SJI: South Jersey Industries Beats Estimates
Mid Cap Watch List (Track at Marketocracy) member South Jersey Industries (SJI - Annual Report) reported earnings that exceeded consensus estimates.
South Jersey Industries (NYSE: SJI) today announced income from continuing operations for 2006 of $72.3 million, and restated income from continuing operations of $39.8 million in 2005. Earnings per share from continuing operations for 2006 totaled $2.47 compared with the prior year period restated at $1.40. The restatement of 2005 results, which was previously announced in an SEC Form 8-K filing on February 14, 2007, reflected a downward adjustment of $8.8 million, or $0.31 per share, due to the elimination of hedge accounting treatment for our commodity derivative positions.Our on-going practice will be to provide supplementary information to reflect the economic value, as opposed to the marked-to-market value, of all of our commodity derivative transactions with the establishment of a non-GAAP measure called “Economic Earnings.” Economic Earnings, which eliminates all unrealized gains or losses on commodity derivative transactions, rose 9% to $54.0 million, or $1.85 per share, for 2006 compared with $49.5 million, or $1.74 per share, for 2005.
The consensus estimate for 2006 was for $1.84 in economic earnings. No balance sheet or cash flow statement was presented with the earnings release, leaving little opportunity for further analysis.
Like this article? Why not try out:
