NextEra Customer Supply, Trading Business Reports Lower Earnings

The contribution from NextEra Energy's customer supply businesses and proprietary power & gas trading activity to parent-level adjusted earnings was down by approximately $4 million for the fourth quarter of 2011, versus the year-ago quarter, NextEra said in reporting earnings Friday.

For the full year 2011, the contribution from the customer supply businesses and proprietary power & gas trading activity was down by about $92 million, versus the 2010 contribution.

For the full year 2011, the customer supply business alone reported Adjusted Equivalent EBITDA of $110 million, versus NextEra's initial forecast of $130 million, due to the previously reported negative impact on the retail business from the Texas heat event (see 11/7). Adjusted Equivalent EBITDA excludes certain hedging impacts, and includes other adjustments related to production and investment tax credits, which are material to NextEra's reporting of wind generation results more so than the supply business.

NextEra Energy Resources, NextEra's competitive unit which includes customer supply and its various generation business lines, reported fourth-quarter 2011 net income on a GAAP basis of $402 million. On an adjusted basis, Energy Resources' earnings were $128 million.