8-K
ENTERGY TEXAS, INC. (ETI-P)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date earliest event reported) February 19, 2020
| Commission<br><br>File Number | Registrant, State of Incorporation or Organization, Address of Principal Executive Offices, Telephone Number, and IRS Employer Identification No. | Commission<br><br>File Number | Registrant, State of Incorporation or Organization, Address of Principal Executive Offices, Telephone Number, and IRS Employer Identification No. |
|---|---|---|---|
| 1-11299 | ENTERGY CORPORATION | 1-35747 | ENTERGY NEW ORLEANS, LLC |
| (a Delaware corporation)<br><br>639 Loyola Avenue<br><br>New Orleans, Louisiana 70113<br><br>Telephone (504) 576-4000 | (a Texas limited liability company)<br><br>1600 Perdido Street<br><br>New Orleans, Louisiana 70112<br><br>Telephone (504) 670-3700 | ||
| 72-1229752 | 82-2212934 | ||
| 1-10764 | ENTERGY ARKANSAS, LLC | 1-34360 | ENTERGY TEXAS, INC. |
| (a Texas limited liability company)<br><br>425 West Capitol Avenue<br><br>Little Rock, Arkansas 72201<br><br>Telephone (501) 377-4000 | (a Texas corporation)<br><br>10055 Grogans Mill Road<br><br>The Woodlands, Texas 77380<br><br>Telephone (409) 981-2000 | ||
| 83-1918668 | 61-1435798 | ||
| 1-32718 | ENTERGY LOUISIANA, LLC | 1-09067 | SYSTEM ENERGY RESOURCES, INC. |
| (a Texas limited liability company)<br><br>4809 Jefferson Highway<br><br>Jefferson, Louisiana 70121<br><br>Telephone (504) 576-4000 | (an Arkansas corporation)<br><br>1340 Echelon Parkway<br><br>Jackson, Mississippi 39213<br><br>Telephone (601) 368-5000 | ||
| 47-4469646 | 72-0752777 | ||
| 1-31508 | ENTERGY MISSISSIPPI, LLC | ||
| (a Texas limited liability company)<br><br>308 East Pearl Street<br><br>Jackson, Mississippi 39201<br><br>Telephone (601) 368-5000 | |||
| 83-1950019 |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
| Registrant | Title of Class | Trading<br><br>Symbol | Name of Each Exchange<br><br>on Which Registered |
|---|---|---|---|
| Entergy Corporation | Common Stock, $0.01 Par Value | ETR | New York Stock Exchange |
| Common Stock, $0.01 Par Value | ETR | NYSE Chicago, Inc. | |
| Entergy Arkansas, LLC | Mortgage Bonds, 4.90% Series due December 2052 | EAB | New York Stock Exchange |
| Mortgage Bonds, 4.75% Series due June 2063 | EAE | New York Stock Exchange | |
| Mortgage Bonds, 4.875% Series due September 2066 | EAI | New York Stock Exchange | |
| Entergy Louisiana, LLC | Mortgage Bonds, 5.25% Series due July 2052 | ELJ | New York Stock Exchange |
| Mortgage Bonds, 4.70% Series due June 2063 | ELU | New York Stock Exchange | |
| Mortgage Bonds, 4.875% Series due September 2066 | ELC | New York Stock Exchange | |
| Entergy Mississippi, LLC | Mortgage Bonds, 4.90% Series due October 2066 | EMP | New York Stock Exchange |
| Entergy New Orleans, LLC | Mortgage Bonds, 5.0% Series due December 2052 | ENJ | New York Stock Exchange |
| Mortgage Bonds, 5.50% Series due April 2066 | ENO | New York Stock Exchange | |
| Entergy Texas, Inc. | Mortgage Bonds, 5.625% Series due June 2064 | EZT | New York Stock Exchange |
| 5.375% Series A Preferred Stock, Cumulative, No Par Value (Liquidation Value $25 Per Share) | ETI/PR | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition
On February 19, 2020, Entergy Corporation (the “Company”) issued a press release, which is attached as Exhibit 99.1 hereto and incorporated herein by reference, announcing its results of operations and financial condition for the fourth quarter 2019 (the “Earnings Release”). The information in Exhibit 99.1 is being furnished, not filed, pursuant to this Item 2.02.
Item 7.01. Regulation FD Disclosure
On February 19, 2020, the Company issued the Earnings Release, which is attached as Exhibit 99.1 hereto and incorporated herein by reference, announcing its results of operations and financial condition for the fourth quarter 2019. The information in Exhibit 99.1 is being furnished, not filed, pursuant to this Item 7.01.
Item 9.01. Financial Statements and Exhibits
(d) Exhibits.
| Exhibit No. | Description |
|---|---|
| 99.1 | Release, dated February 19, 2020, issued by Entergy Corporation |
| 104 | Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, each registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Entergy Corporation
Entergy Arkansas, LLC
Entergy Louisiana, LLC
Entergy Mississippi, LLC
Entergy New Orleans, LLC
Entergy Texas, Inc.
System Energy Resources, Inc.
By: /s/ Kimberly A. Fontan
Kimberly A. Fontan
Senior Vice President and
Chief Accounting Officer
Dated: February 19, 2020
Exhibit
Entergy
639 Loyola Avenue
New Orleans, LA 70113
Exhibit 99.1
| Date: | February 19, 2020 | |
|---|---|---|
| For Release: | Immediately | |
| Contact: | Neal Kirby (Media)<br><br>(504) 576-4238<br><br>nkirby@entergy.com | David Borde (Investor Relations)<br><br>(504) 576-5668<br><br>dborde@entergy.com |
Entergy Reports Fourth Quarter and Full Year Financial Results;
Initiates 2020 Earnings Guidance
NEW ORLEANS - Entergy Corporation (NYSE: ETR) reported fourth quarter 2019 earnings per share of $1.92 on an as-reported basis and 68 cents on an adjusted basis (non-GAAP). For the full year, the company reported 2019 earnings per share of $6.30 on an as-reported basis and $5.40 on an adjusted basis.
“We are reporting strong results for another very successful year,” said Entergy Chairman and Chief Executive Officer Leo Denault. “The favorable turn in weather in the second half of the year was a good opportunity for us to take on additional stakeholder initiatives. The fundamentals supporting our steady, predictable growth are strong and give us confidence in our financial outlooks. And as we take our business to the next level, we aspire to do even better.”
Business highlights included the following:
| • | Entergy initiated 2020 adjusted EPS guidance of $5.45 to $5.75 and affirmed 2021-2022 outlooks of $5.80 to $6.10 and $6.15 to $6.45, respectively. |
|---|---|
| • | Entergy Mississippi acquired Choctaw County Generating Station, an 810-megawatt CCGT. |
| --- | --- |
| • | Entergy Louisiana completed its Southwest Louisiana Improvement Project (transmission). |
| --- | --- |
| Table of Contents Page | |||||
|---|---|---|---|---|---|
| News Release1<br><br>Appendices9<br><br>A: Consolidated Results and Adjustments10<br><br>B: Earnings Variance Analysis14<br><br>C: Utility Financial and Operating Measures17<br><br>D: EWC Financial and Operating Measures18<br><br>E: Consolidated Financial Measures19<br><br>F: Definitions and Abbreviations and Acronyms20<br><br>G: Other GAAP to Non-GAAP Reconciliations24<br><br>Financial Statements27 | |||||
| • | The APSC approved Entergy Arkansas’ FRP settlement. | ||||
| --- | --- | ||||
| • | Chicot Solar Energy Center, the largest solar project in Arkansas, broke ground. | ||||
| --- | --- | ||||
| • | Entergy was inducted in the Corporate Citizenship Hall of Fame by the U.S. Chamber of Commerce Foundation Corporate Citizenship Center. | ||||
| --- | --- | ||||
| • | Entergy raised its dividend for the fifth consecutive year. | ||||
| --- | --- | ||||
| Consolidated Earnings (GAAP and Non-GAAP Measures) | |||||
| --- | --- | --- | --- | --- | --- |
| Fourth Quarter and Year-to-Date 2019 vs. 2018 (See Appendix A for reconciliation of GAAP to non-GAAP measures and description of adjustments) | |||||
| Year-to-Date | |||||
| 2018 | Change | 2019 | 2018 | Change | |
| (After-tax, in millions) | |||||
| As-reported earnings | (66) | 451 | 1,241 | 849 | 393 |
| Less adjustments | (194) | 442 | 177 | (121) | 298 |
| Adjusted earnings (non-GAAP) | 128 | 9 | 1,064 | 970 | 94 |
| Estimated weather in billed sales | 25 | 20 | 46 | 67 | (21) |
| (After-tax, per share in ) | |||||
| As-reported earnings | (0.36) | 2.28 | 6.30 | 4.63 | 1.67 |
| Less adjustments | (1.06) | 2.30 | 0.90 | (0.66) | 1.56 |
| Adjusted earnings (non-GAAP) | 0.70 | (0.02) | 5.40 | 5.29 | 0.11 |
| Estimated weather in billed sales | 0.13 | 0.09 | 0.23 | 0.37 | (0.14) |
All values are in US Dollars.
Calculations may differ due to rounding
Consolidated Results
For fourth quarter 2019, the company reported earnings of $385 million, or $1.92 per share, on an as-reported basis, and earnings of $137 million, or 68 cents per share, on an adjusted basis. This compared to a fourth quarter 2018 loss of $(66 million), or (36) cents per share, on an as-reported basis, and earnings of $128 million, or 70 cents per share, on an adjusted basis.
For the full year, the company reported earnings of $1,241 million, or $6.30 per share, on an as-reported basis, and earnings of $1,064 million, or $5.40 per share, on an adjusted basis. This compared to 2018 earnings of $849 million, or $4.63 per share, on an as-reported basis, and earnings of $970 million, or $5.29 per share, on an adjusted basis.
Summary discussions by business are below. Additional details, including information on OCF by business, are provided in Appendix A. An analysis of quarterly and year-to-date variances by business is provided in Appendix B.
Business Segment Results
Utility
For fourth quarter 2019, the Utility business reported earnings attributable to Entergy Corporation of $271 million, or $1.35 per share, on an as-reported basis, and earnings of $229 million, or $1.14 per share, on an adjusted basis. This compared to fourth quarter 2018 earnings of $388 million, or $2.12 per share, on an as-reported basis, and earnings of $209 million, or $1.14 per share, on an adjusted basis. Drivers for the quarter included:
| • | rate activity at E-AR, E-LA, E-MS, and E-TX; |
|---|---|
| • | regulatory charges and provisions in fourth quarter 2018; and |
| --- | --- |
| • | a fourth quarter 2019 favorable income tax item (considered an adjustment and excluded from adjusted earnings). |
| --- | --- |
These drivers were partially offset by:
| • | lower retail sales volume; |
|---|---|
| • | higher operating expenses (primarily depreciation and other O&M); |
| --- | --- |
| • | higher interest expense; |
| --- | --- |
| • | a fourth quarter 2018 favorable income tax item, net of customer sharing (considered an adjustment and excluded from adjusted earnings); and |
| --- | --- |
| • | a fourth quarter 2018 reversal of a tax reform accrual (considered an adjustment and excluded from adjusted earnings). |
| --- | --- |
For full year 2019, the Utility business reported earnings attributable to Entergy Corporation of $1,411 million, or $7.16 per share, on an as-reported basis, and earnings of $1,369 million, or $6.95 per share, on an adjusted basis. This compared to full year 2018 earnings of $1,483 million, or $8.09 per share, on an as-reported basis, and $1,262 million, or $6.88 per share, on an adjusted basis. Drivers for the full year included:
| • | rate activity at E-AR, E-LA, E-MS, and E-TX; |
|---|---|
| • | regulatory charges and provisions in 2018; and |
| --- | --- |
| • | a fourth quarter 2019 favorable income tax item (considered an adjustment and excluded from adjusted earnings). |
| --- | --- |
These drivers were partially offset by:
| • | lower retail sales volume, including less favorable weather; |
|---|---|
| • | higher operating expenses (primarily depreciation and other O&M); |
| --- | --- |
| • | higher interest expense; |
| --- | --- |
| • | second and fourth quarter 2018 favorable income tax items, net of customer sharing, (considered adjustments and excluded from adjusted earnings); and |
| --- | --- |
| • | a fourth quarter 2018 reversal of a tax reform accrual (considered an adjustment and excluded from adjusted earnings). |
| --- | --- |
On a per share basis, both fourth quarter and full year 2019 results reflected higher common shares outstanding.
Appendix C contains additional details on Utility financial and operating measures.
Parent & Other
For fourth quarter 2019, Parent & Other reported a loss attributable to Entergy Corporation of $(103 million), or (51) cents per share, on an as-reported basis, and a loss of $(92 million), or (46)
cents per share, on an adjusted basis. This compared to a loss of $(81 million), or (44) cents per share, on both an as-reported and an adjusted basis in fourth quarter 2018. Drivers for the quarter included:
| • | lower other income (deductions)-other due to the timing of a charitable contribution; and |
|---|---|
| • | a fourth quarter 2019 income tax item related to a valuation allowance recorded on an interest expense deduction (the amount related to the 2018 tax year was considered an adjustment and excluded from adjusted earnings). |
| --- | --- |
For the full year, Parent & Other reported a loss attributable to Entergy Corporation of $(316 million), or $(1.60) per share, on an as-reported basis, and a loss of $(305 million), or $(1.55) per share, on an adjusted basis. This compared to a full year 2018 loss of $(292 million), or $(1.59) per share, on both an as-reported and an adjusted basis. The drivers for fourth quarter 2019 discussed above were also the drivers for the full year.
