August 8, 2019 - 6:30 AM EDT
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Chesapeake Utilities Corporation Reports Second Quarter 2019 Results

- Chesapeake Utilities continues to generate strong financial and operational results - Second quarter GAAP earnings increased to $0.50 per share* from $0.39, over prior year second quarter - Year-to-date GAAP earnings increased to $2.25 per share from $2.03, over prior year - Eastern Shore and Northwest Florida pipeline expansion projects contributed $3.7 million and $8.1 million in additional gross margin** during the second quarter and year-to-date - December 2018 asset acquisitions of Marlin Gas Transport and Ohl contributed $1.1 million and $3.9 million in gross margin for the second quarter and year-to-date, respectively - Future growth opportunities, including West Palm Beach expansion, Del Mar Energy Pathway and Callahan Intrastate Pipeline are expected to generate $9.9 million in incremental margin in 2020

DOVER, Del., Aug. 8, 2019 /PRNewswire/ -- Chesapeake Utilities Corporation (NYSE: CPK) ("Chesapeake Utilities" or the "Company") today announced second quarter financial results. The Company's net income for the quarter ended June 30, 2019 was $8.3 million, compared to $6.4 million for the same quarter of 2018. Earnings per share ("EPS") for the quarter ended June 30, 2019 were $0.50, compared to $0.39 per share for the same quarter of 2018.  Higher earnings for the second quarter primarily reflect contributions from recently completed and ongoing pipeline expansion projects, organic growth in the natural gas distribution operations and lower operating expenses.  These increases were partially offset by lower results from Peninsula Energy Services Company, Inc. ("PESCO") and higher interest expense. The absence of a one-time non-recurring severance charge recorded in the second quarter of 2018, was offset by the impact of warmer weather in the second quarter of 2019.

For the six months ended June 30, 2019, the Company reported net income of $37.0 million, or $2.25 per share. This represents an increase of $3.7 million or $0.22 per share compared to the same period in 2018. Year-to-date earnings were impacted by the factors noted above, along with incremental margin from the acquisition of certain assets of Marlin Gas Transport, Inc. ("Marlin Gas Transport") and R. F. Ohl Fuel Oil, Inc. ("Ohl"), a Florida Public Service Commission ("PSC") regulatory order that enabled the Company to retain tax savings associated with lower federal tax rates resulting from the United States Tax Cuts and Jobs Act ("TCJA") in several natural gas distribution operations and continued growth in gross margin from Aspire Energy of Ohio ("Aspire Energy"). These increases were partially offset by lower results for PESCO, lower energy consumption due to warmer weather in the Company's service territories, and higher interest expense.  A detailed discussion of operating results begins on page 3.

"In the first half of 2019, we have delivered strong financial results to our shareholders driven by our organic growth initiatives and increased margin from the Marlin Gas Transport and Ohl assets we acquired at the end of 2018.  The unwavering commitment of our employees to provide safe, clean, reliable energy services while growing the footprint of our businesses and continually generating increased financial results is truly impressive," stated Jeffry M. Householder, President and Chief Executive Officer.  "As we move into the second half of 2019, I'm excited to continue working with such a determined group of employees in further expanding the footprint of our existing businesses and realizing new investment opportunities like the West Palm Beach expansion, Del-Mar Energy Pathway and our recently announced Callahan Intrastate Pipeline project," added Mr. Householder.

Significant Items Impacting Earnings

Results for the three and six months ended June 30, 2019 and 2018 were impacted by the following significant items:

For the Three Months Ended June 30,

2019


2018

(in thousands, except per share data)

Net Income


EPS


Net Income


EPS

Reported (GAAP) Earnings

$

8,304



$

0.50



$

6,387



$

0.39


Change in unrealized mark-to-market ("MTM") activity

(41)





(251)



(0.02)


Nonrecurring separation expenses associated with a former executive





1,421



0.09


Adjusted (Non-GAAP) Earnings**

$

8,263



$

0.50



$

7,557



$

0.46


Adjusted earnings for the second quarter of 2019 were $8.3 million, or $0.50 per share, an increase of 8.7 percent compared to $7.6 million, or $0.46 per share, for the second quarter of 2018.

For the Six Months Ended June 30,

2019


2018

(in thousands, except per share data)

Net Income


EPS


Net Income


EPS

Reported (GAAP) Earnings

$

36,968



$

2.25



$

33,241



$

2.03


Change in unrealized MTM activity

38





(4,229)



(0.26)


2018 portion of the retained tax savings for certain Florida natural gas distribution operations associated with the TCJA income tax rate reduction

(990)



(0.06)






Nonrecurring separation expenses associated with a former executive





1,421



0.09


Adjusted (Non-GAAP) Earnings

$

36,016



$

2.19



$

30,433



$

1.86


For the six months ended June 30, 2019, adjusted earnings were $36.0 million, or $2.19 per share, an increase of 17.7 percent compared to $30.4 million, or $1.86 per share, for the six months ended June 30, 2018.

*Unless otherwise noted, earnings per share information is presented on a diluted basis.

**This press release includes references to non-Generally Accepted Accounting Principles ("GAAP") financial measures, including gross margin, adjusted earnings and adjusted EPS.  A "non-GAAP financial measure" is generally defined as a numerical measure of a company's historical or future performance that includes or excludes amounts, or that is subject to adjustments, so as to be different from the most directly comparable measure calculated or presented in accordance with GAAP.  Our management believes certain non-GAAP financial measures, when considered together with GAAP financial measures, provide information that is useful to investors in understanding period-over-period operating results separate and apart from items that may, or could, have a disproportionately positive or negative impact on results in any particular period.

The Company calculates "gross margin" by deducting the cost of sales from operating revenue.  Cost of sales includes the purchased fuel cost for natural gas, electricity and propane, and the cost of labor spent on direct revenue-producing activities and excludes depreciation, amortization and accretion. Other companies may calculate gross margin in a different manner. Gross margin should not be considered an alternative to operating income or net income, both of which are determined in accordance with GAAP.  The Company believes that gross margin, although a non-GAAP measure, is useful and meaningful to investors as a basis for making investment decisions.  It provides investors with information that demonstrates the profitability achieved by the Company under its allowed rates for regulated operations and under its competitive pricing structures for unregulated businesses.  The Company's management uses gross margin in measuring its business units' performance. The Company calculates "adjusted earnings" by adjusting reported (GAAP) earnings to exclude the impact of certain significant non-cash items, including the impact of unrealized MTM gains (losses) and one-time charges, such as severance charges, and any prior year tax savings retained by our regulated businesses as a result of current year regulatory authorizations.  The Company calculates "adjusted EPS" by dividing adjusted earnings by the weighted average common shares outstanding.


