Attached files
| file | filename |
|---|---|
| EX-99.3 - EXHIBIT 99.3 - 8-K FORWARD LOOKING - VECTREN CORP | a1231158k-exhibit993forwar.htm |
| 8-K - 8-K - ANNUAL EARNINGS RELEASE FOR 2015 10-K - VECTREN CORP | a8k-2015annualearningsrele.htm |
| EX-99.1 - EXHIBIT 99.1 - 8-K PRESS RELEASE - VECTREN CORP | a1231158k-exhibit991pressr.htm |
EXHIBIT 99.2
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(Unaudited - in millions, except per share amounts) | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
OPERATING REVENUES: | ||||||||||||||||
Gas utility | $ | 202.5 | $ | 263.5 | $ | 792.6 | $ | 944.6 | ||||||||
Electric utility | 135.5 | 143.9 | 601.6 | 624.8 | ||||||||||||
Nonutility | 266.0 | 269.4 | 1,040.5 | 1,042.3 | ||||||||||||
Total operating revenues | 604.0 | 676.8 | 2,434.7 | 2,611.7 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Cost of gas sold | 69.6 | 125.3 | 305.4 | 468.7 | ||||||||||||
Cost of fuel and purchased power | 42.6 | 46.4 | 187.5 | 201.8 | ||||||||||||
Cost of nonutility revenues | 90.5 | 86.7 | 355.0 | 346.4 | ||||||||||||
Other operating | 218.7 | 242.3 | 909.2 | 943.4 | ||||||||||||
Depreciation and amortization | 64.7 | 62.4 | 256.3 | 273.4 | ||||||||||||
Taxes other than income taxes | 14.9 | 16.6 | 59.5 | 63.5 | ||||||||||||
Total operating expenses | 501.0 | 579.7 | 2,072.9 | 2,297.2 | ||||||||||||
OPERATING INCOME | 103.0 | 97.1 | 361.8 | 314.5 | ||||||||||||
OTHER INCOME (EXPENSE): | ||||||||||||||||
Equity in earning (losses) of unconsolidated affiliates | — | 0.1 | (0.6 | ) | 0.5 | |||||||||||
Other income - net | 5.6 | 3.9 | 20.3 | 19.7 | ||||||||||||
Total other income | 5.6 | 4.0 | 19.7 | 20.2 | ||||||||||||
INTEREST EXPENSE | 21.4 | 21.0 | 84.5 | 86.7 | ||||||||||||
INCOME BEFORE INCOME TAXES | 87.2 | 80.1 | 297.0 | 248.0 | ||||||||||||
INCOME TAXES | 22.0 | 23.6 | 99.7 | 81.1 | ||||||||||||
NET INCOME | $ | 65.2 | $ | 56.5 | $ | 197.3 | $ | 166.9 | ||||||||
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | 82.7 | 82.6 | 82.7 | 82.5 | ||||||||||||
DILUTED COMMON SHARES OUTSTANDING | 82.7 | 82.6 | 82.7 | 82.5 | ||||||||||||
EARNINGS PER SHARE OF COMMON STOCK | ||||||||||||||||
BASIC | $ | 0.79 | $ | 0.68 | $ | 2.39 | $ | 2.02 | ||||||||
DILUTED | $ | 0.79 | $ | 0.68 | $ | 2.39 | $ | 2.02 | ||||||||
EXHIBIT 99.2
VECTREN UTILITY HOLDINGS | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(Unaudited - in millions) | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
OPERATING REVENUES: | ||||||||||||||||
Gas utility | $ | 202.5 | $ | 263.5 | $ | 792.6 | $ | 944.6 | ||||||||
Electric utility | 135.5 | 143.9 | 601.6 | 624.8 | ||||||||||||
Other | 0.1 | 0.1 | 0.3 | 0.3 | ||||||||||||
Total operating revenues | 338.1 | 407.5 | 1,394.5 | 1,569.7 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Cost of gas sold | 69.6 | 125.3 | 305.4 | 468.7 | ||||||||||||
Cost of fuel and purchased power | 42.6 | 46.4 | 187.5 | 201.8 | ||||||||||||
Other operating | 78.3 | 94.9 | 339.1 | 354.5 | ||||||||||||
Depreciation and amortization | 52.2 | 51.6 | 208.8 | 203.1 | ||||||||||||
Taxes other than income taxes | 14.1 | 15.9 | 57.1 | 60.2 | ||||||||||||
Total operating expenses | 256.8 | 334.1 | 1,097.9 | 1,288.3 | ||||||||||||
OPERATING INCOME | 81.3 | 73.4 | 296.6 | 281.4 | ||||||||||||
OTHER INCOME - NET | 5.5 | 4.4 | 18.7 | 16.8 | ||||||||||||
INTEREST EXPENSE | 16.8 | 16.6 | 66.3 | 66.6 | ||||||||||||
