EX-99 2 a064199.htm EXHIBIT 99 Exhibit


entergylogoa71.gif

Entergy
639 Loyola Avenue
New Orleans, LA 70113



Date:
October 30, 2019
 
 
 
 
 
 
For Release:
Immediately
 
 
 
 
 
 
Contact:
Neal Kirby (Media)
(504) 576-4238
nkirby@entergy.com
David Borde (Investor Relations)
(504) 576-5668
dborde@entergy.com

Entergy Reports Third Quarter Earnings
Company raises 2019 guidance midpoint and narrows range

NEW ORLEANS - Entergy Corporation (NYSE: ETR) reported third quarter 2019 earnings per share of $1.82 on an as-reported basis and $2.52 on an adjusted basis (non-GAAP).

“With another successful quarter, we are increasing the midpoint of our 2019 guidance and narrowing the range,” said Entergy Chairman and Chief Executive Officer Leo Denault. “The fundamentals supporting our steady, predictable growth are strong and give us confidence in our financial outlooks.”

Business highlights included the following:
•
Entergy updated its 2019 adjusted EPS guidance range to $5.25 to $5.45, raising the midpoint 5 cents and narrowing the range.
Table of Contents Page
News Release1
Appendices7
A: Consolidated Results and Adjustments8
B: Earnings Variance Analysis11
C: Utility Financial and Operating Measures14
D: EWC Financial and Operating Measures15
E: Consolidated Financial Measures16
F: Definitions and Abbreviations and Acronyms17
G: Other GAAP to Non-GAAP Reconciliations21
Financial Statements24
•
The MPSC approved Entergy Mississippi’s acquisition of the Choctaw Generating Station.
•
Entergy completed the sale of Pilgrim Nuclear Power Station.
•
Construction began on Capital Region Solar, a 50 MW solar project, from which Entergy Louisiana will purchase the output.




•
Entergy was named as one of the nation’s top utilities in economic development by Site Selection magazine for the 12th consecutive year.
•
Entergy was named to the 2019 Dow Jones Sustainability North America Index and received perfect scores in five areas, including climate strategy; this is the 18th consecutive year Entergy has appeared on the World or North America Index or both.


Consolidated Earnings (GAAP and Non-GAAP Measures)
Third Quarter and Year-to-Date 2019 vs. 2018 (See Appendix A for reconciliation of GAAP to non-GAAP measures and description of adjustments)
 
Third Quarter
Year-to-Date
 
2019
2018
Change
2019
2018
Change
(After-tax, $ in millions)
 
 
 
 
 
 
As-reported earnings
365
536
(171)
856
915
(58)
Less adjustments
(141)
105
(246)
(70)
73
(143)
Adjusted earnings (non-GAAP)
506
431
75
927
842
85
  Estimated weather in billed sales
13
5
7
1
42
(41)
 
 
 
 
 
 
 
(After-tax, per share in $)
 
 
 
 
 
 
As-reported earnings
1.82
2.92
(1.10)
4.38
5.01
(0.63)
Less adjustments
(0.70)
0.57
(1.27)
(0.36)
0.39
(0.75)
Adjusted earnings (non-GAAP)
2.52
2.35
0.17
4.74
4.62
0.12
  Estimated weather in billed sales
0.06
0.03
0.03
0.01
0.23
(0.22)
 
 
 
 
 
 
 
Calculations may differ due to rounding

Consolidated Results

For third quarter 2019, the company reported earnings of $365 million, or $1.82 per share, on an as-reported basis and earnings of $506 million, or $2.52 per share, on an adjusted basis. This compared to third quarter 2018 earnings of $536 million, or $2.92 per share, on an as-reported basis and earnings of $431 million, or $2.35 per share on an adjusted basis.

Summary discussions by business are below. Additional details, including information on OCF by business, are provided in Appendix A and an analysis of quarterly and year-to-date variances by business is provided in Appendix B.

Business Segment Results

Utility

For third quarter 2019, the Utility business reported earnings attributable to Entergy Corporation of $578 million, or $2.88 per share, on both an as-reported and an adjusted basis. This compared to third quarter 2018 earnings of $505 million, or $2.75 per share, on both an as-reported and an adjusted basis. Drivers for the quarter included:
•
rate activity at Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas;
•
higher sales volume, primarily in the unbilled period;
•
third quarter 2018 regulatory charges to return benefits of the lower federal tax rate to customers; and
•
lower nuclear generation O&M.





These drivers were partially offset by:
•
higher depreciation expense;
•
higher spending on information technology, loss reserves, initiatives to explore new customer products and services, as well as distribution operations; and
•
lower other income largely due to lower gains on decommissioning trust funds.

On a per share basis, 2019 results reflected higher common shares outstanding.

Appendix C contains additional details on Utility financial and operating measures.

Parent & Other

For third quarter 2019, Parent & Other reported a loss attributable to Entergy Corporation of $(72 million), or (36) cents per share, on both an as-reported and an adjusted basis. This compared to a loss of $(73 million), or (40) cents per share, on both an as-reported and an adjusted basis in third quarter 2018.

Entergy Wholesale Commodities

For third quarter 2019, EWC reported a loss attributable to Entergy Corporation of
$(141 million), or (70) cents per share on an as-reported basis. This compared to third quarter 2018 earnings attributable to Entergy Corporation of $105 million, or 57 cents per share, on an as-reported basis. Drivers for the quarter included:
•
tax items recorded in third quarter 2018;
•
lower revenue due to the shutdown of Pilgrim and lower capacity pricing;
•
lower gains on decommissioning trust funds;
•
higher asset write-offs, impairments and related charges as compared to a year ago; and
•
higher refueling outage expenses at Palisades.

These drivers were partially offset by lower spending on nuclear operations. On a per share basis, 2019 results reflected higher common shares outstanding.

Appendix D contains additional details on EWC financial and operating measures, including reconciliation for non-GAAP EWC adjusted EBITDA.
    
Earnings per Share Guidance

Entergy updated its 2019 adjusted EPS guidance range to $5.25 to $5.45 per share from $5.15 to $5.45 per share, raising the midpoint 5 cents and narrowing the range.

See webcast presentation slides for additional details.

The company has provided 2019 earnings guidance with regard to the non-GAAP measure of Entergy adjusted EPS. This measure excludes from the corresponding GAAP financial measure the effect of adjustments as described below under “Non-GAAP Financial Measures.” The company has not provided a reconciliation of such non-GAAP guidance to guidance presented on a GAAP basis because it cannot predict and quantify with a reasonable degree of confidence all of the adjustments that may occur during the periods. One such adjustment will be the exclusion of EWC earnings from Entergy adjusted EPS. We currently estimate that the contribution of EWC to Entergy’s as-reported EPS will be approximately (70) cents in 2019, excluding the impact of a




potential tax item. These estimates are subject to substantial uncertainty due to, among other things, the potential effects of exiting the EWC business.

Earnings Teleconference

A teleconference will be held at 10:00 a.m. Central Time on Wednesday, October 30, 2019, to discuss Entergy’s quarterly earnings announcement and the company’s financial performance. The teleconference may be accessed by visiting Entergy’s website at www.entergy.com or by dialing 844-309-6569, conference ID 8727128, no more than 15 minutes prior to the start of the call. The webcast slide presentation is also posted to Entergy’s website concurrent with this release, which was issued before market open on the day of the call. A replay of the teleconference will be available on Entergy’s website at www.entergy.com and by telephone. The telephone replay will be available through November 6, 2019, by dialing 855-859-2056, conference ID 8727128.

Entergy Corporation is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, including 9,000 megawatts of nuclear power. Entergy delivers electricity to 2.9 million utility customers in Arkansas, Louisiana, Mississippi, and Texas. Entergy has annual revenues of $11 billion and approximately 13,500 employees.
 
Entergy Corporation’s common stock is listed on the New York Stock Exchange and NYSE Chicago under the symbol “ETR.”

Details regarding Entergy’s results of operations, regulatory proceedings and other matters are available in this earnings release, a copy of which will be filed with the SEC, and the webcast slide presentation. Both documents are available on Entergy’s Investor Relations website at www.entergy.com/investor_relations.

Entergy maintains a web page as part of its Investor Relations website, entitled Regulatory & Other Information, which provides investors with key updates of certain regulatory proceedings and important milestones on the execution of its strategy. While some of this information may be considered material information, investors should not rely exclusively on this page for all relevant company information.

For definitions of certain operating measures, as well as GAAP and non-GAAP financial measures and abbreviations and acronyms used in the earnings release materials, see Appendix F.


Non-GAAP Financial Measures

This news release contains non-GAAP financial measures, which are generally numerical measures of a company’s performance, financial position, or cash flows that either exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Entergy has provided quantitative reconciliations within this release of the non-GAAP financial measures to the most directly comparable GAAP financial measures.





Entergy reports earnings using the non-GAAP measure of Entergy adjusted earnings, which excludes the effect of certain “adjustments,” including the removal of the Entergy Wholesale Commodities segment in light of the company’s decision to exit the merchant power business. Adjustments are unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as the results of the EWC segment, significant tax items and other items such as certain costs, expenses, or other specified items. In addition to reporting GAAP consolidated earnings on a per share basis, Entergy reports its adjusted earnings on a per share basis. These per share measures represent the applicable earnings amount divided by the diluted average number of common shares outstanding for the period.

Management uses the non-GAAP financial measures of adjusted earnings and adjusted earnings per share for, among other things, financial planning and analysis; reporting financial results to the board of directors, employees, stockholders, analysts and investors; and internal evaluation of financial performance. Entergy believes that these non-GAAP financial measures provide useful information to investors in evaluating the ongoing results of Entergy’s business, comparing period to period results, and comparing Entergy’s financial performance to the financial performance of other companies in the utility sector.

Other non-GAAP measures, including adjusted EBITDA; adjusted ROE; adjusted ROIC; gross liquidity; debt to capital, excluding securitization debt; net debt to net capital, excluding securitization debt; parent debt to total debt, excluding securitization debt; FFO; FFO to debt, excluding securitization debt; and FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC, are measures Entergy uses internally for management and board discussions and to gauge the overall strength of its business. Entergy believes the above data provides useful information to investors in evaluating Entergy’s ongoing financial results and flexibility and assists investors in comparing Entergy’s credit and liquidity to the credit and liquidity of others in the Utility sector. In addition, other financial measures including net income (or earnings), adjusted for preferred dividends and tax-effected interest expense; return on average invested capital; and return on average common equity are included on both an adjusted and as-reported basis. In each case, the metrics defined as “adjusted” (other than EWC’s adjusted EBITDA) excludes the effect of adjustments as defined above. EWC’s adjusted EBITDA represents EWC’s earnings before interest, taxes, and depreciation and amortization, and also excludes decommissioning expense.

These non-GAAP financial measures reflect an additional way of viewing aspects of Entergy’s operations that, when viewed with Entergy’s GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provide a more complete understanding of factors and trends affecting Entergy’s business. These non-GAAP financial measures should not be used to the exclusion of GAAP financial measures. Investors are strongly encouraged to review Entergy’s consolidated financial statements and publicly filed reports in their entirety and not to rely on any single financial measure. Although certain of these measures are intended to assist investors in comparing Entergy’s performance to other companies in the utility sector, non-GAAP financial measures are not standardized; therefore, it might not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.

Cautionary Note Regarding Forward-Looking Statements





In this news release, and from time to time, Entergy Corporation makes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, among other things, Entergy’s 2019 earnings guidance; its current financial and operational outlooks; and other statements of Entergy’s plans, beliefs or expectations included in this news release. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Except to the extent required by the federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
 
Forward-looking statements are subject to a number of risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including (a) those factors discussed elsewhere in this news release and in Entergy’s most recent Annual Report on Form 10-K, any subsequent Quarterly Reports on Form 10-Q and Entergy’s other reports and filings made under the Securities Exchange Act of 1934; (b) uncertainties associated with (1) rate proceedings, formula rate plans and other cost recovery mechanisms, including the risk that costs may not be recoverable to the extent anticipated by the utilities and (2) implementation of the ratemaking effects of changes in law; (c) uncertainties associated with efforts to remediate the effects of major storms and recover related restoration costs; (d) risks associated with operating nuclear facilities, including plant relicensing, operating, and regulatory costs and risks; (e) changes in decommissioning trust fund values or earnings or in the timing or cost of decommissioning Entergy’s nuclear plant sites; (f) legislative and regulatory actions and risks and uncertainties associated with claims or litigation by or against Entergy and its subsidiaries; (g) risks and uncertainties associated with strategic transactions that Entergy or its subsidiaries may undertake, including the risk that any such transaction may not be completed as and when expected and the risk that the anticipated benefits of the transaction may not be realized; (h) effects of changes in federal, state, or local laws and regulations and other governmental actions or policies, including changes in monetary, fiscal, tax, environmental, or energy policies; (i) the effects of technological changes and changes in commodity markets, capital markets or economic conditions; and (j) impacts from a terrorist attack, cybersecurity threats, data security breaches or other attempts to disrupt Entergy’s business or operations, and other catastrophic events.






Third Quarter 2019 Earnings Release Appendices and Financial Statements

Appendices
Appendices are presented in this section as follows:
A: Consolidated Results and Adjustments
B: Earnings Variance Analysis
C: Utility Financial and Operating Measures
D: EWC Financial and Operating Measures
E: Consolidated Financial Measures
F: Definitions and Abbreviations and Acronyms
G: Other GAAP to Non-GAAP Reconciliations

Financial Statements
Financial statements are presented in this section.





