ||||||||||||||||||||||||||
Provision for credit losses | 10 | (1) | 11 | |||||||||||||||||||||||
2023 provision for credit losses included credit loss reserves for loans impacted by the Maui wildfires, growth in the loan portfolio and credit loss reserves to cover net charge-offs. | ||||||||||||||||||||||||||
2022 negative provision for credit losses reflected improved credit trends, credit regrades and lower credit loss rates in the commercial real estate and commercial loan portfolios. | ||||||||||||||||||||||||||
2022 negative provision for credit losses also included additional credit loss reserves for growth in the commercial real estate loan portfolio and consumer loan portfolios. | ||||||||||||||||||||||||||
Delinquency rates have decreased—from 0.27% at September 30, 2022 to 0.24% at September 30, 2023 due to lower residential and commercial loan delinquencies, partly offset by higher consumer and home equity line of credit loan delinquencies. | ||||||||||||||||||||||||||
Net charge-off to average loans have increased—from 0.01% at September 30, 2022 to 0.11% at September 30, 2023 primarily due to an increase in consumer loan portfolio net charge-offs and the charge-off of a residential loan. |
Nine months ended September 30 | Increase | |||||||||||||||||||||||||
(in millions) | 2023 | 2022 | (decrease) | Primary reason(s) | ||||||||||||||||||||||
Noninterest expense | 165 | 149 | 16 | |||||||||||||||||||||||
The increase in noninterest expenses were due to higher compensation and benefits expenses, an increase in FDIC insurance assessments, higher deposit account expenses and additional expenses related to the Maui wildfires. | ||||||||||||||||||||||||||
Higher compensation and benefits expenses included higher base compensation as a result of merit increases, market adjustments and the fair value adjustment related to the deferred compensation plan. | ||||||||||||||||||||||||||
Gain on sale of real estate | — | (1) | 1 | |||||||||||||||||||||||
Expenses | 231 | 152 | 79 | The increase in expenses for the nine months ended September 30, 2023 compared to the same period in 2022 was due to higher interest expenses, higher noninterest expenses, higher provision for credit losses and lower gain on sale of real estate in 2023. | ||||||||||||||||||||||
Operating income | 61 | 80 | (19) | The decrease in operating income for the nine months ended September 30, 2023 compared to the same period in 2022 was primarily due to higher interest expenses, higher noninterest expenses and higher provision for credit losses, partly offset by higher interest income and higher noninterest income. | ||||||||||||||||||||||
Net income | 50 | 62 | (12) | Net income for the nine months ended September 30, 2023 was lower than the same period in 2022 due to lower operating income partly offset by lower income tax expense. |
Three months ended September 30 | Nine months ended September 30 | |||||||||||||||||||||||||
(Annualized %) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Return on average assets | 0.47 | 0.89 | 0.70 | 0.90 | ||||||||||||||||||||||
Return on average equity | 9.19 | 15.11 | 13.62 | 13.65 | ||||||||||||||||||||||
Net interest margin | 2.70 | 2.96 | 2.77 | 2.87 |
(in thousands) | Three and nine months ended September 30, 2023 | |||||||||||||
Bank Maui wildfires related cost: | ||||||||||||||
