VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||
(Unaudited - in millions, except per share amounts) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
OPERATING REVENUES: | ||||||||
Gas utility | $ | 352.9 | $ | 443.6 | ||||
Electric utility | 153.9 | 163.0 | ||||||
Nonutility | 199.4 | 190.2 | ||||||
Total operating revenues | 706.2 | 796.8 | ||||||
OPERATING EXPENSES: | ||||||||
Cost of gas sold | 172.0 | 270.9 | ||||||
Cost of fuel and purchased power | 50.1 | 57.0 | ||||||
Cost of nonutility revenues | 64.3 | 67.7 | ||||||
Other operating | 231.1 | 207.6 | ||||||
Depreciation and amortization | 62.9 | 73.8 | ||||||
Taxes other than income taxes | 19.7 | 20.8 | ||||||
Total operating expenses | 600.1 | 697.8 | ||||||
OPERATING INCOME | 106.1 | 99.0 | ||||||
OTHER INCOME (EXPENSE): | ||||||||
Equity in earnings (losses) of unconsolidated affiliates | — | (0.1 | ) | |||||
Other income - net | 5.6 | 4.3 | ||||||
Total other income | 5.6 | 4.2 | ||||||
INTEREST EXPENSE | 21.0 | 22.1 | ||||||
INCOME BEFORE INCOME TAXES | 90.7 | 81.1 | ||||||
INCOME TAXES | 33.7 | 29.9 | ||||||
NET INCOME | $ | 57.0 | $ | 51.2 | ||||
AVERAGE COMMON SHARES OUTSTANDING | 82.6 | 82.4 | ||||||
DILUTED COMMON SHARES OUTSTANDING | 82.6 | 82.5 | ||||||
EARNINGS PER SHARE OF COMMON STOCK | ||||||||
BASIC | $ | 0.69 | $ | 0.62 | ||||
DILUTED | $ | 0.69 | $ | 0.62 | ||||
VECTREN UTILITY HOLDINGS | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||
(Unaudited - in millions) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
OPERATING REVENUES: | ||||||||
Gas utility | $ | 352.9 | $ | 443.6 | ||||
Electric utility | 153.9 | 163.0 | ||||||
Other | 0.1 | — | ||||||
Total operating revenues | 506.9 | 606.6 | ||||||
OPERATING EXPENSES: | ||||||||
Cost of gas sold | 172.0 | 270.9 | ||||||
Cost of fuel and purchased power | 50.1 | 57.0 | ||||||
Other operating | 102.8 | 98.3 | ||||||
Depreciation and amortization | 52.1 | 49.9 | ||||||
Taxes other than income taxes | 19.1 | 20.1 | ||||||
Total operating expenses | 396.1 | 496.2 | ||||||
OPERATING INCOME | 110.8 | 110.4 | ||||||
OTHER INCOME - NET | 4.9 | 3.9 | ||||||
INTEREST EXPENSE | 16.6 | 16.7 | ||||||
INCOME BEFORE INCOME TAXES | 99.1 | 97.6 | ||||||
INCOME TAXES | 36.1 | 36.3 | ||||||
NET INCOME | $ | 63.0 | $ | 61.3 | ||||
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(Unaudited - in millions) | ||||||||
March 31, | December 31 | |||||||
2015 | 2014 | |||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash & cash equivalents | $ | 17.1 | $ | 86.4 | ||||
Accounts receivable - less reserves of $7.3 & | ||||||||
$6.0, respectively | 243.3 | 196.0 | ||||||
Accrued unbilled revenues | 144.4 | 164.8 | ||||||
Inventories | 92.7 | 118.5 | ||||||
Recoverable fuel & natural gas costs | — | 9.8 | ||||||
Prepayments & other current assets | 46.5 | 110.9 | ||||||
Total current assets | 544.0 | 686.4 | ||||||
Utility Plant | ||||||||
Original cost | 5,778.0 | 5,718.7 | ||||||
Less: accumulated depreciation & amortization | 2,316.9 | 2,279.7 | ||||||
Net utility plant | 3,461.1 | 3,439.0 | ||||||
Investments in unconsolidated affiliates | 23.4 | 23.4 | ||||||
Other utility & corporate investments | 37.5 | 37.2 | ||||||
Other nonutility investments | 33.8 | 33.6 | ||||||
Nonutility plant - net | 380.8 | 378.0 | ||||||
Goodwill - net | 289.9 | 289.9 | ||||||
Regulatory assets | 224.8 | 233.6 | ||||||
Other assets | 40.1 | 41.2 | ||||||