A: Consolidated Results and Adjustments
Appendix A-1 provides a comparative summary of consolidated earnings, including a reconciliation of as-reported earnings (GAAP) to adjusted earnings (non-GAAP).

Appendix A-1: Consolidated Earnings - Reconciliation of GAAP to Non-GAAP Measures
Third Quarter and Year-to-Date 2019 vs. 2018 (See Appendix A-3 and Appendix A-4 for details on adjustments)
 
Third Quarter
Year-to-Date
 
2019
2018
Change
2019
2018
Change
(After-tax, $ in millions)
 
 
 
 
 
 
Earnings (loss)
 
 
 
 
 
 
Utility
578
505
73
1,140
1,095
45
Parent & Other
(72)
(73)
1
(213)
(211)
(3)
EWC
(141)
105
(246)
(70)
30
(100)
Consolidated
365
536
(171)
856
915
(58)
 
 
 
 
 
 
 
Less adjustments
 
 
 
 
 
 
Utility
—
—
—
—
43
(43)
Parent & Other
—
—
—
—
—
—
EWC
(141)
105
(246)
(70)
30
(100)
Consolidated
(141)
105
(246)
(70)
73
(143)
 
 
 
 
 
 
 
Adjusted earnings (loss) (non-GAAP)
 
 
 
 
 
 
Utility
578
505
73
1,140
1,052
88
Parent & Other
(72)
(73)
1
(213)
(211)
(3)
EWC
—
—
—
—
—
—
Consolidated
506
431
75
927
842
85
Estimated weather in billed sales
13
5
7
1
42
(41)
 
 
 
 
 
 
 
Diluted average number of common shares outstanding (in millions)
200
184
 
196
183
 
 
 
 
 
 
 
 
(After-tax, per share in $) (a)
 
 
 
 
 
 
Earnings (loss)
 
 
 
 
 
 
Utility
2.88
2.75
0.13
5.83
6.00
(0.17)
Parent & Other
(0.36)
(0.40)
0.04
(1.09)
(1.15)
0.06
EWC
(0.70)
0.57
(1.27)
(0.36)
0.16
(0.52)
Consolidated
1.82
2.92
(1.10)
4.38
5.01
(0.63)
 
 
 
 
 
 
 
Less adjustments
 
 
 
 
 
 
Utility
—
—
—
—
0.23
(0.23)
Parent & Other
—
—
—
—
—
—
EWC
(0.70)
0.57
(1.27)
(0.36)
0.16
(0.52)
Consolidated
(0.70)
0.57
(1.27)
(0.36)
0.39
(0.75)
 
 
 
 
 
 
 
Adjusted earnings (loss) (non-GAAP)
 
 
 
 
 
 
Utility
2.88
2.75
0.13
5.83
5.77
0.06
Parent & Other
(0.36)
(0.40)
0.04
(1.09)
(1.15)
0.06
EWC
—
—
—
—
—
—
Consolidated
2.52
2.35
0.17
4.74
4.62
0.12
Estimated weather in billed sales
0.06
0.03
0.03
0.01
0.23
(0.22)
 
 
 
 
 
 
 
Calculations may differ due to rounding
(a)
Per share amounts are calculated by dividing the corresponding earnings (loss) by the diluted average number of common shares outstanding for the period.





See Appendix B for detailed earnings variance analysis. See Appendix A-3 for adjustments by driver.


Appendix A-2 provides a comparative summary of OCF, by business.

Appendix A-2: Consolidated Operating Cash Flow
Third Quarter and Year-to-Date 2019 vs. 2018
($ in millions)
 
Third Quarter
Year-to-Date
 
2019
2018
Change
2019
2018
Change
Utility
1,143
845
298
2,297
1,994
303
Parent & Other
(93)
(99)
6
(216)
(214)
(2)
EWC
15
33
(18)
37
79
(42)
Consolidated
1,065
780
286
2,118
1,860
259
 
 
 
 
 
 
 
Calculations may differ due to rounding

OCF increased quarter-over-quarter due primarily to a lower amount of unprotected excess ADIT returned to customers, lower pension contributions, and lower asset retirement obligation spending at EWC. Higher severance and retention payments at EWC partially offset the increase.

Appendix A-3 and Appendix A-4 list adjustments by business. Amounts are shown on both an earnings and EPS basis. Adjustments are included in as-reported earnings consistent with GAAP but are excluded from adjusted earnings. As a result, adjusted earnings is considered a non-GAAP measure.

Appendix A-3: Adjustments by Driver (shown as positive/(negative) impact on earnings or EPS)
Third Quarter and Year-to-Date 2019 vs. 2018
(Pre-tax except for Income taxes, Preferred dividend requirements of subsidiaries, and Total, $ in millions)
 
Third Quarter
Year-to-Date
 
2019
2018
Change
2019
2018
Change
 
 
 
 
 
 
 
(Pre-tax except for income taxes, preferred dividend requirements of subsidiaries, and totals, $ in millions)
 
 
 
 
 
 
Utility
 
 
 
 
 
 
2012 / 2013 IRS settlement
—
—
—
—
43
(43)
Total Utility
—
—
—
—
43
(43)
EWC
 
 
 
 
 
 
Income before income taxes
(171)
(30)
(141)
(43)
(135)
93
Income taxes
31
136
(105)
(26)
167
(193)
Preferred dividend requirements of subsidiaries
(1)
(1)
—
(2)
(2)
—
Total EWC
(141)
105
(246)
(70)
30
(100)
 
 
 
 
 
 
 
Total adjustments
(141)
105
(246)
(70)
73
(143)
 
 
 
 
 
 
 
(After-tax, per share in $) (b)
 
 
 
 
 
 
Utility
 
 
 
 
 
 
2012 / 2013 IRS settlement
—
—
—
—
0.23
(0.23)
Total Utility
—
—
—
—
0.23
(0.23)
EWC
 
 
 
 
 
 
Total EWC
(0.70)
0.57
(1.27)
(0.36)
0.16
(0.52)
 
 
 
 
 
 
 
Total adjustments
(0.70)
0.57
(1.27)
(0.36)
0.39
(0.75)
 
 
 
 
 
 
 




Calculations may differ due to rounding
(b)
Per share amounts are calculated by dividing the corresponding earnings (loss) by the diluted average number of common shares outstanding for the period.



Appendix A-4: Adjustments by Income Statement Line Item (shown as positive/(negative) impact on earnings)
Third Quarter and Year-to-Date 2019 vs. 2018
(Pre-tax except for Income taxes, Preferred dividend, and totals, $ in millions)
 
Third Quarter
Year-to-Date
 
2019
2018
Change
2019
2018
Change
Utility
 
 
 
 
 
 
Income taxes
—
—
—
—
43
(43)
  Total Utility
—
—
—
—
43
(43)
EWC
 
 
 
 
 
 
Operating revenues
300
380
(80)
1,024
1,108
(84)
Fuel and fuel-related expenses
(26)
(19)
(6)
(76)
(58)
(19)
Purchased power
(18)
(20)
2
(49)
(54)
6
Nuclear refueling outage expense
(12)
—
(12)
(36)
(3)
(33)
Other O&M
(136)
(209)
73
(513)
(600)
87
Asset write-off and impairments
(198)
(155)
(43)
(289)
(297)
9
Decommissioning expense
(60)
(56)
(4)
(187)
(175)
(13)
Taxes other than income taxes
(13)
(19)
6
(46)
(58)
12
Depreciation/amortization exp.
(38)
(40)
2
(114)
(116)
3
Other income (deductions)-other
34
116
(82)
266
143
124
Interest exp. and other charges
(6)
(9)
3
(24)
(25)
1
Income taxes
31
136
(105)
(26)
167
(193)
Preferred dividend
(1)
(1)
—
(2)
(2)
—
Total EWC
(141)
105
(246)
(70)
30
(100)
 
 
 
 
 
 
 
Total adjustments
(141)
105
(246)
(70)
73
(143)
 
 
 
 
 
 
 
Calculations may differ due to rounding





B: Earnings Variance Analysis
Appendix B-1 and Appendix B-2 provide details of current quarter and year-to-date 2019 versus 2018 as-reported and adjusted earnings variance analysis for Utility, Parent & Other, and EWC.

Appendix B-1: As-Reported and Adjusted Earnings Variance Analysis (c), (d)
Third Quarter 2019 vs. 2018
(After-tax, per share in $)

 
Utility
 
Parent & Other
 
EWC
 
Consolidated
 
As-Reported
Adjusted
 
As-Reported
Adjusted
 
As-
Reported
 
As-
Reported
Adjusted
2018 earnings
2.75
2.75
 
(0.40)
(0.40)
 
0.57
 
2.92
2.35
Operating revenue less:
  Fuel, fuel-related expenses and
  gas purchased for resale,
  Purchased power, and
  Regulatory charges (credits)
0.91
0.91
(e)
—
—
 
(0.36)
(f)
0.55
0.91
Nuclear refueling outage expense
(0.01)
(0.01)
 
—
—
 
(0.05)
(g)
(0.06)
(0.01)
Other O&M
(0.11)
(0.11)
(h)
—
—
 
0.31
(i)
0.20
(0.11)
Asset write-offs and impairments
—
—
 
—
—
 
(0.18)
(j)
(0.18)
—
Decommissioning expense
(0.02)
(0.02)
 
—
—
 
(0.02)
 
(0.04)
(0.02)
Taxes other than income taxes
(0.04)
(0.04)
 
—
—
 
0.03
 
(0.01)
(0.04)
Depreciation/amortization exp.
(0.23)
(0.23)
(k)
—
—
 
0.01
 
(0.22)
(0.23)
Other income (deductions)-other
(0.08)
(0.08)
(l)
—
—
 
(0.35)
(m)
(0.43)
(0.08)
Interest exp. and other charges
(0.04)
(0.04)
 
—
—
 
0.01
 
(0.03)
(0.04)
Income taxes-other
0.01
0.01
 
0.01
0.01
 
(0.73)
(n)
(0.71)
0.02
Share effect
(0.26)
(0.26)
(o)
0.03
0.03
 
0.06
(o)
(0.17)
(0.23)
2019 earnings
2.88
2.88
 
(0.36)
(0.36)
 
(0.70)
 
1.82
2.52
 
 
 
 
 
 
 
 
 
 
 





Appendix B-2: As-Reported and Adjusted Earnings Variance Analysis (c), (d)
Year-to-Date 2019 vs. 2018
(After-tax, per share in $)

 
Utility
 
Parent & Other
 
EWC
 
Consolidated
 
As-Reported
Adjusted
 
As-Reported
Adjusted
 
As-
Reported
 
As-
Reported
Adjusted
2018 earnings
6.00
5.77
 
(1.15)
(1.15)
 
0.16
 
5.01
4.62
Operating revenue less:
  Fuel, fuel-related expenses and
  gas purchased for resale,
  Purchased power, and
  Regulatory charges (credits)
1.16
1.16
(e)
—
—
 
(0.42)
(f)
0.74
1.16
Nuclear refueling outage expense
(0.02)
(0.02)
 
—
—
 
(0.14)
(g)
(0.16)
(0.02)
Other O&M
(0.19)
(0.19)
(h)
0.01
0.01
 
0.38
(i)
0.20
(0.18)
Asset write-offs and impairments
—
—
 
—
—
 
0.04
 
0.04
—
Decommissioning expense
(0.04)
(0.04)
 
—
—
 
(0.05)
(p)
(0.09)
(0.04)
Taxes other than income taxes
(0.06)
(0.06)
(q)
—
—
 
0.05
(r)
(0.01)
(0.06)
Depreciation/amortization exp.
(0.32)
(0.32)
(k)
—
—
 
0.01
 
(0.31)
(0.32)
Other income (deductions)-other
0.01
0.01
 
(0.02)
(0.02)
 
0.53
(m)
0.52
(0.01)
Interest exp. and other charges
(0.09)
(0.09)
(s)
(0.03)
(0.03)
 
0.01
 
(0.11)
(0.12)
Income taxes-other
(0.20)
0.03
(t)
0.02
0.02
 
(0.95)
(n)
(1.13)
0.05
Preferred dividend requirements
(0.01)
(0.01)
 
—
—
 
—
 
(0.01)
(0.01)
Share effect
(0.41)
(0.41)
(o)
0.08
0.08
(o)
0.02
 
(0.31)
(0.33)
2019 earnings
5.83
5.83
 
(1.09)
(1.09)
 
(0.36)
 
4.38
4.74
 
 
 
 
 
 
 
 
 
 
 
Calculations may differ due to rounding

(c)
Utility revenue, Utility other O&M and Utility income taxes exclude $93 million, $3 million, and $96 million respectively in third quarter 2019 and $277 million, $6 million, and $283 million respectively in third quarter 2018 for the return of unprotected excess ADIT to customers (net effect is neutral to earnings). On a year-to-date basis, Utility revenue, Utility other O&M and Utility income taxes exclude $216 million, $3 million, and $219 million respectively in 2019 and $555 million, $6 million, and $561 million respectively in 2018 (net effect is neutral to earnings).
(d)
EPS effect is calculated by multiplying the pre-tax amount by the estimated income tax rate that is expected to apply and dividing by diluted average number of common shares outstanding for the prior period; income taxes-other represents income tax differences other than the tax effect of individual line items.
Utility as-reported operating revenue less fuel, fuel-related expenses and gas purchased for resale; purchased power; and regulatory charges (credits) variance analysis
2019 vs. 2018 ($ EPS)
 
3Q
YTD
Volume/weather
0.20
(0.13)
Retail electric price
Reg. charges for lower tax rate
0.52
0.07
0.85
0.31
Other, including Grand Gulf recovery
0.12
0.13
Total
0.91
1.16
(e)
The third quarter and year-to-date earnings increases were primarily driven by rate activity from E-AR’s FRP, E-LA’s FRP, including recovery of the St. Charles Power Station, E-LA’s AMI rider, E-TX’s base rate case, and E-MS’s FRP. In addition, in the third quarter and year-to-date 2018, E-LA recorded regulatory charges to return the benefits of the lower effective federal tax rate to customers. Also contributing was the net effect of volume/weather primarily due to higher volume in the unbilled period, net of lower billed sales volume.




