New Jersey Resources Reports Fourth-quarter and Fiscal 2020 Results
New Jersey Resources (NJR) reported net income of $193.9 million for fiscal 2020, up from $169.5 million in 2019. Net financial earnings (NFE) were $196.2 million, or $2.07 per share, surpassing the previous year's $175.0 million, or $1.96 per share. The company increased its annual dividend by 6.4% to $1.33 per share and expanded its energy efficiency offerings. Fourth-quarter results showed net income of $43.3 million, or $0.45 per share, compared to $18.1 million, or $0.20 per share, in Q4 2019. NJR emphasized its commitment to reliability and sustainability amidst the ongoing pandemic.
- Net income increased to $193.9 million for fiscal 2020, up 14% from 2019.
- Net financial earnings (NFE) reached $196.2 million, or $2.07 per share, in line with guidance.
- Annual dividend raised by 6.4% to $1.33 per share.
- Fourth-quarter net income nearly doubled to $43.3 million compared to Q4 2019.
- NFE for Clean Energy Ventures decreased to $53.0 million from $77.5 million in fiscal 2019.
- Customer growth slowed to 8,349 new customers in fiscal 2020, down from 9,711 in 2019.
WALL, N.J.--(BUSINESS WIRE)--Today, New Jersey Resources (NYSE: NJR) reported results for the fourth quarter and fiscal 2020. Highlights included:
-
Consolidated net income of
$193.9 million for fiscal 2020, compared with$169.5 million in fiscal 2019 -
Consolidated net financial earnings (NFE), a non-GAAP financial measure, of
$196.2 million for fiscal 2020, or$2.07 per share, compared with$175.0 million , or$1.96 per share, in fiscal 2019 -
Increased annual dividend by 6.4 percent to
$1.33 per share - NJNG filed a proposal with the BPU to significantly expand its energy efficiency offerings
- NJR Clean Energy Ventures (CEV) placed eight commercial solar installations into service and acquired one operating asset, adding 60 megawatts (MW) of total installed capacity in fiscal 2020
Fiscal 2020 net income totaled
Fiscal 2020 NFE totaled
"Thanks to the performance of our talented and dedicated team through an unprecedented global pandemic, we were able to deliver solid results and achieve NFE in-line with our guidance range for fiscal 2020," said Steve Westhoven, President and CEO of New Jersey Resources. "As reflected in our results, we are committed to serving our customers with safe, reliable, clean energy and reaching our sustainability goals through our diversified portfolio of energy infrastructure investments. With the new financial growth targets that we announced in connection with our Analyst Day today, including raising long-term NFEPS and dividend growth rates, our outlook for the future is strong."
Key Performance Metrics
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
($ in Thousands) |
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
Net income |
$ |
43,272 |
|
|
$ |
18,086 |
|
|
$ |
193,919 |
|
|
$ |
169,505 |
|
Basic EPS |
$ |
0.45 |
|
|
$ |
0.20 |
|
|
$ |
2.05 |
|
|
$ |
1.90 |
|
Net financial earnings |
$ |
54,721 |
|
|
$ |
25,956 |
|
|
$ |
196,245 |
|
|
$ |
174,960 |
|
Basic net financial earnings per share |
$ |
0.57 |
|
|
$ |
0.29 |
|
|
$ |
2.07 |
|
|
$ |
1.96 |
|
A reconciliation of net income to NFE for the three and twelve months ended September 30, 2020, and 2019, is provided below.
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
(Thousands) |
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
Net income |
$ |
43,272 |
|
|
$ |
18,086 |
|
|
$ |
193,919 |
|
|
$ |
169,505 |
|
Add: |
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
12,183 |
|
|
28,234 |
|
|
(9,644) |
|
|
2,881 |
|
||||
Tax effect |
(2,893) |
|
|
(6,745) |
|
|
2,296 |
|
|
(711) |
|
||||
Effects of economic hedging related to natural gas inventory |
2,216 |
|
|
(7,764) |
|
|
12,690 |
|
|
4,309 |
|
||||
Tax effect |
(527) |
|
|
1,845 |
|
|
(3,016) |
|
|
(1,024) |
|
||||
Net income to NFE tax adjustment |
470 |
|
|
(7,700) |
|
|
— |
|
|
— |
|
||||
Net financial earnings |
$ |
54,721 |
|
|
$ |
25,956 |
|
|
$ |
196,245 |
|
|
$ |
174,960 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted Average Shares Outstanding |
|
|
|
|
|
|
|
||||||||
Basic |
95,933 |
|
|
89,983 |
|
|
94,798 |
|
|
89,242 |
|
||||
Diluted |
96,259 |
|
|
90,366 |
|
|
95,107 |
|
|
89,616 |
|
||||
|
|
|
|
|
|
|
|
||||||||
Basic earnings per share |
$ |
0.45 |
|
|
$ |
0.20 |
|
|
$ |
2.05 |
|
|
$ |
1.90 |
|
Add: |
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
0.13 |
|
|
0.31 |
|
|
(0.10) |
|
|
0.03 |
|
||||
Tax effect |
(0.02) |
|
|
(0.06) |
|
|
0.02 |
|
|
(0.01) |
|
||||
Effects of economic hedging related to natural gas inventory |
0.02 |
|
|
(0.09) |
|
|
0.13 |
|
|
0.05 |
|
||||
Tax effect |
(0.01) |
|
|
0.02 |
|
|
(0.03) |
|
|
(0.01) |
|
||||
Net income to NFE tax adjustment |
— |
|
|
(0.09) |
|
|
— |
|
|
— |
|
||||
Basic net financial earnings per share |
$ |
0.57 |
|
|
$ |
0.29 |
|
|
$ |
2.07 |
|
|
$ |
1.96 |
|
NFE is a financial measure not calculated in accordance with Generally Accepted Accounting Principles (GAAP) of the United States. It is a measure of earnings based on eliminating timing differences surrounding the recognition of certain gains or losses, net of applicable tax adjustments, to effectively match the earnings effects of the economic hedges with the physical sale of natural gas, Solar Renewable Energy Certificates (SRECs) and foreign currency contracts. NFE/net financial loss eliminates the impact of volatility to GAAP earnings associated with unrealized gains and losses on derivative instruments in the current period. For further discussion of this financial measure, please see the explanation below under “Non-GAAP Financial Information.”
GAAP requires us, during the interim periods, to estimate our annual effective tax rate and use this rate to calculate the year-to-date tax provision. We also determine an annual estimated effective tax rate for NFE purposes and calculate a quarterly tax adjustment based on the differences between our forecasted net income and our forecasted NFE for the fiscal year.