Provision for credit losses | $ | 5,900 | ||||||||||||
Professional services expenses | 1,300 | |||||||||||||
Other expenses | 1,357 | |||||||||||||
Total Bank Maui wildfires related cost | $ | 8,557 | ||||||||||||
Three months ended September 30 | ||||||||||||||||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||||||||||||||||
(dollars in thousands) | Average balance | Interest income/ expense | Yield/ rate (%) | Average balance | Interest income/ expense | Yield/ rate (%) | ||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||
Interest-earning deposits | $ | 91,499 | $ | 1,246 | 5.33 | $ | 16,598 | $ | 83 | 1.96 | ||||||||||||||||||||||||||||
FHLB stock | 18,769 | 253 | 5.35 | 15,858 | 175 | 4.39 | ||||||||||||||||||||||||||||||||
Investment securities | ||||||||||||||||||||||||||||||||||||||
Taxable | 2,925,474 | 12,183 | 1.67 | 3,183,928 | 14,453 | 1.82 | ||||||||||||||||||||||||||||||||
Non-taxable | 67,552 | 525 | 3.07 | 68,938 | 432 | 2.48 | ||||||||||||||||||||||||||||||||
Total investment securities | 2,993,026 | 12,708 | 1.70 | 3,252,866 | 14,885 | 1.83 | ||||||||||||||||||||||||||||||||
Loans | ||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | 2,569,148 | 24,350 | 3.79 | 2,348,214 | 20,721 | 3.53 | ||||||||||||||||||||||||||||||||
Commercial real estate | 1,528,448 | 19,931 | 5.12 | 1,370,993 | 13,535 | 3.88 | ||||||||||||||||||||||||||||||||
Home equity line of credit | 1,037,147 | 10,289 | 3.94 | 952,298 | 7,459 | 3.11 | ||||||||||||||||||||||||||||||||
Residential land | 20,553 | 286 | 5.58 | 21,253 | 256 | 4.84 | ||||||||||||||||||||||||||||||||
Commercial | 734,545 | 10,794 | 5.79 | 671,175 | 6,945 | 4.08 | ||||||||||||||||||||||||||||||||
Consumer | 265,801 | 6,104 | 9.13 | 182,503 | 4,541 | 9.88 | ||||||||||||||||||||||||||||||||
Total loans 1,2 | 6,155,642 | 71,754 | 4.62 | 5,546,436 | 53,457 | 3.82 | ||||||||||||||||||||||||||||||||
Total interest-earning assets 3 | 9,258,936 | 85,961 | 3.68 | 8,831,758 | 68,600 | 3.09 | ||||||||||||||||||||||||||||||||
Allowance for credit losses | (69,165) | (70,685) | ||||||||||||||||||||||||||||||||||||
Noninterest-earning assets | 478,529 | 544,651 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 9,668,300 | $ | 9,305,724 | ||||||||||||||||||||||||||||||||||
Liabilities and shareholder’s equity: | ||||||||||||||||||||||||||||||||||||||
Savings | $ | 2,917,408 | $ | 687 | 0.09 | $ | 3,296,229 | $ | 219 | 0.03 | ||||||||||||||||||||||||||||
Interest-bearing checking | 1,372,670 | 2,157 | 0.62 | 1,339,002 | 150 | 0.04 | ||||||||||||||||||||||||||||||||
Money market | 358,512 | 3,121 | 3.45 | 214,706 | 55 | 0.10 | ||||||||||||||||||||||||||||||||
Time certificates | 908,392 | 8,481 | 3.70 | 472,425 | 1,280 | 1.08 | ||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 5,556,982 | 14,446 | 1.03 | 5,322,362 | 1,704 | 0.13 | ||||||||||||||||||||||||||||||||
Advances from Federal Home Loan Bank | 219,228 | 2,535 | 4.53 | 146,462 | 951 | 2.54 | ||||||||||||||||||||||||||||||||
Borrowings from Federal Reserve Bank | 550,000 | 6,063 | 4.37 | — | — | — | ||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase and federal funds purchased | — | — | — | 134,458 | 104 | 0.31 | ||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | 6,326,210 | 23,044 | 1.44 | 5,603,282 | 2,759 | 0.19 | ||||||||||||||||||||||||||||||||
Noninterest bearing liabilities: | ||||||||||||||||||||||||||||||||||||||