(f)
The third quarter and year-to-date earnings decreases were due largely to lower revenues from the shutdown of Pilgrim in May 2019, lower capacity prices, and impacts on fuel expense from EWC plant impairments, partially offset by higher nuclear energy volume.
(g)
The third quarter and year-to-date earnings decreases from higher EWC nuclear refueling outage expense is due primarily to increased outage amortization at Palisades due to the plant no longer being impaired.
(h)
The third quarter and year-to-date earnings decreases from higher Utility other O&M reflected higher spending on information technology, loss reserves, initiatives to explore new customer products and services, and distribution operations. These were partially offset by lower spending on nuclear operations. The year-to-date variance also reflected lower energy efficiency costs (largely offset in operating revenue and/or regulatory charges (credits)).
(i)
The third quarter and year-to-date earnings increases from lower EWC other O&M is due largely to a decrease in severance and retention expense, as well as the Pilgrim plant shutdown in May 2019.
(j)
The third quarter earnings decrease from higher EWC asset write-offs and impairments was due to a $191 million loss (pre-tax) on the sale of Pilgrim in third quarter 2019, compared to $155 million (pre-tax) of impairment charges in third quarter 2018 primarily due to an upward revision of Pilgrim's ARO and a write-off of materials and supplies at Pilgrim.
(k)
The third quarter and year-to-date earnings decreases from higher Utility depreciation expense were due primarily to higher plant in service, including the St. Charles Power Station, as well as the third quarter 2018 depreciation adjustment related to Grand Gulf, partially offset by the ongoing effect of Grand Gulf’s lower depreciation rate (variances from Grand Gulf are largely offset in operating revenue).
(l)
The third quarter earnings decrease from lower Utility other income (deductions)-other was due largely to differences in decommissioning trust fund returns.
(m)
The third quarter earnings decrease from lower EWC other income (deductions)-other was due largely to lower gains on the decommissioning trust fund investments in 2019 as compared to 2018, as well as a $16 million pension settlement charge in third quarter 2019 related to the exit of the EWC business. The year-to-date earnings increase from higher EWC other income (deductions)-other was due largely to higher gains on the decommissioning trust fund investments in 2019 as compared to 2018. These gains were partially offset by the pension settlement charge mentioned above.
(n)
The third quarter and year-to-date earnings decreases from higher EWC income taxes were due primarily to two tax items in third quarter 2018. First, a restructuring of an interest in an EWC decommissioning trust fund resulted in a reduction in income tax expense of $107 million. Second, the conclusion of a state income tax audit resulted in a benefit of $23 million. The year-to date earnings decrease also reflected an accrual of $29 million of tax expense, which resulted from the sale of Vermont Yankee in January 2019 and $13 million in tax benefits from the settlement of the 2012 / 2013 IRS audit in second quarter 2018.
(o)
The third quarter and year-to-date earnings per share decreases from share effect were due to settlement of the equity forward (6.8 million shares settled in December 2018 and 8.4 million shares settled in May 2019).
(p)
The year-to-date earnings decrease from higher EWC decommissioning expense was due to the acceleration of the ARO accretion for Indian Point and Palisades, as those plants move closer to their projected decommissioning dates.
(q)
The year-to date earnings decrease from higher Utility taxes other than income taxes was primarily higher ad valorem at E-AR, E-LA, and E-MS.
(r)
The year-to-date earnings increase from lower EWC taxes other than income taxes was primarily due to a true-up as well as lower ad valorem taxes due to a lower assessment at Palisades.
(s)
The year-to-date earnings decrease from higher Utility interest expense and other charges was largely due to higher debt balances at E-AR and E-LA.
(t)
The year-to-date as-reported earnings decrease from higher Utility income taxes was primarily due to the settlement of the 2012 / 2013 IRS audit totaling $43 million in second quarter 2018.






C: Utility Financial and Operating Measures
Appendix C-1 and Appendix C-2 provides comparative summaries of Utility operating and financial measures.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Appendix C-1: Utility Operating and Financial Measures
Third Quarter and Year-to-Date 2019 vs. 2018
 
Third Quarter
Year-to-Date
 
2019
2018
%
Change
% Weather Adjusted (t)
2019
2018
%
Change
% Weather Adjusted (t)
GWh billed
 
 
 
 
 
 
 
 
Residential
11,627
11,821
(1.6)
(2.9)
27,749
28,857
(3.8)
(1.2)
Commercial
8,499
8,726
(2.6)
(3.3)
21,764
22,401
(2.8)
(1.8)
Governmental
705
714
(1.3)
(1.8)
1,932
1,934
(0.1)
(0.2)
Industrial
12,861
12,879
(0.1)
(0.1)
36,509
36,503
—
—
Total retail sales
33,692
34,140
(1.3)
(1.9)
87,954
89,695
(1.9)
(0.8)
Wholesale
3,025
2,978
1.6
 
10,009
8,788
13.9
 
Total sales
36,717
37,118
(1.1)
 
97,963
98,483
(0.5)
 
 
 
 
 
 
 
 
 
 
Number of electric retail customers
 
 
 
 
 
 
 
 
Residential
 
 
 
 
2,497,790
2,482,698
0.6
 
Commercial
 
 
 
 
356,259
357,050
(0.2)
 
Governmental
 
 
 
 
17,630
17,867
(1.3)
 
Industrial
 
 
 
 
48,532
49,491
(1.9)
 
Total retail customers
 
 
 
 
2,920,211
2,907,106
0.5
 
 
 
 
 
 
 
 
 
 
Other O&M and refueling outage expense per MWh
$19.02
$18.12
5.0
 
$20.53
$19.95
2.9
 
 
 
 
 
 
 
 
 
 
Calculations may differ due to rounding

On a weather-adjusted basis for third quarter 2019, retail billed sales decreased (1.9) percent. Industrial billed sales volume decreased (0.1) percent driven by lower sales to small industrials and cogeneration customers. This was partially offset by continued growth from new and expansion customers. Residential billed sales decreased (2.9) percent partly due to fewer days billed compared to a year ago.

Appendix C-2: Utility Operating Measures
Twelve Months Ended September 30, 2019 vs. 2018
 
Twelve Months Ended September 30
 
2019
2018
%
Change
% Weather Adjusted (t)
GWh billed
 
 
 
 
Residential
35,999
36,881
(2.4)
(1.0)
Commercial
28,789
29,551
(2.6)
(1.8)
Governmental
2,579
2,560
0.7
0.6
Industrial
48,390
48,443
(0.1)
(0.1)
Total retail sales
115,757
117,435
(1.4)
(0.8)
 
 
 
 
 
Calculations may differ due to rounding
(u)
The effects of weather were estimated using heating degree days and cooling degree days for the billing cycles from certain locations within each jurisdiction and comparing to “normal” weather based on 20-year historical data. The models used to estimate weather are updated periodically and are subject to change.








D: EWC Financial and Operating Measures
Appendix D-1 provides a comparative summary of EWC adjusted EBITDA (non-GAAP).

Appendix D-1: EWC Adjusted EBITDA - Reconciliation of GAAP to Non-GAAP Measures
Third Quarter and Year-to-Date 2019 vs. 2018
($ in millions)
Third Quarter
Year-to-Date
 
2019
2018
Change
2019
2018
Change
Net income (loss)
 (141)
 106
 (247)
 (69)
 31
 (100)
Add back: interest expense
 6
 9
 (3)
 24
 25
 (1)
Add back: income taxes
 (31)
 (136)
 105
 26
 (167)
 193
Add back: depreciation and amortization
 38
 40
 (2)
 114
 116
 (2)
Subtract: interest and investment income
 59
 127
 (68)
 316
 183
 133
Add back: decommissioning expense
 60
 56
 4
 187
 174
 13
Adjusted EBITDA (non-GAAP)
 (127)
 (52)
 (75)
 (34)
 (5)
 (29)
 
 
 
 
 
 
 
Calculations may differ due to rounding

Appendix D-2 provides a comparative summary of EWC operating and financial measures.

Appendix D-2: EWC Operating and Financial Measures
Third Quarter and Year-to-Date 2019 vs. 2018
 
Third Quarter
Year-to-Date
 
2019
2018
% Change
2019
2018
% Change
Owned capacity (MW) (u)
3,274
3,962
(17.4)
3,274
3,962
(17.4)
GWh billed
6,847
7,576
(9.6)
21,308
21,853
(2.5)
 
 
 
 
 
 
 
EWC Nuclear Fleet
 
 
 
 
 
 
Capacity factor
98%
90%
8.9
91%
86%
5.8
GWh billed
6,210
6,976
(11.0)
19,602
20,096
(2.5)
Production cost per MWh
$15.68
$17.15
(8.6)
$17.87
$17.93
(0.3)
Average energy/capacity revenue per MWh
$42.15
$48.97
(13.9)
$46.53
$49.13
(5.3)
Refueling outage days
 
 
 
 
 
 
Indian Point 2
—
—
 
—
33
 
Indian Point 3
—
—
 
29
—
 
Palisades
—
—
 
—
—
 
 
 
 
 
 
 
 
Calculations may differ due to rounding
(v)
Third quarter and year-to-date 2019 exclude Pilgrim (688MW), which was shut down May 31, 2019.

See the appendix in the webcast slide presentation for EWC hedging and price disclosures.






E: Consolidated Financial Measures
Appendix E provides comparative financial measures. Financial measures in this table include those calculated and presented in accordance with GAAP, as well as those that are considered non-GAAP financial measures.

Appendix E: GAAP and Non-GAAP Financial Measures
Third Quarter 2019 vs. 2018 (See Appendix G for reconciliation of GAAP to non-GAAP financial measures)
 
 
For 12 months ending September 30
2019
2018
Change
GAAP Measures
 
 
 
As-reported ROIC
4.8%
3.7%
1.1%
As-reported ROE
8.6%
5.1%
3.5%
 
 
 
 
Non-GAAP Measures
 
 
 
Adjusted ROIC
5.6%
5.5%
0.1%
Adjusted ROE
11.4%
10.7%
0.7%
 
 
 
 
As of September 30 ($ in millions)
2019
2018
Change
GAAP Measures
 
 
 
Cash and cash equivalents
956
988
(32)
Revolver capacity
4,115
3,653
462
Commercial paper
1,918
1,947
(29)
Total debt
19,441
18,485
956
Securitization debt
338
463
(125)
Debt to capital
65.4%
68.2%
(2.8%)
Off-balance sheet liabilities:
 
 
 
  Debt of joint ventures - Entergy’s share
56
62
(6)
  Leases - Entergy’s share (v)
—
429
(429)
  Power purchase agreements accounted for as leases (v)
—
136
(136)
Total off-balance sheet liabilities
56
627
(571)
 
 
 
 
Non-GAAP Financial Measures
 
 
 
Debt to capital, excluding securitization debt
65.0%
67.7%
(2.7%)
Gross liquidity
5,071
4,641
430
Net debt to net capital, excluding securitization debt
63.8%
66.4%
(2.6%)
Parent debt to total debt, excluding securitization debt
20.5%
24.5%
(4.0%)
FFO to debt, excluding securitization debt
14.2%
13.1%
1.1%
FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC
17.6%
15.0%
2.6%
 
 
 
 

(w)
As of January 1, 2019, Entergy adopted Financial Accounting Standards Board Accounting Standards Codification 842, the new lease accounting standard. As a result, Entergy re-evaluated all agreements and put all agreements that qualified as operating leases on the balance sheet, and there are no longer any off-balance sheet liabilities for leases.





F: Definitions and Abbreviations and Acronyms
Appendix F-1 provides definitions of certain operating measures, as well as GAAP and non-GAAP financial measures.

