Entergy Reports Third Quarter Earnings
Entergy Corporation (NYSE: ETR) reported Q3 2021 earnings per share (EPS) of $2.63, up from $2.59 in Q3 2020. Adjusted EPS increased to $2.45 from $2.44 year-over-year. The company narrowed its 2021 adjusted EPS guidance to $5.90-$6.10. Entergy's Utility segment contributed $570 million to earnings, with a notable increase from the prior year.
Entergy's quarterly dividend rose by 6% to $1.01 per share. The company was recognized for its leadership in reducing carbon emissions, receiving a 2021 Climate Leadership Award.
- Narrowed 2021 adjusted EPS guidance to $5.90-$6.10.
- Quarterly dividend increased by 6% to $1.01 per share.
- Utility segment earnings rose to $570 million from $552 million in Q3 2020.
- Recognition as one of the top utilities in economic development for 14 consecutive years.
- Received 2021 Climate Leadership Award for reducing carbon emissions.
- Year-to-date earnings decreased to $860 million from $1,000 million in 2020.
- Utility segment faced higher operating expenses and impacts from Hurricane Ida.
NEW ORLEANS, Nov. 3, 2021 /PRNewswire/ -- Entergy Corporation (NYSE: ETR) reported third quarter 2021 earnings per share of
"We delivered another strong quarter. With clear visibility into the remainder of the year and a strong base plan, we are narrowing our 2021 adjusted earnings per share guidance range and affirming our longer-term outlooks." said Entergy Chairman and Chief Executive Officer Leo Denault. "Looking forward, we are working to accelerate resilience, expand renewables, and help our customers meet their sustainability objectives. These efforts and related load growth opportunities will extend and expand our customer-centered capital investment through the end of the decade and beyond."
Business highlights included the following:
- Entergy narrowed its 2021 adjusted EPS guidance range to
$5.90 to$6.10 . - The Arkansas Public Service Commission approved the West Memphis Solar project.
- Entergy Texas filed its application for approval of Orange County Advanced Power Station.
- Entergy Arkansas reached settlements on its annual FRP and Green Promise Tariff filings.
- Entergy New Orleans implemented new FRP rates.
- Entergy Texas filed a settlement on its 2020 storm cost filing.
- Entergy Texas submitted distribution and transmission cost recovery filings.
- Entergy's Board of Directors declared a quarterly dividend of
$1.01 per share, a six percent increase. - Entergy was named as one of the nation's top utilities in economic development by Site Selection magazine for the 14th consecutive year.
- The Center for Climate and Energy Solutions and the Climate Registry awarded Entergy with a 2021 Climate Leadership Award for Organizational Leadership, recognizing Entergy for its leadership in reducing carbon emissions and its 2030 and 2050 climate commitments.
Consolidated Earnings (GAAP and Non-GAAP Measures) Third Quarter and Year-to-Date 2021 vs. 2020 (See Appendix A for reconciliation of GAAP to non-GAAP measures and description of adjustments) | ||||||
Third Quarter | Year-to-Date | |||||
2021 | 2020 | Change | 2021 | 2020 | Change | |
(After-tax, $ in millions) | ||||||
As-reported earnings | 531 | 521 | 11 | 860 | 1,000 | (141) |
Less adjustments | 37 | 30 | 7 | (201) | 4 | (205) |
Adjusted earnings (non-GAAP) | 494 | 491 | 4 | 1,061 | 996 | 64 |
Estimated weather in billed sales | (2) | 1 | (3) | 4 | (53) | 57 |
(After-tax, per share in $) | ||||||
As-reported earnings | 2.63 | 2.59 | 0.04 | 4.26 | 4.98 | (0.72) |
Less adjustments | 0.18 | 0.15 | 0.03 | (1.00) | 0.02 | (1.02) |
Adjusted earnings (non-GAAP) | 2.45 | 2.44 | 0.01 | 5.26 | 4.96 | 0.30 |
Estimated weather in billed sales | (0.01) | 0.01 | (0.02) | 0.02 | (0.26) | 0.28 |
Calculations may differ due to rounding | ||||||
Consolidated Results
For third quarter 2021, the company reported earnings of
Summary discussions by business follow. Additional details, including information on OCF by business, are provided in Appendix A. An analysis of quarterly and year-to-date variances by business is provided in Appendix B.
Business Segment Results
Utility
For third quarter 2021, the Utility business reported earnings attributable to Entergy Corporation of
- the net effect of regulatory actions across the operating companies.
The driver was partially offset by:
- higher operating expenses including other O&M, taxes other than income taxes, and depreciation expense; and
- retail sales volume, including volume in the unbilled period, largely due to impacts of Hurricane Ida.
Appendix C contains additional details on Utility financial and operating measures.
Parent & Other
For third quarter 2021, Parent & Other reported a loss attributable to Entergy Corporation of
Entergy Wholesale Commodities
For third quarter 2021, EWC reported earnings attributable to Entergy Corporation of
- lower operating expenses, including other O&M primarily due to the shutdown of Indian Point 3 and decommissioning expense primarily due to the sale of Indian Point.
The driver was partially offset by:
- lower revenue primarily due to the shutdown of Indian Point 3; and
- lower earnings on the decommissioning trusts due to the transfer of the trusts resulting from the sale of Indian Point.
Appendix D contains additional details on EWC financial and operating measures, including reconciliation for non-GAAP EWC adjusted EBITDA.
Earnings Per Share Guidance
Entergy narrowed its 2021 adjusted EPS guidance to a range of
The company has provided 2021 earnings guidance with regard to the non-GAAP measure of Entergy adjusted EPS. This measure excludes from the corresponding GAAP financial measure the effect of adjustments as described below under "Non-GAAP Financial Measures." The company has not provided a reconciliation of such non-GAAP guidance to guidance presented on a GAAP basis because it cannot predict and quantify with a reasonable degree of confidence all of the adjustments that may occur during the period. One such adjustment will be the exclusion of EWC earnings from Entergy adjusted EPS. We currently estimate that the contribution of EWC to Entergy's as-reported EPS will be approximately
Earnings Teleconference
A teleconference will be held at 10:00 a.m. Central Time on Wednesday, November 3, 2021, to discuss Entergy's quarterly earnings announcement and the company's financial performance. The teleconference may be accessed by visiting Entergy's website at www.entergy.com or by dialing 844-309-6569, conference ID 8029888, no more than 15 minutes prior to the start of the call. The webcast presentation is also being posted to Entergy's website concurrent with this news release. A replay of the teleconference will be available on Entergy's website at www.entergy.com and by telephone. The telephone replay will be available through November 10, 2021, by dialing 855-859-2056, conference ID 8029888.
