- 3Q ’18 consolidated U.S. GAAP net income of $125 million, or $0.40
per share; consolidated non-U.S. GAAP adjusted net income of $139
million, or $0.45 per share
- 970 MW of wind projects currently under construction
- Reaffirms 2018 consolidated earnings per share outlook of
$2.16-$2.46 on a U.S. GAAP basis and $2.22-$2.50 on a non-U.S. GAAP
adjusted basis; guiding to the lower part of the 2018 consolidated
earnings per share range
Company Website:
http://www.avangrid.com
ORANGE, Conn. -- (Business Wire)
Today AVANGRID, Inc. (NYSE: AGR) reported consolidated U.S. GAAP net
income of $125 million, or $0.40 per share, for the third quarter ended
September 30, 2018, compared to $99 million, or $0.32 per share, for the
same period in 2017. For the first nine months of 2018, consolidated net
income was $476 million, or $1.54 per share, compared to $458 million,
or $1.48 per share, for the first nine months of 2017.
Excluding the Gas Storage and Trading businesses and certain losses
related to its sale, restructuring charges, Tax Act-related adjustments,
mark-to-market adjustments, and other adjustments in Renewables,
non-U.S. GAAP consolidated adjusted net income was $139 million, or
$0.45 per share, for the quarter ended September 30, 2018, compared to
$125 million, or $0.40 per share, for the same period in 2017. For the
first nine months of 2018, non-U.S. GAAP consolidated adjusted net
income was $511 million, or $1.65 per share, compared to $494 million,
or $1.60 per share, in 2017.
“AVANGRID had solid results for the quarter mainly driven by increased
gross margin at our Renewables business and the implementation of rate
plans at our Networks businesses,” commented James P. Torgerson, chief
executive officer of AVANGRID. “We experienced some earnings setbacks
earlier this year; however, they have not derailed us from executing on
our long-term plan to achieve 8-10% earnings CAGR through 2020 and 2022.
In the Renewables business, our pipeline is strong and growing and we
have been successful in contracting new PPAs. To date, we have secured
over 1.8 GW of wind and solar projects, nearly two-thirds of our 2022
target, of which 970 MWs are currently under construction and expect to
be operational in 2019. In our Networks business, we continue to invest
in our electric and gas distribution infrastructure, modernizing and
hardening the grid for the future.”
“The major projects outside of the long-term plan are advancing as
well,” noted Torgerson. “Vineyard Wind, our 800 MW offshore wind farm,
in joint-venture with Copenhagen Infrastructure Partners, executed
20-year contracts with the MA DPU in August and the FERC accepted
NECEC’s transmission service agreements ahead of schedule and we are
another step closer to achieving the project’s Certificate of Public
Convenience and Necessity in Maine. Both Vineyard Wind and NECEC are on
track, and we expect all permits and final approvals in 2019.”
Net income and earnings per share for the third quarter and first nine
months of 2018 and 2017 on a U.S. GAAP basis and a non-U.S. GAAP
adjusted basis are set forth below:
| GAAP Net Income (Loss) - $M |
| Three months ended September 30, |
| Nine months ended September 30, |
|
| 2018 |
|
|
| 2017 |
|
| '18 vs '17 | |
| 2018 |
|
|
| 2017 |
|
| '18 vs '17 |
| | | | | | | | | | |
|
Networks
|
$
|
96
| | |
$
|
104
| | |
$
|
(8
|
)
| |
$
|
375
| | |
$
|
372
| | |
$
|
3
| |
Renewables
| |
20
| | | |
15
| | | |
5
| | | |
141
| | | |
115
| | | |
25
| |
Corporate
| |
10
| | | |
1
| | | |
9
| | | |
(20
|
)
| | |
6
| | | |
(26
|
)
|
Gas Storage
|
|
(1
|
)
| |
|
(21
|
)
| |
|
21
|
| |
|
(20
|
)
| |
|
(35
|
)
| |
|
16
|
|
Net Income | $ | 125 |
| | $ | 99 |
| | $ | 26 |
| | $ | 476 |
| | $ | 458 |
| | $ | 18 |
|
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
| | | | | | | | | | |
|
| GAAP Earnings (Loss) Per Share |
| | | | | | | | | | |
|
| Three months ended September 30, | | Nine months ended September 30, |
|
| 2018 |
| |
| 2017 |
| | '18 vs '17 | |
| 2018 |
| |
| 2017 |
| | '18 vs '17 |
| | | | | | | | | | |
|
Networks
|
$
|
0.31
| | |
$
|
0.34
| | |
$
|
(0.03
|