Appendix F-1: Definitions
Utility Financial and Operating Measures
GWh billed
Total number of GWh billed to retail and wholesale customers
Other O&M and refueling outage expense per MWh
Other operation and maintenance expense plus nuclear refueling outage expense per MWh of billed sales
Number of electric retail customers
Number of electric customers at the end of the period
 
 
EWC Financial and Operating Measures
Adjusted EBITDA (non-GAAP)
Earnings before interest, depreciation and amortization and income taxes and excluding decommissioning expense
Average revenue under contract per kW-month (applies to capacity contracts only)
Revenue on a per unit basis at which capacity is expected to be sold to third parties, given existing contract prices and/or auction awards
Average revenue per MWh on contracted volumes
Revenue on a per unit basis at which generation output reflected in contracts is expected to be sold to third parties (including offsetting positions) at the minimum contract prices and at forward market prices at a point in time, given existing contract or option exercise prices based on expected dispatch or capacity, excluding the revenue associated with the amortization of the below-market PPA for Palisades. Revenue will fluctuate due to factors including positive or negative basis differentials and other risk management costs
Bundled capacity and energy contracts
A contract for the sale of installed capacity and related energy, priced per MWh sold
Capacity contracts
A contract for the sale of the installed capacity product in regional markets managed by NYISO and MISO
Capacity factor
Normalized percentage of the period that the nuclear plants generate power
Expected sold and market total revenue per MWh
Total energy and capacity revenue on a per unit basis at which total planned generation output and capacity is expected to be sold given contract terms and market prices at a point in time, including positive or negative basis differentials and other risk management costs, divided by total planned MWh of generation, excluding the revenue associated with the amortization of the Palisades below-market PPA
 
 





Appendix F-1: Definitions
EWC Financial and Operating Measures (continued)
GWh billed
Total number of GWh billed to customers and financially-settled instruments
Owned capacity (MW)
Installed capacity owned by EWC
Percent of capacity sold forward
Percent of planned qualified capacity sold to mitigate price uncertainty under physical or financial transactions
Percent of planned generation under contract
Percent of planned generation output sold or purchased forward under contracts, forward physical contracts, forward financial contracts or options that mitigate price uncertainty that may or may not require regulatory approval or approval of transmission rights or other conditions precedent; positions that are no longer classified as hedges are netted in the planned generation under contract
Planned net MW in operation
Amount of installed capacity to generate power and/or sell capacity, assuming intent to shutdown Indian Point 2 (April 30, 2020), Indian Point 3 (April 30, 2021) and Palisades (May 31, 2022)
Planned TWh of generation
Amount of output expected to be generated by EWC resources considering plant operating characteristics and outage schedules, assuming intent to shutdown Indian Point 2 (April 30, 2020), Indian Point 3 (April 30, 2021) and Palisades (May 31, 2022)
Production cost per MWh
Fuel and other O&M expenses according to accounting standards that directly relate to the production of electricity per MWh (based on net generation)
Refueling outage days
Number of days lost for a scheduled refueling and maintenance outage during the period
Unit-contingent
Transaction under which power is supplied from a specific generation asset; if the asset is in operational outage, seller is generally not liable to buyer for any damages, unless the contract specifies certain conditions such as an availability guarantee
 
 
Financial Measures - GAAP
As-reported ROE
12-months rolling net income attributable to Entergy Corporation divided by average common equity
As-reported ROIC
12-months rolling net income attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense divided by average invested capital
Debt of joint ventures - Entergy’s share
Entergy’s share of debt issued by business joint ventures at EWC
Debt to capital
Total debt divided by total capitalization
Leases - Entergy’s share
Operating leases held by subsidiaries capitalized at implicit interest rate
Revolver capacity
Amount of undrawn capacity remaining on corporate and subsidiary revolvers
Securitization debt
Debt on the balance sheet associated with securitization bonds that is secured by certain future customer collections
Total debt
Sum of short-term and long-term debt, notes payable and commercial paper and capital leases on the balance sheet
 
 






Appendix F-1: Definitions
Financial Measures - Non-GAAP
Adjusted EPS
As-reported EPS excluding adjustments
Adjusted ROE
12-months rolling adjusted net income attributable to Entergy Corporation divided by average common equity
Adjusted ROIC
12-months rolling adjusted net income attributable to Entergy Corporation adjusted for preferred dividends and tax-effected interest expense divided by average invested capital
Adjustments
Unusual or non-recurring items or events or other items or events that management believes do not reflect the ongoing business of Entergy, such as the results of the EWC segment, significant tax items and other items such as certain costs, expenses, or other specified items
Debt to capital, excluding securitization debt
Total debt divided by total capitalization, excluding securitization debt
FFO
OCF less AFUDC-borrowed funds, working capital items in OCF (receivables, fuel inventory, accounts payable, taxes accrued, interest accrued and other working capital accounts) and securitization regulatory charges
FFO to debt, excluding securitization debt
12-months rolling adjusted FFO as a percentage of end of period total debt excluding securitization debt
FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC
12-months rolling adjusted FFO as a percentage of end of period total debt excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC
Gross liquidity
Sum of cash and revolver capacity
Net debt to net capital, excluding securitization debt
Total debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents, excluding securitization debt
Parent debt to total debt, excluding securitization debt
End of period Entergy Corporation debt, including amounts drawn on credit revolver and commercial paper facilities, as a percent of consolidated total debt, excluding securitization debt
 
 







Appendix F-2 explains abbreviations and acronyms used in the quarterly earnings materials.

Appendix F-2: Abbreviations and Acronyms
ADIT
AFUDC -
borrowed funds
ALJ
AMI
ANO

APSC
ARO
bps
CCGT
CCN
CCNO
COD
CT
CWIP
DCRF
E-AR
E-LA
E-MS
E-NO
E-TX
EBITDA

ENP
EPS
ETR
EWC
FERC
FFO
FRP
GAAP
Grand Gulf or GGNS
Indian Point 1

Indian Point 2
or IP2
Indian Point 3
or IP3
IPEC
ISES 2

IRS
Accumulated deferred income taxes
Allowance for borrowed funds used during construction
Administrative law judge
Advanced metering infrastructure
Units 1 and 2 of Arkansas Nuclear One owned by E-AR (nuclear)
Arkansas Public Service Commission
Asset retirement obligation
Basis points
Combined cycle gas turbine
Certificate of convenience & necessity
Council of the City of New Orleans, Louisiana
Commercial operation date
Simple cycle combustion turbine
Construction work in progress
Distribution cost recovery factor
Entergy Arkansas, LLC
Entergy Louisiana, LLC
Entergy Mississippi, LLC
Entergy New Orleans, LLC
Entergy Texas, Inc.
Earnings before interest, income taxes, depreciation and amortization
Entergy Nuclear Palisades, LLC
Earnings per share
Entergy Corporation
Entergy Wholesale Commodities
Federal Energy Regulatory Commission
Funds from operations
Formula rate plan
U.S. generally accepted accounting principles
Unit 1 of Grand Gulf Nuclear Station (nuclear), 90% owned or leased by SERI
Indian Point Energy Center Unit 1 (nuclear) (shut down in 1974)
Indian Point Energy Center Unit 2 (nuclear)

Indian Point Energy Center Unit 3 (nuclear)

Indian Point Energy Center (nuclear)
Unit 2 of Independence Steam Electric Station (coal)
Internal Revenue Service
ISO
LPSC
LTM
LTSA
MISO
Moody’s
MPSC
MTEP
Nelson 6
NEPOOL
Ninemile 6
NDT
NRC
NY PSC
NYISO
NYPA
NYSE
OCF
OpCo
OPEB
Other O&M

P&O
Palisades
Pilgrim

PMR
PPA

PUCT
RICE
RFP
ROE
ROIC
RS Cogen
RSP
S&P
SCPS
SEC
SERI
TCRF
Union
UPSA
Vermont
Yankee
WACC
Independent system operator
Louisiana Public Service Commission
Last twelve months
Long-term service agreement
Midcontinent Independent System Operator, Inc.
Moody’s Investor Service
Mississippi Public Service Commission
MISO Transmission Expansion Planning
Unit 6 of Roy S. Nelson plant (coal)
New England Power Pool
Ninemile Point Unit 6 (CCGT)
Nuclear decommissioning trust
Nuclear Regulatory Commission
New York Public Service Commission
New York Independent System Operator, Inc.
New York Power Authority
New York Stock Exchange
Net cash flow provided by operating activities
Operating Company
Other post-employment benefits
Other non-fuel operation and maintenance expense
Parent & Other
Palisades Power Plant (nuclear)
Pilgrim Nuclear Power Station (nuclear, sold August 26, 2019)
Performance Management Rider
Power purchase agreement or purchased power agreement
Public Utility Commission of Texas
Reciprocating Internal Combustion Engine
Request for proposals
Return on equity
Return on invested capital
RS Cogen facility (CCGT cogeneration)
Rate Stabilization Plan (E-LA Gas)
Standard & Poor’s
St. Charles Power Station (CCGT)
U.S. Securities and Exchange Commission
System Energy Resources, Inc.
Transmission cost recovery factor
Union Power Station (CCGT)
Unit Power Sales Agreement
Vermont Yankee Nuclear Power Station (nuclear, sold January 11, 2019)
Weighted-average cost of capital






G: Other GAAP to Non-GAAP Reconciliations
Appendix G-1 and Appendix G-2 provide reconciliations of various non-GAAP financial measures disclosed in this release to their most comparable GAAP measure.

Appendix G-1: Reconciliation of GAAP to Non-GAAP Financial Measures - ROIC, ROE
($ in millions except where noted)
 
Third Quarter
 
 
2019
2018
As-reported net income (loss) attributable to Entergy Corporation, rolling 12 months
(A)
790
435
Preferred dividends
 
16
14
Tax effected interest expense
 
548
520
As-reported net income (loss) attributable to Entergy Corporation, rolling 12 months adjusted for preferred dividends and tax effected interest expense
(B)
1,354
969
 
 
 
 
Adjustments in prior quarters
 
(123)
(586)
Adjustments
 
(141)
105
  Total adjustments
(C)
(264)
(481)
EWC preferred dividends and tax-effected interest expense, rolling 12 months
 
27
27
 
 
 
 
Total adjustments, including preferred dividends and tax effected interest expense (non-GAAP)
(D)
(237)
(454)
 
 
 
 
Adjusted earnings, rolling 12 months (non-GAAP)
(A-C)
1,054
916
Adjusted earnings, rolling 12 months including preferred dividends and tax- effected interest expense (non-GAAP)
(B-D)
1,591
1,423
 
 
 
 
Average invested capital
(E)
28,413
26,107
 
 
 
 
Average common equity
(F)
9,224
8,551
 
 
 
 
As-reported ROIC
(B/E)
4.8%
3.7%
Adjusted ROIC (non-GAAP)
[(B-D)/E]
5.6%
5.5%
As-reported ROE
(A/F)
8.6%
5.1%
Adjusted ROE (non-GAAP)
[(A-C)/F]
11.4%
10.7%
 
 
 
 
Calculations may differ due to rounding





Appendix G-2: Reconciliation of GAAP to Non-GAAP Financial Measures - Debt Ratios excluding Securitization Debt; Gross Liquidity; FFO to Debt, excluding Securitization Debt; FFO to Debt, excluding Securitization Debt, Return of Unprotected Excess ADIT, and Severance and Retention Payments Associated with Exit of EWC
($ in millions except where noted)
 
Third Quarter
 
 
2019
2018
Total debt
(A)
19,441
18,485
Less securitization debt
(B)
338
463
Total debt, excluding securitization debt
(C)
19,103
18,022
Less cash and cash equivalents
(D)
956
988
Net debt, excluding securitization debt
(E)
18,147
17,034
 
 
 
 
Total capitalization
(F)
29,730
27,095
Less securitization debt
(B)
338
463
Total capitalization, excluding securitization debt
(G)
29,392
26,632
Less cash and cash equivalents
(D)
956
988
Net capital, excluding securitization debt
(H)
28,436
25,644
 
 
 
 
Debt to capital
(A/F)
65.4%
68.2%
Debt to capital, excluding securitization debt (non-GAAP)
(C/G)
65.0%
67.7%
Net debt to net capital, excluding securitization debt (non-GAAP)
(E/H)
63.8%
66.4%
 
 
 
 
Revolver capacity
(I)
4,115
3,653
 
 
 
 
Gross liquidity (non-GAAP)
(D+I)
5,071
4,641
 
 
 
 
Entergy Corporation notes:
 
 
 
Due September 2020
 
450
450
Due July 2022
 
650
650
Due September 2026
 
750
750
Total parent long-term debt
(J)
1,850
1,850
Revolver draw
(K)
155
630
Commercial paper
(L)
1,918
1,947
Unamortized debt issuance and discounts
(M)
(9)
(10)
Total parent debt
(J+K+L+M)
3,914
4,417
 
 
 
 
Parent debt to total debt, excluding securitization debt (non-GAAP)
[(J+K+L+M)/C]
20.5%
24.5%
 
 
 
 






Appendix G-2: Reconciliation of GAAP to Non-GAAP Financial Measures - Debt Ratios excluding Securitization Debt; Gross Liquidity; FFO to Debt, excluding Securitization Debt; FFO to Debt, excluding Securitization Debt, Return of Unprotected Excess ADIT, and Severance and Retention Payments Associated with Exit of EWC (continued)
($ in millions except where noted)
 
Third Quarter
 
 
2019
2018
Total debt
(A)
19,441
18,485
Less securitization debt
(B)
338
463
Total debt, excluding securitization debt
(C)
19,103
18,022
 
 
 
 
Net cash flow provided by operating activities, rolling 12 months
(D)
2,644
2,770
 
 
 
 
AFUDC - borrowed funds, rolling 12 months
(E)
(67)
(57)
 
 
 
 
Working capital items in net cash flow provided by operating activities (rolling 12 months):
 
 
 
Receivables
 
21
(53)
Fuel inventory
 
(18)
26
Accounts payable
 
(158)
258
Taxes accrued
 
(7)
10
Interest accrued
 
12
(3)
Other working capital accounts
 
(97)
(9)
Securitization regulatory charges
 
120
125
Total
(F)
(127)
354
 
 
 
