Consolidated Edison, Inc. (Con Edison), one of the largest investor-owned energy companies in the United States, has reported its first quarter financial results for the year 2009.

The company has earned $180 million, or $0.66 per share, for the first quarter of this year, as compared to the $303 million, or $1.11 per share, in 2008. Earnings from ongoing operations dropped from $237 million, or $0.87 a share, in 2008 to $214 million, or $0.78 a share, in this year’s first quarter.

According to Kevin Burke, Chairman, President, and Chief Executive Officer of Con Edison, the decreases reflected “a lower allowed return on equity for Con Edison of New York’s electric service.”

Changes in the company’s rate plans such as additional revenues used to recover the increases in certain operations and maintenance expenses, depreciation and property taxes, and interest charges had a negative impact on the company’s first quarter revenues. The operating results of the competitive energy businesses also affected the company’s financial results.

Operations and maintenance expenses were higher in this year’s first quarter as compared with the 2008 period mainly because of higher costs, which are generally reflected in rates, the support and maintenance of company underground facilities, the write-off of uncollectible accounts, and additional operating programs. Increased capital expenditures affected the increase of depreciation and property taxes.

Consolidated Edison, Inc. is one of the largest energy providers in the United States, providing electricity and natural gas service in New York. The company also owns and operates the world’s largest district steam system, providing steam service in most of Manhattan.


-  Natassia Y. Laforteza

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Sources:

¹ http://www.marketwire.com/press-release/Consolidated-Edison-Inc-NYSE-ED-983005.html
² http://www.conedison.com/