- TXU Corp reported strong earnings growth in the second quarter of 2005 compared to the same period in 2004, driven by improved operational performance across all core business segments.
- Key drivers included higher production levels from lignite and nuclear plants, lower fuel and operating costs, and improved customer service metrics at TXU Energy. However, rising commodity prices continued to challenge retail profitability.
- Financial measures such as EBITDA, cash from operations and debt ratios improved significantly compared to prior year periods, demonstrating enhanced financial flexibility.
1. EDP Brasil reported a 7.6% decrease in net revenue in 1Q09 compared to 1Q08, but manageable expenses decreased 17.4%. EBITDA was down 11.3% while adjusted EBITDA rose 7.9%.
2. Generation business saw a 23% increase in energy volume sold due to an asset swap operation, but net revenue grew only 6.5% due to lower dispatch. Distribution saw a decrease in captive industrial customers offset by growth in residential and commercial as well as lower free customer consumption.
3. The company continues its focus on efficiency and cash flow generation through expense reductions and expansion projects.
The document provides a comparison of Equatorial's balance sheet under Brazilian GAAP and IFRS standards as of 4Q09. Key differences include adjustments to reclassify certain assets as current or non-current, adjustments to provisions, taxes, and regulatory assets and liabilities. Adopting IFRS standards resulted in decreases to reported current and non-current assets as well as current and non-current liabilities.
1) This document summarizes Walgreen's fourth quarter 2008 conference call where they discussed financial results and growth strategies.
2) Key highlights included record sales and earnings for the 34th consecutive year, but slower growth in the fourth quarter.
3) Walgreen is focusing on controlling expenses through cost savings initiatives while expanding healthcare services and improving customer experience.
Energias do Brasil reported its third quarter 2007 earnings results in a conference call. The company's CEO, CFO, and investor relations officer presented operating and financial performance for the quarter. Energias do Brasil saw growth in energy distributed and volume sold, while facing challenges from rising costs and expenses. Overall, the company reported higher revenues but lower EBITDA compared to the previous year.
The document provides operating and financial results for 4Q11. Key highlights include:
- CEMAR's billed energy volume increased 6.1% year-over-year to 1,161 GWh. Energy losses decreased 1 percentage point to 21% of required energy.
- Adjusted EBITDA decreased slightly by 1.7% to R$142 million compared to 4Q10.
- Adjusted net income decreased 9.3% to R$52.9 million year-over-year.
- Investments increased 52% year-over-year to R$191.5 million, with R$141.3 million by CEMAR excluding investments in the Light For All Program.
The document summarizes PPG Industries' third quarter 2008 financial results. It reports double-digit sales and earnings growth across many business segments. It also notes strong cash generation that has allowed over $650 million in debt reduction so far in 2008. Challenges in some segments like industrial coatings and automotive are also highlighted due to economic slowdowns. Overall, the company reports continued strong financial performance despite difficult market conditions in some areas.
Danaher Corporation reported financial results for the second quarter of 2008. Revenue increased 25% to $6.3 billion compared to the second quarter of 2007, with core revenue growth of 5.5%. Adjusted diluted EPS increased 17% to $1.92 compared to the prior year. Operating margins declined 130 basis points to 15.5% due to businesses owned for less than one year and acquisition-related charges. The company provided guidance for continued growth in revenue and earnings for the full year 2008.
WEG reported its financial results for the third quarter of 2011. Revenue increased by 9.4% compared to the third quarter of 2010 to R$1.552 billion, with gross profit rising 10.9% and net income up 8.8%. EBITDA grew 16.5% through higher volumes, prices, and an improved product mix. Cash flows remained strong with cash and cash equivalents reaching R$3.086 billion at the end of the quarter. The company also continued expanding production capacity both within Brazil and abroad.
1. EDP Brasil reported a 7.6% decrease in net revenue in 1Q09 compared to 1Q08, but manageable expenses decreased 17.4%. EBITDA was down 11.3% while adjusted EBITDA rose 7.9%.
2. Generation business saw a 23% increase in energy volume sold due to an asset swap operation, but net revenue grew only 6.5% due to lower dispatch. Distribution saw a decrease in captive industrial customers offset by growth in residential and commercial as well as lower free customer consumption.
3. The company continues its focus on efficiency and cash flow generation through expense reductions and expansion projects.
The document provides a comparison of Equatorial's balance sheet under Brazilian GAAP and IFRS standards as of 4Q09. Key differences include adjustments to reclassify certain assets as current or non-current, adjustments to provisions, taxes, and regulatory assets and liabilities. Adopting IFRS standards resulted in decreases to reported current and non-current assets as well as current and non-current liabilities.
1) This document summarizes Walgreen's fourth quarter 2008 conference call where they discussed financial results and growth strategies.
2) Key highlights included record sales and earnings for the 34th consecutive year, but slower growth in the fourth quarter.
3) Walgreen is focusing on controlling expenses through cost savings initiatives while expanding healthcare services and improving customer experience.
Energias do Brasil reported its third quarter 2007 earnings results in a conference call. The company's CEO, CFO, and investor relations officer presented operating and financial performance for the quarter. Energias do Brasil saw growth in energy distributed and volume sold, while facing challenges from rising costs and expenses. Overall, the company reported higher revenues but lower EBITDA compared to the previous year.
The document provides operating and financial results for 4Q11. Key highlights include:
- CEMAR's billed energy volume increased 6.1% year-over-year to 1,161 GWh. Energy losses decreased 1 percentage point to 21% of required energy.
- Adjusted EBITDA decreased slightly by 1.7% to R$142 million compared to 4Q10.
- Adjusted net income decreased 9.3% to R$52.9 million year-over-year.
- Investments increased 52% year-over-year to R$191.5 million, with R$141.3 million by CEMAR excluding investments in the Light For All Program.
The document summarizes PPG Industries' third quarter 2008 financial results. It reports double-digit sales and earnings growth across many business segments. It also notes strong cash generation that has allowed over $650 million in debt reduction so far in 2008. Challenges in some segments like industrial coatings and automotive are also highlighted due to economic slowdowns. Overall, the company reports continued strong financial performance despite difficult market conditions in some areas.
Danaher Corporation reported financial results for the second quarter of 2008. Revenue increased 25% to $6.3 billion compared to the second quarter of 2007, with core revenue growth of 5.5%. Adjusted diluted EPS increased 17% to $1.92 compared to the prior year. Operating margins declined 130 basis points to 15.5% due to businesses owned for less than one year and acquisition-related charges. The company provided guidance for continued growth in revenue and earnings for the full year 2008.
WEG reported its financial results for the third quarter of 2011. Revenue increased by 9.4% compared to the third quarter of 2010 to R$1.552 billion, with gross profit rising 10.9% and net income up 8.8%. EBITDA grew 16.5% through higher volumes, prices, and an improved product mix. Cash flows remained strong with cash and cash equivalents reaching R$3.086 billion at the end of the quarter. The company also continued expanding production capacity both within Brazil and abroad.
The document contains monthly and yearly sales, revenue, and gross profit data for Ashland Distribution from 2005 to 2009. Sales per shipping day were highest in 2008 at $17.18 million in January and $18.86 million in June on average. Revenue was highest in 2008 as well, reaching $396 million in July. Gross profit percentages declined from 2005 to a low in 2007, but increased again in 2008, with 12-month rolling averages reaching 10.2% in December 2005 and 8.6% in December 2008.
energy future holindings Q107ER_Exhibits_FINALfinance29
TXU reported financial results for the first quarter of 2007, with a net loss of $497 million compared to net income of $576 million in the first quarter of 2006. The 2007 results included special items totaling $941 million related to suspending generation projects and mark-to-market losses on hedging positions. Excluding special items, operational earnings were $444 million in 2007 compared to $529 million in 2006, with the decrease primarily due to lower contribution margin and average retail pricing. TXU also provided highlights of operational excellence achievements and ongoing initiatives in generation, transmission, distribution, and customer service.