Entergy Corporation is an integrated energy company engaged in electric power production, transmission and retail distribution operations. Entergy delivers electricity to 3 million utility customers in Arkansas, Louisiana, Mississippi and Texas. Entergy owns and operates one of the cleanest large-scale U.S. power generating fleets with approximately 30,000 megawatts of electric generating capacity, including 7,000 megawatts of nuclear power. Headquartered in New Orleans, Louisiana, Entergy has annual revenues of
Entergy Corporation's common stock is listed on the New York Stock Exchange and NYSE Chicago under the symbol "ETR".
Details regarding Entergy's results of operations, regulatory proceedings, and other matters are available in this earnings release, a copy of which will be filed with the SEC, and the webcast presentation. Both documents are available on Entergy's Investor Relations website at www.entergy.com/investor_relations.
Entergy maintains a web page as part of its Investor Relations website, entitled Regulatory and Other Information, which provides investors with key updates on certain regulatory proceedings and important milestones on the execution of its strategy. While some of this information may be considered material information, investors should not rely exclusively on this page for all relevant company information.
For definitions of certain operating measures, as well as GAAP and non-GAAP financial measures and abbreviations and acronyms used in the earnings release materials, see Appendix F.
Non-GAAP Financial Measures
This news release contains non-GAAP financial measures, which are generally numerical measures of a company's performance, financial position, or cash flows that either exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Entergy has provided quantitative reconciliations within this news release of the non-GAAP financial measures to the most directly comparable GAAP financial measures.
Entergy reports earnings using the non-GAAP measure of Entergy adjusted earnings, which excludes the effect of certain "adjustments," including the removal of the Entergy Wholesale Commodities segment in light of the company's decision to exit the merchant power business. Adjustments are unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as the results of the EWC segment, significant tax items, and other items such as certain costs, expenses, or other specified items. In addition to reporting GAAP consolidated earnings on a per share basis, Entergy reports its adjusted earnings on a per share basis. These per share measures represent the applicable earnings amount divided by the diluted average number of common shares outstanding for the period.
Management uses the non-GAAP financial measures of adjusted earnings and adjusted earnings per share for, among other things, financial planning and analysis; reporting financial results to the board of directors, employees, stockholders, analysts, and investors; and internal evaluation of financial performance. Entergy believes that these non-GAAP financial measures provide useful information to investors in evaluating the ongoing results of Entergy's business, comparing period to period results, and comparing Entergy's financial performance to the financial performance of other companies in the utility sector.
Other non-GAAP measures, including adjusted EBITDA; adjusted ROE; adjusted ROE, excluding affiliate preferred; adjusted ROIC; gross liquidity; net liquidity; net liquidity, including storm escrows; debt to capital, excluding securitization debt; net debt to net capital, excluding securitization debt; parent debt to total debt, excluding securitization debt; FFO to debt, excluding securitization debt; and FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC, are measures Entergy uses internally for management and board discussions and to gauge the overall strength of its business. Entergy believes the above data provides useful information to investors in evaluating Entergy's ongoing financial results and flexibility, and assists investors in comparing Entergy's credit and liquidity to the credit and liquidity of others in the utility sector. In addition, other financial measures including net income (or earnings) adjusted for preferred dividends and tax-effected interest expense and FFO are included on both an adjusted and an as-reported basis. In each case, the metrics defined as "adjusted" (other than EWC's adjusted EBITDA) exclude the effect of adjustments as defined above. EWC's adjusted EBITDA represents EWC's earnings before interest, taxes, and depreciation and amortization, and also excludes decommissioning expense.
These non-GAAP financial measures reflect an additional way of viewing aspects of Entergy's operations that, when viewed with Entergy's GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provide a more complete understanding of factors and trends affecting Entergy's business. These non-GAAP financial measures should not be used to the exclusion of GAAP financial measures. Investors are strongly encouraged to review Entergy's consolidated financial statements and publicly filed reports in their entirety and not to rely on any single financial measure. Although certain of these measures are intended to assist investors in comparing Entergy's performance to other companies in the utility sector, non-GAAP financial measures are not standardized; therefore, it might not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names.
Cautionary Note Regarding Forward-Looking Statements
In this news release, and from time to time, Entergy Corporation makes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, among other things, statements regarding Entergy's 2021 earnings guidance; its current financial and operational outlooks; and other statements of Entergy's plans, beliefs, or expectations included in this news release. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Except to the extent required by the federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Forward-looking statements are subject to a number of risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including (a) those factors discussed elsewhere in this news release and in Entergy's most recent Annual Report on Form 10-K, any subsequent Quarterly Reports on Form 10-Q, and Entergy's other reports and filings made under the Securities Exchange Act of 1934; (b) uncertainties associated with (1) rate proceedings, formula rate plans, and other cost recovery mechanisms, including the risk that costs may not be recoverable to the extent or on the timeline anticipated by the utilities and (2) implementation of the ratemaking effects of changes in law; (c) uncertainties associated with efforts to remediate the effects of major storms and recover related restoration costs; (d) risks associated with operating nuclear facilities, including plant relicensing, operating, and regulatory costs and risks; (e) changes in decommissioning trust fund values or earnings or in the timing or cost of decommissioning Entergy's nuclear plant sites; (f) legislative and regulatory actions and risks and uncertainties associated with claims or litigation by or against Entergy and its subsidiaries; (g) risks and uncertainties associated with executing on business strategies, including strategic transactions that Entergy or its subsidiaries may undertake and the risk that any such transaction may not be completed as and when expected and the risk that the anticipated benefits of the transaction may not be realized; (h) effects of changes in federal, state, or local laws and regulations and other governmental actions or policies, including changes in monetary, fiscal, tax, environmental, or energy policies; (i) the effects of changes in commodity markets, capital markets, or economic conditions; (j) impacts from a terrorist attack, cybersecurity threats, data security breaches, or other attempts to disrupt Entergy's business or operations, and/or other catastrophic events; (k) the direct and indirect impacts of the COVID-19 pandemic on Entergy and its customers; and (l) the effects of technological change, including the costs, pace of development and commercialization of new and emerging technologies.
