CHESAPEAKE UTILITIES CORPORATION REPORTS THIRD QUARTER 2024 RESULTS
Chesapeake Utilities (NYSE: CPK) reported Q3 2024 net income of $17.5 million ($0.78 per share), compared to $9.4 million ($0.53 per share) in Q3 2023. Excluding FCG acquisition-related expenses, adjusted net income was $18.1 million ($0.80 per share). For the first nine months of 2024, net income reached $81.9 million ($3.66 per share). The company affirmed its 2024 EPS guidance of $5.33-$5.45 and capital expenditure guidance of $300-360 million. Growth was driven by FCG contributions, infrastructure programs, pipeline expansions, and natural gas distribution growth. The company projects 2025 EPS of $6.15-$6.35 and 2028 EPS of $7.75-$8.00.
Chesapeake Utilities (NYSE: CPK) ha riportato un utile netto per il terzo trimestre del 2024 di 17,5 milioni di dollari (0,78 dollari per azione), rispetto a 9,4 milioni di dollari (0,53 dollari per azione) nel terzo trimestre del 2023. Escludendo le spese relative all'acquisizione della FCG, l'utile netto rettificato è stato di 18,1 milioni di dollari (0,80 dollari per azione). Nei primi nove mesi del 2024, l'utile netto ha raggiunto 81,9 milioni di dollari (3,66 dollari per azione). L'azienda ha confermato le sue previsioni di EPS per il 2024 di 5,33-5,45 dollari e le previsioni di spese in conto capitale di 300-360 milioni di dollari. La crescita è stata sostenuta dai contributi della FCG, dai programmi infrastrutturali, dalle espansioni delle pipeline e dalla crescita nella distribuzione di gas naturale. L'azienda prevede un EPS di 6,15-6,35 dollari per il 2025 e di 7,75-8,00 dollari per il 2028.
Chesapeake Utilities (NYSE: CPK) reportó un ingreso neto del tercer trimestre de 2024 de 17.5 millones de dólares (0.78 dólares por acción), en comparación con 9.4 millones de dólares (0.53 dólares por acción) en el tercer trimestre de 2023. Excluyendo los gastos relacionados con la adquisición de FCG, el ingreso neto ajustado fue de 18.1 millones de dólares (0.80 dólares por acción). En los primeros nueve meses de 2024, el ingreso neto alcanzó los 81.9 millones de dólares (3.66 dólares por acción). La compañía reafirmó su guía de EPS para 2024 de 5.33-5.45 dólares y su guía de gastos de capital de 300-360 millones de dólares. El crecimiento fue impulsado por las contribuciones de FCG, programas de infraestructura, expansiones de tuberías y crecimiento en la distribución de gas natural. La compañía proyecta un EPS de 6.15-6.35 dólares para 2025 y de 7.75-8.00 dólares para 2028.
체서피크 유틸리티스 (NYSE: CPK)는 2024년 3분기 순이익이 1,750만 달러(주당 0.78달러)로, 2023년 3분기의 940만 달러(주당 0.53달러)와 비교되었다고 보고했습니다. FCG 인수 관련 비용을 제외하면 조정된 순이익은 1,810만 달러(주당 0.80달러)였습니다. 2024년 첫 9개월 동안 순이익은 8,190만 달러(주당 3.66달러)에 달했습니다. 회사는 2024년 EPS 가이던스를 5.33-5.45달러, 자본지출 가이던스를 3억-3억 6천만 달러로 확정했습니다. 성장은 FCG 기여, 인프라 프로그램, 파이프라인 확장 및 천연가스 배급 성장에 의해 이루어졌습니다. 회사는 2025년 EPS를 6.15-6.35달러, 2028년 EPS를 7.75-8.00달러로 예상하고 있습니다.
Chesapeake Utilities (NYSE: CPK) a déclaré un bénéfice net de 17,5 millions de dollars (0,78 dollar par action) pour le troisième trimestre 2024, contre 9,4 millions de dollars (0,53 dollar par action) au troisième trimestre 2023. En excluant les frais liés à l'acquisition de FCG, le bénéfice net ajusté a été de 18,1 millions de dollars (0,80 dollar par action). Pour les neuf premiers mois de 2024, le bénéfice net a atteint 81,9 millions de dollars (3,66 dollars par action). La société a confirmé ses prévisions de BPA pour 2024, s'élevant à 5,33-5,45 dollars, ainsi que ses prévisions de dépenses d'investissement de 300 à 360 millions de dollars. La croissance a été soutenue par les contributions de FCG, les programmes d'infrastructure, l'expansion des pipelines et la croissance de la distribution de gaz naturel. L'entreprise prévoit un BPA de 6,15-6,35 dollars pour 2025 et de 7,75-8,00 dollars pour 2028.
Chesapeake Utilities (NYSE: CPK) berichtete für das 3. Quartal 2024 einen Nettogewinn von 17,5 Millionen Dollar (0,78 Dollar pro Aktie), verglichen mit 9,4 Millionen Dollar (0,53 Dollar pro Aktie) im 3. Quartal 2023. Ohne die mit der FCG-Akquisition verbundenen Kosten betrug das bereinigte Nettoergebnis 18,1 Millionen Dollar (0,80 Dollar pro Aktie). In den ersten neun Monaten des Jahres 2024 erreichte der Nettogewinn 81,9 Millionen Dollar (3,66 Dollar pro Aktie). Das Unternehmen bestätigte seine EPS-Prognose für 2024 von 5,33-5,45 Dollar und die Prognose für Investitionen von 300-360 Millionen Dollar. Das Wachstum wurde durch die Beiträge von FCG, Infrastrukturprogramme, Pipeline-Erweiterungen und das Wachstum der Naturgasverteilung getrieben. Das Unternehmen prognostiziert ein EPS von 6,15-6,35 Dollar für 2025 und 7,75-8,00 Dollar für 2028.
- Net income increased 86% YoY to $17.5 million in Q3 2024
- Adjusted gross margin grew by 29.1% to $121.9 million in Q3 2024
- Operating income doubled to $40.9 million in Q3 2024
- Company affirmed 2024 EPS guidance of $5.33-$5.45
- Strong customer growth of 4% in both Delmarva and Florida
- Increased interest expense from FCG acquisition debt
- Higher operating expenses due to FCG integration
- Additional shares outstanding causing dilution
Insights
Chesapeake Utilities delivered a strong Q3 2024 with
- Adjusted gross margin grew
29.1% to$121.9 million , driven by FCG acquisition and organic growth - Capital expenditure of nearly
$100 million in Q3 alone - Company affirmed 2024 adjusted EPS guidance of
$5.33 to$5.45 - Strong
4% customer growth in both Delmarva and Florida markets
The company's ambitious five-year capital plan of
- Net income and earnings per share ("EPS")* were
and$17.5 million , respectively, for the third quarter of 2024, and$0.78 and$81.9 million , respectively, for the nine months ended September 30, 2024$3.66 - Adjusted net income and Adjusted EPS**, which exclude transaction and transition-related expenses attributable to the acquisition and integration of Florida City Gas ("FCG"), were
and$18.1 million , respectively, for the third quarter of 2024 and$0.80 and$84.2 million , respectively, for the nine months ended September 30, 2024$3.76 - Adjusted gross margin** growth of
during the first nine months of 2024 driven by contributions from FCG, regulatory initiatives and infrastructure programs, natural gas organic growth, continued pipeline expansion projects, and additional customer consumption$89.3 million - Results continue to track in line with Management's expectations, and the Company continues to affirm 2024 EPS and capital guidance
Net income for the third quarter of 2024 was
The higher results for the third quarter of 2024 were largely attributable to incremental contributions from FCG, additional margin from regulated infrastructure programs, continued pipeline expansion projects to support distribution growth, growth in the Company's natural gas distribution businesses and increased levels of virtual pipeline services. The financing impacts of the FCG acquisition, including increased interest expense related to debt issued and additional shares outstanding, partially offset the increases.
