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NOVA CORP. OF ALBERTA ANNOUNCES NINE MONTHS RESULTS

 NOVA CORP. OF ALBERTA ANNOUNCES NINE MONTHS RESULTS
 CALGARY, Alberta, Oct. 30 /PRNewswire/ -- Net income of NOVA


Corp. (NYSE: NVA) of Alberta continues to increase as a result of cost savings from restructuring, ongoing cost containment programs, and rate base growth from the Alberta natural gas pipeline system expansion.
 Unaudited consolidated net income for the nine months ended Sept. 30, 1992, was $111 million, or 27 cents per common share, compared with net income from continuing operations of $39 million, or 9 cents per share for the same period last year. After losses from discontinued operations, the net loss was $250 million or 85 cents per share for the nine months ended Sept. 30, 1991.
 For the third quarter of 1992 net income was $47 million, or 11 cents per share, compared with net income from continuing operations of $7 million, or 1 cent per share for the third quarter of 1991. After losses from discontinued operations the net loss was $258 million, or 82 cents per share, for the third quarter of 1991 because of a loss recorded on the sale of NOVA's interest in Husky Oil Ltd.
 The contribution to net income from the chemicals business has increased in the third quarter of 1992 compared with the third quarter of 1991 partially because of a modest improvement in product margins. These improved margins are the result of the cost control programs NOVA has undertaken and somewhat higher selling prices. Industry efforts to recover higher feedstock costs have driven the increase in selling prices. Demand for most chemicals remains flat.
 The Alberta Public Utilities Board (PUB) announced its decision to reduce the rate of return NOVA earns for transporting natural gas through its Alberta pipeline system. The decision is effective Jan. 1, 1992, and accordingly, net income for the six months ended June 30, 1992, has been reduced retroactively by $9 million, or 2 cents per common share.
 On Sept. 4, 1992, the NOVA board of directors declared a quarterly dividend of 6 cents per common share payable Nov. 15, 1992, to shareholders of record at the close of business on Oct. 30, 1992.
 NOVA CORP.
 Financial Highlights(a)
 (Unaudited)
 (Millions of dollars, except per share data)
 Condensed Consolidated Statement of Income
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1992 1991 1992 1991
 Revenue $755 $712 $2,232 $2,339
 Operating expenses (541) (542) (1,630) (1,809)
 Depreciation (72) (77) (213) (222)
 Operating income 142 93 389 308
 Interest expense (80) (82) (255) (254)
 Allowance for funds used
 during construction 4 7 13 19
 Equity in earnings of
 affiliates 10 7 28 23
 Loss on investments --- (8) --- (8)
 General and corporate (14) (14) (43) (49)
 Income taxes (15) 4 (21) ---
 Net income from continuing
 operations 47 7 111 39
 Discontinued operation - Husky --- (265) --- (289)
 Net income (loss) $47 ($258) $111 ($250)
 Preferred share
 dividends $3 $4 $9 $11
 Average number of common
 shares outstanding (millions) 406 321 382 308
 Net income from
 continuing operations
 per common share $0.11 $0.01 $0.27 $0.09
 Net income (loss)
 per common share $0.11 ($0.82) $0.27 ($0.85)
 Condensed Consolidated Balance Sheet
 Sept. 30, Dec. 31,
 1992 1991
 Current assets $705 $676
 Investments and other assets 285 280
 Plant, property and equipment (net) 5,011 4,846
 Total assets $6,001 $5,802
 Current liabilities $844 $903
 Long-term debt
 Cost-of-service 2,290 2,270
 Non-cost-of-service 403 786
 Other deferred credits 138 142
 Preferred shares 185 189
 Convertible debentures and
 common shareholders' equity 2,141 1,512
 Total liabilities and
 shareholders' equity $6,001 $5,802
 Consolidated Statement of Cash Flows
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1992 1991 1992 1991
 Operating Activities
 Net income from
 continuing operations $47 $7 $111 $39
 Depreciation 72 77 213 222
 Deferred income taxes 10 (4) 9 (16)
 Equity in earnings of
 affiliates (10) (7) (28) (23)
