NV Energy posted a large boost in second-quarter profits on Friday, thanks largely to warm weather and a rate hike.
The Las Vegas-based utility said it earned $69.4 million of net income, or 29 cents per share, for the three months ending June 30. That’s up from $12.9 million of profit, or 5 cents per share, during the same period last year.
Company executives attributed the growth in large part to unusually warm weather and a rate increase that took effect Jan. 1. As part of the hike, single-family homes in Southern Nevada were expected to face a 3.5 percent bump in their power bills.
Analysts had estimated, on average, the company would earn 18 cents per share in the second quarter.
During a conference call with analysts, NV Energy President and CEO Michael Yackira also said the company had ended its “Renewable Transmission Initiative,” an effort to bring hundreds of miles of new transmission lines for renewable power to Nevada and California.
When the program was announced last June, the company said the initiative could bring up to 570 miles of newly constructed, overhead electric transmission lines, as well as related facilities.
On Friday, Yackira said there was a “lack of response” — apparently from developers — to various aspects of the plan. He said the closure would not stop NV Energy from looking at other transmission opportunities, although he said “they’re not particularly defined” at this time.
NV Energy, with principal subsidiaries Nevada Power Co. and Sierra Pacific Power Co., serves 2.4 million Nevada residents, or about 90 percent of the state’s population.