During the first nine months of 2024, net income was
Year-to-date earnings for 2024 were primarily impacted by the factors discussed for the third quarter as well as additional adjusted gross margin from increased customer consumption experienced earlier in the year and contributions from the Company's unregulated businesses.
"Chesapeake Utilities delivered strong financial performance and sustained operational excellence in the third quarter as we continued to execute on the three pillars that drive long-term earnings growth and shareholder value: prudently deploying record levels of capital, proactively advancing our regulatory agenda and continually executing on business transformation," said Jeff Householder, chair, president and CEO. "In the third quarter alone, we invested nearly
"In the third quarter of 2024, adjusted earnings per share was up 16 percent relative to the same period in 2023, attributable to adjusted gross margin growth of close to 30 percent and continued cost management driven by our business transformation efforts and focus on a "one company" approach. Some of the larger margin drivers include the addition of FCG, which we continue to effectively integrate, strong customer growth of approximately 4 percent in both Delmarva and
Earnings and Capital Investment Guidance
The Company continues to affirm its 2024 EPS guidance of
The Company also affirms its previously-announced 2024 capital expenditure guidance of
*Unless otherwise noted, EPS and Adjusted EPS information are presented on a diluted basis.
Non-GAAP Financial Measures
**This press release including the tables herein, include references to both Generally Accepted Accounting Principles ("GAAP") and non-GAAP financial measures, including Adjusted Gross Margin, Adjusted Net Income and Adjusted EPS. A "non-GAAP financial measure" is generally defined as a numerical measure of a company's historical or future performance that includes or excludes amounts, or that is subject to adjustments, so as to be different from the most directly comparable measure calculated or presented in accordance with GAAP. Our management believes certain non-GAAP financial measures, when considered together with GAAP financial measures, provide information that is useful to investors in understanding period-over-period operating results separate and apart from items that may, or could, have a disproportionately positive or negative impact on results in any particular period.
The Company calculates Adjusted Gross Margin by deducting the purchased cost of natural gas, propane and electricity and the cost of labor spent on direct revenue-producing activities from operating revenues. The costs included in Adjusted Gross Margin exclude depreciation and amortization and certain costs presented in operations and maintenance expenses in accordance with regulatory requirements. The Company calculates Adjusted Net Income and Adjusted EPS by deducting costs and expenses associated with significant acquisitions that may affect the comparison of period-over-period results. These non-GAAP financial measures are not in accordance with, or an alternative to, GAAP and should be considered in addition to, and not as a substitute for, the comparable GAAP measures. The Company believes that these non-GAAP measures are useful and meaningful to investors as a basis for making investment decisions, and provide investors with information that demonstrates the profitability achieved by the Company under allowed rates for regulated energy operations and under the Company's competitive pricing structures for unregulated energy operations. The Company's management uses these non-GAAP financial measures in assessing a business unit and Company performance. Other companies may calculate these non-GAAP financial measures in a different manner.
The following tables reconcile Gross Margin, Net Income, and EPS, all as defined under GAAP, to our non-GAAP measures of Adjusted Gross Margin, Adjusted Net Income and Adjusted EPS for each of the periods presented.
Adjusted Gross Margin
For the Three Months Ended September 30, 2024 | ||||||||
(in thousands) | Regulated | Unregulated | Other and | Total | ||||
Operating Revenues | $ 130,633 | $ 35,567 | $ (6,062) | $ 160,138 | ||||
Cost of Sales: | ||||||||
Natural gas, propane and electric costs | (28,366) | (15,868) | 6,033 | (38,201) | ||||
Depreciation & amortization | (12,301) | (4,553) | 3 | (16,851) | ||||
Operations & maintenance expenses (1) | (10,722) | (8,058) | — | (18,780) | ||||
Gross Margin (GAAP) | 79,244 | 7,088 | (26) | 86,306 | ||||
Operations & maintenance expenses (1) | 10,722 | 8,058 | — | 18,780 | ||||
Depreciation & amortization | 12,301 | 4,553 | (3) | 16,851 | ||||
Adjusted Gross Margin (Non-GAAP) | $ 102,267 | $ 19,699 | $ (29) | $ 121,937 | ||||
For the Three Months Ended September 30, 2023 | ||||||||
(in thousands) | Regulated | Unregulated | Other and | Total | ||||
Operating Revenues | $ 102,411 | $ 34,970 | $ (5,834) | $ 131,547 | ||||
Cost of Sales: | ||||||||
Natural gas, propane and electric costs | (26,518) | (16,381) | 5,805 | (37,094) | ||||
Depreciation & amortization | (13,192) | (4,420) | 2 | (17,610) | ||||
Operations & maintenance expenses (1) | (4,819) | (7,532) | (382) | (12,733) | ||||
Gross Margin (GAAP) | 57,882 | 6,637 | (409) | 64,110 | ||||
Operations & maintenance expenses (1) | 4,819 | 7,532 | 382 | 12,733 | ||||
Depreciation & amortization | 13,192 | 4,420 | (2) | 17,610 | ||||
Adjusted Gross Margin (Non-GAAP) | $ 75,893 | $ 18,589 | $ (29) | $ 94,453 | ||||
For the Nine Months Ended September 30, 2024 | ||||||||
(in thousands) | Regulated | Unregulated | Other and | Total | ||||
Operating Revenues | $ 429,684 | $ 160,089 | $ (17,619) | $ 572,154 | ||||
Cost of Sales: | ||||||||
Natural gas, propane and electric costs | (105,662) | (70,928) | 17,532 | (159,058) | ||||
