ALLETE, Inc. reports third quarter 2024 earnings
“It has been a busy year thus far, and I couldn’t be prouder of our entire ALLETE team, working diligently on many fronts to execute our Sustainability in Action strategy in tandem with initiatives as part of the merger agreement with Canada Pension Plan Investment Board and Global Infrastructure Partners,” said ALLETE Chair, President, and Chief Executive Officer Bethany Owen. “The merger is progressing as planned, and we remain on track for a mid-2025 closing, subject to all necessary approvals. One very significant milestone was met in the third quarter with ALLETE’s shareholders’ approval of the merger in August,” Owen continued. “At Minnesota Power, several key milestones have been met. Last week, we were pleased that the Minnesota Public Utilities Commission approved the 2023 rate case settlement agreement with final rates expected to be implemented in the first quarter of 2025. Also in October, the Minnesota Public Utilities Commission approved the Big Stone South Transmission project to boost reliability and increase access to renewable energy, and in September, Minnesota Power announced plans to build two large solar projects in northern
ALLETE’s Regulated Operations segment, which includes Minnesota Power, Superior Water, Light and Power and the Company’s investment in the American Transmission Company, recorded third quarter 2024 net income of
ALLETE Clean Energy recorded third quarter 2024 net income of
Corporate and Other businesses, which include New Energy Equity, BNI Energy, ALLETE Properties and our investments in renewable energy facilities, recorded net income of
“Results for the third quarter of 2024 exceeded internal expectations,” said ALLETE Senior Vice President and Chief Financial Officer Steve Morris. “New Energy Equity's financial results exceeded expectations due to timing of project closings with attractive margins, and ALLETE Clean Energy’s results were higher than our expectations primarily due to the sale of the Whitetail project. These increases were partially offset by merger related expenses.”
ALLETE is an energy company headquartered in
The statements contained in this release and statements that ALLETE may make orally in connection with this release that are not historical facts, are forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These forward-looking statements involve risks and uncertainties and investors are directed to the risks discussed in documents filed by ALLETE with the Securities and Exchange Commission.
ALLETE's press releases and other communications may include certain non-Generally Accepted Accounting Principles (GAAP) financial measures. A "non-GAAP financial measure" is defined as a numerical measure of a company's financial performance, financial position or cash flows that excludes (or includes) amounts that are included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in the company's financial statements.
Non-GAAP financial measures utilized by the Company include presentations of earnings (loss) per share. ALLETE's management believes that these non-GAAP financial measures provide useful information to investors by removing the effect of variances in GAAP reported results of operations that are not indicative of changes in the fundamental earnings power of the Company's operations. Management believes that the presentation of the non-GAAP financial measures is appropriate and enables investors and analysts to more accurately compare the company's ongoing financial performance over the periods presented.
ALLETE, Inc. |
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Consolidated Statement of Income |
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Millions Except Per Share Amounts - Unaudited |
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Quarter Ended |
Nine Months Ended |
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Sept. 30, |
Sept. 30, |
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2024 |
2023 |
2024 |
2023 |
Operating Revenue |
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Contracts with Customers – Utility |
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Contracts with Customers – Non-utility |
95.4 |
63.2 |
232.6 |
554.1 |
Other – Non-utility |
1.3 |
1.3 |
3.8 |
3.9 |
Total Operating Revenue |
407.2 |
378.8 |
1,165.0 |
1,477.1 |
Operating Expenses |
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|
|
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Fuel, Purchased Power and Gas – Utility |
116.5 |
124.9 |
357.3 |
350.8 |
Transmission Services – Utility |
19.6 |
22.7 |
43.9 |
66.3 |
Cost of Sales – Non-utility |
47.0 |
33.0 |
103.2 |
436.7 |
Operating and Maintenance |
92.7 |
83.6 |
286.5 |
254.2 |
Depreciation and Amortization |
70.8 |
63.1 |
201.8 |
188.2 |
Taxes Other than Income Taxes |
15.3 |
15.5 |
50.3 |
43.1 |
Total Operating Expenses |
361.9 |
342.8 |
1,043.0 |
1,339.3 |
Operating Income |
45.3 |
36.0 |
122.0 |
137.8 |
Other Income (Expense) |
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|
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Interest Expense |
