Unitil(UTL) - 2024 Q3 - Quarterly Report

Financial Performance - As of September 30, 2024, total operating revenues were $92.9 million, a decrease of 10$103.9 million in the same period of 2023[70]. - Electric operating revenues were $62.5 million, down from$72.1 million year-over-year, while gas operating revenues decreased to $30.4 million from$31.8 million[70]. - Total operating expenses for the three months ended September 30, 2024, were $87.1 million, a reduction of 9$95.9 million in the same period of 2023[70]. - Net income applicable to common shares for the nine months ended September 30, 2024, was $31.5 million, compared to$29.7 million in the same period of 2023, reflecting a growth of 6%[70]. - Cash provided by operating activities for the nine months ended September 30, 2024, was $102.6 million, compared to$78.7 million in 2023, reflecting a significant increase[75]. - Total Electric and Gas Operating Revenues for the three months ended September 30, 2024, were $92.9 million, a decrease from$103.9 million in the same period of 2023, representing a decline of approximately 10.0%[91][94]. - For the nine months ended September 30, 2024, Total Electric and Gas Operating Revenues were $367.3 million, compared to$427.5 million for the same period in 2023, indicating a decrease of about 14.1%[95][97]. - Segment profit for the nine months ended September 30, 2024, was $31.5 million, compared to$29.7 million for the same period in 2023, showing an increase of approximately 6.0%[126]. Assets and Liabilities - As of September 30, 2024, the company's total assets were $1,737.1 million, an increase from$1,620.2 million in the previous year[72]. - Total current liabilities decreased to $179.2 million as of September 30, 2024, down from$243.4 million in 2023, indicating improved financial health[73]. - Long-term debt, less current portion, increased to $638.4 million as of September 30, 2024, compared to$509.0 million in 2023, suggesting increased borrowing[73]. - Total stockholders' equity rose to $502.4 million as of September 30, 2024, up from$479.8 million in 2023, reflecting growth in shareholder value[73]. - The company reported a decrease in cash and cash equivalents to $6.3 million at the end of the period, down from$6.0 million in 2023[75]. - The company’s total capitalization reached $1,140.8 million as of September 30, 2024, compared to$988.8 million in 2023, indicating overall growth in financial structure[73]. Revenue and Collections - Billed and unbilled revenue for Residential customers in the three months ended September 30, 2024, was $46.3 million, down from$55.9 million in the same period of 2023, reflecting a decline of approximately 17.2%[91][94]. - Total Accrued Revenue as of September 30, 2024, was $65.4 million, an increase from$57.3 million in September 2023 and $63.4 million in December 2023[105]. - The Company’s total Billed and Unbilled Revenue for the nine months ended September 30, 2024, was$369.9 million, compared to $439.8 million for the same period in 2023, a decrease of approximately 15.9$2.0 million, unchanged from September 30, 2023, but down from $2.4 million as of December 31, 2023[103]. Capital Expenditures and Investments - Capital expenditures included in accounts payable amounted to$11.8 million as of September 30, 2024, compared to $8.6 million in 2023, indicating increased investment in assets[75]. - Capital expenditures for the nine months ended September 30, 2024, totaled$114.3 million, compared to $93.4 million in the same period in 2023, representing an increase of about 22.3$20.0 million of Notes due 2034 at 5.99% on August 21, 2024, to refinance existing debt[133]. - Total long-term debt as of September 30, 2024, is $647.3 million, an increase from$519.3 million in September 30, 2023[128]. - The only financial covenant in the Credit Facility requires that Funded Debt to Capitalization cannot exceed 65%, and the Company was in compliance as of September 30, 2024[132]. Regulatory and Compliance - The Company has been subject to revenue decoupling since June 1, 2022, which applies to substantially all of its total annual electric sales volumes[97]. - The Company has recorded $7.2 million of environmental costs in Regulatory Assets, which are expected to be recovered over varying periods in the next seven years[112]. - The MDPU opened an investigation into the role of gas local distribution companies (LDCs) in achieving Massachusetts' 2050 climate goals, requiring LDCs to submit Climate Compliance Plans every five years starting in 2025[165]. Employee and Labor Relations - The company had 541 employees as of September 30, 2024, with a good relationship and no major labor disruptions reported[64]. - The company expects to negotiate new collective bargaining agreements for 173 union-represented employees before their expiration dates[66]. Environmental and Legal Matters - The Company is involved in various legal proceedings but believes they will not materially affect its financial position or results[169]. - The Company has accrued$2.5 million for estimated costs to complete remediation at the Rochester site, with a high-end estimate of $5.6 million for possible remediation costs[170]. Dividends and Shareholder Returns - The company paid dividends of$20.6 million for the nine months ended September 30, 2024, compared to $19.6 million in the same period of 2023[75]. - The Company declared dividends of$0.425 per share for the quarter ending November 29, 2024[125].