UIL Holdings Corporation (NYSE: UIL) today reported consolidated net income of $12.0 million, or $0.23 per diluted share for the second quarter of 2012, compared to $14.2 million or $0.28 per diluted share for the same period in 2011. For the first six months of 2012, UIL’s consolidated net income was $59.0 million, or $1.16 per diluted share, compared to $66.2 million, or $1.30 per diluted share for the same period in 2011.
“We experienced the warmest winter on record and those warm temperatures continued into spring. The warm temperatures significantly impacted the financial results of our gas business,” said James P. Torgerson, UIL’s president and chief executive officer. “We have been able to mitigate some of the weather’s impact by maintaining our focus on short-term O&M cost controls. We also continue to execute on our growth strategy of converting businesses and households in our service territory to natural gas heat. Year-to-date 2012 conversions are 46% ahead of 2011 levels and we currently are on target to meet our 2012 goal.”
Electric distribution, CTA & other
Earnings from the electric distribution business for the second quarter in 2012 were $10.9 million, or $0.21 per diluted share, compared to $11.1 million, or $0.22 per diluted share, for the same period in 2011. The decrease in earnings for the quarter was primarily attributable to a decrease in allowance for funds used during construction (AFUDC), partially offset by increased income from UI’s equity investment in GenConn.
For the first six months of 2012, the electric distribution business had total earnings of $25.1 million, or $0.49 per diluted share, compared to $21.8 million, or $0.43 per diluted share, for the same period in 2011. The increase in earnings for the first six months was primarily attributable to increased income from UI’s equity investment in GenConn.