)
| |
$
|
1.21
| | |
$
|
1.20
| | |
$
|
0.01
| |
Renewables
| |
0.06
| | | |
0.05
| | | |
0.01
| | | |
0.45
| | | |
0.37
| | | |
0.08
| |
Corporate
| |
0.03
| | | |
0.00
| | | |
0.03
| | | |
(0.06
|
)
| | |
0.02
| | | |
(0.08
|
)
|
Gas Storage
|
|
(0.00
|
)
| |
|
(0.07
|
)
| |
|
0.07
|
| |
|
(0.06
|
)
| |
|
(0.11
|
)
| |
|
0.05
|
|
Earnings Per Share | $ | 0.40 |
| | $ | 0.32 |
| | $ | 0.08 |
| | $ | 1.54 |
| | $ | 1.48 |
| | $ | 0.06 |
|
| | | | | | | | | | |
|
Weighted-avg # of Shares (M): | | 309.5 | | | | 309.5 | | | | | | 309.5 | | | | 309.5 | | | |
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
| | | | | | | | | | |
|
| Non-GAAP Adjusted Net Income (Loss) - $M |
| |
| |
| |
| |
| |
| |
| Three months ended September 30, | | Nine months ended September 30, |
| Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 | | Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 |
Networks
|
$
|
96
| |
$
|
106
| |
$
|
(9
|
)
| |
$
|
376
| | |
$
|
374
| |
$
|
2
| |
Renewables
| |
33
| | |
17
| | |
15
| | | |
147
| | | |
114
| | |
33
| |
Corporate
|
|
10
| |
|
1
| |
|
9
|
| |
|
(13
|
)
| |
|
6
| |
|
(19
|
)
|
Adjusted Net Income | $ | 139 | | $ | 125 | | $ | 14 |
| | $ | 511 |
| | $ | 494 | | $ | 16 |
|
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
| | | | | | | | | | |
|
| Non-GAAP Adjusted Earnings (Loss) Per Share |
| | | | | | | | | | |
|
| Three months ended September 30, | | Nine months ended September 30, |
| Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 | | Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 |
Networks
|
$
|
0.31
| |
$
|
0.34
| |
$
|
(0.03
|
)
| |
$
|
1.22
| | |
$
|
1.21
| |
$
|
0.01
| |
Renewables
| |
0.11
| | |
0.06
| | |
0.05
| | | |
0.48
| | | |
0.37
| | |
0.11
| |
Corporate
|
|
0.03
| |
|
0.00
| |
|
0.03
|
| |
|
(0.04
|
)
| |
|
0.02
| |
|
(0.06
|
)
|
Adjusted Earnings Per Share | $ | 0.45 | | $ | 0.40 | | $ | 0.05 |
| | $ | 1.65 |
| | $ | 1.60 | | $ | 0.05 |
|
| | | | | | | | | | |
|
Weighted-avg # of Shares (M): | | 309.5 | | | 309.5 | | | | | 309.5 | | | | 309.5 | | |
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
| | | | | | | | | | |
|
For additional information, see “Use of Non-U.S. GAAP Financial
Measures” and “Reconciliation of Non-U.S. GAAP Financial Measures” at
the end of the release.
The following results for AVANGRID’s business segments are reported in
U.S. GAAP.
Avangrid Networks
For the third quarter 2018, Avangrid Networks earned $96 million, or
$0.31 per share, compared to $104 million, or $0.34 per share, for the
same period in 2017. Earnings in the third quarter 2018 compared to 2017
benefited from the implementation of multi-year rate plans in New York
and Connecticut which were more than offset by lower capitalized labor,
increased depreciation expense and higher tax adjustments (partially
offset in Corporate).
Earnings for the first nine months of 2018 were $375 million, or $1.21
per share, compared to $372 million, or $1.20 per share, for the same
period in 2017. Earnings in the first nine months of 2018 compared to
2017 benefited primarily from the implementation of the multi-year rate
plans, partially offset by non-deferrable storm-related costs (minor
storms and related impacts).
Avangrid Renewables
For the third quarter 2018, Avangrid Renewables earned $20 million, or
$0.06 per share, compared to $15 million, or $0.05 per share, for the
same period in 2017. Earnings for the first nine months of 2018 were
$141 million, or $0.45 per share, compared to $115 million, or $0.37 per
share, for the same period in 2017. Earnings for the quarter and
year-to-date 2018 compared to 2017 benefited from increased wind
generation from existing and new capacity, income from the settlement of
a counterparty bankruptcy proceeding, recovery of bad debt and revenues
from a disputed contract and the sale of transmission rights. These
benefits were partially offset by the impact of transmission-related
issues at two new wind farms during the second quarter 2018 and expiring
production tax credits and increased intercompany interest expense
following project completions (offset in Corporate).