Third Quarter 2021 Earnings Release Appendices and Financial Statements
Appendices
A: Consolidated Results and Adjustments
B: Earnings Variance Analysis
C: Utility Financial and Operating Measures
D: EWC Financial and Operating Measures
E: Consolidated Financial Measures
F: Definitions and Abbreviations and Acronyms
G: Other GAAP to Non-GAAP Reconciliations
Financial Statements
Consolidating Balance Sheets
Consolidating Income Statements
Consolidated Cash Flow Statements
A: Consolidated Results and Adjustments
Appendix A-1 provides a comparative summary of consolidated earnings, including a reconciliation of as-reported earnings (GAAP) to adjusted earnings (non-GAAP).
Appendix A-1: Consolidated Earnings - Reconciliation of GAAP to Non-GAAP Measures Third Quarter and Year-to-Date 2021 vs. 2020 (See Appendix A-3 and Appendix A-4 for details on adjustments) | ||||||
Third Quarter | Year-to-Date | |||||
2021 | 2020 | Change | 2021 | 2020 | Change | |
(After-tax, $ in millions) | ||||||
As-reported earnings (loss) | ||||||
Utility | 570 | 552 | 19 | 1,253 | 1,216 | 37 |
Parent & Other | (65) | (61) | (4) | (181) | (220) | 39 |
EWC | 26 | 30 | (4) | (212) | 4 | (216) |
Consolidated | 531 | 521 | 11 | 860 | 1,000 | (141) |
Less adjustments | ||||||
Utility | 11 | - | 11 | 11 | - | 11 |
Parent & Other | - | - | - | - | - | - |
EWC | 26 | 30 | (4) | (212) | 4 | (216) |
Consolidated | 37 | 30 | 7 | (201) | 4 | (205) |
Adjusted earnings (loss) (non-GAAP) | ||||||
Utility | 559 | 552 | 8 | 1,242 | 1,216 | 26 |
Parent & Other | (65) | (61) | (4) | (181) | (220) | 39 |
EWC | - | - | - | - | - | - |
Consolidated | 494 | 491 | 4 | 1,061 | 996 | 64 |
Estimated weather in billed sales | (2) | 1 | (3) | 4 | (53) | 57 |
Diluted average number of common shares outstanding (in millions) | 202 | 201 | 202 | 201 | ||
(After-tax, per share in $) (a) | ||||||
As-reported earnings (loss) | ||||||
Utility | 2.82 | 2.74 | 0.08 | 6.21 | 6.05 | 0.16 |
Parent & Other | (0.32) | (0.30) | (0.02) | (0.90) | (1.09) | 0.19 |
EWC | 0.13 | 0.15 | (0.02) | (1.05) | 0.02 | (1.07) |
Consolidated | 2.63 | 2.59 | 0.04 | 4.26 | 4.98 | (0.72) |
Less adjustments | ||||||
Utility | 0.05 | - | 0.05 | 0.05 | - | 0.05 |
Parent & Other | - | - | - | - | - | - |
EWC | 0.13 | 0.15 | (0.02) | (1.05) | 0.02 | (1.07) |
Consolidated | 0.18 | 0.15 | 0.03 | (1.00) | 0.02 | (1.02) |
Adjusted earnings (loss) (non-GAAP) | ||||||
Utility | 2.77 | 2.74 | 0.03 | 6.16 | 6.05 | 0.11 |
Parent & Other | (0.32) | (0.30) | (0.02) | (0.90) | (1.09) | 0.19 |
EWC | - | - | - | - | - | - |
Consolidated | 2.45 | 2.44 | 0.01 | 5.26 | 4.96 | 0.30 |
Estimated weather in billed sales | (0.01) | 0.01 | (0.02) | 0.02 | (0.26) | 0.28 |
Calculations may differ due to rounding | ||||||
See Appendix B for detailed earnings variance analysis.
Appendix A-2 provides a comparative summary of OCF, by business.
Appendix A-2: Consolidated Operating Cash Flow | ||||||
Third Quarter and Year-to-Date 2021 vs. 2020 | ||||||
($ in millions) | ||||||
Third Quarter | Year-to-Date | |||||
2021 | 2020 | Change | 2021 | 2020 | Change | |
Utility | 1,289 | 976 | 313 | 2,226 | 2,371 | (145) |
Parent & Other | (68) | (67) | (1) | (154) | (211) | 58 |
EWC | 43 | 13 | 31 | (62) | 211 | (272) |
Consolidated | 1,264 | 922 | 343 | 2,011 | 2,370 | (359) |
Calculations may differ due to rounding | ||||||
OCF increased quarter-over-quarter due primarily to higher collections from Utility customers, net of the timing of fuel and purchased power payments and cost recovery.
Appendix A-3 and Appendix A-4 list adjustments by business. Adjustments are included in as-reported earnings consistent with GAAP but are excluded from adjusted earnings. As a result, adjusted earnings is considered a non-GAAP measure.
Appendix A-3: Adjustments by Driver (shown as positive/(negative) impact on earnings or EPS) | ||||||
Third Quarter and Year-to-Date 2021 vs. 2020 | ||||||
Third Quarter | Year-to-Date | |||||
2021 | 2020 | Change | 2021 | 2020 | Change | |
(Pre-tax except for income taxes, preferred dividend requirements, and totals; $ in millions) | ||||||
Utility | ||||||
Gain on sale | 15 | - | 15 | 15 | - | 15 |
Income tax effect on adjustment above | (4) | - | (4) | (4) | - | (4) |
Total Utility | 11 | - | 11 | 11 | - | 11 |
EWC | ||||||
Income before income taxes | 35 | 43 | (8) | (258) | 12 | (270) |
Income taxes | (9) | (12) | 3 | 47 | (6) | 54 |
Preferred dividend requirements | (1) | (1) | - | (2) | (2) | - |
Total EWC | 26 | 30 | (4) | (212) | 4 | (216) |
Total adjustments | 37 | 30 | 7 | (201) | 4 | (205) |
(After-tax, per share in $) (b) | ||||||
Utility | ||||||
Gain on sale | 0.05 | - | 0.05 | 0.05 | - | 0.05 |
Total Utility | 0.05 | - | 0.05 | 0.05 | - | 0.05 |
EWC | ||||||
Total EWC | 0.13 | 0.15 | (0.02) | (1.05) | 0.02 | (1.07) |
Total adjustments | 0.18 | 0.15 | 0.03 | (1.00) | 0.02 | (1.02) |
Calculations may differ due to rounding | ||||||
Appendix A-4: Adjustments by Income Statement Line Item (shown as positive/(negative) impact on earnings) | ||||||
Third Quarter and Year-to-Date 2021 vs. 2020 | ||||||
(Pre-tax except for income taxes, preferred dividend requirements, and totals; $ in millions) | ||||||
Third Quarter | Year-to-Date | |||||
2021 | 2020 | Change | 2021 | 2020 | Change | |
Utility | ||||||
Other O&M | 15 | - | 15 | 15 | - | 15 |
Income taxes | (4) | - | (4) | (4) | - | (4) |
Total Utility | 11 | - | 11 | 11 | - | 11 |
EWC | ||||||
Operating revenues | 162 | 214 | (52) | 559 | 747 | (187) |
Fuel and fuel-related expenses | (24) | (14) | (10) | (63) | (51) | (12) |
Purchased power | (22) | (29) | 7 | (58) | (49) | (9) |
Nuclear refueling outage expense | (11) | (11) | (1) | (34) | (35) | 1 |
Other O&M | (51) | (114) | 63 | (233) | (385) | 152 |
Asset write-off and impairments | - | (4) | 5 | (345) | (16) | (329) |
Decommissioning expense | (14) | (51) | 37 | (106) | (152) | 46 |
Taxes other than income taxes | (2) | (10) | 8 | (15) | (44) | 30 |
Depreciation/amortization exp. | (9) | (21) | 12 | (36) | (81) | 45 |
Other income (deductions)–other | 9 | 87 | (78) | 84 | 97 | (13) |
Interest exp. and other charges | (3) | (5) | 2 | (11) | (17) | 6 |
Income taxes | (9) | (12) | 3 | 47 | (6) | 54 |
Preferred dividend requirements | (1) | (1) | - | (2) | (2) | - |
Total EWC | 26 | 30 | (4) | (212) | 4 | (216) |
Total adjustments | 37 | 30 | 7 | (201) | 4 | (205) |
Calculations may differ due to rounding | ||||||
B: Earnings Variance Analysis
Appendix B-1 and Appendix B-2 provide details of current quarter and year-to-date 2021 versus 2020 as-reported and adjusted earnings variance analysis for Utility, Parent & Other, and EWC.
