UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

☒ Quarterly Report Pursuant To Section 13 or 15(d) of the Securities Exchange Act of 1934

FOR THE QUARTERLY PERIOD ENDED March 31, 2024

OR

☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from                      to                     

Commission File Number	Exact name of registrant as specified in its charter and principal executive office address and telephone number					State of Incorporation	I.R.S. Employer ID. Number
1-14514	Consolidated Edison, Inc.					New York	13-3965100
	4 Irving Place,		New York,	New York	10003
	(212)	460-4600
1-01217	Consolidated Edison Company of New York, Inc.					New York	13-5009340
	4 Irving Place,		New York,	New York	10003
	(212)	460-4600

Securities Registered Pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Consolidated Edison, Inc.	ED	New York Stock Exchange
Common Shares ($.10 par value)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Consolidated Edison, Inc. (Con Edison)	Yes	☒	No ☐
Consolidated Edison Company of New York, Inc. (CECONY)	Yes	☒	No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Con Edison	Yes	☒	No ☐
CECONY	Yes	☒	No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Con Edison
Large accelerated filer	☒		Accelerated filer ☐		Non-accelerated filer	☐
Smaller reporting company		☐	Emerging growth company	☐
CECONY
Large accelerated filer	☐		Accelerated filer ☐		Non-accelerated filer	☒
Smaller reporting company		☐	Emerging growth company	☐

1                             

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Con Edison	Yes	☐	No	☒
CECONY	Yes	☐	No	☒

As of April 30, 2024, Con Edison had outstanding 345,834,711 Common Shares ($.10 par value). All of the outstanding common equity of CECONY is held by Con Edison.

Filing Format

This Quarterly Report on Form 10-Q is a combined report being filed separately by two different registrants: Consolidated Edison, Inc. (Con Edison) and Consolidated Edison Company of New York, Inc. (CECONY). CECONY is a wholly-owned subsidiary of Con Edison and, as such, the information in this report about CECONY also applies to Con Edison. As used in this report, the term the “Companies” refers to Con Edison and CECONY. However, CECONY makes no representation as to the information contained in this report relating to Con Edison or the subsidiaries of Con Edison other than itself.

2                          

Glossary of Terms

The following is a glossary of abbreviations or acronyms that are used in the Companies’ SEC reports:

Con Edison Companies
Con Edison	Consolidated Edison, Inc.
CECONY	Consolidated Edison Company of New York, Inc.
Clean Energy Businesses	Con Edison Clean Energy Businesses, Inc., a former subsidiary of Con Edison
Con Edison Transmission	Con Edison Transmission, Inc., together with its subsidiaries
O&R	Orange and Rockland Utilities, Inc.
RECO	Rockland Electric Company
The Companies	Con Edison and CECONY
The Utilities	CECONY and O&R
Regulatory Agencies, Government Agencies and Other Organizations
FASB	Financial Accounting Standards Board
FERC	Federal Energy Regulatory Commission
IRS	Internal Revenue Service
NJBPU	New Jersey Board of Public Utilities
NYISO	New York Independent System Operator
NYPA	New York Power Authority
NYSDEC	New York State Department of Environmental Conservation
NYSDPS	New York State Department of Public Service
NYSPSC	New York State Public Service Commission
OTDA	Office of Temporary and Disability Assistance
SEC	U.S. Securities and Exchange Commission
Accounting
ASU	Accounting Standards Update
GAAP	Generally Accepted Accounting Principles in the United States of America
HLBV	Hypothetical Liquidation at Book Value
NOL	Net Operating Loss
OCI	Other Comprehensive Income
VIE	Variable Interest Entity

3                             

Environmental
GHG	Greenhouse gases
Superfund	Federal Comprehensive Environmental Response, Compensation and Liability Act of 1980 and similar state statutes
Units of Measure
Dt	Dekatherms
kWh	Kilowatt-hour
MMlb	Million pounds
MW	Megawatt or thousand kilowatts
MWh	Megawatt hour
Other
COVID-19	Coronavirus Disease 2019
IRA	The federal Inflation Reduction Act, as enacted on August 16, 2022
TCJA	The federal Tax Cuts and Jobs Act of 2017, as enacted on December 22, 2017

