(RTTNews) - Diversified energy company Northeast Utilities (NU: News ) said Monday that third-quarter profit declined from last year, impacted largely by weak economic conditions, mild summer weather and the absence of last year's one-time benefits. The Berlin, Connecticut-based company reaffirmed its earnings outlook for 2009 and initiated a guidance for 2010.

Net income attributable to controlling interest for the quarter declined to $64.8 million from $72.7 million in the same period last year, reflecting, among others, the absence of the benefits to third-quarter 2008 earnings of both the resolution of various income tax matters and mark-to-market gains in its competitive businesses.

Earnings per share declined to $0.37 from $0.47 per share in the year-ago quarter, and came in below the $0.38 per share projection of twelve analysts polled by Thomson Reuters. Analysts' estimates typically exclude special items.

Operating revenues declined to $1.31 billion from $1.51 billion in the same period last year. Four Street analysts expected the company to report earnings of $1.46 billion for the quarter.

Northeast Utilities is principally engaged in energy delivery business for residential, commercial, and industrial customers in Connecticut, New Hampshire, and Western Massachusetts

Third quarter earnings from its transmission segment rose to $42.8 million from $35.9 million in the year-ago period, helped by higher level of investment in transmission facilities. Distribution and generation segment earnings declined to $22.5 million from $35.5 million in the same period last year.
Charles Shivery, NU's chairman, president and chief executive officer said, "Our electric distribution segment has been the part of our company most impacted by the economy and volatile financial markets, which have caused sales declines and rising uncollectible receivable balances and pension expense."

NU Enterprises, Inc., the holding company for NU's competitive businesses, posted earnings of $0.3 million, a sharp decline from $4.6 million in the third quarter of 2008. NU parent and other companies had net expenses of $0.8 million in the third quarter of 2009, compared with $3.3 million in the third quarter of 2008.

Among peers, Boston, Massachusetts-based energy delivery company NSTAR (NST: News ) reported an increase in net income for the third quarter to $87.64 million or $0.82 per share from $85.82 million or $0.80 per share in the year-ago quarter. Operating revenues declined 13.5% to $771.47 million from $892.21 million in the same period last year.

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