Deposits | 2,628,869 | 2,966,148 | ||||||||||||||||||||||||||||||||||||
Other | 218,435 | 186,840 | ||||||||||||||||||||||||||||||||||||
Shareholder’s equity | 494,786 | 549,454 | ||||||||||||||||||||||||||||||||||||
Total liabilities and shareholder’s equity | $ | 9,668,300 | $ | 9,305,724 | ||||||||||||||||||||||||||||||||||
Net interest income | $ | 62,917 | $ | 65,841 | ||||||||||||||||||||||||||||||||||
Net interest margin (%) 4 | 2.70 | 2.96 |
Nine months ended September 30 | ||||||||||||||||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||||||||||||||||
(dollars in thousands) | Average balance | Interest income/ expense | Yield/ rate (%) | Average balance | Interest income/ expense | Yield/ rate (%) | ||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||
Interest-earning deposits | $ | 46,499 | $ | 1,855 | 5.26 | $ | 69,813 | $ | 230 | 0.43 | ||||||||||||||||||||||||||||
FHLB stock | 21,465 | 916 | 5.70 | 12,396 | 343 | 3.70 | ||||||||||||||||||||||||||||||||
Investment securities | ||||||||||||||||||||||||||||||||||||||
Taxable | 2,984,976 | 38,524 | 1.72 | 3,192,967 | 42,220 | 1.76 | ||||||||||||||||||||||||||||||||
Non-taxable | 67,911 | 1,536 | 3.00 | 69,265 | 1,185 | 2.27 | ||||||||||||||||||||||||||||||||
Total investment securities | 3,052,887 | 40,060 | 1.75 | 3,262,232 | 43,405 | 1.77 | ||||||||||||||||||||||||||||||||
Loans | ||||||||||||||||||||||||||||||||||||||
Residential 1-4 family | 2,524,994 | 70,076 | 3.70 | 2,320,414 | 60,904 | 3.50 | ||||||||||||||||||||||||||||||||
Commercial real estate | 1,490,412 | 55,551 | 4.93 | 1,256,402 | 33,485 | 3.53 | ||||||||||||||||||||||||||||||||
Home equity line of credit | 1,031,133 | 28,974 | 3.76 | 894,685 | 20,163 | 3.01 | ||||||||||||||||||||||||||||||||
Residential land | 20,362 | 832 | 5.45 | 21,529 | 1,044 | 6.47 | ||||||||||||||||||||||||||||||||
Commercial | 765,251 | 32,045 | 5.56 | 702,489 | 20,350 | 3.85 | ||||||||||||||||||||||||||||||||
Consumer | 257,237 | 17,340 | 9.01 | 140,735 | 11,798 | 11.21 | ||||||||||||||||||||||||||||||||
Total loans 1,2 | 6,089,389 | 204,818 | 4.47 | 5,336,254 | 147,744 | 3.69 | ||||||||||||||||||||||||||||||||
Total interest-earning assets 3 | 9,210,240 | 247,649 | 3.58 | 8,680,695 | 191,722 | 2.94 | ||||||||||||||||||||||||||||||||
Allowance for credit losses | (70,812) | (69,811) | ||||||||||||||||||||||||||||||||||||
Noninterest-earning assets | 472,184 | 608,240 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 9,611,612 | $ | 9,219,124 | ||||||||||||||||||||||||||||||||||
Liabilities and shareholder’s equity: | ||||||||||||||||||||||||||||||||||||||
Savings | $ | 3,021,660 | $ | 1,222 | 0.05 | $ | 3,284,235 | $ | 638 | 0.03 | ||||||||||||||||||||||||||||
Interest-bearing checking | 1,334,576 | 3,556 | 0.36 | 1,347,378 | 295 | 0.03 | ||||||||||||||||||||||||||||||||
Money market | 275,352 | 5,445 | 2.64 | 210,899 | 124 | 0.08 | ||||||||||||||||||||||||||||||||
Time certificates | 822,234 | 20,721 | 3.37 | 423,779 | 2,515 | 0.79 | ||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 5,453,822 | 30,944 | 0.76 | 5,266,291 | 3,572 | 0.09 | ||||||||||||||||||||||||||||||||
Advances from Federal Home Loan Bank | 286,615 | 10,010 | 4.61 | 59,903 | 1,085 | 2.39 | ||||||||||||||||||||||||||||||||
