DTE Energy Reports $146M Second Quarter 2012
DETROIT — DTE Energy today reported second quarter 2012 earnings of $146 million, or $0.86 per diluted share, compared with $202 million, or $1.19 per diluted share in 2011.
Reported earnings in the second quarter of 2011 include an $88 million, or $0.52 per diluted share, adjustment to reduce income tax expense. This non-cash income tax benefit was the result of the enactment of the Michigan Corporate Income Tax in May 2011 and the related remeasurement of deferred tax assets and liabilities at non-utility businesses.
Operating earnings for the second quarter 2012 were $146 million, or $0.86 per diluted share, compared with 2011 operating earnings of $111 million, or $0.65 per diluted share. Operating earnings exclude non-recurring items and discontinued operations. Reconciliations of reported earnings to operating earnings are at the end of this news release.
"Record-setting high temperatures in our service territory provided an increase in demand at our electric utility," said Gerard M. Anderson, DTE Energy chairman, president and CEO. "The hot weather and severe storms we've seen so far this summer are reminders of why DTE Energy's plan to invest $1.4 billion in our distribution system reliability over the next five years is so important."
Anderson also highlighted new investments in renewable energy.
"Last month, we started full commercial operation of the Gratiot County Wind Park, Michigan's largest wind project, which will provide the power to serve the equivalent of more than 50,000 homes. We have an additional four wind parks under construction in Michigan's Thumb region that will more than double that capacity by the end of 2013. These are good examples of our ongoing commitment to invest in renewable energy."
Reported earnings for the first six months ended June 30, 2012 were $302 million, or $1.77 per diluted share, versus $378 million, or $2.23 per diluted share, in 2011. Year-to-date operating earnings were $302 million, or $1.77 per diluted share, compared with $299 million, or $1.76 per diluted share, in 2011.
Outlook for 2012
DTE Energy reiterated its 2012 operating earnings guidance of $3.65 to $3.95 per diluted share.
"Increased electricity usage so far this summer has boosted operating earnings and helped to offset the impact the warm first quarter had on our gas utility's earnings," said David E. Meador, DTE Energy executive vice president and chief financial officer. "We remain on track to meet our financial goals for 2012."
Meador also provided an update on DTE Energy's commitment to the state of Michigan as part of the Pure Michigan Business Connect initiative to increase spending on goods and services with Michigan-based suppliers.
"We are off to a great start on our 2012 target of $575 million, with $346 million of Michigan spend through June," said Meador. "This is an $81 million increase over year-to-date June 2011 and illustrates DTE Energy's commitment to be a force for growth and prosperity in our state."
This earnings announcement, as well as a package of slides and supplemental information, is available at www.dteenergy.com.
DTE Energy plans to conduct a conference call with the investment community hosted by Meador at 9 a.m. EDT Friday, July 27, to discuss second quarter 2012 earnings results. Investors, the news media and the public may listen to a live internet broadcast of the call at www.dteenergy.com/investors. The telephone dial-in numbers are U.S. and Canada (800) 419-9895 or International toll (913) 312-0643. The passcode is 4907918. The internet broadcast will be archived on the company's website. An audio replay of the call will be available from noon today to Aug. 10. To access the replay, dial (888) 203-1112 or (719) 457-0820 and enter passcode 4907918.