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Ameren Announces Third Quarter 2015 Results

The following excerpt is from the company's SEC filing.

and Narrows 2015 Earnings Guidance Range

Third Quarter Diluted Earnings Per Share Were

in 2015, Compared with

in 2014

Guidance Range for 2015 Core (Non-GAAP) Diluted EPS Narrowed to $2.55 to $2.65 from $2.45 to $2.65; GAAP Range is Now $2.58 to $2.68

ST. LOUIS (Nov. 6, 2015) — Ameren Corporation (NYSE: AEE) today announced net income attributable to common stockholders of

$343 million

per diluted share, for the third quarter of 2015, compared with

$293 million

per diluted share, for the third quarter of 2014.

The year-over-year increase in third quarter 2015 earnings reflected higher retail electric sales volumes driven by warmer summer temperatures that were near normal. The comparison also was favorably affected by earnings on increased investments in electric transmission and delivery infrastructure made under formula ratemaking. In addition, earnings benefited from a seasonal rate redesign and the timing of revenues under formula ratemaking for Ameren Illinois' electric delivery service as well as a lower effective income tax rate.

"We are on track to deliver strong earnings growth in 2015," said Warner L. Baxter, chairman, president and chief executive officer of Ameren Corporation. “This growth is driven by the execution of our strategy, which includes allocating capital to jurisdictions with modern, constructive regulatory frameworks and managing our costs in a disciplined manner for the benefit of all our stakeholders.”

Ameren recorded net income attributable to common stockholders in accordance with generally accepted accounting principles (GAAP) of

$601 million

per diluted share, for the nine months ended Sept. 30, 2015, compared to

$538 million

per diluted share, for the comparable 2014 period. Excluding certain items discussed below, Ameren recorded core earnings of $592 million, or $2.44 per

NEWS RELEASE

diluted share, for the first nine months of 2015, compared to core earnings of

$541 million

This year-over-year increase in nine-months 2015 core results was favorably affected by earnings on increased investments in electric transmission and delivery infrastructure made under formula ratemaking, a lower effective income tax rate, lower other operations and maintenance expenses, and reduced parent company interest costs. These positive factors were partially offset by higher depreciation and amortization expenses and lower capitalized Ameren Missouri financing costs.

The following items were excluded from core earnings for the first nine months of 2015 and 2014, as applicable:

Results from discontinued operations, primarily reflecting recognition of a tax benefit related to the resolution of an uncertain tax position, which increased GAAP net income by $52 million in 2015.

A provision for discontinuing pursuit of a construction and operating license (COL) for a second nuclear unit at Ameren Missouri's Callaway Energy Center, which decreased net income from continuing operations by $43 million in 2015.

A reconciliation of GAAP to core earnings per diluted share is as follows:

Three Months

Nine Months

GAAP EPS

Provision for Callaway COL

Core EPS

Ameren has narrowed its guidance for 2015 core diluted earnings per share to a range of $2.55 to $2.65, compared with the prior range of $2.45 to $2.65, based on year-to-date results. This core earnings guidance excludes results from discontinued operations and the provision for a Callaway COL. GAAP 2015 diluted earnings per share are now expected to be in a range of $2.58 to $2.68, compared to the prior range of $2.48 to $2.68.

Earnings guidance for 2015 assumes normal temperatures for the last three months of this year and is subject to the effects of, among other things, 30-year U.S. Treasury bond yields; regulatory decisions and legislative actions; energy center and energy delivery operations; energy, economic, capital and credit market conditions; severe storms; unusual or otherwise unexpected gains or losses; and other risks and uncertainties outlined, or referred to, in the Forward-looking Statements section of this press release.

Ameren Missouri Segment Results

Ameren Missouri segment third quarter 2015 earnings were

$239 million

, compared with third quarter 2014 earnings of

$222 million

. This comparison benefited from higher retail electric sales volumes driven by warmer summer temperatures in 2015 that were near normal.

Ameren Illinois Segment Results

Ameren Illinois segment third quarter 2015 earnings were

$98 million

$75 million

. This comparison benefited from earnings on increased investments in electric transmission and delivery infrastructure made under formula ratemaking. In addition, electric delivery service earnings benefited from a seasonal rate redesign and the timing of revenues under formula ratemaking. The earnings comparison also was favorably affected by higher retail electric sales volumes partially driven by warmer summer temperatures in 2015 that were near normal. These positive factors were partially offset by lower recognized allowed returns on equity for the electric transmission and delivery businesses.

Other Results, including Parent and ATXI

Other earnings, including those of the parent company and Ameren Transmission Company of Illinois (ATXI), for the third quarter of 2015 were

$6 million

, compared with a loss of

$3 million

for the third quarter of 2014. These improvements reflected an increase in earnings at ATXI to $9 million from $5 million as a result of increased investments in electric transmission infrastructure made under formula ratemaking, reduced by a lower recognized allowed return on equity. The comparison also benefited from a lower effective income tax rate.

Analyst Conference Call

Ameren will conduct a conference call for financial analysts at 9 a.m. Central Time on Friday, Nov. 6, to discuss third quarter 2015 earnings, earnings guidance, and regulatory and other matters. Investors, the news media and the public may listen to a live Internet broadcast of the call at Ameren.com by clicking on “Q3 2015 Ameren Corporation Earnings Conference Call,” followed by the appropriate audio link. An accompanying slide presentation will be available on Ameren’s website. The conference call and this presentation will be accessible in the “Investors” section of the website under “Webcasts & Presentations.” The analyst call will be available for replay on Ameren’s website for one year. In addition, a telephone replay of the conference call will be available beginning at approximately noon Central Time from Nov. 6 through Nov. 13 by dialing U.S. and Canada 877.660.6853 or international 201.612.7415, and entering ID number 13622386.

About Ameren

St. Louis-based Ameren Corporation powers the quality of life for 2.4 million electric customers and more than 900,000 natural gas customers in a 64,000-square-mile area through its Ameren Missouri and Ameren Illinois rate-regulated utility...


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