Depreciation & amortization | (39,495) | (12,257) | 8 | (51,744) | ||||
Operations & maintenance expenses (1) | (35,713) | (24,373) | 1 | (60,085) | ||||
Gross Margin (GAAP) | 248,814 | 52,531 | (78) | 301,267 | ||||
Operations & maintenance expenses (1) | 35,713 | 24,373 | (1) | 60,085 | ||||
Depreciation & amortization | 39,495 | 12,257 | (8) | 51,744 | ||||
Adjusted Gross Margin (Non-GAAP) | $ 324,022 | $ 89,161 | $ (87) | $ 413,096 | ||||
For the Nine Months Ended September 30, 2023 | ||||||||
(in thousands) | Regulated | Unregulated | Other and | Total | ||||
Operating Revenues | $ 345,822 | $ 158,886 | $ (19,439) | $ 485,269 | ||||
Cost of Sales: | ||||||||
Natural gas, propane and electric costs | (105,692) | (75,068) | 19,282 | (161,478) | ||||
Depreciation & amortization | (39,179) | (12,923) | 6 | (52,096) | ||||
Operations & maintenance expenses (1) | (23,346) | (23,528) | (377) | (47,251) | ||||
Gross Margin (GAAP) | 177,605 | 47,367 | (528) | 224,444 | ||||
Operations & maintenance expenses (1) | 23,346 | 23,528 | 377 | 47,251 | ||||
Depreciation & amortization | 39,179 | 12,923 | (6) | 52,096 | ||||
Adjusted Gross Margin (Non-GAAP) | $ 240,130 | $ 83,818 | $ (157) | $ 323,791 |
(1) Operations & maintenance expenses within the condensed consolidated statements of income are presented in accordance with regulatory requirements and to provide comparability within the industry. Operations & maintenance expenses which are deemed to be directly attributable to revenue producing activities have been separately presented above in order to calculate Gross Margin as defined under US GAAP. |
Adjusted Net Income and Adjusted EPS
Three Months Ended | ||||
September 30, | ||||
(in thousands, except per share data) | 2024 | 2023 | ||
Net Income (GAAP) | $ 17,507 | $ 9,407 | ||
FCG transaction and transition-related expenses, net (1) | 593 | 2,804 | ||
Adjusted Net Income (Non-GAAP) | $ 18,100 | $ 12,211 | ||
Weighted average common shares outstanding - diluted (2) | 22,564 | 17,858 | ||
Earnings Per Share - Diluted (GAAP) | $ 0.78 | $ 0.53 | ||
FCG transaction and transition-related expenses, net (1) | 0.02 | 0.16 | ||
Adjusted Earnings Per Share - Diluted (Non-GAAP) | $ 0.80 | $ 0.69 | ||
Nine Months Ended | ||||
September 30, | ||||
(in thousands, except per share data) | 2024 | 2023 | ||
Net Income (GAAP) | $ 81,946 | $ 61,884 | ||
FCG transaction and transition-related expenses, net (1) | 2,276 | 2,898 | ||
Adjusted Net Income (Non-GAAP) | $ 84,222 | $ 64,782 | ||
Weighted average common shares outstanding - diluted (2) | 22,402 | 17,847 | ||
Earnings Per Share - Diluted (GAAP) | $ 3.66 | $ 3.47 | ||
FCG transaction and transition-related expenses, net (1) | 0.10 | 0.16 | ||
Adjusted Earnings Per Share - Diluted (Non-GAAP) | $ 3.76 | $ 3.63 |
(1) Transaction and transition-related expenses represent costs incurred attributable to the acquisition and integration of FCG including, but not limited to, transaction costs, transition services, consulting, system integration, rebranding and legal fees. |
(2) Weighted average shares for the three and nine months ended September 30, 2024 reflect the impact of 4.4 million common shares issued in November 2023 in connection with the acquisition of FCG. |
Operating Results for the Quarters Ended September 30, 2024 and 2023
Consolidated Results
Three Months Ended | |||||||
September 30, | |||||||
(in thousands) | 2024 | 2023 | Change | Percent | |||
Adjusted gross margin** | $ 121,937 | $ 94,453 | $ 27,484 | 29.1 % | |||
Depreciation, amortization and property taxes | 24,998 | 23,800 | 1,198 | 5.0 % | |||
FCG transaction and transition-related expenses | 819 | 3,899 | (3,080) | (79.0) % | |||
Other operating expenses | 55,202 | 46,526 | 8,676 | 18.6 % | |||
Operating income | $ 40,918 | $ 20,228 | $ 20,690 | 102.3 % |
Operating income for the third quarter of 2024 was
Regulated Energy Segment
Three Months Ended | |||||||
September 30, | |||||||
(in thousands) | 2024 | 2023 | Change | Percent | |||
Adjusted gross margin** | $ 102,267 | $ 75,893 | $ 26,374 | 34.8 % | |||
Depreciation, amortization and property taxes | 19,853 | 18,891 | 962 | 5.1 % | |||
FCG transaction and transition-related expenses | 819 | 3,899 | (3,080) | (79.0) % | |||
Other operating expenses | 37,660 | 28,191 | 9,469 | 33.6 % | |||
Operating income | $ 43,935 | $ 24,912 | $ 19,023 | 76.4 % |
The key components of the increase in adjusted gross margin** are shown below:
(in thousands) | |
Contribution from FCG | $ 23,399 |
Margin from regulated infrastructure programs | 1,806 |
Natural gas transmission service expansions, including interim services | 1,548 |
Natural gas growth including conversions (excluding service expansions) | 1,013 |
Changes in customer consumption | (361) |
Other variances | (1,031) |
Quarter-over-quarter increase in adjusted gross margin** | $ 26,374 |
The major components of the increase in other operating expenses are as follows:
(in thousands) | |
FCG operating expenses | $ 7,476 |
Payroll, benefits and other employee-related expenses | 1,223 |
Insurance related costs | 222 |
Other variances | 548 |
Quarter-over-quarter increase in other operating expenses | $ 9,469 |
Unregulated Energy Segment
Three Months Ended | |||||||
(in thousands) | 2024 | 2023 | Change | Percent | |||
Adjusted gross margin** | $ 19,699 | $ 18,589 | $ 1,110 | 6.0 % | |||
Depreciation, amortization and property taxes | 5,144 | 4,902 | 242 | 4.9 % | |||
Other operating expenses | 17,616 | 18,410 | (794) | (4.3) % | |||
Operating loss | $ (3,061) | $ (4,723) | $ 1,662 | 35.2 % |
Operating results for the second and third quarters historically have been lower due to reduced customer demand during warmer periods of the year. The impact to operating income may not align with the seasonal variations in adjusted gross margin as many of the operating expenses are recognized ratably over the course of the year.
