Duke Energy Earnings Down 11% In 2nd Quarter
Duke Energy’s earnings fell 11 percent in the second quarter, driven in part by weakness in international business. For the quarter, the utility reported earnings of $543 million, or 78 cents a share. That’s down from $609 million, or 86 cents a share, in the same quarter a year ago. The company owns hydroelectric dams in Latin America, primarily in Brazil. For the second quarter in a row, chief financial officer Steve Young told investors that drought conditions in Brazil have meant the government is running the dams less and a weak economy hasn’t helped either.
“The softer Brazilian economy, higher tariff prices for end users, and the voluntary conservation measures," says Young, "have placed additional pressure on electricity demand so far in 2015."
Helping off-set some of the losses, the company reports hotter-than-usual temperatures in the Carolinas, the completion of a stock buy-back program, and overall customer growth. Duke stock was down slightly from yesterday’s close.