On a per share basis, both fourth quarter and full year 2019 results reflected higher common shares outstanding.
Entergy Wholesale Commodities
For fourth quarter 2019, EWC reported earnings attributable to Entergy Corporation of
$217 million, or $1.08 per share, on an as-reported basis. This compared to a fourth quarter 2018 loss attributable to Entergy Corporation of $(373 million), or $(2.04) per share, on an as-reported basis. Drivers for the quarter included:
| • | higher gains on decommissioning trust funds; |
|---|---|
| • | favorable income tax items recorded in fourth quarter 2019; |
| --- | --- |
| • | lower asset write-offs, impairments and related charges as compared to a year ago; and |
| --- | --- |
| • | lower severance and retention expense, as well as lower O&M expense due to the shutdown of Pilgrim. |
| --- | --- |
These drivers were partially offset by lower revenue primarily due to the shutdown of Pilgrim.
For the full year, EWC reported earnings attributable to Entergy Corporation of
$147 million, or 74 cents per share, on an as-reported basis. This compared to a full year 2018 loss attributable to Entergy Corporation of $(343 million), or $(1.87) per share, on an as-reported basis. Drivers for the year included:
| • | higher gains on decommissioning trust funds; |
|---|---|
| • | lower asset write-offs, impairments and related charges as compared to a year ago; |
| --- | --- |
| • | lower severance and retention expense, as well as lower O&M expense due to the shutdown of Pilgrim; and |
| --- | --- |
| • | favorable income tax items in 2019 as compared to 2018. |
| --- | --- |
These drivers were partially offset by lower revenue primarily due to the shutdown of Pilgrim and higher nuclear refueling outage expense.
On a per share basis, both fourth quarter and full year 2019 results reflected higher common shares outstanding.
Appendix D contains additional details on EWC financial and operating measures, including reconciliation for non-GAAP EWC adjusted EBITDA.
Earnings per Share Guidance
Entergy initiated its 2020 adjusted EPS guidance range of $5.45 to $5.75. See webcast presentation slides for additional details.
The company has provided 2020 earnings guidance with regard to the non-GAAP measure of Entergy adjusted EPS. This measure excludes from the corresponding GAAP financial measure the effect of adjustments as described below under “Non-GAAP Financial Measures.” The company has not provided a reconciliation of such non-GAAP guidance to guidance presented on a GAAP basis because it cannot predict and quantify with a reasonable degree of confidence all of the adjustments that may occur during the periods. One such adjustment will be the exclusion of EWC earnings from Entergy adjusted EPS. We currently estimate that the contribution of EWC to Entergy’s as-reported EPS will be approximately (40) cents in 2020. These estimates are subject to substantial uncertainty due to, among other things, the potential effects of exiting the EWC business.
Earnings Teleconference
A teleconference will be held at 10:00 a.m. Central Time on Wednesday, February 19, 2020, to discuss Entergy’s quarterly earnings announcement and the company’s financial performance. The teleconference may be accessed by visiting Entergy’s website at www.entergy.com or by dialing 844-309-6569, conference ID 1253867, no more than 15 minutes prior to the start of the call. The webcast slide presentation is also posted to Entergy’s website concurrent with this news release, which was issued before market open on the day of the call. A replay of the teleconference will be available on Entergy’s website at www.entergy.com and by telephone. The telephone replay will be available through February 26, 2020, by dialing 855-859-2056, conference ID 1253867.
Entergy Corporation is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, including 9,000 megawatts of nuclear power. Entergy delivers electricity to 2.9 million utility customers in Arkansas, Louisiana, Mississippi, and Texas. Entergy has annual revenues of $11 billion and approximately 13,600 employees.
Entergy Corporation’s common stock is listed on the New York Stock Exchange and NYSE Chicago under the symbol “ETR.”
Details regarding Entergy’s results of operations, regulatory proceedings, and other matters are available in this earnings release, a copy of which will be filed with the SEC, and the webcast slide presentation. Both documents are available on Entergy’s Investor Relations website at www.entergy.com/investor_relations.
Entergy maintains a web page as part of its Investor Relations website, entitled Regulatory and Other Information, which provides investors with key updates of certain regulatory proceedings and important milestones on the execution of its strategy. While some of this information may be considered material information, investors should not rely exclusively on this page for all relevant company information.
For definitions of certain operating measures, as well as GAAP and non-GAAP financial measures and abbreviations and acronyms used in the earnings release materials, see Appendix F.
Non-GAAP Financial Measures
This news release contains non-GAAP financial measures, which are generally numerical measures of a company’s performance, financial position, or cash flows that either exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Entergy has provided quantitative reconciliations within this news release of the non-GAAP financial measures to the most directly comparable GAAP financial measures.
Entergy reports earnings using the non-GAAP measure of Entergy adjusted earnings, which excludes the effect of certain “adjustments,” including the removal of the Entergy Wholesale Commodities segment in light of the company’s decision to exit the merchant power business. Adjustments are unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as the results of the EWC segment, significant tax items, and other items such as certain costs, expenses, or other specified items. In addition to reporting GAAP consolidated earnings on a per share basis, Entergy reports its adjusted earnings on a per share basis. These per share measures represent the applicable earnings amount divided by the diluted average number of common shares outstanding for the period.
Management uses the non-GAAP financial measures of adjusted earnings and adjusted earnings per share for, among other things, financial planning and analysis; reporting financial results to the board of directors, employees, stockholders, analysts, and investors; and internal evaluation of financial performance. Entergy believes that these non-GAAP financial measures provide useful information to investors in evaluating the ongoing results of Entergy’s business, comparing period to period results, and comparing Entergy’s financial performance to the financial performance of other companies in the utility sector.
Other non-GAAP measures, including adjusted EBITDA; adjusted ROE; adjusted ROIC; gross liquidity; debt to capital, excluding securitization debt; net debt to net capital, excluding securitization debt; parent debt to total debt, excluding securitization debt; FFO; FFO to debt, excluding securitization debt; and FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC, are measures Entergy uses internally for management and board discussions and to gauge the overall strength of its business. Entergy believes the above data provides useful information to investors in evaluating Entergy’s ongoing financial results and flexibility and assists investors in comparing Entergy’s credit and liquidity to the credit and liquidity of others in the Utility sector. In addition, other financial measures including net income (or earnings), adjusted for preferred dividends and tax-effected interest expense; return on average invested capital; and return on average common equity are included on both an adjusted and an as-reported basis. In each case, the metrics defined as “adjusted” (other than EWC’s adjusted EBITDA) excludes the effect of adjustments as defined above. EWC’s adjusted EBITDA represents EWC’s earnings before interest, taxes, and depreciation and amortization, and also excludes decommissioning expense.
These non-GAAP financial measures reflect an additional way of viewing aspects of Entergy’s operations that, when viewed with Entergy’s GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provide a more complete understanding of factors
and trends affecting Entergy’s business. These non-GAAP financial measures should not be used to the exclusion of GAAP financial measures. Investors are strongly encouraged to review Entergy’s consolidated financial statements and publicly filed reports in their entirety and not to rely on any single financial measure. Although certain of these measures are intended to assist investors in comparing Entergy’s performance to other companies in the utility sector, non-GAAP financial measures are not standardized; therefore, it might not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.
Cautionary Note Regarding Forward-Looking Statements
In this news release, and from time to time, Entergy Corporation makes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, among other things, Entergy’s 2020 earnings guidance; its current financial and operational outlooks; and other statements of Entergy’s plans, beliefs, or expectations included in this news release. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Except to the extent required by the federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Forward-looking statements are subject to a number of risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including (a) those factors discussed elsewhere in this news release and in Entergy’s most recent Annual Report on Form 10-K, any subsequent Quarterly Reports on Form 10-Q and Entergy’s other reports and filings made under the Securities Exchange Act of 1934; (b) uncertainties associated with (1) rate proceedings, formula rate plans, and other cost recovery mechanisms, including the risk that costs may not be recoverable to the extent anticipated by the utilities and (2) implementation of the ratemaking effects of changes in law; (c) uncertainties associated with efforts to remediate the effects of major storms and recover related restoration costs; (d) risks associated with operating nuclear facilities, including plant relicensing, operating, and regulatory costs and risks; (e) changes in decommissioning trust fund values or earnings or in the timing or cost of decommissioning Entergy’s nuclear plant sites; (f) legislative and regulatory actions and risks and uncertainties associated with claims or litigation by or against Entergy and its subsidiaries; (g) risks and uncertainties associated with strategic transactions that Entergy or its subsidiaries may undertake, including the risk that any such transaction may not be completed as and when expected and the risk that the anticipated benefits of the transaction may not be realized; (h) effects of changes in federal, state, or local laws and regulations and other governmental actions or policies, including changes in monetary, fiscal, tax, environmental, or energy policies; (i) the effects of technological changes and changes in commodity markets, capital markets, or economic conditions; and (j) impacts from a terrorist attack, cybersecurity threats, data security breaches or other attempts to disrupt Entergy’s business or operations, and other catastrophic events.
Fourth Quarter 2019 Earnings Release Appendices and Financial Statements
Appendices
Appendices are presented in this section as follows:
A: Consolidated Results and Adjustments
B: Earnings Variance Analysis
C: Utility Financial and Operating Measures
D: EWC Financial and Operating Measures
E: Consolidated Financial Measures
F: Definitions and Abbreviations and Acronyms
G: Other GAAP to Non-GAAP Reconciliations
Financial Statements
Financial statements are presented in this section.
A: Consolidated Results and Adjustments
Appendix A-1 provides a comparative summary of consolidated earnings, including a reconciliation of as-reported earnings (GAAP) to adjusted earnings (non-GAAP).
| Appendix A-1: Consolidated Earnings - Reconciliation of GAAP to Non-GAAP MeasuresFourth Quarter and Year-to-Date 2019 vs. 2018 (See Appendix A-3 and Appendix A-4 for details on adjustments) | |||||
|---|---|---|---|---|---|
| Year-to-Date | |||||
| 2018 | Change | 2019 | 2018 | Change | |
| (After-tax, in millions) | |||||
| Earnings (loss) | |||||
| Utility | 388 | (117) | 1,411 | 1,483 | (73) |
| Parent & Other | (81) | (22) | (316) | (292) | (24) |
| EWC | (373) | 590 | 147 | (343) | 490 |
| Consolidated | (66) | 451 | 1,241 | 849 | 393 |
| Less adjustments | |||||
| Utility | 179 | (137) | 41 | 222 | (180) |
| Parent & Other | — | (11) | (11) | — | (11) |
| EWC | (373) | 590 | 147 | (343) | 490 |
| Consolidated | (194) | 442 | 177 | (121) | 298 |
| Adjusted earnings (loss) (non-GAAP) | |||||
| Utility | 209 | 20 | 1,369 | 1,262 | 108 |
| Parent & Other | (81) | (11) | (305) | (292) | (14) |
| EWC | — | — | — | — | — |
| Consolidated | 128 | 9 | 1,064 | 970 | 94 |
| Estimated weather in billed sales | 25 | 20 | 46 | 67 | (21) |
| Diluted average number of common shares outstanding (in millions) | 183 | 197 | 183 | ||
| (After-tax, per share in ) (a) | |||||
| Earnings (loss) | |||||
| Utility | 2.12 | (0.77) | 7.16 | 8.09 | (0.93) |
| Parent & Other | (0.44) | (0.07) | (1.60) | (1.59) | (0.01) |
| EWC | (2.04) | 3.12 | 0.74 | (1.87) | 2.61 |
| Consolidated | (0.36) | 2.28 | 6.30 | 4.63 | 1.67 |
| Less adjustments | |||||
| Utility | 0.98 | (0.77) | 0.21 | 1.21 | (1.00) |
| Parent & Other | — | (0.05) | (0.05) | — | (0.05) |
| EWC | (2.04) | 3.12 | 0.74 | (1.87) | 2.61 |
| Consolidated | (1.06) | 2.30 | 0.90 | (0.66) | 1.56 |
| Adjusted earnings (loss) (non-GAAP) | |||||
| Utility | 1.14 | — | 6.95 | 6.88 | 0.07 |
| Parent & Other | (0.44) | (0.02) | (1.55) | (1.59) | 0.04 |
| EWC | — | — | — | — | — |
| Consolidated | 0.70 | (0.02) | 5.40 | 5.29 | 0.11 |
| Estimated weather in billed sales | 0.13 | 0.09 | 0.23 | 0.37 | (0.14) |
All values are in US Dollars.
Calculations may differ due to rounding
| (a) | Per share amounts are calculated by dividing the corresponding earnings (loss) by the diluted average number of common shares outstanding for the period. |
|---|
See Appendix B for detailed earnings variance analysis.