A table detailing net financial (loss) earnings for the three and twelve months ended September 30, 2020, and 2019, is provided below.
Net Financial (Loss) Earnings by Business Unit
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
(Thousands) |
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
New Jersey Natural Gas |
$ |
(15,258) |
|
|
$ |
(18,402) |
|
|
$ |
126,902 |
|
|
$ |
78,062 |
|
Clean Energy Ventures |
55,840 |
|
|
52,676 |
|
|
53,023 |
|
|
77,473 |
|
||||
Storage and Transportation |
7,434 |
|
|
3,488 |
|
|
18,311 |
|
|
14,689 |
|
||||
Energy Services |
1,638 |
|
|
(10,726) |
|
|
(7,873) |
|
|
2,918 |
|
||||
Home Services and Other |
5,109 |
|
|
(1,021) |
|
|
5,784 |
|
|
1,911 |
|
||||
Subtotal |
54,763 |
|
|
26,015 |
|
|
196,147 |
|
|
175,053 |
|
||||
Eliminations |
(42) |
|
|
(59) |
|
|
98 |
|
|
(93) |
|
||||
Total |
$ |
54,721 |
|
|
$ |
25,956 |
|
|
$ |
196,245 |
|
|
$ |
174,960 |
|
COVID-19 Impact Update:
NJR has not made any significant changes to capital programs due to COVID-19. NJNG operations and delivery of natural gas to its approximately 558,000 customers has largely been unaffected by the ongoing pandemic. NJR will continue to closely monitor the potential impacts of the pandemic and will adjust its plan accordingly to ensure the delivery of essential services to customers, while maintaining the safety and health of its employees, customers and communities.
Analyst Day Information:
In a separate announcement, the Company today provided its fiscal 2021 guidance and long-term financial targets. NJR will host a virtual Analyst Day today at 8:30 a.m. ET and the senior leadership team will discuss the Company's strategic value proposition and long-term financial growth targets, as well as its year-end fiscal 2020 earnings results. The video webcast of the virtual Analyst Day, including a copy of the presentation, and a question and answer session, will be broadcast over the internet and can be accessed at https://investor.njresources.com/events-and-presentations/default.aspx. For those unable to listen to the webcast, an archived version will be available at the same location.
Regulated Business Update:
New Jersey Natural Gas (NJNG)
NJNG reported fiscal 2020 NFE of
Customer Growth:
- NJNG added 8,349 new customers during fiscal 2020, compared with 9,711 in fiscal 2019. The lower customer growth was due to the effects of the COVID-19 pandemic.
Infrastructure Update:
-
NJNG's Infrastructure Investment Program (IIP) is a five-year,
$150 million program approved by the New Jersey Board of Public Utilities (BPU) on October 28, 2020. The IIP consists of a series of infrastructure projects designed to support the enhanced safety and reliability of NJNG's natural gas distribution system. The original filing included an information technology (IT) upgrade component, which NJNG voluntarily withdrew and will seek to recover associated costs in future rate case proceedings.
-
The Southern Reliability Link (SRL) will diversify supply to our customers by providing a new intrastate feed into the southern end of NJNG’s distribution system. SRL began construction in the first quarter of fiscal 2019 and is projected to be placed in service in 2021. The total cost of SRL is expected to be in the range of
$250 million to$270 million . Construction continues on SRL with over 80 percent of the project complete.-
NJNG has submitted its response to the New Jersey Department of Environmental Protection (DEP) regarding the suspension of permits for certain sections of SRL's construction. Following a comprehensive review process of our drilling plans for the remainder of the project, the DEP reinstated our permits, allowing us to fully proceed with our construction plans.
-
-
Safety Acceleration and Facilities Enhancement (SAFE) II is the five-year,
$158 million program approved by the BPU in September 2016 to replace the remaining unprotected bare steel main and associated services in NJNG’s distribution system. In fiscal 2020, NJNG invested$56.5 million to replace 70 miles of unprotected bare steel main and services.
-
The New Jersey Reinvestment in System Enhancement (NJ RISE) program is a
$102.5 million investment program comprised of six projects related to storm hardening and mitigation. During the fourth-quarter of fiscal 2020, construction began on a new regulator station, the final portion of the North Seaside Reinforcement project. Construction is expected to be completed by the end of calendar year 2020.
-
The SAFE II and NJ RISE programs are eligible for annual rate increases. On March 31, 2020, NJNG filed its annual petition with the BPU, requesting a rate increase of approximately
$7.4 million for the recovery of the related capital costs through June 30, 2020. NJNG updated the filing in July 2020 to reflect the actual results through June 30, 2020, reducing the rate increase to$7.1 million . The BPU approved the filing and the new rates became effective on October 1, 2020.
BGSS Incentive Programs:
BGSS incentive programs contributed
Energy-Efficiency Programs:
The SAVEGREEN Project®, NJNG’s energy-efficiency program, invested
-
On September 25, 2020, NJNG filed a petition with the BPU for an additional three-year SAVEGREEN program consisting of approximately
$127 million of direct investment,$113 million in financing options, and$23 million in O&M expenses, effective July 1, 2021.
Storage and Transportation
Storage and Transportation, formerly known as the Midstream reporting segment, reported fiscal 2020 NFE of
Infrastructure Updates:
- Adelphia Gateway - On October 5, 2020, Adelphia Gateway received a Partial Notice to Proceed from the Federal Energy Regulatory Commission (FERC) to begin construction. The construction includes the conversion of 50 miles of the existing 84-mile pipeline from oil to natural gas to bring much-needed supply to constrained markets in the Philadelphia region.
-
PennEast - On January 30, 2020, PennEast filed with FERC an abbreviated application for amendment of its Certificate of Public Convenience and Necessity, requesting a phased-in approach to the PennEast project. The first phase of the project would include construction of the pipeline in Pennsylvania with interconnections within the state. Also, on January 30, 2020, FERC issued a declaratory order related to the ruling by the Third Circuit, supporting PennEast.
-
On February 18, 2020, PennEast filed a petition for writ of certiorari with the U.S. Supreme Court seeking to overturn the September 10, 2019 Third Circuit decision vacating the New Jersey Federal District Court's December 13, 2018 condemnation order blocking pipeline construction.
-
On June 29, 2020, the U.S. Supreme Court invited the U.S. Solicitor General to express his views regarding the issues presented in the petition for writ of certiorari.
