New Jersey Resources(NJR) - 2020 Q3 - Quarterly Report

Financial Performance - Total operating revenues for the three months ended June 30, 2020, were $298,974,000, a decrease of 31.2% compared to $434,942,000 in the same period of 2019[17] - Net loss for the three months ended June 30, 2020, was $(27,219,000), compared to a net loss of $(8,402,000) in the same period of 2019[18] - Operating expenses for the nine months ended June 30, 2020, totaled $1,377,103,000, down from $1,951,239,000 in the same period of 2019, reflecting a decrease of 29.5%[17] - The company reported a basic earnings per share of $(0.28) for the three months ended June 30, 2020, compared to $(0.09) for the same period in 2019[17] - The company reported a net income of $89,361 thousand for the period, a decrease from $88,505 thousand in the previous quarter[28] - For the three months ended June 30, 2020, the company reported a net income of $(27,219) thousand, compared to $(8,402) thousand for the same period in 2019, resulting in a basic earnings per share of $(0.28) compared to $(0.09) in 2019[162] - For the nine months ended June 30, 2020, the company reported a net income of $150,647 thousand, slightly down from $151,419 thousand in 2019, with a basic earnings per share of $1.60 compared to $1.70 in 2019[162] Cash Flow and Assets - Cash flows from operating activities for the nine months ended June 30, 2020, were $182,783,000, compared to $165,790,000 in the same period of 2019, an increase of 10.1%[21] - Total assets as of June 30, 2020, were $5,282,084,000, an increase from $4,372,985,000 as of September 30, 2019[24] - Cash and cash equivalents at the end of the period were $45,245,000, up from $26,688,000 at the end of the same period in 2019[22] - Customer accounts receivable increased to $143,059,000 as of June 30, 2020, from $139,263,000 as of October 1, 2019, representing a growth of approximately 2.6%[95] - Unbilled customer accounts receivable rose to $8,738,000 as of June 30, 2020, compared to $6,510,000 as of October 1, 2019, indicating an increase of about 34%[95] - Total current regulatory assets increased to $52,251,000 as of June 30, 2020, from $32,871,000 as of September 30, 2019, reflecting a growth of approximately 59%[100] Debt and Liabilities - Current liabilities totaled $902,259 thousand, significantly higher than $446,377 thousand in the prior year, representing an increase of approximately 102%[26] - Long-term debt stood at $1,664,517 thousand, compared to $1,537,177 thousand in the previous year, marking an increase of about 8.3%[26] - The total current maturities of long-term debt increased to $25,954 thousand from $21,419 thousand, an increase of about 21.5%[26] - Regulatory liabilities for the Tax Act impact were recorded at $196,705,000 as of June 30, 2020, slightly down from $200,417,000 as of September 30, 2019[100] Investments and Capital Expenditures - The company plans to continue investing in utility and solar equipment, with expenditures of $213,667,000 and $110,968,000 respectively for the nine months ended June 30, 2020[21] - The company issued common stock worth $212,900 thousand through a common stock offering during the reporting period[28] - The company holds a 20% investment in PennEast, which aims to construct a 120-mile natural gas pipeline, with a total investment of $92.9 million as of June 30, 2020[154] Revenue Recognition - Revenues from contracts with customers for the nine months ended June 30, 2020, totaled $712.554 million, compared to $678.077 million in 2019, indicating an increase of approximately 5.1%[94] - Revenue from natural gas utility sales is recognized in the period that gas is delivered and consumed, including estimates for unbilled revenue[83] - Clean Energy Ventures recognizes revenue as electricity is generated and transferred to the customer, with payment due monthly for the previous month's services[83] - The performance obligation for Energy Services includes providing transportation, storage, and asset management services, with revenue recognized based on actual deliveries[83] Regulatory and Tax Matters - NJNG's base rate increase approved by the BPU on November 13, 2019, amounted to $62.2 million, effective November 15, 2019, with an overall rate of return on rate base of 6.95%[101] - NJNG filed for a base rate increase of approximately $7.1 million based on $55.1 million of actual capital investments as of June 30, 2020, anticipated to be effective October 1, 2020[102] - The company recorded a tax benefit of approximately $10 million due to a favorable IRS ruling regarding the capitalization of costs associated with self-constructed property[185] - The Company had ITC carryforwards of approximately $184.7 million as of June 30, 2020, with an expected utilization beginning in fiscal 2034[193] Lease Obligations - As of June 30, 2020, total lease assets amount to $174.014 million, with operating lease assets at $101.657 million and finance lease assets at $72.357 million[211] - Total lease liabilities are $178.165 million, consisting of current operating lease liabilities of $4.458 million and noncurrent operating lease liabilities of $96.118 million[211] - The weighted average remaining lease term for operating leases is 27.3 years, while for finance leases it is 2.37 years[211] - Future minimum lease payments for operating leases total $153.677 million, with the largest portion due thereafter at $126.331 million[213]