ALLETE, Inc. on Wednesday reported third quarter 2019 earnings of 60 cents per share on net income of $31.2 million. Last year’s results were 59 cents per share on net income of $30.7 million, which included 3 cents per share and $1.7 million in earnings from U.S. Water Services sold in the first quarter of 2019.
"Results for the quarter are as expected and we are pleased with our progress on strategic initiatives to date,” said ALLETE Chairman and CEO Al Hodnik.
“Construction activities in support of generating and delivering carbon-free energy are well underway,” said ALLETE President Bethany Owen. “ALLETE Clean Energy is in the final phase of construction on almost 200 megawatts of new wind generation with the South Peak and Glen Ullin facilities; and Minnesota Power will be finalizing construction activities on the Great Northern Transmission Line expected to be in service in 2020. We anticipate a very robust start to the new year as we advance further on clean energy investments for the future."
ALLETE’s Regulated Operations segment, which includes Minnesota Power, Superior Water, Light and Power (SWL&P) and the company’s investment in the American Transmission Co. (ATC), recorded net income of $32.4 million, compared with $29.8 million in the third quarter of 2018. Earnings reflect higher net income at Minnesota Power primarily due to higher transmission revenue, lower operating and maintenance expense and returns and expense for certain projects that are recovered through a rider on customer bills. These increases were partially offset by lower kilowatt-hour sales and associated margins from retail and municipal customers. Net income at SWL&P increased over last year due to higher rates implemented the first of this year, and ALLETE’s earnings in ATC were higher than in 2018 primarily due to additional equity investments.
On Nov. 1, Minnesota Power filed a retail rate increase request with the Minnesota Public Utilities Commission seeking an interim rate increase of approximately $48 million in additional revenue, with a final rate increase request of approximately $66 million.