The major components of the increase in adjusted gross margin** are shown below:
(in thousands) | ||
Propane Operations | ||
Contributions from acquisition | $ 135 | |
CNG/RNG/LNG Transportation and Infrastructure | ||
Increased level of virtual pipeline services | 1,098 | |
Other variances | (123) | |
Quarter-over-quarter increase in adjusted gross margin** | $ 1,110 |
The major components of the decrease in other operating expenses are as follows:
(in thousands) | ||
Payroll, benefits and other employee-related expenses | $ (515) | |
Other variances | (279) | |
Quarter-over-quarter decrease in other operating expenses | $ (794) |
Operating Results for the Nine Months Ended September 30, 2024 and 2023
Consolidated Results
Nine Months Ended | |||||||
September 30, | |||||||
(in thousands) | 2024 | 2023 | Change | Percent | |||
Adjusted gross margin** | $ 413,096 | $ 323,791 | $ 89,305 | 27.6 % | |||
Depreciation, amortization and property taxes | 77,811 | 70,918 | 6,893 | 9.7 % | |||
FCG transaction and transition-related expenses | 3,114 | 3,899 | (785) | (20.1) % | |||
Other operating expenses | 170,878 | 145,486 | 25,392 | 17.5 % | |||
Operating income | $ 161,293 | $ 103,488 | $ 57,805 | 55.9 % |
Operating income for the first nine months of 2024 was
Regulated Energy Segment
Nine Months Ended | |||||||
September 30, | |||||||
(in thousands) | 2024 | 2023 | Change | Percent | |||
Adjusted gross margin** | $ 324,022 | $ 240,130 | $ 83,892 | 34.9 % | |||
Depreciation, amortization and property taxes | 63,671 | 56,415 | 7,256 | 12.9 % | |||
FCG transaction and transition-related expenses | 3,114 | 3,899 | (785) | (20.1) % | |||
Other operating expenses | 114,688 | 87,988 | 26,700 | 30.3 % | |||
Operating income | $ 142,549 | $ 91,828 | $ 50,721 | 55.2 % |
The key components of the increase in adjusted gross margin** are shown below:
(in thousands) | |
Contribution from FCG | $ 71,725 |
Margin from regulated infrastructure programs | 4,424 |
Natural gas growth including conversions (excluding service expansions) | 4,182 |
Natural gas transmission service expansions, including interim services | 3,702 |
Rate changes associated with the | 1,630 |
Eastern Shore contracted rate adjustments | (238) |
Other variances | (1,533) |
Period-over-period increase in adjusted gross margin** | $ 83,892 |
(1) Includes adjusted gross margin contributions from permanent base rates that became effective in March 2023. |
The major components of the increase in other operating expenses are as follows:
(in thousands) | |
FCG operating expenses | $ 25,363 |
Facilities, maintenance costs and outside services | 677 |
Insurance related costs | 651 |
Other variances | 9 |
Period-over-period increase in other operating expenses | $ 26,700 |
Unregulated Energy Segment
Nine Months Ended September 30, | |||||||
(in thousands) | 2024 | 2023 | Change | Percent | |||
Adjusted gross margin** | $ 89,161 | $ 83,818 | $ 5,343 | 6.4 % | |||
Depreciation, amortization and property taxes | 14,142 | 14,500 | (358) | (2.5) % | |||
Other operating expenses | 56,413 | 57,789 | (1,376) | (2.4) % | |||
Operating income | $ 18,606 | $ 11,529 | $ 7,077 | 61.4 % |
The major components of the change in adjusted gross margin** are shown below:
(in thousands) | ||
Propane Operations | ||
Increased propane customer consumption | $ 1,261 | |
Contributions from acquisition | 733 | |
Increased propane margins and service fees | 521 | |
CNG/RNG/LNG Transportation and Infrastructure | ||
Increased level of virtual pipeline services | 1,585 | |
Aspire Energy | ||
Increased margins - rate changes and gathering fees | 1,267 | |
Other variances | (24) | |
Period-over-period increase in adjusted gross margin** | $ 5,343 |
The major components of the decrease in other operating expenses are as follows:
(in thousands) | ||
Vehicle expenses | $ 575 | |
Insurance related costs | 456 | |
Payroll, benefits and other employee-related expenses | (1,598) | |
Facilities, maintenance costs, and outside services | (631) | |
Other variances | (178) | |
Period-over-period decrease in other operating expenses | $ (1,376) |
Forward-Looking Statements
Matters included in this release may include forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those in the forward-looking statements. Please refer to the Safe Harbor for Forward-Looking Statements in the Company's 2023 Annual Report on Form 10-K and Quarterly Report on Form 10-Q for the third quarter of 2024 for further information on the risks and uncertainties related to the Company's forward-looking statements.
Conference Call
Chesapeake Utilities (NYSE: CPK) will host a conference call on Friday, November 8, 2024 at 8:30 a.m. Eastern Time to discuss the Company's financial results for the three and nine months ended September 30, 2024. To listen to the Company's conference call via live webcast, please visit the Events & Presentations section of the Investors page on www.chpk.com. For investors and analysts that wish to participate by phone for the question and answer portion of the call, please use the following dial-in information:
Toll-free: 800.245.3074
International: 203.518.9765
Conference ID: CPKQ324
A replay of the presentation will be made available on the previously noted website following the conclusion of the call.
About Chesapeake Utilities Corporation
Chesapeake Utilities Corporation is a diversified energy delivery company, listed on the New York Stock Exchange. Chesapeake Utilities Corporation offers sustainable energy solutions through its natural gas transmission and distribution, electricity generation and distribution, propane gas distribution, mobile compressed natural gas utility services and solutions, and other businesses.
Please note that Chesapeake Utilities Corporation is not affiliated with Chesapeake Energy, an oil and natural gas exploration company headquartered in
For more information, contact:
Beth W. Cooper
Executive Vice President, Chief Financial Officer, Treasurer and Assistant Corporate Secretary
302.734.6022
Michael D. Galtman
Senior Vice President and Chief Accounting Officer
302.217.7036
Lucia M. Dempsey
Head of Investor Relations
347.804.9067
Financial Summary
(in thousands, except per-share data)
Three Months Ended | Nine Months Ended | ||||||
September 30, | September 30, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Adjusted Gross Margin | |||||||
Regulated Energy segment | $ 75,893 | $ 324,022 | |||||
Unregulated Energy segment | 19,699 | 18,589 | 89,161 | 83,818 | |||
Other businesses and eliminations | (29) | (29) | (87) | (157) | |||
Total Adjusted Gross Margin** | $ 94,453 | $ 413,096 | |||||
Operating Income (Loss) | |||||||
Regulated Energy segment | $ 43,935 | $ 24,912 | $ 142,549 | $ 91,828 | |||
Unregulated Energy segment | (3,061) | (4,723) | 18,606 | 11,529 | |||
Other businesses and eliminations | 44 | 39 | 138 | 131 | |||
Total Operating Income | 40,918 | 20,228 | 161,293 | 103,488 | |||
Other income (expense), net | 400 | (72) | 1,705 | 1,036 | |||
Interest charges | 17,022 | 7,076 | 50,861 | 21,272 | |||
