WESTAR ENERGY INC /KS - FORM 8-K - EX-99.1 - EXHIBIT 99.1 - October 31, 2017

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Exhibit 99.1

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Westar Energy announces 3rd quarter 2017 results.
TOPEKA, Kan., Oct. 31, 2017 - Westar Energy, Inc. (NYSE:WR) today announced earnings of $158 million, or $1.11 per share, for the third quarter 2017 compared with earnings of $155 million, or $1.09 per share, for the third quarter 2016. Earnings for the nine months ended Sept. 30, 2017 were $290 million, or $2.03 per share, compared with $293 million, or $2.06 per share, for the same period in 2016.

Higher earnings per share for the third quarter were driven by lower income tax expense. Partially offsetting the lower income tax expense were lower residential and commercial sales due primarily to mild weather, a decrease in corporate-owned life insurance income, and an increase in depreciation related to Western Plains Wind Farm.
    
Lower earnings per share for the nine months ended Sept. 30, 2017 were driven by the effect of mild weather resulting in lower residential and commercial sales. Also contributing to lower earnings was a decrease in corporate-owned life insurance income and increased depreciation due to Western Plains Wind Farm. Partially offsetting lower sales was lower income tax expense.
 
Conference Call and Additional Company Information

Westar Energy management will host a conference call Wednesday, Nov. 1 with the
investment community at 10:00 a.m. ET (9:00 a.m. CT). Investors, media and the public may
listen to the conference call by dialing (844) 646-4526, conference ID 96033428. A webcast of the live conference call will be available at www.WestarEnergy.com.

Members of the media are invited to listen to the conference call and then contact Gina
Penzig with any follow-up questions.

This earnings announcement, a package of detailed third-quarter financial information, the company’s quarterly report on Form 10-Q for the period ended Sept. 30, 2017 and other filings the company has made with the Securities and Exchange Commission are available on the company’s website at www.WestarEnergy.com.
- 30 -

As Kansas’ largest electric utility, Westar Energy, Inc. (NYSE:WR) provides customers the safe, reliable electricity
needed to power their businesses and homes. We have 7,800 MW of electric generation capacity that includes renewables and
traditional power sources with half the electricity supplied to our more than 700,000 customers from emissions free sources:
nuclear, wind and solar, with a third coming from renewables. We are a leader in electric transmission in Kansas coordinating a
network of lines and substations that supports one of the largest consolidations of wind energy in the nation. Our employees live,
volunteer and work in the communities we serve.

For more information about Westar Energy, visit us on the Internet at http://www.WestarEnergy.com.

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WESTAR ENERGY NEWS RELEASE    Page 1 of 3
Westar Energy announces 3rd quarter results


Forward-looking statements: Certain matters discussed in this news release are “forward-looking statements.” The Private Securities Litigation Reform Act of 1995 has established that these statements qualify for safe harbors from liability. Forward-looking statements may include words like “believe,” “anticipate,” “target,” “expect,” “pro forma,” “estimate,” “intend,” “guidance” or words of similar meaning. Forward-looking statements describe future plans, objectives, expectations or goals. Although Westar Energy believes that its expectations are based on reasonable assumptions, all forward-looking statements involve risk and uncertainty. The factors that could cause actual results to differ materially from these forward-looking statements include those discussed herein as well as (1) those discussed in the company’s Annual Report on Form 10-K for the year ended Dec. 31, 2016 (a) under the heading, “Forward-Looking Statements,” (b) in ITEM 1. Business, (c) in ITEM 1A. Risk Factors, (d) in ITEM 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations, and (e) in ITEM 8. Financial Statements and Supplementary Data: Notes 3, 14 and 16; (2) those discussed in the company’s Quarterly Reports on Form 10-Q filed on May 9, 2017, Aug. 8, 2017 and Oct. 31, 2017, (a) under the heading “Forward-Looking Statements.” (b) in ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations, (c) in Part I, Financial Information, ITEM 1. Financial Statements: Notes 3, 11, 12 (in the Form 10-Q filed on May 9, 2017), and 13 (in the Form 10-Q filed on Aug. 8, 2017 and Oct. 31, 2017), and (d) ITEM 1A. Risk Factors; and (3) other factors discussed in the company’s filings with the Securities and Exchange Commission. Any forward-looking statement speaks only as of the date such statement was made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement was made.


Media Contact:
Gina Penzig
Media Relations Manager
Phone: 785-575-8089
Gina.Penzig@westarenergy.com
Media line: 888-613-0003

Investor Contact:
Cody VandeVelde
Director, Investor Relations
Phone: 785-575-8227
Cody.VandeVelde@westarenergy.com


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WESTAR ENERGY NEWS RELEASE    Page 2 of 3
Westar Energy announces 3rd quarter results

Westar Energy, Inc.
Condensed Consolidated Statements of Income
(Unaudited)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2017
 
2016
 
Change
 
% Change
 
2017
 
2016
 
Change
 
% Change
 
(Dollars In Thousands, Except Per Share Amounts)
REVENUES:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Residential
$
278,138

 
$
282,272

 
$
(4,134
)
 
(1.5
)
 
$
642,449

 
$
664,400

 
$
(21,951
)
 
(3.3
)
Commercial
219,414

 
218,377

 
1,037

 
0.5

 
557,232

 
572,247

 
(15,015
)
 
