Chesterton Tribune

 

 

NiSource reports 3Q net income of $14 million

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By KEVIN NEVERS

NiSource Inc. is reporting a net income in the third quarter of 2017 of $14 million or 4 cents basic earnings per share, compared to $27.2 million in the year-ago period.

For the first nine months of the year, NiSource is reporting a net income of $180.9 million or 55 cents, compared to $242.7 million or 74 cents in the year-ago.

“Our teams continue delivering value for our customers, communities, and investors through successful execution of our utility infrastructure investment programs,” NiSource President and CEO Joe Hamrock said in a statement released today.

“Consistent with the multi-year capital plan we previously announced, our 2017 capital program is on track for investments of $1.6 to $1.7 billion, and our 2018 capital investments are projected to be $1.7 to $1.8 billion,” Hamrock added.

Third Quarter Highlights

On Sept. 27, the Northern Indiana Public Service Company filed a natural-gas base rate case with the Indiana Utility Regulatory Commission (IURC) seeking an annual revenue increaseÑinclusive of various tracker programsÑof $143.5 million in two phases. Under that proposal, the average household paying $50 per month for natural gas service would see its bill rise by approximately $10 or 20 percent. The first phase of the increase would take effect in mid-2018; the second by early 2019.

NIPSCO, meanwhile, is continuing a seven-year, $850-million gas infrastructure modernization program, with new rates under a semi-annual tracker update taking effect on July 1. NIPSCO filed for its next update on Aug. 31, which would cover $58 million in investments made during the first half of 2017.

NIPSCO is also continuing its seven-year, $1.25-billion electric infrastructure modernization program. On Tuesday, the IRUC approved the company’s latest tracker request covering $133 million in investments made from May 2016 through April 2017.

3Q by Segment

* Gas distribution: an operating loss (non-GAAP) of $17.1 million, compared to operating earnings of $5.1 million in the year-ago. Operating expenses were $42.6 million higher in the 2017 3Q, driven chiefly by increased employee and administrative expenses of $25.4 million (a pension settlement charge), higher outside service costs of $8.4 million (line locating expenses), and increased depreciation of $3.6 million (higher capital expenditures placed in service).

* Electric operations: operating earnings of $129 million, compared to $104.6 million in the year-ago. Net revenues were up $34 million in the 2017 3Q, driven by new rates from base-rate proceedings of $22.4 million, increased rates of $7.4 million from incremental capital spending on electric transmission projects, and higher regulatory and depreciation trackers of $7.4 million.

* Corporate and other operations: an operating loss of $900,000, compared to an operating loss of $3 million in the year-ago.

* Total operating earnings of $111 million, compared to $106.7 million in the year-ago.

 

 

Posted 11/1/2017

 
 
 
 

 

 

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