4                          

TABLE OF CONTENTS

		PAGE
PART I—Financial Information
ITEM 1	Financial Statements (Unaudited)
	Con Edison
	Consolidated Income Statement	7
	Consolidated Statement of Comprehensive Income	8
	Consolidated Statement of Cash Flows	9
	Consolidated Balance Sheet	11
	Consolidated Statement of Equity	13
	CECONY
	Consolidated Income Statement	14
	Consolidated Statement of Comprehensive Income	15
	Consolidated Statement of Cash Flows	16
	Consolidated Balance Sheet	17
	Consolidated Statement of Shareholder’s Equity	19
	Notes to the Financial Statements (Unaudited)	20
ITEM 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations	45
ITEM 3	Quantitative and Qualitative Disclosures About Market Risk	65
ITEM 4	Controls and Procedures	66
PART II—Other Information		67
ITEM 1	Legal Proceedings	67
ITEM 1A	Risk Factors	67
ITEM 6	Exhibits	67
	Signatures	69

5                             

FORWARD-LOOKING STATEMENTS

This report contains forward-looking statements that are intended to qualify for the safe-harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are statements of future expectations and not facts. Words such as “forecasts,” “expects,” “estimates,” “anticipates,” “intends,” “believes,” “plans,” “will,” “target,” “guidance,” “potential,” "goal," “consider” and similar expressions identify forward-looking statements. The forward-looking statements reflect information available and assumptions at the time the statements are made, and accordingly speak only as of that time. Actual results or developments might differ materially from those included in the forward-looking statements because of various factors such as those identified in reports the Companies have filed with the Securities and Exchange Commission, including, but not limited to:

•the Companies are extensively regulated and are subject to substantial penalties;

•the Utilities’ rate plans may not provide a reasonable return;

•the Companies may be adversely affected by changes to the Utilities’ rate plans;

•the failure of, or damage to, the Companies’ facilities could adversely affect the Companies;

•a cyber attack could adversely affect the Companies;

•the failure of processes and systems, the failure to retain and attract employees and contractors, and their negative performance could adversely affect the Companies;

•the Companies are exposed to risks from the environmental consequences of their operations, including increased costs related to climate change;

•Con Edison’s ability to pay dividends or interest depends on dividends from its subsidiaries;

•changes to tax laws could adversely affect the Companies;

•the Companies require access to capital markets to satisfy funding requirements;

•a disruption in the wholesale energy markets, increased commodity costs or failure by an energy supplier or customer could adversely affect the Companies;

•the Companies face risks related to health epidemics and other outbreaks;

•the Companies’ strategies may not be effective to address changes in the external business environment;

•the Companies face risks related to supply chain disruption and inflation; and

•the Companies also face other risks that are beyond their control.

The Companies assume no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

6                          

Consolidated Edison, Inc.

CONSOLIDATED INCOME STATEMENT (UNAUDITED)

	For the Three Months Ended March 31,
(Millions of Dollars/Except Share Data)	2024	2023
OPERATING REVENUES
Electric	$2,636	$2,538
Gas	1,356	1,430
Steam	287	306
Non-utility	1	129
TOTAL OPERATING REVENUES	4,280	4,403
OPERATING EXPENSES
Purchased power	649	702
Fuel	88	189
Gas purchased for resale	267	468
Other operations and maintenance	888	896
Depreciation and amortization	539	499
Taxes, other than income taxes	808	765
TOTAL OPERATING EXPENSES	3,239	3,519
Gain (Loss) on sale of the Clean Energy Businesses	(30)	855
OPERATING INCOME	1,011	1,739
OTHER INCOME (DEDUCTIONS)
Investment income	19	8
Other income	164	204
Allowance for equity funds used during construction	10	6
Other deductions	(11)	(22)
TOTAL OTHER INCOME	182	196
INCOME BEFORE INTEREST AND INCOME TAX EXPENSE	1,193	1,935
INTEREST EXPENSE (INCOME)
Interest on long-term debt	255	251
Other interest expense	48	24
Allowance for borrowed funds used during construction	(14)	(13)
NET INTEREST EXPENSE	289	262
INCOME BEFORE INCOME TAX EXPENSE	904	1,673
INCOME TAX EXPENSE	184	243
NET INCOME	720	1,430
Loss attributable to non-controlling interest	—	(3)
NET INCOME FOR COMMON STOCK	$720	$1,433
Net income per common share—basic	$2.08	$4.06
Net income per common share—diluted	$2.08	$4.05
AVERAGE NUMBER OF SHARES OUTSTANDING—BASIC (IN MILLIONS)	345.5	352.9
AVERAGE NUMBER OF SHARES OUTSTANDING—DILUTED (IN MILLIONS)	346.8	354.2

The accompanying notes are an integral part of these financial statements.