(20.3) |
(20.5) |
(60.8) |
(60.9) |
Equity Earnings |
5.1 |
4.7 |
16.5 |
16.1 |
Other |
5.5 |
68.7 |
20.0 |
75.3 |
Total Other Income (Expense) |
(9.7) |
52.9 |
(24.3) |
30.5 |
Income Before Income Taxes |
35.6 |
88.9 |
97.7 |
168.3 |
Income Tax Expense |
2.9 |
19.3 |
8.3 |
20.4 |
Net Income |
32.7 |
69.6 |
89.4 |
147.9 |
Net Loss Attributable to Non-Controlling Interest |
(12.3) |
(16.3) |
(39.3) |
(47.7) |
Net Income Attributable to ALLETE |
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Average Shares of Common Stock |
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|
|
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Basic |
57.8 |
57.4 |
57.7 |
57.3 |
Diluted |
57.9 |
57.5 |
57.8 |
57.4 |
Basic Earnings Per Share of Common Stock |
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Diluted Earnings Per Share of Common Stock |
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Dividends Per Share of Common Stock |
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Consolidated Balance Sheet |
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Millions - Unaudited |
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Sept. 30, |
Dec. 31, |
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Sept. 30, |
Dec. 31, |
|
2024 |
2023 |
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2024 |
2023 |
Assets |
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Liabilities and Equity |
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Cash and Cash Equivalents |
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|
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Current Liabilities |
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Other Current Assets |
381.5 |
396.2 |
|
Long-Term Debt |
1,743.7 |
1,679.9 |
Property, Plant and Equipment – Net |
5,112.8 |
5,013.4 |
|
Deferred Income Taxes |
255.5 |
192.7 |
Regulatory Assets |
386.1 |
425.4 |
|
Regulatory Liabilities |
562.1 |
574.0 |
Equity Investments |
337.9 |
331.2 |
|
Defined Benefit Pension and Other Postretirement Benefit Plans |
134.5 |
160.8 |
Goodwill and Intangibles – Net |
155.3 |
155.4 |
|
Other Non-Current Liabilities |
314.4 |
264.3 |
Other Non-Current Assets |
261.7 |
262.9 |
|
Redeemable Non-Controlling Interest |
0.7 |
0.5 |
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|
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Equity |
3,391.9 |
3,406.6 |
Total Assets |
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|
|
Total Liabilities, Redeemable Non-Controlling Interest and Equity |
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Quarter Ended |
Nine Months Ended |
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ALLETE, Inc. |
Sept. 30, |
Sept. 30, |
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Income (Loss) |
2024 |
2023 |
2024 |
2023 |
Millions |
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|
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Regulated Operations |
|
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|
|
ALLETE Clean Energy |
3.9 |
54.8 |
10.1 |
66.4 |
Corporate and Other |
7.1 |
(2.9) |
6.7 |
16.8 |
Net Income Attributable to ALLETE |
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Diluted Earnings Per Share |
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Statistical Data |
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Corporate |
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Common Stock |
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High |
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Low |
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Close |
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Book Value |
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Kilowatt-hours Sold |
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Millions |
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Regulated Utility |
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|
Retail and Municipal |
|
|
|
|
Residential |
262 |
250 |
793 |
812 |
Commercial |
354 |
355 |
999 |
1,022 |
Industrial |
1,715 |
1,742 |
5,242 |
5,178 |
Municipal |
120 |
112 |
350 |
350 |
Total Retail and Municipal |
2,451 |
2,459 |
7,384 |
7,362 |
Other Power Suppliers |
616 |
526 |
1,952 |
2,008 |
Total Regulated Utility Kilowatt-hours Sold |
3,067 |
2,985 |
9,336 |
9,370 |
Regulated Utility Revenue |
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Millions |
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Regulated Utility Revenue |
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Retail and Municipal Electric Revenue |
|
|
|
|
Residential |
|
|
|
|
Commercial |
48.8 |
48.6 |
139.1 |
135.5 |
Industrial |
149.2 |
153.8 |
454.0 |
436.9 |
Municipal |
9.2 |
8.7 |
25.6 |
25.2 |
Total Retail and Municipal Electric Revenue |
247.2 |
247.1 |
739.8 |
709.2 |
Other Power Suppliers |
32.0 |
31.0 |
102.4 |
103.2 |
Other (Includes Water and Gas Revenue) |
31.3 |
36.2 |
86.4 |
106.7 |
Total Regulated Utility Revenue |
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Investor Contact:
218-723-3952
shareholder@allete.com
Source: ALLETE, Inc.