(2.6
)
Industrial
117,721

 
106,021

 
11,700

 
11.0

 
324,227

 
314,723

 
9,504

 
3.0

Other retail
149

 
7,883

 
(7,734
)
 
(98.1
)
 
(22,293
)
 
(23,002
)
 
709

 
3.1

Total Retail Revenues
615,422

 
614,553

 
869

 
0.1

 
1,501,615

 
1,528,368

 
(26,753
)
 
(1.8
)
Wholesale
102,113

 
86,421

 
15,692

 
18.2

 
242,524

 
220,520

 
22,004

 
10.0

Transmission
69,504

 
58,462

 
11,042

 
18.9

 
209,097

 
188,996

 
20,101

 
10.6

Other
7,288

 
5,218

 
2,070

 
39.7

 
22,986

 
17,668

 
5,318

 
30.1

Total Revenues
794,327

 
764,654

 
29,673

 
3.9

 
1,976,222

 
1,955,552

 
20,670

 
1.1

OPERATING EXPENSES:
 
 
 
 
 
 
 
 
 
 
 
 
 
 


Fuel and purchased power
189,804

 
155,673

 
34,131

 
21.9

 
415,449

 
374,361

 
41,088

 
11.0

SPP network transmission costs
62,578

 
57,939

 
4,639

 
8.0

 
185,015

 
173,925

 
11,090

 
6.4

Operating and maintenance
79,856

 
86,758

 
(6,902
)
 
(8.0
)
 
248,211

 
250,135

 
(1,924
)
 
(0.8
)
Depreciation and amortization
94,668

 
84,972

 
9,696

 
11.4

 
277,322

 
252,838

 
24,484

 
9.7

Selling, general and administrative
65,630

 
60,582

 
5,048

 
8.3

 
182,367

 
192,762

 
(10,395
)
 
(5.4
)
Taxes other than income tax
41,815

 
48,154

 
(6,339
)
 
(13.2
)
 
126,421

 
145,529

 
(19,108
)
 
(13.1
)
Total Operating Expenses
534,351

 
494,078

 
40,273

 
8.2

 
1,434,785

 
1,389,550

 
45,235

 
3.3

INCOME FROM OPERATIONS
259,976

 
270,576

 
(10,600
)
 
(3.9
)
 
541,437

 
566,002

 
(24,565
)
 
(4.3
)
OTHER INCOME (EXPENSE):
 
 
 
 
 
 
 
 
 
 
 
 
 
 


Investment earnings
2,593

 
2,619

 
(26
)
 
(1.0
)
 
8,384

 
6,916

 
1,468

 
21.2

Other income
3,849

 
13,353

 
(9,504
)
 
(71.2
)
 
5,672

 
26,212

 
(20,540
)
 
(78.4
)
Other expense
(6,493
)
 
(5,887
)
 
(606
)
 
(10.3
)
 
(14,457
)
 
(14,338
)
 
(119
)
 
(0.8
)
Total Other (Expense) Income
(51
)
 
10,085

 
(10,136
)
 
(100.5
)
 
(401
)
 
18,790

 
(19,191
)
 
(102.1
)
Interest expense
43,458

 
40,897

 
2,561

 
6.3

 
128,232

 
121,011

 
7,221

 
6.0

INCOME BEFORE INCOME TAXES
216,467

 
239,764

 
(23,297
)
 
(9.7
)
 
412,804

 
463,781

 
(50,977
)
 
(11.0
)
Income tax expense
55,743

 
81,211

 
(25,468
)
 
(31.4
)
 
112,559

 
160,376

 
(47,817
)
 
(29.8
)
NET INCOME
160,724

 
158,553

 
2,171

 
1.4

 
300,245

 
303,405

 
(3,160
)
 
(1.0
)
Less: Net income attributable to noncontrolling interests
2,418

 
3,833

 
(1,415
)
 
(36.9
)
 
10,213

 
10,760

 
(547
)
 
(5.1
)
NET INCOME ATTRIBUTABLE TO WESTAR ENERGY, INC.
$
158,306

 
$
154,720

 
$
3,586

 
2.3

 
$
290,032

 
$
292,645

 
$
(2,613
)
 
(0.9
)
BASIC AND DILUTED EARNINGS PER AVERAGE COMMON SHARE OUTSTANDING ATTRIBUTABLE TO WESTAR ENERGY, INC. (See 10-Q Note 2):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Basic earnings per common share
$
1.11

 
$
1.09

 
$
0.02

 
1.8

 
$
2.03

 
$
2.06

 
$
(0.03
)
 
(1.5
)
Diluted earnings per common share
$
1.11

 
$
1.08

 
$
0.03

 
2.8

 
$
2.03

 
$
2.05

 
$
(0.02
)
 
(1.0
)
AVERAGE EQUIVALENT COMMON SHARES OUTSTANDING (in thousands):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Basic
142,473

 
142,091

 
382

 
0.3

 
142,459

 
142,039

 
420

 
0.3

Diluted
142,516

 
142,578

 
(62
)
 
—

 
142,496

 
142,413

 
83

 
0.1

DIVIDENDS DECLARED PER COMMON SHARE
$
0.40

 
$
0.38

 
$
0.02

 
5.3

 
$
1.20

 
$
1.14

 
$
0.06

 
5.3

Effective income tax rate
26
%
 
34
%
 
 
 
 
 
27
%
 
35
%
 
 
 
 

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WESTAR ENERGY NEWS RELEASE    Page 3 of 3

WESTAR ENERGY INC /KS Reports