Entergy on Wednesday said it took a revenue hit from the closure of the Pilgrim Nuclear Power Station in Massachusetts during the second quarter of 2019.
Even so, the New Orleans-based power company’s Entergy Wholesale Commodities (EWC) business slimmed its losses in the latest earning period. Entergy Wholesale Commodities reported a $26 million loss, or $0.13 per share, on an as-reported basis. That was an improvement from a $57 million loss, $0.31 per share, in the same quarter of 2018, according to an Entergy press release.
“Second quarter 2019 earnings reflected lower impairment charges as compared to a year ago,” the release says. ”EWC also recorded higher gains on decommissioning trust funds. These items were partially offset by lower revenue due to the shutdown of Pilgrim and tax benefits incurred in second quarter 2018.”
Pilgrim, a single-reactor facility on Cape Cod, was retired on May 31. Entergy hopes to soon sell the plant, along with the trust fund that will pay for its decommissioning, to New Jersey energy technology company Holtec. The new owner would then have all responsibility for decommissioning, site restoration, and spent fuel management on the property.
The Pilgrim shutdown left Entergy Wholesale Commodities with just two operating nuclear power facilities: the Indian Point Energy Center in New York state and the Palisades Power Plant in Michigan. Both are scheduled for closure by 2022, and to be sold to Holtec.
Company-wide, Entergy reported second-quarter earnings of $236 million, $1.22 per share, on an as-reported basis. That was down by $9 million from $245 million, $1.34 per share, in the second quarter of 2018.
Adjusted earnings, on a non-generally adjusted accounting principles basis, came in at $262 million, $1.35 per share. That rose by $3 million on a year-over-year basis, from $259 million, $1.42 per share.
Management slimmed its earnings-per-share outlook for the year, from a range of $5.10 to $5.50 to a range of $5.15 to $5.45. The company’s quarterly earnings conference call is scheduled for 10 a.m. Central time today.