 

 

Operating Results for the Quarters Ended June 30, 2019 and 2018


Consolidated Results








Three Months Ended

June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

70,110



$

67,261



$

2,849



4.2

%

Depreciation, amortization and property taxes

16,124



13,749



2,375



17.3

%

Other operating expenses

36,550



40,264



(3,714)



(9.2)

%

Operating income

$

17,436



$

13,248



$

4,188



31.6

%

Operating income during the second quarter of 2019 increased by $4.2 million, or 31.6 percent, compared to the same period in 2018. The increase in operating income primarily reflects strong performance by the Company's natural gas transmission and distribution operations and a $2.2 million decrease in operating expenses which excludes the one-time nonrecurring severance charge recorded in 2018 associated with a former company executive.  A $1.8 million decrease in operating income at PESCO partially offset these gains.  In addition, the absence of the one-time nonrecurring severance charge recorded in 2018 associated with a former company executive, largely offset lower gross margin due to the impact of warmer weather on the Delmarva Peninsula and Ohio operations.

 

Regulated Energy Segment








Three Months Ended
June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

55,086



$

50,494



$

4,592



9.1

%

Depreciation, amortization and property taxes

13,087



11,161



1,926



17.3

%

Other operating expenses

23,247



25,029



(1,782)



(7.1)

%

Operating income

$

18,752



$

14,304



$

4,448



31.1

%

Operating income for the Regulated Energy segment for the three months ended June 30, 2019 was $18.8 million, an increase of $4.4 million compared to the same period in 2018.  The increased operating income resulted primarily from increased gross margin of $4.6 million.  Depreciation, amortization, and property taxes expense increased by $1.9 million, and was offset by a decrease of $1.8 million in other operating expenses.

 

The key components of the increase in gross margin are shown below:

(in thousands)


Eastern Shore and Peninsula Pipeline service expansions (including related Florida natural gas distribution operation expansions)

$

3,680


Natural gas distribution growth (excluding service expansions)

867


Electric operations consumption growth

316


Florida Gas Reliability and Infrastructure Program ("GRIP")

310


TCJA impact primarily from retained tax savings from Florida natural gas distribution operations

255


Sandpiper Energy, Inc.'s (Sandpiper) margin from natural gas conversions

231


Decreased customer consumption - primarily due to warmer weather

(1,159)


Other variances

92


Quarter-over-quarter increase in gross margin

$

4,592


 

The major components of the decrease in other operating expenses are as follows:

(in thousands)


Outside services, regulatory, facilities and maintenance costs

$

(1,466)


Incentive compensation costs (including timing of accruals)

(328)


Payroll, benefits and other employee-related expenses(1)

(257)


Other variances

269


Quarter-over-quarter decrease in other operating expenses

$

(1,782)



(1) Since the Company self-insures for healthcare costs, benefits costs fluctuate depending upon filed claims.

 

Unregulated Energy Segment








Three Months Ended

June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

15,121



$

16,915



$

(1,794)



(10.6)

%

Depreciation, amortization and property taxes

3,003



2,553



450



17.6

%

Other operating expenses

13,466



13,872



(406)



(2.9)

%

Operating (loss) income

$

(1,348)



$

490



$

(1,838)



NMF



Non-Meaningful Figure (NMF)

 

Given the impact of PESCO on the Unregulated Energy segment, the Company continues to present the segment excluding PESCO's results:

 

 

Unregulated Energy Segment, excluding PESCO








Three Months Ended
June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

14,380



$

14,309



$

71



0.5

%

Depreciation, amortization and property taxes

2,850



2,399



451



18.8

%

Other operating expenses

11,805



12,108



(303)



(2.5)

%

Operating loss

$

(275)



$

(198)



$

(77)



38.9

%

Excluding PESCO, operating loss for the Unregulated Energy segment increased by $0.1 million for the three months ended June 30, 2019, compared to the same period in 2018. The increased operating loss was driven by $0.5 million in higher depreciation, amortization and property taxes, partially offset by a $0.1 million increase in gross margin and $0.3 million in lower other operating expenses.  While Marlin Gas Services, LLC ("Marlin Gas Services"), the Company's newly created subsidiary, generated an additional $1.0 million of margin for the segment, this was largely offset by warmer weather during the quarter which decreased customer consumption in the propane operations and Aspire Energy.

The major components of the increase in gross margin are shown below:

(in thousands)



Marlin Gas Services (assets acquired in December 2018)


$

1,030


Propane Operations



Ohl acquisition (assets acquired in December 2018)


112


Decreased customer consumption - primarily due to warmer weather


(818)


Decrease in retail and wholesale propane margins


(166)


Aspire Energy



Rate increases


203


Decreased customer consumption - primarily due to warmer weather


(104)


Other variances


(186)


Quarter-over-quarter increase in gross margin


$

71


The major components of the decrease in other operating expenses are as follows:

(in thousands)


Operating expenses for Marlin Gas Services and Ohl (Assets acquired in December 2018) including costs to expand the future growth prospects for the businesses (1)

$

835


Outside services and facilities maintenance costs

(469)


Payroll, benefits and other employee-related expenses(2)

(361)


Incentive compensation costs (including timing of accruals)

(239)


Other variances

(69)


Quarter-over-quarter decrease in other operating expenses

$

(303)



(1) The Ohl and Marlin Gas Services other operating expenses have been aggregated and are excluded from the expense changes shown in the remainder of the table.

(2) Since the Company self-insures for healthcare costs, benefits costs fluctuate depending upon filed claims.

