“We continued to deliver on our commitments to stakeholders with strong operational and financial performance in the first quarter,” said
Electric GAAP Gross Margin was
Electric Adjusted Gross Margin (a non-GAAP financial measure1) was
Gas GAAP Gross Margin was
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1 The accompanying Supplemental Information more fully describes the non-GAAP financial measures used in this press release and includes a reconciliation of the non-GAAP financial measures to the financial measures that the Company’s management believes are the most comparable GAAP financial measures. The Supplemental Information also includes a discussion of the changes in the most comparable GAAP financial measures for the periods presented.
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Gas Adjusted Gross Margin (a non-GAAP financial measure1) was
Operation and Maintenance expenses increased
Depreciation and Amortization expense increased
Taxes Other Than Income Taxes increased
Other Expense (Income), Net increased
Interest Expense, Net increased
Federal and State Income Taxes increased
At its
The Company’s earnings are seasonal and are typically higher in the first and fourth quarters when customers use natural gas for heating purposes.
The Company will hold a quarterly conference call to discuss first quarter 2024 results on
About
Forward-Looking Statements
This press release may contain forward-looking statements. All statements, other than statements of historical fact, included in this press release are forward-looking statements. Forward-looking statements include declarations regarding Unitil’s beliefs and current expectations. These forward-looking statements are subject to the inherent risks and uncertainties in predicting future results and conditions that could cause the actual results to differ materially from those projected in these forward-looking statements. Some, but not all, of the risks and uncertainties include the following: Unitil’s regulatory environment (including regulations relating to climate change, greenhouse gas emissions and other environmental matters); fluctuations in the supply of, the demand for, and the prices of, energy commodities and transmission and transportation capacity and Unitil’s ability to recover energy commodity costs in its rates; customers’ preferred energy sources; severe storms and Unitil’s ability to recover storm costs in its rates; general economic conditions; variations in weather; long-term global climate change; unforeseen or changing circumstances, which could adversely affect the reduction of company-wide direct greenhouse gas emissions; Unitil’s ability to retain its existing customers and attract new customers; increased competition; and other risks detailed in Unitil's filings with the
For more information please contact: | |
Alec O’Meara – External Affairs | |
Phone: 603-773-6466 | Phone: 603-773-6404 |
Email: gouldingc@unitil.com | Email: omeara@unitil.com |
Supplemental Information; Non-GAAP Financial Measures
The Company analyzes operating results using Electric and Gas Adjusted Gross Margins, which are non-GAAP financial measures. Electric Adjusted Gross Margin is calculated as Total Electric Operating Revenue less Cost of Electric Sales. Gas Adjusted Gross Margin is calculated as Total Gas Operating Revenues less Cost of Gas Sales. The Company’s management believes Electric and Gas Adjusted Gross Margins provide useful information to investors regarding profitability. Also, the Company’s management believes Electric and Gas Adjusted Gross Margins are important measures to analyze revenue from the Company’s ongoing operations because the approved cost of electric and gas sales are tracked, reconciled and passed through directly to customers in electric and gas tariff rates, resulting in an equal and offsetting amount reflected in
In the following tables the Company has reconciled Electric and Gas Adjusted Gross Margin to GAAP Gross Margin, which we believe to be the most comparable GAAP financial measure. GAAP Gross Margin is calculated as Revenue less Cost of Sales, and Depreciation and Amortization. The Company calculates Electric and Gas Adjusted Gross Margin as Revenue less Cost of Sales. The Company believes excluding Depreciation and Amortization, which are period costs and not related to volumetric sales, is a meaningful measure to inform investors of the Company’s profitability from electric and gas sales in the period.
