Oncor Reports Third Quarter 2024 Results
Oncor reported Q3 2024 net income of $324 million, down from $380 million in Q3 2023, primarily due to higher interest and depreciation expenses. However, nine-month net income increased to $800 million from $683 million year-over-year. The company filed a $2.9 billion system resiliency plan and expects significant involvement in the $13 billion Permian Basin Reliability Plan. Operationally, Oncor connected 19,000 new premises and had 884 active transmission point of interconnection requests. The company expects to announce a new five-year capital plan for 2025-2029 with a 40-50% increase over its previous $24.2 billion plan.
Oncor ha riportato un utile netto per il terzo trimestre del 2024 di 324 milioni di dollari, in calo rispetto ai 380 milioni di dollari del terzo trimestre del 2023, principalmente a causa dell'aumento delle spese per interessi e di ammortamento. Tuttavia, l'utile netto nei primi nove mesi è aumentato a 800 milioni di dollari rispetto ai 683 milioni di dollari dell'anno precedente. L'azienda ha presentato un piano di resilienza del sistema da 2,9 miliardi di dollari e prevede un coinvolgimento significativo nel piano di affidabilità del Bacino Permiano da 13 miliardi di dollari. Operativamente, Oncor ha collegato 19.000 nuove sedi e ha ricevuto 884 richieste attive di punti di interconnessione di trasmissione. L'azienda prevede di annunciare un nuovo piano di capitale quinquennale per il periodo 2025-2029 con un aumento del 40-50% rispetto al suo precedente piano da 24,2 miliardi di dollari.
Oncor reportó un ingreso neto del tercer trimestre de 2024 de 324 millones de dólares, disminuyendo desde los 380 millones de dólares en el tercer trimestre de 2023, principalmente debido al aumento de los gastos por intereses y de depreciación. Sin embargo, el ingreso neto en los primeros nueve meses aumentó a 800 millones de dólares desde los 683 millones de dólares del año anterior. La empresa presentó un plan de resiliencia del sistema de 2.9 mil millones de dólares y espera una participación significativa en el Plan de Fiabilidad de la Cuenca Permiana de 13 mil millones de dólares. En términos operativos, Oncor conectó 19,000 nuevos locales y recibió 884 solicitudes activas de puntos de interconexión de transmisión. La empresa espera anunciar un nuevo plan de capital de cinco años para 2025-2029 con un aumento del 40-50% sobre su anterior plan de 24.2 mil millones de dólares.
온코르는 2024년 3분기 순이익이 3억 2천4백만 달러로 보고했으며, 2023년 3분기 3억 8천만 달러에서 감소했습니다. 이는 주로 이자 및 감가상각 비용 증가로 인한 것입니다. 그러나 9개월 동안 순이익은 8억 달러로 증가했습니다, 이는 전년 대비 6억 8천3백만 달러에서 증가한 것입니다. 회사는 29억 달러 규모의 시스템 회복력 계획을 제출했으며, 130억 달러 규모의 퍼미안 분지 신뢰성 계획에 상당한 참여를 예상하고 있습니다. 운영적으로 온코르는 19,000개의 새로운 구역을 연결했으며, 884개의 활성 송전 접속 요청을 받았습니다. 회사는 2025-2029년을 위한 새로운 5개년 자본 계획을 발표할 예정이며, 이전의 242억 달러 계획 대비 40-50% 증가를 예상하고 있습니다.
Oncor a signalé un revenu net de 324 millions de dollars au troisième trimestre 2024, en baisse par rapport à 380 millions de dollars au troisième trimestre 2023, principalement en raison de l'augmentation des frais d'intérêts et d'amortissement. Cependant, le revenu net sur neuf mois a augmenté à 800 millions de dollars contre 683 millions de dollars l'année précédente. L'entreprise a soumis un plan de résilience du système de 2,9 milliards de dollars et s'attend à une participation significative dans le Plan de Fiabilité du Bassin Permien de 13 milliards de dollars. Sur le plan opérationnel, Oncor a raccordé 19 000 nouveaux locaux et a reçu 884 demandes actives de points de connexion de transmission. L'entreprise prévoit d'annoncer un nouveau plan d'investissement quinquennal pour 2025-2029, avec une augmentation de 40 à 50% par rapport à son précédent plan de 24,2 milliards de dollars.