Borrowings from Federal Reserve Bank | 396,630 | 12,989 | 4.38 | — | — | — | ||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 83,484 | 2,172 | 3.48 | 109,028 | 114 | 0.14 | ||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | 6,220,551 | 56,115 | 1.20 | 5,435,222 | 4,771 | 0.12 | ||||||||||||||||||||||||||||||||
Noninterest bearing liabilities: | ||||||||||||||||||||||||||||||||||||||
Deposits | 2,686,245 | 2,988,191 | ||||||||||||||||||||||||||||||||||||
Other | 214,070 | 189,318 | ||||||||||||||||||||||||||||||||||||
Shareholder’s equity | 490,746 | 606,393 | ||||||||||||||||||||||||||||||||||||
Total liabilities and shareholder’s equity | $ | 9,611,612 | $ | 9,219,124 | ||||||||||||||||||||||||||||||||||
Net interest income | $ | 191,534 | $ | 186,951 | ||||||||||||||||||||||||||||||||||
Net interest margin (%) 4 | 2.77 | 2.87 |
September 30, 2023 | December 31, 2022 | |||||||||||||||||||||||||
(dollars in thousands) | Balance | % of total | Balance | % of total | ||||||||||||||||||||||
U.S. Treasury and federal agency obligations | $ | 134,912 | 5 | % | $ | 140,957 | 5 | % | ||||||||||||||||||
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies | 2,297,260 | 93 | 2,484,821 | 92 | ||||||||||||||||||||||
Corporate bonds | 31,751 | 1 | 40,734 | 2 | ||||||||||||||||||||||
Mortgage revenue bonds | 14,494 | 1 | 14,902 | 1 | ||||||||||||||||||||||
Total investment securities | $ | 2,478,417 | 100 | % | $ | 2,681,414 | 100 | % |
Nine months ended September 30 | Year ended December 31, 2022 | |||||||||||||||||||
(in thousands) | 2023 | 2022 | ||||||||||||||||||
Allowance for credit losses, beginning of period | $ | 72,216 | $ | 71,130 | $ | 71,130 | ||||||||||||||
Provision for credit losses | 9,353 | (192) | 2,537 | |||||||||||||||||
Less: net charge-offs | 5,203 | 532 | 1,451 | |||||||||||||||||
Allowance for credit losses, end of period | $ | 76,366 | $ | 70,406 | $ | 72,216 | ||||||||||||||
Ratio of net charge-offs during the period to average loans outstanding (annualized) | 0.11 | % | 0.01 | % | 0.03 | % |
(dollars in millions) | September 30, 2023 | December 31, 2022 | % change | |||||||||||||||||
Total assets | $ | 9,657 | $ | 9,546 | 1 | |||||||||||||||
Investment securities | 2,478 | 2,681 | (8) | |||||||||||||||||
Loans held for investment, net | 6,115 | 5,907 | 4 | |||||||||||||||||
Deposit liabilities | 8,224 | 8,170 | 1 | |||||||||||||||||
Other bank borrowings | 750 | 695 | 8 |
Change in interest rates | Change in NII (gradual change in interest rates) | Change in EVE (instantaneous change in interest rates) | ||||||||||||||||||||||||
(basis points) | September 30, 2023 | December 31, 2022 | September 30, 2023 | December 31, 2022 | ||||||||||||||||||||||
+300 | 0.2 | % | (0.1 | %) | 1.8 | % | 5.1 | % | ||||||||||||||||||
+200 | 0.2 | — | 1.7 | 3.8 | ||||||||||||||||||||||
+100 | 0.1 | — | 1.3 | 2.1 | ||||||||||||||||||||||
-100 | (0.4) | (0.3) | (2.1) | (3.4) | ||||||||||||||||||||||
-200 | (1.0) | (0.9) | (4.7) | (7.8) | ||||||||||||||||||||||
-300 | (1.7) | (1.7) | (8.5) | (13.8) |
Change in interest rates | Change in NII (gradual change in interest rates) | Change in EVE (instantaneous change in interest rates) | ||||||||||
(basis points) | September 30, 2017 | December 31, 2016 | September 30, 2017 | December 31, 2016 | ||||||||
+300 | 3.4 | % | 1.9 | % | (6.0 | )% | (8.0 | )% | ||||
+200 | 2.5 | 0.8 | (2.7 | ) | (4.6 | ) | ||||||