 

 

PESCO








Three Months Ended
June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

741



$

2,606



$

(1,865)



(71.6)

%

Depreciation, amortization and property taxes

153



154



(1)



(0.6)

%

Other operating expenses

1,661



1,764



(103)



(5.8)

%

Operating (loss) income

$

(1,073)



$

688



$

(1,761)



NMF


Operating income for PESCO decreased by $1.8 million for the three months ended June 30, 2019, compared to the same period in 2018.  The decline in operating income was driven by a $1.9 million decrease in PESCO's gross margin compared to the same period in 2018 resulting from the following:

(in thousands)


Increased supply costs

$

(742)


Absence of nonrecurring margin in 2018 associated with the Southeast portfolio

(642)


Net impact of PESCO's MTM activity

(302)


Other variances

(179)


Quarter-over-quarter decrease in gross margin for PESCO

$

(1,865)


 

 

Operating Results for the Six Months Ended June 30, 2019 and 2018


Consolidated Results








Six Months Ended June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

171,507



$

158,560



$

12,947



8.2

%

Depreciation, amortization and property taxes

31,628



27,447



4,181



15.2

%

Other operating expenses

78,450



77,459



991



1.3

%

Operating income

$

61,429



$

53,654



$

7,775



14.5

%

Operating income during the six months ended June 30, 2019 increased by $7.8 million, or 14.5 percent, compared to the same period in 2018.  The increase in operating income reflects continued strong growth across the Company, generated by organic growth within existing businesses, recent expansion investments, regulatory initiatives and rate/pricing mechanisms, the successful integration of the Ohl acquisition and strong performance of Marlin Gas Services.

 

 

Regulated Energy Segment








Six Months Ended June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

122,188



$

111,656



$

10,532



9.4

%

Depreciation, amortization and property taxes

25,618



22,317



3,301



14.8

%

Other operating expenses

48,801



48,324



477



1.0

%

Operating income

$

47,769



$

41,015



$

6,754



16.5

%

Operating income for the Regulated Energy segment for the six months ended June 30, 2019 was $47.8 million, an increase of $6.8 million or 16.5 percent, compared to the same period in 2018.  The increase in operating income resulted from $10.5 million in additional gross margin, offset by $3.3 million in higher depreciation, amortization and property taxes and a $0.5 million increase in other operating expenses. On February 25, 2019, the Florida PSC issued a final order regarding the treatment of the TCJA, allowing us to retain the savings associated with lower federal tax rates for certain of our natural gas distribution operations.  As a result, $1.3 million in reserves for customer refunds, recorded in 2018, were reversed in the first quarter of 2019.  Excluding the impact of the reversal, gross margin and operating income for the six months ended June 30, 2019 increased by $9.2 million and $5.4 million, or 8.2 percent and 13.2 percent, respectively.

The key components of the increase in gross margin are shown below:

(in thousands)


Eastern Shore and Peninsula Pipeline service expansions (including related Florida natural gas distribution operation expansions)

$

8,140


Natural gas distribution - customer growth (excluding service expansions)

2,253


2018 retained tax savings for certain Florida natural gas distribution operations

1,321


TCJA impact - primarily from the 2019 retained tax savings for certain Florida natural gas operations

810


Sandpiper's margin from natural gas conversions

614


Florida GRIP

534


Decreased customer consumption - primarily due to warmer weather

(2,841)


Other variances

(299)


Period-over-period increase in gross margin

$

10,532


 

The major components of the increase in other operating expenses are as follows:

(in thousands)


Payroll, benefits and other employee-related expenses(1)

$

1,619


Incentive compensation costs (including timing of accruals)

331


Outside services and regulatory costs

(1,070)


Facilities maintenance costs

(1,005)


Other variances

602


Period-over-period increase in other operating expenses

$

477



(1) Since the Company self-insures for healthcare costs, benefits costs fluctuate depending upon filed claims.

 

 

Unregulated Energy Segment








Six Months Ended June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

49,523



$

47,216



$

2,307



4.9

%

Depreciation, amortization and property taxes

5,942



5,059



883



17.5

%

Other operating expenses

29,953



27,983



1,970



7.0

%

Operating income

$

13,628



$

14,174



$

(546)



(3.9)

%

 

The Company continues to present the Unregulated Energy segment excluding PESCO's results:

 

Unregulated Energy Segment, excluding PESCO








Six Months Ended June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

46,922



$

43,435



$

3,487



8.0

%

Depreciation, amortization and property taxes

5,641



4,757



884



18.6

%

Other operating expenses

26,048



24,428



1,620



6.6

%

Operating income

$

15,233



$

14,250



$

983



6.9

%

 

Excluding PESCO, operating income for the Unregulated Energy segment increased by $1.0 million for the six months ended June 30, 2019, compared to the same period in 2018. The increase in operating income was driven by $3.5 million in additional gross margin, partially offset by $1.6 million in higher operating expenses and $0.9 million in higher depreciation and taxes.

The major components of the $3.5 million increase in gross margin are shown below:

(in thousands)



Marlin Gas Services (acquired assets of Marlin Gas Transport in December 2018)


$

3,359


Propane Operations



Increased retail margins per gallon


1,159


Ohl acquisition (assets acquired in December 2018)


588


Decrease in customer consumption due to the absence of the 2018 Bomb Cyclone and warmer weather in 2019


(1,623)


Lower wholesale propane margins and sales


(534)


Aspire Energy



Rate increases


892


Customer consumption growth


200


Other variances


(554)


Period-over-period increase in gross margin


$

3,487


 

The major components of the increase in other operating expenses are as follows:

(in thousands)


Operating expenses for Marlin Gas Services and Ohl (Assets acquired in December 2018) including costs to expand the future growth prospects for the businesses (1)

$

1,689


Incentive compensation costs (including timing of accruals)

255


Outside services

117


Facilities maintenance costs

(336)


Payroll, benefits and other employee-related expenses(2)

(39)


Other variances

(66)


Period-over-period increase in other operating expenses

$

1,620



(1) The Ohl and Marlin Gas Services other operating expenses have been aggregated and are excluded from the expense changes shown in the remainder of the table.

(2) Since the Company self-insures for healthcare costs, benefits costs fluctuate depending upon filed claims.