Oncor meldete einen Nettoertrag von 324 Millionen Dollar im 3. Quartal 2024, rückläufig von 380 Millionen Dollar im 3. Quartal 2023, hauptsächlich aufgrund höherer Zins- und Abschreibungskosten. Allerdings stieg der Nettoertrag in den ersten neun Monaten auf 800 Millionen Dollar von 683 Millionen Dollar im Vorjahr. Das Unternehmen hat einen Resilienzplan für das System über 2,9 Milliarden Dollar eingereicht und erwartet eine bedeutende Beteiligung am 13 Milliarden Dollar umfassenden Zuverlässigkeitsplan für das Permian-Becken. Betrieblicherseits hat Oncor 19.000 neue Standorte angeschlossen und 884 aktive Anfragen zu Übertragungspunkten für die Interconnection erhalten. Das Unternehmen plant, einen neuen fünfjährigen Investitionsplan für 2025-2029 anzukündigen, mit einem 40-50% Anstieg gegenüber seinem vorherigen Plan über 24,2 Milliarden Dollar.
- Nine-month net income increased 17.1% to $800 million from $683 million
- Operating revenues grew to $4.61 billion in nine months, up from $4.23 billion
- Connected 19,000 new premises to ERCOT grid in Q3
- 38% increase in new transmission point of interconnection requests
- Expected 40-50% increase in five-year capital expenditure plan
- Q3 net income decreased 14.7% to $324 million from $380 million
- Higher interest expense and depreciation costs
- Lower revenues due to milder weather affecting customer consumption
- Increased operation and maintenance expenses
Insights
The Q3 2024 results reveal mixed performance for Oncor. Net income declined
Key growth indicators are robust: 19,000 new premises connected, 884 active transmission interconnection requests (with significant AI and data center demand) and a projected
Operating revenues increased to
The infrastructure expansion metrics are particularly impressive, with over 800 miles of distribution and transmission lines constructed or upgraded in Q3. The
The Permian Basin Reliability Plan, with its
"I am incredibly proud of our team's strong financial and operational performance this quarter. Our dedicated employees have continued to deliver exceptional results, executing on unprecedented growth, reflecting our commitment to investing in critical infrastructure to support
Oncor's reported net income of
Regulatory Update
In August, Oncor filed an unopposed settlement agreement for PUCT review and approval in its system resiliency plan proceeding (PUCT Docket No. 56545). The system resiliency plan outlined in the settlement agreement provides for approximately
In October, the PUCT issued an order approving the Permian Basin Reliability Plan proposed by the Electric Reliability Council of
Operational Highlights
Oncor continues to support
In the third quarter of 2024, Oncor entered 121 new transmission point of interconnection ("POI") requests into queue, a
Oncor currently expects to announce a new five-year capital expenditure plan for 2025 through 2029 in the first quarter of 2025 that projects an increase of 40
Liquidity
As of November 5, 2024, Oncor's available liquidity, consisting of cash on hand and available borrowing capacity under its existing credit facilities, commercial paper program and accounts receivable facility ("AR Facility"), totaled
Sempra Internet Broadcast Today
Sempra (NYSE: SRE) (BMV: SRE) will broadcast a live discussion of its earnings results over the Internet today at 12 p.m. ET, which will include discussion of third quarter 2024 results and other information relating to Oncor. Oncor Chief Executive Allen Nye will participate in the broadcast. Access to the broadcast is available by logging onto the Investors section of Sempra's website, sempra.com/investors. Prior to the conference call, an accompanying slide presentation will be posted on sempra.com/investors. For those unable to participate in the live webcast, it will be available on replay a few hours after its conclusion at sempra.com/investors.
