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Chesapeake Utilities Corporation Reports Fourth Quarter And Fiscal Year 2018 Results
Reported net income for 2018 was
Fourth quarter 2018 GAAP net income was
"Just two short months ago, I was appointed President and CEO of this very special company. I continue to be energized by everything I see, including the results discussed herein, our employees which drive our success, our commitment to providing safe, clean, reliable energy services to existing and new communities, and other potential growth opportunities," stated
Significant Items Impacting Earnings
Results for the year and fourth quarter of 2018 and 2017 were impacted by the following significant items:
For the year ended December 31, |
2018 |
2017 |
|||||||||||||
(in thousands, except per share data) |
Net Income |
EPS |
Net Income |
EPS |
|||||||||||
Reported (GAAP) Earnings |
$ |
56,580 |
$ |
3.45 |
$ |
58,124 |
$ |
3.55 |
|||||||
Unrealized mark-to-market ("MTM") activity |
(3,706) |
(0.23) |
3,499 |
0.21 |
|||||||||||
One-time impact from TCJA associated with deferred tax liability revaluation |
— |
— |
(14,299) |
(0.87) |
|||||||||||
Non-recurring separation expenses associated with a former executive |
1,421 |
0.09 |
— |
— |
|||||||||||
Adjusted (Non-GAAP) Earnings*
|
$ |
54,295 |
$ |
3.31 |
$ |
47,324 |
$ |
2.89 |
For the period ended December 31, |
Fourth Quarter 2018 |
Fourth Quarter 2017 |
|||||||||||||
(in thousands, except per share data) |
Net Income |
EPS |
Net Income |
EPS |
|||||||||||
Reported (GAAP) Earnings |
$ |
17,801 |
$ |
1.08 |
$ |
26,101 |
$ |
1.59 |
|||||||
Unrealized MTM activity |
401 |
0.02 |
3,467 |
0.21 |
|||||||||||
One-time impact from TCJA associated with deferred tax liability revaluation |
— |
— |
(14,299) |
(0.87) |
|||||||||||
Adjusted (Non-GAAP) Earnings
|
$ |
18,202 |
$ |
1.10 |
$ |
15,269 |
$ |
0.93 |
The Company's reported EPS was
Hurricane Michael Update
In
*This press release includes references to non-Generally Accepted Accounting Principles ("GAAP") financial measures, including gross margin, adjusted earnings and Adjusted EPS. A "non-GAAP financial measure" is generally defined as a numerical measure of a company's historical or future performance that includes or excludes amounts, or that is subject to adjustments, so as to be different from the most directly comparable measure calculated or presented in accordance with GAAP. Our management believes certain non-GAAP financial measures, when considered together with GAAP financial measures, provide information that is useful to investors in understanding period-over-period operating results separate and apart from items that may, or could, have a disproportionately positive or negative impact on results in any particular period.
The Company calculates "gross margin" by deducting the cost of sales from operating revenues. Cost of sales includes the purchased fuel cost for natural gas, electricity and propane, and the cost of labor spent on direct revenue-producing activities and excludes depreciation, amortization and accretion. Other companies may calculate gross margin in a different manner. Gross margin should not be considered an alternative to operating income or net income, both of which are determined in accordance with GAAP. The Company believes that gross margin, although a non-GAAP measure, is useful and meaningful to investors as a basis for making investment decisions. It provides investors with information that demonstrates the profitability achieved by the Company under its allowed rates for regulated operations and under its competitive pricing structures for unregulated businesses. The Company's management uses gross margin in measuring its business units' performance. This press release also includes gross margin that excludes the impact of unusual items, such as the pass-through to customers of lower federal income taxes resulting from TCJA. The Company calculates "adjusted earnings" by adjusting reported (GAAP) earnings to exclude the impact of certain significant non-cash items, including the impact of realized MTM gains (losses), and one-time charges, such as severance charges. "Adjusted EPS" is calculated by dividing adjusted earnings by the weighted average common shares outstanding.
**Unless otherwise noted, earnings per share information is presented on a diluted basis.
Operating Results for the Years Ended
Consolidated Results
Year Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin before the TCJA impact |
$ |
316,310 |
$ |
279,669 |
$ |
36,641 |
13.1 |
% |
||||||
Pass-through of lower taxes to regulated energy customers |
(9,562) |
— |
(9,562) |
N/A |
||||||||||
Gross margin |
306,748 |
279,669 |
27,079 |
9.7 |
% |
|||||||||
Depreciation, amortization and property taxes |
56,948 |
51,782 |
5,166 |
10.0 |
% |
|||||||||
Non-recurring executive separation expenses |
1,548 |
— |
1,548 |
N/A |
||||||||||
Other operating expenses |
153,632 |
140,467 |
13,165 |
9.4 |
% |
|||||||||
Operating income |
$ |
94,620 |
$ |
87,420 |
$ |
7,200 |
8.2 |
% |
Operating income, for the year ended December 31, 2018, increased by
Regulated Energy Segment
Year Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin before the TCJA impact |
$ |
233,015 |
$ |
207,541 |
$ |
25,474 |
12.3 |
% |
||||||
Pass-through of lower taxes to regulated energy customers |
(9,562) |
— |
(9,562) |
N/A |
||||||||||
Gross margin |
223,453 |
207,541 |
15,912 |
7.7 |
% |
|||||||||
Depreciation, amortization and property taxes |
46,523 |
42,337 |
4,186 |
9.9 |
% |
|||||||||
Other operating expenses |
97,715 |
90,620 |
7,095 |
7.8 |
% |
|||||||||
Operating income |
$ |
79,215 |
$ |
74,584 |
$ |
4,631 |
6.2 |
% |
Operating income for the Regulated Energy segment increased by
The key components of the increase in gross margin are shown below:
(in thousands) |
Margin Impact |
||
Eastern Shore*and Peninsula Pipeline** service expansions |
$ |
9,709 |
|
Natural gas growth (excluding service expansions) |
5,911 |
||
Implementation of Eastern Shore settled rates |
5,803 |
||
Colder weather |
1,788 |
||
Florida electric reliability/modernization program |
1,516 |
||
Florida Gas Reliability and Infrastructure Program ("GRIP") |
1,277 |
||
Other |
(530) |
||
Total |
25,474 |
||
Less: Pass-through of lower taxes to regulated energy customers*** |
(9,562) |
||
Year-over-year increase in gross margin |
$ |
15,912 |
*Eastern Shore Natural Gas Company, the Company's interstate natural gas transmission subsidiary |
**Peninsula Pipeline Company, Inc., the Company's Florida intrastate pipeline subsidiary |
***As a result of the TCJA and in compliance with directives by federal and state regulatory commissions, the Company reserved or refunded an estimated $9.6 million during 2018. In some jurisdictions, refunds have been made to customers, while in other jurisdictions, the Company has established reserves until agreements are approved and permanent changes are made to customer rates. The reserves and lower customer rates are equal to the estimated reduction in federal income taxes due to the TCJA and have no material impact on after-tax earnings from the Regulated Energy segment. |
The major components of the increase in other operating expenses are as follows:
