Results Are InThe stock is up. Life is good......... so far.
HALIFAX, Nov. 2 /CNW/ - (EMA-TSX): Emera Inc.'s consolidated net earnings
increased to $40.9 million in the third quarter of 2007 compared to
$19.5 million in Q3, 2006. The increase in the quarter was largely due to a
$10.8 million income tax recovery in Nova Scotia Power Inc.(NSPI). Earnings
per share were $0.37 in Q3 2007 compared to $0.18 in the same period last
year. Strong results year to date are driven by solid performance from Bangor
Hydro-Electric (BHE) and the Bear Swamp hydro-electric generating station.
"We continue to see progress in our business," said Chris Huskilson,
President and Chief Executive Officer of Emera Inc. "The Brunswick Pipeline
has cleared all regulatory hurdles and construction is about to begin. In
addition, construction of the Northeast Reliability Interconnect (NRI)
transmission line is complete and the line will be in-service in December as
planned."
NSPI earned $14.2 million before a $10.8 million income tax recovery in
the third quarter compared to $12.7 million in Q3, 2006. This tax recovery is
the result of the Canada Revenue Agency's approval of the deductibility of
certain capitalized expenses as requested by NSPI for the years 2000 to 2004
inclusive.
Bangor Hydro-Electric earned $9.1 million in the quarter compared to
$5.1 million in Q3 last year. The increase relates to increased revenue and
capitalized costs associated with the NRI development partially offset by the
strong Canadian dollar.
Emera's other operations contributed $6.8 million in Q3, 2007 compared to
$1.7 million in Q3, 2006. The Bear Swamp generating facility had higher energy
and capacity sales as well as strengthened mark-to-market on energy positions,
primarily associated with the company's long term contract with the Long
Island Power Authority, in the third quarter of 2007 compared to Q3 of 2006.
The Maritimes & Northeast Pipeline also reported increased earnings this
quarter.
Consolidated cash from operations was $82.8 million in Q3, 2007, compared
to $98.8 million in Q3 2006 reflecting increased operating working capital
requirements.