Quarterly Report on Form 10-Q
Oncor's Quarterly Report on Form 10-Q for the period ended September 30, 2024 will be filed with the
Oncor Electric Delivery Company LLC | ||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||
( | ||||||||||||
Operating revenues | $ | 1,660 | $ | 1,592 | $ | 4,610 | $ | 4,227 | ||||
Operating expenses: | ||||||||||||
Wholesale transmission service | 351 | 322 | 1,053 | 965 | ||||||||
Operation and maintenance | 338 | 296 | 932 | 830 | ||||||||
Depreciation and amortization | 269 | 247 | 787 | 729 | ||||||||
Provision in lieu of income taxes | 72 | 78 | 172 | 146 | ||||||||
Taxes other than amounts related to income taxes | 151 | 142 | 431 | 428 | ||||||||
Write-off of rate base disallowances | - | - | - | 55 | ||||||||
Total operating expenses | 1,181 | 1,085 | 3,375 | 3,153 | ||||||||
Operating income | 497 | 507 | 1,235 | 1,074 | ||||||||
Other (income) and deductions – net | (15) | (12) | (45) | (10) | ||||||||
Non-operating benefit in lieu of income taxes | - | (1) | (1) | (9) | ||||||||
Interest expense and related charges | 170 | 140 | 481 | 396 | ||||||||
Write-off of non-operating rate base disallowances | - | - | - | 14 | ||||||||
Net income | $ | 324 | $ | 380 | $ | 800 | $ | 683 |
Oncor Electric Delivery Company LLC
| ||||||
Nine Months Ended September 30, | ||||||
2024 | 2023 | |||||
( | ||||||
Cash flows – operating activities: | ||||||
Net income | $ | 800 | $ | 683 | ||
Adjustments to reconcile net income to cash provided by operating activities: | ||||||
Depreciation and amortization, including regulatory amortization | 914 | 826 | ||||
Write-off of rate base disallowances | - | 69 | ||||
Provision in lieu of deferred income taxes – net | 117 | 36 | ||||
Other – net | (1) | (1) | ||||
Changes in operating assets and liabilities: | ||||||
Accounts receivable | (222) | (257) | ||||
Inventories | (53) | (86) | ||||
Accounts payable – trade | 12 | 22 | ||||
Regulatory assets – deferred revenues | 25 | (28) | ||||
Regulatory assets – self-insurance reserve | (337) | (234) | ||||
Other assets and liabilities | (16) | 155 | ||||
Cash provided by operating activities | 1,239 | 1,185 | ||||
Cash flows – financing activities: | ||||||
Issuances of senior secured notes | 1,442 | 1,400 | ||||
Repayments of senior secured notes | (500) | - | ||||
Borrowings under term loans | - | 775 | ||||
Repayments under term loans | - | (875) | ||||
Borrowings under AR Facility | 900 | 600 | ||||
Repayments under AR Facility | (400) | (100) | ||||
Borrowings under | 500 | - | ||||
Net change in short-term borrowings | (218) | (116) | ||||
Contributions from members | 720 | 336 | ||||
Distributions to members | (376) | (404) | ||||
Debt discount, financing and reacquisition costs – net | (18) | (35) | ||||
Cash provided by financing activities | 2,050 | 1,581 | ||||
Cash flows – investing activities: | ||||||
Capital expenditures | (3,314) | (2,797) | ||||
Sales tax audit settlement refund | 56 | - | ||||
Other – net | 25 | 23 | ||||
Cash used in investing activities | (3,233) | (2,774) | ||||
Net change in cash, cash equivalents and restricted cash | 56 | (8) | ||||
Cash, cash equivalents and restricted cash – beginning balance | 151 | 98 | ||||
Cash, cash equivalents and restricted cash – ending balance | $ | 207 | $ | 90 |
Oncor Electric Delivery Company LLC | ||||||
At September 30, | At December 31, | |||||
2024 | 2023 | |||||
( | ||||||
ASSETS | ||||||
Current assets: | ||||||
Cash and cash equivalents | $ | 12 | $ | 19 | ||
Restricted cash, current | 19 | 24 | ||||
Accounts receivable – net | 1,163 | 944 | ||||
Amounts receivable from members related to income taxes | 20 | 4 | ||||
Materials and supplies inventories – at average cost | 395 | 341 | ||||
Prepayments and other current assets | 133 | 101 | ||||
Total current assets | 1,742 | 1,433 | ||||
Restricted cash, noncurrent | 176 | 108 | ||||
Investments and other property | 184 | 158 | ||||
Property, plant and equipment – net | 30,707 | 28,057 | ||||
Goodwill | 4,740 | 4,740 | ||||
Regulatory assets | 1,746 | 1,556 | ||||
Right-of-use operating lease and other assets | 172 | 142 | ||||
Total assets | $ | 39,467 | $ | 36,194 | ||
LIABILITIES AND MEMBERSHIP INTERESTS
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Current liabilities: | ||||||
Short-term borrowings | $ | 64 | $ | 282 | ||
Long-term debt, current | 350 | - | ||||
Accounts payable – trade | 759 | 600 | ||||
Amounts payable to members related to income taxes | 21 | 27 | ||||
Accrued taxes other than amounts related to income | 235 | 261 | ||||
Accrued interest | 190 | 117 | ||||
Operating lease and other current liabilities | 356 | 338 | ||||
Total current liabilities | 1,975 | 1,625 | ||||
Long-term debt, noncurrent | 14,896 | 13,294 | ||||
Liability in lieu of deferred income taxes | 2,489 | 2,320 | ||||
Regulatory liabilities | 2,989 | 3,000 | ||||
Employee benefit plan obligations | 1,403 | 1,442 | ||||