(in thousands) |
Other Operating Expenses |
||
Depreciation, amortization and property taxes associated with recent capital investments |
$ |
4,186 |
|
Payroll expense (increased staffing and annual salary increases) |
2,426 |
||
Outside services to support growth |
2,182 |
||
Facilities costs to support growth and maintenance costs to maintain system integrity |
1,661 |
||
Other operating expenses, including vehicle, other taxes and credit collections due to growth and timing of collections |
869 |
||
Incentive compensation costs (based on actual results compared to targets and timing of accruals) |
(737) |
||
Regulatory expenses due to fewer proceedings in 2018 |
(661) |
||
Other employee-related expenses |
514 |
||
Early termination of facility lease due to consolidation of operations facilities |
323 |
||
Cumulative change in other expenses |
518 |
||
Year-over-year increase in other operating expenses |
$ |
11,281 |
Unregulated Energy Segment
Year Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin |
$ |
83,798 |
$ |
72,572 |
$ |
11,226 |
15.5 |
% |
||||||
Depreciation, amortization and property taxes |
10,282 |
9,287 |
995 |
10.7 |
% |
|||||||||
Other operating expenses |
56,615 |
50,654 |
5,961 |
11.8 |
% |
|||||||||
Operating income |
$ |
16,901 |
$ |
12,631 |
$ |
4,270 |
33.8 |
% |
Given the impact of MTM activity and increased infrastructure and risk management system costs,
Unregulated Energy Segment, excluding PESCO |
||||||||||||||
Year Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin |
$ |
77,197 |
$ |
70,360 |
$ |
6,837 |
9.7 |
% |
||||||
Depreciation, amortization and property taxes |
9,678 |
9,081 |
597 |
6.6 |
% |
|||||||||
Other operating expenses |
49,197 |
45,504 |
3,693 |
8.1 |
% |
|||||||||
Operating income |
$ |
18,322 |
$ |
15,775 |
$ |
2,547 |
16.1 |
% |
Operating income for the Unregulated Energy segment, excluding PESCO, increased by
The major components of the increase in gross margin (excluding PESCO results) are shown below:
(in thousands) |
Margin Impact |
||
Propane Operations |
|||
Customer growth, increased sales volumes (non-weather related) and other factors |
$ |
2,947 |
|
Additional customer consumption from colder weather |
2,241 |
||
Decreased margins per gallon in certain customer classes |
(977) |
||
Service, appliances and other fees |
404 |
||
Higher wholesale propane margins and sales |
287 |
||
Aspire Energy |
|||
Higher customer consumption from colder weather |
1,017 |
||
Increase in rates effective on various dates in 2018 |
602 |
||
Other |
316 |
||
Year-over-year increase in gross margin |
$ |
6,837 |
The key components of the increase in other operating expenses (excluding PESCO expenses) are as follows:
(in thousands) |
Other Operating Expenses |
||
Payroll expense (increased staffing and annual salary increases) |
$ |
1,923 |
|
Facilities and maintenance costs to support growth and on-going compliance activities |
953 |
||
Depreciation, amortization and property taxes associated with recent capital investments |
597 |
||
Other employee-related costs |
586 |
||
Cumulative change in other expenses |
231 |
||
Year-over-year increase in other operating expenses |
$ |
4,290 |
PESCO |
|||||||||||
Year Ended |
|||||||||||
(in thousands) |
2018 |
2017 |
Change |
||||||||
Gross margin |
$ |
6,601 |
$ |
2,212 |
$ |
4,389 |
|||||
Depreciation, amortization and property taxes |
604 |
206 |
398 |
||||||||
Other operating expenses |
7,418 |
5,150 |
2,268 |
||||||||
Operating loss |
$ |
(1,421) |
$ |
(3,144) |
$ |
1,723 |
PESCO's operating results in 2018 improved by
Operating Results for the Quarters Ended December 31, 2018 and 2017
Consolidated Results
Three Months Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin before the TCJA impact |
$ |
87,051 |
$ |
75,020 |
$ |
12,031 |
16.0 |
% |
||||||
Pass-through of lower taxes to regulated energy customers |
(1,981) |
— |
(1,981) |
N/A |
||||||||||
Gross margin |
85,070 |
75,020 |
10,050 |
13.4 |
% |
|||||||||
Depreciation, amortization and property taxes |
14,799 |
13,367 |
1,432 |
10.7 |
% |
|||||||||
Other operating expenses |
41,341 |
38,025 |
3,316 |
8.7 |
% |
|||||||||
Operating income |
$ |
28,930 |
$ |
23,628 |
$ |
5,302 |
22.4 |
% |
Operating income during the fourth quarter of 2018 increased by
Regulated Energy Segment
Three Months Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin before the TCJA impact |
$ |
62,509 |
$ |
56,394 |
$ |
6,115 |
10.8 |
% |
||||||
Pass-through of lower taxes to regulated energy customers |
(1,981) |
— |
(1,981) |
N/A |
||||||||||
Gross margin |
60,528 |
56,394 |
4,134 |
7.3 |
% |
|||||||||
Depreciation, amortization and property taxes |
12,121 |
10,926 |
1,195 |
10.9 |
% |
|||||||||
Other operating expenses |
26,122 |
23,888 |
2,234 |
9.4 |
% |
|||||||||
Operating income |
$ |
22,285 |
$ |
21,580 |
$ |
705 |
3.3 |
% |
Operating income for the Regulated Energy segment increased by
The key components of the increase in gross margin are shown below:
(in thousands) |
Margin Impact |
||
Eastern Shore and Peninsula Pipeline service expansions |
$ |
3,743 |
|
Natural gas growth (excluding service expansions) |
1,566 |
||
Florida GRIP |
346 |
||
Florida electric reliability/modernization program |
285 |
||
Other |
175 |
||
Total |
6,115 |
||
Less: Pass-through to regulated energy customers of lower taxes resulting from TCJA* |
(1,981) |
||
Quarter-over-quarter increase in gross margin |
$ |
4,134 |
*As a result of the TCJA and in compliance with directives by federal and state regulatory commissions, the Company reserved or refunded an estimated $2.0 million during the fourth quarter of 2018. In some jurisdictions, refunds have been made to customers, while in other jurisdictions, the Company has established reserves until final agreements are approved and permanent changes are made to customer rates. The reserves and lower customer rates are equal to the estimated reduction in federal income taxes due to the TCJA and have no material impact on after-tax earnings from the Regulated Energy segment. |
The major components of the increase in other operating expenses are as follows:
(in thousands) |
Other Operating Expenses |
||
Outside services to support growth |
$ |
2,150 |
|
Depreciation, amortization and property taxes associated with recent capital projects |
1,195 |
||
Incentive compensation costs (based on actual results compared to targets and timing of accruals) |
(1,140) |
||
Payroll expense (increased staffing and annual salary increases) |
571 |
||
Other employee-related expenses |
207 |
||
Cumulative change in other expenses |
446 |
||
Quarter-over-quarter increase in other operating expenses |
$ |
3,429 |
Unregulated Energy Segment
Three Months Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin |
$ |
24,649 |
$ |
18,745 |
$ |
5,904 |
31.5 |
% |
||||||
Depreciation, amortization and property taxes |
2,645 |
2,403 |
242 |
10.1 |
% |
|||||||||
Other operating expenses |
15,344 |
14,337 |
1,007 |
7.0 |
% |
|||||||||
Operating income |
$ |
6,660 |
$ |
2,005 |
$ |
4,655 |
232.2 |
% |
As with full year results, PESCO's quarterly results are shown separate from the rest of the Unregulated Energy Segment.