 
FFO, rolling 12 months (non-GAAP)
(G)=(D+E-F)
2,704
2,359
 
 
 
 
FFO to debt, excluding securitization debt (non-GAAP)
(G/C)
14.2%
13.1%
 
 
 
 
Estimated return of unprotected excess ADIT (rolling 12 months pre-tax)
(H)
469
342
Severance and retention payments associated with exit of EWC (rolling 12 months pre-tax)
(I)
183
—
 
 
 
 
FFO to debt, excluding securitization debt, return of unprotected excess ADIT, and severance and retention payments associated with exit of EWC (non-GAAP)
[(G+H+I)/(C)]
17.6%
15.0%
 
 
 
 
Calculations may differ due to rounding




















Financial Statements
Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Balance Sheet
 
 
 
 
 
 
 
 
September 30, 2019
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
 Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CURRENT ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Cash and cash equivalents:
 
 
 
 
 
 
 
 
    Cash
 
$
62,525

 
$
6,345

 
$
1,525

 
$
70,395

    Temporary cash investments
 
604,283

 
11,208

 
269,945

 
885,436

     Total cash and cash equivalents
 
666,808

 
17,553

 
271,470

 
955,831

Notes receivable
 
—

 
(511,316
)
 
511,316

 
—

Accounts receivable:
 
 
 
 
 
 
 
 
   Customer
 
663,021

 
—

 
69,742

 
732,763

   Allowance for doubtful accounts
 
(7,987
)
 
—

 
—

 
(7,987
)
   Associated companies
 
15,394

 
(34,081
)
 
18,687

 
—

   Other
 
124,200

 
1

 
8,346

 
132,547

   Accrued unbilled revenues
 
481,048

 
—

 
—

 
481,048

     Total accounts receivable
 
1,275,676

 
(34,080
)
 
96,775

 
1,338,371

Fuel inventory - at average cost
 
126,520

 
—

 
5,183

 
131,703

Materials and supplies - at average cost
 
771,776

 
—

 
32,067

 
803,843

Deferred nuclear refueling outage costs
 
124,291

 
—

 
48,938

 
173,229

Prepayments and other
 
196,961

 
(15,763
)
 
77,497

 
258,695

TOTAL
 
3,162,032

 
(543,606
)
 
1,043,246

 
3,661,672

 
 
 
 
 
 
 
 
 
OTHER PROPERTY AND INVESTMENTS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment in affiliates - at equity
 
1,443,623

 
(1,443,710
)
 
87

 
—

Decommissioning trust funds
 
3,533,656

 
—

 
2,594,991

 
6,128,647

Non-utility property - at cost (less accumulated depreciation)
314,704

 
(10
)
 
12,010

 
326,704

Other
 
443,523

 
—

 
4,617

 
448,140

TOTAL
 
5,735,506

 
(1,443,720
)
 
2,611,705

 
6,903,491

 
 
 
 
 
 
 
 
 
PROPERTY, PLANT, AND EQUIPMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Electric
 
51,748,049

 
10,562

 
946,531

 
52,705,142

Natural gas
 
533,217

 
—

 
—

 
533,217

Construction work in progress
 
2,849,799

 
298

 
20,957

 
2,871,054

Nuclear fuel
 
636,881

 
—

 
70,317

 
707,198

TOTAL PROPERTY, PLANT AND EQUIPMENT
 
55,767,946

 
10,860

 
1,037,805

 
56,816,611

Less - accumulated depreciation and amortization
 
21,955,480

 
1,553

 
738,853

 
22,695,886

PROPERTY, PLANT AND EQUIPMENT - NET
 
33,812,466

 
9,307

 
298,952

 
34,120,725

 
 
 
 
 
 
 
 
 
DEFERRED DEBITS AND OTHER ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Regulatory assets:
 
 
 
 
 
 
 
 
    Other regulatory assets
 
4,839,357

 
—

 
—

 
4,839,357

    Deferred fuel costs
 
239,793

 
—

 
—

 
239,793

Goodwill
 
374,099

 
—

 
3,073

 
377,172

Accumulated deferred income taxes
 
54,907

 
2,540

 
9,991

 
67,438

Other
 
130,211

 
11,369

 
155,040

 
296,620

TOTAL
 
5,638,367

 
13,909

 
168,104

 
5,820,380

 
 
 
 
 
 
 
 
 
TOTAL ASSETS
 
$
48,348,371

 
$
(1,964,110
)
 
$
4,122,007

 
$
50,506,268

 
 
 
 
 
 
 
 
 
*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Balance Sheet
 
 
 
 
 
 
 
 
September 30, 2019
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
 Consolidated
LIABILITIES AND SHAREHOLDERS' EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CURRENT LIABILITIES
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Currently maturing long-term debt
 

$70,012

 

$450,000

 

$—

 

$520,012

Notes payable and commercial paper:
 
 
 
 
 
 
 
 
  Associated companies
 
—

 
—

 
—

 
—

  Other
 
—

 
1,917,788

 
—

 
1,917,788

Account payable:
 
 
 
 
 
 
 
 
  Associated companies
 
21,613

 
(29,375
)
 
7,762

 
—

  Other
 
1,155,512

 
136

 
172,983

 
1,328,631

Customer deposits
 
409,090

 
—

 
—

 
409,090

Taxes accrued
 
270,722

 
(18,214
)
 
(687
)
 
251,821

Interest accrued
 
181,049

 
8,598

 
1,230

 
190,877

Deferred fuel costs
 
115,761

 
—

 
—

 
115,761

Pension and other postretirement liabilities
 
44,963

 
—

 
12,411

 
57,374

Current portion of unprotected excess accumulated deferred
 
 
 
 
 
 
 
      income taxes
 
117,575

 
—

 
—

 
117,575

Other
 
170,606

 
1,899

 
21,612

 
194,117

TOTAL
 
2,556,903

 
2,330,832

 
215,311

 
5,103,046

 
 
 
 
 
 
 
 
 
NON-CURRENT LIABILITIES
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated deferred income taxes and taxes accrued
 
5,914,150

 
(369,392
)
 
(992,302
)
 
4,552,456

Accumulated deferred investment tax credits
 
206,837

 
—

 
—

 
206,837

Regulatory liability for income taxes - net
 
1,677,707

 
—

 
—

 
1,677,707

Other regulatory liabilities
 
1,871,005

 
—

 
—

 
1,871,005

Decommissioning and retirement cost liabilities
 
3,647,134

 
—

 
2,421,189

 
6,068,323

Accumulated provisions
 
527,649

 
—

 
523

 
528,172

Pension and other postretirement liabilities
 
1,858,756

 
—

 
629,150

 
2,487,906

Long-term debt
 
15,252,564

 
1,546,451

 
138,999

 
16,938,014

Other
 
1,167,473

 
(442,611
)
 
58,468

 
783,330

TOTAL
 
32,123,275

 
734,448

 
2,256,027

 
35,113,750

 
 
 
 
 
 
 
 
 
Subsidiaries' preferred stock without sinking fund
 
195,162

 
—

 
24,249

 
219,411

 
 
 
 
 
 
 
 
 
EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  Common stock, $.01 par value, authorized 500,000,000 shares;
 
 
 
 
 
 
 
      issued 270,035,180 shares in 2019
 
1,973,748

 
(2,172,151
)
 
201,103

 
2,700

  Paid-in capital
 
3,984,855

 
966,489

 
1,601,665

 
6,553,009

  Retained earnings
 
7,694,799

 
1,214,897

 
148,053

 
9,057,749

  Accumulated other comprehensive income (loss)
 
(95,371
)
 
—

 
(324,401
)
 
(419,772
)
  Less - treasury stock, at cost (70,947,950 shares in 2019)
 
120,000

 
5,038,625

 
—

 
5,158,625

TOTAL COMMON SHAREHOLDER'S EQUITY
 
13,438,031

 
(5,029,390
)
 
1,626,420

 
10,035,061

Subsidiary's preferred stock without sinking fund
 
35,000

 
—

 
—

 
35,000

TOTAL
 
13,473,031

 
(5,029,390
)
 
1,626,420

 
10,070,061

 
 
 
 
 
 
 
 
 
TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY
 

$48,348,371

 

($1,964,110
)
 

$4,122,007

 

$50,506,268

 
 
 
 
 
 
 
 
 
*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 





Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Balance Sheet
 
 
 
 
 
 
 
 
December 31, 2018
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CURRENT ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Cash and cash equivalents:
 
 
 
 
 
 
 
 
    Cash
 

$52,362

 

$4,096

 

$232

 

$56,690

    Temporary cash investments
 
207,590

 
3,792

 
212,903

 
424,285

     Total cash and cash equivalents
 
259,952

 
7,888

 
213,135

 
480,975

Notes receivable
 
—

 
(511,786
)
 
511,786

 
—

Accounts receivable:
 
 
 
 
 
 
 
 
   Customer
 
481,059

 
—

 
77,435

 
558,494

   Allowance for doubtful accounts
 
(7,322
)
 
—

 
—

 
(7,322
)
   Associated companies
 
28,949

 
(32,855
)
 
3,906

 
—

   Other
 
157,656

 
—

 
10,066

 
167,722

   Accrued unbilled revenues
 
395,511

 
—

 
—

 
395,511

     Total accounts receivable
 
1,055,853

 
(32,855
)
 
91,407

 
1,114,405

Deferred fuel costs
 
27,251

 
—

 
—

 
27,251

Fuel inventory - at average cost
 
113,698

 
—

 
3,606

 
117,304

Materials and supplies - at average cost
 
719,438

 
—

 
33,405

 
752,843

Deferred nuclear refueling outage costs
 
147,796

 
—

 
83,164

 
230,960

Prepayments and other
 
171,199

 
(16,113
)
 
79,240

 
234,326

TOTAL
 
2,495,187

 
(552,866
)
 
1,015,743

 
2,958,064

 
 
 
 
 
 
 
 
 
OTHER PROPERTY AND INVESTMENTS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment in affiliates - at equity
 
1,430,792

 
(1,430,878
)
 
86

 
—

Decommissioning trust funds
 
3,066,588

 
—

 
3,853,576

 
6,920,164

Non-utility property - at cost (less accumulated depreciation)
293,182

 
(14
)
 
11,214

 
304,382

Other
 
436,981

 
—

 
284

 
437,265

TOTAL
 
5,227,543

 
(1,430,892
)
 
3,865,160

 
7,661,811

 
 
 
 
 
 
 
 
 
PROPERTY, PLANT, AND EQUIPMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Electric
 
48,275,159

 
9,585

 
911,834

 
49,196,578

Property under capital lease
 
634,908

 
—

 
—

 
634,908

Natural gas
 
496,150

 
—

 
—

 
496,150

Construction work in progress
 
2,815,214

 
270

 
73,155

 
2,888,639

Nuclear fuel
 
753,513

 
—

 
107,759

 
861,272

TOTAL PROPERTY, PLANT AND EQUIPMENT
 
52,974,944

 
9,855

 
1,092,748

 
54,077,547

Less - accumulated depreciation and amortization
 
21,430,017

 
198

 
672,886

 
22,103,101

PROPERTY, PLANT AND EQUIPMENT - NET
 
31,544,927

 
9,657

 
419,862

 
31,974,446

 
 
 
 
 
 
 
 
 
DEFERRED DEBITS AND OTHER ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Regulatory assets:
 
 
 
 
 
 
 
 
    Other regulatory assets
 
4,746,496

 
—

 
—

 
4,746,496

    Deferred fuel costs
 
239,496

 
—

 
—

 
239,496

Goodwill
 
374,099

 
—

 
3,073

 
377,172

Accumulated deferred income taxes
 
41,969

 
2,677

 
9,947

 
54,593

Other
 
107,450

 
10,048

 
145,490

 
262,988

TOTAL
 
5,509,510

 
12,725

 
158,510

 
5,680,745

 
 
 
 
 
 
 
 
 
TOTAL ASSETS
 

$44,777,167

 

($1,961,376
)
 

$5,459,275

 

$48,275,066

 
 
 
 
 
 
 
 
 
*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Balance Sheet
 
 
 
 
 
 
 
 
December 31, 2018
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
LIABILITIES AND SHAREHOLDERS' EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CURRENT LIABILITIES
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Currently maturing long-term debt
 

$650,009

 

$—

 

$—

 

$650,009

Notes payable and commercial paper:
 
 
 
 
 
 
 
 
  Associated companies
 
—

 
(227,298
)
 
227,298

 
—

  Other
 
—

 
1,942,339

 
—

 
1,942,339

Account payable:
 
 
 
 
 
 
 
 
  Associated companies
 
29,135

 
(51,435
)
 
22,300

 
—

  Other
 
1,174,309

 
45

 
321,704

 
1,496,058

Customer deposits
 
411,505

 
—

 
—

 
411,505

Taxes accrued
 
267,678

 
(18,490
)
 
5,053

 
254,241

Interest accrued
 
166,592

 
26,401

 
199

 
193,192

Deferred fuel costs
 
52,396

 
—

 
—

 
52,396

Obligations under capital leases
 
1,617

 
—

 
—

 
1,617

Pension and other postretirement liabilities
 
49,104

 
—

 
12,136

 
61,240

Current portion of unprotected excess accumulated deferred
 
 
 
 
 