Corporate
For the third quarter 2018, Corporate earned net income of $10 million,
or $0.03 per share, compared to $1 million, or $0.00 per share, for the
same period in 2017. The improved results for the quarter compared to
2017 were primarily due to increased intercompany interest income and
favorable discrete and consolidating tax adjustments partially offset by
additional finance expenses associated with new long-term debt issued in
November 2017 and the elimination of intercompany interest income from
the Gas Storage Businesses in 2018.
For the first nine months of 2018, Corporate incurred a net loss of $20
million, or $0.06 per share, compared to net income of $6 million, or
$0.02 per share, in 2017. Earnings for the first nine months of 2018
compared to 2017 reflect additional finance expenses associated with new
long-term debt, the elimination of intercompany interest income from the
Gas Storage Businesses in 2018 and the consolidating rate adjustment
true-up to AVANGRID’s effective tax rate, which was partially offset by
intercompany interest income.
Gas Storage
The sales of the Gas Trading and Gas Storage businesses were completed
on March 1 and May 1, 2018, respectively. For the third quarter 2018,
Gas Storage incurred a net loss of $1 million, or $0.00 per share,
compared to a net loss of $21 million, or $0.07 per share, for the same
period in 2017. For the first nine months of 2018, Gas Storage incurred
a net loss of $20 million, or $0.06 per share, compared to net loss of
$35 million, or $0.11 per share, compared to the first nine months of
2017.
Outlook
AVANGRID reaffirms its U.S. GAAP consolidated earnings outlook for 2018
of $2.16-$2.46 per share and its adjusted non-U.S. GAAP consolidated
earnings outlook of $2.22-$2.50 per share, though AVANGRID is guiding to
the lower part of the range for 2018. While the consolidated U.S. GAAP
and non-U.S. GAAP earnings outlooks are unchanged, AVANGRID has revised
its earnings outlook for the following business segments:
-
The 2018 earnings outlook for the Networks business has been revised
to $1.68-$1.76 per share, compared to the previously reported outlook
of $1.78-$1.86 per share.
-
The 2018 earnings outlook for Corporate has been revised to
($0.06)-$0.04 per share, compared to the previously reported outlook
of ($0.15)-($0.05) per share.
Details of the earnings
components are as follows:
|
|
|
|
|
| Outlook - Estimated EPS |
| | | | | | |
|
| |
| |
| |
| |
| | | | | | | | | U.S. GAAP | | U.S. GAAP | | Non-U.S. GAAP Adjusted(1) | | Non-U.S. GAAP Adjusted(1) |
| | | | | | | | | As of July 24, 2018 | | As of October 23, 2018 | | As of July 24, 2018 | | As of October 23, 2018 |
| | | | | |
Networks
| | |
$1.78 - $1.86
| |
$1.68 - $1.76
| |
$1.78 - $1.86
| |
$1.68 - $1.76
|
| | | | | |
Renewables
| | |
$0.55 - $0.70
| |
$0.55 - $0.70
| |
$0.55 - $0.70
| |
$0.55 - $0.70
|
| | | | | |
Corporate
| | |
($0.15) - ($0.05)
| |
($0.06) - $0.04
| |
($0.15) - ($0.05)
| |
($0.06) - $0.04
|
| | | | | |
Gas Storage
| | |
($0.06) - ($0.03)
| |
($0.06) - ($0.03)
| |
N/A
| |
N/A
|
| | | | | | EPS | | | $2.16 - $2.46 | | $2.16 - $2.46 | | $2.22 - $2.50 | | $2.22 - $2.50 |
| | | | | | | | | | | | | | |
|
| | | | | | Amounts may not add due to rounding; Estimates are not expected
to be additive. | | |
| | | | | | Assumes approx. 309.5 million shares outstanding | | | | |
| | | | | | (1) Adjusted EPS excludes the Gas Storage
business. | | | | |
| | | | | | | | | |
|
Webcast
AVANGRID will webcast an audio-only financial presentation in
conjunction with releasing third quarter 2018 earnings tomorrow,
Wednesday, October 24th beginning at 10:00 A.M. Eastern time.
The webcast will feature a presentation from Avangrid’s CEO, James P.
Torgerson and other members of the executive team, and can be accessed
through the Investor Relations’ section of Avangrid’s website at www.avangrid.com.