Appendix A-2 provides a comparative summary of OCF, by business.
| Appendix A-2: Consolidated Operating Cash Flow | |||||
|---|---|---|---|---|---|
| Fourth Quarter and Year-to-Date 2019 vs. 2018 | |||||
| ( in millions) | |||||
| Year-to-Date | |||||
| 2018 | Change | 2019 | 2018 | Change | |
| Utility | 699 | (22) | 2,974 | 2,693 | 281 |
| Parent & Other | (20) | (1) | (237) | (234) | (3) |
| EWC | (153) | 196 | 80 | (74) | 154 |
| Consolidated | 526 | 173 | 2,817 | 2,385 | 432 |
All values are in US Dollars.
Calculations may differ due to rounding
OCF increased quarter-over-quarter due primarily to a lower amount of unprotected excess ADIT returned to customers at the Utility, as well as lower nuclear refueling outage spending and severance and retention payments at EWC. Higher pension contributions, largely at the Utility, partially offset the quarterly increase.
OCF increased year-over-year due primarily to a lower amount of unprotected excess ADIT returned to customers and increased collections for fuel and purchased power cost recovery at the Utility, as well as lower nuclear spending and asset retirement obligation spending at EWC. Lower revenues and higher severance and retention payments at EWC partially offset the annual increase.
For both the quarter and the full year, intercompany income tax payments contributed to the line of business variances.
Appendix A-3 and Appendix A-4 list adjustments by business. Amounts are shown on both an earnings and an EPS basis. Adjustments are included in as-reported earnings consistent with GAAP but are excluded from adjusted earnings. As a result, adjusted earnings is considered a non-GAAP measure.
| Appendix A-3: Adjustments by Driver (shown as positive/(negative) impact on earnings or EPS) | |||||
|---|---|---|---|---|---|
| Fourth Quarter and Year-to-Date 2019 vs. 2018 | |||||
| (Pre-tax except for Income taxes, Preferred dividend requirements of subsidiaries, and Total; in millions) | |||||
| Year-to-Date | |||||
| 2018 | Change | 2019 | 2018 | Change | |
| (Pre-tax except for income taxes, preferred dividend requirements of subsidiaries, and totals; in millions) | |||||
| Utility | |||||
| Customer sharing associated with internal restructuring | (40) | 40 | — | (40) | 40 |
| Income tax effect on Utility adjustment above | 10 | (10) | — | 10 | (10) |
| Income tax benefit from 2012 / 2013 IRS settlement | — | — | — | 43 | (43) |
| Income tax benefit from internal restructuring | 170 | (170) | — | 170 | (170) |
| Tax reform | 38 | (38) | — | 38 | (38) |
| Reversal of income tax valuation allowance | — | 41 | 41 | — | 41 |
| Total Utility | 179 | (137) | 41 | 222 | (180) |
| Parent & Other | |||||
| Income tax item related to a valuation allowance for interest deductibility | — | (11) | (11) | — | (11) |
| Total Parent & Other | — | (11) | (11) | — | (11) |
| EWC | |||||
| Income before income taxes | (474) | 505 | (12) | (610) | 597 |
| Income taxes | 102 | 85 | 161 | 269 | (108) |
| Preferred dividend requirements of subsidiaries | (1) | — | (2) | (2) | — |
| Total EWC | (373) | 590 | 147 | (343) | 490 |
| Total adjustments | (194) | 442 | 177 | (121) | 298 |
| (After-tax, per share in ) (b) | |||||
| Utility | |||||
| Customer sharing associated with internal restructuring | (0.16) | 0.16 | — | (0.16) | 0.16 |
| Income tax benefit from 2012 / 2013 IRS settlement | — | — | — | 0.23 | (0.23) |
| Income tax benefit from internal restructuring | 0.93 | (0.93) | — | 0.93 | (0.93) |
| Tax reform | 0.21 | (0.21) | — | 0.21 | (0.21) |
| Reversal of income tax valuation allowance | — | 0.21 | 0.21 | — | 0.21 |
| Total Utility | 0.98 | (0.77) | 0.21 | 1.21 | (1.00) |
| Parent & Other | |||||
| Income tax item related to a valuation allowance for interest deductibility | — | (0.05) | (0.05) | — | (0.05) |
| Total Parent & Other | — | (0.05) | (0.05) | — | (0.05) |
| EWC | |||||
| Total EWC | (2.04) | 3.12 | 0.74 | (1.87) | 2.61 |
| Total adjustments | (1.06) | 2.30 | 0.90 | (0.66) | 1.56 |
All values are in US Dollars.
Calculations may differ due to rounding
| (b) | Per share amounts are calculated by dividing the corresponding earnings (loss) by the diluted average number of common shares outstanding for the period. |
|---|
| Appendix A-4: Adjustments by Income Statement Line Item (shown as positive/(negative) impact on earnings) | |||||
|---|---|---|---|---|---|
| Fourth Quarter and Year-to-Date 2019 vs. 2018 | |||||
| (Pre-tax except for Income taxes, Preferred dividend, and totals; in millions) | |||||
| Year-to-Date | |||||
| 2018 | Change | 2019 | 2018 | Change | |
| Utility | |||||
| Other regulatory charges | (40) | 40 | — | (40) | 40 |
| Income taxes | 219 | (177) | 41 | 261 | (220) |
| Total Utility | 179 | (137) | 41 | 222 | (180) |
| Parent & Other | |||||
| Income taxes | — | (11) | (11) | — | (11) |
| Total Parent & Other | — | (11) | (11) | — | (11) |
| EWC | |||||
| Operating revenues | 361 | (90) | 1,295 | 1,469 | (174) |
| Fuel and fuel-related expenses | (19) | (2) | (98) | (77) | (21) |
| Purchased power | (61) | 51 | (59) | (115) | 57 |
| Nuclear refueling outage expense | (1) | (12) | (49) | (4) | (45) |
| Other O&M | (208) | 43 | (678) | (808) | 130 |
| Asset write-off and impairments | (235) | 234 | (290) | (532) | 242 |
| Decommissioning expense | (64) | 15 | (237) | (239) | 2 |
| Taxes other than income taxes | (21) | 6 | (60) | (78) | 18 |
| Depreciation/amortization exp. | (34) | (1) | (148) | (150) | 2 |
| Other income (deductions)-other | (185) | 259 | 340 | (42) | 382 |
| Interest exp. and other charges | (8) | 3 | (29) | (34) | 5 |
| Income taxes | 102 | 85 | 161 | 269 | (108) |
| Preferred dividend | (1) | — | (2) | (2) | — |
| Total EWC | (373) | 590 | 147 | (343) | 490 |
| Total adjustments | (194) | 442 | 177 | (121) | 298 |
All values are in US Dollars.
Calculations may differ due to rounding
B: Earnings Variance Analysis
Appendix B-1 and Appendix B-2 provide details of current quarter and year-to-date 2019 versus 2018 as-reported and adjusted earnings variance analysis for Utility, Parent & Other, and EWC.
| Appendix B-1: As-Reported and Adjusted Earnings Variance Analysis (c), (d) | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Fourth Quarter 2019 vs. 2018 | |||||||||
| (After-tax, per share in ) | |||||||||
| Parent & Other | EWC | Consolidated | |||||||
| Adjusted | As-Reported | Adjusted | As-<br><br>Reported | As-<br><br>Reported | Adjusted | ||||
| 2018 earnings | 1.14 | (0.44) | (0.44) | (2.04) | (0.36) | 0.70 | |||
| Operating revenue less: Fuel, fuel-related expenses and gas purchased for resale, Purchased power, and Regulatory charges (credits) | 0.38 | (e) | — | — | (0.18) | (f) | 0.36 | 0.38 | |
| Nuclear refueling outage expense | (0.01) | — | — | (0.05) | (g) | (0.06) | (0.01) | ||
| Other O&M | (0.06) | (h) | 0.01 | 0.01 | 0.18 | (i) | 0.13 | (0.05) | |
| Asset write-offs and impairments | — | — | — | 1.01 | (j) | 1.01 | — | ||
| Decommissioning expense | (0.02) | — | — | 0.07 | (k) | 0.05 | (0.02) | ||
| Taxes other than income taxes | (0.02) | — | — | 0.03 | 0.01 | (0.02) | |||
| Depreciation/amortization exp. | (0.13) | (l) | — | — | — | (0.13) | (0.13) | ||
| Other income (deductions)-other | 0.05 | (m) | (0.06) | (0.06) | (n) | 1.11 | (o) | 1.10 | (0.01) |
| Interest exp. and other charges | (0.06) | (p) | 0.01 | 0.01 | 0.01 | (0.04) | (0.05) | ||
| Income taxes-other | 0.01 | (q) | (0.08) | (0.03) | (r) | 1.04 | (s) | 0.04 | (0.02) |
| Preferred dividend requirements | (0.01) | — | — | — | (0.01) | (0.01) | |||
| Share effect | (0.13) | (t) | 0.05 | 0.05 | (t) | (0.10) | (t) | (0.18) | (0.18) |
| 2019 earnings | 1.14 | (0.51) | (0.46) | 1.08 | 1.92 | 0.68 |
All values are in US Dollars.
| Appendix B-2: As-Reported and Adjusted Earnings Variance Analysis (c), (d) | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Year-to-Date 2019 vs. 2018 | |||||||||
| (After-tax, per share in ) | |||||||||
| Parent & Other | EWC | Consolidated | |||||||
| Adjusted | As-Reported | Adjusted | As-<br><br>Reported | As-<br><br>Reported | Adjusted | ||||
| 2018 earnings | 6.88 | (1.59) | (1.59) | (1.87) | 4.63 | 5.29 | |||
| Operating revenue less: Fuel, fuel-related expenses and gas purchased for resale, Purchased power, and Regulatory charges (credits) | 1.54 | (e) | — | — | (0.60) | (f) | 1.10 | 1.54 | |
| Nuclear refueling outage expense | (0.03) | — | — | (0.19) | (g) | (0.22) | (0.03) | ||
| Other O&M | (0.25) | (h) | 0.02 | 0.02 | 0.56 | (i) | 0.33 | (0.23) | |
| Asset write-offs and impairments | — | — | — | 1.04 | (j) | 1.04 | — | ||
| Decommissioning expense | (0.06) | (u) | — | — | 0.01 | (0.05) | (0.06) | ||
| Taxes other than income taxes | (0.08) | (v) | 0.01 | 0.01 | 0.07 | (w) | — | (0.07) | |
| Depreciation/amortization exp. | (0.45) | (l) | (0.01) | (0.01) | 0.01 | (0.45) | (0.46) | ||
| Other income (deductions)-other | 0.05 | (m) | (0.08) | (0.08) | (n) | 1.65 | (o) | 1.62 | (0.03) |
| Interest exp. and other charges | (0.15) | (p) | (0.01) | (0.01) | 0.02 | (0.14) | (0.16) | ||
| Income taxes-other | 0.05 | (q) | (0.06) | (0.01) | (r) | 0.10 | (s) | (1.07) | 0.04 |
| Preferred dividend requirements | (0.02) | — | — | — | (0.02) | (0.02) | |||
| Share effect | (0.53) | (t) | 0.12 | 0.12 | (t) | (0.06) | (t) | (0.47) | (0.41) |
| 2019 earnings | 6.95 | (1.60) | (1.55) | 0.74 | 6.30 | 5.40 |
All values are in US Dollars.
Calculations may differ due to rounding
| (c) | Utility operating revenue, Utility other O&M and Utility income taxes exclude $52 million, $3 million, and $55 million respectively in fourth quarter 2019 and $215 million, $0 million, and $215 million respectively in fourth quarter 2018 for the return of unprotected excess ADIT to customers (net effect is neutral to earnings). On a year-to-date basis, Utility operating revenue, Utility other O&M and Utility income taxes exclude $268 million, $6 million, and $274 million respectively in 2019 and $770 million, $6 million, and $776 million respectively in 2018 (net effect is neutral to earnings). |
|---|---|
| (d) | EPS effect is calculated by multiplying the pre-tax amount by the estimated income tax rate that is expected to apply and dividing by diluted average number of common shares outstanding for the prior period; income taxes-other represents income tax differences other than the tax effect of individual line items. |
| --- | --- |
| Utility as-reported operating revenue less fuel, fuel-related expenses and gas purchased for resale; purchased power; and regulatory charges (credits) variance analysis2019 vs. 2018 ( EPS) | |
| --- | --- |
| YTD | |
| Volume/weather | (0.30) |
| Retail electric priceReg. charges for lower tax rate | 1.22<br><br>0.40 |
| Reg. provisions for E-AR and E-MS FRPs | 0.18 |
| Reg. liability for tax sharing | 0.16 |
| Other, including Grand Gulf recovery | 0.03 |
| Total | 1.70 |
All values are in US Dollars.
| (e) | The fourth quarter and year-to-date earnings increases were primarily driven by rate activity from E-AR’s FRP; E-LA’s FRP, including recovery of the St. Charles Power Station; E-LA’s AMI rider; E-MS’s FRP; the recovery of the Choctaw Generating Station; and E-TX’s base rate case. The variance also reflected three regulatory charges in fourth quarter 2018: first, a regulatory charge at E-TX to return the benefit of the lower federal tax rate to customers, second, regulatory provisions that lowered earnings into the allowed ranges at E-AR and E-MS as required by their FRPs, and |
|---|
third, a regulatory liability for tax sharing with E-AR customers (this partially offsets the income tax item discussed in footnote q). These increases were partially offset by the net effect of volume/weather. Fourth quarter 2019 results also reflected an accrual for the E-NO rate case decision, which is being appealed. The year-to-date increase also reflected 2018 regulatory charges at E-LA to return the benefit of the lower tax rate to customers.