Operating lease and other obligations | 384 | 305 | ||||
Total liabilities | 24,136 | 21,986 | ||||
Commitments and contingencies | ||||||
Membership interests: | ||||||
Capital account – number of units outstanding 2024 and 2023 – 635,000,000 | 15,532 | 14,388 | ||||
Accumulated other comprehensive loss | (201) | (180) | ||||
Total membership interests | 15,331 | 14,208 | ||||
Total liabilities and membership interests | $ | 39,467 | $ | 36,194 |
Oncor Electric Delivery Company LLC | ||||||
Twelve Months Ended | % | |||||
2024 | 2023 | Change | ||||
Reliability statistics (a): | ||||||
System Average Interruption Duration Index (SAIDI) (non-storm) | 71.1 | 71.6 | (0.7) | |||
System Average Interruption Frequency Index (SAIFI) (non-storm) | 1.0 | 1.1 | (9.1) | |||
Customer Average Interruption Duration Index (CAIDI) (non-storm) | 70.4 | 65.7 | 7.2 | |||
Electricity points of delivery (end of period and in thousands): | ||||||
Electricity distribution points of delivery (based on number of active meters) | 4,027 | 3,953 | 1.9 |
Three Months Ended | Increase | Nine Months Ended | Increase | |||||||||
2024 | 2023 | (Decrease) | 2024 | 2023 | (Decrease) | |||||||
Residential system weighted weather data (b): | ||||||||||||
Cooling degree days | 1,207 | 1,573 | (366) | 1,884 | 2,155 | (271) | ||||||
Heating degree days | - | - | - | 459 | 386 | 73 | ||||||
Three Months Ended | % | Nine Months Ended | % | |||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | |||||||
Operating statistics: | ||||||||||||
Electric energy volumes (gigawatt-hours) | ||||||||||||
Residential | 15,217 | 17,474 | (12.9) | 37,113 | 37,966 | (2.2) | ||||||
Commercial, industrial, small business and | 30,991 | 30,262 | 2.4 | 86,751 | 82,605 | 5.0 | ||||||
Total electric energy volumes | 46,208 | 47,736 | (3.2) | 123,864 | 120,571 | 2.7 |
__________ | |
(a) | SAIDI is the average number of minutes electric service is interrupted per consumer in a twelve-month period. SAIFI is the average number of electric service interruptions per consumer in a twelve-month period. CAIDI is the average duration in minutes per electric service interruption in a twelve-month period. In each case, Oncor's non-storm reliability performance reflects electric service interruptions of one minute or more per customer. Each of these results excludes outages during significant storm events. |
(b) | Degree days are measures of how warm or cold it is throughout Oncor's service territory. A degree day compares the average of the hourly outdoor temperatures during each day to a 65° Fahrenheit standard temperature. The more extreme the outside temperature, the higher the number of degree days. A high number of degree days generally results in higher levels of energy use for space cooling or heating. |
Oncor Electric Delivery Company LLC | |||||||||||||||||||
Three Months Ended | $ | Nine Months Ended | $ | ||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | ||||||||||||||
( | |||||||||||||||||||
Operating revenues | |||||||||||||||||||
Revenues contributing to earnings: | |||||||||||||||||||
Distribution base revenues | |||||||||||||||||||
Residential (a) | $ | 479 | $ | 493 | $ | (14) | $ | 1,166 | $ | 1,044 | $ | 122 | |||||||
Large commercial & industrial (b) | 343 | 315 | 28 | 960 | 860 | 100 | |||||||||||||
Other (c) | 34 | 33 | 1 | 93 | 102 | (9) | |||||||||||||
Total distribution base revenues (d) | 856 | 841 | 15 | 2,219 | 2,006 | 213 | |||||||||||||
Transmission base revenues (TCOS revenues) | |||||||||||||||||||
Billed to third-party wholesale customers | 262 | 233 | 29 | 787 | 721 | 66 | |||||||||||||
Billed to REPs serving Oncor distribution | 143 | 131 | 12 | 431 | 405 | 26 | |||||||||||||
Total TCOS revenues | 405 | 364 | 41 | 1,218 | 1,126 | 92 | |||||||||||||
Other miscellaneous revenues | 27 | 41 | (14) | 73 | 83 | (10) | |||||||||||||
Total revenues contributing to earnings | 1,288 | 1,246 | 42 | 3,510 | 3,215 | 295 | |||||||||||||
Revenues collected for pass-through | |||||||||||||||||||
TCRF – third-party wholesale transmission | 351 | 322 | 29 | 1,053 | 965 | 88 | |||||||||||||
EECRF and other revenues | 21 | 24 | (3) | 47 | 47 | - | |||||||||||||
Total revenues collected for pass-through | 372 | 346 | 26 | 1,100 | 1,012 | 88 | |||||||||||||
Total operating revenues | $ | 1,660 | $ | 1,592 | $ | 68 | $ | 4,610 | $ | 4,227 | $ | 383 |
__________ | |
(a) | Distribution base revenues from residential customers are generally based on actual monthly consumption (kWh). On a weather-normalized basis, distribution base revenues from residential customers increased |
(b) | Depending on size and annual load factor, distribution base revenues from LC&I customers are generally based either on actual monthly demand (kilowatts) or the greater of actual monthly demand (kilowatts) or |
(c) | Includes distribution base revenues from small business customers whose billing is generally based on actual monthly consumption (kWh), lighting sites and other miscellaneous distribution base revenues. |