Last year was MGM MIRAGE's most financially successful year in history. Earnings and margins increased significantly due to strong performance across its resort portfolio. A major acquisition of Mirage Resorts was also successfully integrated. Looking ahead, while some are concerned about slowing growth without new construction, MGM MIRAGE is well positioned with high quality assets and properties that continue to outperform competitors. The merger of MGM Grand and Mirage Resorts created significant value and synergies for shareholders.
This document is the 2004 annual report for MGM Mirage. It discusses several defining moments in the company's history that have shaped its growth, including opening MGM Grand Hotel and Casino in 1993, acquiring and opening New York-New York Hotel and Casino in 1996, opening Bellagio in 1998, and announcing plans to merge with Mandalay Resort Group and develop the CityCenter project in Las Vegas in 2004. These moments have positioned MGM Mirage for continued leadership and growth in the gaming industry.
energy future holindings TXUMergerPresentation081307finance29
The document is an investor presentation for the proposed merger of TXU. It summarizes that the TXU board determined the merger offer maximized value for shareholders compared to remaining standalone, as the standalone plan would require separating into three businesses that would face challenges. It also notes that the merger terms, including a 50-day market check period with no match rights and fairness opinions, ensured the offer's premium accurately reflected TXU's maximum value. The board concluded the merger premium meaningfully exceeded the valuation of remaining standalone.
This document is Calpine Generating Company's Form 10-Q quarterly report filed with the SEC for the quarter ended March 31, 2005. It includes an index, consolidated balance sheets, statements of operations, and statements of cash flows. It discusses the company's financial results, including a net loss of $30.8 million for the quarter. It also lists numerous subsidiaries and provides certifications from management regarding internal controls.
This document is Calpine Corporation's annual report on Form 10-K for the fiscal year ended December 31, 2006 filed with the U.S. Securities and Exchange Commission. It provides an overview of Calpine's business operations, financial results, risk factors, legal proceedings, executive compensation and other disclosures required by the SEC. Specifically, it discusses Calpine's power generation assets, operations in competitive wholesale power markets, bankruptcy proceedings, and consolidated financial statements.
The document is MGM MIRAGE's 2004 Annual Report. It discusses several defining moments in the company's history that have driven growth, including the 1993 acquisition of Primadonna Resorts which added New York-New York to its portfolio, the opening of Bellagio in 1998, and the 2004 announcement of a merger with Mandalay Resort Group that would create the world's largest gaming company. It highlights ongoing investments in properties like Bellagio, MGM Grand Las Vegas, and The Mirage to enhance the experiences offered. The report also discusses community investments and defining a new era for Las Vegas through the ambitious CityCenter project.
NiSource Inc. delivered strong financial results in 2003, with income from continuing operations of $1.64 per share. It strengthened its balance sheet by selling non-core assets and reducing debt. The company adopted a new organizational structure to focus on its core regulated utility businesses. NiSource aims to continue improving operations, pursuing growth opportunities, and operating responsibly in the communities it serves.
The document summarizes TXU's fourth quarter and full year 2004 earnings discussion. Some key highlights include:
- TXU's financial profile and performance metrics like operational EPS, normalized operating cash flow, and ROIC improved significantly from 2003 to 2004.
- All of TXU's core business segments, including electric delivery, energy, and corporate functions contributed strongly to improved operational earnings in Q4 2004 and full year 2004 compared to the prior year.
- TXU reduced its fixed charges while improving contribution margin from 2003 to 2005 estimates, increasing its contribution margin to fixed charges ratio.
- TXU's debt levels and ratios like total debt to EBITDA improved and are estimated to be top quartile
This document is Calpine Corporation's quarterly report on Form 10-Q for the quarter ended June 30, 2007 filed with the SEC. It includes Calpine's consolidated condensed financial statements, notes to the financial statements, and management's discussion and analysis of financial condition and results of operations. The financial statements indicate that as of June 30, 2007, Calpine had $23.4 billion in total assets and $30.6 billion in total liabilities, of which $28.6 billion were subject to compromise as part of Calpine's Chapter 11 bankruptcy proceedings.
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TXU reported improved financial results for the second quarter and first half of 2006 compared to the same periods in 2005. Operational earnings per share increased 104% for the quarter and 107% year-to-date, driven by higher contribution margins, lower share counts, and other income gains, partially offset by higher expenses. TXU affirmed its outlook for 2006 operational earnings of $5.50-$5.75 per share and a 2% increase for 2007. The company also provided updates on its Power the Future of Texas program to develop new solid-fuel power generation capacity.
TXU's fundamental business strategy is to transform into an industrial energy company focused on delivering top quartile financial performance across its three structurally advantaged businesses: generation, transmission & distribution, and retail. TXU has significant exposure to natural gas prices and heat rates due to its large baseload coal generation fleet, but this exposure is partially offset by its integrated retail business. TXU sees opportunities for mid and long term growth by improving operational excellence, implementing performance management, and optimizing its risk/return profile.
The Sherwin-Williams Company reported strong financial results for 2005, with net sales increasing over $1 billion to $7.19 billion. Net income grew 17.8% to $463.3 million and diluted earnings per share increased over 20% to a record $3.28. All of the Company's business segments experienced sales growth. Sherwin-Williams continued investing in its business through capital expenditures, acquisitions, dividend increases, and share repurchases. Looking ahead to 2006, the Company is optimistic due to strong demand for its paint and coatings products and more stable raw material costs.
The document provides an overview of how electricity market restructuring has impacted the Texas market. It discusses how restructuring led to billions of dollars in investment in new efficient natural gas power plants, increasing generation capacity by over 20 GW. This brought average variable generation costs down significantly from $80/MWh to $45/MWh and reduced system-wide heat rates. The changes created a more competitive market with over 50 retail electricity providers to choose from.
The document provides notice of Calpine Corporation's 2004 Annual Meeting of Stockholders to be held on May 26, 2004. The meeting will address electing three Class II Directors, amending Calpine's Certificate of Incorporation to increase authorized shares, amending stock incentive and purchase plans to increase shares available for grants, and considering three stockholder proposals, as well as ratifying the appointment of PricewaterhouseCoopers as independent accountants. Only stockholders of record as of March 29, 2004 are entitled to vote. A majority of shares is required for a quorum and most matters.
Calpine Corp filed an 8-K report stating that it had identified an error in its financial statements for the third quarter of 2004 and the nine months ended September 30, 2004. Specifically, Calpine overstated its revenues for the period from March 23, 2004 to September 30, 2004 by approximately $16.9 million due to a mistake in calculating capacity payments owed to Calpine under two agreements with Calpine Energy Services. As a result, Calpine determined it had a material weakness in its internal controls over financial reporting and its previous financial statements for the affected periods should no longer be relied upon.
energy future holindings StatisticalSummary2004finance29
TXU Corp. provided a statistical summary for 2004 that included:
- Revenues of $9.3 billion and net income of $485 million.
- Operations were conducted through competitive energy, regulated delivery, and retail energy segments.
- The summary contained financial statements, operating statistics for each segment, and notes.
- Third quarter 2005 earnings discussion presentation by TXU Corp on November 1, 2005
- Key highlights included solid performance across all core businesses, with operational excellence and cost management improvements increasing earnings
- However, rising natural gas prices greatly reduced margins, and an abnormally hot September further increased wholesale power prices and hurt profits
- Financial flexibility measures like EBITDA, debt levels, and cash from operations all improved compared to year-end 2004
This document provides a summary of TXU Corp's third quarter 2005 earnings discussion. Key points include:
- All of TXU's core businesses saw solid performance and earnings growth in the third quarter and year-to-date.
- Operational excellence initiatives like improved production levels, lower fuel costs, and cost management contributed significantly to earnings gains.
- However, high natural gas prices crushed retail margins and wholesale electric prices increased due to an abnormally hot September.
- Financial flexibility measures like EBITDA, cash from operations, and debt-to-EBITDA ratio improved compared to the prior year.
The document provides an earnings discussion and agenda for TXU's second quarter 2006 earnings call. It summarizes improved operational and financial results for the second quarter compared to the prior year. It also provides an update on progress and metrics for TXU's large power generation program, which is aimed at meeting Texas' energy challenges in a cost-effective and environmentally responsible manner. Key benefits of the program's scale are highlighted.