-
On August 3, 2020, FERC issued a positive environmental assessment for Phase I of the project, finding no significant environmental impact.
-
Unregulated Businesses Update:
Clean Energy Ventures (CEV)
CEV reported fiscal 2020 NFE of
Solar Investment Update:
- In fiscal 2020, CEV placed eight commercial solar projects into service and acquired one operational asset, adding 60 MWs, increasing CEV's total installed capacity to over 350 MW.
- The Sunlight Advantage®, CEV's residential solar leasing program, added 481 customers in fiscal 2020 and now serves over 8,600 residential and small-midsize commercial customers in New Jersey.
Energy Services
Energy Services reported fiscal 2020 net financial loss of
Home Services and Other Operations
Home Services and Other Operations reported fiscal 2020 NFE of
Effective Tax Rate:
NJR’s annual effective tax rate increased to (3.7) percent in fiscal 2020 from (28.7) percent in fiscal 2019. In the fourth quarter of fiscal 2020, NJR recognized
Capital Expenditures and Cash Flows:
NJR is committed to maintaining a strong financial profile, while continuing to invest capital in regulated and unregulated energy projects.
-
During fiscal 2020, capital expenditures were
$499.1 million , of which$333.9 million were related to NJNG, compared with capital expenditures of$531.4 million , of which$372.1 million were related to NJNG, during the same period of fiscal 2019.
-
During fiscal 2020, cash flows from operations were
$213.5 million , compared with$194.1 million during the same period of fiscal 2019. The increase was primarily due to increased margin at NJNG from increased base rates.
Forward-Looking Statements:
This earnings release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. New Jersey Resources Corporation (NJR) cautions readers that the assumptions forming the basis for forward-looking statements include many factors that are beyond NJR’s ability to control or estimate precisely, such as estimates of future market conditions and the behavior of other market participants. Words such as “anticipates,” “estimates,” “expects,” “projects,” “may,” “will,” “intends,” “plans,” “believes,” “should” and similar expressions may identify forward-looking statements and such forward-looking statements are made based upon management’s current expectations, assumptions and beliefs as of this date concerning future developments and their potential effect upon NJR. There can be no assurance that future developments will be in accordance with management’s expectations, assumptions and beliefs or that the effect of future developments on NJR will be those anticipated by management. Forward-looking statements in this earnings release include, but are not limited to, certain statements regarding NJR’s NFE guidance for fiscal 2021 through fiscal 2024, as well as NJR’s long-term NFEPS growth rate, dividend growth, forecasted contribution of business segments to NJR’s NFE from fiscal 2021 through fiscal 2024, customer growth at NJNG, future NJR and NJNG capital expenditures, infrastructure programs and investments such as SRL, NJ RISE II and SAFE II, CEV’s future capital investment target, NJR's environmental sustainability and clean energy goals, emissions reduction strategies, initiatives and targets and our investments in infrastructure, renewables and emerging technologies, the ability to construct and operate the Adelphia Gateway Pipeline project, and construct SRL and the PennEast pipeline project, as well as the ongoing COVID-19 pandemic and its impact on NJR's liquidity, business operations, financial condition, results of operations or cash flows.
Additional information and factors that could cause actual results to differ materially from NJR’s expectations are contained in NJR’s filings with the U.S. Securities and Exchange Commission (SEC), including NJR’s Annual Reports on Form 10-K and subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other SEC filings, which are available at the SEC’s web site, http://www.sec.gov. Information included in this earnings release is representative as of today only and while NJR periodically reassesses material trends and uncertainties affecting NJR's results of operations and financial condition in connection with its preparation of management's discussion and analysis of results of operations and financial condition contained in its Quarterly and Annual Reports filed with the SEC, NJR does not, by including this statement, assume any obligation to review or revise any particular forward-looking statement referenced herein in light of future events.
Non-GAAP Financial Information:
This earnings release includes the non-GAAP financial measures NFE/net financial loss, NFE per basic share, financial margin and utility gross margin. A reconciliation of these non-GAAP financial measures to the most directly comparable financial measures calculated and reported in accordance with GAAP can be found below. As an indicator of NJR’s operating performance, these measures should not be considered an alternative to, or more meaningful than, net income or operating revenues as determined in accordance with GAAP. This information has been provided pursuant to the requirements of SEC Regulation G.
NFE/net financial loss and financial margin exclude unrealized gains or losses on derivative instruments related to the company’s unregulated subsidiaries and certain realized gains and losses on derivative instruments related to natural gas that has been placed into storage at Energy Services, net of applicable tax adjustments as described below. Volatility associated with the change in value of these financial instruments and physical commodity reported on the income statement in the current period. In order to manage its business, NJR views its results without the impacts of the unrealized gains and losses, and certain realized gains and losses, caused by changes in value of these financial instruments and physical commodity contracts prior to the completion of the planned transaction because it shows changes in value currently instead of when the planned transaction ultimately is settled. An annual estimated effective tax rate is calculated for NFE purposes and any necessary quarterly tax adjustment is applied to CEV, as such the adjustment is related to tax credits generated by CEV.
NJNG’s utility gross margin represents the results of revenues less natural gas costs, sales, expenses and other taxes and regulatory rider expenses, which are key components of NJR’s operations. Natural gas costs, sales, expenses and other taxes and regulatory rider expenses are passed through to customers and, therefore, have no effect on utility gross margin. Management uses these non-GAAP financial measures as supplemental measures to other GAAP results to provide a more complete understanding of NJR’s performance. Management believes these non-GAAP financial measures are more reflective of NJR’s business model, provide transparency to investors and enable period-to-period comparability of financial performance. A reconciliation of all non-GAAP financial measures to the most directly comparable financial measures calculated and reported in accordance with GAAP can be found below. For a full discussion of NJR’s non-GAAP financial measures, please see NJR’s 2020 Form 10-K, Item 7.
About New Jersey Resources
New Jersey Resources (NYSE: NJR) is a Fortune 1000 company that, through its subsidiaries, provides safe and reliable natural gas and clean energy services, including transportation, distribution, asset management and home services. NJR is composed of five primary businesses:
- New Jersey Natural Gas, NJR’s principal subsidiary, operates and maintains over 7,500 miles of natural gas transportation and distribution infrastructure to serve over half a million customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex and Burlington counties.
- Clean Energy Ventures invests in, owns and operates solar projects with a total capacity of over 350 megawatts, providing residential and commercial customers with low-carbon solutions.