 
 
      income taxes
 
248,127

 
—

 
—

 
248,127

Other
 
92,168

 
1,638

 
39,014

 
132,820

TOTAL
 
3,142,640

 
1,673,200

 
627,704

 
5,443,544

 
 
 
 
 
 
 
 
 
NON-CURRENT LIABILITIES
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated deferred income taxes and taxes accrued
 
5,458,667

 
(317,012
)
 
(1,034,503
)
 
4,107,152

Accumulated deferred investment tax credits
 
213,101

 
—

 
—

 
213,101

Obligations under capital leases
 
20,378

 
—

 
—

 
20,378

Regulatory liability for income taxes - net
 
1,817,021

 
—

 
—

 
1,817,021

Other regulatory liabilities
 
1,620,254

 
—

 
—

 
1,620,254

Decommissioning and retirement cost liabilities
 
3,244,419

 
—

 
3,111,124

 
6,355,543

Accumulated provisions
 
513,489

 
—

 
618

 
514,107

Pension and other postretirement liabilities
 
1,937,884

 
—

 
678,201

 
2,616,085

Long-term debt
 
13,319,111

 
2,060,192

 
139,000

 
15,518,303

Other
 
740,865

 
(397,003
)
 
642,009

 
985,871

TOTAL
 
28,885,189

 
1,346,177

 
3,536,449

 
33,767,815

 
 
 
 
 
 
 
 
 
Subsidiaries' preferred stock without sinking fund
 
195,153

 
—

 
24,249

 
219,402

 
 
 
 
 
 
 
 
 
COMMON EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  Common stock, $.01 par value, authorized 500,000,000 shares;
 
 
 
 
 
 
 
      issued 261,587,009 shares in 2018
 
1,973,748

 
(2,172,235
)
 
201,103

 
2,616

  Paid-in capital
 
3,864,764

 
767,625

 
1,319,042

 
5,951,431

  Retained earnings
 
6,931,882

 
1,577,576

 
211,692

 
8,721,150

  Accumulated other comprehensive income (loss)
 
(96,209
)
 
—

 
(460,964
)
 
(557,173
)
  Less - treasury stock, at cost (72,530,866 shares in 2018)
 
120,000

 
5,153,719

 
—

 
5,273,719

TOTAL
 
12,554,185

 
(4,980,753
)
 
1,270,873

 
8,844,305

 
 
 
 
 
 
 
 
 
TOTAL LIABILITIES AND EQUITY
 

$44,777,167

 

($1,961,376
)
 

$5,459,275

 

$48,275,066

 
 
 
 
 
 
 
 
 
*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Income Statement
 
 
 
 
 
 
 
 
Three Months Ended September 30, 2019
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
 
 
 
 
 
 
 
 
 
OPERATING REVENUES
 
 
 
 
 
 
 
 
     Electric
 

$2,812,953

 

($19
)
 

$—

 

$2,812,934

     Natural gas
 
27,269

 
—

 
—

 
27,269

     Competitive businesses
 
—

 
9

 
300,363

 
300,372

                         Total
 
2,840,222

 
(10
)
 
300,363

 
3,140,575

 
 
 
 
 
 
 
 
 
OPERATING EXPENSES
 
 
 
 
 
 
 
 
     Operating and Maintenance:
 
 
 
 
 
 
 
 
          Fuel, fuel related expenses, and gas purchased for resale
 
571,499

 
(19
)
 
25,459

 
596,939

          Purchased power
 
298,566

 
19

 
17,754

 
316,339

          Nuclear refueling outage expenses
 
39,818

 
—

 
12,226

 
52,044

          Other operation and maintenance
 
658,475

 
10,885

 
136,336

 
805,696

     Asset write-offs, impairments and related charges
 
—

 
—

 
198,086

 
198,086

     Decommissioning
 
42,296

 
—

 
59,515

 
101,811

     Taxes other than income taxes
 
152,881

 
144

 
12,706

 
165,731

     Depreciation and amortization
 
340,643

 
773

 
37,803

 
379,219

     Other regulatory charges
 
4,781

 
—

 
—

 
4,781

                         Total
 
2,108,959

 
11,802

 
499,885

 
2,620,646

 
 
 
 
 
 
 
 
 
OPERATING INCOME
 
731,263

 
(11,812
)
 
(199,522
)
 
519,929

 
 
 
 
 
 
 
 
 
OTHER INCOME (DEDUCTIONS)
 
 
 
 
 
 
 
 
     Allowance for equity funds used during construction
 
33,161

 
—

 
—

 
33,161

     Interest and investment income
 
62,414

 
(38,655
)
 
58,536

 
82,295

     Miscellaneous - net
 
(23,215
)
 
(2,450
)
 
(24,421
)
 
(50,086
)
                          Total
 
72,360

 
(41,105
)
 
34,115

 
65,370

 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
     Interest expense
 
164,735

 
30,728

 
5,949

 
201,412

     Allowance for borrowed funds used during construction
 
(14,773
)
 
—

 
—

 
(14,773
)
                         Total
 
149,962

 
30,728

 
5,949

 
186,639

 
 
 
 
 
 
 
 
 
INCOME BEFORE INCOME TAXES
 
653,661

 
(83,645
)
 
(171,356
)
 
398,660

 
 
 
 
 
 
 
 
 
Income taxes
 
71,698

 
(11,642
)
 
(30,855
)
 
29,201

 
 
 
 
 
 
 
 
 
CONSOLIDATED NET INCOME
 
581,963

 
(72,003
)
 
(140,501
)
 
369,459

 
 
 
 
 
 
 
 
 
Preferred dividend requirements of subsidiaries
 
3,672

 
—

 
547

 
4,219

 
 
 
 
 
 
 
 
 
NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION
 

$578,291

 

($72,003
)
 

($141,048
)
 

$365,240

 
 
 
 
 
 
 
 
 
EARNINGS PER AVERAGE COMMON SHARE:
 
 
 
 
 
 
 
 
   BASIC
 
$2.91

 
($0.36)

 
($0.71)

 
$1.84

   DILUTED
 
$2.88

 
($0.36)

 
($0.70)

 
$1.82

 
 
 
 
 
 
 
 
 
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
 
 
 
 
 
 
 
 
   BASIC
 
 
 
 
 
 
 
198,932,387

   DILUTED
 
 
 
 
 
 
 
200,492,935

*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Income Statement
 
 
 
 
 
 
 
 
Three Months Ended September 30, 2018
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
 
 
 
 
 
 
 
 
 
OPERATING REVENUES
 
 
 
 
 
 
 
 
     Electric
 

$2,697,927

 

($40
)
 

$—

 

$2,697,887

     Natural gas
 
26,352

 
—

 
—

 
26,352

     Competitive businesses
 
—

 
—

 
380,080

 
380,080

                         Total
 
2,724,279

 
(40
)
 
380,080

 
3,104,319

 
 
 
 
 
 
 
 
 
OPERATING EXPENSES
 
 
 
 
 
 
 
 
     Operating and Maintenance:
 
 
 
 
 
 
 
 
          Fuel, fuel related expenses, and gas purchased for resale
 
710,199

 
(40
)
 
19,110

 
729,269

          Purchased power
 
419,514

 
40

 
19,826

 
439,380

          Nuclear refueling outage expenses
 
37,937

 
—

 
—

 
37,937

          Other operation and maintenance
 
634,806

 
10,080

 
209,127

 
854,013

     Asset write-offs, impairments and related charges
 
—

 
—

 
155,215

 
155,215

     Decommissioning
 
37,795

 
—

 
56,034

 
93,829

     Taxes other than income taxes
 
142,502

 
440

 
18,974

 
161,916

     Depreciation and amortization
 
284,857

 
252

 
39,519

 
324,628

     Other regulatory charges
 
37,097

 
—

 
—

 
37,097

                         Total
 
2,304,707

 
10,772

 
517,805

 
2,833,284

 
 
 
 
 
 
 
 
 
OPERATING INCOME
 
419,572

 
(10,812
)
 
(137,725
)
 
271,035

 
 
 
 
 
 
 
 
 
OTHER INCOME (DEDUCTIONS)
 
 
 
 
 
 
 
 
     Allowance for equity funds used during construction
 
32,354

 
—

 
—

 
32,354

     Interest and investment income
 
88,814

 
(38,892
)
 
127,159

 
177,081

     Miscellaneous - net
 
(30,341
)
 
(2,443
)
 
(10,807
)
 
(43,591
)
                          Total
 
90,827

 
(41,335
)
 
116,352

 
165,844

 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
     Interest expense
 
154,933

 
31,663

 
8,715

 
195,311

     Allowance for borrowed funds used during construction
 
(15,244
)
 
—

 
—

 
(15,244
)
                         Total
 
139,689

 
31,663

 
8,715

 
180,067

 
 
 
 
 
 
 
 
 
INCOME BEFORE INCOME TAXES
 
370,710

 
(83,810
)
 
(30,088
)
 
256,812

 
 
 
 
 
 
 
 
 
Income taxes
 
(137,035
)
 
(10,312
)
 
(135,659
)
 
(283,006
)
 
 
 
 
 
 
 
 
 
CONSOLIDATED NET INCOME
 
507,745

 
(73,498
)
 
105,571

 
539,818

 
 
 
 
 
 
 
 
 
Preferred dividend requirements of subsidiaries
 
2,892

 
—

 
547

 
3,439

 
 
 
 
 
 
 
 
 
NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION
 

$504,853

 

($73,498
)
 

$105,024

 

$536,379

 
 
 
 
 
 
 
 
 
EARNINGS PER AVERAGE COMMON SHARE:
 
 
 
 
 
 
 
 
   BASIC
 
$2.79

 
($0.41)

 
$0.58

 
$2.96

   DILUTED
 
$2.75

 
($0.40)

 
$0.57

 
$2.92

 
 
 
 
 
 
 
 
 
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
 
 
 
 
 
 
 
 
   BASIC
 
 
 
 
 
 
 
181,002,303

   DILUTED
 
 
 
 
 
 
 
183,664,583

*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Income Statement
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2019
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
 
 
 
 
 
 
 
 
 
OPERATING REVENUES
 
 
 
 
 
 
 
 
     Electric
 
$
7,279,725

 
$
(42
)
 
$
—

 
$
7,279,683

     Natural gas
 
112,916

 
—

 
—

 
112,916

     Competitive businesses
 
—

 
11

 
1,023,757

 
1,023,768

                         Total
 
7,392,641

 
(31
)
 
1,023,757

 
8,416,367

 
 
 
 
 
 
 
 
 
OPERATING EXPENSES
 
 
 
 
 
 
 
 
     Operating and Maintenance:
 
 
 
 
 
 
 
 
          Fuel, fuel related expenses, and gas purchased for resale
 
1,466,242

 
(42
)
 
76,392

 
1,542,592

          Purchased power
 
953,017

 
42

 
48,648

 
1,001,707

          Nuclear refueling outage expenses
 
117,061

 
—

 
36,386

 
153,447

          Other operation and maintenance
 
1,894,419

 
23,498

 
512,700

 
2,430,617

     Asset write-offs, impairments and related charges
 
—

 
—

 
288,483

 
288,483

     Decommissioning
 
121,422

 
—

 
187,135

 
308,557

     Taxes other than income taxes
 
441,368

 
672

 
45,675

 
487,715

     Depreciation and amortization
 
984,064

 
2,178

 
113,748

 
1,099,990

     Other regulatory credits
 
(38,698
)
 
—

 
—

 
(38,698
)
                         Total
 
5,938,895

 
26,348

 
1,309,167

 
7,274,410

 
 
 
 
 
 
 
 
 
OPERATING INCOME
 
1,453,746

 
(26,379
)
 
(285,410
)
 
1,141,957

 
 
 
 
 
 
 
 
 
OTHER INCOME (DEDUCTIONS)
 
 
 
 
 
 
 
 
     Allowance for equity funds used during construction
 
108,546

 
—

 
—

 
108,546

     Interest and investment income
 
208,767

 
(117,677
)
 
315,573

 
406,663

     Miscellaneous - net
 
(101,199
)
 
(10,225
)
 
(49,190
)
 
(160,614
)
                          Total
 
216,114

 
(127,902
)
 
266,383

 
354,595

 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
     Interest expense
 
486,748

 
92,755

 
24,014

 
603,517

     Allowance for borrowed funds used during construction
 
(49,034
)
 
—

 
—

 
(49,034
)
                         Total
 
437,714

 
92,755

 
24,014

 
554,483

 
 
 
 
 
 
 
 
 
INCOME BEFORE INCOME TAXES
 
1,232,146

 
(247,036
)
 
(43,041
)
 
942,069

 
 
 
 
 
 
 
 
 
Income taxes
 
81,283

 
(33,616
)
 
25,763

 
73,430

 
 
 
 
 
 
 
 
 
CONSOLIDATED NET INCOME
 
1,150,863

 
(213,420
)
 
(68,804
)
 
868,639

 
 
 
 
 
 
 
 
 
Preferred dividend requirements of subsidiaries
 
10,797

 
—

 
1,641

 
12,438

 
 
 
 
 
 
 
 
 
NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION
 
$
1,140,066

 
$
(213,420
)
 
$
(70,445
)
 
$
856,201

 
 
 
 
 
 
 
 
 
EARNINGS PER AVERAGE COMMON SHARE:
 
 
 
 
 
 
 
 
   BASIC
 
$5.88

 
($1.10)

