Centerpoint Energy, Inc (holding Co) · NYSE:CNP
Centerpoint Energy, Inc (holding Co) — FY2013 Earnings Presentation
14 slides from Centerpoint Energy, Inc (holding Co)'s earnings presentation, Feb 26, 2014
Slide 1: The Benefits of a Diversified Electric & Natural Gas Portfolio
Exhibit 99.1 The Benefits of a Diversified Electric & Natural Gas Portfolio Full Year 2013 Earnings Supplemental Materials February 26, 2014 NYSE: CNP CenterPointEnergy.com
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: 2013 Year Highlights
2013 Year Highlights • Scott M. Prochazka named President and CEO • Total shareholder return of 24.7% compared to S&P 500 Utility Index of 13.2% • Strong financial and operational performances from our utility businesses Sustained strong economic activity with the addition of approximately 45,000 cu
Slide 4: 2013 Financial Results
2013 Financial Results Midstream Operating Income moved to Equity Income on May 1, 2013 ($, millions) As reported, 12 months ended December 31 Operating Income Equity Income • For the full year 2012, CenterPoint Energy held a 50% interest in the Southeast Supply Header, LLC (SESH) $ • On July 31, 20
Slide 5: Electric Transmission & Distribution Utility 2013 Operating Income Drivers
Electric Transmission & Distribution Utility 2013 Operating Income Drivers ($, millions) 43% $ Higher Higher transmission right-of-way Growth revenue Lower usage Lower related primarily due True-up revenues, net Higher O&M, Higher to weather, related of costs billed including Depreciation Higher Tax
Slide 6: Electric Transmission & Distribution Utility Capital Expenditures Expectations
Electric Transmission & Distribution Utility Capital Expenditures Expectations ($, millions) 2013A 2014E 2015E 2016E 2017E 2018E Transmission 45% 34% 42% 37% 29% 28% Distribution 49% 61% 55% 60% 66% 67% February 26, 2014 Year End 2013 Supplemental Materials 6
Slide 7: Electric Transmission & Distribution Utility Rights-of-Way Revenue
Electric Transmission & Distribution Utility Rights-of-Way Revenue ($, millions) $ February 26, 2014 Year End 2013 Supplemental Materials 7
Slide 8: Natural Gas Utilities 2013 Operating Income Drivers
Natural Gas Utilities 2013 Operating Income Drivers ($, millions) $ Growth Higher O&M, Higher O&M, Employee & Rate Bad Debt Higher Contractor Increases Depreciation Higher related Taxes, expenses Increased mostly revenues, property due to a return to more normal weather in 2013 vs. 2012, net of weat
Slide 9: Natural Gas Utilities Capital Expenditures Expectations
Natural Gas Utilities Capital Expenditures Expectations $ ($, millions) Capital Recovery Method 2013A 2014E 2015E 2016E 2017E 2018E Annual Mechanisms 48% 45% 50% 32% 51% 53% Rate Cases 52% 55% 50% 68% 49% 47% Note: Annual mechanisms reduce the recovery lag time versus traditional rate cases. Februar
Slide 10: CenterPoint Energy Services 2013 Operating Income Drivers
CenterPoint Energy Services 2013 Operating Income Drivers ($, millions) $ Lower O&M 2012 2013 exit Positive divestiture non-strategic Higher base impact of of non- assets 2012 margin 2013 mark-to- strategic market business accounting 2013 2012 Mark-to-Market Accounting $(2) $(16) Goodwill Impairment
Slide 11: Debt and Capitalization Ratio
Debt and Capitalization Ratio Excluding transition and system restoration bonds ($, millions) December 31, December 31, 2013 2012 Short-term Debt: Short-term borrowings $ 43 $ 38 Current portion of transition and system restoration bonds* 354 447 Indexed debt (ZENS)** 143 138 Current portion of othe
Slide 12: Credit Metrics and Ratings
Credit Metrics and Ratings Total Debt / EBITDA* FFO / Total Debt* * Calculatedper the company’sinterpretation of S&P’srevisedmethodology. In 2013, S&Previsedtheir methodology. S&P’s calculations may vary. Credit Ratings Moody’s S&P Fitch a b Rating Outlook Rating Outlook Rating Outlook c CenterPoint
Slide 13: Liquidity
Liquidity Available Liquidity ($MM) Amount Utilized Amount Unutilized Bank Facilities Type Size at 2/14/2014 at 2/14/2014 CenterPoint Energy Revolver $ 1,200 $ 6 $ 1,194 CEHE Revolver $ 300 $ 4 $ 296 CERC Revolver $ 600 $ - $ 600 Total Facilities $ 2,100 $ 10 $ 2,090 Temporary Investments Investment
Slide 14: Estimated Amortization for Pre-Tax Equity Earnings
Estimated Amortization for Pre-Tax Equity Earnings Associated with the Recovery of Certain Qualified Cost and Storm Restoration Costs As of December 31, 2013 The return associated with the equity earnings was TBC II TBC III TBC IV SRBC Total predetermined at the time of the recovery 2005 $ 213,804 $