- Energy Services manages a diversified portfolio of natural gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America.
- Storage and Transportation serves customers from local distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River and the Adelphia Gateway Pipeline Project, as well as our 50 percent equity ownership in the Steckman Ridge natural gas storage facility, and our 20 percent equity interest in the PennEast Pipeline Project.
- Home Services provides service contracts as well as heating, central air conditioning, water heaters, standby generators, solar and other indoor and outdoor comfort products to residential homes throughout New Jersey.
NJR and its more than 1,100 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to Preserve® and initiatives such as The SAVEGREEN Project® and The Sunlight Advantage®.
For more information about NJR:
www.njresources.com.
Follow us on Twitter @NJNaturalGas.
“Like” us on facebook.com/NewJerseyNaturalGas.
Download our free NJR investor relations app for iPad, iPhone and Android.
NJR-E
NEW JERSEY RESOURCES |
||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
|
September 30, |
|
September 30, |
||||||||||||
(Thousands, except per share data) |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
OPERATING REVENUES |
|
|
|
|
|
|
|
|
||||||||
Utility |
|
$ |
84,548 |
|
|
$ |
88,626 |
|
|
$ |
729,923 |
|
|
$ |
710,793 |
|
Nonutility |
|
315,496 |
|
|
390,455 |
|
|
1,223,745 |
|
|
1,881,252 |
|
||||
Total operating revenues |
|
400,044 |
|
|
479,081 |
|
|
1,953,668 |
|
|
2,592,045 |
|
||||
OPERATING EXPENSES |
|
|
|
|
|
|
|
|
||||||||
Gas purchases |
|
|
|
|
|
|
|
|
||||||||
Utility |
|
26,789 |
|
|
39,629 |
|
|
275,831 |
|
|
320,256 |
|
||||
Nonutility |
|
220,304 |
|
|
345,690 |
|
|
1,022,805 |
|
|
1,716,098 |
|
||||
Related parties |
|
1,535 |
|
|
1,493 |
|
|
6,083 |
|
|
7,948 |
|
||||
Operation and maintenance |
|
79,425 |
|
|
73,843 |
|
|
278,143 |
|
|
268,141 |
|
||||
Regulatory rider expenses |
|
1,993 |
|
|
1,778 |
|
|
34,529 |
|
|
33,937 |
|
||||
Depreciation and amortization |
|
30,136 |
|
|
24,438 |
|
|
119,894 |
|
|
91,730 |
|
||||
Total operating expenses |
|
360,182 |
|
|
486,871 |
|
|
1,737,285 |
|
|
2,438,110 |
|
||||
OPERATING INCOME |
|
39,862 |
|
|
(7,790) |
|
|
216,383 |
|
|
153,935 |
|
||||
Other income (expense), net |
|
13,618 |
|
|
5,817 |
|
|
23,878 |
|
|
11,273 |
|
||||
Interest expense, net of capitalized interest |
|
17,180 |
|
|
9,439 |
|
|
67,597 |
|
|
47,082 |
|
||||
INCOME (LOSS) BEFORE INCOME TAXES AND EQUITY IN EARNINGS OF AFFILIATES |
|
36,300 |
|
|
(11,412) |
|
|
172,664 |
|
|
118,126 |
|
||||
Income tax benefit |
|
(2,852) |
|
|
(25,897) |
|
|
(6,944) |
|
|
(37,751) |
|
||||
Equity in earnings of affiliates |
|
4,120 |
|
|
3,601 |
|
|
14,311 |
|
|
13,628 |
|
||||
NET INCOME |
|
$ |
43,272 |
|
|
$ |
18,086 |
|
|
$ |
193,919 |
|
|
$ |
169,505 |
|
|
|
|
|
|
|
|
|
|
||||||||
EARNINGS PER COMMON SHARE |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
0.45 |
|
|
$ |
0.20 |
|
|
$ |
2.05 |
|
|
$ |
1.90 |
|
Diluted |
|
$ |
0.45 |
|
|
$ |
0.20 |
|
|
$ |
2.04 |
|
|
$ |
1.89 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
WEIGHTED AVERAGE SHARES OUTSTANDING |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
95,933 |
|
|
89,599 |
|
|
94,798 |
|
|
89,242 |
|
||||
Diluted |
|
96,259 |
|
|
89,600 |
|
|
95,107 |
|
|
89,616 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
RECONCILIATION OF NON-GAAP PERFORMANCE MEASURES |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
|
September 30, |
|
September 30, |
||||||||||||
(Thousands) |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
NEW JERSEY RESOURCES |
|
|
|
|
||||||||||||
|
||||||||||||||||
A reconciliation of net income, the closest GAAP financial measurement, to net financial earnings is as follows: |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net income |
|
$ |
43,272 |
|
|
$ |
18,086 |
|
|
$ |
193,919 |
|
|
$ |
169,505 |
|
Add: |
|
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
|
12,183 |
|
|
28,234 |
|
|
(9,644) |
|
|
2,881 |
|
||||
Tax effect |
|
(2,893) |
|
|
(6,745) |
|
|
2,296 |
|
|
(711) |
|
||||
Effects of economic hedging related to natural gas inventory |
|
2,216 |
|
|
(7,764) |
|
|
12,690 |
|
|
4,309 |
|
||||
Tax effect |
|
(527) |
|
|
1,845 |
|
|
(3,016) |
|
|
(1,024) |
|
||||
Net income to NFE tax adjustment |
|
470 |
|
|
(7,700) |
|
|
— |
|
|
— |
|
||||
Net financial earnings |
|
$ |
54,721 |
|
|
$ |
25,956 |
|
|
$ |
196,245 |
|
|
$ |
174,960 |
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted Average Shares Outstanding |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
95,933 |
|
|