About AVANGRID: AVANGRID, Inc. (NYSE: AGR) is a leading, sustainable
energy company with approximately $32 billion in assets and operations
in 24 U.S. states. AVANGRID has two primary lines of business: Avangrid
Networks and Avangrid Renewables. Avangrid Networks owns eight electric
and natural gas utilities, serving 3.2 million customers in New York and
New England. Avangrid Renewables owns and operates 7.1 gigawatts of
electricity capacity, primarily through wind power, with a presence in
22 states across the United States. AVANGRID employs approximately 6,500
people. AVANGRID supports the U.N.’s Sustainable Development Goals,
received a Climate Development Project climate score of “A-,” the top
score received in the utilities sector, and has been recognized for two
consecutive years by Ethical Boardroom as the North American utility
with the “best corporate governance practices.” For more information,
visit www.avangrid.com.
Forward Looking Statements
Forward Looking Statements: This news release contains a number of
forward-looking statements. Forward-looking statements may be identified
by the use of forward-looking terms such as “may,” “will,” “should,”
“can,” “expects,” “future,” “would,” “could,” “can,” “expect(s,)”
“believe(s),” “anticipate(s),” “intend(s),” “plan(s),” “estimate(s),”
“project(s),”“assume(s),” “guide(s),” “target(s),” “forecast(s),” “are
(is) confident that” and “seek(s)”“can,” “expects,” “believes,”
“anticipates,” “intends,” “plans,” “estimates,” “projects,” “assumes,”
“guides,” “targets,” “forecasts,” “is confident that” and “seeks” or the
negative of such terms or other variations on such terms or comparable
terminology. Such forward-looking statements include, but are not
limited to, statements about our plans, objectives and intentions,
outlooks or expectations for earnings, revenues, expenses or other
future financial or business performance, strategies or expectations, or
the impact of legal or regulatory matters on business, results of
operations or financial condition of the business and other statements
that are not historical facts. Such statements are based upon the
reasonable current beliefs, expectations, and assumptions of our
management and are subject to significant risks and uncertainties that
could cause actual outcomes and results to differ materially. Important
factors that could cause actual results to differ materially from those
indicated by such forward-looking statements include, without
limitation: our future financial performance, anticipated liquidity and
capital expenditures; actions or inactions of local, state or federal
regulatory agencies; success in retaining or recruiting our officers,
key employees or directors; changes in levels or timing of capital
expenditures; adverse developments in general market, business,
economic, labor, regulatory and political conditions; fluctuations in
weather patterns; technological developments; the impact of any
cyber-breaches, grid disturbances, acts of war or terrorism or natural
disasters; the impact of any change to applicable laws and regulations
affecting operations, including those relating to environmental and
climate change, taxes, price controls, regulatory approvals and
permitting; and other presently unknown or unforeseen factors.
Additional risks and uncertainties are set forth under the “Risk
Factors” in the AVANGRID, Inc. Annual Report on Form 10-K for the year
ended December 31, 2017, and the AVANGRID, Inc. Quarterly Report on Form
10-Q for the six months ended June 30, 2018, which are on file with the
Securities and Exchange Commission. Should one or more of these risks or
uncertainties materialize, or should any of the underlying assumptions
prove incorrect, actual results may vary in material respects from those
expressed or implied by these forward-looking statements. You should not
place undue reliance on these forward-looking statements. We do not
undertake any obligation to update or revise any forward-looking
statements to reflect events or circumstances after the date of this
press release, whether as a result of new information, future events or
otherwise, except as may be required under applicable securities laws.
Use of Non-U.S. GAAP Financial Measures
To supplement our consolidated financial statements presented in
accordance with U.S. GAAP, AVANGRID considers certain non-GAAP financial
measures that are not prepared in accordance with U.S. GAAP, including
adjusted net income and EPS. The non-GAAP financial measures we use are
specific to AVANGRID and the non-GAAP financial measures of other
companies may not be calculated in the same manner. We use these
non-GAAP financial measures, in addition to U.S. GAAP measures, to
establish operating budgets and operational goals to manage and monitor
our business, evaluate our operating and financial performance and to
compare such performance to prior periods and to the performance of our
competitors. We believe that presenting such non-GAAP financial measures
is useful because such measures can be used to analyze and compare
profitability between companies and industries because it eliminates the
impact of financing and certain non-cash charges as well as allow for an
evaluation of AVANGRID with a focus on the performance of its core
operations. In addition, we present non-GAAP financial measures because
we believe that they and other similar measures are widely used by
certain investors, securities analysts and other interested parties as
supplemental measures of performance.
