NewsCon Edison Media Relations
For Immediate Release: November 2, 2006
CON EDISON, INC. REPORTS 2006 THIRD QUARTER EARNINGS
NEW YORK - Consolidated Edison, Inc. (Con Edison) [NYSE: ED] today reported 2006 third quarter earnings of $231 million or $0.93 a share, compared with earnings of $285 million or $1.17 cents a share for the third quarter of 2005.
"Third quarter results reflect costs associated with the summer power outages and milder weather than last year," said Kevin Burke, Chairman, President and Chief Executive Officer. "We continue to make significant investments throughout our system to meet the growing needs of our customers," he said.
The company’s net income for common stock for the first nine months of 2006 was $536 million or $2.17 a share compared with $581 million or $2.39 a share for the first nine months of 2005.
For the year 2006, the company confirms its previous forecast of earnings in the range of $2.75 to $3.00 per share.
The results of operations for the three and nine months ended September 30, 2006, as compared with the 2005 periods, reflect milder weather in 2006, the utilities’ rate plans, expenditures related to the 2006 power outages, increased interest expense and the results of the competitive energy businesses including net mark-to-market losses. The following table presents the estimated effect on earnings per share and net income for the third quarter and first nine months of 2006, as compared with the 2005 periods, resulting from these and other major factors:
The earnings per share variations shown above reflect the dilutive effect of a higher weighted average number of common shares outstanding in the 2006 three-month and nine-month periods (249 million and 247 million shares, respectively) than in the 2005 three-month and nine-month periods (244 million shares in each period).
For the three months ended September 30, 2006, amounts of electricity and gas delivered by Con Edison of New York, after adjusting for variations in weather and billing days in the period, increased by 3.9 percent and 0.9 percent compared with the 2005 period, respectively. Steam deliveries, after adjusting for variations in weather and billing days in the period, decreased 0.1 percent compared with the prior period.
For the first nine months of 2006, amounts of electricity and gas delivered by Con Edison of New York, after adjusting for variations in weather and billing days in the period, increased 2.3 percent and 0.3 percent compared with the 2005 period, respectively. Steam deliveries, after adjusting for variations in weather and billing days in the period, decreased 0.8 percent compared with the 2005 period.
Refer to the attachments to this press release for the consolidated balance sheets at September 30, 2006 and December 31, 2005 and the consolidated income statements for the three and nine months ended September 30, 2006 and 2005. For additional information related to utility sales and revenues go to the Con Edison Web site at www.conedison.com, select “Investor Information” and then select “Financial Reports.”
This press release contains forward-looking statements that reflect expectations and not facts. Actual results may differ materially from those expectations because of factors such as those identified in reports the company has filed with the Securities and Exchange Commission.
Consolidated Edison, Inc. is one of the nation's largest investor-owned energy companies, with approximately $12 billion in annual revenues and $26 billion in assets. The company provides a wide range of energy-related products and services to its customers through the following subsidiaries: Consolidated Edison Company of New York, Inc., a regulated utility providing electric, gas, and steam service in New York City and Westchester County, New York; Orange and Rockland Utilities, Inc., a regulated utility serving customers in a 1,350 square mile area in southeastern New York state and adjacent sections of northern New Jersey and northeastern Pennsylvania; Consolidated Edison Solutions, Inc., a retail energy supply and services company; Consolidated Edison Energy, Inc., a wholesale energy supply company; and Consolidated Edison Development, Inc., a company that owns and operates generating plants and participates in other infrastructure projects.
Income Statement (PDF Format)
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