TOTAL ASSETS | $ | 5,035.4 | $ | 5,162.3 | ||||
LIABILITIES & SHAREHOLDERS' EQUITY | ||||||||
Current Liabilities | ||||||||
Accounts payable | $ | 216.1 | $ | 248.9 | ||||
Refundable fuel & natural gas costs | 23.0 | 2.5 | ||||||
Accrued liabilities | 190.5 | 184.9 | ||||||
Short-term borrowings | 6.4 | 156.4 | ||||||
Current maturities of long-term debt | 225.0 | 170.0 | ||||||
Total current liabilities | 661.0 | 762.7 | ||||||
Long-term Debt - Net of Current Maturities | 1,347.4 | 1,407.3 | ||||||
Deferred Credits & Other Liabilities | ||||||||
Deferred income taxes | 753.3 | 741.2 | ||||||
Regulatory liabilities | 417.1 | 410.3 | ||||||
Deferred credits & other liabilities | 222.7 | 234.2 | ||||||
Total deferred credits & other liabilities | 1,393.1 | 1,385.7 | ||||||
Common Shareholders' Equity | ||||||||
Common stock (no par value) – issued & outstanding | ||||||||
82.6 shares | 717.5 | 715.7 | ||||||
Retained earnings | 917.7 | 892.2 | ||||||
Accumulated other comprehensive (loss) | (1.3 | ) | (1.3 | ) | ||||
Total common shareholders' equity | 1,633.9 | 1,606.6 | ||||||
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY | $ | 5,035.4 | $ | 5,162.3 |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(Millions - Unaudited) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | $ | 57.0 | $ | 51.2 | ||||
Adjustments to reconcile net income to cash from operating activities: | ||||||||
Depreciation & amortization | 62.9 | 73.8 | ||||||
Deferred income taxes & investment tax credits | 14.6 | 5.7 | ||||||
Provision for uncollectible accounts | 3.3 | 2.3 | ||||||
Expense portion of pension & postretirement benefit cost | 1.6 | 1.0 | ||||||
Other non-cash items - net | 1.6 | 3.0 | ||||||
Changes in working capital accounts: | ||||||||
Accounts receivable & accrued unbilled revenues | (30.2 | ) | (4.9 | ) | ||||
Inventories | 25.8 | 29.1 | ||||||
Recoverable/refundable fuel & natural gas costs | 30.3 | (24.2 | ) | |||||
Prepayments & other current assets | 61.2 | 38.4 | ||||||
Accounts payable, including to affiliated companies | (27.6 | ) | (20.0 | ) | ||||
Accrued liabilities | 5.6 | 19.2 | ||||||
Employer contributions to pension & postretirement plans | (20.9 | ) | (0.9 | ) | ||||
Changes in noncurrent assets | 11.3 | 9.1 | ||||||
Changes in noncurrent liabilities | 3.6 | (0.8 | ) | |||||
Net cash provided by operating activities | 200.1 | 182.0 | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Proceeds from dividend reinvestment plan & other common stock issuances | 1.6 | 1.7 | ||||||
Requirements for: | ||||||||
Dividends on common stock | (31.5 | ) | (29.7 | ) | ||||
Retirement of long-term debt | (5.0 | ) | (30.0 | ) | ||||
Net change in short-term borrowings | (150.0 | ) | (14.4 | ) | ||||
Net cash used in financing activities | (184.9 | ) | (72.4 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Proceeds from other collections | 0.8 | 1.1 | ||||||
Requirements for capital expenditures, excluding AFUDC equity | (85.3 | ) | (77.7 | ) | ||||
Net cash used in investing activities | (84.5 | ) | (76.6 | ) | ||||
Net change in cash & cash equivalents | (69.3 | ) | 33.0 | |||||
Cash & cash equivalents at beginning of period | 86.4 | 21.5 | ||||||
Cash & cash equivalents at end of period | $ | 17.1 | $ | 54.5 |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
HIGHLIGHTS | ||||||||
(Unaudited - in millions, except per share amounts) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