Appendix B-1: As-Reported and Adjusted Earnings Variance Analysis (c), (d) | ||||||||||
Third Quarter 2021 vs. 2020 | ||||||||||
(After-tax, per share in $) | ||||||||||
Utility | Parent & Other | EWC | Consolidated | |||||||
As- | Adjusted | As- | Adjusted | As- Reported | As- Reported | Adjusted | ||||
2020 earnings (loss) | 2.74 | 2.74 | (0.30) | (0.30) | 0.15 | 2.59 | 2.44 | |||
Operating revenue less: Fuel, fuel-related expenses and gas purchased for resale, Purchased power, and Regulatory charges (credits)–net | 0.17 | 0.17 | (e) | 0.00 | 0.00 | (0.22) | (f) | (0.05) | 0.17 | |
Nuclear refueling outage expense | 0.01 | 0.01 | 0.00 | 0.00 | 0.00 | 0.01 | 0.01 | |||
Other O&M | (0.04) | (0.09) | (g) | 0.00 | 0.00 | 0.24 | (h) | 0.20 | (0.09) | |
Asset write-offs and impairments | 0.00 | 0.00 | 0.00 | 0.00 | 0.02 | 0.02 | 0.00 | |||
Decommissioning expense | (0.01) | (0.01) | 0.00 | 0.00 | 0.15 | (i) | 0.14 | (0.01) | ||
Taxes other than income taxes | (0.07) | (0.07) | (j) | 0.00 | 0.00 | 0.03 | (0.04) | (0.07) | ||
Depreciation/amortization exp. | (0.12) | (0.12) | (k) | 0.00 | 0.00 | 0.05 | (l) | (0.07) | (0.12) | |
Other income (deductions)–other | 0.22 | 0.22 | (m) | 0.00 | 0.00 | (0.31) | (n) | (0.09) | 0.22 | |
Interest exp. and other charges | (0.03) | (0.03) | (0.03) | (0.03) | 0.01 | (0.05) | (0.06) | |||
Income taxes–other | (0.04) | (0.04) | 0.01 | 0.01 | 0.01 | (0.02) | (0.03) | |||
Preferred dividend requirements | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
Share effect | (0.01) | (0.01) | 0.00 | 0.00 | 0.00 | (0.01) | (0.01) | |||
2021 earnings (loss) | 2.82 | 2.77 | (0.32) | (0.32) | 0.13 | 2.63 | 2.45 | |||
Appendix B-2: As-Reported and Adjusted Earnings Variance Analysis (c), (d) | ||||||||||
Year-to-date 2021 vs. 2020 | ||||||||||
(After-tax, per share in $) | ||||||||||
Utility | Parent & Other | EWC | Consolidated | |||||||
As- | Adjusted | As- | Adjusted | As- Reported | As- Reported | Adjusted | ||||
2020 earnings (loss) | 6.05 | 6.05 | (1.09) | (1.09) | 0.02 | 4.98 | 4.96 | |||
Operating revenue less: Fuel, fuel-related expenses and gas purchased for resale, Purchased power, and Regulatory charges (credits)–net | 1.60 | 1.60 | (e) | 0.00 | 0.00 | (0.82) | (f) | 0.78 | 1.60 | |
Nuclear refueling outage expense | 0.03 | 0.03 | 0.00 | 0.00 | 0.00 | 0.03 | 0.03 | |||
Other O&M | (0.56) | (0.61) | (g) | 0.00 | 0.00 | 0.60 | (h) | 0.04 | (0.61) | |
Asset write-offs and impairments | 0.00 | 0.00 | 0.00 | 0.00 | (1.29) | (o) | (1.29) | 0.00 | ||
Decommissioning expense | (0.03) | (0.03) | 0.00 | 0.00 | 0.18 | (i) | 0.15 | (0.03) | ||
Taxes other than income taxes | (0.09) | (0.09) | (j) | 0.00 | 0.00 | 0.12 | (p) | 0.03 | (0.09) | |
Depreciation/amortization exp. | (0.36) | (0.36) | (k) | 0.00 | 0.00 | 0.18 | (l) | (0.18) | (0.36) | |
Other income (deductions)–other | 0.17 | 0.17 | (m) | 0.04 | 0.04 | (0.05) | (n) | 0.16 | 0.21 | |
Interest exp. and other charges | (0.12) | (0.12) | (q) | (0.02) | (0.02) | 0.02 | (0.12) | (0.14) | ||
Income taxes–other | (0.46) | (0.46) | (r) | 0.17 | 0.17 | (s) | (0.01) | (0.30) | (0.29) | |
Preferred dividend requirements | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
Share effect | (0.02) | (0.02) | 0.00 | 0.00 | 0.00 | (0.02) | (0.02) | |||
2021 earnings (loss) | 6.21 | 6.16 | (0.90) | (0.90) | (1.05) | 4.26 | 5.26 | |||
Calculations may differ due to rounding | ||||||||||
(c) | Utility operating revenue / regulatory charges (credits)–net and Utility income taxes–other exclude |
(d) | EPS effect is calculated by multiplying the pre-tax amount by the estimated income tax rate that is expected to apply and dividing by diluted average number of common shares outstanding for the prior period; income taxes–other represents income tax differences other than the tax effect of individual line items. |
(e) | The third quarter and year-to-date earnings increases were driven by regulatory actions including E-LA's FRP; E-TX's GCRR, TCRF, and DCRF; E-NO's NOPS recovery; and E-MS's FRP. The variances also reflected a few other items: regulatory charges (credits)–net for the difference between decommissioning expenses and decommissioning trust earnings plus decommissioning costs collected in revenue (largely earnings neutral, offset in Utility other income (deductions)–other; a reserve adjustment for the FERC MSS-4 ROE decision; and higher Grand Gulf revenue. For the quarter, retail sales volume including volume in the unbilled period partially offset the increase. Volume for the year-to-date period contributed to the increase. The year-to-date variance also reflected recovery of LCPS, the reversal of a regulatory provision for E-AR's 2019 netting adjustment, a regulatory credit for E-MS (primarily for its 2020 lookback evaluation), and a first quarter 2020 regulatory liability for tax sharing with E-LA customers (partially offsets the Hurricane Isaac Act 55 income tax item discussed in footnote r). |
(f) | The third quarter and year-to-date earnings decreases were due largely to lower revenues from the shutdown of Indian Point 3 in April 2021. The year-to-date decrease also reflected the shutdown of Indian Point 2 in April 2020. |
(g) | The third quarter and year-to-date earnings decreases from higher Utility other O&M reflected higher distribution operations expenses primarily due to contractor and reliability costs; higher non-nuclear generation expenses due partly to materials and supplies, contractor spending, and expenses associated with new plants placed in service; and higher benefits costs. These items were partially offset by a |