Unregulated Energy Segment, excluding PESCO |
||||||||||||||
Three Months Ended |
||||||||||||||
(in thousands) |
2018 |
2017 |
Change |
Percent Change |
||||||||||
Gross margin |
$ |
22,560 |
$ |
22,282 |
$ |
278 |
1.2 |
% |
||||||
Depreciation, amortization and property taxes |
2,497 |
2,308 |
189 |
8.2 |
% |
|||||||||
Other operating expenses |
13,203 |
12,641 |
562 |
4.4 |
% |
|||||||||
Operating income |
$ |
6,860 |
$ |
7,333 |
$ |
(473) |
(6.5) |
% |
Operating income for the Unregulated Energy segment, excluding PESCO, decreased by
The major components of the increase in gross margin, excluding PESCO results, are shown below:
(in thousands) |
Margin Impact |
||
Unregulated Energy customer growth |
$ |
1,348 |
|
Propane operations - decreased retail margins per gallon for certain customer classes |
(500) |
||
Warmer weather in the Mid-Atlantic |
(475) |
||
Other |
(95) |
||
Quarter-over-quarter increase in gross margin |
$ |
278 |
Other operating expenses were higher as a result of additional personnel, and outside services to support growth in these businesses, offset by lower incentive compensation costs as a result of actual results relative to pre-established targets and the timing of associated accruals.
The major components of the increase in other operating expenses are as follows:
(in thousands) |
Other Operating Expenses |
||
Outside services and facilities maintenance costs |
$ |
674 |
|
Incentive compensation costs (based on period-over-period results compared to targets and the timing of accruals) |
(643) |
||
Payroll expense (increased staffing and annual salary increases) |
495 |
||
Cumulative change in other expenses |
36 |
||
Quarter-over-quarter increase in other operating expenses |
$ |
562 |
PESCO |
|||||||||||
Three Months Ended |
|||||||||||
(in thousands) |
2018 |
2017 |
Change |
||||||||
Gross margin |
$ |
2,089 |
$ |
(3,537) |
$ |
5,626 |
|||||
Depreciation, amortization and property taxes |
148 |
95 |
53 |
||||||||
Other operating expenses |
2,141 |
1,696 |
445 |
||||||||
Operating loss |
$ |
(200) |
$ |
(5,328) |
$ |
5,128 |
For the three months ended December 31, 2018, PESCO's gross margin improved by
Safe Harbor for Forward-Looking Statements
The Company makes statements in this Press Release that does not directly or exclusively relate to historical facts. Such statements are "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. One can typically identify forward-looking statements by the use of forward-looking words, such as "project," "believe," "expect," "anticipate," "intend," "plan," "estimate," "continue," "potential," "forecast" or other similar words, or future or conditional verbs such as "may," "will," "should," "would" or "could." These statements represent the Company's intentions, plans, expectations, assumptions and beliefs about future financial performance, business strategy, projected plans and objectives of the Company. Forward-looking statements speak only as of the date they are made or as of the date indicated and we do not undertake any obligation to update forward-looking statements as a result of new information, future events or otherwise. These statements are subject to many risks and uncertainties. In addition to the risk factors described under Item 1A, Risk Factors, in the Company's 2018 Annual Report on Form 10-K, the following important factors, among others, could cause actual future results to differ materially from those expressed in the forward-looking statements:
- state and federal legislative and regulatory initiatives that affect cost and investment recovery, have an impact on rate structures, and affect the speed and the degree to which competition enters the electric and natural gas industries;
- the outcomes of regulatory, environmental and legal matters, including whether pending matters are resolved within current estimates and whether the related costs are adequately covered by insurance or recoverable in rates;
- the impact of significant changes to current tax regulations and rates;
- the timing of certification authorizations associated with new capital projects and the ability to construct facilities at or below estimated costs;
- changes in environmental and other laws and regulations to which we are subject and environmental conditions of property that we now, or may in the future, own or operate;
- possible increased federal, state and local regulation of the safety of our operations;
- the economy in our service territories or markets, the nation, and worldwide, including the impact of economic conditions (which we do not control ) on demand for electricity, natural gas, propane or other fuels;
- risks related to cyber-attacks or cyber-terrorism that could disrupt our business operations or result in failure of information technology systems;
- the weather and other natural phenomena, including the economic, operational and other effects of hurricanes, ice storms and other damaging weather events;
- customers' preferred energy sources;
- industrial, commercial and residential growth or contraction in our markets or service territories;
- the effect of competition on our businesses;
- the timing and extent of changes in commodity prices and interest rates;
- the effect of spot, forward and future market prices on our various energy businesses;
- the extent of our success in connecting natural gas and electric supplies to transmission systems, establishing and maintaining key supply sources; and expanding natural gas and electric markets;
- the creditworthiness of counterparties with which we are engaged in transactions;
- the capital-intensive nature of our regulated energy businesses;
- the results of financing efforts, including our ability to obtain financing on favorable terms, which can be affected by various factors, including credit ratings and general economic conditions;
- the ability to successfully execute, manage and integrate a merger, acquisition or divestiture of assets or businesses and the related regulatory or other conditions associated with the merger, acquisition or divestiture;
- the impact on our costs and funding obligations, under our pension and other post-retirement benefit plans, of potential downturns in the financial markets, lower discount rates, and costs associated with health care legislation and regulation;
- the ability to continue to hire, train and retain appropriately qualified personnel; and
- the effect of accounting pronouncements issued periodically by accounting standard-setting bodies.