Income Before Income Taxes | 24,296 | 13,080 | 112,137 | 83,252 | |||
Income taxes | 6,789 | 3,673 | 30,191 | 21,368 | |||
Net Income | $ 17,507 | $ 9,407 | $ 81,946 | $ 61,884 | |||
Weighted Average Common Shares Outstanding: (1) | |||||||
Basic | 22,501 | 17,797 | 22,346 | 17,784 | |||
Diluted | 22,564 | 17,858 | 22,402 | 17,847 | |||
Earnings Per Share of Common Stock | |||||||
Basic | $ 0.78 | $ 0.53 | $ 3.67 | $ 3.48 | |||
Diluted | $ 0.78 | $ 0.53 | $ 3.66 | $ 3.47 | |||
Adjusted Net Income and Adjusted Earnings Per Share | |||||||
Net Income (GAAP) | $ 17,507 | $ 9,407 | $ 81,946 | $ 61,884 | |||
FCG transaction and transition-related-expenses, net (2) | 593 | 2,804 | 2,276 | 2,898 | |||
Adjusted Net Income (Non-GAAP)** | $ 18,100 | $ 12,211 | $ 84,222 | $ 64,782 | |||
Earnings Per Share - Diluted (GAAP) | $ 0.78 | $ 0.53 | $ 3.66 | $ 3.47 | |||
FCG transaction and transition-related-expenses, net (2) | 0.02 | 0.16 | 0.10 | 0.16 | |||
Adjusted Earnings Per Share - Diluted (Non-GAAP)** | $ 0.80 | $ 0.69 | $ 3.76 | $ 3.63 |
(1) Weighted average shares for the three and nine months ended September 30, 2024 reflect the impact of 4.4 million common shares issued in November 2023 in connection with the acquisition of FCG. |
(2) Transaction and transition-related expenses represent costs incurred attributable to the acquisition and integration of FCG including, but not limited to, transaction costs, transition services, consulting, system integration, rebranding and legal fees. |
Financial Summary Highlights
Key variances between the third quarter of 2023 and 2024 included:
(in thousands, except per share data) | Pre-tax Income | Net Income | Earnings Per Share | |||
Third Quarter of 2023 Adjusted Results** | $ 16,979 | $ 12,211 | $ 0.69 | |||
Increased Adjusted Gross Margins: | ||||||
Contributions from acquisitions | 23,534 | 16,958 | 0.75 | |||
Margin from regulated infrastructure programs* | 1,806 | 1,301 | 0.06 | |||
Natural gas transmission service expansions, including interim services* | 1,548 | 1,115 | 0.05 | |||
Increased level of virtual pipeline services | 1,098 | 791 | 0.04 | |||
Natural gas growth including conversions (excluding service expansions) | 1,013 | 730 | 0.03 | |||
Changes in customer consumption | (651) | (469) | (0.02) | |||
28,348 | 20,426 | 0.91 | ||||
Increased Operating Expenses (Excluding Natural Gas, Propane, and Electric Costs): | ||||||
FCG operating expenses | (8,680) | (6,255) | (0.28) | |||
Payroll, benefits and other employee-related expenses | (708) | (510) | (0.02) | |||
(9,388) | (6,765) | (0.30) | ||||
Interest charges | (9,946) | (7,167) | (0.32) | |||
Increase in shares outstanding due to 2023 and 2024 equity offerings*** | — | — | (0.14) | |||
Net other changes | (878) | (605) | (0.04) | |||
(10,824) | (7,772) | (0.50) | ||||
Third Quarter of 2024 Adjusted Results** | $ 25,115 | $ 18,100 | $ 0.80 |
* | Refer to Major Projects and Initiatives Table for additional information. |
** | Transaction and transition-related expenses attributable to the acquisition and integration of FCG have been excluded from the Company's non GAAP measures of adjusted net income and adjusted EPS. See reconciliations above for a detailed comparison to the related GAAP measures. |
*** | Reflects the impact of 4.4 million common shares issued in November 2023 in connection with the acquisition of FCG and shares also issued in 2024. |
Key variances between the nine months ended September 30, 2023 and September 30, 2024 included:
(in thousands, except per share data) | Pre-tax Income | Net Income | Earnings Per Share | |||
Nine months ended September 30, 2023 Adjusted Results** | $ 87,151 | $ 64,782 | $ 3.63 | |||
Non-recurring Items: | ||||||
Absence of benefit associated with a reduction in the PA state tax rate | — | (1,284) | (0.06) | |||
— | (1,284) | (0.06) | ||||
Increased Adjusted Gross Margins: | ||||||
Contributions from acquisitions | 72,458 | 52,952 | 2.36 | |||
Margin from regulated infrastructure programs* | 4,424 | 3,233 | 0.14 | |||
Natural gas growth including conversions (excluding service expansions) | 4,182 | 3,056 | 0.14 | |||
Natural gas transmission service expansions, including interim services* | 3,702 | 2,706 | 0.12 | |||
Rate changes associated with the | 1,630 | 1,191 | 0.05 | |||
Increased level of virtual pipeline services | 1,585 | 1,158 | 0.05 | |||
Improved Aspire Energy performance - rate changes and gathering fees | 1,267 | 926 | 0.04 | |||
Changes in customer consumption | 1,191 | 870 | 0.04 | |||
Increased propane margins and fees | 521 | 381 | 0.02 | |||
90,960 | 66,473 | 2.96 | ||||
(Increased) Decreased Operating Expenses (Excluding Natural Gas, Propane, and Electric Costs): | ||||||
FCG operating expenses | (28,813) | (21,057) | (0.94) | |||
Depreciation, amortization and property tax costs (includes FCG) | (3,441) | (2,515) | (0.11) | |||
Insurance related costs | (1,107) | (809) | (0.04) | |||
Payroll, benefits and other employee-related expenses | 1,484 | 1,084 | 0.05 | |||
(31,877) | (23,297) | (1.04) | ||||
Interest charges | (29,589) | (21,623) | (0.97) | |||
Increase in shares outstanding due to 2023 and 2024 equity offerings*** | — | — | (0.74) | |||
Net other changes | (1,394) | (829) | (0.02) | |||
(30,983) | (22,452) | (1.73) | ||||
Nine months ended September 30, 2024 Adjusted Results** | $ 115,251 | $ 84,222 | $ 3.76 |
* | Refer to Major Projects and Initiatives Table for additional information. |
** | Transaction and transition-related expenses attributable to the acquisition and integration of FCG have been excluded from the Company's non GAAP measures of adjusted net income and adjusted EPS. See reconciliations above for a detailed comparison to the related GAAP measures. |
*** | Reflects the impact of 4.4 million common shares issued in November 2023 in connection with the acquisition of FCG and shares also issued in 2024. |
Recently Completed and Ongoing Major Projects and Initiatives
The Company continuously pursues and develops additional projects and initiatives to serve existing and new customers, further grow its businesses and earnings, and increase shareholder value. The following table includes all major projects and initiatives that are currently underway or recently completed. The Company's practice is to add incremental margin associated with new projects and initiatives to this table once negotiations or details are substantially final and/or the associated earnings can be estimated. Major projects and initiatives that have generated consistent year-over-year adjusted gross margin contributions are removed from the table at the beginning of the next calendar year.
The related descriptions of projects and initiatives that accompany the table include only new items and/or items where there have been significant developments, as compared to the Company's prior quarterly filings. A comprehensive discussion of all projects and initiatives reflected in the table below can be found in the Company's third quarter 2024 Quarterly Report on Form 10-Q.
