Las Vegas - NV Energy, Inc. today announced a consolidated net loss of $22.2 million, or 9 cents per share, for the quarter ended March 31, 2009, compared with consolidated net income of $24.1 million, or 10 cents per share, for the same period in 2008.
The decrease in earnings in the first quarter 2009 compared to the same period in 2008 was the result of higher other operating and maintenance expenses, depreciation, and financing expenses primarily attributable to power plant investments, and lower revenues due to milder weather. Other income was less in 2009 due to recognition of certain non-recurring items in 2008.
"Much of the first quarter-to-quarter decline is attributable to expenses associated with new generating facilities in southern Nevada that have yet to generate a return to shareholders which we expect will be addressed in our current general rate case," said Michael Yackira, president and CEO of NV Energy. "In addition, growth in both our northern and southern Nevada service territories continued to slow, demonstrating that our company is not immune to the economic challenges that have gripped our state and nation."
NV Energy's two utilities contributed gross margin of $283.9 million in the first quarter 2009, $7.7 million higher than the first quarter 2008. Although NVE's consolidated revenues were lower in the first quarter, the increase in consolidated gross margin was primarily due to the effect of the northern utility's 2007 General Rate Case effective July 1, 2008.
The average number of residential, commercial and industrial electric customers in southern Nevada increased by 0.6 percent, 0.4 percent and 3.3 percent, respectively, in the first quarter 2009, compared with the average customer counts for the same period in 2008. In northern Nevada, the average number of residential customers remained unchanged while commercial and industrial electric customers increased by 1.7 percent and 4.6 percent, respectively, in the first quarter 2009, compared with the first quarter 2008.