 

 

PESCO








Six Months Ended June 30,





(in thousands)

2019


2018


Change


Percent Change

Gross margin

$

2,601



$

3,781



$

(1,180)



(31.2)

%

Depreciation, amortization and property taxes

301



302



(1)



(0.3)

%

Other operating expenses

3,905



3,555



350



9.8

%

Operating loss

$

(1,605)



$

(76)



$

(1,529)



NMF


 

For the six months ended June 30, 2019, PESCO's gross margin decreased by $1.2 million compared to the same period in 2018.  Lower gross margin from PESCO for the six months ended June 30, 2019 resulted from the following:

(in thousands)


Net impact of extraordinary costs associated with the 2018 Bomb Cyclone for the Mid-Atlantic wholesale portfolio (1)

$

5,545


Net impact of PESCO's MTM activity

(5,892)


Absence of nonrecurring margin in 2018 associated with the Southeast portfolio

(642)


Other variances

(191)


Period-over-period decrease in gross margin for PESCO

$

(1,180)



(1) The 2018 Bomb Cyclone refers to the high-intensity winter storms in early January 2018 that impacted the Mid-Atlantic region and had a residual impact on our businesses through the month of February.  The exceedingly high demand and associated impacts on pipeline capacity and gas supply in the Mid-Atlantic region created significant, unusual costs for PESCO. While such concerted impacts are not expected to occur frequently, our management revisited and refined its risk management strategies and implemented additional controls.

 

Forward-Looking Statements

Matters included in this release may include forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those in the forward-looking statements. Please refer to the Safe Harbor for Forward-Looking Statements in the Company's 2018 Annual Report on Form 10-K for further information on the risks and uncertainties related to the Company's forward-looking statements.

Conference Call

Chesapeake Utilities will host a conference call on Friday, August 9, 2019 at 10:30 a.m. Eastern Time to discuss the Company's financial results for the three and six months ended June 30, 2019.  To participate in this call, dial 855.801.6270 and reference Chesapeake Utilities' 2019 Second Quarter Results Conference Call.  To access the replay recording of this call, the accompanying transcript, and other pertinent quarterly information, use the link CPK - Conference Call Audio Replay, or visit the Investors/Events and Presentations section of Company's website at www.chpk.com.

About Chesapeake Utilities Corporation

Chesapeake Utilities is a diversified energy company engaged in natural gas distribution, transmission and marketing; electricity generation and distribution; propane gas distribution; and other businesses. Information about Chesapeake Utilities and its family of businesses is available at http://www.chpk.com or through its Investor Relations (IR) App.

Please note that Chesapeake Utilities Corporation is not affiliated with Chesapeake Energy, an oil and natural gas exploration company headquartered in Oklahoma City, Oklahoma.

For more information, contact:

Beth W. Cooper
Executive Vice President, Chief Financial Officer and Assistant Corporate Secretary
302.734.6799


 

Financial Summary
(in thousands, except per share data)






Three Months Ended


Six Months Ended


June 30,


June 30,


2019


2018


2019


2018

Gross Margin








  Regulated Energy segment

$

55,086



$

50,494



$

122,188



$

111,656


  Unregulated Energy segment

15,121



16,915



49,523



47,216


  Other businesses and eliminations

(97)



(148)



(204)



(312)


 Total Gross Margin

$

70,110



$

67,261



$

171,507



$

158,560










Operating Income (Loss)








   Regulated Energy segment

$

18,752



$

14,304



$

47,769



$

41,015


   Unregulated Energy segment

(1,348)



490



13,628



14,174


   Other businesses and eliminations

32



(1,546)



32



(1,535)


 Total Operating Income (Loss)

17,436



13,248



61,429



53,654










Other expense, net

(316)



(262)



(361)



(194)


Interest Charges

5,655



3,881



11,365



7,545


Pre-tax Income

11,465



9,105



49,703



45,915


Income Taxes

3,161



2,718



12,735



12,674


 Net Income

$

8,304



$

6,387



$

36,968



$

33,241










Earnings Per Share of Common Stock








Basic

$

0.51



$

0.39



$

2.26



$

2.03


Diluted

$

0.50



$

0.39



$

2.25



$

2.03



 

 

Financial Summary Highlights

Key variances, between the three months ended June 30, 2018 and 2019, included:








(in thousands, except per share data)


Pre-tax
Income


Net
Income


Earnings
Per Share

Second Quarter of 2018 Reported Results


$

9,105



$

6,387



$

0.39









Adjusting for Unusual Items:







Nonrecurring separation expenses associated with a former executive


1,548



1,421



0.09


Decreased customer consumption - primarily due to warmer weather


(2,081)



(1,507)



(0.09)


Net impact of PESCO's MTM activity


(302)



(210)



(0.02)




(835)



(296)



(0.02)









Increased (Decreased) Gross Margins:







Eastern Shore and Peninsula Pipeline service expansions (including related Florida natural gas distribution operation expansions)*


3,680



2,666



0.16


Margin contribution from Marlin Gas Services (acquired assets of Marlin Gas Transport in December 2018) and Ohl acquisition (assets acquired in December 2018)*


1,142



827



0.05


Natural gas distribution growth (excluding service expansions)


867



628



0.04


Florida GRIP*


310



225



0.01


TCJA impact - primarily from the 2019 retained tax savings for certain Florida natural gas operations*


255



185



0.01


Sandpiper's margin from natural gas conversions


231



167



0.01


Aspire Energy rate increases


203



147



0.01


Other margin change for PESCO operations


(1,563)



(1,132)



(0.07)




5,125



3,713



0.22









 (Increased) Decreased Operating Expenses (Excluding Cost of Sales):







Depreciation, asset removal and property tax costs due to growth investments


(2,055)



(1,488)



(0.09)


Operating expenses for Marlin Gas Services and Ohl (Assets acquired in December 2018) including costs to expand the future growth prospects for the businesses


(1,155)



(837)



(0.05)


Outside services, regulatory, and facilities maintenance costs


1,866



1,351



0.08


Payroll, benefits and other employee-related expenses


678



491



0.03


Incentive compensation costs (including timing of accruals)


512



371



0.03




(154)



(112)











Change in effective tax rate




(100)



(0.01)


Interest charges


(1,774)



(1,285)



(0.08)


Net other changes


(2)



(3)






(1,776)



(1,388)



(0.09)









Second Quarter of 2019 Reported Results


$

11,465



$

8,304



$

0.50



 *See the Major Projects and Initiatives table later in this press release.

