Northeast Utilities 3Q profit falls 11 pct

HARTFORD, Conn. (AP) — Power company Northeast Utilities said Monday its third-quarter profit fell 11 percent, driven by weak economic conditions and mild summer weather.

Results were also hurt by the absence of one-time tax and hedging gains the company recognized in the third quarter of 2008.

In a statement, Northeast Utilities said the profit decline came as no surprise. The company had expected the economic downturn and cooler weather to hurt retail electric sales. Looking ahead, the company said it is on track to meet its full-year outlook.

Quarterly earnings declined to $64.8 million, or 37 cents per share, compared with $72.7 million, or 47 cents per share, during the same period last year.

Analysts polled by Thomson Reuters estimated a profit of 38 cents per share, on average. Analysts typically exclude one-time items.

Revenue slid 13 percent to $1.31 billion, down from $1.51 billion in the prior-year period. Analysts forecast an average revenue of $1.46 billion.

Northeast Utilities affirmed its outlook between $1.80 per share to $1.90 per share. That's in line with analyst expectations of $1.84 per share. The company also predicted 2010 earnings between $1.80 per share and $2 per share. Analysts forecast a profit of $1.94 per share.

The company expects to spend $960 million on capital projects in 2009, and projected spending of about $6.4 billion from 2010 through 2014, including $1.1 billion in 2010.

Northeast Utilities' shares fell 32 cents to $22.73 in morning trading.