Hawaiian Electric Industries profit falls
The parent company of Hawaiian Electric Co. and American Savings Bank posted lower earnings for fiscal 2009 compared to 2008.
Hawaiian Electric Industries (NYSE: HEI) reported a profit of $102.3 million for fiscal 2009, an 18.7 percent decrease from the $125.9 million it earned in fiscal 2008.
That figure, however, includes $19.3 million in after-tax charges related to a previous sale of the bank’s mortgage-related securities portfolio.
Total revenue was down for the year to $2.3 billion, compared to $3.2 billion the previous year.
HEI attributed the decrease to lower kilowatt-hour sales at its electric utilities, increases in utility operations and bank credit expenses.
“It was a challenging year and we made difficult decisions to curb spending and reduce risk, while continuing to progress forward with long-term strategic initiatives to move Hawaii toward a clean-energy future and improved performance and profitability at both our utility and bank,” said Constance Lau, HEI president and CEO, in a prepared statement payday advance.
Electric utility earnings were $79.4 million for the year, compared to $92 million the previous year. Kilowatt-hour sales were off 2.5 percent while operating expenses increased by $5.3 million.
Income from American Savings Bank was up 22 percent for the year to $21.8 million. But, the company said adjusted net income from the bank was $41.1 million and $53.4 million in 2009 and 2008, respectively, a 23 percent decrease for the year. The non-adjusted figures include the after-tax charge in 2009 and a balance sheet restructuring charge in 2008.
“Like many banks across the country, our bank was affected by the economic pressures in 2009,” Lau said. “However, as we have done throughout the economic crisis, we kept capital healthy and depositors’ money safe.”
Shares of Hawaiian Electric Industries stock were up 1.4 percent to $42.78 on Thursday.