7                             

Consolidated Edison, Inc.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)

	Three Months Ended March 31,
(Millions of Dollars)	2024	2023
NET INCOME	$720	$1,430
LOSS ATTRIBUTABLE TO NON-CONTROLLING INTEREST	—	3
OTHER COMPREHENSIVE INCOME, NET OF TAXES
Pension and other postretirement benefit plan liability adjustments, net of taxes	(4)	4
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES	(4)	4
COMPREHENSIVE INCOME	$716	$1,437

The accompanying notes are an integral part of these financial statements.

8                          

Consolidated Edison, Inc.

CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)

	For the Three Months Ended March 31,
(Millions of Dollars)	2024	2023
OPERATING ACTIVITIES
Net income	$720	$1,430
PRINCIPAL NON-CASH CHARGES/(CREDITS) TO INCOME
Depreciation and amortization	539	499
Deferred income taxes	188	(81)
Rate case amortization and accruals	49	22
Net derivative gains	—	12
Pre-tax loss/(gain) on sale of the Clean Energy Businesses	30	(855)
Other non-cash items, net	(49)	(86)
CHANGES IN ASSETS AND LIABILITIES
Accounts receivable – customers	(215)	219
Allowance for uncollectible accounts – customers	34	(78)
Materials and supplies, including fuel oil and gas in storage	27	76
Revenue decoupling mechanism receivable	(78)	25
Other receivables and other current assets	98	(13)
Unbilled revenue and net unbilled revenue deferrals	(26)	48
Prepayments	(554)	(564)
Accounts payable	(178)	(543)
Pensions and retiree benefits obligations, net	(86)	(43)
Pensions and retiree benefits contributions	(4)	(5)
Accrued taxes	(13)	252
Accrued interest	128	97
Superfund and environmental remediation costs	(6)	(3)
Distributions from equity investments	—	6
Deferred charges, noncurrent assets, leases, net and other regulatory assets	30	(321)
Deferred credits, noncurrent liabilities and other regulatory liabilities	86	(28)
Other current liabilities	(147)	26
NET CASH FLOWS FROM OPERATING ACTIVITIES	573	92
INVESTING ACTIVITIES
Utility construction expenditures	(1,237)	(1,050)
Cost of removal less salvage	(107)	(94)
Non-utility construction expenditures	—	(140)
Proceeds from sale of the Clean Energy Businesses, net of cash and cash equivalents sold	—	3,927
Other investing activities	—	(25)
NET CASH FLOWS FROM (USED IN) INVESTING ACTIVITIES	(1,344)	2,618
FINANCING ACTIVITIES
Net (payment)/issuance of short-term debt	11	(2,629)
Issuance of long-term debt	—	500
Retirement of long-term debt	—	(60)
Debt issuance costs	(1)	(4)
Common stock dividends	(274)	(284)
Issuance of common shares for stock plans	15	15
Repurchase of common shares	—	(1,000)
Distribution to noncontrolling interest	—	(4)
NET CASH FLOWS USED IN FINANCING ACTIVITIES	(249)	(3,466)
CASH, TEMPORARY CASH INVESTMENTS, AND RESTRICTED CASH:
NET CHANGE FOR THE PERIOD	(1,020)	(756)
BALANCE AT BEGINNING OF PERIOD	1,195	1,530
BALANCE AT END OF PERIOD	$175	$774
LESS: CHANGE IN CASH BALANCES HELD FOR SALE	6	3
BALANCE AT END OF PERIOD EXCLUDING HELD FOR SALE	$169	$771
SUPPLEMENTAL DISCLOSURE OF CASH INFORMATION
Cash paid during the period for:
Interest, net of capitalized interest	$135	$156

9                             

Income taxes	$3	$10
SUPPLEMENTAL DISCLOSURE OF NON-CASH INFORMATION
Construction expenditures in accounts payable	$441	$444
Issuance of common shares for dividend reinvestment	$13	$4
Software licenses acquired but unpaid as of end of period	$—	$2
Equipment acquired but unpaid as of end of period	$11	$17

The accompanying notes are an integral part of these financial statements. 