+100 | 1.4 | — | — | (1.6 | ) | |||||||
-100 | (2.6 | ) | (0.5 | ) | (6.1 | ) | (1.6 | ) |
Period* | Total Number of Shares Purchased ** | Average Price Paid per Share ** | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Maximum Number (or Approximate Dollar Value) of Shares that May Yet Be Purchased Under the Plans or Programs | |||||
July 1 to 31, 2017 | 33,787 | $32.51 | — | NA | |||||
August 1 to 31, 2017 | 25,972 | $33.23 | — | NA | |||||
September 1 to 30, 2017 | 181,072 | $34.33 | — | NA |
Period* | Total Number of Shares Purchased ** | Average Price Paid per Share ** | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Maximum Number (or Approximate Dollar Value) of Shares that May Yet Be Purchased Under the Plans or Programs | ||||||||||||||||||||||
July 1 to 31, 2023 | 14,114 | $37.46 | — | NA | ||||||||||||||||||||||
August 1 to 31, 2023 | 101,641 | $14.96 | — | NA | ||||||||||||||||||||||
September 1 to 30, 2023 | 103,693 | $12.53 | — | NA |
Nine months ended September 30 | Years ended December 31 | ||||||||||||||||||||
2017 | 2016 | 2016 | 2015 | 2014 | 2013 | 2012 | |||||||||||||||
HEI and Subsidiaries | |||||||||||||||||||||
Excluding interest on ASB deposits | 3.92 | 5.34 | 5.05 | 3.68 | 3.80 | 3.55 | 3.30 | ||||||||||||||
Including interest on ASB deposits | 3.66 | 5.04 | 4.75 | 3.54 | 3.65 | 3.42 | 3.15 | ||||||||||||||
Hawaiian Electric and Subsidiaries | 3.58 | 4.18 | 4.11 | 3.97 | 4.04 | 3.72 | 3.37 |
Certification Pursuant to Rule 13a-14 promulgated under the Securities Exchange Act of 1934 of Scott W. H. Seu (HEI Chief Executive Officer) | ||||||||
Certification Pursuant to Rule 13a-14 promulgated under the Securities Exchange Act of 1934 of | ||||||||
HEI Certification Pursuant to 18 U.S.C. Section 1350 | ||||||||
HEI Exhibit 101.INS | XBRL Instance Document - the instance document does not appear on the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document | |||||||
HEI Exhibit 101.SCH | Inline XBRL Taxonomy Extension Schema Document | |||||||
HEI Exhibit 101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |||||||
HEI Exhibit 101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | |||||||
HEI Exhibit 101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | |||||||
HEI Exhibit 101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |||||||
HEI Exhibit 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) | |||||||
Certification Pursuant to Rule 13a-14 promulgated under the Securities Exchange Act of 1934 of Shelee M. T. Kimura (Hawaiian Electric Chief Executive Officer) | ||||||||
Certification Pursuant to Rule 13a-14 promulgated under the Securities Exchange Act of 1934 of | ||||||||
Hawaiian Electric Certification Pursuant to 18 U.S.C. Section 1350 |
HAWAIIAN ELECTRIC INDUSTRIES, INC. | HAWAIIAN ELECTRIC COMPANY, INC. | |||||||||||||
(Registrant) | (Registrant) | |||||||||||||
By | /s/ | By | /s/ | |||||||||||
President and Chief Executive Officer | President and Chief Executive Officer | |||||||||||||
(Principal Executive Officer of HEI) | (Principal Executive Officer of Hawaiian Electric) | |||||||||||||
By | /s/ | By | /s/ | |||||||||||
Executive Vice President, | Senior Vice President, | |||||||||||||
Chief Financial Officer and Treasurer | ||||||||||||||
(Principal Financial | (Principal Financial Officer of Hawaiian Electric) | |||||||||||||
Date: November | Date: November |