| (f) | The fourth quarter and year-to-date earnings decreases were due largely to lower revenues from the shutdown of Pilgrim in May 2019, lower capacity prices, and impacts on fuel expense from EWC plant impairments. These were partially offset by higher energy volume from EWC’s other nuclear plants. |
|---|---|
| (g) | The fourth quarter and year-to-date earnings decreases from higher EWC nuclear refueling outage expense were due primarily to increased outage amortization at Palisades due to the plant no longer being impaired. |
| --- | --- |
| (h) | The fourth quarter and year-to-date earnings decreases from higher Utility other O&M reflected higher spending on information technology, initiatives to explore new customer products and services, and compensation and benefits. Also contributing was the gain on a sale of an asset in fourth quarter 2018. This was partially offset by lower nuclear generation spending and from litigation awards from the DOE in connection with spent nuclear fuel storage costs. |
| --- | --- |
| (i) | The fourth quarter and year-to-date earnings increases from lower EWC other O&M were due largely to a decrease in severance and retention expense, as well as the Pilgrim plant shutdown in May 2019. |
| --- | --- |
| (j) | The fourth quarter and year-to-date earnings increases from lower EWC asset write-offs and impairments were due primarily to a revision of Vermont Yankee's ARO, partially offset by a gain on proceeds from the settlement of spent fuel litigation at Pilgrim, both in fourth quarter 2018. |
| --- | --- |
| (k) | The fourth quarter earnings increase from lower EWC decommissioning expense was due to the Pilgrim plant sale in 2019. |
| --- | --- |
| (l) | The fourth quarter and year-to-date earnings decreases from higher Utility depreciation expense were due primarily to higher plant in service, including the St. Charles Power Station, as well as higher new depreciation rates at E-MS and E-TX, partially offset by updated depreciation rates at SERI (offset in operating revenue). The year-to-date decrease also reflected a depreciation adjustment at SERI in the third quarter 2018 (offset in operating revenue). |
| --- | --- |
| (m) | The fourth quarter earnings increase from higher Utility other income (deductions)-other was due largely to differences in decommissioning trust fund returns. Based on regulatory treatment, decommissioning-related variances are largely earnings neutral. The year-to-date earnings increase was due largely to an increase in the allowance for equity funds used during construction due to higher construction work in progress in 2019, which included the Lake Charles Power Station, Montgomery County Power Station, and New Orleans Power Station projects. |
| --- | --- |
| (n) | The fourth quarter and year-to-date earnings decreases from lower Parent & Other other income (deductions)-other were due to the timing of a charitable contribution. |
| --- | --- |
| (o) | The fourth quarter and year-to-date earnings increases from higher EWC other income (deductions)-other were due largely to higher gains on the decommissioning trust fund investments in 2019 as compared to 2018. The year-to-date increase was partially offset by a pension settlement charge in third quarter 2019 related to the exit of the EWC business. |
| --- | --- |
| (p) | The fourth quarter and year-to-date earnings decreases from higher Utility interest expense were due primarily to higher debt balances at E-LA and E-AR. |
| --- | --- |
| (q) | The fourth quarter and year-to-date as-reported earnings decreases from higher Utility income taxes reflected two fourth quarter 2018 tax items and one fourth quarter 2019 tax item, all classified as adjustments. In fourth quarter 2018, approximately $170 million resulting from the restructuring of E-AR (partly offset by customer sharing recorded as a regulatory charge) and $38 million related to the reversal of a tax accrual at E-TX were recorded. In the fourth quarter 2019, a $41 million income tax item was generated through the reversal of a valuation allowance generated as part of the 2018 internal restructuring. The year-to-date earnings decrease also reflected a $43 million income tax benefit which resulted from the settlement of the 2012 / 2013 IRS audit in second quarter 2018. |
| --- | --- |
| (r) | The fourth quarter and year-to-date as-reported earnings decreases from higher Parent & Other income taxes related to a valuation allowance recorded on the expected interest limitation carryover. Approximately $11 million related to tax year 2018 (classified as an adjustment) and approximately $11 million related to tax year 2019. |
| --- | --- |
| (s) | The fourth quarter and year-to-date earnings increases from lower EWC income taxes reflected three items from fourth quarter 2019. First, a restructuring within the EWC business resulted in a reduction in income tax expense of $156 million. Second, a donation to the State University of New York triggered the recognition of an associated tax deduction, resulting in a decrease to tax expense of $19 million. Third, an EWC subsidiary recognized a reduction in tax expense of $18 million. The year-to-date earnings increase was largely offset by three items from 2018 and one from 2019. First, there was $13 million in tax benefits from the settlement of the 2012 / 2013 IRS audit in second quarter 2018. Second, a restructuring of an interest in an EWC decommissioning trust fund resulted in a reduction in income tax expense of $107 million in third quarter 2018. Third, the conclusion of a state income tax audit resulted in a benefit of $23 million in third quarter 2018. Lastly, an accrual of $29 million of tax expense, which resulted from the sale of Vermont Yankee in January 2019 contributed to the year-to-date variance. |
| --- | --- |
| (t) | The fourth quarter and year-to-date earnings per share impacts from share effect were due to settlement of the equity forward (6.8 million shares settled in December 2018 and 8.4 million shares settled in May 2019). |
|---|---|
| (u) | The year-to-date earnings decrease from higher Utility decommissioning expense related to revisions to estimated decommissioning costs liabilities resulting from updated decommissioning cost studies at certain Utility nuclear plants. Based on regulatory treatment, decommissioning-related variances are largely earnings neutral. |
| --- | --- |
| (v) | The year-to date earnings decrease from higher Utility taxes other than income taxes was primarily due to higher ad valorem taxes at E-AR and E-LA. |
| --- | --- |
| (w) | The year-to-date earnings increase from lower EWC taxes other than income taxes was primarily due to lower ad valorem taxes due to a lower assessment at Palisades. |
| --- | --- |
C: Utility Financial and Operating Measures
Appendix C-1 provides comparative summaries of Utility operating and financial measures.
| Appendix C-1: Utility Operating and Financial Measures | ||||||||
|---|---|---|---|---|---|---|---|---|
| Fourth Quarter and Year-to-Date 2019 vs. 2018 | ||||||||
| Fourth Quarter | Year-to-Date | |||||||
| 2019 | 2018 | %<br><br>Change | % Weather Adjusted (x) | 2019 | 2018 | %<br><br>Change | % Weather Adjusted (x) | |
| GWh billed | ||||||||
| Residential | 8,344 | 8,250 | 1.1 | (1.2) | 36,094 | 37,107 | (2.7) | (1.2) |
| Commercial | 6,991 | 7,026 | (0.5) | (2.2) | 28,755 | 29,426 | (2.3) | (1.9) |
| Governmental | 647 | 646 | 0.2 | (0.3) | 2,579 | 2,581 | (0.1) | (0.2) |
| Industrial | 11,974 | 11,882 | 0.8 | 0.8 | 48,483 | 48,384 | 0.2 | 0.2 |
| Total retail sales | 27,956 | 27,804 | 0.5 | (0.6) | 115,911 | 117,498 | (1.4) | (0.8) |
| Wholesale | 3,201 | 2,927 | 9.4 | 13,210 | 11,715 | 12.8 | ||
| Total sales | 31,157 | 30,731 | 1.4 | 129,121 | 129,213 | (0.1) | ||
| Number of electric retail customers | ||||||||
| Residential | 2,500,736 | 2,481,027 | 0.8 | |||||
| Commercial | 359,395 | 356,618 | 0.8 | |||||
| Governmental | 17,768 | 17,839 | (0.4) | |||||
| Industrial | 45,320 | 45,790 | (1.0) | |||||
| Total retail customers | 2,923,219 | 2,901,274 | 0.8 | |||||
| Other O&M and refueling outage expense per MWh | 22.70 | 22.36 | 1.5 | 21.06 | 20.52 | 2.6 |
Calculations may differ due to rounding
| (x) | The effects of weather were estimated using heating degree days and cooling degree days for the billing cycles from certain locations within each jurisdiction and comparing to “normal” weather based on 20-year historical data. The models used to estimate weather are updated periodically and are subject to change. |
|---|
On a weather-adjusted basis for fourth quarter 2019, retail billed sales decreased (0.6) percent. Residential billed sales decreased (1.2) percent primarily due to fewer days billed compared to a year ago. Commercial billed sales decreased (2.2) percent driven by the continued impact of energy efficiency. Industrial billed sales volume increased 0.8 percent driven by continued growth from new/expansion customers, partially offset by lower sales to cogeneration customers.
On a weather-adjusted basis for full year 2019, retail billed sales decreased (0.8) percent. Residential and commercial billed sales decreased (1.2) and (1.9) percent respectively, driven by the continued impact of energy efficiency. Fewer days billed also contributed to the residential billed sales decrease. Industrial billed sales volume increased 0.2 percent driven by continued growth from new/expansion customers, partially offset by lower sales to cogeneration customers.
D: EWC Financial and Operating Measures
Appendix D-1 provides a comparative summary of EWC adjusted EBITDA (non-GAAP).
| Appendix D-1: EWC Adjusted EBITDA - Reconciliation of GAAP to Non-GAAP Measures | ||||||
|---|---|---|---|---|---|---|
| Fourth Quarter and Year-to-Date 2019 vs. 2018 | ||||||
| ($ in millions) | Fourth Quarter | Year-to-Date | ||||
| 2019 | 2018 | Change | 2019 | 2018 | Change | |
| Net income (loss) | 218 | (372) | 590 | 149 | (341) | 490 |
| Add back: interest expense | 5 | 8 | (3) | 29 | 34 | (5) |
| Add back: income taxes | (187) | (102) | (85) | (161) | (269) | 108 |
| Add back: depreciation and amortization | 34 | 34 | 0 | 148 | 150 | (2) |
| Subtract: interest and investment income | 99 | (169) | 268 | 415 | 15 | 400 |
| Add back: decommissioning expense | 49 | 64 | (15) | 237 | 239 | (2) |
| Adjusted EBITDA (non-GAAP) | 20 | (199) | 219 | (13) | (202) | 189 |
Calculations may differ due to rounding
Appendix D-2 provides a comparative summary of EWC operating and financial measures.
| Appendix D-2: EWC Operating and Financial Measures | ||||||
|---|---|---|---|---|---|---|
| Fourth Quarter and Year-to-Date 2019 vs. 2018 | ||||||
| Fourth Quarter | Year-to-Date | |||||
| 2019 | 2018 | % Change | 2019 | 2018 | % Change | |
| Owned capacity (MW) (y) | 3,274 | 3,962 | (17.4) | 3,274 | 3,962 | (17.4) |
| GWh billed | 6,780 | 8,022 | (15.5) | 28,088 | 29,875 | (6.0) |
| EWC Nuclear Fleet | ||||||
| Capacity factor | 99% | 78% | 26.9 | 93% | 84% | 10.7 |
| GWh billed | 6,326 | 7,520 | (15.9) | 25,928 | 27,617 | (6.1) |
| Production cost per MWh | $17.71 | $18.79 | (5.7) | $18.29 | $17.68 | 3.5 |
| Average energy/capacity revenue per MWh | $35.73 | $48.97 | (27.0) | $43.88 | $49.13 | (10.7) |
| Refueling outage days | ||||||
| Indian Point 2 | — | — | — | 33 | ||
| Indian Point 3 | — | — | 29 | — | ||
| Palisades | — | 61 | — | 61 |
Calculations may differ due to rounding
| (y) | Fourth quarter and year-to-date 2019 exclude Pilgrim (688MW), which was shut down May 31, 2019 and sold August 26, 2019. |
|---|
See the appendix in the webcast slide presentation for EWC hedging and price disclosures.