10                          

Consolidated Edison, Inc.

CONSOLIDATED BALANCE SHEET (UNAUDITED)

(Millions of Dollars)	March 31, 2024	December 31, 2023
ASSETS
CURRENT ASSETS
Cash and temporary cash investments	$169	$1,189
Accounts receivable – customers, net allowance for uncollectible accounts of $394 and $360 in 2024 and 2023, respectively	2,618	2,418
Other receivables, net allowance for uncollectible accounts of $17 and $13 in 2024 and 2023, respectively	299	444
Accrued unbilled revenue	771	722
Fuel oil, gas in storage, materials and supplies, at average cost	442	469
Prepayments	1,023	470
Regulatory assets	210	281
Restricted cash	—	1
Revenue decoupling mechanism receivable	280	203
Fair value of derivative assets	88	52
Assets held for sale	164	163
Other current assets	102	125
TOTAL CURRENT ASSETS	6,166	6,537
INVESTMENTS	1,041	999
UTILITY PLANT, AT ORIGINAL COST
Electric	39,771	39,071
Gas	14,500	14,318
Steam	3,110	3,085
General	4,755	4,835
TOTAL	62,136	61,309
Less: Accumulated depreciation	14,776	14,157
Net	47,360	47,152
Construction work in progress	2,481	2,442
NET UTILITY PLANT	49,841	49,594
NON-UTILITY PLANT
Non-utility property, net accumulated depreciation of $24 in 2024 and 2023	12	13
Construction work in progress	1	1
NET PLANT	49,854	49,608
OTHER NONCURRENT ASSETS
Goodwill	408	408
Regulatory assets	5,050	4,607
Pension and retiree benefits	3,267	3,275
Operating lease right-of-use asset	521	533
Fair value of derivative assets	48	48
Other deferred charges and noncurrent assets	325	316
TOTAL OTHER NONCURRENT ASSETS	9,619	9,187
TOTAL ASSETS	$66,680	$66,331

The accompanying notes are an integral part of these financial statements.

11                             

Consolidated Edison, Inc.

CONSOLIDATED BALANCE SHEET (UNAUDITED)

(Millions of Dollars)	March 31, 2024	December 31, 2023
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Long-term debt due within one year	$250	$250
Notes payable	2,299	2,288
Accounts payable	1,439	1,775
Customer deposits	411	396
Accrued taxes	63	73
Accrued interest	298	170
Accrued wages	127	125
Fair value of derivative liabilities	113	193
Regulatory liabilities	258	145
System benefit charge	406	444
Operating lease liabilities	116	116
Liabilities held for sale	77	76
Other current liabilities	387	411
TOTAL CURRENT LIABILITIES	6,244	6,462
NONCURRENT LIABILITIES
Provision for injuries and damages	183	188
Pensions and retiree benefits	633	592
Superfund and other environmental costs	1,112	1,118
Asset retirement obligations	527	522
Fair value of derivative liabilities	94	121
Deferred income taxes and unamortized investment tax credits	8,338	8,069
Operating lease liabilities	430	429
Regulatory liabilities	5,174	5,328
Other deferred credits and noncurrent liabilities	401	417
TOTAL NONCURRENT LIABILITIES	16,892	16,784
LONG-TERM DEBT	21,929	21,927
COMMITMENTS, CONTINGENCIES, AND GUARANTEES (Note B, Note G, and Note H)
COMMON SHAREHOLDERS' EQUITY (See Statement of Common Shareholders' Equity)	21,615	21,158
TOTAL LIABILITIES AND EQUITY	$66,680	$66,331

The accompanying notes are an integral part of these financial statements.

12                          

Consolidated Edison, Inc.

CONSOLIDATED STATEMENT OF EQUITY (UNAUDITED)