(h) | The third quarter and year-to-date earnings increases from lower EWC other O&M were due largely to the shutdown of Indian Point 3 in April 2021 and lower severance and retention costs. The year-to-date increase also reflected the shutdown of Indian Point 2 in April 2020. |
(i) | The third quarter and year-to-date earnings increases from lower EWC decommissioning expense were due to the sale of Indian Point in May 2021. |
(j) | The third quarter and year-to-date earnings decreases from higher Utility taxes other than income taxes were due to higher franchise taxes and higher ad valorem taxes. |
(k) | The third quarter and year-to-date earnings decreases from higher Utility depreciation expense were due primarily to higher plant in service, including MCPS. The year-to-date decrease also reflected LCPS. |
(l) | The third quarter and year-to-date earnings increases from lower EWC depreciation expense were due primarily to the shutdown of Indian Point 3 in April 2021. The year-to-date variance also reflected the Indian Point 2 shutdown in April 2020. |
(m) | The third quarter and year-to-date earnings increases from higher Utility other income (deductions)–other were due largely to differences in decommissioning trust fund returns (based on regulatory treatment, decommissioning-related variances are largely earnings neutral). The year-to-date increase was partially offset by lower AFUDC as a result of higher construction work in progress in 2020. |
(n) | The third quarter and year-to-date earnings decrease from lower EWC other income (deductions)–other were due largely to lower gains on decommissioning trust fund investments, including the absence of earnings from nuclear decommissioning trust funds that were transferred in the sale of Indian Point. In the year-to-date period, the decrease was partially offset by lower non-service pension costs. |
(o) | The year-to-date earnings decrease from higher EWC asset write-offs and impairments was due primarily to a |
(p) | The year-to-date earnings increase from lower EWC taxes other than income taxes was due primarily to the shutdown of Indian Point 2 in April 2020 and Indian Point 3 in April 2021. |
(q) | The year-to-date earnings decrease from higher Utility interest expense was due primarily to higher debt balances at E-LA and E-MS, as well as lower AFUDC as a result of higher construction work in progress in 2020. |
(r) | The year-to-date earnings decrease from Utility income taxes–other primarily relates to two first quarter 2020 items. First, a |
(s) | The year-to-date earnings increase from Parent & Other income taxes–other reflected a reversal of a |
Utility as-reported Operating revenue less Fuel, fuel-related 2021 vs. 2020 ($ EPS) | ||
3Q | YTD | |
Volume/weather | (0.09) | 0.31 |
Retail electric price | 0.38 | 0.86 |
MSS-4 ROE reserve adjustment | 0.02 | 0.07 |
Reg. provision for decommissioning | (0.25) | (0.32) |
Lower capacity cost not offset in fuel recovery | 0.07 | 0.15 |
Reg. provision for E-AR FRP (2019 netting adj.) | - | 0.16 |
Reg. liability for tax sharing | - | 0.10 |
Reg. credit for E-MS | - | 0.07 |
Other, including Grand Gulf recovery | 0.04 | 0.20 |
Total | 0.17 | 1.60 |
C: Utility Financial and Operating Measures
Appendix C provides comparative summaries of Utility operating and financial measures.
Appendix C: Utility Operating and Financial Measures | |||||||||||||
Third Quarter and Year-to-Date 2021 vs. 2020 | |||||||||||||
Third Quarter | Year-to-Date | ||||||||||||
2021 | 2020 | % Change | % Weather | 2021 | 2020 | % Change | % Weather | ||||||
GWh billed | |||||||||||||
Residential | 11,218 | 11,634 | (3.6) | (2.9) | 28,178 | 27,519 | 2.4 | (1.3) | |||||
Commercial | 7,795 | 7,791 | 0.1 | 0.5 | 20,299 | 20,106 | 1.0 | 0.8 | |||||
Governmental | 660 | 660 | 0.0 | 0.5 | 1,841 | 1,826 | 0.8 | 1.7 | |||||
Industrial | 13,187 | 11,994 | 9.9 | 9.9 | 37,335 | 35,655 | 4.7 | 4.7 | |||||
Total retail sales | 32,860 | 32,079 | 2.4 | 2.8 | 87,653 | 85,106 | 3.0 | 1.7 | |||||
Wholesale | 4,350 | 4,881 | (10.9) | 13,365 | 11,109 | 20.3 | |||||||
Total sales | 37,210 | 36,960 | 0.7 | 101,018 | 96,215 | 5.0 | |||||||
Number of electric retail customers | |||||||||||||
Residential | 2,548,865 | 2,530,150 | 0.7 | ||||||||||
Commercial | 365,364 | 361,401 | 1.1 | ||||||||||
Governmental | 17,922 | 17,653 | 1.5 | ||||||||||
Industrial | 50,579 | 48,651 | 4.0 | ||||||||||
Total retail customers | 2,982,730 | 2,957,855 | 0.8 | ||||||||||
Other O&M and refueling outage expense per MWh | 0.8 | 2.4 | |||||||||||
Calculations may differ due to rounding | |||||||||||||
On a weather-adjusted basis, billed retail sales increased 2.8 percent. Third quarter 2021 sales were impacted by Hurricane Ida while third quarter 2020 sales were affected by Hurricane Laura; the estimated net impact for the quarter was approximately (1.0) percent. The impact that the COVID-19 pandemic had on the prior year also contributed to the variance. Industrial billed sales were 9.9 percent higher than third quarter 2020. The increase in industrial usage was primarily due to an increase in demand from expansion projects, primarily in the transportation, metals, and chemicals industries, an increase in demand from existing customers, primarily in the gases and chemicals industries as a result of temporary plant shutdowns and operational issues, and an increase in demand from mid-to-small and cogeneration customers. Residential billed sales decreased (2.9) percent and commercial billed sales increased 0.5 percent.