 

 

  Key variances, between the six months ended June 30, 2018 and 2019, included:

(in thousands, except per share data)


Pre-tax
Income


Net
Income


Earnings
Per Share

Six Month Ended June 30, 2018 Reported Results


$

45,915



$

33,241



$

2.03









Adjusting for Unusual Items:







Nonrecurring separation expenses associated with a former executive


1,548



1,421



0.09


2018 retained tax savings for certain Florida natural gas operations*


1,321



990



0.06


Net impact of PESCO's MTM activity


(5,892)



(4,267)



(0.26)


Decreased customer consumption - primarily due to warmer weather


(4,264)



(3,171)



(0.19)




(7,287)



(5,027)



(0.30)


Increased (Decreased) Gross Margins:







Eastern Shore and Peninsula Pipeline service expansions (including new service in Northwest Florida for related Florida natural gas distribution operations)*


8,140



6,055



0.37


Absence of the 2018 Bomb Cyclone and capacity constraints cost for PESCO


5,545



4,124



0.25


Margin contribution from Marlin Gas Services (acquired assets of Marlin Gas Transport) and Ohl acquisition (assets acquired in December 2018)*


3,947



2,936



0.18


Natural gas distribution growth (excluding service expansions)


2,253



1,675



0.10


Higher propane retail margins per gallon


1,159



862



0.05


Aspire Energy rate increases


892



664



0.04


TCJA impact - primarily from the 2019 retained tax savings for certain Florida natural gas operations*


810



602



0.04


Sandpiper's margin from natural gas conversions


614



456



0.03


Florida GRIP*


534



397



0.02


Other margin change for PESCO operations


(832)



(619)



(0.04)


Wholesale propane margins and sales


(534)



(398)



(0.02)




22,528



16,754



1.02


(Increased) Decreased Other Operating Expenses (Excluding Cost of Sales):







Depreciation, asset removal and property tax costs due to new capital investments


(3,559)



(2,647)



(0.16)


Operating expenses for Marlin Gas Services and Ohl (Assets acquired in December 2018) including costs to expand the future growth prospects for the businesses


(2,312)



(1,720)



(0.10)


Payroll, benefits and other employee-related expenses


(1,568)



(1,166)



(0.07)


Incentive compensation costs (including timing of accruals)


(578)



(430)



(0.03)


Operating expenses to support PESCO


(349)



(259)



(0.02)


Facilities maintenance costs


1,201



893



0.05


Outside services and regulatory costs


952



708



0.04




(6,213)



(4,621)



(0.29)









Change in effective tax rate



516



0.03


Interest Charges


(3,820)



(2,841)



(0.17)


Net other changes


(1,420)



(1,054)



(0.07)




(5,240)



(3,379)



(0.21)









Six Month Ended June 30, 2019 Reported Results


$

49,703



$

36,968



$

2.25



*See the Major Projects and Initiatives table later in this press release.

 

 

Recently Completed and Ongoing Major Projects and Initiatives
The Company constantly pursues and develops additional projects and initiatives to serve existing and new customers, further grow its businesses and earnings, with the intention to increase shareholder value. The following represent the major projects/initiatives recently completed and currently underway. In the future, the Company will add new projects and initiatives to this table once negotiations are substantially final and the associated earnings can be estimated.



Gross Margin for the Period



Three Months Ended


Six Months Ended


Year Ended


Estimate for

Project/Initiative


June 30,


June 30,


December 31,


Fiscal

in thousands


2019


2018


2019


2018


2018


2019


2020

Florida GRIP (1)


$

3,530



$

3,220



$

6,904



$

6,370



$

13,323



$

14,172



$

15,491


2017 Eastern Shore System Expansion -  including interim services


3,645



859



8,445



3,117



9,103



16,183



15,799


Northwest Florida Expansion (including related natural gas distribution services)


1,691



1,147



3,289



1,152



4,350



6,500



6,500


Western Palm Beach County, Florida Expansion


161





322





54



676



4,581


Marlin Gas Services


1,030





3,359





110



5,400



6,300


Ohl Propane Acquisition


112





588







1,200



1,236


Del-Mar Energy Pathway - including interim services


189





353







725



3,039


Callahan Intrastate Pipeline














2,250


Tax benefit retained by certain Florida entities(2)


249





2,329







3,039



1,879


Total


$

10,607



$

5,226



$

25,589



$

10,639



$

26,940



$

47,895



$

57,075



(1) All periods shown have been adjusted to reflect the lower customer rates as a result of the TCJA.  Lower customer rates are offset by the corresponding decrease in federal income tax expense and have no negative impact on net income.

(2) The amount disclosed for the six months ended 2019 includes tax savings of $1.3 million for the year ended December 31, 2018.  The tax savings were recorded in the first quarter of 2019 due to an order by the Florida PSC allowing reversal of a TCJA refund reserve, recorded in 2018, which increased gross margin for the six months ended by that amount.

 

Major Projects and Initiatives

Florida GRIP
Florida GRIP is a natural gas pipe replacement program approved by the Florida PSC that allows automatic recovery, through rates, of costs associated with the replacement of mains and services. Since the program's inception in August 2012, the Company has invested $135.2 million of capital expenditures to replace 298 miles of qualifying distribution mains, including $7.9 million of new pipes during the first six months of 2019. GRIP generated additional gross margin of $0.3 million and $0.5 million for the three and six months ended June 30, 2019, respectively, compared to the same periods in 2018.

2017 Eastern Shore System Expansion
Eastern Shore has substantially completed the construction of a system expansion project that increased its capacity by 26 percent. Two remaining segments are expected to be placed into service in various phases during the third quarter of 2019. The project generated $2.8 million and $5.3 million in incremental gross margin during the three and six months ended June 30, 2019, respectively, compared to the same periods in 2018.  The project is expected to produce gross margin of approximately $16.2 million in 2019; $15.8 million annually from 2020 through 2022; and $13.2 million annually thereafter based on current customer capacity commitments.

Northwest Florida Expansion
In May 2018, Peninsula Pipeline completed construction of transmission lines, and our Florida natural gas division completed construction of lateral distribution lines, to serve customers in Northwest Florida. The project generated incremental gross margin of $0.5 million and $2.1 million for the three and six months ended June 30, 2019, respectively, compared to the same periods in 2018. The estimated annual gross margin from this project is $6.5 million for 2019 and beyond, with the opportunity for additional margin as the remaining capacity is sold.

Western Palm Beach County, Florida Expansion
Peninsula Pipeline is constructing four transmission lines to bring natural gas to the Company's distribution system in West Palm Beach, Florida. The first phase of this project was placed into service in December 2018 and generated $0.2 million and $0.3 million in additional gross margin for the three and six months ended June 30, 2019, respectively. The Company expects to complete the remainder of the project in phases through early 2020, and estimates that it will generate gross margin of $0.7 million in 2019 and $4.6 million annually thereafter.

