Alliant Energy Corporation
4902 North Biltmore Lane
Madison, WI 53718-2148
FOR IMMEDIATE RELEASE
Scott Reigstad (608) 458-3145
Susan Gille (608) 458-3956
ALLIANT ENERGY ANNOUNCES SECOND QUARTER 2020 RESULTS
MADISON, Wis. - August 6, 2020 - Alliant Energy Corporation (NASDAQ: LNT) today announced U.S. generally accepted accounting principles (GAAP) consolidated unaudited earnings per share (EPS) for the three months ended June 30 as follows:
Utilities and Corporate Services
American Transmission Company (ATC) Holdings
Non-utility and Parent
Alliant Energy Consolidated
“Our purpose-driven strategy has once again delivered solid results. We recently released our new Corporate Responsibility Report highlighting dozens of stories of how we are living our values as we deliver on our environmental goals and serving the social needs of the communities we call home, which have been even more important during the first half of this year,” said John Larsen, Alliant Energy Chairman, President and CEO. “With continued focus on cost management to offset COVID-19 impacts on sales, we are affirming our 2020 earnings guidance range.”
Utilities and Corporate Services - Alliant Energy’s Utilities and Alliant Energy Corporate Services, Inc. (Corporate Services) operations generated $0.48 per share of GAAP EPS in the second quarter of 2020, which was $0.10 per share higher than the second quarter of 2019. The primary drivers of higher EPS were higher earnings resulting from IPL’s and WPL’s increasing rate base, as well as favorable temperature impacts on electric sales for the quarter. These items were partially offset by higher depreciation expense and timing of income taxes. Alliant Energy’s temperature-normalized retail electric sales in the second quarter decreased for commercial and industrial customers, partially offset by an increase for residential customers mainly due to the COVID-19 pandemic. The resulting modest decrease in retail electric sales was primarily mitigated by cost reduction measures.
Non-utility and Parent - Alliant Energy’s Non-utility and Parent operations generated $0.02 per share of GAAP EPS in the second quarter of 2020, which was a $0.03 per share earnings increase compared to the second quarter of 2019. The higher EPS was primarily driven by the timing of income taxes.
Details regarding GAAP EPS variances between the second quarters of 2020 and 2019 for Alliant Energy are as follows:
Higher revenue requirements primarily due to increasing rate base
Estimated temperature impact on retail electric and gas sales
Higher depreciation expense
Timing of income taxes
Higher revenue requirements primarily due to increasing rate base - In March 2019, Interstate Power and Light Company (IPL) filed a request with the Iowa Utilities Board (IUB) to increase annual rates for its Iowa retail electric and gas customers, based on a 2020 forward-looking test period. An interim retail electric rate increase was implemented effective April 2019. The IUB approved a settlement agreement to increase retail gas rates, which was implemented on January 10, 2020. The IUB approved a settlement agreement to increase retail electric rates, which was implemented on February 26, 2020. IPL recognized $0.12 per share increase in the second quarter of 2020 due to the higher revenue requirements from increasing rate base. Increasing rate base at IPL is primarily attributed to its new wind generation projects. These investments have increased depreciation expense and reduced fuel costs.