89,599 |
|
|
94,798 |
|
|
89,242 |
|
||||
Diluted |
|
96,259 |
|
|
89,600 |
|
|
95,107 |
|
|
89,616 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
A reconciliation of basic earnings per share, the closest GAAP financial measurement, to basic net financial earnings per share is as follows: |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per share |
|
$ |
0.45 |
|
|
$ |
0.20 |
|
|
$ |
2.05 |
|
|
$ |
1.90 |
|
Add: |
|
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
|
$ |
0.13 |
|
|
$ |
0.31 |
|
|
$ |
(0.10) |
|
|
$ |
0.03 |
|
Tax effect |
|
$ |
(0.02) |
|
|
$ |
(0.06) |
|
|
$ |
0.02 |
|
|
$ |
(0.01) |
|
Effects of economic hedging related to natural gas inventory |
|
$ |
0.02 |
|
|
$ |
(0.09) |
|
|
$ |
0.13 |
|
|
$ |
0.05 |
|
Tax effect |
|
$ |
(0.01) |
|
|
$ |
0.02 |
|
|
$ |
(0.03) |
|
|
$ |
(0.01) |
|
Net income to NFE tax adjustment |
|
$ |
— |
|
|
$ |
(0.09) |
|
|
$ |
— |
|
|
$ |
— |
|
Basic NFE per share |
|
$ |
0.57 |
|
|
$ |
0.29 |
|
|
$ |
2.07 |
|
|
$ |
1.96 |
|
|
|
|
|
|
|
|
|
|
||||||||
NATURAL GAS DISTRIBUTION |
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
A reconciliation of operating revenue, the closest GAAP financial measurement, to utility gross margin is as follows: |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating revenues |
|
$ |
84,548 |
|
|
$ |
88,626 |
|
|
$ |
729,923 |
|
|
$ |
710,793 |
|
Less: |
|
|
|
|
|
|
|
|
||||||||
Gas purchases |
|
29,113 |
|
|
41,953 |
|
|
287,307 |
|
|
336,489 |
|
||||
Regulatory rider expense |
|
1,993 |
|
|
1,778 |
|
|
34,529 |
|
|
33,937 |
|
||||
Utility gross margin |
|
$ |
53,442 |
|
|
$ |
44,895 |
|
|
$ |
408,087 |
|
|
$ |
340,367 |
|
|
|
|
|
|
|
|
|
|
||||||||
CLEAN ENERGY VENTURES |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
A reconciliation of net income to net financial earnings is as follows: |
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net income |
|
$ |
55,370 |
|
|
$ |
60,376 |
|
|
$ |
53,023 |
|
|
$ |
77,473 |
|
Add: |
|
|
|
|
|
|
|
|
||||||||
Net income to NFE tax adjustment |
|
470 |
|
|
(7,700) |
|
|
— |
|
|
— |
|
||||
Net financial earnings |
|
$ |
55,840 |
|
|
$ |
52,676 |
|
|
$ |
53,023 |
|
|
$ |
77,473 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
(Unaudited) |
|
September 30, |
|
September 30, |
||||||||||||
(Thousands) |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
ENERGY SERVICES |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
The following table is a computation of financial margin: |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating revenues |
|
$ |
212,760 |
|
|
$ |
317,678 |
|
|
$ |
1,030,419 |
|
|
$ |
1,742,791 |
|
Less: Gas purchases |
|
220,882 |
|
|
345,735 |
|
|
1,024,579 |
|
|
1,719,519 |
|
||||
Add: |
|
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
|
12,723 |
|
|
28,251 |
|
|
(8,583) |
|
|
1,195 |
|
||||
Effects of economic hedging related to natural gas inventory |
|
2,216 |
|
|
(7,764) |
|
|
12,690 |
|
|
4,309 |
|
||||
Financial margin |
|
$ |
6,817 |
|
|
$ |
(7,570) |
|
|
$ |
9,947 |
|
|
$ |
28,776 |
|
|
|
|
|
|
|
|
|
|
||||||||
A reconciliation of operating income, the closest GAAP financial measurement, to financial margin is as follows: |
||||||||||||||||
|
|
|
|
|
||||||||||||
Operating (loss) income |
|
$ |
(12,216) |
|
|
$ |
(34,074) |
|
|
$ |
(11,651) |
|
|
$ |
2,211 |
|
Add: |
|
|
|
|
|
|
|
|
||||||||
Operation and maintenance expense |
|
4,055 |
|
|
5,974 |
|
|
17,368 |
|
|
20,943 |
|
||||
Depreciation and amortization |
|
39 |
|
|
43 |
|
|
123 |
|
|
118 |
|
||||
Subtotal |
|
(8,122) |
|
|
(28,057) |
|
|
5,840 |
|
|
23,272 |
|
||||
Add: |
|
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
|
12,723 |
|
|
28,251 |
|
|
(8,583) |
|
|
1,195 |
|
||||
Effects of economic hedging related to natural gas inventory |
|
2,216 |
|
|
(7,764) |
|
|
12,690 |
|
|
4,309 |
|
||||
Financial margin |
|
$ |
6,817 |
|
|
$ |
(7,570) |
|
|
$ |
9,947 |
|
|
$ |
28,776 |
|
|
|
|
|
|
|
|
|
|
||||||||
A reconciliation of net income to net financial earnings is as follows: |
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net (loss) income |
|
$ |
(9,753) |
|
|
$ |
(26,309) |
|
|
$ |
(11,008) |
|
|
$ |
(1,268) |
|
Add: |
|
|
|
|
|
|
|
|
||||||||
Unrealized loss (gain) on derivative instruments and related transactions |
|
12,723 |
|
|
28,251 |
|
|
(8,583) |
|
|
1,195 |
|
||||
Tax effect |
|
(3,021) |
|
|
(6,749) |
|
|
2,044 |
|
|
(294) |
|
||||
Effects of economic hedging related to natural gas |
|
2,216 |
|
|
(7,764) |
|
|
12,690 |
|
|
4,309 |
|
||||
Tax effect |
|
(527) |
|
|
1,845 |
|
|
(3,016) |
|
|
(1,024) |
|
||||
Net financial earnings (loss) |
|
$ |
1,638 |
|
|
$ |
(10,726) |
|
|
$ |
(7,873) |
|
|
$ |