We provide adjusted net income and adjusted earnings per share, which
are adjusted to reflect the effect of mark-to-market changes in the fair
value of derivative instruments used by AVANGRID to economically hedge
market price fluctuations in related underlying physical transactions
for the purchase and sale of electricity, adjustments for the non-core
Gas Storage business including certain losses related to its sale,
restructuring charges primarily associated with reorganizing to better
align our people resources with business demands and priorities as part
of the Forward 2020+ program, income from cash collateral released in
excess of outstanding receivables from a bankruptcy proceeding
authorization with a Renewables customer regarding two power purchase
agreements and impact from measurement of deferred income tax balances
as a result of the Tax Act enacted by the U.S. federal government on
December 22, 2017. We believe that presenting these non-GAAP financial
measures is useful in understanding and evaluating actual and projected
financial performance and contribution of AVANGRID core lines of
business and to more fully compare and explain our results. The most
directly comparable U.S. GAAP measure to adjusted net income is net
income. We also provide adjusted EPS, which is adjusted net income
converted to an earnings per share amount.
The use of non-GAAP financial measures is not intended to be
considered in isolation or as a substitute for, or superior to,
AVANGRID’s U.S. GAAP financial information, and investors are cautioned
that the non-GAAP financial measures are limited in their usefulness,
may be unique to AVANGRID, and should be considered only as a supplement
to AVANGRID’s U.S. GAAP financial measures. The non-GAAP financial
measures may not be comparable to other similarly titled measures of
other companies and have limitations as analytical tools. Non-GAAP
financial measures are not primary measurements of our performance under
U.S. GAAP and should not be considered as alternatives to operating
income, net income or any other performance measures determined in
accordance with U.S. GAAP.
|
|
Avangrid, Inc. |
Condensed Consolidated Statements of Income |
(In Millions except per share amounts) |
(Unaudited) |
| | |
| |
| |
| |
| | Three months ended | | Nine months ended |
| | September 30, | | September 30, |
($M) | |
| 2018 |
|
|
| 2017 |
| |
| 2018 |
|
|
| 2017 |
|
Operating Revenues | | $ | 1,546 |
|
| $ | 1,341 |
| | $ | 4,813 |
|
| $ | 4,430 |
|
Operating Expenses | | | | | | | | |
Purchased power, natural gas and fuel used
| | |
342
| | | |
250
| | | |
1,197
| | | |
957
| |
Loss from assets held for sale
| | |
1
| | | |
-
| | | |
16
| | | |
-
| |
Operations and maintenance
| | |
574
| | | |
531
| | | |
1,634
| | | |
1,546
| |
Depreciation and amortization
| | |
226
| | | |
205
| | | |
644
| | | |
608
| |
Taxes other than income taxes
| |
|
150
|
|
|
|
137
|
| |
|
444
|
|
|
|
422
|
|
Total Operating Expenses | |
| 1,293 |
|
|
| 1,123 |
| |
| 3,935 |
|
|
| 3,533 |
|
Operating Income | |
| 253 |
|
|
| 218 |
| |
| 878 |
|
|
| 897 |
|
Other Income and (Expense) | | | | | | | | |
Other expense
| | |
(16
|
)
| | |
(15
|
)
| | |
(57
|
)
| | |
(52
|
)
|
Earnings from equity method investments
| | |
1
| | | |
-
| | | |
8
| | | |
3
| |
Interest expense, net of capitalization
| |
|
(75
|
)
|
|
|
(71
|
)
| |
|
(219
|
)
|
|
|
(210
|
)
|
Income Before Income Tax | |
| 163 |
|
|
| 132 |
| |
| 610 |