Three Months Ended | |||||||||||||||
Electric | Gas | Other | Total | ||||||||||||
Total Operating Revenue | $ | 73.6 | $ | 105.1 | $ | --- | $ | 178.7 | |||||||
Less: Cost of Sales | (46.5 | ) | (44.1 | ) | --- | (90.6 | ) | ||||||||
Less: Depreciation and Amortization | (7.0 | ) | (10.8 | ) | (0.2 | ) | (18.0 | ) | |||||||
GAAP Gross Margin | 20.1 | 50.2 | (0.2 | ) | 70.1 | ||||||||||
Depreciation and Amortization | 7.0 | 10.8 | 0.2 | 18.0 | |||||||||||
Adjusted Gross Margin | $ | 27.1 | $ | 61.0 | $ | --- | $ | 88.1 |
Three Months Ended | |||||||||||||||
Electric | Gas | Other | Total | ||||||||||||
Total Operating Revenue | $ | 108.2 | $ | 112.0 | $ | --- | $ | 220.2 | |||||||
Less: Cost of Sales | (81.5 | ) | (57.1 | ) | --- | (138.6 | ) | ||||||||
Less: Depreciation and Amortization | (6.4 | ) | (10.1 | ) | (0.2 | ) | (16.7 | ) | |||||||
GAAP Gross Margin | 20.3 | 44.8 | (0.2 | ) | 64.9 | ||||||||||
Depreciation and Amortization | 6.4 | 10.1 | 0.2 | 16.7 | |||||||||||
Adjusted Gross Margin | $ | 26.7 | $ | 54.9 | $ | --- | $ | 81.6 | |||||||
Selected financial data for 2024 and 2023 is presented in the following table:
(Millions, except Per Share data) (Unaudited) | |||||||||||||
Three Months Ended | |||||||||||||
2024 | 2023 | Change | |||||||||||
Electric kWh Sales: | |||||||||||||
Residential | 179.9 | 181.3 | (0.8 | %) | |||||||||
Commercial/Industrial | 230.0 | 228.5 | 0.7 | % | |||||||||
409.9 | 409.8 | --- | |||||||||||
Gas Therm Sales: | |||||||||||||
Residential | 21.2 | 21.9 | (3.2 | %) | |||||||||
Commercial/Industrial | 68.5 | 69.4 | (1.3 | %) | |||||||||
Total Gas Therm Sales | 89.7 | 91.3 | (1.8 | %) | |||||||||
Electric Revenues | $ | 73.6 | $ | 108.2 | $ | (34.6 | ) | ||||||
Cost of Electric Sales | 46.5 | 81.5 | (35.0 | ) | |||||||||
Electric Adjusted Gross Margin (a non-GAAP financial measure1): | 27.1 | 26.7 | 0.4 | ||||||||||
Gas Revenues | 105.1 | 112.0 | (6.9 | ) | |||||||||
Cost of Gas Sales | 44.1 | 57.1 | (13.0 | ) | |||||||||
Gas Adjusted Gross Margin (a non-GAAP financial measure1): | 61.0 | 54.9 | 6.1 | ||||||||||
Total Adjusted Gross Margin: (a non-GAAP financial measure1): | 88.1 | 81.6 | 6.5 | ||||||||||
Operation & Maintenance Expenses | 18.2 | 18.1 | 0.1 | ||||||||||
Depreciation & Amortization | 18.0 | 16.7 | 1.3 | ||||||||||
Taxes Other Than Income Taxes | 7.7 | 7.3 | 0.4 | ||||||||||
Other Expense (Income), Net | 0.3 | --- | 0.3 | ||||||||||
Interest Expense, Net | 7.3 | 7.1 | 0.2 | ||||||||||
Income Before Income Taxes | 36.6 | 32.4 | 4.2 | ||||||||||
Provision for Income Taxes | 9.4 | 8.3 | 1.1 | ||||||||||
Net Income | $ | 27.2 | $ | 24.1 | $ | 3.1 | |||||||
Earnings Per Share | $ | 1.69 | $ | 1.51 | $ | 0.18 | |||||||
Source:
2024 GlobeNewswire, Inc., source