Wwp Posts 48% Jump In Earnings

Abundant hydropower and increased sales of electricity to other utilities boosted Washington Water Power Co. earnings by almost 50 percent in the quarter ended September 30, according to figures released Thursday.

The Spokane-based utility reported net income for common stock of $8.6 million, up 48 percent from $5.9 million for the same period a year ago. Revenues grew to $157.9 million, compared with $142.3 million for the year-ago quarter.

Per share, results bolted 45 percent to 16 cents from 11 cents.

For the one-year period, net income for common stock climbed to $72.1 million, or $1.32 per share, compared with $65.6 million, or $1.24 cents per share, for the prior year.

Revenues were $705.5 million, vs. $657.6 million a year ago.

Chairman Paul Redmond said the wholesale side of WWP’s energy business produced revenues $10 million above those of the 1994 quarter. At the same time, he said, the ready availability of cheap hydropower cut energy expenses $5 million.

“Our company has been successful in competing for and capturing several long-term, firm wholesale contracts, and we are beginning to see the benefits in our current results,” Redmond said.

Retail electricity and natural gas sales also grew, he noted.

Results from non-utility operations slipped one-cent to five cents per share, but remained above last year’s level at 26 cents vs. 22 cents.

Redmond said Thursday’s report will likely be the last by WWP before it merges with Sierra Pacific Resources to create a new entity - Altus.

WWP costs associated with the merger, $12.1 million at the end of the third quarter, will be expenses to Altus in the last quarter, he said.

, DataTimes