|
|
| 638 |
|
Income tax expense
| |
|
29
|
|
|
|
32
|
| |
|
128
|
|
|
|
179
|
|
Net Income | |
| 134 |
|
|
| 100 |
| |
| 482 |
|
|
| 459 |
|
Less: Net income attributable to noncontrolling interests
| |
|
9
|
|
|
|
1
|
| |
|
6
|
|
|
|
1
|
|
Net Income Attributable to Avangrid, Inc. | | $ | 125 |
|
| $ | 99 |
| | $ | 476 |
|
| $ | 458 |
|
| |
|
|
| |
|
|
|
Earnings per Common Share, Basic:
| | $ | 0.40 |
|
| $ | 0.32 |
| | $ | 1.54 |
|
| $ | 1.48 |
|
Earnings per Common Share, Diluted:
| | $ | 0.40 |
|
| $ | 0.32 |
| | $ | 1.54 |
|
| $ | 1.48 |
|
Weighted-average Number of Common Shares Outstanding (M): | | | | | | | |
Basic
| | |
309.5
| | | |
309.5
| | | |
309.5
| | | |
309.5
| |
Diluted
| | |
309.7
| | | |
309.8
| | | |
309.7
| | | |
309.8
| |
| | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | |
| | | | | | | |
|
|
Avangrid, Inc. |
Condensed Consolidated Balance Sheets |
(Unaudited) |
|
|
| |
| |
| | | September 30, | | December 31, |
($M) | | |
| 2018 |
| |
| 2017 |
|
ASSETS | | | | | |
Current assets
| | |
$
|
1,963
| | |
$
|
2,260
| |
Net property, plant & equipment in service
| | | |
21,627
| | | |
21,244
| |
Total property, plant & equipment
| | | |
23,125
| | | |
22,669
| |
Regulatory assets
| | | |
2,635
| | | |
2,738
| |
Goodwill
| | | |
3,127
| | | |
3,127
| |
Other assets
| | |
|
905
|
| |
|
877
|
|
Total Assets | | | $ | 31,755 |
| | $ | 31,671 |
|
LIABILITIES AND EQUITY | | | | | |
Current liabilities
| | | |
2,911
| | | |
3,114
| |
Regulatory liabilities
| | | |
3,285
| | | |
3,252
| |
Other non-current liabilities
| | | |
5,008
| | | |
5,013
| |
Non-current debt
| | |
|
5,096
|
| |
|
5,196
|
|
Total Liabilities | | |
| 16,300 |
| |
| 16,575 |
|
EQUITY | | | | | |
Common stock
| | | |
3
| | | |
3
| |
Additional paid-in-capital
| | | |
13,656
| | | |
13,653
| |
Treasury stock
| | | |
(12
|
)
| | |
(8
|
)
|
Retained earnings
| | | |
1,536
| | | |
1,475
| |
Accumulated other comprehensive loss
| | |
|
(55
|
)
| |
|
(46
|
)
|
Total Stockholders' Equity | | |
| 15,128 |
| |
| 15,077 |
|
Noncontrolling interests
| | | |
327
| | | |
19
| |
Total Equity | | |
| 15,455 |
| |
| 15,096 |
|
Total Liabilities & Equity | | | $ | 31,755 |
| | $ | 31,671 |
|
| | | | |
|
Amounts may not add due to rounding | | | | | |
| | | | |
|
|
Avangrid, Inc. |
Condensed Consolidated Statement of Cash Flows |
(Unaudited) |
|
| |
| |
| |
| | | | Nine months ended |
| | | | September 30, |
$M | | | |
| 2018 |
| |
| 2017 |
|
Cash Flow from Operating Activities: | | | | | | |
Net income | | | | $ | 482 |
| | $ | 459 |
|
Net Cash Provided by Operating Activities | | | |
| 1,317 |
| |
| 1,322 |
|
Cash Flow from Investing Activities: | | | | | | |
Capital expenditures
| | | | |
(1,173
|
)
| | |
(1,704
|
)
|
Contributions in aid of construction
| | | | |
36
| | | |
31
| |
Proceeds from sale of assets
| | | | |
132
| | | |
9
| |
Cash distribution from equity method investments
| | | | |
4
| | | |
4
| |
Other investments and equity method investments, net
| | | |
|
(32
|
)
| |
|
(7
|
)
|
Net Cash Used in Investing Activities | | | |
| (1,033 | ) | |
| (1,667 | ) |
Cash Flow from Financing Activities: | | | | | | |
Non-current note issuance
| | | | |
324
| | | |
294
| |
Repayments of non-current debt
| | | | |
(65
|
)
| | |
(65
|
)
|
(Repayments) receipts of other short-term debt, net
| | | | |
(288
|
)
| | |
570
| |
Payments on tax equity financing arrangements
| | | | |
—
| | | |
(84
|
)
|
Repayments of capital leases
