01—Abstract
Summary
Summary of the 10-K filed November 13, 2013. Cited figures are marked; the original filing is the authoritative source.
Atmos Energy Corporation's fiscal year 2013 demonstrated solid performance, with net income increasing to $243.2 milliona, or $2.64 per diluted share, up from $216.7 million, or $2.37 per diluted share in fiscal year 2012.
This growth was primarily driven by improvements in rate designs across its natural gas distribution and regulated transmission and storage segments, alongside colder weather that boosted natural gas distribution throughput by 2%. The company also strategically streamlined its operations by divesting its natural gas distribution operations in Georgia in April 2013, following similar sales in Missouri, Illinois, and Iowa in August 2012. Financially, Atmos Energy strengthened its balance sheet by amending its revolving credit agreement to increase borrowing capacity and extending its term, and issued $500 millionb in long-term senior notes.
The company maintained its focus on infrastructure investment, with capital expenditures primarily directed towards safety and reliability improvements in its distribution and transportation systems. These efforts underscore a commitment to sustainable growth and shareholder value, supported by a stable regulatory environment and proactive management of operational and financial risks.
02—Key points
Key Highlights
- Net income increased by 12% to $243.2 million ($2.64 per diluted share) in FY2013, compared to $216.7 million ($2.37 per diluted share) in FY2012.
- Divested Georgia natural gas distribution operations on April 1, 2013, as part of a strategy to streamline regulated operations.
- Completed 13 regulatory proceedings in FY2013, resulting in a $71.4 million increase in annual operating income, primarily from rate design changes in the Mid-Tex and West Texas divisions.
- Strengthened liquidity and borrowing capacity by amending its revolving credit agreement and issued $500 million in 4.15% 30-year unsecured senior notes.
- Capital expenditures for FY2013 were $845.0 million, with a significant portion allocated to improving the safety and reliability of its distribution and transportation systems.
- The regulated natural gas distribution segment accounted for approximately 65% of consolidated net income, while the regulated transmission and storage segment contributed approximately 30%.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-KFY2013filed November 13, 2013Financial Statements
FY2013 against FY2012
| Line item | FY2013FY2012 | Change |
|---|---|---|
| Gross Profit | $1.41B$1.32B | +6.7% |
| Operating Expenses | $910.17M$877.50M | +3.7% |
| Operating Income | $501.88M$446.24M | +12.5% |
| Interest Expense | $128.38M$141.17M | −9.1% |
| Net Income | $243.19M$216.72M | +12.2% |
| EPS (Basic) | $2.68$2.39 | +12.1% |
| EPS (Diluted) | $2.64$2.37 | +11.4% |
| Shares Outstanding (Basic) | 90.53M90.15M | +0.4% |
| Shares Outstanding (Diluted) | 91.71M91.17M | +0.6% |
05—Questions
Frequently Asked Questions
What was Atmos Energy's net income and earnings per share for fiscal year 2013?
For the fiscal year ended September 30, 2013, Atmos Energy reported a net income of $243.2 million, or $2.64 per diluted share, representing an increase from the prior year's net income of $216.7 million, or $2.37 per diluted share.
What major strategic actions did Atmos Energy take in fiscal year 2013?
In fiscal year 2013, Atmos Energy completed the divestiture of its Georgia natural gas distribution operations and strategically streamlined its balance sheet by amending its revolving credit agreement and issuing $500 million in long-term senior notes. The company also continued to invest heavily in infrastructure for safety and reliability.
How did regulatory actions impact Atmos Energy's performance in fiscal year 2013?
Atmos Energy completed 13 regulatory proceedings in fiscal year 2013, which were expected to increase annual operating income by $71.4 million. Key rate design changes implemented in the Mid-Tex and West Texas divisions aimed to improve the ratable recovery of operating income throughout the year by adjusting customer base charges and consumption charges.
What is the company's financial health and liquidity position as of September 30, 2013?
As of September 30, 2013, Atmos Energy had a total debt to total capitalization ratio of 52.2%, indicating a stable financial position. The company also had access to over $1 billion in working capital funding through its committed revolving credit facilities and commercial paper program, and was in compliance with all debt covenants.
06—Continue