(In Millions, except for dividends per share)	Common Stock		Additional Paid-In Capital	Retained Earnings	Treasury Stock		Capital Stock Expense	Accumulated Other Comprehensive Income/(Loss)	Non- controlling Interest	Total
	Shares	Amount			Shares	Amount
BALANCE AS OF DECEMBER 31, 2022	355	$37	$9,803	$11,985	23	$(1,038)	$(122)	$22	$202	$20,889
Net income (loss)				1,433					(3)	1,430
Common stock dividends ($0.81 per share)				(288)						(288)
Issuance of common shares for stock plans			15							15
Common stock repurchases	(9)		(200)		9	(808)				(1,008)
Other comprehensive income								4		4
Distributions to noncontrolling interests									(4)	(4)
Disposal of the Clean Energy Businesses									(195)	(195)
BALANCE AS OF MARCH 31, 2023	346	$37	$9,618	$13,130	32	$(1,846)	$(122)	$26	$—	$20,843
BALANCE AS OF DECEMBER 31, 2023	345	$37	$9,861	$13,377	34	$(2,017)	$(122)	$22	$—	$21,158
Net income				720						720
Common stock dividends ($0.83 per share)				(287)						(287)
Issuance of common shares for stock plans	1	1	27							28
Other comprehensive loss								(4)		(4)
BALANCE AS OF MARCH 31, 2024	346	$38	$9,888	$13,810	34	$(2,017)	$(122)	$18	$—	$21,615

The accompanying notes are an integral part of these financial statements.

13                             

Consolidated Edison Company of New York, Inc.

CONSOLIDATED INCOME STATEMENT (UNAUDITED)

	For the Three Months Ended March 31,
(Millions of Dollars)	2024	2023
OPERATING REVENUES
Electric	$2,441	$2,356
Gas	1,243	1,291
Steam	287	306
TOTAL OPERATING REVENUES	3,971	3,953
OPERATING EXPENSES
Purchased power	579	631
Fuel	88	189
Gas purchased for resale	235	365
Other operations and maintenance	789	750
Depreciation and amortization	510	473
Taxes, other than income taxes	781	736
TOTAL OPERATING EXPENSES	2,982	3,144
OPERATING INCOME	989	809
OTHER INCOME (DEDUCTIONS)
Investment and other income	156	187
Allowance for equity funds used during construction	9	5
Other deductions	(9)	(10)
TOTAL OTHER INCOME	156	182
INCOME BEFORE INTEREST AND INCOME TAX EXPENSE	1,145	991
INTEREST EXPENSE (INCOME)
Interest on long-term debt	242	216
Other interest expense	41	29
Allowance for borrowed funds used during construction	(13)	(12)
NET INTEREST EXPENSE	270	233
INCOME BEFORE INCOME TAX EXPENSE	875	758
INCOME TAX EXPENSE	181	154
NET INCOME	$694	$604

The accompanying notes are an integral part of these financial statements.

14                          

Consolidated Edison Company of New York, Inc.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended March 31,
(Millions of Dollars)	2024	2023
NET INCOME	$694	$604
OTHER COMPREHENSIVE LOSS, NET OF TAXES
Pension and other postretirement benefit plan liability adjustments, net of taxes	—	(1)
TOTAL OTHER COMPREHENSIVE LOSS, NET OF TAXES	—	(1)
COMPREHENSIVE INCOME	$694	$603

The accompanying notes are an integral part of these financial statements.

15                             

Consolidated Edison Company of New York, Inc.

CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)

	For the Three Months Ended March 31,
(Millions of Dollars)	2024	2023
OPERATING ACTIVITIES
Net income	$694	$604
PRINCIPAL NON-CASH CHARGES/(CREDITS) TO INCOME
Depreciation and amortization	510	473
Deferred income taxes	181	296
Rate case amortization and accruals	45	17
Other non-cash items, net	(28)	(79)
CHANGES IN ASSETS AND LIABILITIES
Accounts receivable – customers	(210)	238
Allowance for uncollectible accounts – customers	30	(78)
Materials and supplies, including fuel oil and gas in storage	22	48
Revenue decoupling mechanism receivable	(85)	27
Other receivables and other current assets	76	(276)
Unbilled revenue and net unbilled revenue deferrals	(23)	77
Accounts receivable from affiliated companies	4	(53)
Prepayments	(546)	(574)
Accounts payable	(176)	(368)
Accounts payable from affiliated companies	4	3
Pensions and retiree benefits obligations, net	(94)	(44)
Pensions and retiree benefits contributions	(4)	(4)
Superfund and environmental remediation costs	(6)	(4)
Accrued taxes	(9)	(46)
Accrued taxes to affiliated companies	—	(89)
Accrued interest	124	125
Deferred charges, noncurrent assets, leases, net and other regulatory assets	61	(311)
Deferred credits, noncurrent liabilities and other regulatory liabilities	83	(2)
Other current liabilities	(131)	65
NET CASH FLOWS FROM OPERATING ACTIVITIES	522	45
INVESTING ACTIVITIES
Utility construction expenditures	(1,160)	(985)
Cost of removal less salvage	(106)	(92)
NET CASH FLOWS USED IN INVESTING ACTIVITIES	(1,266)	(1,077)
FINANCING ACTIVITIES
Net payment of short-term debt	(46)	(1,895)
Issuance of long-term debt	—	500
Debt issuance costs	(1)	(4)
Capital contribution by Con Edison	25	1,675
Dividend to Con Edison	(268)	(264)
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES	(290)	12
CASH AND TEMPORARY CASH INVESTMENTS
NET CHANGE FOR THE PERIOD	(1,034)	(1,020)
BALANCE AT BEGINNING OF PERIOD	1,138	1,056
BALANCE AT END OF PERIOD	$104	$36
SUPPLEMENTAL DISCLOSURE OF CASH INFORMATION
Cash paid/(received) during the period for:
Interest, net of capitalized interest	$121	$95
Income taxes	$—	$(2)
SUPPLEMENTAL DISCLOSURE OF NON-CASH INFORMATION
Construction expenditures in accounts payable	$416	$426
Software licenses acquired but unpaid as of end of period	$—	$2
Equipment acquired but unpaid as of end of period	$11	$17