The document contains monthly and yearly sales, revenue, and gross profit data for Ashland Distribution from 2005 to 2009. Sales per shipping day were highest in 2008 at $17.18 million in January and $18.86 million in June on average. Revenue was highest in 2008 as well, reaching $396 million in July. Gross profit percentages declined from 2005 to a low in 2007, but increased again in 2008, with 12-month rolling averages reaching 10.2% in December 2005 and 8.6% in December 2008.
energy future holindings Q107ER_Exhibits_FINALfinance29
TXU reported financial results for the first quarter of 2007, with a net loss of $497 million compared to net income of $576 million in the first quarter of 2006. The 2007 results included special items totaling $941 million related to suspending generation projects and mark-to-market losses on hedging positions. Excluding special items, operational earnings were $444 million in 2007 compared to $529 million in 2006, with the decrease primarily due to lower contribution margin and average retail pricing. TXU also provided highlights of operational excellence achievements and ongoing initiatives in generation, transmission, distribution, and customer service.
Last year was MGM MIRAGE's most financially successful year in history. Earnings and margins increased significantly due to strong performance across its resort portfolio. A major acquisition of Mirage Resorts was also successfully integrated. Looking ahead, while some are concerned about slowing growth without new construction, MGM MIRAGE is well positioned with high quality assets and properties that continue to outperform competitors. The merger of MGM Grand and Mirage Resorts created significant value and synergies for shareholders.
This document is the 2004 annual report for MGM Mirage. It discusses several defining moments in the company's history that have shaped its growth, including opening MGM Grand Hotel and Casino in 1993, acquiring and opening New York-New York Hotel and Casino in 1996, opening Bellagio in 1998, and announcing plans to merge with Mandalay Resort Group and develop the CityCenter project in Las Vegas in 2004. These moments have positioned MGM Mirage for continued leadership and growth in the gaming industry.
energy future holindings TXUMergerPresentation081307finance29
The document is an investor presentation for the proposed merger of TXU. It summarizes that the TXU board determined the merger offer maximized value for shareholders compared to remaining standalone, as the standalone plan would require separating into three businesses that would face challenges. It also notes that the merger terms, including a 50-day market check period with no match rights and fairness opinions, ensured the offer's premium accurately reflected TXU's maximum value. The board concluded the merger premium meaningfully exceeded the valuation of remaining standalone.
This document is Calpine Generating Company's Form 10-Q quarterly report filed with the SEC for the quarter ended March 31, 2005. It includes an index, consolidated balance sheets, statements of operations, and statements of cash flows. It discusses the company's financial results, including a net loss of $30.8 million for the quarter. It also lists numerous subsidiaries and provides certifications from management regarding internal controls.
This document is Calpine Corporation's annual report on Form 10-K for the fiscal year ended December 31, 2006 filed with the U.S. Securities and Exchange Commission. It provides an overview of Calpine's business operations, financial results, risk factors, legal proceedings, executive compensation and other disclosures required by the SEC. Specifically, it discusses Calpine's power generation assets, operations in competitive wholesale power markets, bankruptcy proceedings, and consolidated financial statements.
The document is MGM MIRAGE's 2004 Annual Report. It discusses several defining moments in the company's history that have driven growth, including the 1993 acquisition of Primadonna Resorts which added New York-New York to its portfolio, the opening of Bellagio in 1998, and the 2004 announcement of a merger with Mandalay Resort Group that would create the world's largest gaming company. It highlights ongoing investments in properties like Bellagio, MGM Grand Las Vegas, and The Mirage to enhance the experiences offered. The report also discusses community investments and defining a new era for Las Vegas through the ambitious CityCenter project.
NiSource Inc. delivered strong financial results in 2003, with income from continuing operations of $1.64 per share. It strengthened its balance sheet by selling non-core assets and reducing debt. The company adopted a new organizational structure to focus on its core regulated utility businesses. NiSource aims to continue improving operations, pursuing growth opportunities, and operating responsibly in the communities it serves.
The document summarizes TXU's fourth quarter and full year 2004 earnings discussion. Some key highlights include:
- TXU's financial profile and performance metrics like operational EPS, normalized operating cash flow, and ROIC improved significantly from 2003 to 2004.
- All of TXU's core business segments, including electric delivery, energy, and corporate functions contributed strongly to improved operational earnings in Q4 2004 and full year 2004 compared to the prior year.
- TXU reduced its fixed charges while improving contribution margin from 2003 to 2005 estimates, increasing its contribution margin to fixed charges ratio.
- TXU's debt levels and ratios like total debt to EBITDA improved and are estimated to be top quartile
This document is Calpine Corporation's quarterly report on Form 10-Q for the quarter ended June 30, 2007 filed with the SEC. It includes Calpine's consolidated condensed financial statements, notes to the financial statements, and management's discussion and analysis of financial condition and results of operations. The financial statements indicate that as of June 30, 2007, Calpine had $23.4 billion in total assets and $30.6 billion in total liabilities, of which $28.6 billion were subject to compromise as part of Calpine's Chapter 11 bankruptcy proceedings.
energy future holindings Q206 Earnings Release_Combined_FINALfinance29
TXU reported improved financial results for the second quarter and first half of 2006 compared to the same periods in 2005. Operational earnings per share increased 104% for the quarter and 107% year-to-date, driven by higher contribution margins, lower share counts, and other income gains, partially offset by higher expenses. TXU affirmed its outlook for 2006 operational earnings of $5.50-$5.75 per share and a 2% increase for 2007. The company also provided updates on its Power the Future of Texas program to develop new solid-fuel power generation capacity.
TXU's fundamental business strategy is to transform into an industrial energy company focused on delivering top quartile financial performance across its three structurally advantaged businesses: generation, transmission & distribution, and retail. TXU has significant exposure to natural gas prices and heat rates due to its large baseload coal generation fleet, but this exposure is partially offset by its integrated retail business. TXU sees opportunities for mid and long term growth by improving operational excellence, implementing performance management, and optimizing its risk/return profile.
The Sherwin-Williams Company reported strong financial results for 2005, with net sales increasing over $1 billion to $7.19 billion. Net income grew 17.8% to $463.3 million and diluted earnings per share increased over 20% to a record $3.28. All of the Company's business segments experienced sales growth. Sherwin-Williams continued investing in its business through capital expenditures, acquisitions, dividend increases, and share repurchases. Looking ahead to 2006, the Company is optimistic due to strong demand for its paint and coatings products and more stable raw material costs.
The document provides an overview of how electricity market restructuring has impacted the Texas market. It discusses how restructuring led to billions of dollars in investment in new efficient natural gas power plants, increasing generation capacity by over 20 GW. This brought average variable generation costs down significantly from $80/MWh to $45/MWh and reduced system-wide heat rates. The changes created a more competitive market with over 50 retail electricity providers to choose from.
The document provides notice of Calpine Corporation's 2004 Annual Meeting of Stockholders to be held on May 26, 2004. The meeting will address electing three Class II Directors, amending Calpine's Certificate of Incorporation to increase authorized shares, amending stock incentive and purchase plans to increase shares available for grants, and considering three stockholder proposals, as well as ratifying the appointment of PricewaterhouseCoopers as independent accountants. Only stockholders of record as of March 29, 2004 are entitled to vote. A majority of shares is required for a quorum and most matters.
Calpine Corp filed an 8-K report stating that it had identified an error in its financial statements for the third quarter of 2004 and the nine months ended September 30, 2004. Specifically, Calpine overstated its revenues for the period from March 23, 2004 to September 30, 2004 by approximately $16.9 million due to a mistake in calculating capacity payments owed to Calpine under two agreements with Calpine Energy Services. As a result, Calpine determined it had a material weakness in its internal controls over financial reporting and its previous financial statements for the affected periods should no longer be relied upon.
energy future holindings StatisticalSummary2004finance29
TXU Corp. provided a statistical summary for 2004 that included:
- Revenues of $9.3 billion and net income of $485 million.
- Operations were conducted through competitive energy, regulated delivery, and retail energy segments.
- The summary contained financial statements, operating statistics for each segment, and notes.