Conference Call
About
Please note that
For more information, contact:
Executive Vice President & Chief Financial Officer
302.734.6799
Financial Summary |
||||||||||||||||
(in thousands, except per-share data) |
||||||||||||||||
Year Ended |
Fourth Quarter |
|||||||||||||||
For the Periods Ended December 31, |
2018 |
2017 |
2018 |
2017 |
||||||||||||
Gross Margin |
||||||||||||||||
Regulated Energy |
$ |
223,453 |
$ |
207,541 |
$ |
60,528 |
$ |
56,394 |
||||||||
Unregulated Energy |
83,798 |
72,572 |
24,649 |
18,745 |
||||||||||||
Other businesses and eliminations |
(503) |
(444) |
(107) |
(119) |
||||||||||||
Total Gross Margin |
$ |
306,748 |
$ |
279,669 |
$ |
85,070 |
$ |
75,020 |
||||||||
Operating Income |
||||||||||||||||
Regulated Energy |
$ |
79,215 |
$ |
74,584 |
$ |
22,285 |
$ |
21,580 |
||||||||
Unregulated Energy |
16,901 |
12,631 |
6,660 |
2,005 |
||||||||||||
Other businesses and eliminations |
(1,496) |
205 |
(15) |
43 |
||||||||||||
Total Operating Income |
$ |
94,620 |
$ |
87,420 |
$ |
28,930 |
$ |
23,628 |
||||||||
Other expense, net |
(615) |
(2,342) |
(410) |
(486) |
||||||||||||
Interest charges |
16,431 |
12,645 |
4,456 |
3,513 |
||||||||||||
Income taxes |
20,994 |
14,309 |
6,263 |
(6,472) |
||||||||||||
Net Income |
$ |
56,580 |
$ |
58,124 |
$ |
17,801 |
$ |
26,101 |
||||||||
Earnings Per Share of Common Stock |
||||||||||||||||
Basic |
$ |
3.46 |
$ |
3.56 |
$ |
1.09 |
$ |
1.60 |
||||||||
Diluted |
$ |
3.45 |
$ |
3.55 |
$ |
1.08 |
$ |
1.59 |
Financial Summary Highlights |
||||||||||||
Key variances for the year ended December 31, 2018 included: |
||||||||||||
(in thousands, except per share data) |
Pre-tax |
Net |
Earnings |
|||||||||
Year ended December 31, 2017 Reported Results |
$ |
72,433 |
$ |
58,124 |
$ |
3.55 |
||||||
Adjusting for unusual items: |
||||||||||||
Absence of the 2017 deferred tax revaluation benefit associated with the TCJA |
— |
(14,299) |
(0.87) |
|||||||||
Net impact of PESCO's MTM activity |
10,423 |
7,602 |
0.46 |
|||||||||
One-time separation expenses associated with a former executive |
(1,548) |
(1,421) |
(0.09) |
|||||||||
Absence of Xeron expenses, including 2017 wind-down expenses |
829 |
605 |
0.04 |
|||||||||
9,704 |
(7,513) |
(0.46) |
||||||||||
Increased (Decreased) Gross Margins: |
||||||||||||
Eastern Shore and Peninsula Pipeline service expansions* |
9,709 |
7,082 |
0.43 |
|||||||||
Pass-through of lower taxes to regulated energy customers(1) |
(9,562) |
(6,975) |
(0.42) |
|||||||||
Natural gas growth (excluding service expansions) |
5,911 |
4,311 |
0.26 |
|||||||||
Implementation of Eastern Shore settled rates*(2) |
5,803 |
4,233 |
0.26 |
|||||||||
Impact on PESCO from Bomb Cyclone and pipeline capacity constraints |
(5,545) |
(4,044) |
(0.25) |
|||||||||
Colder weather |
5,046 |
3,680 |
0.22 |
|||||||||
Unregulated Energy growth, excluding PESCO |
3,140 |
2,290 |
0.14 |
|||||||||
Florida electric reliability/modernization program* |
1,516 |
1,106 |
0.07 |
|||||||||
Florida GRIP* |
1,277 |
932 |
0.06 |
|||||||||
Other margin for PESCO operations (net) |
(489) |
(357) |
(0.02) |
|||||||||
16,806 |
12,258 |
0.75 |
||||||||||
Decreased (Increased) Other Operating Expenses(3): |
||||||||||||
Depreciation, asset removal and property taxes |
(4,779) |
(3,486) |
(0.21) |
|||||||||
Payroll expense (increased staffing and annual salary increases) |
(4,349) |
(3,172) |
(0.19) |
|||||||||
Facilities maintenance costs |
(2,687) |
(1,960) |
(0.12) |
|||||||||
Operating expenses to increase staffing, infrastructure and risk management systems necessary to support growth for PESCO(3) |
(2,665) |
(1,944) |
(0.12) |
|||||||||
Outside services |
(2,182) |
(1,592) |
(0.10) |
|||||||||
Vehicle, other taxes and credit collections |
(1,551) |
(1,131) |
(0.07) |
|||||||||
Other employee-related expenses |
(1,100) |
(802) |
(0.05) |
|||||||||
Incentive compensation costs |
734 |
535 |
0.03 |
|||||||||
Outside regulatory costs and early termination of facility lease due to consolidation of operations facilities |
238 |
173 |
0.01 |
|||||||||
(18,341) |
(13,379) |
(0.82) |
||||||||||
Interest charges |
(3,786) |
(2,762) |
(0.17) |
|||||||||
Income taxes - Regulated Energy (1) |
— |
6,975 |
0.42 |
|||||||||
Other income tax effects - primarily the impact of income rate tax changes on Unregulated businesses |
— |
2,323 |
0.14 |
|||||||||
Net Other changes |
758 |
554 |
0.04 |
|||||||||
Year ended December 31, 2018 Reported Results |
$ |
77,574 |
$ |
56,580 |
$ |
3.45 |
(1) |
"Pass-through of lower taxes to regulated customers" represents the amounts that have already been refunded to customers or reserves established for future refunds and/or reduced rates to customers in 2018 as a result of lower taxes due to the TCJA. Refunds made to customers are offset by the corresponding decrease in federal income tax expense and are expected to have no negative impact on net income. |
(2) |
Excluding amounts refunded to customers associated with the TCJA, which are broken out separately and discussed in footnote 1. |
(3) |
As a result of increased staffing, infrastructure and risk management systems to support growth for PESCO, operating expenses for PESCO are presented separately. |
* See the Major Projects and Initiatives table later in this press release.