INCOME BEFORE INCOME TAXES | 70.0 | 61.2 | 249.0 | 231.6 | ||||||||||||
INCOME TAXES | 23.4 | 21.4 | 88.1 | 83.2 | ||||||||||||
NET INCOME | $ | 46.6 | $ | 39.8 | $ | 160.9 | $ | 148.4 | ||||||||
EXHIBIT 99.2
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(Unaudited - in millions) | ||||||||
December 31, | December 31, | |||||||
2015 | 2014 | |||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash & cash equivalents | $ | 74.7 | $ | 86.4 | ||||
Accounts receivable - less reserves of $5.6 & | ||||||||
$6.0, respectively | 227.5 | 196.0 | ||||||
Accrued unbilled revenues | 142.5 | 164.8 | ||||||
Inventories | 133.7 | 118.5 | ||||||
Recoverable fuel & natural gas costs | — | 9.8 | ||||||
Prepayments & other current assets | 81.0 | 94.6 | ||||||
Total current assets | 659.4 | 670.1 | ||||||
Utility Plant | ||||||||
Original cost | 6,090.4 | 5,718.7 | ||||||
Less: accumulated depreciation & amortization | 2,415.5 | 2,279.7 | ||||||
Net utility plant | 3,674.9 | 3,439.0 | ||||||
Investments in unconsolidated affiliates | 20.9 | 23.4 | ||||||
Other utility & corporate investments | 31.2 | 37.2 | ||||||
Other nonutility investments | 16.2 | 33.6 | ||||||
Nonutility plant - net | 414.6 | 378.0 | ||||||
Goodwill | 293.5 | 289.9 | ||||||
Regulatory assets | 258.0 | 233.6 | ||||||
Other assets | 41.2 | 41.2 | ||||||
TOTAL ASSETS | $ | 5,409.9 | $ | 5,146.0 | ||||
LIABILITIES & SHAREHOLDERS' EQUITY | ||||||||
Current Liabilities | ||||||||
Accounts payable | $ | 248.8 | $ | 248.9 | ||||
Refundable fuel & natural gas costs | 7.9 | 2.5 | ||||||
Accrued liabilities | 183.6 | 184.9 | ||||||
Short-term borrowings | 14.5 | 156.4 | ||||||
Current maturities of long-term debt | 73.0 | 170.0 | ||||||
Total current liabilities | 527.8 | 762.7 | ||||||
Long-term Debt - Net of Current Maturities | 1,722.8 | 1,407.3 | ||||||
Deferred Income Taxes & Other Liabilities | ||||||||
Deferred income taxes | 805.4 | 724.9 | ||||||
Regulatory liabilities | 433.9 | 410.3 | ||||||
Deferred credits & other liabilities | 236.2 | 234.2 | ||||||
Total deferred credits & other liabilities | 1,475.5 | 1,369.4 | ||||||
Common Shareholders' Equity | ||||||||
Common stock (no par value) – issued & outstanding | ||||||||
82.8 and 82.6 shares, respectively | 722.8 | 715.7 | ||||||
Retained earnings | 962.2 | 892.2 | ||||||
Accumulated other comprehensive (loss) | (1.2 | ) | (1.3 | ) | ||||
Total common shareholders' equity | 1,683.8 | 1,606.6 | ||||||
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY | $ | 5,409.9 | $ | 5,146.0 | ||||
EXHIBIT 99.2
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(Millions - Unaudited) | ||||||||
Twelve Months Ended | ||||||||
December 31, | ||||||||
2015 | 2014 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | $ | 197.3 | $ | 166.9 | ||||
Adjustments to reconcile net income to cash from operating activities: | ||||||||
Depreciation & amortization | 256.3 | 273.4 | ||||||
Deferred income taxes & investment tax credits | 80.4 | 37.9 | ||||||
Equity in (earnings) losses of unconsolidated affiliates | 0.6 | (0.5 | ) | |||||
Provision for uncollectible accounts | 8.1 | 7.3 | ||||||
Expense portion of pension & postretirement benefit cost | 6.8 | 6.6 | ||||||
Other non-cash charges - net | 6.7 | 5.8 | ||||||
Loss on sale of business (pretax) | — | 41.8 | ||||||
Gain on revaluation of contingent consideration | — | (14.8 | ) | |||||
Changes in working capital accounts: | ||||||||
