(RTTNews) - Electric utility Dynegy Inc. (DYN: News ) reported a loss for the third quarter, compared to a profit a year ago, reflecting asset impairment charges and the absence of a hefty mark-to-market gain recorded last year. Revenues for the quarter more than halved impacted by the overall weakness in U.S. energy prices. The company also raised and tightened its full year 2009 adjusted EBITDA guidance, while widening the net loss view. Dynegy shares are currently trading up more than 8% on the NYSE.

For the third quarter, net loss attributable to shareholders was $212 million or $0.25 per share compared to a profit of $605 million or $0.72 per share in the prior-year period. Loss from continuing operations for the period was $94 million or $0.10 per share versus a profit of $572 million or $0.68 per share in the 2008-year period.

During the three-month period, the company incurred a loss of $129 million or $0.15 per share from discontinued operations compared to an income of $32 million or $0.04 per share in the previous year.

Dynegy stated that attributable net loss for the period reflects after-tax charges of $238 million with regard to asset impairments and $78 million of after-tax mark-to-market losses compared to an after-tax mark-to-market gain of $542 million last year.

On an average, 10 analysts polled by Thomson Reuters expected Dynegy to earn $0.03 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues for the period plummeted to $673 million from $1.76 billion in the third quarter of fiscal 2008. Analysts expected the company to generate revenues of $877.54 million during the quarter.
"While Dynegy's third quarter financial results continued to be impacted by the overall weakness in U.S. energy prices, we again demonstrated the benefits of having a diverse, well-operated fleet of power generation assets," said Bruce Williamson, Chairman, President and Chief Executive Officer of Dynegy Inc.

According to the Energy Information Administration or EIA, total U.S. electricity consumption fell 1.6% in the 2008 and is forecast to decline by 3.3% in 2009, and then grow by 1.3% in 2010 as the improving economy leads to slowly recovering industrial sector electricity sales.

Adjusted earnings before interest, taxes, depreciation and amortization, or EBITDA, for the third quarter was $388 million compared to $269 million in the comparable period prior year. Dynegy attributed the year-over-year increase in adjusted EBITDA to the sale and assignment of a multi-year power sales contract, higher capacity and tolling revenues and higher realized energy prices in the Midwest.

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