Centerpoint Energy, Inc (holding Co) · NYSE:CNP
Centerpoint Energy, Inc (holding Co) — FY2014 Earnings Presentation
19 slides from Centerpoint Energy, Inc (holding Co)'s earnings presentation, Feb 26, 2015
Slide 1: The Benefits of a Diversified Electric & Natural Gas Portfolio
Exhibit 99.2 The Benefits of a Diversified Electric & Natural Gas Portfolio Full Year 2014 Earnings Supplemental Materials February 26, 2015
Slide 2: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding Forward-Looking Information This presentation contains statements concerning our expectations, beliefs, plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements that are not historical facts. These statements ar
Slide 3: 2014 Year Highlights
2014 Year Highlights • New management team in place with the right mix of industry experience and functional knowledge • UtilityOperations:Strongfinancialandoperationalperformances Sustained strong economic activity with the addition of nearly 55,000 new meters for Houston Electric and nearly 36,000
Slide 4: 2014 Forecast Summary
2014 Forecast Summary 2014 -2018 Forecast 2015 –2019 Forecast 5-Year Capital Investment (Provided June 2014) (Provided Feb 2015) Houston Electric $3.7 -$4.5 B $4.4 B Gas Utilities $2.2 -$2.6 B $2.7 B Utility Operations $6.2 -$7.4 B $7.4 B 2013 -2018 Forecast 2014 –2019 Forecast Compound Annual Growt
Slide 5: 2014 EPS Reconciliation to 2015 Utility Operations Guidance
2014 EPS Reconciliation to 2015 Utility Operations Guidance Range of $0.71 to $0.75 per diluted share 2014 Fully Diluted EPS $ 1.42 On an adjusted guidance basis: ZENS-related mark to market gains (0.12) CES MTM gain (0.04) Pension Curtailment loss 0.01 2014 Consolidated EPS on a guidance basis $ 1.
Slide 6: Electric Transmission and Distribution Utility 2014 Operating Income Drivers
Electric Transmission and Distribution Utility 2014 Operating Income Drivers February 26, 2015 investors.centerpointenergy.com 6
Slide 7: Electric Transmission and Distribution Utility Capital Investment Growth
Electric Transmission and Distribution Utility Capital Investment Growth $4.4 Billion 20152019 – Capital Plan Capital Plan Includes: Brazos Valley Connection ¹ Customer Growth Reliability/Resiliency Infrastructure improvements Technology Reliability and Technology 1 A portion of the Houston Import P
Slide 8: Electric Transmission & Distribution Utility Capital Expenditures
Electric Transmission & Distribution Utility Capital Expenditures 2014A 2015E 2016E 2017E 2018E 2019E Transmission 37% 36% 41% 40% 33% 24% Distribution 59% 63% 56% 55% 63% 74% February 26, 2015 investors.centerpointenergy.com 8
Slide 9: $6.3 Billion Projected 2019 Rate Base Electric Transmission and Distribution Utility
$6.3 Billion Projected 2019 Rate Base Electric Transmission and Distribution Utility Projected Average Rate Base Note: The estimated average annual rate base is subject to change due to actual capital investment, effects of bonus depreciation, deferred taxes, and actual rate base authorized. As an e
Slide 10: Natural Gas Utilities 2014 Operating Income Drivers
Natural Gas Utilities 2014 Operating Income Drivers February 26, 2015 investors.centerpointenergy.com 10
Slide 11: Natural Gas Utilities Capital Investment Growth
Natural Gas Utilities Capital Investment Growth $2.7 Billion 20152019 – Capital Plan Capital Plan Includes: Replacing aging infrastructure System-wide AMR; 3.4 million meters by Q4 2015 Customer growth investment Minnesota Belt Line Project; $400 million over 12 years February 26, 2015 investors.cen
Slide 12: Natural Gas Utilities Capital Expenditures
Natural Gas Utilities Capital Expenditures Capital Recovery Method 2014A 2015E 2016E 2017E 2018E 2019E Annual Mechanisms 48% 52% 43% 55% 59% 59% Rate Cases 52% 48% 57% 45% 41% 41% Note: Annual mechanisms reduce the recovery lag time versus traditional rate cases. February 26, 2015 investors.centerpo
Slide 13: $3.5 Billion Projected 2019 Rate Base Natural Gas Utilities
$3.5 Billion Projected 2019 Rate Base Natural Gas Utilities Projected Average Rate Base Note: The estimated average annual rate base is subject to change due to actual capital investment, effects of bonus depreciation, deferred taxes, and actual rate base authorized. As an example of the impact of b
Slide 14: CenterPoint Energy Services (CES) 2014 Operating Income Drivers
CenterPoint Energy Services (CES) 2014 Operating Income Drivers February 26, 2015 investors.centerpointenergy.com 14
Slide 15: Rate Mechanism and Estimated Timing
Rate Mechanism and Estimated Timing Estimated rate filing timelines as of December 31, 2014: Natural Gas Utilities 2015 2016 2017 2018 2019 Jurisdiction Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 GRIP GRIP GRIP GRIP Houston Gas Rate Case GRIP GRIP GRIP GRIP South Texas Rate Case GRI
Slide 16: 2014 Financial Results
2014 Financial Results Midstream Operating Income moved to Equity Income on May 1, 2013 As reported, 12 months ended December 31 Operating Income Key Enable Midstream Dates • For the four months ended April 30, 2013, CenterPoint Energy maintained a 50% ownership interest in SESH and reported its res
Slide 17: Debt and Capitalization Ratios Excluding Transition and System Restoration Bonds
Debt and Capitalization Ratios Excluding Transition and System Restoration Bonds ($ in millions) December 31, December 31, 2014 2013 Short-term Debt: Short-term borrowings $ 53 $ 43 Current portion of transition and system restoration bonds* 372 354 Indexed debt (ZENS)** 152 143 Current portion of o
Slide 18: Liquidity and Credit Ratings
Liquidity and Credit Ratings (in millions) Facility Amount Amount Source of Liquidity on 02/17/2015 Size Utilized 1 Unutilized 2 CenterPoint Energy, Inc. Revolver $ 1,200 $ 170 $ 1,030 3 CenterPoint Houston Electric, LLC Revolver 300 4 296 4 CenterPoint Energy Resources Corp. Revolver 600 248 352 To
Slide 19: Estimated Amortization for Pre-Tax Equity Earnings
Estimated Amortization for Pre-Tax Equity Earnings Associated withtheRecovery of CertainQualifiedCostandStormRestoration Costs As of December 31, 2014 TBC II TBC III TBC IV SRBC Total The table provides 2005 $ 213,804 $ - $ - $ - $ 213,804 1) the pre-tax equity return recognized by CenterPointEnergy