2,918 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
HOME SERVICES AND OTHER |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
A reconciliation of net income to net financial earnings is as follows: |
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) |
|
$ |
5,109 |
|
|
$ |
(1,035) |
|
|
$ |
5,784 |
|
|
$ |
1,637 |
|
Add: |
|
|
|
|
|
|
|
|
||||||||
Unrealized loss on derivative instruments and related transactions |
|
— |
|
|
20 |
|
|
— |
|
|
381 |
|
||||
Tax effect |
|
— |
|
|
(6) |
|
|
— |
|
|
(107) |
|
||||
Net financial earnings (loss) |
|
$ |
5,109 |
|
|
$ |
(1,021) |
|
|
$ |
5,784 |
|
|
$ |
1,911 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
FINANCIAL STATISTICS BY BUSINESS UNIT |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
|
September 30, |
|
September 30, |
||||||||||||
(Thousands, except per share data) |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
NEW JERSEY RESOURCES |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating Revenues |
|
|
|
|
|
|
|
|
||||||||
Natural Gas Distribution |
|
$ |
84,548 |
|
|
$ |
88,626 |
|
|
$ |
729,923 |
|
|
$ |
710,793 |
|
Clean Energy Ventures |
|
77,014 |
|
|
60,392 |
|
|
102,617 |
|
|
98,099 |
|
||||
Energy Services |
|
212,760 |
|
|
317,678 |
|
|
1,030,419 |
|
|
1,742,791 |
|
||||
Storage and Transportation |
|
12,717 |
|
|
— |
|
|
44,728 |
|
|
— |
|
||||
Home Services and Other |
|
13,376 |
|
|
12,997 |
|
|
51,017 |
|
|
50,902 |
|
||||
Sub-total |
|
400,415 |
|
|
479,693 |
|
|
1,958,704 |
|
|
2,602,585 |
|
||||
Eliminations |
|
(371) |
|
|
(612) |
|
|
(5,036) |
|
|
(10,540) |
|
||||
Total |
|
$ |
400,044 |
|
|
$ |
479,081 |
|
|
$ |
1,953,668 |
|
|
$ |
2,592,045 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating (Loss) Income |
|
|
|
|
|
|
|
|
||||||||
Natural Gas Distribution |
|
$ |
(12,703) |
|
|
$ |
(17,255) |
|
|
$ |
173,412 |
|
|
$ |
111,189 |
|
Clean Energy Ventures |
|
60,633 |
|
|
44,513 |
|
|
34,452 |
|
|
36,488 |
|
||||
Energy Services |
|
(12,216) |
|
|
(34,074) |
|
|
(11,651) |
|
|
2,211 |
|
||||
Storage and Transportation |
|
5,436 |
|
|
(1,390) |
|
|
12,451 |
|
|
(4,049) |
|
||||
Home Services and Other |
|
(2,673) |
|
|
(408) |
|
|
3,062 |
|
|
4,785 |
|
||||
Sub-total |
|
38,477 |
|
|
(8,614) |
|
|
211,726 |
|
|
150,624 |
|
||||
Eliminations |
|
1,385 |
|
|
824 |
|
|
4,656 |
|
|
3,311 |
|
||||
Total |
|
$ |
39,862 |
|
|
$ |
(7,790) |
|
|
$ |
216,383 |
|
|
$ |
153,935 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Equity in Earnings of Affiliates |
|
|
|
|
|
|
|
|
||||||||
Storage and Transportation |
|
$ |
4,703 |
|
|
$ |
3,866 |
|
|
$ |
15,903 |
|
|
$ |
15,832 |
|
Eliminations |
|
(583) |
|
|
(265) |
|
|
(1,592) |
|
|
(2,204) |
|
||||
Total |
|
$ |
4,120 |
|
|
$ |
3,601 |
|
|
$ |
14,311 |
|
|
$ |
13,628 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net (Loss) Income |
|
|
|
|
|
|
|
|
||||||||
Natural Gas Distribution |
|
$ |
(15,258) |
|
|
$ |
(18,402) |
|
|
$ |
126,902 |
|
|
$ |
78,062 |
|
Clean Energy Ventures |
|
55,370 |
|
|
60,376 |
|
|
53,023 |
|
|
77,473 |
|
||||
Energy Services |
|
(9,753) |
|
|
(26,309) |
|
|
(11,008) |
|
|
(1,268) |
|
||||
Storage and Transportation |
|
7,434 |
|
|
3,488 |
|
|
18,311 |
|
|
14,689 |
|
||||
Home Services and Other |
|
5,109 |
|
|
(1,035) |
|
|
5,784 |
|
|
1,637 |
|
||||
Sub-total |
|
42,902 |
|
|
18,118 |
|
|
193,012 |
|
|
170,593 |
|
||||
Eliminations |
|
370 |
|
|
(32) |
|
|
907 |
|
|
(1,088) |
|
||||
Total |
|
$ |
43,272 |
|
|
$ |
18,086 |
|
|
$ |
193,919 |
|
|
$ |
169,505 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net Financial (Loss) Earnings |
|
|
|
|
|
|
|
|
||||||||
Natural Gas Distribution |
|
$ |
(15,258) |
|
|
$ |
(18,402) |
|
|
$ |
126,902 |
|
|
$ |
78,062 |
|
Clean Energy Ventures |
|
55,840 |
|
|
52,676 |
|
|
53,023 |
|
|
77,473 |
|
||||
Energy Services |
|
1,638 |
|
|
(10,726) |
|
|
(7,873) |
|
|
2,918 |
|
||||
Storage and Transportation |
|
7,434 |
|
|
3,488 |
|
|
18,311 |
|
|
14,689 |
|
||||
Home Services and Other |
|
5,109 |
|
|
(1,021) |
|
|
5,784 |
|
|
1,911 |
|
||||
Sub-total |
|
54,763 |
|
|
26,015 |
|
|
196,147 |
|
|
175,053 |
|
||||
Eliminations |
|
(42) |
|
|
(59) |
|
|
98 |
|
|
(93) |
|
||||
Total |
|
$ |
54,721 |
|
|
$ |
25,956 |
|
|
$ |
196,245 |
|
|
$ |
174,960 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Throughput (Bcf) |
|
|
|
|
|
|
|
|
||||||||
NJNG, Core Customers |
|
17.6 |
|
|
19.5 |
|
|
97.0 |
|
|
108.4 |
|
||||
NJNG, Off System/Capacity Management |
|
34.1 |
|
|
34.8 |
|
|
118.4 |
|
|
123.8 |
|
||||
Energy Services Fuel Mgmt. and Wholesale Sales |
|
121.6 |
|
|
148.4 |
|
|
526.7 |
|
|
584.9 |
|
||||
Total |
|
173.3 |
|
|
202.7 |
|
|
742.1 |
|
|