Accounts receivable & accrued unbilled revenues | (15.4 | ) | 11.8 | |||||
Inventories | (15.2 | ) | (22.5 | ) | ||||
Recoverable/refundable fuel & natural gas costs | 15.2 | (4.4 | ) | |||||
Prepayments & other current assets | 20.3 | (35.2 | ) | |||||
Accounts payable, including to affiliated companies | (0.5 | ) | 20.2 | |||||
Accrued liabilities | (0.9 | ) | 12.3 | |||||
Unconsolidated affiliate dividends | 1.3 | — | ||||||
Employer contributions to pension & postretirement plans | (26.5 | ) | (5.1 | ) | ||||
Changes in noncurrent assets | (23.2 | ) | 0.1 | |||||
Changes in noncurrent liabilities | (6.1 | ) | (13.4 | ) | ||||
Net cash provided by operating activities | 505.2 | 488.2 | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Proceeds from: | ||||||||
Long-term debt, net of issuance costs | 385.5 | 62.4 | ||||||
Dividend reinvestment plan & other common stock issuances | 6.2 | 6.1 | ||||||
Requirements for: | ||||||||
Dividends on common stock | (127.3 | ) | (120.4 | ) | ||||
Retirement of long-term debt | (170.0 | ) | (293.6 | ) | ||||
Other financing activities | 0.2 | 0.1 | ||||||
Net change in short-term borrowings | (141.9 | ) | 87.8 | |||||
Net cash used in financing activities | (47.3 | ) | (257.6 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Proceeds from: | ||||||||
Sale of business | — | 311.2 | ||||||
Sale of assets and other collections | 27.5 | 9.5 | ||||||
Requirements for: | ||||||||
Capital expenditures, excluding AFUDC equity | (476.9 | ) | (448.3 | ) | ||||
Business acquisitions and other costs | (14.3 | ) | (38.1 | ) | ||||
Changes in restricted cash | (5.9 | ) | — | |||||
Net cash used in investing activities | (469.6 | ) | (165.7 | ) | ||||
Net change in cash & cash equivalents | (11.7 | ) | 64.9 | |||||
Cash & cash equivalents at beginning of period | 86.4 | 21.5 | ||||||
Cash & cash equivalents at end of period | $ | 74.7 | $ | 86.4 | ||||
EXHIBIT 99.2
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
HIGHLIGHTS | ||||||||||||||||
(Unaudited - in millions, except per share amounts) | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
REPORTED EARNINGS: | ||||||||||||||||
Utility Group | ||||||||||||||||
Gas Utility Services | $ | 23.9 | $ | 23.1 | $ | 64.4 | $ | 57.0 | ||||||||
Electric Utility Services | 15.6 | 13.8 | 82.6 | 79.7 | ||||||||||||
Other Operations | 7.1 | 2.9 | 13.9 | 11.7 | ||||||||||||
Total Utility Group | 46.6 | 39.8 | 160.9 | 148.4 | ||||||||||||
Nonutility Group | ||||||||||||||||
Infrastructure Services | 10.1 | 15.5 | 29.7 | 43.1 | ||||||||||||
Energy Services | 7.7 | 1.5 | 7.3 | (3.2 | ) | |||||||||||
Other Businesses | 0.3 | (0.4 | ) | (0.7 | ) | (0.8 | ) | |||||||||
Nonutility Group * | 18.1 | 16.6 | 36.3 | 39.1 | ||||||||||||
Corporate and Other | 0.5 | (0.2 | ) | 0.1 | 0.5 | |||||||||||
Vectren Consolidated * | $ | 65.2 | $ | 56.2 | $ | 197.3 | $ | 188.0 | ||||||||
Coal Mining | — | 0.3 | — | (21.1 | ) | |||||||||||
Vectren Consolidated | $ | 65.2 | $ | 56.5 | $ | 197.3 | $ | 166.9 | ||||||||
EARNINGS PER SHARE: | ||||||||||||||||
Utility Group | $ | 0.56 | $ | 0.48 | $ | 1.95 | $ | 1.80 | ||||||||
Nonutility Group * | 0.22 | 0.20 | 0.44 | 0.47 | ||||||||||||
Corporate and Other | 0.01 | — | — | 0.01 | ||||||||||||
EPS * | $ | 0.79 | $ | 0.68 | $ | 2.39 | $ | 2.28 | ||||||||
Coal Mining | — | — | — | (0.26 | ) | |||||||||||
Reported EPS | $ | 0.79 | $ | 0.68 | $ | 2.39 | $ | 2.02 | ||||||||