- Third quarter 2005 earnings discussion presentation by TXU Corp on November 1, 2005
- Key highlights included solid performance across all core businesses, with operational excellence and cost management improvements increasing earnings
- However, rising natural gas prices greatly reduced margins, and an abnormally hot September further increased wholesale power prices and hurt profits
- Financial flexibility measures like EBITDA, debt levels, and cash from operations all improved compared to year-end 2004
This document provides a summary of TXU Corp's third quarter 2005 earnings discussion. Key points include:
- All of TXU's core businesses saw solid performance and earnings growth in the third quarter and year-to-date.
- Operational excellence initiatives like improved production levels, lower fuel costs, and cost management contributed significantly to earnings gains.
- However, high natural gas prices crushed retail margins and wholesale electric prices increased due to an abnormally hot September.
- Financial flexibility measures like EBITDA, cash from operations, and debt-to-EBITDA ratio improved compared to the prior year.
The document provides an earnings discussion and agenda for TXU's second quarter 2006 earnings call. It summarizes improved operational and financial results for the second quarter compared to the prior year. It also provides an update on progress and metrics for TXU's large power generation program, which is aimed at meeting Texas' energy challenges in a cost-effective and environmentally responsible manner. Key benefits of the program's scale are highlighted.
The document provides an earnings discussion and agenda for TXU's second quarter 2006 earnings call. It summarizes improved operational and financial results for the second quarter compared to the prior year. It also provides an update on progress and metrics for TXU's large power generation program, which is aimed at meeting Texas' energy challenges in a cost-effective and environmentally responsible manner. Key benefits of the program's scale are highlighted.
TXU Power has a structurally advantaged portfolio in ERCOT with 62 TWh of generation, including cost-advantaged lignite and nuclear assets. ERCOT fundamentals are strong with average implied heat rates of 18-21 MMBtu/MWh and robust wholesale power prices of $50-75/MWh. Low coal prices of $2.1-3.8/MMBtu further enhance the economics of TXU Power's generation assets.
The document summarizes an EEI conference presentation by the CEO of TXU. It discusses three phases of TXU's turnaround plan to address challenges in the transition to a competitive energy environment: 1) Risk and return restructuring through asset sales and balance sheet repair, 2) Performance improvement targeting $1.3 billion in savings, and 3) Ongoing value creation. The presentation highlights how execution of the plan through portfolio management, risk management, and performance management has created over $15 billion in shareholder value. It also outlines TXU's strategic principles focused on structurally advantaged assets, industrial performance, and scale.
TXU's earnings and cash flow improved substantially in 2005 compared to 2004. Operational earnings per share increased 136% year-to-date and normalized operating cash flow grew 42% year-to-date. This solid performance reflected gains across TXU's core businesses of TXU Energy Holdings, TXU Electric Delivery, and TXU Power. As part of its turnaround, TXU also significantly improved its risk profile and focused on infrastructure, technology, and growth investments to boost reliability and lower costs.
TXU's earnings and cash flow improved substantially in 2005 compared to 2004. Operational earnings per share increased 136% year-to-date and normalized operating cash flow grew 42% year-to-date. This solid performance reflected gains across TXU's core businesses of TXU Energy Holdings, TXU Electric Delivery, and TXU Power. As part of its turnaround, TXU also significantly improved its risk profile and focused on infrastructure, technology, and growth investments to boost reliability and lower costs.
This document provides an overview of TXU's first quarter 2006 earnings discussion. It highlights improved operational earnings compared to the first quarter of 2005, driven by record production levels at TXU Power's lignite and nuclear units. It also summarizes new electricity product offerings introduced by TXU Energy in North Texas to establish TXU as the leader among Texas incumbents. Additionally, it outlines six key drivers of attractive returns for TXU's clean coal investment program and how hedging protects a portion of the value while retaining upside potential from commodity price moves.
This document provides an overview of TXU's first quarter 2006 earnings discussion. It highlights improved operational earnings compared to the first quarter of 2005, driven by record production levels at TXU Power's lignite and nuclear units. It also summarizes new electricity product offerings introduced by TXU Energy in North Texas to establish TXU as the leader among Texas incumbents. Additionally, it outlines six key drivers of attractive returns for TXU's clean coal investment program and how hedging protects a portion of the value while retaining upside potential from commodity price moves.
The document summarizes 3Q12 financial highlights and subsequent events for BR Properties. Key points include:
- 3Q12 net revenues increased 83% year-over-year to R$168 million due to additional rental revenues from new properties.
- Adjusted EBITDA was R$156.4 million, up 84% year-over-year, with a margin of 93%.
- In July, BR Properties issued R$600 million in local debentures and prepaid/refinanced R$364.5 million of debt.
- Several non-income producing properties are expected to deliver throughout 2012-2014, representing potential additional annual revenue of R$300 million.
The document summarizes the key highlights from BR Properties' 2Q12 earnings release presentation. It notes that revenues increased 93% year-over-year due to properties merged from One Properties. Adjusted EBITDA grew 90% and net income was impacted by gains on investment property appraisals. The portfolio market value reached over R$12 billion and several properties were acquired, leased, and sold during the quarter. Non-income producing properties were highlighted that could generate over R$437 million in potential annual revenue once delivered and leased.
6 Prudential's "Inside Our Best Ideas" Conferencefinance10
This document discusses 3M's strategy for growth through customer value enhancement and operational excellence. It summarizes 3M's historical financial performance, showing increasing margins, earnings per share, and return on invested capital. 3M's strategy focuses on growing its core businesses, pursuing complementary acquisitions, expanding into adjacencies, and international growth. 3M aims to drive growth and share gains by enhancing customer competitiveness, business returns, and brand value.
The document discusses EDP Energias do Brasil's history and operations in the Brazilian power sector, including its generation, distribution, and commercialization businesses. It provides financial and operational data for 2008 that shows EDP has a large presence in Brazil as the 5th largest private generator, 4th largest private distributor, and 3rd largest private trading company. The document also gives an overview of the growth trends in Brazil's power sector and generation sources.
EDP Energias do Brasil reported its 2Q09 results. Key highlights include: 4%
- EBITDA of R$344 million and net income of R$213 million
- Energy volume sold by generation business up 29% year-over-year 18%
- Unveiling of full commercial operations at Santa Fé SHP
- Net revenue fell 1% due to elimination of Enersul figures 78%
- Manageable expenses down 12% for the sixth quarter in a row
- Approval and signature of long-term financing for Pecém I project
Bonds
BNDES/IDB
The presentation provides financial and operational details on EDP
energy future holindings txu_110906slidesfinance29
This document discusses TXU's third quarter 2006 earnings. It provides an overview of operational highlights, including record production levels at nuclear and lignite plants. It also discusses ongoing investments in electric delivery infrastructure and customer-focused programs. The presentation outlines TXU's plans to reinvest more than 135% of earnings over the next five years in new generation facilities, positioning the company as one of Texas' largest investors and driving economic growth across the state through capital expenditures and new jobs.
energy future holindings txu_110906slidesfinance29
1) The document discusses TXU Corp.'s third quarter 2006 earnings. It provides an overview of operational highlights and financial results for the quarter.
2) Key operational metrics like nuclear, lignite, and electricity delivery were up for the quarter and year-to-date. TXU is also reinvesting over 135% of earnings back into Texas through a large capital investment program projected to create over 50,000 jobs.
3) Financially, TXU Energy Holdings contributed $1.93 per share in operational earnings for the quarter, up 105% year-over-year. Total costs were down slightly. Cash flow and debt measures also significantly improved in the quarter.
Calpine Corporation reported its third quarter 2008 earnings results. The company achieved excellent operational performance during Hurricane Ike with nearly 97% plant availability in Texas. Calpine also effectively managed commodity price and counterparty credit risks during the financial crisis. The company's near-term strategy focuses on retaining skilled employees, operational excellence, optimizing existing assets, expanding its portfolio, and leveraging expertise in geothermal energy. Calpine reported strong third quarter 2008 operations results with industry-leading safety, reliability, efficiency, and output.
Calpine Corporation reported third quarter 2008 earnings results. Key highlights included record operating revenues of $3.2 billion, a 37% increase over third quarter 2007. Adjusted EBITDA was a record $593 million, a 17% increase. Cash flow from operations was also a record at $941 million. The company achieved excellent operational performance during the quarter despite hurricanes. Calpine provided guidance for full-year 2008 adjusted EBITDA of $1.65-1.675 billion and discussed near-term strategies around hedging, operations excellence, and growth opportunities.
