10-KPeriod: FY2014

ENTERGY CORP /DE/ Annual Report, Year Ended Dec 31, 2014

Filed February 26, 2015For Securities:ETR

Summary

Entergy Corporation, in its 2014 annual report, outlined its business as an integrated energy company primarily involved in electric power production and retail distribution across Arkansas, Louisiana, Mississippi, and Texas. The company reported 2014 revenues of $12.5 billion and employed approximately 13,000 individuals. The report details operations across two main segments: Utility and Entergy Wholesale Commodities. The Utility segment serves 2.8 million customers, while the Wholesale Commodities segment manages nuclear power plants and their decommissioning. Entergy's strategy focuses on operational excellence and growth within its utility business, particularly leveraging the industrial expansion in the Gulf region.

Financial Statements
Beta
Operating Expenses$10.49B
Operating Income$2.01B
Interest Expense$661.08M
Net Income$960.26M
EPS (Basic)$2.62
EPS (Diluted)$2.61
Shares Outstanding (Basic)359.01M
Shares Outstanding (Diluted)360.59M

Key Highlights

  • 1Entergy operates as an integrated energy company with a strong focus on its Utility business, serving 2.8 million customers across four states, and its Entergy Wholesale Commodities segment.
  • 2In 2014, the company generated $12.5 billion in annual revenues and employed approximately 13,000 people.
  • 3The Utility segment's strategic imperative is to grow by capitalizing on industrial expansion in the Gulf region.
  • 4The Entergy Wholesale Commodities segment focuses on managing risk and preserving value in its nuclear operations.
  • 5Entergy's generation portfolio relies heavily on natural gas and nuclear power, aligning with environmental support.
  • 6The company's financial health is subject to regulatory proceedings for rate setting, with various subsidiaries regularly participating in these processes.
  • 7Entergy actively manages fuel costs through hedging strategies for natural gas, aiming to stabilize electricity costs for customers.

Frequently Asked Questions

Entergy primarily operates through two business segments: Utility, which includes generation, transmission, distribution, and sales of electric power and a small natural gas distribution business, and Entergy Wholesale Commodities, which includes the ownership, operation, and decommissioning of nuclear power plants and the sale of power to wholesale customers.

Entergy's Utility business delivers electricity to approximately 2.8 million customers in portions of Arkansas, Louisiana, Mississippi, and Texas, including the City of New Orleans.

Entergy's strategic imperative for its Utility business is to grow by leveraging the industrial expansion underway in the Gulf region of the United States.

Entergy utilizes hedging strategies for natural gas price volatility to help stabilize electricity costs for its customers. For example, Entergy Gulf States Louisiana hedges approximately one-third of its projected exposure to natural gas price changes for gas used to serve its native electric load.