* Excludes Coal Mining Results in 2014 - Year of Disposition | ||||||||||||||||
EXHIBIT 99.2
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
SELECTED GAS DISTRIBUTION | ||||||||||||||||
OPERATING STATISTICS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
GAS UTILITY (Millions): | ||||||||||||||||
Residential Margin | $ | 80.9 | $ | 76.9 | $ | 282.4 | $ | 270.4 | ||||||||
Commercial Margin | 22.5 | 22.2 | 78.4 | 77.0 | ||||||||||||
Industrial Margin | 16.1 | 16.6 | 61.4 | 59.3 | ||||||||||||
Other Margin | 1.9 | 2.4 | 9.3 | 11.1 | ||||||||||||
Regulatory Expense Recovery Mechanisms | 11.5 | 20.1 | 55.7 | 58.1 | ||||||||||||
Total Gas Utility Margin | 132.9 | 138.2 | 487.2 | 475.9 | ||||||||||||
Cost of Gas Sold | 69.6 | 125.3 | 305.4 | 468.7 | ||||||||||||
Total Gas Utility Revenue | $ | 202.5 | $ | 263.5 | $ | 792.6 | $ | 944.6 | ||||||||
GAS SOLD & TRANSPORTED (MMDth): | ||||||||||||||||
Residential | 18.2 | 26.4 | 72.0 | 84.1 | ||||||||||||
Commercial | 7.5 | 11.9 | 32.9 | 38.5 | ||||||||||||
Industrial | 32.7 | 33.4 | 125.3 | 116.6 | ||||||||||||
58.4 | 71.7 | 230.2 | 239.2 | |||||||||||||
AVERAGE GAS CUSTOMERS | ||||||||||||||||
Residential | 920,175 | 914,271 | 918,407 | 911,965 | ||||||||||||
Commercial | 84,617 | 84,608 | 84,704 | 84,559 | ||||||||||||
Industrial | 1,721 | 1,679 | 1,703 | 1,667 | ||||||||||||
1,006,513 | 1,000,558 | 1,004,814 | 998,191 | |||||||||||||
WEATHER AS A PERCENT OF NORMAL (ANNUALIZED): | ||||||||||||||||
Heating Degree Days (Ohio) | 89 | % | 101 | % | 95 | % | 110 | % | ||||||||
EXHIBIT 99.2
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
SELECTED ELECTRIC | ||||||||||||||||
OPERATING STATISTICS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
ELECTRIC UTILITY (Millions): | ||||||||||||||||
Residential Margin | $ | 30.0 | $ | 32.9 | $ | 151.3 | $ | 153.3 | ||||||||
Commercial Margin | 25.2 | 26.2 | 107.3 | 107.5 | ||||||||||||
Industrial Margin | 26.8 | 27.6 | 109.7 | 111.2 | ||||||||||||
Other Margin | 2.2 | 2.6 | 4.5 | 5.5 | ||||||||||||
Regulatory Expense Recovery Mechanisms | 1.4 | 2.3 | 9.6 | 11.6 | ||||||||||||
Wholesale and Transmission | 7.3 | 5.9 | 31.7 | 33.9 | ||||||||||||
Total Electric Utility Margin | 92.9 | 97.5 | 414.1 | 423.0 | ||||||||||||
Cost of Fuel & Purchased Power | 42.6 | 46.4 | 187.5 | 201.8 | ||||||||||||
Total Electric Utility Revenue | $ | 135.5 | $ | 143.9 | $ | 601.6 | $ | 624.8 | ||||||||
ELECTRICITY SOLD (GWh): | ||||||||||||||||
Residential | 266.5 | 308.4 | 1,407.5 | 1,455.3 | ||||||||||||
Commercial | 300.4 | 317.4 | 1,306.9 | 1,307.0 | ||||||||||||
Industrial | 676.1 | 703.0 | 2,721.5 | 2,804.6 | ||||||||||||
Other Sales - Street Lighting | 6.3 | 6.4 | 22.2 | 22.6 | ||||||||||||
Total Retail | 1,249.3 | 1,335.2 | 5,458.1 | 5,589.5 | ||||||||||||
Wholesale | 14.5 | 64.2 | 337.8 | 651.1 | ||||||||||||
1,263.8 | 1,399.4 | 5,795.9 | 6,240.6 | |||||||||||||
AVERAGE ELECTRIC CUSTOMERS | ||||||||||||||||
Residential | 125,141 | 124,409 | 124,986 | 124,301 | ||||||||||||
Commercial | 18,488 | 18,491 | 18,471 | 18,454 | ||||||||||||
Industrial | 113 | 114 | 113 | 113 | ||||||||||||
Other | 39 | 37 | 38 | 37 | ||||||||||||
143,781 | 143,051 | 143,608 | 142,905 | |||||||||||||
WEATHER AS A PERCENT OF NORMAL (ANNUALIZED): | ||||||||||||||||
Cooling Degree Days (Indiana) | 101 | % | 100 | % | 111 | % | 104 | % | ||||||||
Heating Degree Days (Indiana) | 87 | % | 101 | % | 88 | % | 107 | % | ||||||||