Marlin Gas Services
In December 2018, the Company acquired certain operating assets of Marlin Gas Transport, a supplier of mobile compressed natural gas distribution and pipeline solutions, and created Marlin Gas Services, a new subsidiary which offers compressed natural gas solutions to supply interruption scenarios and provides other unique applications where pipeline supplies are unavailable or inadequate to meet customer requirements. Marlin Gas Services generated $1.0 million and $3.4 million of gross margin for the three and six months ended June 30, 2019, respectively.  The Company estimates that Marlin Gas Services will generate additional gross margin of approximately $5.4 million in 2019 and $6.3 million in 2020, and expects gross margin to grow beyond 2020 as Marlin Gas Services continues to actively expand the territories it serves as well as leverages its patented technology to potentially serve liquefied natural gas transportation needs.

Ohl Propane Acquisition
In December 2018, Sharp acquired certain propane customers and operating assets of Ohl.  Located between two of Sharp's existing districts, Ohl provided propane distribution service to approximately 2,500 residential and commercial customers in Pennsylvania.  The customers and assets acquired from Ohl have been assimilated into Sharp. The operations acquired from Ohl generated $0.1 million and $0.6 million of incremental gross margin for the three and six months ended June 30, 2019, respectively.  The Company estimates that this acquisition will generate additional gross margin of approximately $1.2 million for Sharp in 2019, with the potential for additional growth in future years.

Del-Mar Energy Pathway
In September 2018, Eastern Shore filed for FERC authorization to construct the Del-Mar Energy Pathway project to provide an additional 14,300 dekatherms per day of capacity to four customers.  The project will provide additional natural gas transmission pipeline infrastructure in eastern Sussex County, Delaware, and it will represent the first extension of Eastern Shore's pipeline system into Somerset County, Maryland. Interim services in advance of this project generated $0.2 million and $0.4 million for the three and six months ended June 30, 2019, respectively.  The estimated annual gross margin from this project is approximately $0.7 million in 2019, $3.0 million in 2020, $4.6 million in 2021 and $5.1 million annually thereafter.  Eastern Shore anticipates that this project will be fully in-service by mid-2021, contingent upon FERC issuing authorization for the project in the third quarter of 2019.

Callahan Intrastate Pipeline
In May 2018, Peninsula Pipeline announced its plan to construct a jointly owned intrastate transmission pipeline with Seacoast Gas Transmission in Nassau County, Florida.  The 26-mile pipeline, having an initial capacity of 148,000 dekatherms per day, will serve growing demand in both Nassau and Duval counties, Florida.  The project is expected to be placed in-service during the third quarter of 2020 and will generate gross margin for Peninsula Pipeline of $2.3 million in 2020 and $6.0 million annually thereafter.

Regulatory Initiatives

Florida Tax Savings Related to TCJA
In February 2019, the Florida PSC issued orders authorizing certain of the Company's natural gas distribution operations to retain a portion of the tax savings associated with the lower federal tax rates resulting from the TCJA.  In accordance with the PSC orders, the Company recognized $1.3 million in margin during the first quarter of 2019, reflecting the reversal of reserves recorded during 2018.  The Company expects the annual savings beginning in 2019 to continue in future years, and recognized additional margin of $0.2 million and $1.0 million during the three and six months ended June 30, 2019, respectively.

Other major factors influencing gross margin

Weather and Consumption
Weather conditions accounted for a $2.1 million decrease in gross margin during the second quarter of 2019, compared to the same period in 2018.  For the second quarter, period-over-period heating degree-days ("HDD") declined 42 percent on the Delmarva Peninsula and 19 percent in the Company's Ohio service territory.  For the six months ended June 30, 2019, weather conditions accounted for a $4.3 million decrease in gross margin.  Lower period-over-period HDD's in all of our service territories and extreme conditions due to the "Bomb Cyclone" in early 2018 reduced consumption in the first six months of 2019 compared to the same period in 2018 impacting both our Regulated and Unregulated Energy segments.  The following table summarizes HDD and cooling degree day ("CDD") variances from the 10-year average HDD/CDD ("Normal") for the three and six months ended June 30, 2019 and 2018.

 


Three Months Ended




Six Months Ended




June 30,




June 30,




2019


2018


Variance


2019


2018


Variance

Delmarva












Actual HDD

247



424



(177)



2,569



2,719



(150)


10-Year Average HDD ("Normal")

400



423



(23)



2,749



2,785



(36)


Variance from Normal

(153)



1





(180)



(66)




Florida












Actual HDD

18



17



1



379



507



(128)


10-Year Average HDD ("Normal")

14



16



(2)



532



533



(1)


Variance from Normal

4



1





(153)



(26)




Ohio












Actual HDD

535



662



(127)



3,531



3,652



(121)


10-Year Average HDD ("Normal")

607



614



(7)



3,652



3,683



(31)


Variance from Normal

(72)



48





(121)



(31)




Florida












Actual CDD

1,086



952



134



1,220



1,091



129


10-Year Average CDD ("Normal")

975



969



6



1,072



1,058



14


Variance from Normal

111



(17)





148



33




Natural Gas Distribution Margin Growth

New customer growth in the Company's natural gas distribution operations generated $0.9 million and $2.3 million of additional margin for the three and six months ended June 30, 2019, respectively.  The details for the three and six months ended June 30, 2019 are provided in the following table:

 



Three Months Ended


Six Months Ended

(in thousands)


June 30, 2019


June 30, 2019

Customer Growth:





Residential


$

446



$

1,085


Commercial and industrial


421



1,168


Total Customer Growth


$

867



$

2,253


 

The additional margin from new customers reflects an increase of approximately 3.7 percent and 3.8 percent for the three and six months ended June 30, 2019, respectively, in the average number of residential customers served on the Delmarva Peninsula, and approximately 3.8 percent and 3.5 percent growth in new residential customers served in Florida as well as an increase in the number of commercial and industrial customers served.

