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NOVA CORP. ANNOUNCES THIRD QUARTER RESULTS

 CALGARY, Alberta, Oct. 29 /PRNewswire/ -- NOVA Corp. of Alberta earned net income of $45 million (10 cents per common share) in the third quarter of 1993 compared with $47 million (11 cents per common share) in the third quarter of 1992.
 The slightly lower earnings are primarily the result of a reduction in the rate of return NOVA earns for transporting natural gas through its Alberta pipeline system. The effects of the lower rate of return have been largely offset by continued growth in the Alberta pipeline rate base.
 In a decision released Aug. 20, 1993, the Alberta Public Utilities Board (PUB) reduced NOVA's rate of return retroactive to Jan. 1, 1993. Accordingly, net income for the six months ended June 30, 1993, has been reduced retroactively by $8 million or two cents per common share.
 "Our chemicals business continues in the black, despite depressed market conditions," said J.E. (Ted) Newall, NOVA's president and chief executive officer. "Our Alberta gas pipeline is assured of continued growth, with requests for 1995/96 service up very significantly."
 Consolidated net income for the nine months ended Sept. 30, 1993, was $159 million (37 cents per common share) compared with $111 million (27 cents per common share) for the same period last year. The improvement was substantially the result of a gain of $25 million on the sale of a valve manufacturing investment, a lower-valued Canadian dollar and lower non-cost-of-service interest expense resulting from reduced average debt levels.
 NOVA CORP. OF ALBERTA
 Financial Summary
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 (unaudited; millions of dollars,
 except per share data)
 Revenue $828 $755 $2,428 $2,232
 Net income $45 $47 $159 $111
 Net income to common
 shareholders $42 $44 $151 $102
 Funds from operations $122 $114 $353 $305
 Capital Expenditures $159 $111 $457 $369
 Net income per share $0.10 $0.11 $0.37 $0.27
 NOVA CORP. OF ALBERTA
 Financial Highlights
 (unaudited)
 (millions of dollars, except per share data)


Condensed Consolidated Statement of Income
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Revenue $828 $755 $2,428 $2,232
 Operating expenses (622) (541) (1,821) (1,630)
 Depreciation (81) (72) (242) (213)
 Operating Income 125 142 365 389
 Interest expense (79) (80) (236) (255)
 Allowance for funds used
 during construction 3 4 10 13
 Equity in earnings of
 affiliates 13 10 34 28
 Gain on sale of
 investments --- --- 25 ---
 General and corporate (6) (14) (18) (43)
 Income taxes (11) (15) (21) (21)
 Net income 45 47 159 111
 Preferred share dividends (3) (3) (8) (9)
 Net income to common
 shareholders $42 $44 $151 $102
 Average number of common
 shares outstanding
 (millions) 407 406 407 382
 Net income per common
 share $0.10 $0.11 $0.37 $0.27
 Condensed Consolidated Balance Sheet
 Sept. 30, Dec. 31,
 1993 1992
 Current assets $804 $750
 Investments and other assets 352 343
 Plant, property and equipment
 (net) 5,356 5,096
 Total assets $6,512 $6,189
 Current liabilities $940 $841
 Long-term debt
 - cost-of-service 2,508 2,353
 - non-cost-of-service 419 453
 Other deferred credits 203 188
 Preferred shares 178 182
 Convertible debentures and
 common shareholders' equity 2,264 2,172
 Total liabilities and
 shareholders' equity $6,512 $6,189
 Restated Net Income for Prior Quarters as a Result of PUB
 Decision
 First Quarter Second Quarter
 1993 1993
 Net income $46 $68
 Net income per common share $0.11 $0.16
 Consolidated Statement of Cash Flows
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Operating Activities
 Net income $45 $47 $159 $111
 Depreciation 81 72 242 213
 Deferred income taxes 7 10 10 9
 Equity in earnings
 of affiliates (13) (10) (34) (28)
 Gain on sale of
 investments --- --- (25) ---
 Other 2 (5) 1 ---
 Funds from operations 122 114 353 305
 Changes in non-cash
 working capital 5 (6) (1) 7
 Total 127 108 352 312
 Investing Activities
 Plant, property and
 equipment additions (159) (111) (457) (369)
 Other assets and
 long-term investments (2) --- (14) (6)
 Cash received from
 long-term investments 7 14 27 27
 Proceeds from sale
 of investments --- --- 25 ---
 Total (154) (97) (419) (348)
 Financing Activities
 Common shares issued 6 1 14 567
 Long-term debt additions 84 100 345 267
 Long-term debt repaid (27) (75) (185) (658)
 Preferred shares purchased
 for cancellation (2) (1) (5) (4)
 Common shares purchased for
 cancellation (22) --- (22) ---
 Dividends (27) (27) (82) (79)
 Changes in current bank
 loans 91 (16) 65 (65)
 Changes in non-cash
 working capital --- 1 --- 6
 103 (17) 130 34
 Increase (Decrease) in
 Cash 76 (6) 63 (2)
 Cash at Beginning of Period 4 6 17 2

