The natural gas operations segment contributed net income of $1.5 million for the first quarter of 2009, compared to $1.6 million in the year-ago quarter. The marketing and productions segment contributed net income of $422,915 compared to $671,125 for the same quarter of 2008. The pipeline operations segment contributed net income of $29,508 the first quarter of 2009, compared to $21,805 in the year-ago quarter.
The operating revenue is mainly attributable to the natural gas operations segment as a result of sales growth in the Maine market. Net income f for the first quarter of 2009 was impacted by an raise in interest expense of $58,204 from the same period in 2008 because of an increase in borrowings resulting from higher natural gas prices during the summer and fall of 2008 and an raise in income tax expense of $223,647 in the year-ago quarter.
In August 2008, Energy West changed its fiscal year end from June 30 to December 31. The Form 10-Q covers the first quarter of calendar year 2009.
Energy West board has approved the monthly dividend of $0.045 per share. The dividend is payable on May 29, 2009 to shareholders of record as on May 13, 2009.
“Energy West continues to provide consistent earnings and a solid dividend during a quarter when customers focused on conservation and companies experienced cut backs,” said Richard M. Osborne, chairman and chief executive officer of Energy West. “We are pleased to report that our operating revenue in our Natural Gas Operations segment increased as a result of sales growth in our newly-acquired Maine market. This increase in operating revenue validates our acquisition decision in the Maine market as we look forward to continued future growth. We continue to do all the necessary work to make our gas utilities even more efficient and customer focused going forward.”
