Summary
Dominion Energy, Inc. (D) filed its 2014 Form 10-K on February 26, 2015. The report details the company's financial performance and strategic direction for the year ended December 31, 2014. Dominion continues its strategy to focus on regulated electric and natural gas infrastructure, expecting 80-90% of future earnings to come from these stable, contracted businesses. Significant capital investments are planned for grid modernization, natural gas infrastructure expansion (including the Atlantic Coast Pipeline), and meeting environmental requirements. The company also completed the sale of its electric retail energy marketing business in March 2014. Financially, Dominion reported a decrease in net income attributable to the company in 2014 compared to 2013, primarily due to charges related to Virginia legislation for new nuclear and offshore wind projects, restructuring costs, and a liability management exercise. Despite these charges, the company maintained its focus on growth projects and operational efficiency. The company's financial health appears stable, with sufficient liquidity and unused capacity under its credit facilities. Dominion reiterated its commitment to growing its dividend.
Financial Highlights
52 data points| Revenue | $12.44B |
| Operating Expenses | $9.71B |
| Operating Income | $2.72B |
| Net Income | $1.31B |
| EPS (Basic) | $2.25 |
| EPS (Diluted) | $2.24 |
| Shares Outstanding (Basic) | 582.70M |
| Shares Outstanding (Diluted) | 584.50M |
Key Highlights
- 1Dominion's strategy is to focus on regulated electric and natural gas businesses, targeting 80-90% of future earnings from these segments.
- 2The company plans significant capital investments of approximately $5.8 billion in 2015, $5.6 billion in 2016, and $4.6 billion in 2017 for growth projects.
- 3Dominion completed the sale of its electric retail energy marketing business in March 2014.
- 4The company experienced a decrease in net income attributable to Dominion in 2014 compared to 2013, mainly due to various charges including those related to Virginia legislation for nuclear and offshore wind projects.
- 5Dominion Midstream launched its initial public offering in October 2014, with Dominion retaining a 68.5% limited partner interest.
- 6The company plans to continue growing its dividend, targeting a payout ratio of 70-75% and increasing the annual dividend rate for 2015 by 8%.
- 7Dominion is subject to extensive government regulation across its electric and gas operations, with ongoing reviews and compliance requirements.