Capital Investment Growth and Financing

The Company's capital expenditures were $72.9 million for the six months ended June 30, 2019.  The following table shows the 2019 capital expenditure forecast of $177.8 million by segment and by business line:


2019

(dollars in thousands)


Regulated Energy:


Natural gas distribution

$

64,143


Natural gas transmission

66,787


Electric distribution

5,949


Total Regulated Energy

136,879


Unregulated Energy:


Propane distribution

11,870


Energy transmission

8,345


Other unregulated energy

11,000


Total Unregulated Energy

31,215


Other:


Corporate and other businesses

9,705


Total Other

9,705


Total 2019 Forecasted Capital Expenditures

$

177,799


 

The capital expenditure projection is subject to continuous review and modification. Actual capital requirements may vary from the above estimates due to a number of factors, including changing economic conditions, customer growth in existing areas, regulation, new growth or acquisition opportunities and availability of capital. Historically, actual capital expenditures have typically lagged behind the budgeted amounts.

Impact of Hurricane Michael
In October 2018, Hurricane Michael passed through Florida Public Utilities Company's ("FPU") electric distribution service territory in Northwest Florida. The hurricane caused widespread and severe damage to FPU's infrastructure, resulting in 100 percent of its Northwest Florida customers losing electrical service. FPU, after exerting extraordinary hurricane restoration efforts, restored service to those customers who were able to accept it.  FPU expended more than $65.0 million to restore service, which has been recorded as new plant and equipment, charged against FPU's accumulated depreciation or charged against FPU's storm reserve. In conjunction with the hurricane-related expenditures, the Company executed two 13-month unsecured term loans as temporary financing, each in the amount of $30.0 million. The interest cost associated with these loans is LIBOR plus 75 basis points. One of the term loans was executed in December 2018; the other was executed in January 2019. While there is a short-term negative impact, the storm is not expected to have a significant impact going forward, assuming recovery is granted through the regulatory process.  On August 7, 2019, the Company filed the necessary regulatory filings seeking recovery of the restoration costs incurred, including eligible financing costs.  FPU's results for the six months ended June 30, 2019 included interest expense of $0.5 million, or $0.4 million on an after-tax basis, associated with the intermediate term loans discussed above.

The Company's target ratio of equity to total capitalization, including short-term borrowings, is between 50 and 60 percent. The Company's equity to total capitalization ratio, including short term borrowings, was 45 percent as of June 30, 2019. Excluding the funds expended for Hurricane Michael restoration activities, the Company's equity to total capitalization ratio, including short-term borrowings, would have been approximately 48 percent.  The Company seeks to align permanent financing with the in-service dates of its capital projects.  The Company may utilize more temporary short-term debt, when the financing cost is attractive, as a bridge to the permanent long-term financing.


Chesapeake Utilities Corporation and Subsidiaries

Condensed Consolidated Statements of Income (Unaudited)

(in thousands, except shares and per share data)


Three Months Ended


Six Months Ended


June 30,


June 30,


2019


2018


2019


2018

Operating Revenues








Regulated Energy

$

73,403



$

70,504



$

177,021



$

179,897


Unregulated Energy and other

57,500



66,160



181,498



196,123


Total Operating Revenues

130,903



136,664



358,519



376,020


Operating Expenses








Regulated Energy cost of sales

18,317



20,010



54,833



68,241


Unregulated Energy and other cost of sales

42,476



49,393



132,179



149,219


Operations

32,696



36,281



69,839



68,983


Maintenance

3,600



3,619



7,280



7,211


Gain from a settlement

(130)



(130)



(130)



(130)


Depreciation and amortization

11,609



9,839



22,684



19,543


Other taxes

4,899



4,404



10,405



9,299


Total operating expenses

113,467



123,416



297,090



322,366


Operating Income

17,436



13,248



61,429



53,654


Other expense, net

(316)



(262)



(361)



(194)


Interest charges

5,655



3,881



11,365



7,545


Income Before Income Taxes

11,465



9,105



49,703



45,915


Income taxes

3,161



2,718



12,735



12,674


Net Income

$

8,304



$

6,387



$

36,968



$

33,241


Weighted Average Common Shares Outstanding:








Basic

16,401,028



16,369,641



16,393,022



16,360,540


Diluted

16,445,743



16,417,082



16,439,333



16,410,061


Earnings Per Share of Common Stock:








Basic

$

0.51



$

0.39



$

2.26



$

2.03


Diluted

$

0.50



$

0.39



$

2.25



$

2.03


 

 

Chesapeake Utilities Corporation and Subsidiaries

Condensed Consolidated Balance Sheets (Unaudited)

 

Assets


June 30, 2019


December 31, 2018

(in thousands, except shares and per share data)





 Property, Plant and Equipment





Regulated Energy


$

1,380,591



$

1,297,416


Unregulated Energy


245,738



237,682


Other businesses and eliminations


30,347



34,585


 Total property, plant and equipment


1,656,676



1,569,683


 Less:  Accumulated depreciation and amortization


(321,284)



(294,295)


 Plus:  Construction work in progress


85,630



108,584


 Net property, plant and equipment


1,421,022



1,383,972


 Current Assets





Cash and cash equivalents


7,254



6,089


Trade and other receivables (less allowance for uncollectible accounts of $1,190 and $1,108, respectively)


48,908



85,404


Accrued revenue


12,724



27,499


Propane inventory, at average cost


5,143



9,791


Other inventory, at average cost


7,778



7,127


Regulatory assets


6,842



4,796


Storage gas prepayments


4,143



6,603


Income taxes receivable


10,984



15,300


Prepaid expenses


5,873



10,079


Derivative assets, at fair value


10,571



13,165


Other current assets


4,022



5,684


 Total current assets


124,242



191,537


 Deferred Charges and Other Assets





Goodwill


25,785



25,837


Other intangible assets, net


5,611



6,207


Investments, at fair value


8,821



6,711


Operating lease right-of-use assets (1)


12,404




Regulatory assets


76,945



72,422


Other assets


6,212



6,985


 Total deferred charges and other assets


135,778



118,162


Total Assets


$

1,681,042



$

1,693,671



(1) During the first quarter of 2019, the Company adopted a new lease accounting standard, resulting in additional assets and liabilities (both current and non-current portions) which total $12.4 million at June 30, 2019.

