|
|
|
|
Updated: NRG Reports Retail Volumes, Drivers Of Economic Gross Margin Decrease
The following story is brought free of charge to readers by EC Infosystems, the exclusive EDI provider of EnergyChoiceMatters.com
A 10-Q for NRG disclosed further details concerning earnings for the quarter ending March 31, 2019 (Q1 2019).
See yesterday's stories on NRG's earnings for a review of Retail earnings and outlook
NRG Reports Lower Retail Adjusted EBITDA On Higher Supply Costs
NRG Expects Higher ERCOT Volatility To Create Opportunity To Acquire Small, Mid-Sized Customer Books "At Value"
Regarding the previously reported $4 million decline in economic gross margin for NRG's Retail segment during Q1 2019, versus the year-ago, NRG detailed the decline as follows (versus the year-ago):
$ in millions
• Lower gross margin due to higher supply costs driven by an increase in power prices of approximately $3.25 per MWh or $46 million, partially offset by higher revenue driven by the effect of the margin enhancement initiatives of approximately $1.50 per MWh or $20 million: $(26)
• Lower gross margin due to the unfavorable weather impact from a decrease in load of 185,000 MWh: $(8)
• Higher gross margin primarily driven by higher volumes from XOOM and other customer acquisitions in 2018: $30
NRG reported volumes for the three months ended March 31, 2019 as:
Mass electricity sales volume — GWh - Texas: 7,990
Mass electricity sales volume — GWh - All other regions: 2,494
C&I electricity sales volume — GWh - All regions: 4,831
Natural gas sales volumes (MDth): 10,547
NRG also reported the following increases (decreases) in selling, general and administrative expenses in Q1 2019, versus the year ago
$ in millions
• Increase in selling and marketing expenses associated with costs incurred for margin enhancement initiatives: $15
• Increase in bad debt expense primarily due to higher customer attrition: $10
• Increase in selling expense due to the acquisition of XOOM in June 2018: $9
• Decrease in general and administrative expense from cost initiatives for the Transformation Plan: $(17)
ADVERTISEMENT Copyright 2010-16 Energy Choice Matters. If you wish to share this story, please
email or post the website link; unauthorized copying, retransmission, or republication
prohibited.
May 3, 2019
Email This Story
Copyright 2010-19 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
NEW Jobs on RetailEnergyJobs.com:
• NEW! -- Retail Energy Operations Analyst
• NEW! -- Retail Energy Operations Specialist
• NEW! -- Account Manager, Energy Choice
• NEW! -- Business Development Manager
|
|
|