817.1 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Common Stock Data |
|
|
|
|
|
|
|
|
||||||||
Yield at September 30 |
|
4.9 |
% |
|
2.8 |
% |
|
4.9 |
% |
|
2.8 |
% |
||||
Market Price at September 30 |
|
$ |
27.02 |
|
|
$ |
45.22 |
|
|
$ |
27.02 |
|
|
$ |
45.22 |
|
Shares Out. at September 30 |
|
95,949 |
|
|
89,999 |
|
|
95,949 |
|
|
89,999 |
|
||||
Market Cap. at September 30 |
|
$ |
2,592,547 |
|
|
$ |
4,069,755 |
|
|
$ |
2,592,547 |
|
|
$ |
4,069,755 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
(Unaudited) |
|
September 30, |
|
September 30, |
||||||||||||
(Thousands, except customer and weather data) |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
NATURAL GAS DISTRIBUTION |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Utility Gross Margin |
|
|
|
|
|
|
|
|
||||||||
Operating revenues |
|
$ |
84,548 |
|
|
$ |
88,626 |
|
|
$ |
729,923 |
|
|
$ |
710,793 |
|
Less: |
|
|
|
|
|
|
|
|
||||||||
Gas purchases |
|
29,113 |
|
|
41,953 |
|
|
287,307 |
|
|
336,489 |
|
||||
Regulatory rider expense |
|
1,993 |
|
|
1,778 |
|
|
34,529 |
|
|
33,937 |
|
||||
Total Utility Gross Margin |
|
$ |
53,442 |
|
|
$ |
44,895 |
|
|
$ |
408,087 |
|
|
$ |
340,367 |
|
|
|
|
|
|
|
|
|
|
||||||||
Utility Gross Margin, Operating Income and Net Income |
|
|
|
|
|
|
|
|
||||||||
Residential |
|
$ |
30,408 |
|
|
$ |
24,899 |
|
|
$ |
275,033 |
|
|
$ |
224,597 |
|
Commercial, Industrial & Other |
|
8,190 |
|
|
7,330 |
|
|
57,929 |
|
|
50,553 |
|
||||
Firm Transportation |
|
10,416 |
|
|
8,549 |
|
|
60,199 |
|
|
51,069 |
|
||||
Total Firm Margin |
|
49,014 |
|
|
40,778 |
|
|
393,161 |
|
|
326,219 |
|
||||
Interruptible |
|
1,675 |
|
|
1,620 |
|
|
5,455 |
|
|
5,750 |
|
||||
Total System Margin |
|
50,689 |
|
|
42,398 |
|
|
398,616 |
|
|
331,969 |
|
||||
Off System/Capacity Management/FRM/Storage Incentive |
|
2,753 |
|
|
2,497 |
|
|
9,471 |
|
|
8,398 |
|
||||
Total Utility Gross Margin |
|
53,442 |
|
|
44,895 |
|
|
408,087 |
|
|
340,367 |
|
||||
Operation and maintenance expense |
|
47,448 |
|
|
46,727 |
|
|
162,792 |
|
|
171,198 |
|
||||
Depreciation and amortization |
|
18,697 |
|
|
15,423 |
|
|
71,883 |
|
|
57,980 |
|
||||
Operating (Loss) Income |
|
$ |
(12,703) |
|
|
$ |
(17,255) |
|
|
$ |
173,412 |
|
|
$ |
111,189 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net (Loss) Income |
|
$ |
(15,258) |
|
|
$ |
(18,402) |
|
|
$ |
126,902 |
|
|
$ |
78,062 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Financial (Loss) Earnings |
|
$ |
(15,258) |
|
|
$ |
(18,402) |
|
|
$ |
126,902 |
|
|
$ |
78,062 |
|
|
|
|
|
|
|
|
|
|
||||||||
Throughput (Bcf) |
|
|
|
|
|
|
|
|
||||||||
Residential |
|
3.4 |
|
|
3.0 |
|
|
44.6 |
|
|
46.0 |
|
||||
Commercial, Industrial & Other |
|
0.6 |
|
|
0.7 |
|
|
8.2 |
|
|
9.7 |
|
||||
Firm Transportation |
|
1.6 |
|
|
1.6 |
|
|
13.3 |
|
|
13.7 |
|
||||
Total Firm Throughput |
|
5.6 |
|
|
5.3 |
|
|
66.1 |
|
|
69.4 |
|
||||
Interruptible |
|
12.0 |
|
|
14.2 |
|
|
30.9 |
|
|
39.0 |
|
||||
Total System Throughput |
|
17.6 |
|
|
19.5 |
|
|
97.0 |
|
|
108.4 |
|
||||
Off System/Capacity Management |
|
34.1 |
|
|
34.8 |
|
|
118.4 |
|
|
123.8 |
|
||||
Total Throughput |
|
51.7 |
|
|
54.3 |
|
|
215.4 |
|
|
232.2 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Customers |
|
|
|
|
|
|
|
|
||||||||
Residential |
|
497,779 |
|
|
486,474 |
|
|
497,779 |
|
|
486,474 |
|
||||
Commercial, Industrial & Other |
|
28,735 |
|
|
28,992 |
|
|
28,735 |
|
|
28,992 |
|
||||
Firm Transportation |
|
31,604 |
|
|
32,107 |
|
|
31,604 |
|
|
32,107 |
|
||||
Total Firm Customers |
|
558,118 |
|
|
547,573 |
|
|
558,118 |
|
|
547,573 |
|
||||
Interruptible |
|
29 |
|
|
32 |
|
|
29 |
|
|
32 |
|
||||
Total System Customers |
|
558,147 |
|
|
547,605 |
|
|
558,147 |
|
|
547,605 |
|
||||
Off System/Capacity Management* |
|
19 |
|
|
21 |
|
|
19 |
|
|
21 |
|
||||
Total Customers |
|
558,166 |
|
|
547,626 |
|
|
558,166 |
|
|
547,626 |
|
||||
*The number of customers represents those active during the last month of the period. |
|
|
|
|
||||||||||||
Degree Days |
|
|
|
|
|
|
|
|
||||||||
Actual |
|
46 |
|
|
11 |
|
|
4,254 |
|
|
4,506 |
|
||||
Normal |
|
30 |
|
|
30 |
|
|
4,586 |
|
|
4,552 |
|
||||
Percent of Normal |
|
153.3 |
% |
|
36.7 |
% |
|
92.8 |
% |
|
99.0 |
% |
||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
(Unaudited) |
|
September 30, |
|
September 30, |
||||||||||||
(Thousands, except customer, SREC and megawatt) |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
CLEAN ENERGY VENTURES |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating Revenues |
|
|
|
|
|
|
|
|
||||||||
SREC sales |
|
$ |
69,301 |
|
|
$ |
55,215 |
|
|
$ |
81,134 |
|
|
$ |
75,101 |
|
TREC sales |
|
