Portland General Electric Co · NYSE:POR
Portland General Electric — Q2 2017 Earnings Presentation
15 slides from Portland General Electric's earnings presentation, Jul 28, 2017
Slide 1: Portland General Electric Earnings Conference Call Second Quarter 2017
Portland General Electric Earnings Conference Call Second Quarter 2017 Exhibit 99.2
Slide 2: Cautionary Statement
Cautionary Statement Information Current as of July 28, 2017 Except as expressly noted, the information in this presentation is current as of July 28, 2017 — the date on which PGE filed its Quarterly Report on Form 10-Q for the quarter ended June 30, 2017 — and should not be relied upon as being cur
Slide 3: Leadership Presenting Today
Leadership Presenting Today Jim Lobdell Senior VP of Finance, CFO & Treasurer Jim Piro President & CEO On Today's Call • Financial performance • Operational update • Economy and customers • 2016 Integrated Resource Plan (IRP) • 2018 General Rate Case • Financial Update • Guidance 3
Slide 4: Second Quarter 2017 Earnings Results
Second Quarter 2017 Earnings Results NI in millions Q2 2016 Q2 2017 Net Income $37 $32 Diluted EPS $0.42 $0.36 2016 Diluted EPS $2.16 2017E Diluted EPS $2.20 - $2.35 4 Q1 Q1 Q2 Q3 Q4 Q2 Q3-Q4 $1.02 - $1.17
Slide 5: Accomplishments and operational update
Accomplishments and operational update Generating Plant Availability of 87% 5 Top Quartile Customer Satisfaction No. 1 renewable power program: • Number of customers • MWh sold • Participation rate • Sales rate 9th in the nation for energy-efficiency TQS Research, Inc. and Market Strategies Internat
Slide 6: Economic Update
• Economic fundamentals of our service area remain strong. • June unemployment rates in our service area of 3.2 percent and in Oregon of 3.7 percent were historic lows and beat the U.S. rate of 4.4 percent.1 • Oregon ranked second in the nation with 2016 GDP growth of 3.3 percent.2 • Average residen
Slide 7: Carty Generation Station update
Carty Generation Station update 7 Carty Generating Station, our 440 MW natural gas baseload plant near Boardman, Ore. • Carty plant in-service, including AFDC, as of 6/30/2017: $635M • Estimated timeframe to complete litigation: 2-4 years • Hearing scheduled for Oct. 31 to determine whether the laws
Slide 8: 2016 Integrated Resource Plan
2016 Integrated Resource Plan • A flexible, balanced plan that reflects our commitment to a low-carbon future and in keeping with the Oregon Clean Electricity Plan • Process includes continuing dialog with OPUC staff and stakeholders • Productive bilateral negotiations have resulted in several optio
Slide 9: 2018 General Rate Case
2018 General Rate Case filed Feb. 28 Key drivers: Investments in the system to keep it safe, reliable and secure Includes: • Replacing assets at the end of their useful life • Strengthening the system to better prepare for storms, earthquakes, cyberattacks and other potential threats • Investments i
Slide 10: Second Quarter Financial Results
Second Quarter Financial Results Q2 2016 Q2 2017 Retail Revenue Power Costs Generation, Transmission and Distribution Administrative and General $ in millions Other Misc Items 10 AFDC Equity $(5) D&A $(2) Other Items $(3)
Slide 11: Second Quarter Earnings Bridge
Second Quarter Earnings Bridge Q2 2016 Q2 2017 Gross Margin Wind Storm Service Restoration PTCs Plant Maintenance 11 Carty A&G Weather $0.08 Decoupling $0.03 Earnings per diluted share
Slide 12: Capital Planning
Capital Planning Current Capital Outlook Investments include: • Upgrades and replacement of aging generation, transmission and distribution • Strengthening the power grid for earthquakes, cyber attacks and other potential threats • New customer information systems and technology tools (1) Includes a
Slide 13: Liquidity and Financing
Liquidity and Financing Total Liquidity as of 06/30/2017 (in millions) Credit Facilities $ 720 Commercial Paper — Letters of Credit $ (56 ) Cash $ 33 Available $ 697 Ratings S&P Moody's Senior Secured A- A1 Senior Unsecured BBB A3 Commercial Paper A-2 Prime-2 Outlook Stable Stable ($ in millions) Q1
Slide 14: Guidance and Assumptions
Guidance and Assumptions 2017 EPS Guidance: $2.20 - $2.35 • Retail deliveries decline between zero and one percent, weather -adjusted; • Normal hydro conditions for the remainder of the year based on the current hydro forecast; • Wind generation for the remainder of the year based on 5 years of hist
Slide 15: 2017 Key Initiatives
Maintain high level of operational excellence Work collaboratively with all our stakeholders to obtain acknowledgement of our 2016 Integrated Resource Plan and associated action plan Achieve a fair and reasonable result on our 2018 General Rate Case 2017 Key Initiatives 15
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