DALLAS, May 7, 2019 /PRNewswire/ -- Oncor Electric
Delivery Company LLC ("Oncor") today reported three months ended
March 31, 2019 net income of
$116 million. Oncor's first
quarter 2019 net income increased $27
million, up from $89 million
in the first quarter of 2018. Financial and operational results are
provided in Tables A, B, C and D below.
"From the Permian and Delaware Basins, to the Dallas-Ft. Worth metroplex, to the I-35
corridor, we continue to see robust and diverse growth across our
service territory, and Oncor stands ready to power the growth here
in Texas," said Allen Nye, chief executive of Oncor. "We are
pleased with our financial results this quarter, and look forward
to a strong and exciting year ahead in 2019 as we continue to
deliver for our customers and our stakeholders."
Operating Highlights
In October
2018, Oncor announced its intent to acquire 100 percent of
the equity interests of InfraREIT, Inc. (NYSE: HIFR) ("InfraREIT")
and all of the limited-partnership units of its subsidiary,
InfraREIT Partners, LP, for a purchase price of approximately
$1.275 billion based on the number of
shares and partnership units outstanding. Oncor will also
bear certain transaction costs incurred by InfraREIT. Sempra Energy
(the holder of 80.25% of Oncor's equity interests) and certain
indirect equity holders of Texas Transmission Investment LLC (the
holder of 19.75% of Oncor's equity interests) have committed to
provide their pro rata share of capital contributions to Oncor in
an aggregate amount of up to $1.330
billion to fund the cash consideration payable by Oncor and
the payment of certain fees and expenses relating to the
transaction. The transaction also includes InfraREIT's outstanding
debt, which totaled approximately $946
million at March 31, 2019. The
transaction is subject to the satisfaction of certain closing
conditions, including the approval of the Public Utility Commission
of Texas ("PUCT"). If PUCT
approval is received and all closing conditions are satisfied,
Oncor expects to close the transaction in mid-2019.
Sempra Energy Internet Broadcast Today
Sempra Energy
will broadcast a live discussion of its earnings results over the
Internet today at 12 p.m. (Eastern
Time) with senior management of Sempra Energy, which will
include discussion of earnings and other information relating to
Oncor. Access is available by logging on to Sempra Energy's
website, www.sempra.com. An accompanying slide presentation will
also be posted at sempra.com. For those unable to obtain
access to the live webcast, it will be available on replay a few
hours after its conclusion by dialing (888) 203-1112 and entering
passcode 7994290.
Oncor's Quarterly Report on Form 10-Q for the period ended
March 31, 2019 will be filed with the
U.S. Securities and Exchange Commission after Sempra Energy's
conference call
|
Oncor Electric
Delivery Company LLC
|
|
Table A –
Condensed Statements of Consolidated Net Income
|
|
Three Months Ended
March 31, 2019 and 2018; $ millions
|
|
|
Q1
'19
|
Q1
'18
|
|
Operating
revenues
|
$1,016
|
$990
|
|
Operating
expenses:
|
|
|
|
Wholesale
transmission service
|
260
|
245
|
|
Operation and
maintenance
|
221
|
219
|
|
Depreciation and
amortization
|
172
|
166
|
|
Provision in lieu of
income taxes
|
25
|
33
|
|
Taxes other than
amounts related to income taxes
|
122
|
125
|
|
Total operating
expenses
|
800
|
788
|
|
Operating
income
|
216
|
202
|
|
Other income and
(deductions) ‒ net
|
(17)
|
(32)
|
|
Nonoperating benefit in
lieu of income taxes
|
(3)
|
(7)
|
|
Interest expense and
related charges
|
86
|
88
|
|
Net income
|
$
116
|
$ 89
|
|
|
Oncor Electric
Delivery Company LLC
|
|
Table B –
Condensed Statements of Consolidated Cash Flows
|
|
Three Months Ended
March 31, 2019 and 2018; $ millions
|
|
|
Q1
'19
|
Q1
'18
|
|
Cash flows – operating
activities:
|
|
|
|
Net income
|
$
116
|
$
89
|
|
Adjustments to
reconcile net income to cash provided by operating
activities:
|
|
|
|
Depreciation and
amortization, including regulatory amortization
|
192
|
196
|
|
Provision in lieu of
deferred income taxes – net
|
8
|
10
|
|
Other –
net
|
(2)
|
-
|
|
Changes in operating
assets and liabilities:
|
|
|
|
Regulatory accounts
related to reconcilable tariffs
|
(20)
|
30
|
|
Other operating
assets and liabilities
|
(108)
|
10
|
|
Cash provided by
operating activities
|
186
|
335
|
|
Cash flows — financing
activities:
|
|
|
|
Change in short-term
borrowings
|
328
|
125
|
|
Capital contributions
from members
|
70
|
-
|
|
Distributions to
members
|
(71)
|
-
|
|
Cash provided by
financing activities
|
327
|
125
|
|
Cash flows — investing
activities:
|
|