The document provides operating and financial results for 2Q12. Key highlights include:
- CEMAR's billed energy volume increased 12.5% year-over-year to 1,201 GWh in 2Q12.
- CEMAR's energy losses decreased to 20.4% of required energy in 2Q12, down 1.0 percentage point.
- Adjusted EBITDA was R$115.2 million in 2Q12, up 4.3% from 2Q11, while adjusted net income decreased 11.6% to R$38.8 million.
This document provides an overview of Chesapeake Energy Corporation (CHK) from a March 2009 investor presentation. It summarizes that CHK is a leading producer of natural gas in the US, with production of over 2 billion cubic feet per day. It has top-quality assets in major shale plays like the Haynesville, Marcellus, Barnett, and Fayetteville, giving it low finding and development costs. Joint venture deals have also provided significant value for the company while improving its balance sheet. Looking ahead, CHK expects to continue increasing production and reserves at a low cost despite the economic downturn.
The document contains a single number - 5.5% - which appears to indicate a percentage or rate of some kind. No other context or details are provided that would help explain what the given percentage refers to.
The document contains a single number - 5.5% - which appears to indicate a percentage or rate of some kind. No other context or details are provided that would help explain the meaning or significance of this number.
This document provides an overview of Chesapeake Energy Corporation (CHK) from a March 2009 investor presentation. It summarizes that CHK is a leading producer of natural gas in the US, with production of over 2 billion cubic feet per day. It has top-quality assets in major shale plays like the Haynesville, Marcellus, Barnett, and Fayetteville shales. CHK has captured value through joint venture deals in these plays while maintaining high production growth rates and low finding costs. The document outlines CHK's competitive advantages that position it well during an economic downturn.
This document provides an overview of Chesapeake Energy Corporation (CHK) from a March 2009 investor presentation. It summarizes that CHK is a leading producer of natural gas in the US, with production of over 2 billion cubic feet per day. It has top-quality assets in major shale plays like the Haynesville, Marcellus, Barnett, and Fayetteville shales. CHK has captured value through joint venture deals in these plays while maintaining high production growth rates and low finding costs. The document outlines CHK's competitive advantages that position it well during an economic downturn.
The document contains a single number - 5.5% - which appears to indicate a percentage or rate of some kind. No other context or details are provided, so a concise 3 sentence summary cannot capture much meaningful information from this very brief document.
The document contains a single number - 5.5% - which appears to indicate a percentage or rate of some kind. No other context or details are provided that would help explain what the given percentage refers to.
This document provides an overview of Chesapeake Energy Corporation (CHK) from a March 2009 investor presentation. It summarizes that CHK is a leading producer of natural gas in the US, with production of over 2 billion cubic feet per day. It has top-quality assets in major shale plays like the Haynesville, Marcellus, Barnett, and Fayetteville, giving it low finding and development costs. Joint venture deals have also provided significant value for the company while improving its balance sheet. Looking ahead, CHK expects to continue increasing production and reserves at a low cost despite the economic downturn.
This document contains selected historical net revenue and EBITDA data by resort for MGM MIRAGE and its subsidiaries. It shows that for the quarter ending September 30, 2004, Mandalay Bay had the highest net revenue of $194,864,000 and EBITDA of $47,807,000. Overall for 2004, Mandalay Bay had the highest annual net revenue of $823,464,000 and EBITDA of $241,512,000 among all the listed resorts. The data is broken out by quarter and resort, with notes on what properties are included in certain categories.
This document provides pro forma net revenues and EBITDA by resort for MGM MIRAGE and subsidiaries for the second quarter and first half of 2005 and 2004. It shows that the Bellagio and MGM Grand Las Vegas resorts generated the highest net revenues and EBITDA amounts both quarterly and year-to-date. Additional data includes pro forma results for other Nevada properties, MGM Grand Detroit, and Mississippi properties including Beau Rivage and Gold Strike Tunica. Schedules also reconcile operating income to EBITDA for the periods presented.
This document provides supplemental data on net revenues and EBITDA by resort for MGM MIRAGE and its subsidiaries. It shows that for the second quarter of 2005, net revenues increased over 60% and EBITDA increased over 47% compared to the same period in 2004. The largest contributors to net revenues and EBITDA were the Bellagio, MGM Grand Las Vegas, and other Las Vegas Strip properties. EBITDA margins expanded as several new acquisitions were integrated into operations.
This document provides supplemental financial data for MGM MIRAGE, including net revenues and property EBITDA by resort on the Las Vegas Strip for Q1 2007 and Q1 2006. It also includes hotel operating statistics like occupancy rates and average daily rates for their Strip properties. Revenues increased for most properties in 2007 compared to 2006. CityCenter had a loss of $14 million in property EBITDA in Q1 2007 due to ongoing preopening and start-up expenses.
2. Slide 1: Safe Harbor Statement & Regulation G
This presentation contains forward-looking statements, which are
subject to various risks and uncertainties. Discussion of risks and
uncertainties that could cause actual results to differ materially from
management's current projections, forecasts, estimates and
expectations is contained in the Company's earnings release and
SEC filings.
Regulation G
This presentation includes certain non-GAAP financial measures. A
reconciliation of these measures to the most directly comparable
GAAP measure is included in the appendix of the printed version of
the slides and the version included on the company’s website at
www.txucorp.com under Investor Resources/Presentations.
3. Slide 2: Solid Performance By All Core Businesses …
Operational Earnings Contribution by Segment
Q2 04 vs. Q2 05; YTD 04 vs. YTD 05; $ per diluted share
TXU Corp. Consolidated TXU Corp. Consolidated
2.58
1.57
208% 177%
0.93
208% 177%
0.51
Q2 04 Q2 05 YTD 04 YTD 05
TXU Energy Holdings TXU Energy Holdings
2.27
1.43
0.78
218% 191%
218% 191%
0.45
Q2 04 Q2 05 YTD 04 YTD 05
TXU Electric Delivery TXU Electric Delivery
0.35 0.65
0.18 94% 86%
0.35
94% 86%
Q2 04 Q2 05 YTD 04 YTD 05
4. Slide 3: … Enabled By An Industrial Skill Set
Market Leadership
Operational Excellence Risk/Return Mindset
• Superior customer
• Top decile throughput • Strict capital allocation
service/ brand discipline
• World class industrial
management
production costs • Risk/return
• Customer segmentation restructuring
• Industry leading
and pricing
reliability • Commodity risk
• Distinctive commodity management
• Lean corporate SG&A
sourcing
Performance Management
• High performance culture
• Integrated performance measurement system
• Employee development
• Incentives linked to key value drivers
5. Slide 4: Operational Excellence Is Reflected In Improved Production
Levels …
Lignite Units Nuclear Units
Capacity Factor1 Capacity Factor1
Q2 04 vs. Q2 05; percent Q2 04 vs. Q2 05; percent
96.2
101.4
92.9 98.5
4% 3%
4% 3%
Q2 04 Q2 05 Q2 04 Q2 05
Plant Outage Days- Planned Plant Outage Days- Planned
Q2 04 vs. Q2 05; days Q2 04 vs. Q2 05; days
33.3
63.5
62.1
27.0
19%
19%
2%
2%
Q2 05
Q2 04 Q2 05 Q2 04
Improved production results added ~ $30 million of contribution margin for the quarter.
Improved production results added ~ $30 million of contribution margin for the quarter.
1 Excludes planned outages and economic back-down.
6. Slide 5: … And Improved Productivity And Cost Management
Lignite Fuel Costs Nuclear Fuel Costs
Q2 04 vs. Q2 05; $/MWh Q2 04 vs. Q2 05; $/MWh
12.36 12.02
4.25 4.20
1%
3% 1%
3%
Q2 04 Q2 05 Q2 04 Q2 05
SG&A Expense1 – TXU Energy Holdings
Operating Costs – TXU Energy Holdings
Q2 04 vs. Q2 05; $ millions Q2 04 vs. Q2 05; $ millions
200 160
113
12% 29%
12% 29%
177
Q2 04 Q2 05 Q2 04 Q2 05
Improved costs results added ~ $74 million of EBIT for the quarter.