D: EWC Financial and Operating Measures
Appendix D-1 provides a comparative summary of EWC adjusted EBITDA (non-GAAP).
Appendix D-1: EWC Adjusted EBITDA - Reconciliation of GAAP to Non-GAAP Measures | ||||||
Third Quarter and Year-to-Date 2021 vs. 2020 | ||||||
($ in millions) | Third Quarter | Year-to-Date | ||||
2021 | 2020 | Change | 2021 | 2020 | Change | |
Net income (loss) | 26 | 31 | (5) | (210) | 6 | (216) |
Add back: interest expense | 3 | 5 | (2) | 11 | 17 | (6) |
Add back: income taxes | 9 | 12 | (3) | (47) | 6 | (54) |
Add back: depreciation and amortization | 9 | 21 | (12) | 36 | 81 | (45) |
Subtract: interest and investment income | 3 | 95 | (92) | 100 | 130 | (30) |
Add back: decommissioning expense | 14 | 51 | (37) | 106 | 152 | (46) |
Adjusted EBITDA (non-GAAP) | 57 | 24 | 33 | (205) | 132 | (337) |
Calculations may differ due to rounding | ||||||
Appendix D-2 provides a comparative summary of EWC operating and financial measures.
Appendix D-2: EWC Operating and Financial Measures Third Quarter and Year-to-Date 2021 vs. 2020 | ||||||
Third Quarter | Year-to-Date | |||||
2021 | 2020 | % Change | 2021 | 2020 | % Change | |
Owned capacity (MW) (u) | 1,205 | 2,246 | (46.3) | 1,205 | 2,246 | (46.3) |
GWh billed | 2,166 | 4,332 | (50.0) | 9,265 | 16,047 | (42.3) |
EWC Nuclear Fleet | ||||||
Capacity factor | 16.9 | 3.2 | ||||
GWh billed | 1,702 | 3,943 | (56.8) | 8,046 | 14,782 | (45.6) |
Production cost per MWh | 32.3 | 27.9 | ||||
Average energy/capacity revenue per MWh | 39.5 | 21.1 | ||||
Refueling outage days | ||||||
Palisades | - | 32 | - | 32 | ||
Calculations may differ due to rounding | ||||||
See the appendix in the webcast presentation for EWC hedging and price disclosures.
E: Consolidated Financial Measures
Appendix E provides comparative financial measures. Financial measures in this table include those calculated and presented in accordance with GAAP, as well as those that are considered non-GAAP financial measures.
Appendix E: GAAP and Non-GAAP Financial Measures | |||
Third Quarter 2021 vs. 2020 (See Appendix G for reconciliation of GAAP to non-GAAP financial measures) | |||
For 12 months ending September 30 | 2021 | 2020 | Change |
GAAP Measures | |||
As-reported ROIC | (1.0)% | ||
As-reported ROE | (2.0)% | ||
Non-GAAP Financial Measures | |||
Adjusted ROIC | (0.2)% | ||
Adjusted ROE | |||
As of September 30 ($ in millions, except where noted) | 2021 | 2020 | Change |
GAAP Measures | |||
Cash and cash equivalents | 1,000 | 1,240 | (240) |
Available revolver capacity | 3,925 | 4,125 | (199) |
Commercial paper | 1,006 | 1,398 | (392) |
Total debt | 25,695 | 22,127 | 3,568 |
Securitization debt | 90 | 209 | (120) |
Debt to capital | |||
Off-balance sheet liabilities: | |||
Debt of joint ventures – Entergy's share | 9 | 49 | (39) |
Total off-balance sheet liabilities | 9 | 49 | (39) |
Storm escrow balances | 33 | 373 | (340) |
Non-GAAP Financial Measures ($ in millions, except where noted) | |||
Debt to capital, excluding securitization debt | |||
Net debt to net capital, excluding securitization debt | |||
Gross liquidity | 4,925 | 5,364 | (439) |
Net liquidity | 3,919 | 3,966 | (47) |
Net liquidity, including storm escrow balances | 3,952 | 4,339 | (387) |
Parent debt to total debt, excluding securitization debt | |||
FFO to debt, excluding securitization debt | (3.5)% | ||
FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC | (3.3)% | ||
Calculations may differ due to rounding | |||
F: Definitions and Abbreviations and Acronyms
Appendix F-1 provides definitions of certain operating measures, as well as GAAP and non-GAAP financial measures.
