Press Releases
07/26/2022
AVANGRID Reports Excellent Second Quarter 2022 Financial Results and Reaffirms 2022 Earnings Outlook
AVANGRID Reports Excellent Second Quarter 2022 Financial Results and Reaffirms 2022 Earnings Outlook
- 2Q 2022 Net Income & Adjusted Net Income increased 88% and 46%, respectively
- Reaffirming 2022 Earnings Outlook of $850-$920 million and $2.20-$2.38 per share
- Implemented third year of rate plan for New York utilities. Filed rate cases in New York, a Notice of Intent to file a rate case in Maine, and reached a rate settlement with Massachusetts (MA) Attorney General
- Commissioned Golden Hills 201 MW onshore wind farm at the end of April
Orange, CT – July 26, 2022 - Today AVANGRID, Inc. (NYSE: AGR), a leading sustainable energy company, and a member of the group of companies controlled by IBERDROLA, S.A., reported consolidated U.S. GAAP net income for the second quarter ended June 30, 2022 of $184 million, or $0.48 per share, compared to $98 million, or $0.28 per share, for the second quarter ended June 30, 2021. For the first half of 2022, consolidated net income was $629 million, or $1.63 per share, compared to $432 million, or $1.31 per share, for the first half of 2021.
On a non-U.S. GAAP adjusted basis, consolidated net income for the second quarter ended June 30, 2022 was $178 million, or $0.46 per share, compared to $122 million, or $0.35 per share, for the second quarter ended June 30, 2021. For the first half of 2022, non-U.S. GAAP adjusted net income was $628 million, or $1.62 per share, compared to $476 million, or $1.45 per share, for the first half of 2021.
Weighted average shares outstanding for the second quarter and first half of 2022 were 386.7 million, compared to 347.1 million and 328.4 million during the same periods in 2021, respectively.
"Our continued operational excellence, strong leadership, and focus on execution translated into excellent second quarter and first half financial performance," said Pedro Azagra, chief executive officer of AVANGRID. “We are making significant investments in infrastructure, including those that will make the system more resilient against storms. Our utilities in New York recently received a well-deserved award from the Edison Electric Institute Emergency Recovery for their quick system recovery and assistance efforts following recent extreme weather event."
"It is a very exciting time for AVANGRID and I am honored to lead the Company as we accelerate the transformation to a clean energy future. In our Networks business the rate cases we are filing this year propose important investments to update critical grid infrastructure, enhance reliability and resiliency, and deliver on each state's clean energy commitments, contributing to economic development and job creation," added Azagra. "In Renewables, we commissioned 201 MW in the second quarter and remain on track for an additional ~400 MW to be commissioned in 2022. We are leading the offshore wind industry in the U.S. with our three contracted projects of ~2.4 GW capacity in New England - Vineyard Wind 1, Park City Wind and Commonwealth Wind - as well as our ~2.5 GW Kitty Hawk lease area in the mid-Atlantic. The development of our portfolio alone will significantly contribute to the U.S. government's goal to deploy 30 GW of offshore wind by 2030."
Networks
Networks earnings for the second quarter and first half of 2022 compared to the same periods in 2021 increased, mainly benefiting from the successful execution of rate plans in New York and the impacts from a New York regulatory order providing for the recovery of customer arrearages. This favorability was partially offset by higher depreciation expense for assets placed in service and higher expenses related to rate plan commitments, net of higher labor capitalization.
Renewables
Renewables results for the second quarter benefited primarily from favorable pricing. For the first half of 2022, results improved mainly due to the gain from the restructuring of the Company’s New England offshore wind lease partnership agreement in the first quarter of 2022, and also benefited from higher mark-to-market earnings, improved pricing and production, including curtailment payments, and the contribution of new capacity, partially offset by higher depreciation expense and the first quarter 2021 benefits from Storm Uri to ERCOT pricing and thermal and asset management.
Outlook
AVANGRID is re-affirming its 2022 U.S. GAAP Net Income and non-U.S. GAAP Adjusted Net Income outlook of $850-$920 million or $2.20-$2.38 per share, based on 387 million average shares outstanding. This outlook includes the after-tax gain from the restructuring of the Company’s New
England offshore wind partnership agreement.
Non-U.S. GAAP adjusted earnings and adjusted earnings per share exclude mark-to-market adjustments in the Renewables segment, restructuring charges, merger costs and COVID-19 impacts. For additional information, see “Use of Non-U.S. GAAP Financial Measures” and “Reconciliation of Non-U.S. GAAP Financial Measures” at the end of this release.
Earnings Webcast and Investor Day
AVANGRID will webcast an audio-only financial presentation in conjunction with releasing second quarter 2022 earnings tomorrow, Wednesday, July 27, 2022 beginning at 10:00 A.M. Eastern time. The listen-only webcast will feature a presentation from members of the executive team followed by a question and answer session. The webcast can be accessed through the Investor Relations section of AVANGRID’s website. A replay will be available for 90 days in the Investors section of the AVANGRID website.
In addition, AVANGRID will host an Investor day on Thursday, September 22, 2022 at the New York Stock Exchange in New York. AVANGRID's executive team will present an update of AVANGRID's long-term outlook followed by a live question and answer session. Presentation materials and webcast will be made available on the Investors’ section of the AVANGRID website. In addition, for those unable to listen to the live webcast, a replay will be available. More information on the event will be released as soon as it is available.
About Avangrid: Avangrid, Inc. (NYSE: AGR) aspires to be the leading sustainable energy company in the United States. Headquartered in Orange, CT with approximately $44 billion in assets and operations in 24 U.S. states, Avangrid has two primary lines of business: networks and renewables. Through its networks business, Avangrid owns and operates eight electric and natural gas utilities, serving more than 3.3 million customers in New York and New England. Through its renewables business, Avangrid owns and operates a portfolio of renewable energy generation facilities across the United States. Avangrid employs approximately 8,000 people and has been recognized by JUST Capital in 2021, 2022, 2023 and 2024 as one of the JUST 100 companies – a ranking of America’s best corporate citizens. In 2024, Avangrid ranked first among utilities and 12 overall. The company supports the U.N.’s Sustainable Development Goals and was named among the World’s Most Ethical Companies in 2024 for the sixth consecutive year by the Ethisphere Institute. Avangrid is a member of the group of companies controlled by Iberdrola, S.A. For more information, visit www.avangrid.com.
About Iberdrola: Iberdrola is one of the world's biggest energy companies and a leader in renewables, spearheading the energy transition to a low carbon economy. The group supplies energy to almost 100 million people in dozens of countries. With a focus on renewable energy, smart networks and smart solutions for customers, Iberdrola’s main markets include Europe (Spain, the United Kingdom, Portugal, France, Germany, Italy and Greece), the United States, Brazil, Mexico and Australia. The company is also present in growth markets such as Japan, Taiwan, Ireland, Sweden and Poland, among others.
With a workforce of nearly 40,000 and assets in excess of €141.7 billion, across the world, Iberdrola helps to support 400,000 jobs across its supply chain, with annual procurement of €12.2 billion. A benchmark in the fight against climate change, Iberdrola has invested more than €130 billion over the past two decades to help build a sustainable energy model, based on sound environmental, social and governance (ESG) principles.