E: Consolidated Financial Measures
Appendix E provides comparative financial measures. Financial measures in this table include those calculated and presented in accordance with GAAP, as well as those that are considered non-GAAP financial measures.
| Appendix E: GAAP and Non-GAAP Financial Measures | |||
|---|---|---|---|
| Fourth Quarter 2019 vs. 2018 (See Appendix G for reconciliation of GAAP to non-GAAP financial measures) | |||
| For 12 months ending December 31 | 2019 | 2018 | Change |
| GAAP Measures | |||
| As-reported ROIC | 6.3% | 5.3% | 1.0% |
| As-reported ROE | 13.0% | 10.1% | 2.9% |
| Non-GAAP Measures | |||
| Adjusted ROIC | 5.6% | 5.7% | (0.1)% |
| Adjusted ROE | 11.2% | 11.5% | (0.3)% |
| As of December 31 ($ in millions) | 2019 | 2018 | Change |
| GAAP Measures | |||
| Cash and cash equivalents | 426 | 481 | (55) |
| Revolver capacity | 3,810 | 4,056 | (246) |
| Commercial paper | 1,947 | 1,942 | 5 |
| Total debt | 19,885 | 18,133 | 1,752 |
| Securitization debt | 298 | 424 | (126) |
| Debt to capital | 65.5% | 66.7% | (1.2)% |
| Off-balance sheet liabilities: | |||
| Debt of joint ventures - Entergy’s share | 54 | 61 | (7) |
| Leases - Entergy’s share (z) | — | 448 | (448) |
| Power purchase agreements accounted for as leases (z) | — | 106 | (106) |
| Total off-balance sheet liabilities | 54 | 615 | (561) |
| Non-GAAP Measures | |||
| Debt to capital, excluding securitization debt | 65.1% | 66.1% | (1.0)% |
| Gross liquidity | 4,236 | 4,537 | (301) |
| Net debt to net capital, excluding securitization debt | 64.6% | 65.5% | (0.9)% |
| Parent debt to total debt, excluding securitization debt | 21.6% | 22.6% | (1.0)% |
| FFO to debt, excluding securitization debt | 14.6% | 11.7% | 2.9% |
| FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC | 16.8% | 15.3% | 1.5% |
Calculations may differ due to rounding
| (z) | As of January 1, 2019, Entergy adopted Financial Accounting Standards Board Accounting Standards Codification 842, the new lease accounting standard. As a result, Entergy re-evaluated all agreements and put all agreements that qualified as operating leases on the balance sheet, and there are no longer any off-balance sheet liabilities for leases. |
|---|
F: Definitions and Abbreviations and Acronyms
Appendix F-1 provides definitions of certain operating measures, as well as GAAP and non-GAAP financial measures.
| Appendix F-1: Definitions | |
|---|---|
| Utility Financial and Operating Measures | |
| GWh billed | Total number of GWh billed to retail and wholesale customers |
| Other O&M and refueling outage expense per MWh | Other operation and maintenance expense plus nuclear refueling outage expense per MWh of billed sales |
| Number of electric retail customers | Number of electric customers at the end of the period |
| EWC Financial and Operating Measures | |
| Adjusted EBITDA (non-GAAP) | Earnings before interest, income taxes, and depreciation and amortization, and excluding decommissioning expense |
| Average revenue under contract per kW-month (applies to capacity contracts only) | Revenue on a per unit basis at which capacity is expected to be sold to third parties, given existing contract prices and/or auction awards |
| Average revenue per MWh on contracted volumes | Revenue on a per unit basis at which generation output reflected in contracts is expected to be sold to third parties (including offsetting positions) at the minimum contract prices and at forward market prices at a point in time, given existing contract or option exercise prices based on expected dispatch or capacity, excluding the revenue associated with the amortization of the below-market PPA for Palisades. Revenue will fluctuate due to factors including positive or negative basis differentials and other risk management costs |
| Bundled capacity and energy contracts | A contract for the sale of installed capacity and related energy, priced per MWh sold |
| Capacity contracts | A contract for the sale of the installed capacity product in regional markets managed by NYISO and MISO |
| Capacity factor | Normalized percentage of the period that the nuclear plants generate power |
| Expected sold and market total revenue per MWh | Total energy and capacity revenue on a per unit basis at which total planned generation output and capacity is expected to be sold given contract terms and market prices at a point in time, including positive or negative basis differentials and other risk management costs, divided by total planned MWh of generation, excluding the revenue associated with the amortization of the Palisades below-market PPA |
| Appendix F-1: Definitions (continued) | ||
|---|---|---|
| EWC Financial and Operating Measures (continued) | ||
| GWh billed | Total number of GWh billed to customers and financially-settled instruments | |
| Owned capacity (MW) | Installed capacity owned by EWC | |
| Percent of capacity sold forward | Percent of planned qualified capacity sold to mitigate price uncertainty under physical or financial transactions | |
| Percent of planned generation under contract | Percent of planned generation output sold or purchased forward under contracts, forward physical contracts, forward financial contracts, or options that mitigate price uncertainty that may or may not require regulatory approval or approval of transmission rights or other conditions precedent; positions that are no longer classified as hedges are netted in the planned generation under contract | |
| Planned net MW in operation | Amount of installed capacity to generate power and/or sell capacity, assuming intent to shutdown Indian Point 2 (April 30, 2020), Indian Point 3 (April 30, 2021), and Palisades (May 31, 2022) | |
| Planned TWh of generation | Amount of output expected to be generated by EWC resources considering plant operating characteristics and outage schedules, assuming intent to shutdown Indian Point 2 (April 30, 2020), Indian Point 3 (April 30, 2021), and Palisades (May 31, 2022) | |
| Production cost per MWh | Fuel and other O&M expenses according to accounting standards that directly relate to the production of electricity per MWh (based on net generation) | |
| Refueling outage days | Number of days lost for a scheduled refueling and maintenance outage during the period | |
| Unit-contingent | Transaction under which power is supplied from a specific generation asset; if the asset is in operational outage, seller is generally not liable to buyer for any damages, unless the contract specifies certain conditions such as an availability guarantee | |
| Financial Measures - GAAP | ||
| As-reported ROE | 12-months rolling net income attributable to Entergy Corporation divided by average common equity | |
| As-reported ROIC | 12-months rolling net income attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense divided by average invested capital | |
| Debt of joint ventures - Entergy’s share | Entergy’s share of debt issued by business joint ventures at EWC | |
| Debt to capital | Total debt divided by total capitalization | |
| Leases - Entergy’s share | Operating leases held by subsidiaries capitalized at implicit interest rate | |
| Revolver capacity | Amount of undrawn capacity remaining on corporate and subsidiary revolvers | |
| Securitization debt | Debt on the balance sheet associated with securitization bonds that is secured by certain future customer collections | |
| Total debt | Sum of short-term and long-term debt, notes payable and commercial paper, and capital leases on the balance sheet |
| Appendix F-1: Definitions (continued) | |
|---|---|
| Financial Measures - Non-GAAP | |
| Adjusted EPS | As-reported EPS excluding adjustments |
| Adjusted ROE | 12-months rolling adjusted net income attributable to Entergy Corporation divided by average common equity |
| Adjusted ROIC | 12-months rolling adjusted net income attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense divided by average invested capital |
| Adjustments | Unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as the results of the EWC segment, significant tax items, and other items such as certain costs, expenses, or other specified items |
| Debt to capital, excluding securitization debt | Total debt divided by total capitalization, excluding securitization debt |
| FFO | OCF less AFUDC-borrowed funds, working capital items in OCF (receivables, fuel inventory, accounts payable, taxes accrued, interest accrued, and other working capital accounts), and securitization regulatory charges |
| FFO to debt, excluding securitization debt | 12-months rolling adjusted FFO as a percentage of end of period total debt excluding securitization debt |
| FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC | 12-months rolling adjusted FFO excluding return of unprotected excess ADIT and severance and retention payments associated with exit of EWC as a percentage of end of period total debt excluding securitization debt |
| Gross liquidity | Sum of cash and revolver capacity |
| Net debt to net capital, excluding securitization debt | Total debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents, excluding securitization debt |
| Parent debt to total debt, excluding securitization debt | End of period Entergy Corporation debt, including amounts drawn on credit revolver and commercial paper facilities, as a percent of consolidated total debt, excluding securitization debt |
Appendix F-2 explains abbreviations and acronyms used in the quarterly earnings materials.
| Appendix F-2: Abbreviations and Acronyms | |||
|---|---|---|---|
| ADIT<br><br>AFUDC -<br><br>borrowed funds<br><br>ALJ<br><br>AMI<br><br>ANO<br><br><br><br>APSC<br><br>ARO<br><br>bps<br><br>CCGT<br><br>CCN<br><br>CCNO<br><br>Choctaw<br><br>COD<br><br>CT<br><br>CWIP<br><br>DCRF<br><br>DOE<br><br>E-AR<br><br>E-LA<br><br>E-MS<br><br>E-NO<br><br>E-TX<br><br>EBITDA<br><br><br><br>ENP<br><br>EPS<br><br>ETR<br><br>EWC<br><br>FERC<br><br>FFO<br><br>FRP<br><br>GAAP<br><br>Grand Gulf or GGNS<br><br>Indian Point 1<br><br><br><br>Indian Point 2<br><br>or IP2<br><br>Indian Point 3<br><br>or IP3<br><br>IPEC<br><br>ISES 2<br><br><br><br>IRS | Accumulated deferred income taxes<br><br>Allowance for borrowed funds used during construction<br><br>Administrative law judge<br><br>Advanced metering infrastructure<br><br>Units 1 and 2 of Arkansas Nuclear One owned by E-AR (nuclear)<br><br>Arkansas Public Service Commission<br><br>Asset retirement obligation<br><br>Basis points<br><br>Combined cycle gas turbine<br><br>Certificate of convenience and necessity<br><br>Council of the City of New Orleans<br><br>Choctaw County Generating Station (CCGT)<br><br>Commercial operation date<br><br>Simple cycle combustion turbine<br><br>Construction work in progress<br><br>Distribution cost recovery factor<br><br>U.S. Department of Energy<br><br>Entergy Arkansas, LLC<br><br>Entergy Louisiana, LLC<br><br>Entergy Mississippi, LLC<br><br>Entergy New Orleans, LLC<br><br>Entergy Texas, Inc.<br><br>Earnings before interest, income taxes, and depreciation and amortization<br><br>Entergy Nuclear Palisades, LLC<br><br>Earnings per share<br><br>Entergy Corporation<br><br>Entergy Wholesale Commodities<br><br>Federal Energy Regulatory Commission<br><br>Funds from operations<br><br>Formula rate plan<br><br>U.S. generally accepted accounting principles<br><br>Unit 1 of Grand Gulf Nuclear Station (nuclear), 90% owned or leased by SERI<br><br>Indian Point Energy Center Unit 1 (nuclear) (shut down in 1974)<br><br>Indian Point Energy Center Unit 2 (nuclear)<br><br><br><br>Indian Point Energy Center Unit 3 (nuclear)<br><br><br><br>Indian Point Energy Center (nuclear)<br><br>Unit 2 of Independence Steam Electric Station (coal)<br><br>Internal Revenue Service | ISO<br><br>LCPS<br><br>LPSC<br><br>LTM<br><br>MCPS<br><br>MISO<br><br>Moody’s<br><br>MPSC<br><br>MTEP<br><br>Nelson 6<br><br>NDT<br><br>NOPS<br><br>NRC<br><br>NY PSC<br><br>NYISO<br><br>NYSE<br><br>OCF<br><br>OpCo<br><br>OPEB<br><br>Other O&M<br><br><br><br>P&O<br><br>Palisades<br><br>Pilgrim<br><br><br><br>PMR<br><br>PPA<br><br><br><br>PSC<br><br>PUCT<br><br>RICE<br><br>RFP<br><br>ROE<br><br>ROIC<br><br>RS Cogen<br><br>RSP<br><br>S&P<br><br>SCPS<br><br>SEC<br><br>SERI<br><br>TCRF<br><br>UPSA<br><br>Vermont<br><br>Yankee<br><br>WACC<br><br>WPEC | Independent system operator<br><br>Lake Charles Power Station (CCGT)<br><br>Louisiana Public Service Commission<br><br>Last twelve months<br><br>Montgomery County Power Station (CCGT)<br><br>Midcontinent Independent System Operator, Inc.<br><br>Moody’s Investor Service<br><br>Mississippi Public Service Commission<br><br>MISO Transmission Expansion Plan<br><br>Unit 6 of Roy S. Nelson plant (coal)<br><br>Nuclear decommissioning trust<br><br>New Orleans Power Station<br><br>U.S. Nuclear Regulatory Commission<br><br>New York Public Service Commission<br><br>New York Independent System Operator, Inc.<br><br>New York Stock Exchange<br><br>Net cash flow provided by operating activities<br><br>Utility operating company<br><br>Other post-employment benefits<br><br>Other non-fuel operation and maintenance expense<br><br>Parent & Other<br><br>Palisades Power Plant (nuclear)<br><br>Pilgrim Nuclear Power Station (nuclear, sold August 26, 2019)<br><br>Performance Management Rider<br><br>Power purchase agreement or purchased power agreement<br><br>Public service commission<br><br>Public Utility Commission of Texas<br><br>Reciprocating internal combustion engine<br><br>Request for proposals<br><br>Return on equity<br><br>Return on invested capital<br><br>RS Cogen facility (CCGT cogeneration)<br><br>Rate Stabilization Plan (E-LA Gas)<br><br>Standard & Poor’s<br><br>St. Charles Power Station (CCGT)<br><br>U.S. Securities and Exchange Commission<br><br>System Energy Resources, Inc.<br><br>Transmission cost recovery factor<br><br>Unit Power Sales Agreement<br><br>Vermont Yankee Nuclear Power Station (nuclear, sold January 11, 2019)<br><br>Weighted-average cost of capital<br><br>Washington Parish Energy Center |
G: Other GAAP to Non-GAAP Reconciliations
Appendix G-1 and Appendix G-2 provide reconciliations of various non-GAAP financial measures disclosed in this news release to their most comparable GAAP measure.
| Appendix G-1: Reconciliation of GAAP to Non-GAAP Financial Measures - ROIC, ROE | ||
|---|---|---|
| ( in millions except where noted) | Fourth Quarter | |
| 2019 | 2018 | |
| As-reported net income (loss) attributable to Entergy Corporation, rolling 12 months | 1,241 | 849 |
| Preferred dividends | 17 | 14 |
| Tax-effected interest expense | 554 | 527 |
| As-reported net income (loss) attributable to Entergy Corporation, rolling 12 months adjusted for preferred dividends and tax-effected interest expense | 1,812 | 1,390 |
| Adjustments in prior three quarters | (70) | 73 |
| Adjustments in current quarter | 248 | (194) |
| Total adjustments, last 12 months | 177 | (121) |
| EWC preferred dividends and tax-effected interest expense, rolling 12 months | 25 | 29 |
| Total adjustments, adding back EWC preferred dividends and tax-effected interest expense (non-GAAP) | 202 | (92) |
| Adjusted earnings, rolling 12 months (non-GAAP) | 1,064 | 970 |
| Adjusted earnings, rolling 12 months including preferred dividends and tax- effected interest expense (non-GAAP) | 1,610 | 1,482 |
| Average invested capital | 28,780 | 26,032 |
| Average common equity | 9,534 | 8,418 |
| As-reported ROIC | 6.3% | 5.3% |
| Adjusted ROIC (non-GAAP) | 5.6% | 5.7% |
| As-reported ROE | 13.0% | 10.1% |
| Adjusted ROE (non-GAAP) | 11.2% | 11.5% |
All values are in US Dollars.
