HALIFAX, Nov. 4, 2011 /CNW/ - (TSX: EMA): Emera Inc.'s consolidated net earnings were $40.8 million in Q3 2011,
compared to $40.3 million in Q3 2010. Higher earnings primarily
resulted from increased investment in the Caribbean, offset by the
impact of the reversal of 2010 mark-to-market accounting gains at
Bayside Power, and higher foreign exchange expense due to a weaker
Canadian dollar as at September 30, 2011. Earnings per share were $0.33
in Q3 2011 and $0.35 in Q3 2010, reflecting the impact of additional
common shares issued in Q1, 2011.
Year-to-date consolidated net earnings were $194.3 million or $1.61 per
share, compared to $166.6 million or $1.51 per share for the same
period in 2010, excluding the effect of mark to market accounting
adjustments in Bear Swamp. The net earnings amounts include after-tax
accounting gains of $41.1 million in 2011, and $22.5 million in 2010.
Cash flows from operations increased 52% to $361.7 million for the nine
months ended September 30, 2011 compared to $238 million for the same
period last year.
"There were several important developments at Emera in Q3", said Chris
Huskilson, President and CEO of Emera Inc. "Our largest subsidiary,
Nova Scotia Power, reached a settlement with customer representatives
on 2012 electricity rates, which is now being considered for approval
by the Utility and Review Board. We have made substantive progress on
the financial, technical, environmental and government relations fronts
on the Lower Churchill project. We are diligently working through the
regulatory proceedings relating to our First Wind investment with
Algonquin, and the Board of Directors increased Emera's annual common
share dividend by $0.05 to $1.35 per share, supported by the Company's
strengthening cash flows."
Nova Scotia Power Inc. contributed $21.0 million to consolidated net
earnings in Q3 2011, compared to $18.6 million in Q3 2010. The increase
was primarily due to decreased income tax and operating, maintenance
and general expenses, partially offset by decreased electric margin.
Maine Utility Operations contributed $9.4 million to consolidated net
earnings in Q3 2011 compared to $11.5 million for the same period in
2010. The decrease is due to lower revenue as a result of cooler
temperatures which reduced cooling load in this summer peaking region.
Caribbean Utility Operations contributed $10.7 million to consolidated
net earnings in Q3 2011 compared to $2.8 million in Q3 2010. The
increase is due to increased investments in both Grand Bahama Power
Company and Barbados Light and Power.
Pipelines contributed $7.0 million to consolidated net earnings in Q3
2011 compared to $8.1 million in Q3 2010. The decrease was primarily
due to changes in the mark-to-market of currency hedges and a decrease
in financing income.
Emera's Services Renewables and Other investments contributed $2.3
million to consolidated net earnings in Q3 2011 compared to $6.7
million in Q3 2010. The decrease was primarily due to the reversal of
2010 mark-to-market accounting gains at Bayside Power.
Forward Looking Information
This news release contains forward looking information. Actual future
results may differ materially. Additional information related to Emera,
including the company's Annual Information Form, can be found on SEDAR
at www.sedar.com or on EDGAR at www.sec.gov.
The company will be hosting a teleconference at 4:00 pm Atlantic time
today (3:00 pm Toronto/Montreal/New York; 2:00 pm Winnipeg; 12:00 pm
Vancouver) to discuss the Q3 2011 financial results.
Analysts and other interested parties wanting to participate in the call
should dial 1-866-225-0198 (in Toronto 416-340-8061) at least 10
minutes prior to the start of the call. No pass code is required. The
teleconference will be recorded. If you are unable to join the
teleconference live, you can dial for playback toll-free at
1-800-408-3053 (in Toronto 905-694-9451), access code 7847722#
(available until midnight, Friday, November 18, 2011). The
teleconference will also be web cast live at emera.com and available for playback for one year.
Emera Inc. is an energy and services company with $6.8 billion in assets
and 2010 revenues of $1.6 billion. The company invests in electricity
generation, transmission and distribution, as well as gas transmission
and utility energy services. Emera's strategy is focused on the
transformation of the electricity industry to cleaner generation and
the delivery of that clean energy to market. Emera operates throughout
northeastern North America, in three Caribbean countries and in
California. More than 80% of the company's earnings come from regulated
investments. Emera common and preferred shares are listed on the
Toronto Stock Exchange and trade respectively under the symbol EMA and
EMA.PR.A. Additional information can be accessed at www.emera.com, www.sedar.com, or on www.sec.gov.
SOURCE EMERA INC.
For further information:
Jill MacDonald, CA
Manager, Investor Relations