Improved costs results added ~ $74 million of EBIT for the quarter.
1 Q2 04 excludes $3 million of special items.
7. Slide 6: TXU Energy’s Operational Metrics Improved For The Quarter …
Call Answer Times PUC Complaints/100K Customers
Q2 04 vs. Q2 05; seconds Q2 04 vs. Q2 05; number of
27 22
21
5%
56% 5%
56%
12
Q2 04 Q2 05
Q2 04 Q2 05
Time In IVR Retail Bad Debt
Q2 04 vs. Q2 05; seconds Q2 04 vs. Q2 05; $ millions
20
99
21% 55%
21% 55%
78
9
Q2 04 Q2 05
Q2 04 Q2 05
Source: PUC complaint data via Regulatory Compliance Services; TXU Energy
8. Slide 7: … As Commodity Prices Continue To Challenge Retail
Economics
Gas Prices: NYMEX vs. Embedded PTB Fuel Factor
Q2 04 vs. Q2 05; $/MMBtu
N. Texas Residential
NYMEX 12 month PTB
Q2 04 Q2 05
forward curve
8.50 Economics
Average gas
8.00
8.61
price
($/MMBtu)1
7.50
Gas price
7.87
embedded in
7.00
PTB ($/MMBtu)
6.50 Headroom at
3%
average gas
6.00 price2
Fuel Factor Adjustment Net margin3 (2)%
5.50 (FFA) to $7.87
5.00
Apr-04 Jul-04 Oct-04 Jan-05 Apr-05 Jul-05
1 NYMEX 12 month strip as of 08/01/05 closing.
2 Based on average customer usage of ~16,000 kWh/yr. Headroom defined as PTB rate – cost of energy (avg. NYMEX 12 mo. strip x 8.0 heat rate x
assumed 25% - 28% for load shaping, congestion, line losses and other ancillary costs) - avg. wires cost (based on published TXU Electric Delivery
Rates, excluding clawback).
3 Net margin includes impact of SG&A, bad debt, income taxes at 35% rate, revenue taxes of 1.8%.
Source: NYMEX, PUC, TXU Energy estimates
9. Slide 8: Sustaining The Profitability Of Competitive Offers Is
Challenging In This Commodity Environment
Campaign Economics1 - Illustrative
05; mixed measures
Date June 1 July 1 Aug 1 Timing of
campaign
Gas Price ($/MMBtu) 7.04 7.74 8.61
alone can
Heat Rate (MMBtu/MWh) 7.8 8.1 8.0
considerably
Headroom2 (%) 18 10 3 change the
outlook of the
Discount (%) -7 -7 -7
opportunity3
Gross Margin (%) 11 3 -4
1 Based on average customer usage of ~16,000 kWh/yr.
2 Headroom defined as PTB rate less cost of energy (avg. NYMEX 12 month strip x heat rate x assumed 25% - 28% for load shaping, congestion, line
losses and other ancillary costs) less average wires cost (based on published TXU Electric Delivery Rates, excluding clawback).
3 Example highlights commodity considerations. A complete opportunity evaluation would need to include additional campaign costs (customer
incentives, cost of acquisition, bad debt, SG&A) and campaign risks (campaign performance, load forecasting, incremental price volatility, wires
rates, early termination, and execution/operations).
Source: NYMEX, PUC, TXU Energy estimates
10. Slide 9: Customer Churn Is Driven In Part By Competitive Intensity
And Bad Debt Management
Higher customer loss rates driven by … are more than offset by customer mix
collections and competitor activity … and bad debt improvements
Customer Churn1 Retail Bad Debt Expense
1H 03-1H 05; percent 03-05E; $ millions
4.4
3.9
120
22% 41%
95
2.2
55-65
78% 54%
59%
46%
04
03 05E
1H03 1H05
1H04
Premise losses due to collections related activities
Premise losses due to competitive activities
Full-year retail bad debt is expected to be $30-40 million less than 2004.
Full-year retail bad debt is expected to be $30-40 million less than 2004.
At headroom levels of 10% (headroom at current forward curves is 3%), this is
At headroom levels of 10% (headroom at current forward curves is 3%), this is
economically equivalent to more than 10% customer churn.11
economically equivalent to more than 10% customer churn.
1 Native residential excluding drops to AREP.
11. Slide 10: Applying The Risk Return Mindset Has Resulted In Significant
Improvement In TXU’s Risk Profile
Major Business Risks
03-05; $ billions and $ per share
December 03
• Underwater gas hedge
• Poor financial forecasting
• Poor performance management
• High fixed costs
• Poor customer service
• Underfunded capital programs
October 04
• Weak governance
• Uneconomic leases/contracts • Uneconomic leases/contracts
• Litigation • Litigation
• Unregulated pension costs • Unregulated pension costs
• Above market OPEB • Above market OPEB
• Substantial bad debt • Substantial bad debt
June 05
• Legislative risk • Legislative risk
• Single plant nuclear risk
• Single plant nuclear risk • Single plant nuclear risk
• Environmental risk
• Environmental risk • Environmental risk
• Gas price/heat rate risk
• Gas price/heat rate risk • Gas price/heat rate risk
05E normalized FCF per share $2.52 $3.75 $7.00 – $7.45
Enterprise value $18.7 billion $27.8 billion $32.6 billion
12. Slide 11: Electric Delivery Operational Earnings Improved Substantially
Electric Delivery Segment - Operational Earnings Reconciliation
Q2 04 to Q2 05; $ millions and $ per share
Earnings Factor $ Millions $ Per Share
60 0.18
Q2 04 operational earnings
Contribution margin (revenues) 46 0.14
Operating costs (1) -
(25) (0.08)
Depreciation and amortization
SG&A 9 0.03
Franchise and revenue based taxes 3 0.01
Other income and deductions (3) (0.01)
Net interest 3 0.01
Income taxes (6) (0.02)
Effect of reduced shares - 0.09
Q2 05 operational earnings 86 0.35
13. Slide 12: TXU Corp. Earnings Improved Substantially
Reported Earnings Per Share Operational Earnings Per Share
Q2 04 vs. Q2 05; $ per diluted share Q2 04 vs. Q2 05; $ per diluted share
1.39
1.57
208%
208%
0.51
(1.87)
Q2 04 Q2 05
Q2 04 Q2 05
Reported Earnings Operational Earnings
Q2 04 vs. Q2 05; $ millions Q2 04 vs. Q2 05; $ millions
375
381
127%
127%
168
(598)
Q2 04 Q2 05 Q2 04 Q2 05
14. Slide 13: TXU Corp. Operational Earnings Improved In Each Segment
Consolidated – Operational Earnings Reconciliation
Q2 04 to Q2 05; $millions and $ per share after tax
Earnings Factor $ Millions $ Per Share
168 0.51
Q2 04 operational earnings
Energy Holdings segment 197 0.58
Electric Delivery segment 26 0.08
(10) (0.03)
Corporate expenses
Effect of reduced shares - 0.43
Q2 05 operational earnings 381 1.57
15. Slide 14: Energy Holdings Operational Earnings Improved Substantially
Energy Holdings Segment - Operational Earnings Reconciliation
Q2 04 to Q2 05; $ millions and $ per share
Earnings Factor $ Millions $ Per Share
150 0.45
Q2 04 operational earnings
Contribution margin 244 0.72
Operating costs 23 0.07
11 0.03
Depreciation and amortization
SG&A 47 0.14
Franchise and revenue based taxes 3 0.01
Other income and deductions (12) (0.04)
Net interest 3 0.01
Income taxes (122) (0.36)
Effect of reduced shares - 0.40
Q2 05 operational earnings 347 1.43
16. Slide 15: TXU Corp. Financial Flexibility Measures And Cash From
Operations Continue To Improve
Consolidated – Financial Flexibility Measures
Twelve Months Ended 6/30/05 and 6/30/04; $ millions and ratios
Financial Flexibility Measure 6/30/05 6/30/04 Change % Change
EBITDA1 3,220 2,466 754 30.6
Cash interest expense 712 721 (9) (1.2)
Debt 2 12,784 12,287 497 4.0
EBITDA/interest 4.5 3.4 1.1 32.4
Debt/EBITDA 4.0 5.0 (1.0) (20.0)
Consolidated – Cash and Free Cash Flow
YTD 05 and YTD 04; $ millions
Cash Flow Factor YTD 05 YTD 04 Change % Change
Cash provided by operating activities 594 487 107 22.0
Capital expenditures (507) (355) (152) (42.8)
Nuclear fuel (26) (47) 21 44.7
Free cash flow 61 85 (24) (28.2)