Key variances for the quarter ended December 31, 2018 included:
(in thousands, except per share) |
Pre-tax |
Net |
Earnings |
|||||||||
Fourth Quarter 2017 Reported Results |
$ |
19,629 |
$ |
26,101 |
$ |
1.59 |
||||||
Adjusting for unusual items: |
||||||||||||
Absence of the Q4 2017 Unregulated Energy tax benefit associated with TCJA |
— |
(14,299) |
(0.87) |
|||||||||
Net impact of PESCO's MTM activity |
5,216 |
3,859 |
0.23 |
|||||||||
5,216 |
(10,440) |
(0.64) |
||||||||||
Increased (Decreased) Gross Margins: |
||||||||||||
Eastern Shore and Peninsula Pipeline service expansions* |
3,743 |
2,769 |
0.17 |
|||||||||
Pass-through of lower taxes to regulated energy customers(1) |
(1,981) |
(1,465) |
(0.09) |
|||||||||
Natural gas growth (excluding service expansions) |
1,566 |
1,158 |
0.07 |
|||||||||
Unregulated energy growth, excluding PESCO |
1,329 |
983 |
0.06 |
|||||||||
Implementation of Eastern Shore settled rates*(2) |
(641) |
(474) |
(0.03) |
|||||||||
Lower retail propane margins per gallon in certain customer classes |
(500) |
(370) |
(0.02) |
|||||||||
Warmer weather |
(351) |
(260) |
(0.02) |
|||||||||
Other margin for PESCO operations (net) |
409 |
303 |
0.02 |
|||||||||
Florida GRIP* |
346 |
256 |
0.02 |
|||||||||
Florida electric reliability/modernization program* |
285 |
211 |
0.01 |
|||||||||
4,205 |
3,111 |
0.19 |
||||||||||
(Increased) Decreased Other Operating Expenses(3): |
||||||||||||
Outside services and facilities maintenance costs |
(2,898) |
(2,143) |
(0.13) |
|||||||||
Incentive compensation costs (based on period-over-period results) |
1,783 |
1,319 |
0.08 |
|||||||||
Depreciation, asset removal and property taxes |
(1,379) |
(1,020) |
(0.06) |
|||||||||
Payroll expense (increased staffing and annual salary increases) |
(1,065) |
(788) |
(0.05) |
|||||||||
Operating expenses to increase staffing, infrastructure and risk management systems necessary to support growth for PESCO(3) |
(498) |
(368) |
(0.02) |
|||||||||
Other employee-related expenses |
(351) |
(259) |
(0.02) |
|||||||||
(4,408) |
(3,259) |
(0.20) |
||||||||||
Interest Charges |
(943) |
(698) |
(0.04) |
|||||||||
Income taxes - Regulated Energy (1) |
— |
1,465 |
0.09 |
|||||||||
Other income tax effects |
— |
1,253 |
0.08 |
|||||||||
Net Other Changes |
365 |
268 |
0.01 |
|||||||||
Fourth Quarter 2018 Reported Results |
$ |
24,064 |
$ |
17,801 |
$ |
1.08 |
(1) |
"Pass-through of lower taxes to regulated customers" represents the amounts that have already been refunded to customers or reserves established for future refunds and/or reduced rates to customers in the fourth quarter of 2018 as a result of lower taxes due to the TCJA. Refunds made to customers are offset by the corresponding decrease in federal income taxes and are expected to have no net impact on net income. |
(2) |
Excluding amounts refunded to customers associated with the TCJA, which are broken out separately and discussed in footnote 1. |
(3) |
As a result of increased staffing, infrastructure and risk management systems to support growth for PESCO, operating expenses for PESCO are presented separately. |
* See the Major Projects and Initiatives table later in this press release.
The following information highlights certain key factors contributing to the Company's results for the year and quarter ended December 31, 2018:
Recently Completed and Ongoing Major Projects and Initiatives
The Company constantly seeks and develops additional projects and initiatives to provide solutions for our customers and further increase shareholder value. The following represent the major projects and initiatives recently completed and currently underway. In the future, the Company will add new projects to this table when such projects are initiated.
