Hawaiian Electric Industries, Inc. reports on the financial performance and regulatory developments of its electric utility business in Hawaii. Its utility, Hawaiian Electric, supplies power to approximately 95% of Hawaii’s population and is focused on renewable energy progress, decarbonization, grid modernization, hardening, resilience and public safety.
Recurring HE news includes quarterly and annual results, operations and maintenance costs, storm response, insurance and power supply expenses, liquidity, credit ratings and utility financing. Company updates also cover Maui wildfire-related expenses and settlement obligations, wildfire safety strategy, Public Utilities Commission matters, renewable portfolio standard progress and capital actions tied to utility infrastructure investment.
On August 4, 2020, the Board of Directors of Hawaiian Electric Industries (HEI) announced the maintenance of its quarterly cash dividend at $0.33 per share, payable on September 10, 2020. Shareholders of record will be noted as of the close of business on August 21, 2020, with an ex-dividend date of August 20, 2020. This aligns with HEI's long-standing practice of uninterrupted dividend payments since 1901, translating to an annual dividend rate of $1.32, providing a dividend yield of 3.7% based on the closing share price of $35.62 on August 4, 2020.
American Savings Bank reported a net income of $14.0 million for Q2 2020, down from $15.8 million in Q1 2020 and $17.0 million in Q2 2019. The decrease is attributed to lower lending margins and higher provisions for potential credit losses, totaling $15.1 million due to COVID-19 reserves. Net interest income fell to $56.7 million, with a net interest margin of 3.21%. Total loans grew by 6.45% to $5.5 billion, while deposits rose 12.1% to $7.0 billion. The bank did not pay dividends to HEI to support community lending.
Hawaiian Electric Industries (HE) will announce its second quarter 2020 financial results on August 6, 2020. American Savings Bank, a subsidiary of HEI, will report its results on July 30, 2020. A webcast and teleconference will be held on August 6 at 10:15 a.m. Hawaii time to discuss consolidated earnings and provide guidance for 2020. HE supplies power to 95% of Hawaii's population and offers banking services through American. Investors are encouraged to monitor the company's website for further updates and disclosures.