1 Adjusted for special items as shown on Table 12.
2 Excludes transition bonds and debt-related restricted cash as shown on Tables 11 and 12.
17. Slide 16: Forward Natural Gas Prices And Heat Rates Increased In
The Second Quarter And Year-To-Date
NYMEX NG Contract Prices1 ERCOT North Zone 7x24 Heat Rates2
12/31/04 to 8/01/05; $/MMBtu 12/31/04 to 8/01/05; MMBtu/MWh
8.30
8.50 Cal 06 Cal 06
Cal 07 Cal 07
8.00 8.10
MMBtu/MWh
7.50
$/MMBtu
7.90
7.00
6.50
7.70
6.00
5.50 7.50
12/04 2/05 4/05 6/05 8/053
12/04 2/05 4/05 6/05 8/053
Declining ERCOT reserve margins have caused market heat-rates to expand. This
Declining ERCOT reserve margins have caused market heat-rates to expand. This
expansion combined with increasing natural gas prices has driven aasignificant
expansion combined with increasing natural gas prices has driven significant
increase in ERCOT forward power prices.
increase in ERCOT forward power prices.
1 NYMEX close prices for forward 12 month calendar strip as of dates indicated.
2 TXU forward price curve for 12 month calendar strip as of dates indicated. Curves are derived from OTC market-observed prices.
3 8/05 prices as of close of business 8/1/05.
18. Slide 17: TXU’s Natural Gas Position Is Balanced In 05 But Becomes
Long Over Time…
05 Nat Gas 06 Nat Gas 07 Nat Gas
Position1,5 Position1 Position1
Million MMBtu Million MMBtu Million MMBtu
Baseload production 480 490 480
Gas plants2 0 0 0
PPAs/tolls/other3 13 5 0
Total sources 493 495 480
Retail4 (488) (405-425) (350-365)
Net position 5 70-90 115-130
TXU’s exposure to natural gas prices goes from long 5 million MMBtu in 2005 to
TXU’s exposure to natural gas prices goes from long 5 million MMBtu in 2005 to
long 115-130 million MMBtu in 2007 (in other words, a +/-$1/MMBtu shift in the
long 115-130 million MMBtu in 2007 (in other words, a +/-$1/MMBtu shift in the
2007 natural gas price curve impacts EBITDA by +/-$115-$130 million).
2007 natural gas price curve impacts EBITDA by +/-$115-$130 million).
1 Estimate based on projected market heat rates, price-to-beat volumes net of churn rates, planned production levels, and current contract positions.
2 Since TXU gas plants run close to the margin (when market heat rate approx=plant heat rate) the net position is approximately 0. If gas plants are
able to run at more positive spark spreads, they will make the gas equivalent position longer.
3 Other items include wholesale heat rate positions that do not create incremental natural gas price exposure.
4 Assumes no fuel factor adjustment.
5 05 numbers are representative of full year positions. 05 net positions show positions as of June 30, 2005.
19. Slide 18: … As Does The Company’s Heat Rate Position
05 Heat Rate 06 Heat Rate 07 Heat Rate
Position1,3 Position1 Position1
TWh TWh TWh
Baseload production 60 62 60
Gas plants 8 8 10
PPAs/tolls/other 9 4 4
Total sources 77 74 74
Retail2 (61) (52-54) (44-46)
Net underlying position 16 20-22 28-30
TXU’s exposure to ERCOT market heat rates grows from being long 16 TWh in
TXU’s exposure to ERCOT market heat rates grows from being long 16 TWh in
2005 to being long 28-30 TWh in 2007.
2005 to being long 28-30 TWh in 2007.
1 Estimate based on projected price-to-beat volumes net of churn rates, planned production levels, and current contract positions.
2 Assumes no fuel factor adjustment.
3 05 numbers are representative of full year positions. 05 net positions show positions as of June 30, 2005.
20. Slide 19: The Increases In Natural Gas Prices And Heat Rates Positively
Impact TXU
Estimated EBITDA Impact Relative to 2006 Guidance
06E; $ millions
Gas price ($/MMBtu)
Heat rate
7.711 8.572
4.00 6.00 8.00
(MMBtu/MWh)
9.0 (188) 27 210 242 303
As of
8.052 (267) (93) 57 82 132
August 1st, 2005
7.71 (297) (137) 0 23 69
7.5 (314) (162) (32) (10) 33
As of
March 31st, 2005
Based on current curves/position estimates, the following thumbrules apply22:
Based on current curves/position estimates, the following thumbrules apply:
Gas price: +/- $1/MMBtu ~ +/- 80 million in EBITDA in 06
Gas price: +/- $1/MMBtu ~ +/- 80 million in EBITDA in 06
Heat rate: +/- 11MMBtu/MWh ~ +/- $180 million in EBITDA in 06
Heat rate: +/- MMBtu/MWh ~ +/- $180 million in EBITDA in 06
1 Based on forward curves as of March 31st, 2005.
2 Based on forward curves as of August 1st, 2005.
21. Slide 20: TXU’s Financial Profile Has Significantly Improved
Normalized OCF2
Operational EPS1 Normalized FCF3
03-05E; $ billions
03-05E; $ per share 03-05E; $ billions
1.7-1.8
2.6-2.7
6.25-6.45
2.0 1.0
1.5
2.82 0.7
77%
302% 150%
77%
302% 150%
1.58
03 04 05E
03 04 05E 03 04 05E
ROIC1 EBITDA1/interest Total debt4/EBITDA1
03-05E; percent 03-05E; ratio 03-05E; percent
14.6
5.1
4.8-4.9
4.2
4.0
8.4 3.0-3.2 39%
62%
3.0 39%
161% 62%
161%
5.6
03 04 05E 03 04 05E 03 04 05E
1 Results are from continuing operations excluding special items.
2 2003 normalized operating cash flow (OCF) ($2.4B) excluding cash tax refund ($0.6B) and 2002 collections; 2004 normalized OCF ($1.8B) excluding
special items (-$0.3B); 2005 normalized OCF excludes an estimated $125 million of special items.
3 Normalized free cash flow is defined as normalized operating cash flow less capital expenditures and nuclear fuel.
4 Total debt excludes transition bonds.
22. Slide 21: Understanding TXU’s Short-Term Growth Outlook
Component $ Per Share
05E guidance midpoint (4th quarter 04) 5.75
Expected growth 05E-06E (16%-20%) 0.90 – 1.15
06E guidance (4th quarter 04) 6.65 – 6.90
Higher natural gas and wholesale prices1 1.20
Pro forma 06E 7.85 – 8.10
Increased share count2 (0.10)
Increased churn and demand elasticity (0.15)
Contingency (0.25)
Current 06E guidance3 7.35 - 7.60
Commodity movements 0.35
06E guidance at 8/1 commodity prices 7.70 - 7.95
Initial revised guidance based on Cal 06 natural gas price of $7.07/MMBtu
Initial revised guidance based on Cal 06 natural gas price of $7.07/MMBtu
Based on 8/1/05 Cal 06 gas price of $8.57/MMBtu, the new range would be $7.70 -$7.95
Based on 8/1/05 Cal 06 gas price of $8.57/MMBtu, the new range would be $7.70 -$7.95
1 Includes increased wholesale prices due to higher gas prices, and fuel factor adjustments to $7.87/MMBtu natural gas.
2 Includes change in dilution due to long-term compensation, increase in share price, other.
3 TXU plans to conduct a detailed review of the 06 business plan over the summer and provide an updated outlook in the fall.