 

 

 

Chesapeake Utilities Corporation and Subsidiaries

Condensed Consolidated Balance Sheets (Unaudited)

Capitalization and Liabilities


June 30, 2019


December 31, 2018

(in thousands, except shares and per share data)





 Capitalization





 Stockholders' equity





Preferred stock, par value $0.01 per share (authorized 2,000,000 shares), no shares issued and outstanding


$



$


Common stock, par value $0.4867 per share (authorized 50,000,000 shares)


7,984



7,971


 Additional paid-in capital


256,385



255,651


 Retained earnings


285,762



261,530


 Accumulated other comprehensive loss


(5,747)



(6,713)


 Deferred compensation obligation


4,694



3,854


 Treasury stock


(4,694)



(3,854)


 Total stockholders' equity


544,384



518,439


 Long-term debt, net of current maturities


275,924



316,020


 Total capitalization


820,308



834,459


 Current Liabilities





Current portion of long-term debt


75,600



11,935


Short-term borrowing


301,226



294,458


Accounts payable


50,645



129,804


Customer deposits and refunds


29,839



34,155


Accrued interest


2,073



2,317


Dividends payable


6,644



6,060


Accrued compensation


8,699



13,923


Regulatory liabilities


10,168



7,883


Derivative liabilities, at fair value


10,994



14,871


Other accrued liabilities (1)


16,527



12,828


 Total current liabilities


512,415



528,234


 Deferred Credits and Other Liabilities





Deferred income taxes


164,421



156,820


Regulatory liabilities


133,858



135,039


Environmental liabilities


6,994



7,638


Other pension and benefit costs


29,675



28,513


Operating lease - liabilities (1)


10,710




Deferred investment tax credits and other liabilities


2,661



2,968


 Total deferred credits and other liabilities


348,319



330,978


Total Capitalization and Liabilities


$

1,681,042



$

1,693,671



(1) During the first quarter of 2019, the Company adopted a new lease accounting standard, resulting in additional assets and liabilities (both current and non-current portions) which total $12.4 million at June 30, 2019.

 


Chesapeake Utilities Corporation and Subsidiaries

Distribution Utility Statistical Data (Unaudited)



For the Three Months Ended June 30, 2019


For the Three Months Ended June 30, 2018



Delmarva NG Distribution


Chesapeake Utilities Florida NG Division


FPU NG Distribution


FPU Electric Distribution


Delmarva NG Distribution


Chesapeake Utilities Florida NG Division


FPU NG Distribution


FPU Electric Distribution

Operating Revenues

(in thousands)















  Residential


$

10,444



$

1,511



$

7,457



$

10,801



$

14,007



$

1,459



$

7,713



$

9,814


  Commercial


6,353



1,587



6,633



9,807



7,752



1,524



6,809



9,709


  Industrial


1,773



3,122



6,062



416



1,987



2,854



5,218



371


  Other (1)


(3,647)



795



(1,489)



(560)



(3,496)



480



(1,459)



(1,532)


Total Operating Revenues


$

14,923



$

7,015



$

18,663



$

20,464



$

20,250



$

6,317



$

18,281



$

18,362



















Volume (in Dts for natural gas and KWHs for electric)













  Residential


558,159



83,315



317,025



72,358



759,202



85,526



329,284



66,682


  Commercial


673,689



1,143,877



426,555



79,540



711,690



1,134,555



432,192



73,276


  Industrial


1,216,120



7,065,699



1,226,774



3,173



1,308,129



7,024,154



1,245,950



3,540


  Other


60,515





634,071





17,759





463,846



1,907


Total


2,508,483



8,292,891



2,604,425



155,071



2,796,780



8,244,235



2,471,272



145,405



















Average Customers















  Residential


73,666



17,205



57,504



24,530



71,038



16,391



55,580



24,714


  Commercial(2)


7,085



1,544



3,937



7,228



6,994



1,517



3,932



7,493


  Industrial(2)


168



17



2,435



2



155



16



2,284



2


  Other


16





12





4





11




Total


80,935



18,766



63,888



31,760



78,191



17,924



61,807



32,209



















 



For the Six Months Ended June 30, 2019


For the Six Months Ended June 30, 2018



Delmarva NG Distribution


Chesapeake Utilities Florida NG Division


FPU NG Distribution


FPU Electric Distribution


Delmarva NG Distribution


Chesapeake Utilities Florida NG Division


FPU NG Distribution


FPU Electric Distribution

Operating Revenues

(in thousands)















  Residential


$

40,414



$

3,297



$

18,177



$

20,661



$

49,321



$

3,219



$

18,888



$

21,346


  Commercial


19,494



3,325



14,336



17,622



23,582



3,246



15,135



18,866


  Industrial


4,162



6,387



12,060



1,026



4,293



4,725



11,590



771


  Other (1)


(4,468)



1,906



(2,123)



(4,467)



(5,239)



990



(4,119)



(3,880)


Total Operating Revenues


$

59,602



$

14,915



$

42,450



$

34,842



$

71,957



$

12,180



$

41,494



$

37,103



















Volume (in Dts for natural gas and KWHs for electric)













  Residential


2,778,534



216,187



822,351



137,869



2,999,757



226,285



852,346



145,210


  Commercial


2,327,009



2,392,641



930,601



141,369



2,417,116



2,374,462



967,736



141,015


  Industrial


2,727,428



14,399,549



2,574,011



10,923



2,817,168



10,089,859



2,550,480



8,060


  Other


78,374





1,189,462





30,292





984,353



3,803


Total


7,911,345



17,008,377



5,516,425



290,161



8,264,333



12,690,606



5,354,915



298,088



















Average Customers















  Residential


73,821



17,097



57,166



24,455



71,136



16,307



55,430



24,679


  Commercial(2)


7,116



1,537



3,917



7,230



7,009



1,509



3,930



7,487


  Industrial(2)


168



17



2,425



2



154



16



2,268



2


  Other


12





12





5





14




Total


81,117



18,651



63,520



31,687



78,304



17,832



61,642



32,168



(1)  Operating Revenues from "Other" sources include unbilled revenue, under (over) recoveries of fuel cost, conservation revenue, other miscellaneous charges, fees for billing services provided to third parties, and adjustments or changes in taxes, such as the TCJA, which are passed through to customers. This amount also includes the reserve for estimated customer refunds associated with the TCJA.

(2)  Certain volumes and customers have been reclassified when compared to the prior year for consistency with current year presentation.

 

Cision View original content:http://www.prnewswire.com/news-releases/chesapeake-utilities-corporation-reports-second-quarter-2019-results-300898579.html

SOURCE Chesapeake Utilities Corporation


Source: PR Newswire (August 8, 2019 - 6:30 AM EDT)

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