Idacorp (IDA) Q4 2016 earnings summary

Executive summary

• 2016 marked the ninth consecutive year of earnings growth; net income attributable to IDACORP was $198.3 million, up $3.6 million YoY, and diluted EPS reached $3.94.

• Record customer satisfaction and the strongest electric-system reliability performance since 2006 accompanied 1.8% customer growth.

Financial highlights

• Operating revenue was $1.262 billion, down from $1.270 billion in 2015; operating income was $271.8 million versus $282.1 million.

• Net income attributable to IDACORP was $198.3 million versus $194.7 million; diluted EPS was $3.94 versus $3.87.

• Q4 revenue was $293.6 million and net income attributable to IDACORP was $33.2 million; diluted EPS was $0.66, versus $0.63 in Q4 2015.

• General business revenue fell $5.0 million YoY: customer growth added $15.6 million, offset by lower usage of $21.3 million and rate changes of $3.9 million.

Outlook and guidance

• 2017 diluted EPS guidance: $3.90–$4.05; estimated 2017 capital expenditures: $290–$300 million.

• Planned capital expenditures total approximately $1.5 billion for 2017–2021; 2017–2021 resource investment includes system upgrades, generation work, and transmission projects.

• 2017 hydro generation estimate: 7.0–9.0 million MWh; Western EIM participation expected in spring 2018, subject to approvals and conditions.

• Management expects to assess the timing and need for future Idaho and Oregon general rate cases during 2017; base rates had not changed since 2012.