|
|
Capital
expenditures
|
(523)
|
(450)
|
|
Other –
net
|
12
|
5
|
|
Cash used in
investing activities
|
(511)
|
(445)
|
|
Net change in cash and
cash equivalents
|
2
|
15
|
|
Cash and cash
equivalents — beginning balance
|
3
|
21
|
|
Cash and cash
equivalents — ending balance
|
$
5
|
$
36
|
|
|
Oncor Electric
Delivery Company LLC
|
|
Table C –
Condensed Consolidated Balance Sheets
|
|
At March 31, 2019
and December 31, 2018; $ millions
|
|
|
At
3/31/19
|
At
12/31/18
|
|
ASSETS
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
5
|
$
3
|
|
Trade accounts
receivable ‒ net
|
592
|
559
|
|
Materials and
supplies inventories ‒ at average cost
|
137
|
116
|
|
Prepayments and other
current assets
|
101
|
94
|
|
Total current
assets
|
835
|
772
|
|
Investments and other
property
|
119
|
120
|
|
Property, plant and
equipment – net
|
16,455
|
16,090
|
|
Goodwill
|
4,064
|
4,064
|
|
Regulatory
assets
|
1,654
|
1,691
|
|
Operating lease
right-of-use and other assets
|
100
|
15
|
|
Total
assets
|
$23,227
|
$22,752
|
|
|
|
|
LIABILITIES AND
MEMBERSHIP INTERESTS
|
|
Current
liabilities:
|
|
|
|
Short-term
borrowings
|
$
1,141
|
$
813
|
|
Long-term debt due
currently
|
600
|
600
|
|
Trade accounts
payable
|
321
|
300
|
|
Amounts payable to
members related to income taxes
|
39
|
26
|
|
Accrued taxes other
than amounts related to income
|
78
|
199
|
|
Accrued
interest
|
99
|
68
|
|
Operating lease and
other current liabilities
|
225
|
209
|
|
Total current
liabilities
|
2,503
|
2,215
|
|
Long-term debt, less
amounts due currently
|
5,835
|
5,835
|
|
Liability in lieu of
deferred income taxes
|
1,627
|
1,602
|
|
Regulatory
liabilities
|
2,674
|
2,697
|
|
Employee benefit,
operating lease and other obligations
|
2,012
|
1,943
|
|
Total
liabilities
|
14,651
|
14,292
|
|
Membership interests
:
|
|
|
|
Capital account ―
number of interests outstanding 2018 and 2017 –
635,000,000
|
8,743
|
8,624
|
|
Accumulated other
comprehensive loss
|
(167)
|
(164)
|
|
Total membership
interests
|
8,576
|
8,460
|
|
Total liabilities and
membership interests
|
$23,227
|
$22,752
|
|
|
Oncor Electric
Delivery Company LLC
|
|
Table D –
Operating Statistics
|
|
Three Months Ended
March 31, 2019 and 2018; mixed measures
|
|
|
Q1
'19
|
Q1
'18
|
|
Electric energy volumes
(gigawatt-hours):
|
|
|
|
Residential
|
10,319
|
10,282
|
|
Commercial,
industrial, small business and other
|
19,793
|
18,990
|
|
Total electric energy
volumes
|
30,112
|
29,272
|
|
Electricity
distribution points of delivery (end of period and in thousands)
(a)
|
3,639
|
3,572
|
|
|
(a)
|
Based on number of
active meters
|
Headquartered in Dallas,
Oncor Electric Delivery Company LLC is a regulated electricity
distribution and transmission business that uses superior asset
management skills to provide reliable electricity delivery to
consumers. Oncor operates the largest distribution and transmission
system in Texas, delivering power
to more than 3.6 million homes and businesses and operating more
than 137,000 miles of transmission and distribution lines in
Texas. While Oncor is owned by a
limited number of investors (including majority owner, Sempra
Energy), Oncor is managed by its Board of Directors, which
is comprised of a majority of disinterested directors.
Forward-Looking Statements
This press release contains forward-looking statements
relating to Oncor within the meaning of the Private Securities
Litigation Reform Act of 1995, which are subject to risks and
uncertainties. All statements in this press release, other than
statements of historical facts (often, but not always, through the
use of words or phrases such as "expects," "intends," "plans,"
"will likely result," "are expected to," "will continue," "is
anticipated," "estimated," "should," "projection," "target,"
"goal," "objective" and "outlook"), are forward-looking
statements. They involve risks, uncertainties and
assumptions. Further discussion of risks and uncertainties
that could cause actual results to differ materially from
management's current projections, forecasts, estimates and
expectations is contained in filings made by Oncor with the U.S.
Securities and Exchange Commission. Specifically, Oncor makes
reference to the section entitled "Risk Factors" in its annual and
quarterly reports. Any forward-looking statement speaks only as of
the date on which it is made, and Oncor undertakes no obligation to
update any forward-looking statement to reflect events or
circumstances after the date on which it is made or to reflect the
occurrence of unanticipated events.
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SOURCE Oncor Electric Delivery Company LLC