| | | | |
(13
|
)
| | |
(32
|
)
|
Repurchase of common stock
| | | | |
(4
|
)
| | |
(3
|
)
|
Issuance of common stock
| | | | |
(2
|
)
| | |
(1
|
)
|
Distributions to noncontrolling interests
| | | | |
(60
|
)
| | |
—
| |
Contributions from noncontrolling interests
| | | | |
219
| | | |
5
| |
Dividends paid
| | | |
|
(401
|
)
| |
|
(401
|
)
|
Net Cash (Used in) Provided by Financing Activities | | | |
| (290 | ) | |
| 283 |
|
Net Decrease in Cash, Cash Equivalents and Restricted Cash | |
| (6 | ) | |
| (62 | ) |
Cash, Cash Equivalents and Restricted Cash, beginning of period | |
| 46 |
| |
| 96 |
|
Cash, Cash Equivalents and Restricted Cash, end of period | | $ | 40 |
| | $ | 34 |
|
| | | | | |
|
Amounts may not add due to rounding | | | | | | |
| | | | | |
|
|
Reconciliation of Non-U.S. GAAP Financial
Measures |
|
Avangrid, Inc. |
Reconciliation of Non-GAAP Adjusted Net Income (Loss) - $M |
(Unaudited) |
| |
| |
| |
| |
| |
| |
| Three months ended September 30, | | Nine months ended September 30, |
|
| 2018 |
| |
| 2017 |
| | '18 vs '17 | |
| 2018 |
| |
| 2017 |
| | '18 vs '17 |
| | | | | | | | | | |
|
Networks
|
$
|
96
| | |
$
|
104
| | |
$
|
(8
|
)
| |
$
|
375
| | |
$
|
372
| | |
$
|
3
| |
Renewables
| |
20
| | | |
15
| | | |
5
| | | |
141
| | | |
115
| | | |
25
| |
Corporate
| |
10
| | | |
1
| | | |
9
| | | |
(20
|
)
| | |
6
| | | |
(26
|
)
|
Gas Storage
|
|
(1
|
)
| |
|
(21
|
)
| |
|
21
|
| |
|
(20
|
)
| |
|
(35
|
)
| |
|
16
|
|
Net Income | $ | 125 | | | $ | 99 | | | $ | 26 | | | $ | 476 | | | $ | 458 | | | $ | 18 | |
Adjustments:
| | | | | | | | | | | |
Restructuring charges
| |
1
| | | |
3
| | | |
(2
|
)
| | |
2
| | | |
3
| | | |
(1
|
)
|
Mark-to-market adjustments - Renewables
| |
10
| | | |
4
| | | |
6
| | | |
9
| | | |
(2
|
)
| | |
11
| |
Loss from held for sale measurement
| |
1
| | | |
-
| | | |
1
| | | |
16
| | | |
-
| | | |
16
| |
Income from release of collateral - Renewables
| |
7
| | | |
-
| | | |
7
| | | |
-
| | | |
-
| | | |
-
| |
Impact of the Tax Act
| |
(0
|
)
| | |
-
| | | |
(0
|
)
| | |
7
| | | |
-
| | | |
7
| |
Income tax impact of adjustments*
| |
(5
|
)
| | |
(3
|
)
| | |
(3
|
)
| | |
11
| | | |
(0
|
)
| | |
12
| |
Gas Storage, net of tax
|
|
0
|
| |
|
21
|
| |
|
(21
|
)
| |
|
(10
|
)
| |
|
35
|
| |
|
(46
|
)
|
Adjusted Net Income | $ | 139 |
| | $ | 125 |
| | $ | 14 |
| | $ | 511 |
| | $ | 494 |
| | $ | 16 |
|
| | | | | | | | | | |
|
Amounts may not add due to rounding | | |
| | | | | | | | |
* 2018: Income tax impact of adjustments: $(2.3)M from
mark-to-market (MtM) adjustment - Renewables, $(0.6)M from
restructuring charges - Networks, $14.4M from loss
from held for sale measurement - Gas. |
* 2017: Income tax impact of adjustments: $0.6M from MtM
adjustment-Renewables and $(1)M from restructuring charges - Networks |
| | | | | | | | | | |
|
| Non-GAAP Adjusted Net Income (Loss) - $M |
| | | | | | | | | | |
|
| Three months ended September 30, | | Nine months ended September 30, |
| Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 | | Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 |
Networks
|
$
|
96
| | |
$
|
106
| | |
$
|
(9
|
)
| |
$
|
376
| | |
$
|
374
| | |
$
|
2
| |
Renewables
| |
33
| | | |
17
| | | |
15
| | | |
147
| | | |
114
| | | |
33
| |
Corporate
|
|
10
|
| |
|
1
|
| |
|
9
|
| |
|
(13
|
)
| |
|
6
|
| |
|
(19
|
)
|
Adjusted Net Income | $ | 139 |
| | $ | 125 |
| | $ | 14 |
| | $ | 511 |
| | $ | 494 |
| | $ | 16 |
|
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
