TORONTO – Hydro One Ltd. reported a lower second-quarter profit as revenue fell compared with a year ago, reflecting the impact of milder weather and a delay in a rate decision.
The owner of Ontario’s largest electricity distribution system says milder weather during the quarter ended June 30 resulted in less demand during peak pricing periods.
Revenue fell 11.3 per cent to $1.37 billion while revenue excluding purchased power slipped 2.8 per cent to $722 million.
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Net income for the Hydro One shareholders dropped to $117 million, or 20 cents per diluted share, compared with $152 million or 25 cents per diluted share a year ago.
In addition to the lower revenue, the quarter included higher storm-related costs compared with the same time past year.
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The Ontario government remains Hydro One’s largest shareholder, but its stake slipped below 50 per cent following the sale of a block of shares during the quarter.
Last month, Hydro One signed a friendly deal to acquire U.S. energy company Avista Corp. in an agreement that valued the company at $6.7 billion.
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