Adjusted Gross Margin | |||||||||||||
Three Months Ended | Nine Months Ended | Year Ended | Estimate for | ||||||||||
September 30, | September 30, | December 31, | Fiscal | ||||||||||
(in thousands) | 2024 | 2023 | 2024 | 2023 | 2023 | 2024 | 2025 | ||||||
Pipeline Expansions: | |||||||||||||
Southern Expansion | $ 586 | $ 100 | $ 1,758 | $ 586 | $ 586 | $ 2,344 | $ 2,344 | ||||||
Beachside Pipeline Expansion | 603 | 603 | 1,809 | 1,206 | 1,810 | 2,451 | 2,414 | ||||||
146 | 118 | 438 | 118 | 264 | 584 | 2,752 | |||||||
Wildlight | 566 | 178 | 970 | 271 | 471 | 1,423 | 2,996 | ||||||
114 | 114 | 342 | 152 | 265 | 454 | 454 | |||||||
646 | — | 718 | — | — | 1,364 | 2,585 | |||||||
— | — | — | — | — | — | 3,342 | |||||||
— | — | — | — | — | — | 1,710 | |||||||
Central Florida Reinforcement | — | — | — | — | — | 98 | 1,959 | ||||||
— | — | — | — | — | 258 | 1,858 | |||||||
Renewable Natural Gas Supply Projects | — | — | — | — | — | — | 5,460 | ||||||
Total Pipeline Expansions | 2,661 | 1,113 | 6,035 | 2,333 | 3,396 | 8,976 | 27,874 | ||||||
CNG/RNG/LNG Transportation and Infrastructure | 3,498 | 2,385 | 10,438 | 8,811 | 11,181 | 14,000 | 15,000 | ||||||
Regulatory Initiatives: | |||||||||||||
Florida GUARD program | 982 | 90 | 2,436 | 90 | 353 | 3,566 | 6,333 | ||||||
FCG SAFE Program | 1,051 | — | 2,152 | — | — | 3,337 | 6,534 | ||||||
Capital Cost Surcharge Programs | 765 | 687 | 2,373 | 2,110 | 2,829 | 3,167 | 4,374 | ||||||
Florida Rate Case Proceeding (1) | 3,991 | 3,991 | 13,591 | 11,961 | 15,835 | 17,153 | 17,153 | ||||||
Maryland Rate Case (2) | — | — | — | — | — | TBD | TBD | ||||||
Delaware Rate Case (3) | — | — | — | — | — | TBD | TBD | ||||||
Electric Rate Case (4) | — | — | — | — | — | TBD | TBD | ||||||
Electric Storm Protection Plan | 717 | 298 | 2,024 | 940 | 1,326 | 3,133 | 5,581 | ||||||
Total Regulatory Initiatives | 7,506 | 5,066 | 22,576 | 15,101 | 20,343 | 30,356 | 39,975 | ||||||
Total | $ 13,665 | $ 8,564 | $ 39,049 | $ 26,245 | $ 34,920 | $ 53,332 | $ 82,849 |
(1) Includes adjusted gross margin during 2023 comprised of both interim rates and permanent base rates which became effective in March 2023. |
(2) Rate case application and depreciation study filed with the Maryland PSC in January 2024. See additional information provided below. |
(3) Rate case application and depreciation study filed with the Delaware PSC in August 2024. See additional information provided below. |
(4) Rate case application filed with the Florida PSC in August 2024. See additional information provided below. |
Detailed Discussion of Major Projects and Initiatives
Pipeline Expansions
In February 2024, Peninsula Pipeline filed a petition with the Florida Public Service Commission ("PSC") for approval of an amendment to its Transportation Service Agreement with FPU for an additional 10,000 Dts/day of firm service in the
Newberry Expansion
In April 2023, Peninsula Pipeline filed a petition with the Florida PSC for approval of its Transportation Service Agreement with FPU for an additional 8,000 Dts/day of firm service in the
East Coast Reinforcement Projects
In December 2023, Peninsula Pipeline filed a petition with the Florida PSC for approval of its Transportation Service Agreements with FPU for projects that will support additional supply to communities on the East Coast of
Central Florida Reinforcement Projects
In February 2024, Peninsula Pipeline filed a petition with the Florida PSC for approval of its Transportation Service Agreements with FPU for projects that will support additional supply to communities located in
In July 2024, the Company announced plans to extend Eastern Shore's transmission deliverability by constructing an additional 4.4 miles of six inch steel pipeline. The project will reinforce the supply and growth for our
Pioneer Supply Header Pipeline Project
In March 2024, Peninsula Pipeline filed a petition with the Florida PSC for its approval of Firm Transportation Service Agreements with both FCG and FPU for a project that will support greater supply growth of natural gas service in southeast
Renewable Natural Gas Supply Projects
In February 2024, Peninsula Pipeline filed a petition with the Florida PSC for approval of Transportation Service Agreements with FCG for projects that will support the transportation of additional renewable energy supply to FCG. The projects, located in
Regulatory Initiatives
Maryland Natural Gas Rate Case
In January 2024, the Company's natural gas distribution businesses in
Maryland Natural Gas Depreciation Study
In January 2024, the Company's
FCG SAFE Program
In April 2024, FCG filed a petition with the Florida PSC to more closely align the SAFE Program with FPU's GUARD program. Specifically, the requested modifications will enable FCG to accelerate remediation related to problematic pipe and facilities consisting of obsolete and exposed pipe. These modifications will require an estimated additional
Delaware Natural Gas Rate Case
In August 2024, the Company's
FPU Electric Rate Case
In August 2024, the Company's Florida Electric division filed a petition with the Florida PSC seeking a general base rate increase of
Other Major Factors Influencing Adjusted Gross Margin
Weather and Consumption
Weather was not a significant factor to adjusted gross margin in the third quarter of 2024 compared to the same period in 2023.
For the nine months ended September 30, 2024, higher consumption which includes the effects of colder weather conditions compared to the prior-year period resulted in a
The following table summarizes HDD and CDD variances from the 10-year average HDD/CDD ("Normal") for the three and nine months ended September 30, 2024 and 2023.
Three Months Ended | Nine Months Ended | ||||||||||
September 30, | September 30, | ||||||||||
2024 | 2023 | Variance | 2024 | 2023 | Variance | ||||||
Delmarva | |||||||||||
Actual HDD | 6 | 19 | (13) | 2,287 | 2,069 | 218 | |||||
10-Year Average HDD ("Normal") | 27 | 38 | (11) | 2,635 | 2,731 | (96) | |||||
Variance from Normal | (21) | (19) | (348) | (662) | |||||||
Actual HDD | — | 1 | (1) | 511 | 371 | 140 | |||||
10-Year Average HDD ("Normal") | 1 | 1 | — | 512 | 550 | (38) | |||||
Variance from Normal | (1) | — | (1) | (179) | |||||||
Actual HDD | 43 | 86 | (43) | 3,180 | 3,148 | 32 | |||||
10-Year Average HDD ("Normal") | 65 | 65 | — | 3,661 | 3,661 | — | |||||
Variance from Normal | (22) | 21 | (481) | (513) | |||||||
Actual CDD | 1,528 | 1,533 | (5) | 2,824 | 2,793 | 31 | |||||
10-Year Average CDD ("Normal") | 1,420 | 1,391 | 29 | 2,615 | 2,535 | 80 | |||||
Variance from Normal | 108 | 142 | 209 | 258 |
Natural Gas Distribution Growth
The average number of residential customers served on the Delmarva Peninsula increased by approximately 3.9 percent for the three and nine months ended September 30, 2024 while our legacy Florida Natural Gas distribution business increased by approximately 3.9 percent and 3.7 percent, respectively, during the same periods.
