Canadian Utilities Reports Record Earnings in 2016
Author: Marketwire03/03/2017 07:45 EST
CALGARY, ALBERTA--(Marketwired - March 3, 2017) - Canadian Utilities Limited (TSX: CU, CU.X) -
Canadian Utilities Limited today announced record adjusted earnings for 2016 of $590 million compared to $483 million in 2015. Canadian Utilities had fourth quarter 2016 adjusted earnings of $166 million compared to $153 million in 2015.
Higher adjusted earnings in 2016 were mainly due to continued capital investment and growth in the Regulated Utilities and business-wide cost reduction initiatives. In late 2015, Canadian Utilities initiated an organizational transformation to streamline and gain operational efficiencies that created tangible benefits in 2016.
"Throughout 2016, we were relentless in challenging the status quo to generate sustainable growth for our share owners and creating premier solutions for our customers around the world," said Nancy Southern, Chair & Chief Executive Officer, Canadian Utilities. "This year's achievements are a reflection of the transformation initiatives, the efforts of our people and our unwavering commitment to operational excellence that has long been a hallmark of our company."
Canadian Utilities invested $1.4 billion in capital growth projects in 2016 of which 91 per cent was invested in assets that earn a return under a regulatory business model or are secured under long-term contracts.
In the 2017 to 2019 period, Canadian Utilities expects to invest an additional $5 billion in Regulated Utility and commercially secured capital growth projects. This capital investment is expected to contribute significant earnings and cash flow and create long-term value for share owners.
FINANCIAL SUMMARY AND RECONCILIATION OF ADJUSTED EARNINGS
A financial summary and reconciliation of adjusted earnings to earnings attributable to Class A and Class B shares is provided below:
This news release should be used as a preparation for reading the full disclosure documents. Canadian Utilities' consolidated financial statements and management's discussion and analysis for the year ended December 31, 2016 will be available on the Canadian Utilities website (www.canadianutilities.com), via SEDAR (www.sedar.com) or can be requested from the Company.
With approximately 5,400 employees and assets of $19 billion, Canadian Utilities Limited is an ATCO company. ATCO is a diversified global corporation delivering service excellence and innovative business solutions in Structures & Logistics (workforce housing, innovative modular facilities, construction, site support services, and logistics and operations management); Electricity (electricity generation, transmission, and distribution); Pipelines & Liquids (natural gas transmission, distribution and infrastructure development, energy storage, and industrial water solutions); and Retail Energy (electricity and natural gas retail sales). More information can be found at www.canadianutilities.com.
Certain statements contained in this news release may constitute forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "plan", "estimate", "expect", "may", "will", "intend", "should", and similar expressions.
Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information.
The Company's actual results could differ materially from those anticipated in this forward-looking information as a result of regulatory decisions, competitive factors in the industries in which the Company operates, prevailing economic conditions, and other factors, many of which are beyond the control of the Company.
The Company believes that the expectations reflected in the forward-looking information are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon.
Any forward-looking information contained in this news release represents the Company's expectations as of the date hereof, and is subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable securities legislation.