 Loss on investments --- 8 --- 8
 Other (5) (8) --- (8)
 Funds from continuing
 operations 114 73 305 222
 Changes in non-cash
 working capital (6) 25 7 15
 Cash from continuing
 operations 108 98 312 37
 Cash used by discontinued
 operation --- (11) --- (27)
 Total 108 87 312 210
 Investing Activities
 Plant, property and
 equipment additions (111) (131) (369) (519)
 Other assets and
 long-term investments 14 3 21 4
 Changes in non-cash
 working capital --- --- --- (3)
 Total (97) (128) (348) (518)
 Financing Activities
 Common shares issued 1 199 567 203
 Long-term debt additions 100 180 267 496
 Long-term debt repaid (75) (261) (658) (308)
 Preferred shares purchased
 for cancellation (1) (1) (4) (4)
 Dividends (27) (48) (79) (133)
 Changes in current
 bank loans (16) (27) (65) 68
 Changes in non-cash
 working capital 1 2 6 ---
 Total (17) 44 34 322
 Increase (decrease) in cash (6) 3 (2) 14
 Cash at beginning of period 6 14 2 3
 Cash at end of period --- $17 --- $17
 Segmented Information
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1992 1991 1992 1991
 Revenue
 Pipelines $221 $206 $657 $600
 Chemicals 534 506 1,575 1,739
 Total $755 $712 $2,232 $2,339
 Cost-of-service $300 292 898 857
 Non-cost-of-service 455 420 1,334 1,482
 Total $755 $712 $2,232 $2,339
 Operating income
 Pipelines $101 $92 $295 $263
 Chemicals 41 1 94 45
 Total $142 $93 $389 $308
 Capital expenditures
 Pipelines $92 $107 $323 $440
 Chemicals 19 24 46 79
 Total $111 $131 $369 $519
 Contribution to Net Income from Continuing Operations
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1992 1991 1992 1991
 Cost-of-service
 Operating income $120 $115 $359 $332
 Interest expense (58) (55) (174) (165)
 Allowance for funds
 used during construction 4 7 13 19
 Equity in earnings of
 affiliates 8 8 23 24
 Income taxes (22) (21) (61) (54)
 Total 52 54 160 156
 Non-cost-of-service
 Operating income (loss) 22 (22) 30 (24)
 Interest expense (22) (27) (81) (89)
 Equity in earnings
 of affiliates 2 (1) 5 (1)
 Loss on investments --- (8) --- (8)
 General and corporate (14) (14) (43) (49)
 Income taxes 7 25 40 54
 Total (5) (47) (49) (117)
 Net income from
 continuing
 operations $47 $7 $111 $39
 Consolidated Capitalization
 Sept. 30, Dec. 31,
 1992 1991
 per per
 cent cent
 Cost-of-service
 Long-term debt(b) $2,365 62 $2,347 65
 Preferred shares 185 5 89 3
 Common equity 1,238 33 1,150 32
 Total $3,788 --- $3,586 ---
 Non-cost-of-service
 Long-term debt(b) $415 31 815 64
 Preferred shares --- --- 100 8
 Common equity 903 69 362 28
 Total $1,318 --- $1,277 ---
 Total
 Long-term debt(b) $2,780 54 $3,162 65
 Preferred shares 185 4 189 4
 Common equity(c) 2,141 42 1,512 31
 Total $5,106 --- $4,863 ---
 Effect of PUB Decision on Prior Quarters (a)
 First Quarter Second Quarter
 1992 1992
 Net income as previously
 reported $32 $41
 Net income as restated $27 $37
 Net income to common
 shareholders as
 previously reported $29 $38
 Net income to common
 shareholders as
 restated $24 $34
 Net income per
 common share as
 previously reported $0.08 $0.10
 Net income per common
 share as restated $0.07 $0.09
 (a) Figures presented in these financial highlights have been adjusted where necessary to reflect the Alberta Public Utilities Board's decision to reduce the Alberta Gas Transmission Division's total rate of return to 10.95 percent from 11.62 percent. The deemed common equity component was reduced to 32 percent from 35 percent, and rate of return on common equity was reduced to 12.5 percent from 13.5 percent. The decision is effective Jan. 1, 1992. Adjustments relating to the six months ended June 30, 1992, have been accounted for on a retroactive basis.
 (b) Includes current portion.
 (c) Includes NOVA's dollars 150 million convertible debentures.
 -0- 10/30/92
 /CONTACT: C.A. (Chris) Read, Investor Relations, 403-290-7807, or S.H. (Sheila) O'Brien, Public Affairs, 403-290-7503, both of NOVA/
 (NVA) CO: NOVA Corp. of Alberta ST: Alberta IN: OIL SU: ERN


JB-LS -- LA045 -- 7404 10/30/92 20:13 EST
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