This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

NV Energy' CEO Discusses Q2 2012 Results - Earnings Call Transcript

Jonathan Halkyard

Thanks very much, Michael and good morning everyone. I look forward to meeting and working with all of you. And I’m very pleased to say, in my first report to you, that we had strong financial results in the second of 2012. NV Energy earned $0.29 per diluted share in the three months ended June 30, compared to $0.05 per share for the same period a year ago. If you look at slide three, you’ll see the growth in earnings was largely due to growth in gross margins driven by warmer weather and a general rate increase.

The rate decision is the one we’ve discussed previously, which became effective January 1. It benefited second quarter earnings by $0.10 per share compared to the same period last year. We estimate that favorable weather increased second quarter EPS by approximately $0.11 compared to last year, as this year temperatures were higher than normal during the quarter, and last year temperatures were milder than normal. Specifically, the unusually high temperatures this year increased EPS by approximately $0.07 compared to normal, while weather during last year’s second hurt EPS by about $0.04 compared to normal.

Cooling-degree days in southern Nevada in the second of 2012 were 23% higher than normal and 44% higher than last year. We’ve summarized these weather statistics on slides four and five. Retail mega watt hour sales increased nearly 11% reflecting both favorable weather and a 1.2% increase in the number of customer accounts. We’ve now seen nine consecutive quarters of growth in our customer base, albeit slow in comparison to the period prior to 2007.

Turning items below the gross margin line, higher depreciation and lower AFUDC reduced second quarter earnings by $0.02 and $0.01 per share respectively compared to the same period a year ago. Both of those factors were due primarily to the Harry Allen plant which began operating in May of last year.

As you likely know, the costs and returns associated with Harry Allen were a key component of the rate decision I just mentioned. We held operating and maintenance expenses flat in the second despite increased costs from Harry Allen.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,090.18 +52.21 0.29%
S&P 500 2,110.93 +2.01 0.10%
NASDAQ 5,058.6310 -1.6150 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs