OGE Energy Corp. Reports Third Quarter Earnings

Oklahoma City-based OGE Energy Corp. reported earnings of $183 million or $0.92 per diluted share for the three months ended September 30, 2017, according to a company press release issued on Thursday. This compares with $184 million or $0.92 per diluted share for the third quarter of 2016.

OG&E, a regulated electric utility, contributed earnings of $0.81 per share in the third quarter, compared with earnings of $0.80 per share in the third quarter last year. OGE Energy’s interest in the natural gas midstream operations contributed earnings of $0.10 compared to $0.11 per share in the same quarter a year ago.

OG&E is the holder of 25.7 percent limited partner interest and 50 percent general partner interest in Enable Midstream Partners, LP. The holding company posted earnings of $0.01 per share in both the third quarters of 2017 and 2016.

“Third quarter earnings were impacted primarily by cool summer weather in our utility service territory with performance on plan in other areas.” said Sean Trauschke, OGE Energy Corp. Chairman, President and CEO. “Our focus remains on executing and completing projects in the best interests of our customers in a safe and cost-efficient manner.”

OG&E’s net income was $162 million compared to $160 million in the same quarter a year ago. The increase in net income was due in part to non-cash earnings used to recover financing costs during construction of the Mustang and Sooner plants.   These earnings were partially offset by lower gross margin as a result of mild summer weather.

Natural Gas Midstream Operations contributed net income to OGE Energy Corp. of $21 million for the third quarter compared to $23 million for the same period in 2016.  Higher gross margin was offset by increased operating and interest expenses.  Enable Midstream issued cash distributions to OGE of approximately $35 million in both the third quarters of 2017 and 2016.