25. Table 1: TXU Corp. Operational Earnings Reconciliation
Quarter Ended June 30, 2005 and 2004
$ millions and $ per share after tax
Q2 05 Q2 05 Q2 04 Q2 04
Net income (loss) available for common 375 1.39 (598) (1.87)
Discontinued operations 4 0.02 (330) (1.03)
Extraordinary gain - - (16) (0.05)
Buyback premium on EPMI - - 849 2.65
Preference stock dividends 4 0.02 5 0.02
Income (loss) from continuing operations 383 1.43 (90) (0.28)
Effect of ASR true-up - 0.15 - -
Effect of share dilution - - - 0.03
Preference stock dividends (4) (0.02) (5) (0.02)
Special items 2 0.01 263 0.78
Operational earnings 381 1.57 168 0.51
26. Table 2: TXU Corp. Operational Earnings Reconciliation
Year-To-Date June 30, 2005 and 2004
$ millions and $ per share after tax
YTD 05 YTD 05 YTD 04 YTD 04
Net income (loss) available for common 791 1.21 (425) (1.32)
Discontinued operations (11) (0.05) (380) (1.18)
Extraordinary gain - - (16) (0.05)
Buyback premium on EPMI - - 849 2.64
Preference stock dividends 10 0.04 11 0.03
Income (loss) from continuing operations 790 1.20 39 0.12
Effect of ASR true-up - 2.05 - -
Effect of share dilution/rounding - - - 0.04
Preference stock dividends (10) (0.04) (11) (0.03)
Special items (152) (0.63) 288 0.80
Operational earnings 628 2.58 316 0.93
27. Table 3: TXU Energy Holdings Operational Earnings Reconciliation
Quarter Ended June 30, 2005 and 2004
$ millions and $ per share after tax
Q2 05 Q2 05 Q2 04 Q2 04
Net income (loss) available for common 344 1.42 (46) (0.14)
Discontinued operations 1 - 27 0.08
Income (loss) from continuing operations 345 1.42 (19) (0.06)
Special items 2 0.01 169 0.50
Effect of share dilution/rounding - - - 0.01
Operational earnings 347 1.43 150 0.45
28. Table 4: TXU Energy Holdings Operational Earnings Reconciliation
Year-To-Date June 30, 2005 and 2004
$ millions and $ per share after tax
YTD 05 YTD 05 YTD 04 YTD 04
Net income (loss) available for common 544 2.24 67 0.21
Discontinued operations 4 0.02 30 0.09
Income (loss) from continuing operations 548 2.26 97 0.30
Effect of ASR true-up/rounding - (0.01) - -
Effect of share dilution/rounding - - 1 (0.02)
Special items 4 0.02 180 0.50
Operational earnings 552 2.27 278 0.78
29. Table 5: TXU Electric Delivery Operational Earnings Reconciliation
Quarter Ended June 30, 2005 and 2004
$ millions and $ per share after tax
Q2 05 Q2 05 Q2 04 Q2 04
Net income (loss) available for common 86 0.35 63 0.20
Extraordinary gain - - (16) (0.05)
Income (loss) from continuing operations 86 0.35 47 0.15
Effect of share dilution/rounding - - - (0.01)
Special items - - 13 0.04
Operational earnings 86 0.35 60 0.18
30. Table 6: TXU Electric Delivery Operational Earnings Reconciliation
Year-To-Date June 30, 2005 and 2004
$ millions and $ per share after tax
YTD 05 YTD 05 YTD 04 YTD 04
Net income (loss) available for common 157 0.65 129 0.40
Extraordinary gain - - (16) (0.05)
Income (loss) from continuing operations 157 0.65 113 0.35
Effect of share dilution/rounding - - - (0.04)
Special items 1 - 13 0.04
Operational earnings 158 0.65 126 0.35
31. Table 7: TXU Corp. Operational Earnings Reconciliation
Twelve Months Ended December 31, 2004 and 2003
$ per share after tax
04 03
Net income (loss) available for common (1.29) 1.62
Discontinued operations (1.26) (0.20)
Extraordinary gain (0.05) -
Cum. effect of changes in accounting principles (0.03) 0.15
Premium on EPMI 2.83 -
Preference stock dividends 0.07 0.06
Income from continuing operations 0.27 1.63
Preference stock dividends (0.07) (0.06)
Effect of diluted shares calculation 0.04 0.01
Special items 2.58 -
Operational earnings 2.82 1.58
32. Table 8: TXU Energy Holdings SG&A Reconciliation
Quarter Ended June 30, 2005 and 2004
$ millions and $ per share after tax
Q2 05 Q2 04
Selling, general and administrative expenses 113 163
Special items - (3)
Operational selling, general and administrative expenses 113 160
33. Table 9: TXU Corp. Normalized Operating and Free Cash Flow
Twelve Months Ended December 31, 2004 and 2003
$ millions
04 03
Cash provided by operating activities 1,758 2,413
Special items 284 -
2003 tax refund - (601)
2002 collections in 2003 - (337)
Normalized operating cash flow 2,042 1,475
Capital expenditures (912) (721)
Nuclear fuel (87) (44)
Normalized free cash flow 1,043 710
34. Table 10: TXU Corp. Return On Average Invested Capital Calculation
Twelve Months Ended December 31, 2004 and 2003
$ millions unless otherwise noted
04 03 Ref
Net income 485 582
After-tax interest expense and related charges net of interest income 434 486
Total return (based on net income) 919 1,068 A
Operational earnings 887 544
Preference stock dividends 22 22
After-tax interest expense and related charges net of interest income(1) 434 486
Total return (based on operational earnings) 1,343 1,052 B
Average total capitalization 16,019 18,831 C
Return on average invested capital–based on net income - % (A/C) 5.7 5.7
Return on average invested capital–based on operational earnings - % (B/C) 8.4 5.6
___________
(1)After-tax interest expense and related charges net of interest income
Interest expense 695 784
Interest income (28) (36)
Net 667 748
Tax at 35% 233 262
Net of tax 434 486
35. Table 11: TXU Corp. Total Debt
Years Ended June 30, 2005, 2004 and December 31, 2004, 2003
$ millions
6/30/05 12/31/04 6/30/04 12/31/03
Debt
Notes payable 1,320 210 2,675 -
Long-term debt due currently 1,313 229 534 678
Long-term debt held by sub Trusts - - 309 546
All other long-term debt, less due currently 11,325 12,412 10,463 10,608
Preferred securities of subs 38 38 113 759
Total debt 13,996 12,889 14,094 12,591
36. Table 12: TXU Corp. Interest and Debt Coverage Ratios
Twelve Months Ended June 30, 2005, 2004 and December 31, 2004, 2003
$ millions unless otherwise noted
6/30/05 12/31/04 6/30/04 12/31/03 Ref
Income from continuing operations before taxes and extraordinary items 1,124 123 493 818
Interest expense and related charges 721 695 739 784
Interest income (41) (28) (27) (36)
Depreciation and amortization 769 760 740 724
EBITDA 2,573 1,550 1,945 2,290
Special Items 647 1,190 521 -
EBITDA (excluding special items) 3,220 2,740 2,466 2,290 A
Interest expense and related charges 721 695 739 784
Amortization of discount and reacquired debt expense (25) (27) (29) (31)
Capitalized interest 16 12 11 12
Cash interest expense 712 680 721 765 B
Total debt 13,996 12,889 14,094 12,591 C
Transition bonds (1,212) (1,258) (1,282) (500)
Debt-related restricted cash - - (525) (525)
Total debt less transition bonds and debt-related restricted cash 12,784 11,631 12,287 11,566 D
Cash provided by operating activities 1,865 1,758 1,662 2,413 E
Reconciling adjustments from cash flow statement 1,034 1,677 1,250 1,847
Income from continuing operations 831 81 412 566
EBITDA/interest – ratio (A/B) 4.5 4.0 3.4 3.0
Debt/EBITDA – ratio (D/A) 4.0 4.2 5.0 5.1
Cash provided by operating activities/cash interest expense – ratio (E/B) 3.6 2.6 3.3 3.2
Total debt/cash flow from operating activities – ratio (C/E) 7.5 7.3 8.5 5.2