PNM Resources (NYSE: PNM) today reported unaudited 2012 second quarter consolidated GAAP earnings of $21.5 million, or $0.27 per diluted share, compared with $4.1 million, or $0.04 per diluted share, during the same period in 2011.
Quarterly unaudited, consolidated ongoing earnings were $26.5 million, or $0.33 per diluted share, compared with 2011 ongoing earnings of $18.2 million, or $0.20 per diluted share. Reconciliations of 2012 and 2011 GAAP to ongoing earnings are included in schedules 1-4.
“PNM continues to see benefits from the alignment of its cost structure with the retail rates that went in to effect last August, as well as the warm June weather in New Mexico,” said Pat Vincent-Collawn, PNM Resources chairman, president and CEO. “PNM is also making progress on several regulatory fronts, where we are pursuing appropriate recovery of our FERC transmission and wholesale contracts as well as recovery of our renewable investments. In Texas, TNMP benefitted from strong retail load growth partially offset by a cooler start to the summer.”
Financial materials are available at
For the first six months of 2012, PNM Resources reported unaudited consolidated GAAP earnings of $38.6 million, or $0.48 per diluted share, compared with $20.7 million, or $0.22 per diluted share, in 2011. Unaudited, consolidated ongoing earnings for the first half of 2012 were $40.0 million, or $0.50 per diluted share, compared with 2011 earnings of $22.0 million, or $0.24 per diluted share.
SEGMENT REPORTING OF 2012 SECOND QUARTER EARNINGS
a vertically integrated electric utility in New Mexico with distribution, transmission and generation assets.
an electric transmission and distribution utility in Texas.
- PNM reported ongoing earnings of $21.6 million, or $0.27 per diluted share, compared with $12.5 million, or $0.14 per diluted share, in 2011. GAAP earnings were $16.8 million, or $0.21 per diluted share, compared with losses of $1.5 million, or $0.02 per diluted share.
- Higher retail rates, increased usage as a result of warmer June weather, and lower outage costs improved earnings. PNM Resources’ repurchase of outstanding equity securities in late 2011 also improved earnings per diluted share. Lower sales prices associated with the Palo Verde Nuclear Generating Station unit 3, increased interest expense and lower realized gains associated with the Palo Verde Nuclear Decommissioning Trust negatively affected performance.
Corporate and Other
– a segment that reflects costs at the PNM Resources holding company, mainly comprised of interest expense related to debt.
- TNMP reported ongoing earnings of $8.1 million, or $0.10 per diluted share, compared with $6.9 million, or $0.08 per diluted share, in 2011. GAAP earnings were $8.0 million, or $0.10 per diluted share, compared with $4.1 million, or $0.04 per diluted share, in 2011.
- Seven percent load growth was partially offset by cooler weather. PNM Resources’ purchase of outstanding equity securities in late 2011 improved ongoing earnings per diluted share.
2012 GUIDANCE RANGE AFFIRMED
- Corporate/Other reported ongoing and GAAP losses of $3.3 million, or $0.04 per diluted share, compared with 2011 ongoing losses of $4.5 million, or $0.05, and GAAP losses of $5.2 million, or $0.06 per diluted share.
- The repurchase of long-term debt in late 2011 decreased interest expense and improved performance.
PNM Resources today affirmed its 2012 financial outlook. Management continues to expect 2012 consolidated ongoing earnings to be in the middle of the range of $1.20 to $1.32 per diluted share.