EmeraInc. recorded a C$64.8 million year-over-year decrease infirst-quarter adjusted EBITDA to C$319.4 million, results released May 9 showed.
The company booked first-quarter 2016 adjusted net incomeC$137.7 million, or 93 cents per basic share, beating the S&P Global MarketIntelligence normalized consensus EPS estimate of 88 cents.
The result excludes the impact of costs related to thecompany's pending purchase of TECO Energy Inc.
First-quarter 2016 adjusted net income attributable toshareholders was C$120.2 million, or 81 cents per basic share, compared withC$171.6 million, or C$1.18 per share, a year ago.
The company said the 30% year-over-year drop in adjusted netincome was driven primarily by lower contributions from 's New Englandnatural gas-fired power plants, the impact of weather at Nova Scotia Power Inc. and , TECO Energyacquisition-related costs and a gain on the sale of Northeast Wind Partnership II LLC inthe first quarter of 2015.
"Q1 2016 earnings were lower than last year due to TECOEnergy acquisition costs, expected lower margins at the New England Gas plantscompared to the outstanding results achieved last year, and the impact of awarmer winter this year," Emera President and CEO Chris Huskilson said inthe company's May 9 earnings release. "The TECO Energy acquisition remainson track to close in mid-2016, and our integration planning efforts areproceeding very well."
By segment, Nova Scotia Power's adjusted net income was downC$15.5 million year over year to C$52.5 million, and Emera Energy's adjustednet income was down C$28.5 million year over year to C$47.9 million during themost recent quarter.
The company's pipeline segment contributed C$9.7 milliontoward first-quarter 2016 adjusted net income, compared with C$9.9 million inthe corresponding quarter of 2015. Emera Maine's adjusted net income narrowedto C$9.3 million from C$11.5 million a year ago. Adjusted net income at EmeraCaribbean rose to C$9.8 million from C$8.8 million in the first quarter of 2015.
On a GAAP basis, Emera booked C$44.3 million, or 30 centsper basic share, in first-quarter 2016 net income attributable to commonshareholders — down sharply from C$160.1 million, or C$1.10 per basic share, inthe corresponding quarter of 2015.
The results reflect the impact of after-tax mark-to-marketadjustments, which reduced net income by C$75.9 million, or 51 cents per share,during the most recent period, the company said.
First-quarter operating revenues were down to C$877.0million in 2016 from C$888.5 million in 2015.
Emera will be hosting a teleconference at 9 a.m. ET on May10 to discuss its first-quarter results.