Gross Margin for the Period |
||||||||||||||||||||
Year Ended |
Three Months Ended |
Estimate |
||||||||||||||||||
Project / Initiative |
2018 |
2017 |
2018 |
2017 |
2019 |
|||||||||||||||
(in thousands) |
||||||||||||||||||||
Florida GRIP |
$ |
14,731 |
$ |
13,454 |
$ |
3,798 |
$ |
3,452 |
$ |
16,276 |
||||||||||
Eastern Shore Rate Case (1) |
9,496 |
3,693 |
2,687 |
2,673 |
9,800 |
|||||||||||||||
Florida Electric Reliability/Modernization Pilot Program (1) |
1,610 |
94 |
379 |
94 |
1,558 |
|||||||||||||||
New Smyrna Beach, Florida(1) |
1,409 |
235 |
352 |
235 |
1,409 |
|||||||||||||||
2017 Eastern Shore System Expansion - including interim services (1) |
8,015 |
483 |
3,577 |
483 |
15,709 |
|||||||||||||||
Northwest Florida Expansion(1) |
3,485 |
— |
1,307 |
— |
6,500 |
|||||||||||||||
Western Palm Beach County, Florida Expansion(1) |
54 |
— |
54 |
— |
1,250 |
|||||||||||||||
Marlin Gas Services |
110 |
— |
110 |
— |
4,475 |
|||||||||||||||
Ohl propane acquisition (rolled into Sharp) |
— |
— |
— |
— |
1,200 |
|||||||||||||||
Total |
$ |
38,910 |
$ |
17,959 |
$ |
12,264 |
$ |
6,937 |
$ |
58,177 |
(1) |
Gross margin amounts included in this table have not been adjusted to reflect the impact of the TCJA. Any TCJA-related refunds and/or rate reductions implemented in the Company's regulated businesses were, or will be, offset by lower federal income taxes due to the TCJA. |
Ongoing Growth Initiatives
Florida GRIP
GRIP is a natural gas pipe replacement program approved by the
Regulatory Proceedings
Eastern Shore Rate Case
Florida Electric Reliability/Modernization Pilot Program
In
Major Projects and Initiatives Currently Underway
In the fourth quarter of 2017, we commenced construction of a 14-mile natural gas transmission pipeline to serve current and planned customer growth in the
2017
From
Peninsula Pipeline completed construction of transmission lines, and the Company's
Peninsula Pipeline is constructing transmission lines to bring natural gas to our natural gas distribution system in
Marlin Gas Services
In
Ohl Propane Acquisition
In
Future Projects not included in the Table above
In
Weather and Consumption
The impact of colder temperatures on customer consumption during 2018 contributed
For the quarter ended December 31, 2018, warmer weather on the
HDD and CDD Information
For the Periods Ended December 31, |
2018 |
2017 |
Variance |
Q4 2018 |
Q4 2017 |
Variance |
|||||||||||
Delmarva |
|||||||||||||||||
Actual HDD |
4,251 |
3,800 |
451 |
1,522 |
1,538 |
(16) |
|||||||||||
10-Year Average HDD ("Normal") |
4,379 |
4,374 |
5 |
1,533 |
1,529 |
4 |
|||||||||||
Variance from Normal |
(128) |
(574) |
(11) |
9 |
|||||||||||||
Florida |
|||||||||||||||||
Actual HDD |
780 |
533 |
247 |
273 |
235 |
38 |
|||||||||||
10-Year Average HDD ("Normal") |
800 |
818 |
(18) |
267 |
263 |
4 |
|||||||||||
Variance from Normal |
(20) |
(285) |
6 |
(28) |
|||||||||||||
Ohio |
|||||||||||||||||
Actual HDD |
5,845 |
5,126 |
719 |
2,138 |
2,057 |
81 |
|||||||||||
10-Year Average HDD ("Normal") |
5,823 |
5,914 |
(91) |
2,048 |
2,048 |
— |
|||||||||||
Variance from Normal |
22 |
(788) |
90 |
9 |
|||||||||||||
Florida |
|||||||||||||||||
Actual CDD |
3,105 |
3,013 |
92 |
401 |
407 |
(6) |
|||||||||||
10-Year Average CDD ("Normal") |
2,889 |
2,865 |
24 |
296 |
286 |
10 |
|||||||||||
Variance from Normal |
216 |
148 |
105 |
121 |
Note: The Company continually refines and updates its weather calculations. These refinements may result in the annual impact varying from the aggregate of the quarterly variances previously disclosed.
Natural Gas Distribution Customer and Consumption Growth
Customer growth for the Company's natural gas distribution operations generated
Higher residential and commercial customer consumption increased gross margin by
(in thousands) |
Margin Increase |
|||||||
For the Periods Ended December 31, |
2018 |
Q4 2018 |
||||||
Customer growth: |
||||||||
Residential |
$ |
1,604 |
$ |
433 |
||||
Commercial and industrial, excluding new service in Northwest Florida |
1,322 |
296 |
||||||
New service in Northwest Florida |
987 |
336 |
||||||
Total customer growth |
3,913 |
1,065 |
||||||
Volume growth: |
||||||||
Residential |
655 |
207 |
||||||
Commercial and industrial |
1,522 |
279 |
||||||
Other - including unbilled revenue |
(179) |
15 |
||||||
Total volume growth |
1,998 |
501 |
||||||
Total natural gas distribution growth |
$ |
5,911 |
$ |
1,566 |
Propane Operations
The Company's
These operations generated
PESCO
PESCO's gross margin for the year and quarter ended
For the periods ended December 31, |
2018 |
Q4 2018 |
||||||
(in thousands) |
||||||||
Net impact of PESCO's MTM activity |
$ |
10,423 |
$ |
5,216 |
||||
Net impact of extraordinary costs associated with the 2018 Bomb Cyclone for the Mid-Atlantic wholesale portfolio (1) |
(3,284) |
— |
||||||
Loss for the Mid-Atlantic retail portfolio caused by pipeline capacity constraints in January and warm weather in February 2018 (1) |
(2,261) |
— |
||||||
Other margin for PESCO operations (net) |
(489) |
409 |
||||||
Total Change in Gross Margin for PESCO in 2018 |
$ |
4,389 |
5,625 |
(1) |
The 2018 Bomb Cyclone refers to the high-intensity winter storms in early January 2018 that impacted the Mid-Atlantic region and which had a residual impact on the Company's businesses through the month of February. The exceedingly high demand and associated impacts on pipeline capacity and gas supply in the Mid-Atlantic region created significant, unusual costs for PESCO. While such concerted impacts will recur infrequently, the Company's management revisited and refined its risk management strategies and implemented additional controls. |