 Cash at End of Period $80 --- $80 ---
 Consolidated Capitalization
 Sept. 30, Dec. 31,
 1993 1992
 per per
 cent cent
 Cost-of-service(a)
 Long-term debt(b) $2,618 65 $2,425 63
 Preferred shares 178 4 182 5
 Common equity 1,277 31 1,265 32
 Total $4,073 $3,872
 Non-cost-of-service(a)
 Long-term debt(b) $419 30 $462 34
 Common equity(c) 987 70 907 66
 Total $1,406 $1,369
 Notes:
 (a) September 30, 1993 figures reflect changes in the deemed
 capital structure of NOVA's Alberta Gas Transmission
 Division as a result of the PUB decision.
 (b) Includes current portion.
 (c) Includes NOVA's $150 million convertible debentures.
 Segmented Information
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Revenue
 Pipelines $249 $221 $724 $657
 Chemicals 579 534 1,704 1,575
 Total $828 $755 $2,428 $2,232
 Cost-of-service $323 $300 $942 $898
 Non-cost-of-service 505 455 1,486 1,334
 Total $828 $755 $2,428 $2,232
 Operating Income
 Pipelines $102 $101 $297 $295
 Chemicals 23 41 68 94
 Total $125 $142 $365 $389
 Capital Expenditures
 Pipelines $107 $92 $344 $323
 Chemicals 52 19 113 46
 Total $159 $111 $457 $369
 Contribution to Net Income
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Cost-of-service
 Operating income $121 $120 $345 $359
 Interest expense (59) (58) (179) (174)
 Allowance for funds used
 during construction 3 4 10 13
 Equity in earnings
 of affiliates 8 8 22 23
 Income taxes (21) (22) (47) (61)
 Total 52 52 151 160
 Non-cost-of-service
 Operating income 4 22 20 30
 Interest expense (20) (22) (57) (81)
 Equity in earnings
 of affiliates 5 2 12 5
 Gain on sale of investments --- --- 25 ---
 General and corporate (6) (14) (18) (43)
 Income taxes 10 7 26 40
 Total (7) (5) 8 (49)
 Net Income $45 $47 $159 $111
 Pipelines $40 $42 $120 $122
 Chemicals 6 5 15 (7)
 Corporate and other (1) --- 24 (4)
 Net Income $45 $47 $159 $111
 -0- 10/29/93
 /CONTACT: Bill Rowe, Investor Relations, 403-290-7807; or Jeff Flood, Public Relations, 403-290-7657/
 (NVA.)


CO: NOVA Corp. of Alberta ST: Alberta IN: OIL SU: ERN

LS -- LA052 -- 8820 10/29/93 20:45 EDT
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Date:Oct 29, 1993
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