| | | | | | | | | | |
|
Avangrid, Inc. |
Reconciliation of Adjusted Non-GAAP Earnings (Loss) Per Share
(EPS) |
(Unaudited) |
| | | | | | | | | | |
|
| Three months ended September 30, |
| Nine months ended September 30, |
|
| 2018 |
| |
| 2017 |
| | '18 vs '17 | |
| 2018 |
| |
| 2017 |
| | '18 vs '17 |
| | | | | | | | | | |
|
Networks
|
$
|
0.31
| | |
$
|
0.34
| | |
$
|
(0.03
|
)
| |
$
|
1.21
| | |
$
|
1.20
| | |
$
|
0.01
| |
Renewables
| |
0.06
| | | |
0.05
| | | |
0.01
| | | |
0.45
| | | |
0.37
| | | |
0.08
| |
Corporate
| |
0.03
| | | |
0.00
| | | |
0.03
| | | |
(0.06
|
)
| | |
0.02
| | | |
(0.08
|
)
|
Gas Storage
|
|
(0.00
|
)
| |
|
(0.07
|
)
| |
|
0.07
|
| |
|
(0.06
|
)
| |
|
(0.11
|
)
| |
|
0.05
|
|
Earnings Per Share | $ | 0.40 | | | $ | 0.32 | | | $ | 0.08 | | | $ | 1.54 | | | $ | 1.48 | | | $ | 0.06 | |
Adjustments:
| | | | | | | | | | | |
Restructuring charges
| |
0.00
| | | |
0.01
| | | |
(0.00
|
)
| | |
0.01
| | | |
0.01
| | | |
(0.00
|
)
|
Mark-to-market adjustments - Renewables
| |
0.03
| | | |
0.01
| | | |
0.02
| | | |
0.03
| | | |
(0.01
|
)
| | |
0.03
| |
Loss from held for sale measurement
| |
0.00
| | | |
-
| | | |
0.00
| | | |
0.05
| | | |
-
| | | |
0.05
| |
Income from release of collateral - Renewables
| |
0.02
| | | |
-
| | | |
0.02
| | | |
-
| | | |
-
| | | |
-
| |
Impact of the Tax Act
| |
(0.00
|
)
| | |
-
| | | |
(0.00
|
)
| | |
0.02
| | | |
-
| | | |
0.02
| |
Income tax impact of adjustments*
| |
(0.02
|
)
| | |
(0.01
|
)
| | |
(0.01
|
)
| | |
0.04
| | | |
(0.00
|
)
| | |
0.04
| |
Gas Storage, net of tax
|
|
0.00
|
| |
|
0.07
|
| |
|
(0.07
|
)
| |
|
(0.03
|
)
| |
|
0.11
|
| |
|
(0.15
|
)
|
Adjusted Earnings Per Share | $ | 0.45 |
| | $ | 0.40 |
| | $ | 0.05 |
| |
| 1.65 |
| | $ | 1.60 |
| | $ | 0.05 |
|
| | | | | | | | | | |
|
Weighted-avg # of Shares (M): | | 309.5 | | | | 309.5 | | | | | | 309.5 | | | | 309.5 | | | |
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
| | | | | | | | | | |
|
* 2018: EPS Income tax impact of adjustments: $(0.01) from
mark-to-market (MtM) adjustment - Renewables, $(0.00) from
restructuring charges - Networks, $0.05 from loss
from held for sale measurement. |
* 2017: EPS Income tax impact of adjustments: $0.01 from MtM
adjustment - Renewables and $(0.01) from restructuring charges -
Networks. |
| | | | | | | | | | |
|
| Non-GAAP Adjusted Earnings (Loss) Per Share |
| | | | | | | | | | |
|
| Three months ended September 30, | | Nine months ended September 30, |
| Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 | | Adjusted 2018 | | Adjusted 2017 | | Adjusted '18 vs '17 |
Networks
|
$
|
0.31
| | |
$
|
0.34
| | |
$
|
(0.03
|
)
| |
$
|
1.22
| | |
$
|
1.21
| | |
$
|
0.01
| |
Renewables
| |
0.11
| | | |
0.06
| | | |
0.05
| | | |
0.48
| | | |
0.37
| | | |
0.11
| |
Corporate
|
|
0.03
|
| |
|
0.00
|
| |
|
0.03
|
| |
|
(0.04
|
)
| |
|
0.02
|
| |
|
(0.06
|
)
|
Adjusted Earnings Per Share | $ | 0.45 |
| | $ | 0.40 |
| | $ | 0.05 |
| | $ | 1.65 |
| | $ | 1.60 |
| | $ | 0.05 |
|
| | | | | | | | | | |
|
Weighted-avg # of Shares (M): | | 309.5 | | | | 309.5 | | | | | | 309.5 | | | | 309.5 | | | |
| | | | | | | | | | |
|
Amounts may not add due to rounding | | | | | | | | | | | |
View source version on businesswire.com: https://www.businesswire.com/news/home/20181023006061/en/
Contacts:
AVANGRID
Analysts:
Patricia Cosgel,
203-499-2624
or
Media:
Ed Crowder,
203-499-2537
Source: AVANGRID, Inc.
© 2024 Canjex Publishing Ltd. All rights reserved.