REPORTED EARNINGS: | ||||||||
Utility Group | ||||||||
Gas Utility Services | $ | 40.4 | $ | 38.3 | ||||
Electric Utility Services | 19.2 | 19.3 | ||||||
Other Operations | 3.4 | 3.7 | ||||||
Total Utility Group | 63.0 | 61.3 | ||||||
Nonutility Group | ||||||||
Infrastructure Services | (2.6 | ) | (5.3 | ) | ||||
Energy Services | (3.1 | ) | (3.0 | ) | ||||
Other Businesses | (0.2 | ) | (0.3 | ) | ||||
Nonutility Group, excluding Coal Mining * | (5.9 | ) | (8.6 | ) | ||||
Corporate and Other | (0.1 | ) | (0.4 | ) | ||||
Vectren Consolidated, excluding Coal Mining * | $ | 57.0 | $ | 52.3 | ||||
Coal Mining | — | (1.1 | ) | |||||
Vectren Consolidated | $ | 57.0 | $ | 51.2 | ||||
EARNINGS PER SHARE: | ||||||||
Utility Group | $ | 0.76 | $ | 0.74 | ||||
Nonutility, excluding Coal Mining * | (0.07 | ) | (0.11 | ) | ||||
Corporate and Other | — | — | ||||||
EPS, excluding Coal Mining * | $ | 0.69 | $ | 0.63 | ||||
Coal Mining | — | (0.01 | ) | |||||
Reported EPS | $ | 0.69 | $ | 0.62 | ||||
(*) Excludes Coal Mining Results in 2014 - Year of Disposition | ||||||||
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
SELECTED GAS DISTRIBUTION | ||||||||
OPERATING STATISTICS | ||||||||
(Unaudited) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
GAS UTILITY (Millions): | ||||||||
Residential Margin | $ | 95.8 | $ | 92.9 | ||||
Commercial Margin | 30.5 | 30.3 | ||||||
Industrial Margin | 19.3 | 18.8 | ||||||
Other Margin | 3.4 | 3.6 | ||||||
Regulatory Expense Recovery Mechanisms | 31.9 | 27.1 | ||||||
Total Gas Utility Margin | 180.9 | 172.7 | ||||||
Cost of Gas Sold | 172.0 | 270.9 | ||||||
Total Gas Utility Revenue | $ | 352.9 | $ | 443.6 | ||||
GAS SOLD & TRANSPORTED (MMDth): | ||||||||
Residential | 43.2 | 45.7 | ||||||
Commercial | 19.0 | 19.9 | ||||||
Industrial | 38.0 | 36.0 | ||||||
100.2 | 101.6 | |||||||
AVERAGE GAS CUSTOMERS | ||||||||
Residential | 926,893 | 921,285 | ||||||
Commercial | 85,639 | 85,496 | ||||||
Industrial | 1,683 | 1,658 | ||||||
1,014,215 | 1,008,439 | |||||||
WEATHER AS A PERCENT OF NORMAL (ANNUALIZED): | ||||||||
Heating Degree Days (Ohio) | 109 | % | 111 | % |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
SELECTED ELECTRIC | ||||||||
OPERATING STATISTICS | ||||||||
(Unaudited) | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
ELECTRIC UTILITY (Millions): | ||||||||
Residential Margin | $ | 38.4 | $ | 39.1 | ||||
Commercial Margin | 25.3 | 25.2 | ||||||
Industrial Margin | 26.8 | 26.0 | ||||||
Other Margin | 1.0 | 0.9 | ||||||
Regulatory Expense Recovery Mechanisms | 3.3 | 4.8 | ||||||
Wholesale and Transmission | 9.0 | 10.0 | ||||||
Total Electric Utility Margin | 103.8 | 106.0 | ||||||
Cost of Fuel & Purchased Power | 50.1 | 57.0 | ||||||
Total Electric Utility Revenue | $ | 153.9 | $ | 163.0 | ||||
ELECTRICITY SOLD (GWh): | ||||||||
Residential | 395.2 | 412.0 | ||||||
Commercial | 307.4 | 307.1 | ||||||
Industrial | 672.9 | 660.1 | ||||||
Other Sales - Street Lighting | 6.1 | 6.0 | ||||||
Total Retail | 1,381.6 | 1,385.2 | ||||||
Wholesale | 136.8 | 246.1 | ||||||
1,518.4 | 1,631.3 | |||||||
AVERAGE ELECTRIC CUSTOMERS | ||||||||
Residential | 124,876 | 124,448 | ||||||
Commercial | 18,465 | 18,420 | ||||||
Industrial | 113 | 114 | ||||||
Other | 38 | 37 | ||||||
143,492 | 143,019 | |||||||
WEATHER AS A PERCENT OF NORMAL (ANNUALIZED): | ||||||||
Heating Degree Days (Indiana) | 105 | % | 108 | % |