For the year ended December 31, 2018, PESCO reported an operating loss of
PESCO generated an operating loss of
Xeron
Xeron's operations were wound down during the second quarter of 2017. 2018 operating income improved by
Chesapeake Utilities Corporation and Subsidiaries Condensed Consolidated Statements of Income (Unaudited) For the Periods Ended December 31, 2018 and 2017 (in thousands, except shares and per share data) |
|||||||||||||||
Year Ended |
Fourth Quarter |
||||||||||||||
2018 |
2017 |
2018 |
2017 |
||||||||||||
Operating Revenues |
|||||||||||||||
Regulated Energy |
$ |
345,281 |
$ |
326,310 |
$ |
92,614 |
$ |
87,957 |
|||||||
Unregulated Energy |
420,617 |
324,595 |
122,862 |
104,133 |
|||||||||||
Other businesses and eliminations |
(48,409) |
(33,322) |
(14,286) |
(11,687) |
|||||||||||
Total Operating Revenues |
717,489 |
617,583 |
201,190 |
180,403 |
|||||||||||
Operating Expenses |
|||||||||||||||
Regulated energy cost of sales |
121,828 |
118,769 |
32,085 |
31,563 |
|||||||||||
Unregulated energy and other cost of sales |
288,913 |
219,145 |
84,034 |
73,819 |
|||||||||||
Operations |
138,441 |
125,994 |
36,637 |
34,218 |
|||||||||||
Maintenance |
14,387 |
12,701 |
3,968 |
3,331 |
|||||||||||
Gain from a settlement |
(130) |
(130) |
— |
— |
|||||||||||
Depreciation and amortization |
40,802 |
36,599 |
10,627 |
9,331 |
|||||||||||
Other taxes |
18,628 |
17,085 |
4,909 |
4,513 |
|||||||||||
Total operating expenses |
622,869 |
530,163 |
172,260 |
156,775 |
|||||||||||
Operating Income |
94,620 |
87,420 |
28,930 |
23,628 |
|||||||||||
Other expense, net |
(615) |
(2,342) |
(410) |
(486) |
|||||||||||
Interest charges |
16,431 |
12,645 |
4,456 |
3,513 |
|||||||||||
Income Before Income Taxes |
77,574 |
72,433 |
24,064 |
19,629 |
|||||||||||
Income taxes |
20,994 |
14,309 |
6,263 |
(6,472) |
|||||||||||
Net Income |
$ |
56,580 |
$ |
58,124 |
$ |
17,801 |
$ |
26,101 |
|||||||
Weighted Average Common Shares Outstanding: |
|||||||||||||||
Basic |
16,369,616 |
16,336,789 |
16,378,545 |
16,344,442 |
|||||||||||
Diluted |
16,419,870 |
16,383,352 |
16,430,594 |
16,397,332 |
|||||||||||
Earnings Per Share of Common Stock: |
|||||||||||||||
Basic |
$ |
3.46 |
$ |
3.56 |
$ |
1.09 |
$ |
1.60 |
|||||||
Diluted |
$ |
3.45 |
$ |
3.55 |
$ |
1.08 |
$ |
1.59 |
Chesapeake Utilities Corporation and Subsidiaries
Consolidated Balance Sheets (Unaudited) |
||||||||
As of December 31, |
||||||||
Assets |
2018 |
2017 |
||||||
(in thousands, except shares and per share data) |
||||||||
Property, Plant and Equipment |
||||||||
Regulated energy |
$ |
1,297,416 |
$ |
1,073,736 |
||||
Unregulated energy |
237,682 |
210,682 |
||||||
Other |
34,585 |
27,699 |
||||||
Total property, plant and equipment |
1,569,683 |
1,312,117 |
||||||
Less: Accumulated depreciation and amortization |
(294,295) |
(270,599) |
||||||
Plus: Construction work in progress |
108,584 |
84,509 |
||||||
Net property, plant and equipment |
1,383,972 |
1,126,027 |
||||||
Current Assets |
||||||||
Cash and cash equivalents |
6,089 |
5,614 |
||||||
Accounts receivable (less allowance for uncollectible accounts of $1,108 and $936, respectively) |
85,404 |
77,223 |
||||||
Accrued revenue |
27,499 |
22,279 |
||||||
Propane inventory, at average cost |
9,791 |
8,324 |
||||||
Other inventory, at average cost |
7,127 |
12,022 |
||||||
Regulatory assets |
4,796 |
10,930 |
||||||
Storage gas prepayments |
6,603 |
5,250 |
||||||
Income taxes receivable |
15,300 |
14,778 |
||||||
Prepaid expenses |
10,079 |
13,621 |
||||||
Derivative assets, at fair value |
13,165 |
1,286 |
||||||
Other current assets |
5,684 |
7,260 |
||||||
Total current assets |
191,537 |
178,587 |
||||||
Deferred Charges and Other Assets |
||||||||
Goodwill |
25,837 |
19,604 |
||||||
Other intangible assets, net |
6,207 |
4,686 |
||||||
Investments, at fair value |
6,711 |
6,756 |
||||||
Regulatory assets |
72,422 |
75,575 |
||||||
Receivables and other deferred charges |
6,985 |
3,699 |
||||||
Total deferred charges and other assets |
118,162 |
110,320 |
||||||
Total Assets |
$ |
1,693,671 |
$ |
1,414,934 |
Chesapeake Utilities Corporation and Subsidiaries
Consolidated Balance Sheets (Unaudited) |
|||||||||
As of December 31, |
|||||||||
Capitalization and Liabilities |
2018 |
2017 |
|||||||
(in thousands, except shares and per share data) |
|||||||||
Capitalization |
|||||||||
Preferred stock, par value $0.01 per share (authorized 2,000,000 shares), no shares issued and outstanding |
$ |
— |
$ |
— |
|||||
Common stock, par value $0.4867 per share (authorized 50,000,000 shares) |
7,971 |
7,955 |
|||||||
Additional paid-in capital |
255,651 |
253,470 |
|||||||
Retained earnings |
261,530 |
229,141 |
|||||||
Accumulated other comprehensive loss |
(6,713) |
(4,272) |
|||||||
Deferred compensation obligation |
3,854 |
3,395 |
|||||||
Treasury stock |
(3,854) |
(3,395) |
|||||||
Total stockholders' equity |
518,439 |
486,294 |
|||||||
Long-term debt, net of current maturities |
316,020 |
197,395 |
|||||||
Total capitalization |
834,459 |
683,689 |
|||||||
Current Liabilities |
|||||||||
Current portion of long-term debt |
11,935 |
9,421 |
|||||||
Short-term borrowing |
294,458 |
250,969 |
|||||||
Accounts payable |
129,804 |
74,688 |
|||||||
Customer deposits and refunds |
34,155 |
34,751 |
|||||||
Accrued interest |
2,317 |
1,742 |
|||||||
Dividends payable |
6,060 |
5,312 |
|||||||
Accrued compensation |
13,923 |
13,112 |
|||||||
Regulatory liabilities |
7,883 |
6,485 |
|||||||
Derivative liabilities, at fair value |
14,871 |
6,247 |
|||||||
Other accrued liabilities |