Appendix F-1: Definitions | |
Utility Financial and Operating Measures | |
GWh billed | Total number of GWh billed to retail and wholesale customers |
Number of electric retail customers | Average number of electric customers over the period |
Other O&M and refueling outage expense per MWh | Other operation and maintenance expense plus nuclear refueling outage expense per MWh of billed sales |
EWC Financial and Operating Measures | |
Adjusted EBITDA (non-GAAP) | Earnings before interest, income taxes, and depreciation and amortization, and excluding decommissioning expense |
Average revenue per MWh on contracted volumes | Revenue on a per unit basis at which generation output reflected in contracts is expected to be sold to third parties (including offsetting positions) at the minimum contract prices and at forward market prices at a point in time, given existing contract or option exercise prices based on expected dispatch or capacity, excluding the revenue associated with the amortization of the below-market PPA for Palisades (revenue will fluctuate due to factors including positive or negative basis differentials and other risk management costs) |
Average revenue under contract per kW-month (applies to capacity contracts only) | Revenue on a per unit basis at which capacity is expected to be sold to third parties, given existing contract prices and/or auction awards |
Bundled capacity and energy contracts | A contract for the sale of installed capacity and related energy, priced per MWh sold |
Capacity factor | Normalized percentage of the period that the nuclear plants generate power |
Expected sold and market total revenue per MWh | Total energy and capacity revenue on a per unit basis at which total planned generation output and capacity is expected to be sold given contract terms and market prices at a point in time, including positive or negative basis differentials and other risk management costs, divided by total planned MWh of generation, excluding the revenue associated with the amortization of the Palisades below-market PPA |
GWh billed | Total number of GWh billed to customers and financially-settled instruments |
Owned capacity (MW) | Installed capacity owned by EWC |
Percent of capacity sold forward | Percent of planned qualified capacity sold to mitigate price uncertainty under physical or financial transactions |
Percent of planned generation under contract (unit contingent) | Percent of planned generation output sold under unit-contingent contracts |
Planned net MW in operation (average) | Average installed nuclear capacity to generate power and/or sell capacity, reflecting the shutdown of Palisades (May 31, 2022) |
Planned TWh of generation | Amount of output expected to be generated by EWC nuclear resources considering plant operating characteristics, reflecting the shutdown of Palisades (May 31, 2022) |
Production cost per MWh | Fuel and other O&M expenses according to accounting standards that directly relate to the production of electricity per MWh (based on net generation) |
Appendix F-1: Definitions (continued) | ||
EWC Financial and Operating Measures (continued) | ||
Unit contingent | Transaction under which power is supplied from a specific generation asset; if the asset is in operational outage, seller is generally not liable to buyer for any damages, unless the contract specifies certain conditions such as an availability guarantee | |
Financial Measures – GAAP | ||
As-reported ROE | 12-months rolling net income attributable to Entergy Corporation divided by avg. common equity | |
As-reported ROIC | 12-months rolling net income attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense divided by average invested capital | |
Debt of joint ventures – Entergy's share | Entergy's share of debt issued by business joint ventures at EWC | |
Debt to capital | Total debt divided by total capitalization | |
Available revolver capacity | Amount of undrawn capacity remaining on corporate and subsidiary revolvers | |
Securitization debt | Debt on the balance sheet associated with securitization bonds that is secured by certain future customer collections | |
Total debt | Sum of short-term and long-term debt, notes payable and commercial paper, and finance leases on the balance sheet | |
Financial Measures – Non-GAAP | ||
Adjusted EPS | As-reported EPS excluding adjustments | |
Adjusted ROE | 12-months rolling adjusted net income attributable to Entergy Corporation divided by average common equity | |
Adjusted ROIC | 12-months rolling adjusted net income attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense divided by average invested capital | |
Adjustments | Unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as the results of the EWC segment, significant tax items, and other items such as certain costs, expenses, or other specified items | |
Debt to capital, excluding securitization debt | Total debt divided by total capitalization, excluding securitization debt | |
FFO | OCF less AFUDC-borrowed funds, working capital items in OCF (receivables, fuel inventory, accounts payable, taxes accrued, interest accrued, and other working capital accounts), and securitization regulatory charges | |
FFO to debt, excluding securitization debt | 12-months rolling FFO as a percentage of end of period total debt excluding securitization debt | |
FFO to debt, excl. securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC | 12-months rolling FFO excluding return of unprotected excess ADIT and severance and retention payments associated with exit of EWC as a percentage of end of period total debt excluding securitization debt | |
Gross liquidity | Sum of cash and available revolver capacity | |
Net debt to net capital, excl. securitization debt | Total debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents, excluding securitization debt | |
Net liquidity | Sum of cash and available revolver capacity less commercial paper borrowing | |
Net liquidity, including storm escrows | Sum of cash, available revolver capacity, and escrow accounts available for certain storm expenses, less commercial paper borrowing | |
Parent debt to total debt, excl. securitization debt | Entergy Corp. debt, incl. amounts drawn on credit revolver and commercial paper facilities, as a percent of consolidated total debt, excl. securitization debt | |
Appendix F-2 explains abbreviations and acronyms used in the quarterly earnings materials.
Appendix F-2: Abbreviations and Acronyms | |||
ADIT AFUDC AFUDC – borrowed funds ALJ AMI ANO APSC ARO bps CCGT CCNO Choctaw COD CT CWIP DCRF DOE DSM E-AR E-LA E-MS E-NO E-TX EBITDA EEI EPS ETR EWC FERC FFO FIN 48 FRP GAAP GCRR Grand Gulf or IIRR-G Indian Point 2 Indian Point 3 IPEC
| Accumulated deferred income taxes Allowance for funds used during construction Allowance for borrowed funds used during Administrative law judge Advanced metering infrastructure Units 1 and 2 of Arkansas Nuclear One owned Arkansas Public Service Commission Asset retirement obligation Basis points Combined cycle gas turbine Council of the City of New Orleans Choctaw County Generating Station (CCGT) Commercial operation date Simple cycle combustion turbine Construction work in progress Distribution cost recovery factor U.S. Department of Energy Demand side management Entergy Arkansas, LLC Entergy Louisiana, LLC Entergy Mississippi, LLC Entergy New Orleans, LLC Entergy Texas, Inc. Earnings before interest, income taxes, and Edison Electric Institute Earnings per share Entergy Corporation Entergy Wholesale Commodities Federal Energy Regulatory Commission Funds from operations FASB Interpretation No.48, "Accounting for Formula rate plan U.S. generally accepted accounting principles Generation Cost Recovery Rider Unit 1 of Grand Gulf Nuclear Station (nuclear), Infrastructure investment recovery rider - gas Indian Point Energy Center Unit 2 (nuclear) Indian Point Energy Center Unit 3 (nuclear) Indian Point Energy Center (nuclear)
| IRP IRS ISES 2
LCPS LPSC LTM MCPS MISO Moody's MPSC MTEP Nelson 6 NDT NOPA NOPS NOSS NRC NYSE OCAPS OCF OpCo OPEB Other O&M P&O Palisades PMR PPA PUCT REC RFP ROE ROIC RS Cogen RSP S&P SEC SERI TCRF UPSA WACC WPEC | Integrated resource plan Internal Revenue Service Unit 2 of Independence Steam Electric Station Lake Charles Power Station (CCGT) Louisiana Public Service Commission Last twelve months Montgomery County Power Station (CCGT) Midcontinent Independent System Operator, Inc. Moody's Investor Service Mississippi Public Service Commission MISO Transmission Expansion Plan Unit 6 of Roy S. Nelson plant (coal) Nuclear decommissioning trust IRS Notice of Proposed Adjustment New Orleans Power Station New Orleans Solar Station U.S. Nuclear Regulatory Commission New York Stock Exchange Orange County Advanced Power Station Net cash flow provided by operating activities Utility operating company Other post-employment benefits Other non-fuel operation and maintenance Parent & Other Palisades Power Plant (nuclear) Performance Management Rider Power purchase agreement or purchased power Public Utility Commission of Texas Renewable energy credit Request for proposals Return on equity Return on invested capital RS Cogen facility (CCGT cogeneration) Rate Stabilization Plan (E-LA Gas) Standard & Poor's U.S. Securities and Exchange Commission System Energy Resources, Inc. Transmission cost recovery factor Unit Power Sales Agreement Weighted-average cost of capital Washington Parish Energy Center |
G: Other GAAP to Non-GAAP Reconciliations
Appendix G-1, Appendix G-2, and Appendix G-3 provide reconciliations of various non-GAAP financial measures disclosed in this news release to their most comparable GAAP measure.