 
($0.36)

 
$4.42

   DILUTED
 
$5.83

 
($1.09)

 
($0.36)

 
$4.38

 
 
 
 
 
 
 
 
 
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
 
 
 
 
 
 
 
 
   BASIC
 
 
 
 
 
 
 
193,876,557

   DILUTED
 
 
 
 
 
 
 
195,685,851

*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Income Statement
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2018
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
 
 
 
 
 
 
 
 
 
OPERATING REVENUES
 
 
 
 
 
 
 
 
     Electric
 
$
7,276,487

 
$
(113
)
 
$
—

 
$
7,276,374

     Natural gas
 
112,990

 
—

 
—

 
112,990

     Competitive businesses
 
—

 
—

 
1,107,606

 
1,107,606

                         Total
 
7,389,477

 
(113
)
 
1,107,606

 
8,496,970

 
 
 
 
 
 
 
 
 
OPERATING EXPENSES
 
 
 
 
 
 
 
 
     Operating and Maintenance:
 
 
 
 
 
 
 
 
          Fuel, fuel related expenses, and gas purchased for resale
 
1,580,647

 
(113
)
 
57,833

 
1,638,367

          Purchased power
 
1,197,955

 
109

 
54,373

 
1,252,437

          Nuclear refueling outage expenses
 
113,061

 
—

 
2,996

 
116,057

          Other operation and maintenance
 
1,851,560

 
26,627

 
599,512

 
2,477,699

     Asset write-offs, impairments and related charges
 
—

 
—

 
297,082

 
297,082

     Decommissioning
 
111,345

 
—

 
174,489

 
285,834

     Taxes other than income taxes
 
426,231

 
1,814

 
57,637

 
485,682

     Depreciation and amortization
 
904,841

 
1,009

 
116,249

 
1,022,099

     Other regulatory charges
 
223,416

 
—

 
—

 
223,416

                         Total
 
6,409,056

 
29,446

 
1,360,171

 
7,798,673

 
 
 
 
 
 
 
 
 
OPERATING INCOME
 
980,421

 
(29,559
)
 
(252,565
)
 
698,297

 
 
 
 
 
 
 
 
 
OTHER INCOME (DEDUCTIONS)
 
 
 
 
 
 
 
 
     Allowance for equity funds used during construction
 
92,367

 
—

 
—

 
92,367

     Interest and investment income
 
197,915

 
(116,179
)
 
183,350

 
265,086

     Miscellaneous - net
 
(75,844
)
 
(6,829
)
 
(40,766
)
 
(123,439
)
                          Total
 
214,438

 
(123,008
)
 
142,584

 
234,014

 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
     Interest expense
 
459,092

 
86,011

 
25,445

 
570,548

     Allowance for borrowed funds used during construction
 
(43,177
)
 
—

 
—

 
(43,177
)
                         Total
 
415,915

 
86,011

 
25,445

 
527,371

 
 
 
 
 
 
 
 
 
INCOME BEFORE INCOME TAXES
 
778,944

 
(238,578
)
 
(135,426
)
 
404,940

 
 
 
 
 
 
 
 
 
Income taxes
 
(325,134
)
 
(27,921
)
 
(166,882
)
 
(519,937
)
 
 
 
 
 
 
 
 
 
CONSOLIDATED NET INCOME
 
1,104,078

 
(210,657
)
 
31,456

 
924,877

 
 
 
 
 
 
 
 
 
Preferred dividend requirements of subsidiaries
 
8,676

 
—

 
1,641

 
10,317

 
 
 
 
 
 
 
 
 
NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION
 
$
1,095,402

 
$
(210,657
)
 
$
29,815

 
$
914,560

 
 
 
 
 
 
 
 
 
EARNINGS PER AVERAGE COMMON SHARE:
 
 
 
 
 
 
 
 
   BASIC
 
$6.06

 
($1.16)

 
$0.16

 
$5.06

   DILUTED
 
$6.00

 
($1.15)

 
$0.16

 
$5.01

 
 
 
 
 
 
 
 
 
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
 
 
 
 
 
 
 
 
   BASIC
 
 
 
 
 
 
 
180,845,440

   DILUTED
 
 
 
 
 
 
 
182,692,325

*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Income Statement
 
 
 
 
 
 
 
 
Twelve Months Ended September 30, 2019
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
 
 
 
 
 
 
 
 
 
OPERATING REVENUES
 
 
 
 
 
 
 
 
     Electric
 

$9,387,472

 

($51
)
 

$—

 

$9,387,421

     Natural gas
 
156,362

 
—

 
—

 
156,362

     Competitive businesses
 
—

 
11

 
1,385,056

 
1,385,067

                         Total
 
9,543,834

 
(40
)
 
1,385,056

 
10,928,850

 
 
 
 
 
 
 
 
 
OPERATING EXPENSES
 
 
 
 
 
 
 
 
     Operating and Maintenance:
 
 
 
 
 
 
 
 
          Fuel, fuel related expenses, and gas purchased for resale
 
1,956,272

 
(51
)
 
95,797

 
2,052,018

          Purchased power
 
1,298,532

 
51

 
109,486

 
1,408,069

          Nuclear refueling outage expenses
 
154,255

 
—

 
36,960

 
191,215

          Other operation and maintenance
 
2,544,227

 
34,199

 
720,888

 
3,299,314

     Asset write-offs, impairments and related charges
 
—

 
—

 
523,722

 
523,722

     Decommissioning
 
159,701

 
—

 
251,531

 
411,232

     Taxes other than income taxes
 
577,123

 
653

 
66,208

 
643,984

     Depreciation and amortization
 
1,297,542

 
2,443

 
147,348

 
1,447,333

     Other regulatory charges
 
38,936

 
—

 
—

 
38,936

                         Total
 
8,026,588

 
37,295

 
1,951,940

 
10,015,823

 
 
 
 
 
 
 
 
 
OPERATING INCOME
 
1,517,246

 
(37,335
)
 
(566,884
)
 
913,027

 
 
 
 
 
 
 
 
 
OTHER INCOME (DEDUCTIONS)
 
 
 
 
 
 
 
 
     Allowance for equity funds used during construction
 
145,781

 
—

 
—

 
145,781

     Interest and investment income
 
214,788

 
(156,113
)
 
146,765

 
205,440

     Miscellaneous - net
 
(87,379
)
 
(14,648
)
 
(64,901
)
 
(166,928
)
                          Total
 
273,190

 
(170,761
)
 
81,864

 
184,293

 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
     Interest expense
 
641,550

 
127,478

 
32,264

 
801,292

     Allowance for borrowed funds used during construction
 
(66,831
)
 
—

 
—

 
(66,831
)
                         Total
 
574,719

 
127,478

 
32,264

 
734,461

 
 
 
 
 
 
 
 
 
INCOME BEFORE INCOME TAXES
 
1,215,717

 
(335,574
)
 
(517,284
)
 
362,859

 
 
 
 
 
 
 
 
 
Income taxes
 
(326,130
)
 
(40,947
)
 
(76,381
)
 
(443,458
)
 
 
 
 
 
 
 
 
 
CONSOLIDATED NET INCOME
 
1,541,847

 
(294,627
)
 
(440,903
)
 
806,317

 
 
 
 
 
 
 
 
 
Preferred dividend requirements of subsidiaries
 
13,828

 
—

 
2,188

 
16,016

 
 
 
 
 
 
 
 
 
NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION
 

$1,528,019

 

($294,627
)
 

($443,091
)
 

$790,301

 
 
 
 
 
 
 
 
 
EARNINGS PER AVERAGE COMMON SHARE:
 
 
 
 
 
 
 
 
   BASIC
 
$7.99

 
($1.54)

 
($2.32)

 
$4.13

   DILUTED
 
$7.90

 
($1.52)

 
($2.29)

 
$4.09

 
 
 
 
 
 
 
 
 
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
 
 
 
 
 
 
 
 
   BASIC
 
 
 
 
 
 
 
191,156,159

   DILUTED
 
 
 
 
 
 
 
193,423,076

*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
 
 
Consolidating Income Statement
 
 
 
 
 
 
 
 
Twelve Months Ended September 30, 2018
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
 
 
Utility
 
Parent & Other
 
Entergy Wholesale Commodities
 
Consolidated
 
 
 
 
 
 
 
 
 
OPERATING REVENUES
 
 
 
 
 
 
 
 
     Electric
 

$9,498,643

 

($132
)
 

$—

 

$9,498,511

     Natural gas
 
151,835

 
—

 
—

 
151,835

     Competitive businesses
 
—

 
—

 
1,470,469

 
1,470,469

                         Total
 
9,650,478

 
(132
)
 
1,470,469

 
11,120,815

 
 
 
 
 
 
 
 
 
OPERATING EXPENSES
 
 
 
 
 
 
 
 
     Operating and Maintenance:
 
 
 
 
 
 
 
 
          Fuel, fuel related expenses, and gas purchased for resale
 
2,126,647

 
(228
)
 
77,075

 
2,203,494

          Purchased power
 
1,432,444

 
224

 
65,315

 
1,497,983

          Nuclear refueling outage expenses
 
154,968

 
—

 
5,114

 
160,082

          Other operation and maintenance
 
2,530,140

 
35,572

 
818,128

 
3,383,840

     Asset write-offs, impairments and related charges
 
—

 
—

 
413,870

 
413,870

     Decommissioning
 
147,136

 
—

 
234,321

 
381,457

     Taxes other than income taxes
 
554,884

 
1,984

 
77,279

 
634,147

     Depreciation and amortization
 
1,205,760

 
1,424

 
152,482

 
1,359,666

     Other regulatory charges
 
150,909

 
—

 
—

 
150,909

                         Total
 
8,302,888

 
38,976

 
1,843,584

 
10,185,448

 
 
 
 
 
 
 
 
 
OPERATING INCOME
 
1,347,590

 
(39,108
)
 
(373,115
)
 
935,367

 
 
 
 
 
 
 
 
 
OTHER INCOME (DEDUCTIONS)
 
 
 
 
 
 
 
 
     Allowance for equity funds used during construction
 
121,733

 
—

 
—

 
121,733

     Interest and investment income
 
248,642

 
(154,619
)
 
264,283

 
358,306

     Miscellaneous - net
 
(92,237
)
 
(7,089
)
 
(58,813
)
 
(158,139
)
                          Total
 
278,138

 
(161,708
)
 
205,470

 
321,900

 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
     Interest expense
 
613,737

 
109,834

 
31,332

 
754,903

     Allowance for borrowed funds used during construction
 
(56,990
)
 
—

 
—

 
(56,990
)
                         Total
 
556,747

 
109,834

 
31,332

 
697,913

 
 
 
 
 
 
 
 
 
INCOME BEFORE INCOME TAXES
 
1,068,981

 
(310,650
)
 
(198,977
)
 
559,354

 
 
 
 
 
 
 
 
 
Income taxes
 
9,491

 
(93,661
)
 
194,358

 
110,188

 
 
 
 
 
 
 
 
 
CONSOLIDATED NET INCOME
 
1,059,490

 
(216,989
)
 
(393,335
)
 
449,166

 
 
 
 
 
 
 
 
 
Preferred dividend requirements of subsidiaries
 
11,533

 
—

 
2,187

 
13,720

 
 
 
 
 
 
 
 
 
NET INCOME ATTRIBUTABLE TO ENTERGY CORPORATION
 

$1,047,957

 

($216,989
)
 

($395,522
)
 

$435,446

 
 
 
 
 
 
 
 
 
EARNINGS PER AVERAGE COMMON SHARE:
 
 
 
 
 
 
 
 
   BASIC
 
$5.80

 
($1.20)

 
($2.19)

 
$2.41

   DILUTED
 
$5.75

 
($1.19)

 
($2.17)

 
$2.39

 
 
 
 
 
 
 
 
 
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
 
 
 
 
 
 
 
 
   BASIC
 
 
 
 
 
 
 
180,708,842

   DILUTED
 
 
 
 
 
 
 
182,220,263

*Totals may not foot due to rounding.
 