12,828 |
10,273 |
|||||||
Total current liabilities |
528,234 |
413,000 |
|||||||
Deferred Credits and Other Liabilities |
|||||||||
Deferred income taxes |
156,820 |
135,850 |
|||||||
Regulatory liabilities |
135,039 |
140,978 |
|||||||
Environmental liabilities |
7,638 |
8,263 |
|||||||
Other pension and benefit costs |
28,513 |
29,699 |
|||||||
Deferred investment tax credits and Other liabilities |
2,968 |
3,455 |
|||||||
Total deferred credits and other liabilities |
330,978 |
318,245 |
|||||||
Total Capitalization and Liabilities |
$ |
1,693,671 |
$ |
1,414,934 |
|||||
Chesapeake Utilities Corporation and Subsidiaries
Distribution Utility Statistical Data (Unaudited) |
||||||||||||||||||||||||||||||||
For the Three Months Ended December 31, 2018 |
For the Three Months Ended December 31, 2017 |
|||||||||||||||||||||||||||||||
Delmarva NG Distribution |
Chesapeake Utilities' Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution |
Delmarva NG Distribution |
Chesapeake Utilities' Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution |
|||||||||||||||||||||||||
Operating Revenues |
||||||||||||||||||||||||||||||||
Residential |
$ |
15,647 |
$ |
1,313 |
$ |
5,846 |
$ |
9,450 |
$ |
14,854 |
$ |
1,435 |
$ |
8,157 |
$ |
10,166 |
||||||||||||||||
Commercial |
8,260 |
1,566 |
6,491 |
8,711 |
7,860 |
1,493 |
7,170 |
9,951 |
||||||||||||||||||||||||
Industrial |
2,274 |
3,117 |
5,995 |
411 |
2,236 |
1,676 |
5,921 |
1,609 |
||||||||||||||||||||||||
Other (1) |
5,426 |
883 |
3,901 |
298 |
5,090 |
1,039 |
(444) |
(1,640) |
||||||||||||||||||||||||
Total Operating Revenues |
$ |
31,607 |
$ |
6,879 |
$ |
22,233 |
$ |
18,870 |
$ |
30,040 |
$ |
5,643 |
$ |
20,804 |
$ |
20,086 |
||||||||||||||||
Volumes (in Dts for natural gas and KWHs for electric) |
||||||||||||||||||||||||||||||||
Residential |
962,407 |
90,091 |
327,226 |
65,844 |
792,602 |
86,682 |
327,815 |
66,998 |
||||||||||||||||||||||||
Commercial |
947,924 |
1,192,733 |
417,254 |
69,464 |
829,713 |
1,165,579 |
436,272 |
74,689 |
||||||||||||||||||||||||
Industrial |
1,518,671 |
6,577,922 |
1,220,219 |
3,350 |
1,375,672 |
3,042,088 |
1,171,381 |
15,130 |
||||||||||||||||||||||||
Other |
23,313 |
— |
919,192 |
1,686 |
29,142 |
— |
593,768 |
1,885 |
||||||||||||||||||||||||
Total |
3,452,315 |
7,860,746 |
2,883,891 |
140,344 |
3,027,129 |
4,294,349 |
2,529,236 |
158,702 |
||||||||||||||||||||||||
Average Customers |
||||||||||||||||||||||||||||||||
Residential |
72,219 |
16,703 |
56,181 |
24,573 |
69,532 |
15,967 |
54,704 |
24,648 |
||||||||||||||||||||||||
Commercial |
6,992 |
1,550 |
3,893 |
7,508 |
6,848 |
1,435 |
3,962 |
7,468 |
||||||||||||||||||||||||
Industrial |
162 |
17 |
2,380 |
2 |
155 |
80 |
2,186 |
2 |
||||||||||||||||||||||||
Other |
4 |
— |
12 |
3 |
— |
10 |
||||||||||||||||||||||||||
Total |
79,377 |
18,270 |
62,466 |
32,083 |
76,538 |
17,482 |
60,862 |
32,118 |
||||||||||||||||||||||||
For the Year Ended December 31, 2018 |
For the Year Ended December 31, 2017 |
|||||||||||||||||||||||||||||||
Delmarva NG Distribution |
Chesapeake Utilities' Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution |
Delmarva NG Distribution |
Chesapeake Utilities' Florida NG Division |
FPU NG Distribution |
FPU Electric Distribution |
|||||||||||||||||||||||||
Operating Revenues |
||||||||||||||||||||||||||||||||
Residential |
$ |
70,466 |
$ |
5,086 |
$ |
30,334 |
$ |
44,788 |
$ |
57,365 |
$ |
5,600 |
$ |
33,103 |
$ |
44,082 |
||||||||||||||||
Commercial |
36,916 |
6,236 |
26,993 |
39,442 |
31,585 |
5,756 |
30,283 |
41,141 |
||||||||||||||||||||||||
Industrial |
8,289 |
10,911 |
22,296 |
1,543 |
7,619 |
6,535 |
21,647 |
3,561 |
||||||||||||||||||||||||
Other (1) |
928 |
3,108 |
1,494 |
(5,970) |
3,504 |
3,858 |
(5,353) |
(5,918) |
||||||||||||||||||||||||
Total Operating Revenues |
$ |
116,599 |
$ |
25,341 |
$ |
81,117 |
$ |
79,803 |
$ |
100,073 |
$ |
21,749 |
$ |
79,680 |
$ |
82,866 |
||||||||||||||||
Volumes (in Dts for natural gas and KWHs for electric) |
||||||||||||||||||||||||||||||||
Residential |
4,142,567 |
369,067 |
1,393,785 |
307,269 |
3,368,603 |
340,570 |
1,350,413 |
291,510 |
||||||||||||||||||||||||
Commercial |
3,792,220 |
4,719,725 |
1,722,081 |
302,687 |
3,274,975 |
5,156,823 |
1,863,147 |
304,235 |
||||||||||||||||||||||||
Industrial |
5,549,387 |
19,858,336 |
4,900,998 |
15,160 |
5,125,633 |
11,561,309 |
4,543,775 |
27,380 |
||||||||||||||||||||||||
Other |
80,254 |
— |
2,338,815 |
7,402 |
95,415 |
— |
1,875,761 |
7,511 |
||||||||||||||||||||||||
Total |
13,564,428 |
24,947,128 |
10,355,679 |
632,518 |
11,864,626 |
17,058,702 |
9,633,096 |
630,636 |
||||||||||||||||||||||||
Average Customers |
||||||||||||||||||||||||||||||||
Residential |
71,322 |
16,450 |
55,701 |
24,686 |
68,699 |
15,796 |
54,410 |
24,574 |
||||||||||||||||||||||||
Commercial |
6,979 |
1,519 |
3,915 |
7,497 |
6,845 |
1,421 |
4,054 |
7,450 |
||||||||||||||||||||||||
Industrial |
157 |
16 |
2,312 |
2 |
147 |
79 |
2,078 |
2 |
||||||||||||||||||||||||
Other |
5 |
— |
11 |
— |
5 |
— |
10 |
|||||||||||||||||||||||||
Total |
78,463 |
17,985 |
61,939 |
32,185 |
75,696 |
17,296 |
60,552 |
32,026 |
||||||||||||||||||||||||
(1) |
Operating Revenues from "Other" sources include unbilled revenue, under (over) recoveries of fuel cost, conservation revenue, other miscellaneous charges, fees for billing services provided to third parties and adjustments for pass-through taxes. |
View original content:http://www.prnewswire.com/news-releases/chesapeake-utilities-corporation-reports-fourth-quarter-and-fiscal-year-2018-results-300802611.html
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