The accompanying notes are an integral part of these financial statements. 

16                          

Consolidated Edison Company of New York, Inc.

CONSOLIDATED BALANCE SHEET (UNAUDITED)

(Millions of Dollars)	March 31, 2024	December 31, 2023
ASSETS
CURRENT ASSETS
Cash and temporary cash investments	$104	$1,138
Accounts receivable – customers, net allowance for uncollectible accounts of $383 and $353 in 2024 and 2023, respectively	2,510	2,330
Other receivables, net allowance for uncollectible accounts of $12 and $9 in 2024 and 2023, respectively	244	332
Accrued unbilled revenue	712	678
Accounts receivable from affiliated companies	142	146
Fuel oil, gas in storage, materials and supplies, at average cost	400	422
Prepayments	875	329
Regulatory assets	191	254
Revenue decoupling mechanism receivable	275	190
Fair value of derivative assets	82	49
Other current assets	89	113
TOTAL CURRENT ASSETS	5,624	5,981
INVESTMENTS	633	608
UTILITY PLANT, AT ORIGINAL COST
Electric	37,485	36,808
Gas	13,384	13,226
Steam	3,109	3,085
General	4,432	4,530
TOTAL	58,410	57,649
Less: Accumulated depreciation	13,771	13,171
Net	44,639	44,478
Construction work in progress	2,211	2,168
NET UTILITY PLANT	46,850	46,646
NON-UTILITY PROPERTY
Non-utility property, net accumulated depreciation of $25 in 2024 and 2023	1	2
NET PLANT	46,851	46,648
OTHER NONCURRENT ASSETS
Regulatory assets	4,757	4,314
Operating lease right-of-use asset	521	532
Pension and retiree benefits	3,202	3,184
Fair value of derivative assets	47	49
Other deferred charges and noncurrent assets	269	284
TOTAL OTHER NONCURRENT ASSETS	8,796	8,363
TOTAL ASSETS	$61,904	$61,600

The accompanying notes are an integral part of these financial statements.

17                             

Consolidated Edison Company of New York, Inc.

CONSOLIDATED BALANCE SHEET (UNAUDITED)

(Millions of Dollars)	March 31, 2024	December 31, 2023
LIABILITIES AND SHAREHOLDER’S EQUITY
CURRENT LIABILITIES
Long-term debt due within one year	$250	$250
Notes payable	1,857	1,903
Accounts payable	1,305	1,629
Accounts payable to affiliated companies	20	16
Customer deposits	394	378
Accrued taxes	46	55
Accrued taxes to affiliated companies	1	1
Accrued interest	283	159
Accrued wages	115	114
Fair value of derivative liabilities	103	179
Regulatory liabilities	210	107
System benefit charge	369	406
Operating lease liabilities	116	116
Other current liabilities	349	381
TOTAL CURRENT LIABILITIES	5,418	5,694
NONCURRENT LIABILITIES
Provision for injuries and damages	178	185
Pensions and retiree benefits	581	542
Superfund and other environmental costs	1,020	1,026
Asset retirement obligations	525	520
Fair value of derivative liabilities	85	108
Deferred income taxes and unamortized investment tax credits	8,249	7,984
Operating lease liabilities	430	429
Regulatory liabilities	4,687	4,818
Other deferred credits and noncurrent liabilities	322	338
TOTAL NONCURRENT LIABILITIES	16,077	15,950
LONG-TERM DEBT	20,812	20,810
COMMITMENTS AND CONTINGENCIES (Note B and Note G)
SHAREHOLDER’S EQUITY (See Statement of Shareholder’s Equity)	19,597	19,146
TOTAL LIABILITIES AND SHAREHOLDER’S EQUITY	$61,904	$61,600

