(RTTNews) - Pineville, Louisiana-based power producer Cleco Corp. (CNL: News ), Monday posted a higher third-quarter profit despite a decline in revenues as costs for power purchased for utility customers declined significantly from last year. Cleco also reaffirmed its fiscal 2009 earnings outlook.

Third-quarter earnings applicable to common stock increased to $59.8 million or $0.99 per share from $37.1 million or $0.62 per share for the third quarter of 2008.

Non-GAAP operational earnings were $0.93 per share compared with $0.64 per share last year.

On average, six analysts polled by Thomson Reuters had expected Cleco to report earnings of $0.76 per share for the third quarter.

Cleco Power LLC earnings per share were $0.66 compared with $0.53, Cleco Midstream Resources LLC earnings per share were $0.14 compared with $0.08 year-on-year.

Third-quarter total operating revenue decreased to $241.5 million from $343.7 million last year.

Electric operations revenue was $228.95 million, lower than $333.94 million, Other operations revenue was higher at $9.9 million compared with $7.0 million and Affiliate revenue was flat at $2.7 million with last year.
Total retail and wholesale customer sales units declined 0.6% to 2.67 billion KWh from 2.68 billion KWh, while retail and wholesale customer sales were up 4.1% at $103.19 million compared with $99.09 million in 2008.

Total operating expenses for the quarter declined to $200.8 million from $308.1 million a year back. Expenses related to power purchased for utility customers declined to $61.9 million from $150.5 million last year.

Madison also said the new retail rate plan, expected to increase the earnings of Cleco while at the same time decrease bills for the retail customers, will go into effect when Rodemacher Unit 3 begins commercial operation later this year.

Madison added that the Louisiana Public Service Commission approved the Acadia/Cleco Power bridge tolling agreement. Acadia Power Partners reached an agreement with Entergy Louisiana to sell them the remaining 50% of the Acadia plant and further reduce the company's risk to the merchant power market.

For the first nine months, earnings applicable to common stock rose to $93.5 million or $1.55 per share from $88.6 million or $1.47 per share last year. Total operating revenue for the nine months decreased to $661.67 million from $841.01 million a year ago.

Looking ahead, Cleco re-affirmed its 2009 earnings target in the range of $1.62 - $1.72 per share, assuming normal weather for the remainder of the year and the continuation of the current rate plan through the in-service date of Rodemacher Unit 3, which is expected in late December 2009.

To receive FREE breaking news email alerts for Cleco Corp and others in your portfolio

 1   2   Next Page