The details of the adjusted gross margin increase are provided in the following table:
Adjusted Gross Margin** | |||||||
Three Months Ended | Nine Months Ended | ||||||
September 30, 2024 | September 30, 2024 | ||||||
(in thousands) | Delmarva | Delmarva | |||||
Customer growth: | |||||||
Residential | $ 276 | $ 470 | $ 1,118 | $ 1,997 | |||
Commercial and industrial | 172 | 95 | 452 | 615 | |||
Total customer growth (1) | $ 448 | $ 565 | $ 1,570 | $ 2,612 |
(1) Customer growth amounts for the legacy |
Capital Investment Growth and Capital Structure Updates
The Company's capital expenditures were
2024 | |||
(in thousands) | Low | High | |
Regulated Energy: | |||
Natural gas distribution | $ 160,000 | $ 190,000 | |
Natural gas transmission | 75,000 | 90,000 | |
Electric distribution | 30,000 | 38,000 | |
Total Regulated Energy | 265,000 | 318,000 | |
Unregulated Energy: | |||
Propane distribution | 13,000 | 15,000 | |
Energy transmission | 5,000 | 6,000 | |
Other unregulated energy | 13,000 | 15,000 | |
Total Unregulated Energy | 31,000 | 36,000 | |
Other: | |||
Corporate and other businesses | 4,000 | 6,000 | |
Total 2024 Forecasted Capital Expenditures | $ 300,000 | $ 360,000 |
The capital expenditure projection is subject to continuous review and modification. Actual capital requirements may vary from the above estimates due to a number of factors, including changing economic conditions, supply chain disruptions, capital delays that are greater than currently anticipated, customer growth in existing areas, regulation, new growth or acquisition opportunities and availability of capital.
The Company's target ratio of equity to total capitalization, including short-term borrowings, is between 50 and 60 percent. The Company's equity to total capitalization ratio, including short-term borrowings, was approximately 49 percent as of September 30, 2024.
Chesapeake Utilities Corporation and Subsidiaries Condensed Consolidated Statements of Income (Unaudited)
| ||||||||
Three Months Ended | Nine Months Ended | |||||||
September 30, | September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(in thousands, except per share data) | ||||||||
Operating Revenues | ||||||||
Regulated Energy | $ 130,633 | $ 102,411 | $ 429,684 | $ 345,822 | ||||
Unregulated Energy | 35,567 | 34,970 | 160,089 | 158,886 | ||||
Other businesses and eliminations | (6,062) | (5,834) | (17,619) | (19,439) | ||||
Total Operating Revenues | 160,138 | 131,547 | 572,154 | 485,269 | ||||
Operating Expenses | ||||||||
Natural gas and electricity costs | 28,366 | 26,518 | 105,662 | 105,692 | ||||
Propane and natural gas costs | 9,835 | 10,576 | 53,396 | 55,786 | ||||
Operations | 49,519 | 41,217 | 153,418 | 128,147 | ||||
FCG transaction and transition-related expenses | 819 | 3,899 | 3,114 | 3,899 | ||||
Maintenance | 5,062 | 5,125 | 16,526 | 15,487 | ||||
Depreciation and amortization | 16,851 | 17,610 | 51,744 | 52,096 | ||||
Other taxes | 8,768 | 6,374 | 27,001 | 20,674 | ||||
Total operating expenses | 119,220 | 111,319 | 410,861 | 381,781 | ||||
Operating Income | 40,918 | 20,228 | 161,293 | 103,488 | ||||
Other income (expense), net | 400 | (72) | 1,705 | 1,036 | ||||
Interest charges | 17,022 | 7,076 | 50,861 | 21,272 | ||||
Income Before Income Taxes | 24,296 | 13,080 | 112,137 | 83,252 | ||||
Income taxes | 6,789 | 3,673 | 30,191 | 21,368 | ||||
Net Income | $ 17,507 | $ 9,407 | $ 81,946 | $ 61,884 | ||||
Weighted Average Common Shares Outstanding: | ||||||||
Basic | 22,501 | 17,797 | 22,346 | 17,784 | ||||
Diluted | 22,564 | 17,858 | 22,402 | 17,847 | ||||
Earnings Per Share of Common Stock: | ||||||||
Basic | $ 0.78 | $ 0.53 | $ 3.67 | $ 3.48 | ||||
Diluted | $ 0.78 | $ 0.53 | $ 3.66 | $ 3.47 | ||||
Adjusted Net Income and Adjusted Earnings Per Share | ||||||||
Net Income (GAAP) | $ 17,507 | $ 9,407 | $ 81,946 | $ 61,884 | ||||
FCG transaction and transition-related expenses, net (1) | 593 | 2,804 | 2,276 | 2,898 | ||||
Adjusted Net Income (Non-GAAP)** | $ 18,100 | $ 12,211 | $ 84,222 | $ 64,782 | ||||
Earnings Per Share - Diluted (GAAP) | $ 0.78 | $ 0.53 | $ 3.66 | $ 3.47 | ||||
FCG transaction and transition-related expenses, net (1) | 0.02 | 0.16 | 0.10 | 0.16 | ||||
Adjusted Earnings Per Share - Diluted (Non-GAAP)** | $ 0.80 | $ 0.69 | $ 3.76 | $ 3.63 |
(1) Transaction and transition-related expenses represent costs incurred attributable to the acquisition and integration of FCG including, but not limited to, transaction costs, transition services, consulting, system integration, rebranding and legal fees. |
Chesapeake Utilities Corporation and Subsidiaries Consolidated Balance Sheets (Unaudited)
| ||||
Assets | September 30, | December 31, | ||
(in thousands, except per share data) | ||||
Property, Plant and Equipment | ||||
Regulated Energy | $ 2,600,087 | $ 2,418,494 | ||
Unregulated Energy | 426,127 | 410,807 | ||
Other businesses and eliminations | 32,136 | 30,310 | ||
Total property, plant and equipment | 3,058,350 | 2,859,611 | ||
Less: Accumulated depreciation and amortization | (556,421) | (516,429) | ||
Plus: Construction work in progress | 156,180 | 113,192 | ||
Net property, plant and equipment | 2,658,109 | 2,456,374 | ||
Current Assets | ||||
Cash and cash equivalents | 1,609 | 4,904 | ||
Trade and other receivables | 57,113 | 74,485 | ||
Less: Allowance for credit losses | (2,739) | (2,699) | ||
Trade and other receivables, net | 54,374 | 71,786 | ||
Accrued revenue | 23,634 | 32,597 | ||
Propane inventory, at average cost | 6,781 | 9,313 | ||
Other inventory, at average cost | 21,139 | 19,912 | ||
Regulatory assets | 20,446 | 19,506 | ||
Storage gas prepayments | 4,339 | 4,695 | ||
Income taxes receivable | 12,563 | 3,829 | ||
Prepaid expenses | 18,965 | 15,407 | ||
Derivative assets, at fair value | 405 | 1,027 | ||
Other current assets | 2,232 | 2,723 | ||
Total current assets | 166,487 | 185,699 | ||