Calculations may differ due to rounding
| Appendix G-2: Reconciliation of GAAP to Non-GAAP Financial Measures - Debt Ratios excluding Securitization Debt; Gross Liquidity; FFO to Debt, excluding Securitization Debt; FFO to Debt, excluding Securitization Debt, Return of Unprotected Excess ADIT, and Severance and Retention Payments Associated with Exit of EWC | ||
|---|---|---|
| ( in millions except where noted) | Fourth Quarter | |
| 2019 | 2018 | |
| Total debt | 19,885 | 18,133 |
| Less securitization debt | 298 | 424 |
| Total debt, excluding securitization debt | 19,587 | 17,709 |
| Less cash and cash equivalents | 426 | 481 |
| Net debt, excluding securitization debt | 19,161 | 17,228 |
| Total capitalization | 30,363 | 27,196 |
| Less securitization debt | 298 | 424 |
| Total capitalization, excluding securitization debt | 30,065 | 26,772 |
| Less cash and cash equivalents | 426 | 481 |
| Net capital, excluding securitization debt | 29,639 | 26,291 |
| Debt to capital | 65.5% | 66.7% |
| Debt to capital, excluding securitization debt (non-GAAP) | 65.1% | 66.1% |
| Net debt to net capital, excluding securitization debt (non-GAAP) | 64.6% | 65.5% |
| Revolver capacity | 3,810 | 4,056 |
| Gross liquidity (non-GAAP) | 4,236 | 4,537 |
| Entergy Corporation notes: | ||
| Due September 2020 | 450 | 450 |
| Due July 2022 | 650 | 650 |
| Due September 2026 | 750 | 750 |
| Total parent long-term debt | 1,850 | 1,850 |
| Revolver draw | 440 | 220 |
| Commercial paper | 1,947 | 1,942 |
| Unamortized debt issuance costs and discounts | (8) | (10) |
| Total parent debt | 4,229 | 4,002 |
| Parent debt to total debt, excluding securitization debt (non-GAAP) | 21.6% | 22.6% |
All values are in US Dollars.
Calculations may differ due to rounding
| Appendix G-2: Reconciliation of GAAP to Non-GAAP Financial Measures - Debt Ratios excluding Securitization Debt; Gross Liquidity; FFO to Debt, excluding Securitization Debt; FFO to Debt, excluding Securitization Debt, Return of Unprotected Excess ADIT, and Severance and Retention Payments Associated with Exit of EWC (continued) | ||
|---|---|---|
| ( in millions except where noted) | Fourth Quarter | |
| 2019 | 2018 | |
| Total debt | 19,885 | 18,133 |
| Less securitization debt | 298 | 424 |
| Total debt, excluding securitization debt | 19,587 | 17,709 |
| Net cash flow provided by operating activities, rolling 12 months | 2,817 | 2,385 |
| AFUDC - borrowed funds, rolling 12 months | (65) | (61) |
| Working capital items in net cash flow provided by operating activities (rolling 12 months): | ||
| Receivables | (101) | 99 |
| Fuel inventory | (28) | 46 |
| Accounts payable | (72) | 97 |
| Taxes accrued | (21) | 39 |
| Interest accrued | 1 | 5 |
| Other working capital accounts | (3) | (164) |
| Securitization regulatory charges | 122 | 124 |
| Total | (102) | 246 |
| FFO, rolling 12 months (non-GAAP) | 2,854 | 2,079 |
| FFO to debt, excluding securitization debt (non-GAAP) | 14.6% | 11.7% |
| Estimated return of unprotected excess ADIT (rolling 12 months) | 301 | 592 |
| Severance and retention payments associated with exit of EWC (rolling 12 months pre-tax) | 141 | 43 |
| FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC (non-GAAP) | 16.8% | 15.3% |
All values are in US Dollars.
Calculations may differ due to rounding
Financial Statements
| Entergy Corporation | |||||||
|---|---|---|---|---|---|---|---|
| Consolidating Balance Sheet | |||||||
| December 31, 2019 | |||||||
| (Dollars in thousands) | |||||||
| (Unaudited) | |||||||
| Utility | Parent & Other | Entergy Wholesale Commodities | |||||
| ASSETS | |||||||
| CURRENT ASSETS | |||||||
| Cash and cash equivalents: | |||||||
| Cash | 28,010 | 4,858 | 1,374 | 34,242 | |||
| Temporary cash investments | 173,613 | 10,192 | 207,675 | ||||
| Total cash and cash equivalents | 201,623 | 15,050 | 209,049 | ||||
| Notes receivable | — | (514,116 | 514,116 | ||||
| Accounts receivable: | |||||||
| Customer | 512,228 | — | 83,281 | ||||
| Allowance for doubtful accounts | (7,404 | — | — | ||||
| Associated companies | 20,481 | (25,572 | 5,091 | ||||
| Other | 210,452 | 817 | 8,601 | ||||
| Accrued unbilled revenues | 400,617 | — | — | ||||
| Total accounts receivable | 1,136,374 | (24,755 | 96,973 | ||||
| Fuel inventory - at average cost | 140,010 | — | 5,466 | ||||
| Materials and supplies - at average cost | 792,192 | — | 32,797 | ||||
| Deferred nuclear refueling outage costs | 120,110 | — | 37,458 | ||||
| Prepayments and other | 171,874 | (16,346 | 128,117 | ||||
| TOTAL | 2,562,183 | (540,167 | 1,023,976 | ||||
| OTHER PROPERTY AND INVESTMENTS | |||||||
| Investment in affiliates - at equity | 1,468,991 | (1,469,077 | 86 | ||||
| Decommissioning trust funds | 3,719,193 | — | 2,684,837 | ||||
| Non-utility property - at cost (less accumulated depreciation) | 319,504 | (5 | 13,365 | ||||
| Other | 492,245 | — | 4,207 | ||||
| TOTAL | 5,999,933 | (1,469,082 | 2,702,495 | ||||
| PROPERTY, PLANT, AND EQUIPMENT | |||||||
| Electric | 53,298,795 | 10,633 | 962,039 | ||||
| Natural gas | 547,110 | — | — | ||||
| Construction work in progress | 2,813,416 | 245 | 9,630 | ||||
| Nuclear fuel | 612,900 | — | 64,281 | ||||
| TOTAL PROPERTY, PLANT, AND EQUIPMENT | 57,272,221 | 10,878 | 1,035,950 | ||||
| Less - accumulated depreciation and amortization | 22,364,188 | 2,044 | 770,124 | ||||
| PROPERTY, PLANT, AND EQUIPMENT - NET | 34,908,033 | 8,834 | 265,826 | ||||
| DEFERRED DEBITS AND OTHER ASSETS | |||||||
| Regulatory assets: | |||||||
| Other regulatory assets | 5,292,055 | — | — | ||||
| Deferred fuel costs | 239,892 | — | — | ||||
| Goodwill | 374,099 | — | 3,073 | ||||
| Accumulated deferred income taxes | 59,425 | 1,022 | 4,014 | ||||
| Other | 122,044 | 10,680 | 155,577 | ||||
| TOTAL | 6,087,515 | 11,702 | 162,664 | ||||
| TOTAL ASSETS | 49,557,664 | (1,988,713 | 4,154,961 | 51,723,912 | |||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||||
|---|---|---|---|---|---|---|---|
| Consolidating Balance Sheet | |||||||
| December 31, 2019 | |||||||
| (Dollars in thousands) | |||||||
| (Unaudited) | |||||||
| Parent & Other | Entergy Wholesale Commodities | Consolidated | |||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
| CURRENT LIABILITIES | |||||||
| Currently maturing long-term debt | 345,012 | 450,000 | — | 795,012 | |||
| Notes payable and commercial paper: | |||||||
| Other | 1,946,727 | — | 1,946,727 | ||||
| Account payable: | |||||||
| Associated companies | (48,342 | 13,964 | — | ||||
| Other | 60 | 196,096 | 1,499,861 | ||||
| Customer deposits | — | — | 409,171 | ||||
| Taxes accrued | (957 | (26,713 | 233,455 | ||||
| Interest accrued | 26,649 | 148 | 194,129 | ||||
| Deferred fuel costs | — | — | 197,687 | ||||
| Pension and other postretirement liabilities | — | 16,836 | 66,184 | ||||
| Current portion of unprotected excess accumulated deferred | |||||||
| income taxes | 76,457 | ||||||
| Other | 1,837 | 19,616 | 201,780 | ||||
| TOTAL | 2,375,974 | 219,947 | 5,620,463 | ||||
| NON-CURRENT LIABILITIES | |||||||
| Accumulated deferred income taxes and taxes accrued | (374,582 | (1,123,429 | 4,401,190 | ||||
| Accumulated deferred investment tax credits | — | — | 207,113 | ||||
| Regulatory liability for income taxes - net | — | — | 1,633,159 | ||||
| Other regulatory liabilities | — | — | 1,961,005 | ||||
| Decommissioning and retirement cost liabilities | — | 2,466,638 | 6,159,212 | ||||
| Accumulated provisions | — | 322 | 534,028 | ||||
| Pension and other postretirement liabilities | — | 656,884 | 2,798,265 | ||||
| Long-term debt | 1,832,047 | 139,000 | 17,078,643 | ||||
| Other | (446,069 | 55,043 | 852,749 | ||||
| TOTAL | 1,011,396 | 2,194,458 | 35,625,364 | ||||
| Subsidiaries' preferred stock without sinking fund | — | 24,249 | 219,410 | ||||
| EQUITY | |||||||
| Common stock, .01 par value, authorized 500,000,000 shares; | |||||||
| issued 270,035,180 shares in 2019 | (2,172,151 | 201,103 | 2,700 | ||||
| Paid-in capital | 882,286 | 1,564,423 | 6,564,436 | ||||
| Retained earnings | 947,932 | 295,180 | 9,257,609 | ||||
| Accumulated other comprehensive income loss | — | (344,399 | (446,920 | ||||
| Less - treasury stock, at cost (70,886,400 shares in 2019) | 5,034,150 | — | 5,154,150 | ||||
| TOTAL COMMON SHAREHOLDERS' EQUITY | (5,376,083 | 1,716,307 | 10,223,675 | ||||
| Subsidiaries' preferred stock without sinking fund | — | — | 35,000 | ||||
| TOTAL | (5,376,083 | 1,716,307 | 10,258,675 | ||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 49,557,664 | (1,988,713 | 4,154,961 | 51,723,912 | |||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||||
|---|---|---|---|---|---|---|---|
| Consolidating Balance Sheet | |||||||
| December 31, 2018 | |||||||
| (Dollars in thousands) | |||||||
| (Unaudited) | |||||||
| Utility | Parent & Other | Entergy Wholesale Commodities | |||||
| ASSETS | |||||||
| CURRENT ASSETS | |||||||
| Cash and cash equivalents: | |||||||
| Cash | 52,362 | 4,096 | 232 | 56,690 | |||
| Temporary cash investments | 207,590 | 3,792 | 212,903 | ||||
| Total cash and cash equivalents | 259,952 | 7,888 | 213,135 | ||||
| Notes receivable | — | (511,786 | 511,786 | ||||
| Accounts receivable: | |||||||
| Customer | 481,059 | — | 77,435 | ||||
| Allowance for doubtful accounts | (7,322 | — | — | ||||
| Associated companies | 28,949 | (32,855 | 3,906 | ||||
| Other | 157,656 | — | 10,066 | ||||
| Accrued unbilled revenues | 395,511 | — | — | ||||
| Total accounts receivable | 1,055,853 | (32,855 | 91,407 | ||||
| Deferred fuel costs | 27,251 | — | — | ||||
| Fuel inventory - at average cost | 113,698 | — | 3,606 | ||||
| Materials and supplies - at average cost | 719,438 | — | 33,405 | ||||
| Deferred nuclear refueling outage costs | 147,796 | — | 83,164 | ||||
| Prepayments and other | 171,199 | (16,113 | 79,240 | ||||
| TOTAL | 2,495,187 | (552,866 | 1,015,743 | ||||
| OTHER PROPERTY AND INVESTMENTS | |||||||
| Investment in affiliates - at equity | 1,430,792 | (1,430,878 | 86 | ||||
| Decommissioning trust funds | 3,066,588 | — | 3,853,576 | ||||
| Non-utility property - at cost (less accumulated depreciation) | 293,182 | (14 | 11,214 | ||||
| Other | 436,981 | — | 284 | ||||
| TOTAL | 5,227,543 | (1,430,892 | 3,865,160 | ||||
| PROPERTY, PLANT, AND EQUIPMENT | |||||||
| Electric | 48,275,159 | 9,585 | 911,834 | ||||
| Property under capital lease | 634,908 | — | — | ||||
| Natural gas | 496,150 | — | — | ||||
| Construction work in progress | 2,815,214 | 270 | 73,155 | ||||
| Nuclear fuel | 753,513 | — | 107,759 | ||||
| TOTAL PROPERTY, PLANT, AND EQUIPMENT | 52,974,944 | 9,855 | 1,092,748 | ||||
| Less - accumulated depreciation and amortization | 21,430,017 | 198 | 672,886 | ||||