1,384 |
|
|
— |
|
|
1,384 |
|
|
— |
|
||||
Wind electricity sales and other |
|
— |
|
|
— |
|
|
— |
|
|
5,177 |
|
||||
Solar electricity sales and other |
|
3,676 |
|
|
2,800 |
|
|
9,930 |
|
|
8,818 |
|
||||
Sunlight Advantage |
|
2,653 |
|
|
2,377 |
|
|
10,169 |
|
|
9,003 |
|
||||
Total Operating Revenues |
|
$ |
77,014 |
|
|
$ |
60,392 |
|
|
$ |
102,617 |
|
|
$ |
98,099 |
|
|
|
|
|
|
|
|
|
|
||||||||
Depreciation and Amortization |
|
$ |
8,426 |
|
|
$ |
8,744 |
|
|
$ |
37,855 |
|
|
$ |
32,997 |
|
|
|
|
|
|
|
|
|
|
||||||||
Operating Income |
|
$ |
60,633 |
|
|
$ |
44,513 |
|
|
$ |
34,452 |
|
|
$ |
36,488 |
|
|
|
|
|
|
|
|
|
|
||||||||
Income Tax Provision (Benefit) |
|
$ |
6,028 |
|
|
$ |
(9,888) |
|
|
$ |
(32,404) |
|
|
$ |
(48,921) |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Income |
|
$ |
55,370 |
|
|
$ |
60,376 |
|
|
$ |
53,023 |
|
|
$ |
77,473 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Financial Earnings |
|
$ |
55,840 |
|
|
$ |
52,676 |
|
|
$ |
53,023 |
|
|
$ |
77,473 |
|
|
|
|
|
|
|
|
|
|
||||||||
Solar Renewable Energy Certificates Generated |
|
251,016 |
|
|
211,352 |
|
|
389,716 |
|
|
311,803 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Solar Renewable Energy Certificates Sold |
|
388,407 |
|
|
294,780 |
|
|
408,100 |
|
|
363,600 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Transition Renewable Energy Certificates Generated and Transferred |
|
9,270 |
|
|
— |
|
|
9,270 |
|
|
— |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Solar Megawatts Eligible for ITCs |
|
6.9 |
|
|
25.4 |
|
|
53.5 |
|
|
60.1 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Solar Megawatts Under Construction |
|
8.1 |
|
|
8.1 |
|
|
8.1 |
|
|
8.1 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
ENERGY SERVICES |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating Income |
|
|
|
|
|
|
|
|
||||||||
Operating revenues |
|
$ |
212,760 |
|
|
$ |
317,678 |
|
|
$ |
1,030,419 |
|
|
$ |
1,742,791 |
|
Less: |
|
|
|
|
|
|
|
|
||||||||
Gas purchases |
|
220,882 |
|
|
345,735 |
|
|
1,024,579 |
|
|
1,719,519 |
|
||||
Operation and maintenance expense |
|
4,055 |
|
|
5,974 |
|
|
17,368 |
|
|
20,943 |
|
||||
Depreciation and amortization |
|
39 |
|
|
43 |
|
|
123 |
|
|
118 |
|
||||
Operating (Loss) Income |
|
$ |
(12,216) |
|
|
$ |
(34,074) |
|
|
$ |
(11,651) |
|
|
$ |
2,211 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net (Loss) Income |
|
$ |
(9,753) |
|
|
$ |
(26,309) |
|
|
$ |
(11,008) |
|
|
$ |
(1,268) |
|
|
|
|
|
|
|
|
|
|
||||||||
Financial Margin |
|
$ |
6,817 |
|
|
$ |
(7,570) |
|
|
$ |
9,947 |
|
|
$ |
28,776 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Financial Earnings (Loss) |
|
$ |
1,638 |
|
|
$ |
(10,726) |
|
|
$ |
(7,873) |
|
|
$ |
2,918 |
|
|
|
|
|
|
|
|
|
|
||||||||
Gas Sold and Managed (Bcf) |
|
121.6 |
|
|
148.4 |
|
|
526.7 |
|
|
584.9 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
STORAGE AND TRANSPORTATION |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating Revenues |
|
$ |
12,717 |
|
|
$ |
— |
|
|
$ |
44,728 |
|
|
$ |
— |
|
|
|
|
|
|
|
|
|
|
||||||||
Equity in Earnings of Affiliates |
|
$ |
4,703 |
|
|
$ |
3,866 |
|
|
$ |
15,903 |
|
|
$ |
15,832 |
|
|
|
|
|
|
|
|
|
|
||||||||
Operation and Maintenance Expense |
|
$ |
4,460 |
|
|
$ |
1,388 |
|
|
$ |
21,862 |
|
|
$ |
4,043 |
|
|
|
|
|
|
|
|
|
|
||||||||
Other Income, Net |
|
$ |
927 |
|
|
$ |
911 |
|
|
$ |
7,328 |
|
|
$ |
7,345 |
|
|
|
|
|
|
|
|
|
|
||||||||
Interest Expense |
|
$ |
2,838 |
|
|
$ |
555 |
|
|
$ |
13,124 |
|
|
$ |
2,185 |
|
|
|
|
|
|
|
|
|
|
||||||||
Income Tax Provision (Benefit) |
|
$ |
794 |
|
|
$ |
(656) |
|
|
$ |
4,247 |
|
|
$ |
2,254 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Income |
|
$ |
7,434 |
|
|
$ |
3,488 |
|
|
$ |
18,311 |
|
|
$ |
14,689 |
|
|
|
|
|
|
|
|
|
|
||||||||
HOME SERVICES AND OTHER |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating Revenues |
|
$ |
13,376 |
|
|
$ |
12,997 |
|
|
$ |
51,017 |
|
|
$ |
50,902 |
|
|
|
|
|
|
|
|
|
|
||||||||
Operating (Loss) Income |
|
$ |
(2,673) |
|
|
$ |
(408) |
|
|
$ |
3,062 |
|
|
$ |
4,785 |
|
|
|
|
|
|
|
|
|
|
||||||||
Other Income (Expense), Net |
|
$ |
6,929 |
|
|
$ |
(296) |
|
|
$ |
5,177 |
|
|
$ |
(542) |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Income (Loss) |
|
$ |
5,109 |
|
|
$ |
(1,035) |
|
|
$ |
5,784 |
|
|
$ |
1,637 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net Financial Earnings (Loss) |
|
$ |
5,109 |
|
|
$ |
(1,021) |
|
|
$ |
5,784 |
|
|
$ |
1,911 |
|
|
|
|
|
|
|
|
|
|
||||||||
Total Service Contract Customers at September 30 |
|
107,224 |
|
|
108,980 |
|
|
107,224 |
|
|
108,980 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