Deferred Charges and Other Assets | ||||
Goodwill | 507,852 | 508,174 | ||
Other intangible assets, net | 15,475 | 16,865 | ||
Investments, at fair value | 14,156 | 12,282 | ||
Derivative assets, at fair value | 122 | 40 | ||
Operating lease right-of-use assets | 10,945 | 12,426 | ||
Regulatory assets | 81,899 | 96,396 | ||
Receivables and other deferred charges | 12,147 | 16,448 | ||
Total deferred charges and other assets | 642,596 | 662,631 | ||
Total Assets | $ 3,467,192 | $ 3,304,704 |
Chesapeake Utilities Corporation and Subsidiaries Consolidated Balance Sheets (Unaudited)
| ||||
Capitalization and Liabilities | September 30, | December 31, | ||
(in thousands, except per share data) | ||||
Capitalization | ||||
Stockholders' equity | ||||
Preferred stock, par value | $ — | $ — | ||
Common stock, par value | 11,085 | 10,823 | ||
Additional paid-in capital | 812,896 | 749,356 | ||
Retained earnings | 528,426 | 488,663 | ||
Accumulated other comprehensive loss | (4,135) | (2,738) | ||
Deferred compensation obligation | 9,775 | 9,050 | ||
Treasury stock | (9,775) | (9,050) | ||
Total stockholders' equity | 1,348,272 | 1,246,104 | ||
Long-term debt, net of current maturities | 1,172,956 | 1,187,075 | ||
Total capitalization | 2,521,228 | 2,433,179 | ||
Current Liabilities | ||||
Current portion of long-term debt | 18,522 | 18,505 | ||
Short-term borrowing | 214,753 | 179,853 | ||
Accounts payable | 70,138 | 77,481 | ||
Customer deposits and refunds | 47,408 | 46,427 | ||
Accrued interest | 13,776 | 7,020 | ||
Dividends payable | 14,492 | 13,119 | ||
Accrued compensation | 14,495 | 16,544 | ||
Regulatory liabilities | 14,762 | 13,719 | ||
Derivative liabilities, at fair value | 633 | 354 | ||
Other accrued liabilities | 25,832 | 13,362 | ||
Total current liabilities | 434,811 | 386,384 | ||
Deferred Credits and Other Liabilities | ||||
Deferred income taxes | 289,208 | 259,082 | ||
Regulatory liabilities | 190,512 | 195,279 | ||
Environmental liabilities | 2,441 | 2,607 | ||
Other pension and benefit costs | 16,327 | 15,330 | ||
Derivative liabilities, at fair value | 2,030 | 927 | ||
Operating lease - liabilities | 9,157 | 10,550 | ||
Deferred investment tax credits and other liabilities | 1,478 | 1,366 | ||
Total deferred credits and other liabilities | 511,153 | 485,141 | ||
Environmental and other commitments and contingencies (1) | ||||
Total Capitalization and Liabilities | $ 3,467,192 | $ 3,304,704 |
(1) Refer to Note 6 and 7 in the Company's Quarterly Report on Form 10-Q for further information. |
Chesapeake Utilities Corporation and Subsidiaries Distribution Utility Statistical Data (Unaudited)
| |||||||||||||
For the Three Months Ended September 30, 2024 | For the Three Months Ended September 30, 2023 | ||||||||||||
Delmarva NG |
| Florida City | FPU Electric | Delmarva NG |
| FPU Electric | |||||||
Operating Revenues | |||||||||||||
Residential | $ 8,277 | $ 9,583 | $ 12,026 | $ 16,053 | $ 8,663 | $ 9,862 | $ 16,967 | ||||||
Commercial and Industrial | 7,119 | 22,873 | 15,713 | 14,368 | 9,119 | 26,020 | 15,920 | ||||||
Other (1) | 2,375 | 4,485 | 5,710 | (565) | 217 | 2,441 | (204) | ||||||
Total Operating Revenues | $ 17,771 | $ 36,941 | $ 33,449 | $ 29,856 | $ 17,999 | $ 38,323 | $ 32,683 | ||||||
Volumes (in Dts for natural gas and MWHs for electric) | |||||||||||||
Residential | 237,744 | 347,995 | 341,010 | 100,207 | 245,612 | 325,445 | 102,699 | ||||||
Commercial and Industrial | 1,913,091 | 9,070,258 | 2,686,804 | 118,214 | 1,915,125 | 10,684,539 | 96,716 | ||||||
Other | 59,512 | 659,557 | 1,496,698 | — | 62,277 | — | — | ||||||
Total | 2,210,347 | 10,077,810 | 4,524,512 | 218,421 | 2,223,014 | 11,009,984 | 199,415 | ||||||
Average Customers | |||||||||||||
Residential | 101,635 | 92,125 | 114,200 | 25,776 | 97,847 | 88,640 | 25,782 | ||||||
Commercial and Industrial | 8,322 | 8,494 | 8,567 | 7,354 | 8,208 | 8,411 | 7,382 | ||||||
Other | 27 | — | 118 | — | 24 | 6 | — | ||||||
Total | 109,984 | 100,619 | 122,885 | 33,130 | 106,079 | 97,057 | 33,164 | ||||||
For the Nine Months Ended September 30, 2024 | For the Nine Months Ended September 30, 2023 | ||||||||||||
Delmarva NG |
|
| FPU Electric | Delmarva NG |
| FPU Electric | |||||||
Operating Revenues | |||||||||||||
Residential | $ 60,003 | $ 36,201 | $ 39,975 | $ 38,704 | $ 67,562 | $ 38,546 | $ 39,347 | ||||||
Commercial and Industrial | 35,009 | 80,647 | 52,115 | 37,285 | 41,637 | 80,499 | 39,913 | ||||||
Other (1) | (2,262) | 7,966 | 9,730 | (3,623) | (6,696) | 6,401 | (805) | ||||||
Total Operating Revenues | $ 92,750 | $ 124,814 | $ 101,820 | $ 72,366 | $ 102,503 | $ 125,446 | $ 78,455 | ||||||
Volumes (in Dts for natural gas and MWHs for electric) | |||||||||||||
Residential | 3,499,276 | 1,714,914 | 1,367,409 | 243,454 | 3,302,125 | 1,551,348 | 238,051 | ||||||
Commercial and Industrial | 7,588,547 | 29,318,803 | 8,455,727 | 301,687 | 7,523,061 | 31,047,013 | 239,505 | ||||||
Other | 207,213 | 1,962,689 | 4,566,210 | — | 213,600 | 627,934 | — | ||||||
Total | 11,295,036 | 32,996,406 | 14,389,346 | 545,141 | 11,038,786 | 33,226,295 | 477,556 | ||||||
Average Customers | |||||||||||||
Residential | 101,045 | 91,345 | 113,633 | 25,747 | 97,230 | 88,051 | 25,718 | ||||||
Commercial and Industrial | 8,361 | 8,484 | 8,545 | 7,361 | 8,242 | 8,408 | 7,373 | ||||||
Other | 26 | — | 109 | — | 23 | 6 | — | ||||||
Total | 109,432 | 99,829 | 122,287 | 33,108 | 105,495 | 96,465 | 33,091 | ||||||
(1) Operating Revenues from "Other" sources include unbilled revenue, under (over) recoveries of fuel cost, conservation revenue, other miscellaneous charges, fees for billing services provided to third parties and adjustments for pass-through taxes. |
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SOURCE Chesapeake Utilities Corporation
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