Appendix G-1: Reconciliation of GAAP to Non-GAAP Financial Measures - ROIC, ROE | |||
(LTM $ in millions except where noted) | Third Quarter | ||
2021 | 2020 | ||
As-reported net income (loss) attributable to Entergy Corporation | (A) | 1,248 | 1,385 |
Preferred dividends | 18 | 18 | |
Tax-effected interest expense | 609 | 582 | |
As-reported net income (loss) attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense | (B) | 1,875 | 1,985 |
Adjustments | (C) | 45 | 252 |
EWC preferred dividends and tax-effected interest expense included in adjustments | 15 | 20 | |
Total adjustments, excluding EWC preferred dividends and tax-effected interest expense (non-GAAP) | (D) | 60 | 272 |
Adjusted earnings (non-GAAP) | (A-C) | 1,202 | 1,134 |
Adjusted earnings, excluding preferred dividends and tax- effected interest expense (non-GAAP) | (B-D) | 1,815 | 1,713 |
Average invested capital (average of beginning and ending balances) | (E) | 35,178 | 31,442 |
Average common equity (average of beginning and ending balances) | (F) | 11,012 | 10,403 |
As-reported ROIC | (B/E) | ||
Adjusted ROIC (non-GAAP) | [(B-D)/E] | ||
As-reported ROE | (A/F) | ||
Adjusted ROE (non-GAAP) | [(A-C)/F] | ||
Calculations may differ due to rounding | |||
Appendix G-2: Reconciliation of GAAP to Non-GAAP Financial Measures – Debt ratios excluding securitization debt; gross liquidity; net liquidity; net liquidity, including storm escrows | |||
($ in millions except where noted) | Third Quarter | ||
2021 | 2020 | ||
Total debt | (A) | 25,695 | 22,127 |
Less securitization debt | (B) | 90 | 209 |
Total debt, excluding securitization debt | (C) | 25,606 | 21,918 |
Less cash and cash equivalents | (D) | 1,000 | 1,240 |
Net debt, excluding securitization debt | (E) | 24,605 | 20,678 |
Commercial paper | (F) | 1,006 | 1,398 |
Total capitalization | (G) | 37,202 | 33,153 |
Less securitization debt | (B) | 90 | 209 |
Total capitalization, excluding securitization debt | (H) | 37,112 | 32,944 |
Less cash and cash equivalents | (D) | 1,000 | 1,240 |
Net capital, excluding securitization debt | (I) | 36,112 | 31,704 |
Debt to capital | (A/G) | ||
Debt to capital, excluding securitization debt (non-GAAP) | (C/H) | ||
Net debt to net capital, excluding securitization debt (non-GAAP) | (E/I) | ||
Available revolver capacity | (J) | 3,925 | 4,125 |
Storm escrows | (K) | 33 | 373 |
Gross liquidity (non-GAAP) | (D+J) | 4,925 | 5,364 |
Net liquidity (non-GAAP) | (D+J-F) | 3,919 | 3,966 |
Net liquidity, including storm escrows (non-GAAP) | (D+J-F+K) | 3,952 | 4,339 |
Entergy Corporation notes: | |||
Due July 2022 | 650 | 650 | |
Due September 2025 | 800 | 800 | |
Due September 2026 | 750 | 750 | |
Due June 2028 | 650 | - | |
Due June 2030 | 600 | 600 | |
Due June 2031 | 650 | - | |
Due June 2050 | 600 | 600 | |
Total Entergy Corporation notes | (L) | 4,700 | 3,400 |
Revolver draw | (M) | 325 | 150 |
Unamortized debt issuance costs and discounts | (N) | (51) | (40) |
Total parent debt | (F+L+M+N) | 5,981 | 4,909 |
Parent debt to total debt, excluding securitization debt (non-GAAP) | [(F+L+M+N)/C] | ||
Calculations may differ due to rounding | |||
Appendix G-3: Reconciliation of GAAP to Non-GAAP Financial Measures – FFO to debt, excluding securitization debt; FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC | |||
($ in millions except where noted) | Third Quarter | ||
2021 | 2020 | ||
Total debt | (A) | 25,695 | 22,127 |
Less securitization debt | (B) | 90 | 209 |
Total debt, excluding securitization debt | (C) | 25,606 | 21,918 |
Net cash flow provided by operating activities, LTM | (D) | 2,331 | 3,069 |
AFUDC – borrowed funds, LTM | (E) | (34) | (55) |
Working capital items in net cash flow provided by operating activities, LTM: | |||
Receivables | (183) | (71) | |
Fuel inventory | 20 | (14) | |
Accounts payable | 326 | 277 | |
Taxes accrued | 20 | 188 | |
Interest accrued | 26 | 14 | |
Other working capital accounts | (124) | (98) | |
Securitization regulatory charges, LTM | 98 | 125 | |
Total | (F) | 184 | 421 |
FFO, LTM (non-GAAP) | (G)=(D+E-F) | 2,113 | 2,594 |
FFO to debt, excluding securitization debt (non-GAAP) | (G/C) | ||
Estimated return of unprotected excess ADIT, LTM | (H) | 85 | 119 |
Severance and retention payments associated with exit of EWC, LTM pre-tax | (I) | 158 | 17 |
FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC (non-GAAP) | [(G+H+I)/(C)] | ||
Calculations may differ due to rounding | |||
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SOURCE Entergy Corporation
