NV Energy trims net loss in first quarter
NV Energy on Monday reported trimming its first-quarter net loss to $1.7 million from $22.2 million in the same period last year, mainly because of a rate increase in the Las Vegas area.
The loss per share dropped to 1 cent from 9 cents a year ago in the first quarter. The results, however, missed analysts' consensus projection of 1 cent a share in profit on revenue of $731.5 million, according to Thomson Reuters.
NV Energy's consolidated operating revenues slipped 5 percent, to $717 million from $755.3 million a year ago, as customers struggled with the recession.
"Much of the first quarter-to-quarter improvement is attributable to our investments in new generating facilities in Southern Nevada that are now included in rates," Chief Executive Officer Michael Yackira said in a statement.
Nevada Power Co., the NV Energy subsidiary serving Southern Nevada, won regulatory approval in June to increase rates by 6.9 percent in two phases. The second phase boosted rates by 3.9 percent in January.
Nevada Power reported that its net loss fell to $12.3 million from $35.2 million in the first quarter last year. Losses are common in the first quarter because customers don't need electricity for air conditioning.
Residential operating revenues for Nevada Power increased by 2.7 percent to $196.6 million, but the company said Nevada Power's average number of residential customers declined 0.4 percent. Commercial customers rose 1.6 percent and industrial customers grew 0.1 percent from a year ago.
Sierra Pacific Power Co., the company's subsidiary for gas and electric utilities in the Reno area, reported $17.2 million in profit for the first quarter, down from $19.1 million a year ago.
Shares in NV Energy gained 3 cents, or 0.23 percent, Monday to close at $12.83 on the New York Stock Exchange.
Contact reporter John G. Edwards at
jedwards@reviewjournal.com or
702-383-0420.