The accompanying notes are an integral part of these financial statements.

18                          

Consolidated Edison Company of New York, Inc.

CONSOLIDATED STATEMENT OF SHAREHOLDER’S EQUITY (UNAUDITED)

	Common Stock		Additional Paid-In Capital	Retained Earnings	Repurchased Con Edison Stock	Capital Stock Expense	Accumulated Other Comprehensive Income/(Loss)	Total
(In Millions)/Except Share Data)	Shares	Amount
BALANCE AS OF DECEMBER 31, 2022	235	$589	$7,419	$9,890	$(962)	$(62)	$4	$16,878
Net income				604				604
Common stock dividend to Con Edison				(264)				(264)
Capital contribution by Con Edison			1,675					1,675
Other comprehensive loss							(1)	(1)
BALANCE AS OF MARCH 31, 2023	235	$589	$9,094	$10,230	$(962)	$(62)	$3	$18,892
BALANCE AS OF DECEMBER 31, 2023	235	$589	$9,139	$10,440	$(962)	$(62)	$2	$19,146
Net income				694				694
Common stock dividend to Con Edison				(268)				(268)
Capital contribution by Con Edison			25					25
BALANCE AS OF MARCH 31, 2024	235	$589	$9,164	$10,866	$(962)	$(62)	$2	$19,597

        

The accompanying notes are an integral part of these financial statements.

19                             

NOTES TO THE FINANCIAL STATEMENTS (UNAUDITED)

General

These combined notes accompany and form an integral part of the separate interim consolidated financial statements of each of the two separate registrants: Consolidated Edison, Inc. and its subsidiaries (Con Edison) and Consolidated Edison Company of New York, Inc. and its subsidiaries (CECONY). CECONY is a subsidiary of Con Edison and as such its financial condition and results of operations and cash flows, that are presented separately in the CECONY consolidated financial statements, are also consolidated, along with those of Orange and Rockland Utilities, Inc. (O&R), Con Edison Transmission, Inc. (together with its subsidiaries, Con Edison Transmission) and its former subsidiary, Con Edison Clean Energy Businesses, Inc. (together with its subsidiaries, the Clean Energy Businesses), in Con Edison’s consolidated financial statements. On March 1, 2023, Con Edison completed the sale of all of the stock of the Clean Energy Businesses. See Note Q and Note R. The term “Utilities” is used in these notes to refer to CECONY and O&R.

As used in these notes, the term “Companies” refers to Con Edison and CECONY and, except as otherwise noted, the information in these combined notes relates to each of the Companies. However, CECONY makes no representation as to information relating to Con Edison or the subsidiaries of Con Edison other than itself.

The separate interim consolidated financial statements of each of the Companies are unaudited but, in the opinion of their respective managements, reflect all adjustments (which include only normally recurring adjustments) necessary for a fair statement of the results for the interim periods presented. The Companies’ separate interim consolidated financial statements should be read together with their separate audited financial statements (including the combined notes thereto) included in Item 8 of their combined Annual Report on Form 10-K for the year ended December 31, 2023.

Con Edison has two regulated utility subsidiaries: CECONY and O&R. CECONY provides electric service and gas service in New York City and Westchester County. The company also provides steam service in parts of Manhattan. O&R, along with its regulated utility subsidiary, provides electric service in southeastern New York and northern New Jersey, and gas service in southeastern New York. Con Edison Transmission invests in and seeks to develop electric transmission projects through its subsidiary, Consolidated Edison Transmission, LLC, and manages, through joint ventures, investments in gas pipeline and storage facilities through its subsidiary, Con Edison Gas Pipeline and Storage, LLC. See “Investments” in Note A.

