NEW GLOUCESTER, Maine,
Feb. 18, 2015 /PRNewswire/
--
Key Aspects of 2014
- Revenue was down slightly from last year at $39.9 billion (€30.0 billion)
- Gross margin increased 3.4% to $16.2
billion (€12.2 billion)
- U.S. operations contributed $1.63
billion (€1.2 billion) in EBITDA, a 7.2% increase from last
year
- Group EBITDA grows 3.1% to reach $9.3
billion (€7.0 billion)
- After recording non-recurring charges, net profit was
$3.1 billion (€2.3 billion),
down 9.5% from 2013
- Worldwide capital investment totaled nearly $3.4 billion (€2.8 billion)
- The Company reduced its debt by $1.8
billion (€1.5 billion) to $30.9
billion (€25.3 billion)
- Directors will recommend minimum dividend of $0.36 (€0.27) per share
Iberdrola S.A. (IBDRY:US:OTC), parent company to Iberdrola
USA, reported its 2014 financial
results today in Madrid. Here are
some of the highlights from that announcement. You may view the
full Iberdrola S.A. news release and obtain other shareholder
information at our online shareholders and investors center.
Group results
2014 revenues were $39.9 billion (€30.0 billion), down 3.4% from
last year. Although gross margin rose 3.4% to $16.2 billion (€12.2 billion), net operating
expenses grew 4.8% to $4.4 billion
(€3.6 billion) from 2013. Positive contributions from all countries
outside of Spain pushed group
EBITDA above guidance for the year to $9.3
billion (€7.0 billion), or 3.1% higher than the previous
year. After recording a non-recurring provision of $170.2 million (€128.0 million) related to a new
efficiency program implemented in Spain, net profit dropped to $3.1 billion (€2.3 billion), or 9.5% lower than
last year.
"These results will allow us to keep our promise to our
shareholders, and distribute a dividend of at least $0.36 (€0.27) per share," said Ignacio Galán,
chairman of Iberdrola S.A. "Once again, Iberdrola has demonstrated
that its business model can produce attractive and sustainable
returns for our shareholders."
The Group invested a total of $3.4
billion (€2.8 billion) in 2014, of which 24% or $820 million (€672 million) was in the United States. Of total investments
worldwide, 81% was in networks and renewables.
Good U.S. performance
"Our U.S. businesses grew
EBITDA by 7.2% over last year, which enabled us to contribute more
than $1.6 billion (€1.2 billion) of
EBITDA to the Group's strong performance," said Bob Kump, chief corporate officer of Iberdrola
USA. "At the Corporate level, we
successfully integrated our management services team, and now look
forward to reaping the benefits of a more efficient structure."
In Maine, the U.S. Networks
group negotiated an improved rate structure, and is on schedule for
the 2015 on time and on budget completion of the Maine Power
Reliability Program (MPRP), a $1.4
billion reinforcement of the bulk power system that links
Canada and the northeast U.S.
Renewables celebrated the start of field testing and
certification of its new 202 MW Baffin Wind Power Project, part of
the Penascal Wind Power Complex, located just south of Baffin Bay
in Kenedy County, Texas. At 606
MW, the combined complex will become Iberdrola's largest renewable
energy facility in the world.
Financial strength continues to improve
IBERDROLA
made further progress in strengthening its balance sheet in 2014.
By generating positive cash flows, divesting non-strategic assets,
and controlling investment levels the company reduced debt by about
$1.8 billion to $30.9 billion (€1.5
billion to €25.3 billion), adjusted for the cash dividend paid last
December.
The Company also improved its financial ratios in 2014,
including net debt to EBITDA, funds from operations (FFO) to net
debt, retained cash flow (RCF) to net debt and debt-to-equity
(gearing) ratio when compared to 2013. Total liquidity as of
December 31, 2014 was $11.0 billion (€9.0 billion).
Board of directors meeting
The Iberdrola board
of directors met yesterday and approved:
- holding the Annual General Meeting in Bilbao on Friday, March
27, 2015
- a proposal to reduce capital by up to 148,483,000 (2.324%)
shares of treasury stock via a combination of amortization and a
buy-back
- a proposal for a pre-tax dividend of approximately $0.36 (€0.27) per share.
- a proposal to pay shareholders an AGM attendance bonus of
$6.10 (€5) per 1,000 shares
Future outlook
Projections for 2015 are in line with
the 2014-2016 Outlook. With this business projection, the Company
expects that both EBITDA and net profit for 2015 will exceed levels
recorded in 2014, while both net debt and the ratio of net debt to
EBITDA will decline over the year.
Iberdrola USA is the
U.S. subsidiary of global energy leader Iberdrola, S.A. The
Iberdrola USA companies employ
about 5,000 people with operations in 24 states from New England to
the West Coast, providing electricity generation, transmission and
distribution, natural gas storage and distribution, and energy
services. For more information, please visit our website:
www.iberdrolausa.com. Follow us on Twitter: @IberdrolaUSA
SAFE HARBOR
This announcement is not an offer
for sale or exchange of securities or request for offers for sale
or exchange of securities. Shares in IBERDROLA S.A may not be
offered or sold in the United
States absent registration or an exemption from registration
under the US Securities Act, as amended.
FORWARD-LOOKING STATEMENTS
This communication
contains forward-looking information and statements about IBERDROLA
S.A., including financial projections and estimates and their
underlying assumptions, statements regarding plans, objectives and
expectations with respect to future operations, capital
expenditures, synergies, products and services, and statements
regarding future performance. Forward-looking statements are
statements that are not historical facts and are generally
identified by the words "expects," "anticipates," "believes,"
"intends," "estimates" and similar expressions.
Although IBERDROLA, S.A. believes that the expectations
reflected in such forward-looking statements are reasonable,
investors and holders of IBERDROLA, S.A. shares are cautioned that
forward-looking information and statements are subject to various
risks and uncertainties, many of which are difficult to predict and
generally beyond the control of IBERDROLA, S.A., that could cause
actual results and developments to differ materially from those
expressed in, or implied or projected by, the forward-looking
information and statements. These risks and uncertainties include
those discussed or identified in documents sent by IBERDROLA, S.A.
to the Comision Nacional del Mercado de
Valores and accessible to the public.
Forward-looking statements are not guarantees of future
performance and have not been reviewed by the auditors of
IBERDROLA, S.A. You are cautioned
not to place undue reliance on the forward-looking statements,
which speak only as of the date they were made. All subsequent oral
or written forward-looking statements attributable to IBERDROLA,
S.A., or any of its members, directors, officers, employees or
representatives are expressly qualified in their entirety by the
cautionary statement above. All forward looking statements included
herein are based on the information available on the date hereof.
Except as required by applicable law, IBERDROLA, S.A. undertakes no
obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
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SOURCE Iberdrola USA