Green MT Power (NYSE:GMP)
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From Aug 2019 to Aug 2024
Green Mountain Power Corporation (NYSE: GMP) today
announced consolidated earnings of $0.45 per share of common stock,
diluted, for the second quarter of 2005, compared with $0.34 per
share, diluted, for the same period in 2004. Earnings for the first
six months of 2005 are $1.02 per share, diluted, compared with $1.06
per share, diluted, for the same period in 2004.
"We are pleased with operating results for the second quarter,
which reflect lower power supply costs and increased sales to
residential and small commercial and industrial customers," said
Christopher L. Dutton, President and Chief Executive Officer. "We
continue to expect earnings for the year to range between $2.08 and
$2.19 per share."
Total operating revenues were essentially unchanged while power
supply expenses decreased by $2.6 million in the second quarter of
2005, compared with the same period last year. The increased margins
(operating revenues less cost of power) caused second quarter 2005
earnings per share to increase by approximately 30 cents, including
the effects of an adjustment to operating reserves. Increased
deliveries of lower priced energy under power supply contracts, lower
power supply contract unit prices and higher retail sales of
electricity all contributed to greater margins on the sale of
electricity during the second quarter of 2005.
Retail operating revenues for the second quarter of 2005 rose by
$1.9 million over the comparable 2004 period, reflecting increased
sales of electricity. Total retail megawatthour sales of electricity
increased 1.6 percent in the second quarter of 2005, compared with the
same period in 2004, primarily as a result of increases in residential
and small commercial and industrial sales of 3.7 percent and 3.2
percent, respectively. These increases were partially offset by a 1.7
percent decrease in sales to large commercial and industrial customers
during the second quarter of 2005. The retail sales growth was
principally due to warmer weather in June 2005 and an increase in the
number of customers served. Increased revenues in the second quarter
of 2005 from the sale of utility services to commercial and municipal
customers also contributed approximately $500,000 to retail revenue
growth, when compared to the same period last year.
Wholesale revenues in the second quarter of 2005 decreased by $1.8
million compared with the second quarter of 2004. Wholesale purchases
of electricity declined by a similar amount. The Company does not
expect the decline in these low-margin wholesale sales to adversely
affect the Company's earnings in 2005.
In the second quarter of 2005, power supply expenses decreased
$2.6 million compared with the same quarter of 2004, primarily due to
a $1.8 million decrease in purchases of electricity for resale,
increased deliveries of lower priced energy under one of our power
supply contracts and lower unit prices under our contract to purchase
energy from the Vermont Yankee nuclear power plant, offset in part by
higher expenses to meet increased customer demand for electricity.
Other operating expenses increased by $596,000, or seven cents per
share, in the second quarter of 2005, compared with the same quarter
in 2004, reflecting increased expenses from the sale of utility
services to commercial and municipal customers and increased
regulatory commission expenses.
Transmission expenses increased by approximately $430,000,
reducing earnings per share by five cents in the second quarter of
2005 compared with the same period last year, reflecting an increase
in charges allocated for system support in New England by the ISO New
England, and additional transmission investment by VELCO, which owns
and operates transmission systems in Vermont for all Vermont
utilities.
Depreciation and amortization expenses increased by approximately
$270,000 or three cents per share in the second quarter of 2005 as a
result of increased investment in utility plant and increased
amortization of regulatory assets, when compared with the same period
during 2004. Other income decreased by approximately $239,000 or three
cents per share in the second quarter of 2005, compared with the same
period last year, reflecting sales of non-utility property in 2004.
"We're very pleased with our present outlook. We maintain
investment grade credit ratings, our cash flow and earnings
projections for 2005 are solid, and most importantly, customer
satisfaction measurements remain strong," said Mr. Dutton. "All of
these factors should allow us to increase dividends in 2006, as we
have during each of the past several years."
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*T
Green Mountain Power Corporation
in thousands except per share amounts
Quarterly Earnings Summary
Three Months Six months
Ended ended
June 30 June 30
2005 2004 2005 2004
-------------------------------------------
Retail revenues $50,870 $49,008 $105,291 $103,613
Wholesale revenues 4,018 5,860 7,846 14,778
-------- -------- --------- ---------
Total operating revenues $54,888 $54,868 $113,137 $118,391
-------- -------- --------- ---------
Net income $2,381 $1,782 $5,361 $5,515
Net income applicable to
common stock 2,381 1,782 5,361 5,515
Net income-continuing
operations 2,384 1,783 5,367 5,522
Net income(loss)-
discontinued operations (3) (1) (6) (7)
Basic earnings per share-
continuing operations $0.46 $0.35 $1.04 $1.09
Basic earnings(loss) per
share-discontinued
operations - - - -
-------- -------- --------- ---------
Basic earnings per Common
share $0.46 $0.35 $1.04 $1.09
======== ======== ========= =========
Diluted earnings per share-
continuing operations $0.45 $0.34 $1.02 $1.06
Diluted earnings(loss) per
share-discontinued
operations - - - -
-------- -------- --------- ---------
Fully diluted earnings per
common share $0.45 $0.34 $1.02 $1.06
======== ======== ========= =========
Dividends declared per
share $0.25 $0.22 $0.50 $0.44
Weighted average shares of
common stock outstanding-
Basic 5,186 5,072 5,173 5,058
Weighted average shares of
common stock outstanding-
Diluted 5,271 5,228 5,261 5,219
*T
There are statements in this information release that contain
projections or estimates and that are considered to be
"forward-looking" as defined by the Securities and Exchange Commission
(the "SEC"). In these statements, you may find words such as believes,
expects, plans, or similar words. These statements are not guarantees
of our future performance. There are risks, uncertainties and other
factors that could cause actual results to be different from those
projected.
-- 30 --
For further information, please contact Robert Griffin, Chief
Financial Officer of Green Mountain Power, (802) 655-8452 or Stephen
C. Terry, Sr. Vice President - Corporate & Legal Affairs, (802)
655-8408.
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