Note A – Summary of Significant Accounting Policies and Other Matters

Accounting Policies

The accounting policies of Con Edison and its subsidiaries conform to generally accepted accounting principles in the United States of America (GAAP). For the Utilities, these accounting principles include the accounting rules for regulated operations and the accounting requirements of the Federal Energy Regulatory Commission (FERC) and the state regulators having jurisdiction.

Investments

Con Edison's investments consist primarily of the investments of Con Edison Transmission that are accounted for under the equity method and the fair value of the Utilities' supplemental retirement income plan and deferred income plan assets.

Investment in Mountain Valley Pipeline, LLC (MVP)

In January 2016, a subsidiary of Con Edison Transmission acquired a 12.5 percent interest in MVP, a company developing a proposed 300-mile gas transmission project (the Mountain Valley Pipeline) in West Virginia and Virginia. During 2019, Con Edison exercised its right to limit, and did limit, its cash contributions to the joint venture to approximately $530 million, that reduced Con Edison Transmission’s interest in MVP to 9.6 percent and 7.9 percent as of December 31, 2022 and 2023, respectively. As of March 31, 2024, Con Edison Transmission's interest in MVP is 7.2 percent and is expected to be reduced to approximately 6.75 percent based on Con Edison Transmission’s previous capping of its cash contributions. As of December 31, 2023 and March 31, 2024, the Mountain Valley Pipeline was approximately 97 percent and 99 percent complete, respectively.

In June 2023, federal legislation to raise the U.S. debt ceiling included provisions declaring the Mountain Valley Pipeline to be in the national interest, expediting the permitting process and moving jurisdiction of challenges of permits to the D.C. Circuit Court of Appeals, from the 4th Circuit Court of Appeals. These actions enabled construction activities to resume in June 2023 and continue without substantial interruption for the duration of 2023. In April 2024, the operator of the Mountain Valley Pipeline announced that it expects to complete construction on or about May 31, 2024, with long-term firm capacity obligations to begin on the first day of month immediately following

20                          

the date MVP receives FERC authorization to commence service. The operator also announced it is targeting a total project cost of approximately $7,850 million (including contingency and excluding allowance for funds used during construction). At March 31, 2024, Con Edison Transmission’s carrying value of its investment in MVP was $153 million and its cash contributions to the joint venture amounted to $530 million.

There is risk that the fair value of Con Edison’s investment in MVP may be further impaired in the future. Assumptions and estimates used to test Con Edison’s investment in MVP for impairment may change if adverse developments impacting the construction of the Mountain Valley Pipeline were to occur.

Reclassification

Certain prior period amounts have been reclassified to conform with the current period presentation.

Earnings Per Common Share

Con Edison presents basic and diluted earnings per share (EPS) on the face of its consolidated income statement. Basic EPS is calculated by dividing earnings available to common shareholders (“Net income for common stock” on Con Edison’s consolidated income statement) by the weighted average number of Con Edison common shares outstanding during the period. In the calculation of diluted EPS, weighted average shares outstanding are increased for additional shares that would be outstanding if potentially dilutive securities were converted to common stock.

Potentially dilutive securities for Con Edison consist of restricted stock units and deferred stock units for which the average market price of the common shares for the period was greater than the exercise vesting price.

For the three months ended March 31, 2024 and 2023, basic and diluted EPS for Con Edison are calculated as follows:

	For the Three Months Ended March 31,
(Millions of Dollars, except per share amounts/Shares in Millions)	2024	2023
Net income for common stock	$720	$1,433
Weighted average common shares outstanding – basic	345.5	352.9
Add: Incremental shares attributable to effect of potentially dilutive securities	1.3	1.3
Adjusted weighted average common shares outstanding – diluted	346.8	354.2
Net Income per common share – basic	$2.08	$4.06
Net Income per common share – diluted	$2.08	$4.05

The computation of diluted EPS for the three months ended March 31, 2023 and 2024 excluded approximately 1.9 million shares and an immaterial number of shares, respectively, because of their anti-dilutive effect. The anti-dilutive shares as of March 31, 2023 were calculated factoring in accelerated share repurchase agreements that Con Edison entered into in March 2023 with two dealers to repurchase $1,000 million in aggregate of Con Edison's Common Shares ($0.10 par value) that were settled during the second quarter of 2023.

Changes in Accumulated Other Comprehensive Income/(Loss) by Component