Friday, TECO Energy, Inc. (TE) reported an increase in profit for the third quarter, mainly due to benefits from its restructuring actions.
TECO Energy's net income for the third quarter increased to $64.8 million or $0.30 per share from $58.2 million or $0.27 per share in the third quarter of 2008.
On average, nine analysts polled by Thomson Reuters estimated earnings of $0.36 per share for the quarter. Analysts' estimates typically exclude special items.
Non-GAAP net income from continuing operations excluding charges and gains were $85.6 million, compared with $58.2 million in the year-ago period.
Results for the quarter included charges of $20.8 million, consisting of $15.4 million in restructuring charges at Tampa Electric, Peoples Gas and TECO Energy, the write-off of $5.2 million of project development costs at Tampa Electric related to the Polk Unit 6 IGCC plant, and $0.2 million associated with the sale of student loan securities in the third quarter.
Total revenues for the quarter declined to $896.3 million from $926.1 million in the year-ago period. Four Wall Street analysts estimated revenues of $944.22 million for the quarter.
Segment-wise, total revenues from Tampa Electric increased to $620.9 million from $601.8 million, while TECO Coal revenues increased to $175.1 million from $142.0 million. TECO Gautemala revenues increased to $1.9 million from $1.8 million year-ago. However, Peoples Gas revenues declined to $101 million from $180.6 million in the year-ago period.
TECO Energy's total expenses declined to $761.3 million from $809.6 million in the year-ago period.
Sherrill Hudson, TECO Energy chairman and chief executive officer said, "Our results this quarter reflect the restructuring actions taken to create a leaner, more nimble organization, and to position the utilities to earn their allowed returns despite the weakened Florida economy."
TECO Energy updated its outlook for 2009 earnings to within a range of $1.00 - $1.15 per share, excluding charges and gains. Fourteen analysts estimated earnings of $1.05 per share for the entire year.
The company reported a year-to-date net income of $160.4 million or $0.75 per share, compared with $140.4 million or $0.66 per share in the same period year-ago.
Year-to-date non-GAAP net income from continuing operations, excluding charges and gains were $176.1 million compared to non-GAAP results of $141.0 million in the 2008 period.
Total revenues for the quarter declined to $2.54 billion from $2.60 billion in the year-ago period.
TE is currently trading on the New York Stock Exchange at $14.31, up $0.23 or 1.63%.
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