(d) | The |
About Oncor
Headquartered in
Forward-Looking Statements
This news release contains forward-looking statements relating to Oncor within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties. All statements, other than statements of historical facts, that are included in this news release, as well as statements made in presentations, in response to questions or otherwise, that address activities, events or developments that Oncor expects or anticipates to occur in the future, including such matters as projections, capital allocation, future capital expenditures, business strategy, competitive strengths, goals, future acquisitions or dispositions, development or operation of facilities, market and industry developments and the growth of Oncor's business and operations (often, but not always, through the use of words or phrases such as "intends," "plans," "will likely result," "expects," "are expected to," "will continue," "is anticipated," "estimated," "forecast," "should," "projection," "target," "goal," "objective" and "outlook"), are forward-looking statements. Although Oncor believes that in making any such forward-looking statement its expectations are based on reasonable assumptions, any such forward-looking statement involves risks, uncertainties and assumptions. Factors that could cause Oncor's actual results to differ materially from those projected in such forward-looking statements include: legislation, governmental policies and orders, and regulatory actions; legal and administrative proceedings and settlements, including the exercise of equitable powers by courts; weather conditions and other natural phenomena, including any weather impacts due to climate change and damage to Oncor's system caused by severe weather events, natural disasters or wildfires; cyber-attacks on Oncor or Oncor's third-party vendors; changes in expected customer growth, including as a result of changes to customer requests for transmission and distribution projects; physical attacks on Oncor's system, acts of sabotage, wars, terrorist activities, wildfires, fires, explosions, hazards customary to the industry, or other emergency events and the possibility that Oncor may not have adequate insurance to cover losses or third-party liabilities related to any such event; actions by credit rating agencies; health epidemics and pandemics, including their impact on Oncor's business and the economy in general; interrupted or degraded service on key technology platforms, facilities failures, or equipment interruptions; economic conditions, including the impact of a recessionary environment, inflation, supply chain disruptions, competition for goods and services, service provider availability, and labor availability and cost; unanticipated population growth or decline in ERCOT, or changes in electricity demand and demographic patterns; ERCOT grid needs and ERCOT market conditions, including insufficient electric capacity within ERCOT or disruptions at power generation facilities that supply power within ERCOT; changes in business strategy, development plans or vendor relationships; changes in interest rates, foreign currency exchange rates, or rates of inflation; significant changes in operating expenses, liquidity needs and/or capital expenditures; inability of various counterparties to meet their financial and other obligations to Oncor, including failure of counterparties to timely perform under agreements; general industry and ERCOT trends; significant decreases in demand or consumption of electricity delivered by Oncor, including as a result of increased consumer use of third-party distributed energy resources or other technologies; changes in technology used by and services offered by Oncor; significant changes in Oncor's relationship with its employees, including the availability of qualified personnel, and the potential adverse effects if labor disputes or grievances were to occur; changes in assumptions used to estimate costs of providing employee benefits, including pension and retiree benefits, and future funding requirements related thereto; significant changes in accounting policies or critical accounting estimates material to Oncor; commercial bank and financial market conditions, macroeconomic conditions, access to capital, the cost of such capital, and the results of financing and refinancing efforts, including availability of funds and the potential impact of any disruptions in
Further discussion of risks and uncertainties that could cause actual results to differ materially from management's current projections, forecasts, estimates and expectations is contained in filings made by Oncor with the
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SOURCE Oncor Electric Delivery Company LLC
FAQ
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