 
 
 
 
 
 
 




Entergy Corporation
 
 
 
 
 
 
Consolidated Cash Flow Statement
 
 
 
 
 
 
Nine Months Ended September 30, 2019 vs. 2018
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
2019
 
2018
 
Variance
 
 
 
 
 
 
 
OPERATING ACTIVITIES
 
 
 
 
 
 
Consolidated net income
 

$868,639

 

$924,877

 

($56,238
)
Adjustments to reconcile consolidated net income to net cash
 
 
 
 
 
 
flow provided by operating activities:
 
 
 
 
 
 
  Depreciation, amortization, and decommissioning, including nuclear fuel amortization
 
1,634,677

 
1,517,344

 
117,333

  Deferred income taxes, investment tax credits, and non-current taxes accrued
 
373,723

 
82,641

 
291,082

  Asset write-offs, impairments and related charges
 
225,175

 
210,263

 
14,912

  Changes in working capital:
 
 
 
 
 
 
     Receivables
 
(231,005
)
 
(153,703
)
 
(77,302
)
     Fuel inventory
 
(14,399
)
 
49,728

 
(64,127
)
     Accounts payable
 
(175,246
)
 
79,949

 
(255,195
)
     Taxes accrued
 
(2,420
)
 
43,510

 
(45,930
)
     Interest accrued
 
(2,314
)
 
(9,398
)
 
7,084

     Deferred fuel costs
 
90,319

 
(25,284
)
 
115,603

     Other working capital accounts
 
(19,232
)
 
(86,063
)
 
66,831

  Changes in provisions for estimated losses
 
14,114

 
28,599

 
(14,485
)
  Changes in other regulatory assets
 
(92,861
)
 
207,135

 
(299,996
)
  Changes in other regulatory liabilities
 
(19,115
)
 
(413,684
)
 
394,569

  Changes in pensions and other postretirement liabilities
 
(132,044
)
 
(345,526
)
 
213,482

  Other
 
(400,064
)
 
(250,884
)
 
(149,180
)
Net cash flow provided by operating activities
 
2,117,947

 
1,859,504

 
258,443

  INVESTING ACTIVITIES
 
 
 
 
 
 
Construction/capital expenditures
 
(3,079,726
)
 
(2,883,047
)
 
(196,679
)
Allowance for equity funds used during construction
 
108,867

 
92,829

 
16,038

Nuclear fuel purchases
 
(55,176
)
 
(170,819
)
 
115,643

Proceeds from sale of assets
 
19,801

 
12,915

 
6,886

Insurance proceeds received for property damages
 
7,040

 
10,523

 
(3,483
)
Changes in securitization account
 
(4,213
)
 
(12,985
)
 
8,772

Payments to storm reserve escrow account
 
(6,184
)
 
(4,515
)
 
(1,669
)
Decrease (increase) in other investments
 
30,370

 
(36,140
)
 
66,510

Litigation proceeds for reimbursement of spent nuclear fuel storage costs
 
2,369

 
—

 
2,369

Proceeds from nuclear decommissioning trust fund sales
 
3,518,616

 
4,177,919

 
(659,303
)
Investment in nuclear decommissioning trust funds
 
(3,566,690
)
 
(4,187,161
)
 
620,471

Net cash flow used in investing activities
 
(3,024,926
)
 
(3,000,481
)
 
(24,445
)
FINANCING ACTIVITIES
 
 
 
 
 
 
  Proceeds from the issuance of:
 
 
 
 
 
 
    Long-term debt
 
7,133,571

 
5,604,131

 
1,529,440

    Preferred stock of subsidiary
 
33,486

 
—

 
33,486

    Treasury stock
 
89,303

 
24,646

 
64,657

    Common stock
 
607,650

 
—

 
607,650

  Retirement of long-term debt
 
(5,859,714
)
 
(4,181,820
)
 
(1,677,894
)
  Repurchase of preferred membership units
 
(50,000
)
 
—

 
(50,000
)
  Changes in credit borrowings and commercial paper - net
 
(24,550
)
 
368,370

 
(392,920
)
  Other
 
(9,175
)
 
25,540

 
(34,715
)
  Dividends paid:
 
 
 
 
 
 
     Common stock
 
(526,408
)
 
(482,865
)
 
(43,543
)
     Preferred stock
 
(12,328
)
 
(10,317
)
 
(2,011
)
Net cash flow provided by financing activities
 
1,381,835

 
1,347,685

 
34,150

Net increase in cash and cash equivalents
 
474,856

 
206,708

 
268,148

Cash and cash equivalents at beginning of period
 
480,975

 
781,273

 
(300,298
)
Cash and cash equivalents at end of period
 

$955,831

 

$987,981

 

($32,150
)
 
 
 
 
 
 
 
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
 
 
 
 
 
 
  Cash paid (received) during the period for:
 
 
 
 
 
 
     Interest - net of amount capitalized
 

$584,622

 

$558,381

 

$26,241

     Income taxes
 

($8,649
)
 

$18,200

 

($26,849
)




Entergy Corporation
 
 
 
 
 
 
Consolidated Cash Flow Statement
 
 
 
 
 
 
Three Months Ended September 30, 2019 vs. 2018
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
2019
 
2018
 
Variance
 
 
 
 
 
 
 
OPERATING ACTIVITIES
 
 
 
 
 
 
Consolidated net income
 

$369,459

 

$539,818

 

($170,359
)
Adjustments to reconcile consolidated net income to net cash
 
 
 
 
 
 
flow provided by operating activities:
 
 
 
 
 
 
  Depreciation, amortization, and decommissioning, including nuclear fuel amortization
565,870

 
489,735

 
76,135

  Deferred income taxes, investment tax credits, and non-current taxes accrued
 
147,974

 
(6,091
)
 
154,065

  Asset write-offs, impairments and related charges
 
198,491

 
158,760

 
39,731

  Changes in working capital:
 
 
 
 
 
 
     Receivables
 
(103,746
)
 
(108,188
)
 
4,442

     Fuel inventory
 
(1,053
)
 
41,216

 
(42,269
)
     Accounts payable
 
(156,414
)
 
(17,515
)
 
(138,899
)
     Taxes accrued
 
35,766

 
51,602

 
(15,836
)
     Interest accrued
 
(2,170
)
 
(7,342
)
 
5,172

     Deferred fuel costs
 
58,523

 
106,979

 
(48,456
)
     Other working capital accounts
 
32,550

 
48,919

 
(16,369
)
  Changes in provisions for estimated losses
 
9,395

 
1,156

 
8,239

  Changes in other regulatory assets
 
43,075

 
100,423

 
(57,348
)
  Changes in other regulatory liabilities
 
(126,997
)
 
(166,445
)
 
39,448

  Changes in pensions and other postretirement liabilities
 
(66,011
)
 
(164,248
)
 
98,237

  Other
 
60,145

 
(289,198
)
 
349,343

Net cash flow provided by operating activities
 
1,064,857

 
779,581

 
285,276

  INVESTING ACTIVITIES
 
 
 
 
 
 
Construction/capital expenditures
 
(984,206
)
 
(997,628
)
 
13,422

Allowance for equity funds used during construction
 
33,260

 
32,494

 
766

Nuclear fuel purchases
 
(653
)
 
(80,498
)
 
79,845

Proceeds from sale of assets
 
—

 
3,752

 
(3,752
)
Changes in securitization account
 
(16,247
)
 
(17,739
)
 
1,492

Payments to storm reserve escrow account
 
(1,561
)
 
(1,771
)
 
210

Decrease (increase) in other investments
 
(20,703
)
 
(25,371
)
 
4,668

Litigation proceeds for reimbursement of spent nuclear fuel storage costs
 
2,369

 
—

 
2,369

Proceeds from nuclear decommissioning trust fund sales
 
1,030,701

 
2,376,749

 
(1,346,048
)
Investment in nuclear decommissioning trust funds
 
(1,042,885
)
 
(2,360,777
)
 
1,317,892

Net cash flow used in investing activities
 
(999,925
)
 
(1,070,789
)
 
70,864

FINANCING ACTIVITIES
 
 
 
 
 
 
  Proceeds from the issuance of:
 
 
 
 
 
 
    Long-term debt
 
1,742,024

 
2,244,938

 
(502,914
)
    Preferred stock of subsidiary
 
33,486

 
—

 
33,486

    Treasury stock
 
31,506

 
20,955

 
10,551

  Retirement of long-term debt
 
(1,645,219
)
 
(1,612,689
)
 
(32,530
)
  Changes in credit borrowings and commercial paper - net
 
282,327

 
(37,425
)
 
319,752

  Other
 
(4,069
)
 
15,106

 
(19,175
)
  Dividends paid:
 
 
 
 
 
 
     Common stock
 
(180,956
)
 
(161,044
)
 
(19,912
)
     Preferred stock
 
(4,109
)
 
(3,439
)
 
(670
)
Net cash flow provided by financing activities
 
254,990

 
466,402

 
(211,412
)
Net increase in cash and cash equivalents
 
319,922

 
175,194

 
144,728

Cash and cash equivalents at beginning of period
 
635,909

 
812,787

 
(176,878
)
Cash and cash equivalents at end of period
 

$955,831

 

$987,981

 

($32,150
)
 
 
 
 
 
 
 
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
 
 
 
 
 
 
  Cash paid (received) during the period for:
 
 
 
 
 
 
     Interest - net of amount capitalized
 
$196,056

 
$195,752

 
$304

     Income taxes
 
($1,682)

 
$4,055

 
($5,737)





Entergy Corporation
 
 
 
 
 
 
Consolidated Cash Flow Statement
 
 
 
 
 
 
Twelve Months Ended September 30, 2019 vs. 2018
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
(Unaudited)
 
 
 
 
 
 
 
 
2019
 
2018
 
Variance
 
 
 
 
 
 
 
OPERATING ACTIVITIES
 
 
 
 
 
 
Consolidated net income
 

$806,317

 

$449,166

 

$357,151

Adjustments to reconcile consolidated net income to net cash
 
 
 
 
 
 
flow provided by operating activities:
 
 
 
 
 
 
  Depreciation, amortization, and decommissioning, including nuclear fuel amortization
 
2,157,888

 
2,034,357

 
123,531

  Deferred income taxes, investment tax credits, and non-current taxes accrued
 
34,234

 
702,301

 
(668,067
)
  Asset write-offs, impairments and related charges
 
506,651

 
325,676

 
180,975

  Changes in working capital:
 
 
 
 
 
 
     Receivables
 
21,244

 
(53,311
)
 
74,555

     Fuel inventory
 
(18,288
)
 
25,939

 
(44,227
)
     Accounts payable
 
(157,883
)
 
257,713

 
(415,596
)
     Taxes accrued
 
(6,658
)
 
10,468

 
(17,126
)
     Interest accrued
 
12,304

 
(2,545
)
 
14,849

     Deferred fuel costs
 
89,774

 
148,642

 
(58,868
)
     Other working capital accounts
 
(97,342
)
 
(8,615
)
 
(88,727
)
  Changes in provisions for estimated losses
 
21,221

 
35,393

 
(14,172
)
  Changes in other regulatory assets
 
(110,803
)
 
685,209

 
(796,012
)
  Changes in other regulatory liabilities
 
(408,754
)
 
2,479,987

 
(2,888,741
)
  Deferred tax rate change recognized as regulatory liability / asset
 
—

 
(3,665,498
)
 
3,665,498

  Changes in pensions and other postretirement liabilities
 
(91,459
)
 
(121,915
)
 
30,456

  Other
 
(114,756
)
 
(532,714
)
 
417,958

Net cash flow provided by operating activities
 
2,643,690

 
2,770,253

 
(126,563
)
  INVESTING ACTIVITIES
 
 
 
 
 
 
Construction/capital expenditures
 
(4,138,689
)
 
(3,868,475
)
 
(270,214
)
Allowance for equity funds used during construction
 
146,233

 
122,392

 
23,841

Nuclear fuel purchases
 
(186,941
)
 
(322,089
)
 
135,148

Payment for purchase of plant or assets
 
(26,623
)
 
(16,762
)
 
(9,861
)
Proceeds from sale of assets
 
31,788

 
12,915

 
18,873

Insurance proceeds received for property damages
 
14,787

 
10,523

 
4,264

Changes in securitization account
 
2,928

 
(5,168
)
 
8,096

Payments to storm reserve escrow account
 
(8,220
)
 
(5,468
)
 
(2,752
)
Receipts from storm reserve escrow account
 
—

 
2,487

 
(2,487
)
Decrease (increase) in other investments
 
12,010

 
77,155

 
(65,145
)
Litigation proceeds for reimbursement of spent nuclear fuel storage costs
 
62,012

 
—

 
62,012

Proceeds from nuclear decommissioning trust fund sales
 
5,825,488

 
5,437,883

 
387,605

Investment in nuclear decommissioning trust funds
 
(5,865,205
)
 
(5,459,201
)
 
(406,004
)
Net cash flow used in investing activities
 
(4,130,432
)
 
(4,013,808
)
 
(116,624
)
FINANCING ACTIVITIES
 
 
 
 
 
 
  Proceeds from the issuance of:
 
 
 
 
 
 
    Long-term debt
 
9,564,976

 
6,190,915

 
3,374,061

    Preferred stock of subsidiary
 
106,816

 
14,399

 
92,417

    Treasury stock
 
167,972

 
90,254

 
77,718

    Common stock
 
1,106,922

 
—

 
1,106,922

  Retirement of long-term debt
 
(8,643,632
)
 
(4,544,586
)
 
(4,099,046
)
  Repurchase / redemption of preferred stock and preferred membership units
 
(103,868
)
 
(20,599
)
 
(83,269
)
  Changes in credit borrowings and commercial paper - net
 
(28,889
)
 
593,989

 
(622,878
)
  Other
 
(8,262
)
 
18,146

 
(26,408
)
  Dividends paid:
 
 
 
 
 
 
     Common stock
 
(691,247
)
 
(643,354
)
 
(47,893
)
     Preferred stock
 
(16,196
)
 
(13,919
)
 
(2,277
)
Net cash flow provided by financing activities
 
1,454,592

 
1,685,245

 
(230,653
)
Net increase (decrease) in cash and cash equivalents
 
(32,150
)
 
441,690

 
(473,840
)
Cash and cash equivalents at beginning of period
 
987,981

 
546,291

 
441,690

Cash and cash equivalents at end of period
 

$955,831

 

$987,981

 

($32,150
)
 
 
 
 
 
 
 
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
 
 
 
 
 
 
  Cash paid (received) during the period for:
 
 
 
 
 
 
     Interest - net of amount capitalized
 
$761,086

 
$728,840

 
$32,246

     Income taxes
 
($7,024)

 
$16,708

 
($23,732)