By a News Reporter-Staff News Editor at Energy Weekly News -- OGE Energy Corp. (NYSE: OGE), the parent company of Oklahoma Gas and Electric Company ("OG&E"), and holder of 26.3 percent limited partner interest and 50 percent general partner interest in Enable Midstream Partners, LP, reported earnings of $0.50 per diluted share for the three months ended June 30, 2014 compared to $0.46 per diluted share for the second quarter of 2014.
OG&E, a regulated electric utility, contributed earnings of $0.38 per share in the second quarter, compared with earnings of $0.40 per share in the second quarter last year. OGE Energy's interest in the natural gas midstream operations contributed earnings of $0.12 per share compared with earnings of $0.07 per share in the year-ago quarter. The holding company posted breakeven results in the second quarter of 2014 compared to a loss of $0.01 per share for the same period in 2013.
"Higher earnings over the same quarter last year are primarily driven by our natural gas midstream partnership, Enable Midstream Partners," said OGE Energy Corp. Chairman, President and CEO Pete Delaney. "The utility is performing in line with expectations and focused on implementing our regional haze compliance plan."
Discussion of Second Quarter 2014
OGE Energy's net income was $101 million in the second quarter, compared to $92 million in the year-ago quarter.
OG&E's gross margin on revenues was $341 million in the second quarter, compared with $327 million in the comparable quarter last year. The increase in gross margin was primarily due to revenues associated with transmission projects as well as new customer growth, partially offset by mild weather. Net income at the utility declined to $77 million, compared to $79 million in the year-ago quarter primarily due to higher operating expenses.
Natural Gas Midstream Operations contributed net income to OGE Energy Corp. of $24 million for the second quarter of 2014 compared to $15 million for the same period in 2013. The increase reflects the accretive effect of the Enable transaction as well as higher gross margins in the transportation and storage business.
Keywords for this news article include: Oil & Gas, Natural Gas, OGE Energy Corp..
Our reports deliver fact-based news of research and discoveries from around the world. Copyright 2014, NewsRx LLC