| PROPERTY, PLANT, AND EQUIPMENT - NET | 31,544,927 | 9,657 | 419,862 | ||||
| DEFERRED DEBITS AND OTHER ASSETS | |||||||
| Regulatory assets: | |||||||
| Other regulatory assets | 4,746,496 | — | — | ||||
| Deferred fuel costs | 239,496 | — | — | ||||
| Goodwill | 374,099 | — | 3,073 | ||||
| Accumulated deferred income taxes | 41,969 | 2,677 | 9,947 | ||||
| Other | 107,450 | 10,048 | 145,490 | ||||
| TOTAL | 5,509,510 | 12,725 | 158,510 | ||||
| TOTAL ASSETS | 44,777,167 | (1,961,376 | 5,459,275 | 48,275,066 | |||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||||
|---|---|---|---|---|---|---|---|
| Consolidating Balance Sheet | |||||||
| December 31, 2018 | |||||||
| (Dollars in thousands) | |||||||
| (Unaudited) | |||||||
| Parent & Other | Entergy Wholesale Commodities | Consolidated | |||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
| CURRENT LIABILITIES | |||||||
| Currently maturing long-term debt | 650,009 | — | — | 650,009 | |||
| Notes payable and commercial paper: | |||||||
| Associated companies | (227,298 | 227,298 | — | ||||
| Other | 1,942,339 | — | 1,942,339 | ||||
| Account payable: | |||||||
| Associated companies | (51,435 | 22,300 | — | ||||
| Other | 45 | 321,704 | 1,496,058 | ||||
| Customer deposits | — | — | 411,505 | ||||
| Taxes accrued | (18,490 | 5,053 | 254,241 | ||||
| Interest accrued | 26,401 | 199 | 193,192 | ||||
| Deferred fuel costs | — | — | 52,396 | ||||
| Obligations under capital leases | — | — | 1,617 | ||||
| Pension and other postretirement liabilities | — | 12,136 | 61,240 | ||||
| Current portion of unprotected excess accumulated deferred | |||||||
| income taxes | — | — | 248,127 | ||||
| Other | 1,638 | 39,014 | 132,820 | ||||
| TOTAL | 1,673,200 | 627,704 | 5,443,544 | ||||
| NON-CURRENT LIABILITIES | |||||||
| Accumulated deferred income taxes and taxes accrued | (317,012 | (1,034,503 | 4,107,152 | ||||
| Accumulated deferred investment tax credits | — | — | 213,101 | ||||
| Obligations under capital leases | — | — | 20,378 | ||||
| Regulatory liability for income taxes - net | — | — | 1,817,021 | ||||
| Other regulatory liabilities | — | — | 1,620,254 | ||||
| Decommissioning and retirement cost liabilities | — | 3,111,124 | 6,355,543 | ||||
| Accumulated provisions | — | 618 | 514,107 | ||||
| Pension and other postretirement liabilities | — | 678,201 | 2,616,085 | ||||
| Long-term debt | 2,060,192 | 139,000 | 15,518,303 | ||||
| Other | (397,003 | 642,009 | 985,871 | ||||
| TOTAL | 1,346,177 | 3,536,449 | 33,767,815 | ||||
| Subsidiaries' preferred stock without sinking fund | — | 24,249 | 219,402 | ||||
| COMMON EQUITY | |||||||
| Common stock, .01 par value, authorized 500,000,000 shares; | |||||||
| issued 261,587,009 shares in 2018 | (2,172,235 | 201,103 | 2,616 | ||||
| Paid-in capital | 767,625 | 1,319,042 | 5,951,431 | ||||
| Retained earnings | 1,577,576 | 211,692 | 8,721,150 | ||||
| Accumulated other comprehensive income (loss) | — | (460,964 | (557,173 | ||||
| Less - treasury stock, at cost (72,530,866 shares in 2018) | 5,153,719 | — | 5,273,719 | ||||
| TOTAL | (4,980,753 | 1,270,873 | 8,844,305 | ||||
| TOTAL LIABILITIES AND EQUITY | 44,777,167 | (1,961,376 | 5,459,275 | 48,275,066 | |||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||
|---|---|---|---|---|---|
| Consolidating Income Statement | |||||
| Three Months Ended December 31, 2019 | |||||
| (Dollars in thousands) | |||||
| (Unaudited) | |||||
| Utility | Parent & Other | Entergy Wholesale Commodities | Consolidated | ||
| OPERATING REVENUES | |||||
| Electric | ) | ||||
| Natural gas | 41,037 | — | — | 41,037 | |
| Competitive businesses | — | 11 | 270,962 | 270,973 | |
| Total | 2,191,344 | — | 270,962 | 2,462,306 | |
| OPERATING EXPENSES | |||||
| Operating and Maintenance: | |||||
| Fuel, fuel related expenses, and gas purchased for resale | 465,236 | (10 | ) | 21,820 | 487,046 |
| Purchased power | 181,177 | 10 | 9,966 | 191,153 | |
| Nuclear refueling outage expenses | 39,254 | — | 12,226 | 51,480 | |
| Other operation and maintenance | 668,148 | 8,670 | 164,946 | 841,764 | |
| Asset write-offs, impairments and related charges | — | — | 1,544 | 1,544 | |
| Decommissioning | 42,844 | — | 49,400 | 92,244 | |
| Taxes other than income taxes | 141,443 | (39 | ) | 14,627 | 156,031 |
| Depreciation and amortization | 344,837 | 766 | 34,423 | 380,026 | |
| Other regulatory charges | 12,478 | — | — | 12,478 | |
| Total | 1,895,417 | 9,397 | 308,952 | 2,213,766 | |
| OPERATING INCOME | 295,927 | (9,397 | ) | (37,990 | 248,540 |
| OTHER INCOME (DEDUCTIONS) | |||||
| Allowance for equity funds used during construction | 36,428 | — | — | 36,428 | |
| Interest and investment income | 80,803 | (38,617 | ) | 99,063 | 141,249 |
| Miscellaneous - net | (48,348 | (18,557 | ) | (25,020 | (91,925 |
| Total | 68,883 | (57,174 | ) | 74,043 | 85,752 |
| INTEREST EXPENSE | |||||
| Interest expense | 167,603 | 30,826 | 5,436 | 203,865 | |
| Allowance for borrowed funds used during construction | (15,923 | — | — | (15,923 | |
| Total | 151,680 | 30,826 | 5,436 | 187,942 | |
| INCOME BEFORE INCOME TAXES | 213,130 | (97,397 | ) | 30,617 | 146,350 |
| Income taxes | (61,650 | 5,452 | (187,057 | (243,255 | |
| CONSOLIDATED NET INCOME | 274,780 | (102,849 | ) | 217,674 | 389,605 |
| Preferred dividend requirements of subsidiaries | 4,033 | — | 547 | 4,580 | |
| NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION | ) | ||||
| EARNINGS PER AVERAGE COMMON SHARE: | |||||
| BASIC | 1.36 | (0.52) | 1.09 | 1.93 | |
| DILUTED | 1.35 | (0.51) | 1.08 | 1.92 | |
| AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | |||||
| BASIC | 199,110,740 | ||||
| DILUTED | 200,909,656 | ||||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||
|---|---|---|---|---|---|
| Consolidating Income Statement | |||||
| Three Months Ended December 31, 2018 | |||||
| (Dollars in thousands) | |||||
| (Unaudited) | |||||
| Utility | Parent & Other | Entergy Wholesale Commodities | Consolidated | ||
| OPERATING REVENUES | |||||
| Electric | ) | ||||
| Natural gas | 43,446 | — | — | 43,446 | |
| Competitive businesses | — | — | 361,298 | 361,298 | |
| Total | 2,151,193 | (9 | ) | 361,298 | 2,512,482 |
| OPERATING EXPENSES | |||||
| Operation and Maintenance: | |||||
| Fuel, fuel related expenses, and gas purchased for resale | 490,031 | (9 | ) | 19,404 | 509,426 |
| Purchased power | 345,515 | 9 | 60,838 | 406,362 | |
| Nuclear refueling outage expenses | 37,194 | — | 574 | 37,768 | |
| Other operation and maintenance | 649,808 | 10,702 | 208,187 | 868,697 | |
| Asset write-offs, impairments and related charges | — | 235,239 | 235,239 | ||
| Decommissioning | 38,279 | — | 64,396 | 102,675 | |
| Taxes other than income taxes | 135,755 | (18 | ) | 20,533 | 156,270 |
| Depreciation and amortization | 313,479 | 265 | 33,599 | 347,343 | |
| Other regulatory charges | 77,633 | — | — | 77,633 | |
| Total | 2,087,694 | 10,949 | 642,770 | 2,741,413 | |
| OPERATING INCOME (LOSS) | 63,499 | (10,958 | ) | (281,472 | (228,931 |
| OTHER INCOME (DEDUCTIONS) | |||||
| Allowance for equity funds used during construction | 37,235 | — | — | 37,235 | |
| Interest and investment income | 6,021 | (38,436 | ) | (168,808 | (201,223 |
| Miscellaneous - net | 13,818 | (4,422 | ) | (15,710 | (6,314 |
| Total | 57,074 | (42,858 | ) | (184,518 | (170,302 |
| INTEREST EXPENSE | |||||
| Interest expense | 154,801 | 34,723 | 8,251 | 197,775 | |
| Allowance for borrowed funds used during construction | (17,797 | — | — | (17,797 | |
| Total | 137,004 | 34,723 | 8,251 | 179,978 | |
| INCOME (LOSS) BEFORE INCOME TAXES | (16,431 | (88,539 | ) | (474,241 | (579,211 |
| Income taxes | (407,413 | (7,332 | ) | (102,144 | (516,889 |
| NET INCOME (LOSS) | 390,982 | (81,207 | ) | (372,097 | (62,322 |
| Preferred dividend requirements of subsidiaries | 3,030 | — | 547 | 3,577 | |
| NET INCOME (LOSS) ATTRIBUTABLE TO ENTERGY CORPORATION | ) | ||||
| EARNINGS (LOSS) PER AVERAGE COMMON SHARE: | |||||
| BASIC | 2.12 | (0.44) | (2.04) | (0.36) | |
| DILUTED | 2.12 | (0.44) | (2.04) | (0.36) | |
| AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | |||||
| BASIC | 183,083,673 | ||||
| DILUTED | 183,083,673 | ||||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||
|---|---|---|---|---|---|
| Consolidating Income Statement | |||||
| Year to Date December 31, 2019 | |||||
| (Dollars in thousands) | |||||
| (Unaudited) | |||||
| Utility | Parent & Other | Entergy Wholesale Commodities | Consolidated | ||
| OPERATING REVENUES | |||||
| Electric | ) | ||||
| Natural gas | 153,954 | — | — | 153,954 | |
| Competitive businesses | — | 22 | 1,294,719 | 1,294,741 | |
| Total | 9,583,985 | (31 | ) | 1,294,719 | 10,878,673 |
| OPERATING EXPENSES | |||||
| Operating and Maintenance: | |||||
| Fuel, fuel related expenses, and gas purchased for resale | 1,931,478 | (52 | ) | 98,212 | 2,029,638 |
| Purchased power | 1,134,194 | 52 | 58,614 | 1,192,860 | |
| Nuclear refueling outage expenses | 156,315 | — | 48,612 | 204,927 | |
| Other operation and maintenance | 2,562,568 | 32,167 | 677,646 | 3,272,381 | |
| Asset write-offs, impairments and related charges | — | — | 290,027 | 290,027 | |
| Decommissioning | 164,267 | — | 236,535 | 400,802 | |
| Taxes other than income taxes | 582,811 | 633 | 60,301 | 643,745 | |
| Depreciation and amortization | 1,328,900 | 2,944 | 148,172 | 1,480,016 | |
| Other regulatory credits | (26,220 | — | — | (26,220 | |
| Total | 7,834,313 | 35,744 | 1,618,119 | 9,488,176 | |
| OPERATING INCOME | 1,749,672 | (35,775 | ) | (323,400 | 1,390,497 |
| OTHER INCOME (DEDUCTIONS) | |||||
| Allowance for equity funds used during construction | 144,974 | — | — | 144,974 | |
| Interest and investment income | 289,570 | (156,294 | ) | 414,636 | 547,912 |
| Miscellaneous - net | (149,544 | (28,784 | ) | (74,211 | (252,539 |
| Total | 285,000 | (185,078 | ) | 340,425 | 440,347 |
| INTEREST EXPENSE | |||||
| Interest expense | 654,352 | 123,580 | 29,450 | 807,382 | |
| Allowance for borrowed funds used during construction | (64,957 | — | — | (64,957 | |
| Total | 589,395 | 123,580 | 29,450 | 742,425 | |
| INCOME BEFORE INCOME TAXES | 1,445,277 | (344,433 | ) | (12,425 | 1,088,419 |
| Income taxes | 19,634 | (28,164 | ) | (161,295 | (169,825 |
| CONSOLIDATED NET INCOME | 1,425,643 | (316,269 | ) | 148,870 | 1,258,244 |
| Preferred dividend requirements of subsidiaries | 14,830 | — | 2,188 | 17,018 | |
| NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION | ) | ||||
| EARNINGS PER AVERAGE COMMON SHARE: | |||||
| BASIC | 7.23 | (1.62) | 0.75 | 6.36 | |
| DILUTED | 7.16 | (1.60) | 0.74 | 6.30 | |
| AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | |||||
| BASIC | 195,195,858 | ||||
| DILUTED | 196,999,284 | ||||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | |||||
|---|---|---|---|---|---|
| Consolidating Income Statement | |||||
| Year to Date December 31, 2018 | |||||
| (Dollars in thousands) | |||||
| (Unaudited) | |||||
| Utility | Parent & Other | Entergy Wholesale Commodities | Consolidated | ||
| OPERATING REVENUES | |||||
| Electric | ) | ||||
| Natural gas | 156,436 | — | — | 156,436 | |
| Competitive businesses | — | — | 1,468,905 | 1,468,905 | |
| Total | 9,540,670 | (123 | ) | 1,468,905 | 11,009,452 |
| OPERATING EXPENSES | |||||
| Operating and Maintenance: | |||||
| Fuel, fuel related expenses, and gas purchased for resale | 2,070,678 | (123 | ) | 77,238 | 2,147,793 |
| Purchased power | 1,543,470 | 119 | 115,210 | 1,658,799 | |
| Nuclear refueling outage expenses | 150,255 | — | 3,571 | 153,826 | |
| Other operation and maintenance | 2,501,369 | 37,328 | 807,700 | 3,346,397 | |
| Asset write-offs, impairments and related charges | — | — | 532,321 | 532,321 | |
| Decommissioning | 149,624 | — | 238,884 | 388,508 | |
| Taxes other than income taxes | 561,985 | 1,796 | 78,171 | 641,952 | |
| Depreciation and amortization | 1,218,320 | 1,274 | 149,848 | 1,369,442 | |
| Other regulatory charges (credits) - net | 301,049 | — | — | 301,049 | |
| Total | 8,496,750 | 40,394 | 2,002,943 | 10,540,087 | |
| OPERATING INCOME | 1,043,920 | (40,517 | ) | (534,038 | 469,365 |
| OTHER INCOME (DEDUCTIONS) | |||||
| Allowance for equity funds used during construction | 129,602 | — | — | 129,602 | |
| Interest and investment income | 203,936 | (154,615 | ) | 14,543 | 63,864 |
| Miscellaneous - net | (62,026 | (11,251 | ) | (56,477 | (129,754 |
| Total | 271,512 | (165,866 | ) | (41,934 | 63,712 |
| INTEREST EXPENSE | |||||
| Interest expense | 613,893 | 120,735 | 33,694 | 768,322 | |
| Allowance for borrowed funds used during construction | (60,974 | — | — | (60,974 | |
| Total | 552,919 | 120,735 | 33,694 | 707,348 | |
| INCOME BEFORE INCOME TAXES | 762,513 | (327,118 | ) | (609,666 | (174,271 |
| Income taxes | (732,548 | (35,253 | ) | (269,025 | (1,036,826 |
| NET INCOME (LOSS) | 1,495,061 | (291,865 | ) | (340,641 | 862,555 |
| Preferred dividend requirements of subsidiaries | 11,706 | — | 2,188 | 13,894 | |
| NET INCOME (LOSS) ATTRIBUTABLE TO ENTERGY CORPORATION | ) | ||||
| EARNINGS PER AVERAGE COMMON SHARE: | |||||
| BASIC | 8.18 | (1.61) | (1.89) | 4.68 | |
| DILUTED | 8.09 | (1.59) | (1.87) | 4.63 | |
| AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | |||||
| BASIC | 181,409,597 | ||||
| DILUTED | 183,378,513 | ||||
| *Totals may not foot due to rounding. |
All values are in US Dollars.
| Entergy Corporation | ||||||
|---|---|---|---|---|---|---|
| Consolidated Cash Flow Statement | ||||||
| Year to Date December 31, 2019 vs. 2018 | ||||||
| (Dollars in thousands) | ||||||
| (Unaudited) | ||||||
| 2019 | 2018 | Variance | ||||
| OPERATING ACTIVITIES | ||||||
| Consolidated net income | 1,258,244 | 862,555 | 395,689 | |||
| Adjustments to reconcile consolidated net income to net cash | ||||||
| flow provided by operating activities: | ||||||
| Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 2,182,313 | 2,040,555 | 141,758 | |||
| Deferred income taxes, investment tax credits, and non-current taxes accrued | 193,950 | (256,848 | 450,798 | |||
| Asset write-offs, impairments and related charges | 226,678 | 491,739 | (265,061 | |||
| Changes in working capital: | ||||||
| Receivables | (101,227 | 98,546 | (199,773 | |||
| Fuel inventory | (28,173 | 45,839 | (74,012 | |||
| Accounts payable | (71,898 | 97,312 | (169,210 | |||
| Taxes accrued | (20,784 | 39,272 | (60,056 | |||
| Interest accrued | 937 | 5,220 | (4,283 | |||
| Deferred fuel costs | 172,146 | (25,829 | 197,975 | |||
| Other working capital accounts | (3,108 | (164,173 | 161,065 | |||
| Changes in provisions for estimated losses | 19,914 | 35,706 | (15,792 | |||
| Changes in other regulatory assets | (545,559 | 189,193 | (734,752 | |||
| Changes in other regulatory liabilities | (14,781 | (803,323 | 788,542 | |||
| Changes in pensions and other postretirement liabilities | 187,124 | (304,941 | 492,065 | |||
| Other | (639,149 | 34,424 | (673,573 | |||
| Net cash flow provided by operating activities | 2,816,627 | 2,385,247 | 431,380 | |||
| INVESTING ACTIVITIES | ||||||
| Construction/capital expenditures | (4,197,667 | (3,942,010 | (255,657 | |||
| Allowance for equity funds used during construction | 144,862 | 130,195 | 14,667 | |||
| Nuclear fuel purchases | (128,366 | (302,584 | 174,218 | |||
| Payment for purchase of plant or assets | (305,472 | (26,623 | (278,849 | |||
| Proceeds from sale of assets | 28,932 | 24,902 | 4,030 | |||
| Insurance proceeds received for property damages | 7,040 | 18,270 | (11,230 | |||
| Changes in securitization account | 3,298 | (5,844 | 9,142 | |||
| Payments to storm reserve escrow account | (8,038 | (6,551 | (1,487 | |||
| Decrease (increase) in other investments | 30,319 | (54,500 | 84,819 | |||
| Litigation proceeds for reimbursement of spent nuclear fuel storage costs | 2,369 | 59,643 | (57,274 | |||
| Proceeds from nuclear decommissioning trust fund sales | 4,121,351 | 6,484,791 | (2,363,440 | |||
| Investment in nuclear decommissioning trust funds | (4,208,870 | (6,485,676 | 2,276,806 | |||
| Net cash flow used in investing activities | (4,510,242 | (4,105,987 | (404,255 | |||
| FINANCING ACTIVITIES | ||||||
| Proceeds from the issuance of: | ||||||
| Long-term debt | 9,304,396 | 8,035,536 | 1,268,860 | |||
| Preferred stock of subsidiary | 33,188 | 73,330 | (40,142 | |||
| Treasury stock | 93,862 | 103,315 | (9,453 | |||
| Common stock | 607,650 | 499,272 | 108,378 | |||
| Retirement of long-term debt | (7,619,380 | (6,965,738 | (653,642 | |||
| Repurchase of preferred membership units | (50,000 | (53,868 | 3,868 | |||
| Changes in credit borrowings and commercial paper - net | 4,389 | 364,031 | (359,642 | |||
| Other | (7,732 | 26,453 | (34,185 | |||
| Dividends paid: | ||||||
| Common stock | (711,573 | (647,704 | (63,869 | |||
| Preferred stock | (16,438 | (14,185 | (2,253 | |||
| Net cash flow provided by financing activities | 1,638,362 | 1,420,442 | 217,920 | |||
| Net decrease in cash and cash equivalents | (55,253 | (300,298 | 245,045 | |||
| Cash and cash equivalents at beginning of period | 480,975 | 781,273 | (300,298 | |||
| Cash and cash equivalents at end of period | 425,722 | 480,975 | (55,253 | |||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
| Cash paid (received) during the period for: | ||||||
| Interest - net of amount capitalized | 778,209 | 734,845 | 43,364 | |||
| Income taxes | (40,435 | 19,825 | (60,260 |
All values are in US Dollars.
| Entergy Corporation | ||||||
|---|---|---|---|---|---|---|
| Consolidated Cash Flow Statement | ||||||
| Three Months Ended December 31, 2019 vs. 2018 | ||||||
| (Dollars in thousands) | ||||||
| (Unaudited) | ||||||
| 2019 | 2018 | Variance | ||||
| OPERATING ACTIVITIES | ||||||
| Consolidated net income (loss) | 389,605 | (62,322 | 451,927 | |||
| Adjustments to reconcile consolidated net income (loss) to net cash | ||||||
| flow provided by operating activities: | ||||||
| Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 547,636 | 523,211 | 24,425 | |||
| Deferred income taxes, investment tax credits, and non-current taxes accrued | (179,773 | (339,489 | 159,716 | |||
| Asset write-offs, impairments and related charges | 1,503 | 281,476 | (279,973 | |||
| Changes in working capital: | ||||||
| Receivables | 129,778 | 252,249 | (122,471 | |||
| Fuel inventory | (13,774 | (3,889 | (9,885 | |||
| Accounts payable | 103,348 | 17,363 | 85,985 | |||
| Taxes accrued | (18,364 | (4,238 | (14,126 | |||
| Interest accrued | 3,251 | 14,618 | (11,367 | |||
| Deferred fuel costs | 81,827 | (545 | 82,372 | |||
| Other working capital accounts | 16,124 | (78,110 | 94,234 | |||
| Changes in provisions for estimated losses | 5,800 | 7,107 | (1,307 | |||
| Changes in other regulatory assets | (452,698 | (17,942 | (434,756 | |||
| Changes in other regulatory liabilities | 4,334 | (389,639 | 393,973 | |||
| Changes in pensions and other postretirement liabilities | 319,168 | 40,585 | 278,583 | |||
| Other | (239,085 | 285,308 | (524,393 | |||
| Net cash flow provided by operating activities | 698,680 | 525,743 | 172,937 | |||
| INVESTING ACTIVITIES | ||||||
| Construction/capital expenditures | (1,117,941 | (1,058,963 | (58,978 | |||
| Allowance for equity funds used during construction | 35,995 | 37,366 | (1,371 | |||
| Nuclear fuel purchases | (73,190 | (131,765 | 58,575 | |||
| Payment for purchase of plant or assets | (305,472 | (26,623 | (278,849 | |||
| Proceeds from sale of assets | 9,131 | 11,987 | (2,856 | |||
| Insurance proceeds received for property damages | — | 7,747 | (7,747 | |||
| Changes in securitization account | 7,511 | 7,141 | 370 | |||
| Payments to storm reserve escrow account | (1,854 | (2,036 | 182 | |||
| Increase in other investments | (51 | (18,360 | 18,309 | |||
| Litigation proceeds for reimbursement of spent nuclear fuel storage costs | — | 59,643 | (59,643 | |||
| Proceeds from nuclear decommissioning trust fund sales | 602,735 | 2,306,872 | (1,704,137 | |||
| Investment in nuclear decommissioning trust funds | (642,180 | (2,298,515 | 1,656,335 | |||
| Net cash flow used in investing activities | (1,485,316 | (1,105,506 | (379,810 | |||
| FINANCING ACTIVITIES | ||||||
| Proceeds from the issuance of: | ||||||
| Long-term debt | 2,170,825 | 2,431,405 | (260,580 | |||
| Preferred stock of subsidiary | (298 | 73,330 | (73,628 | |||
| Treasury stock | 4,559 | 78,669 | (74,110 | |||
| Retirement of long-term debt | (1,759,666 | (2,783,918 | 1,024,252 | |||
| Changes in credit borrowings and commercial paper - net | 28,939 | (4,339 | 33,278 | |||
| Other | 1,443 | 913 | 530 | |||
| Dividends paid: | ||||||
| Common stock | (185,165 | (164,839 | (20,326 | |||
| Preferred stock | (4,110 | (3,868 | (242 | |||
| Net cash flow provided by financing activities | 256,527 | 72,757 | 183,770 | |||
| Net decrease in cash and cash equivalents | (530,109 | (507,006 | (23,103 | |||
| Cash and cash equivalents at beginning of period | 955,831 | 987,981 | (32,150 | |||
| Cash and cash equivalents at end of period | 425,722 | 480,975 | (55,253 | |||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
| Cash paid (received) during the period for: | ||||||
| Interest - net of amount capitalized | 193,587 | 176,464 | 17,123 | |||
| Income taxes | (31,786 | 1,085 | (32,871 |
All values are in US Dollars.