Business
High Fuel Costs Impact Emera Q3 Earnings
High Fuel Costs Impact Emera Q3 Earnings.
About this update from Emera Incorporated
[{"type":"text","content":"\n\n\n\n\nHALIFAX, Nov. 4 /CNW/ - (EMA-TSX): Emera Inc.'s consolidated net earnings\nwere $15.9 million in Q3, 2005, down from $22.1 million in Q3, 2004. The\nearnings decrease reflects substantially lower earnings at Emera's largest\nsubsidiary, Nova Scotia Power Inc. (NSPI), which earned $2.7 million in the\nquarter, compared to $18.5 million in Q3, 2004.\nEmera's earnings per share were $0.14 in Q3, 2005, compared to $0.20 in\nQ3, 2004.\n\"Nova Scotia Power continues to be affected by substantially higher fuel\ncosts that are not currently covered by rates,\" said Chris Huskilson,\nPresident and Chief Executive Officer of Emera Inc. \"Our 2006 rate\napplication, now before the Nova Scotia Utility and Review Board, addresses\nthis issue and we look forward to the hearings that begin November 14.\" NSPI's\nfuel costs were $28.7 million, or 41% higher in Q3 2005 than for the same\nperiod in 2004; and $78.2 million higher year to date, largely due to higher\ncoal and oil prices.\nEmera's Other operations contributed $8.8 million to Q3, 2005\nconsolidated net earnings, compared to a loss of $1.2 million in Q3, 2004.\nForeign exchange gains and higher energy marketing margins were key drivers of\nthe higher earnings.\nBangor Hydro Electric (BHE), Emera's electricity transmission and\ndistribution utility in Maine, contributed $4.4 million to consolidated net\nearnings in Q3, 2005, compared to $4.8 million in Q3, 2004, reflecting a\nstronger Canadian dollar. BHE's U.S. dollar earnings were unchanged quarter\nover quarter at $3.6 million.\nConsolidated cash provided by operating activities was $116.7 million in\nQ3, 2005, compared to $93.8 million in Q3, 2004.\n\nAbout Emera Inc.\n\nEmera Inc. (EMA-TSX) is an energy and services company with $4.0 billion\nin assets. The core business of Emera is electricity and the company has two\nwholly-owned regulated electric utility subsidiaries, Nova Scotia Power Inc.\nand Bangor Hydro-Electric Company, which together serve 575,000 customers.\nNova Scotia Power supplies over 95% of the electric generation, transmission\nand distribution in Nova Scotia. Nova Scotia Power's Point Tupper and Lingan\ngenerating facilities have been ranked No. 1 and No. 2 in Canada in operating\nperformance by The Canadian Electricity Association. Bangor Hydro provides\nelectricity transmission and distribution serv...