NV Energy profit falls to $63.2 million in second quarter
NV Energy’s second-quarter profit tapered off amid a dip in revenue and a burst of expenses related to Warren Buffett’s planned buyout of the utility.
The Las Vegas-based power company said Friday it earned $63.2 million of net income, or 27 cents per share, in the three months ending June 30.
That compares to $69.4 million in profit, or 29 cents per share, during the same period last year.
NV Energy, which serves about 90 percent of Nevada’s population, had about $732 million in second-quarter operating revenue, down 1 percent from $741 million a year earlier.
Last quarter, it also incurred $13.6 million in costs related to its pending acquisition by Des Moines, Iowa-based MidAmerican Energy Holdings Co.
MidAmerican, a unit of Buffett’s Berkshire Hathaway, reached a deal in late May to buy NV Energy for $5.6 billion cash. Including debt, the transaction is valued at about $10 billion.
The sale is expected to close in the first quarter of 2014.
Buffett has become one of the wealthiest men in the world, with an estimated net worth of $53.5 billion, rolling up companies for his Omaha, Neb., conglomerate. He is a famously hands-off manager who usually keeps executives in place to run things as usual.
The same is expected for NV Energy. The utility’s chief executive, Michael Yackira, told VEGAS INC the day the deal was announced that MidAmerican’s “track record is not to have layoffs” when buying other companies and that he expects to remain CEO alongside other current executives.