Latest news with #PacificCurrent
Yahoo
07-08-2025
- Business
- Yahoo
HEI Reports Second Quarter 2025 Results
Utility Continues to Improve the Safety, Reliability and Resilience of Service to Our Communities Through Advancement of Wildfire Safety Strategy Legislation Signed Into Law by Governor Green Appropriates Funds for the State's Contribution to the Maui Wildfire Tort Litigation Settlement, Directs the Public Utilities Commission to Establish an Aggregate Liability Cap for Economic Damages from Future Wildfires, Authorizes Securitization for Infrastructure Resilience Investments and Supports Reliable, Affordable Clean Energy Procurement Continued Progress Toward a Simpler, More Focused Business With Sale of Pacific Current's Solar and Battery Storage Assets Quarter's Results Reflect $5 Million Earnings Impact from Asset Impairment and Tax Credit Recapture Related to Sale HONOLULU, August 07, 2025--(BUSINESS WIRE)--Hawaiian Electric Industries, Inc. (NYSE - HE) (HEI) today reported net income for the second quarter of 2025 of $26 million, or $0.15 per share. Excluding Maui wildfire-related expenses and expenses taken in connection with the review of strategic options for Pacific Current, Core1 income from continuing operations was $35 million, or $0.20 per share, compared to $28 million, or $0.26 per share in 2024. "Our core operations performed as expected in the second quarter, with the utility progressing measures to protect our communities against the risks posed by extreme weather events. We've also continued to make the changes necessary to move forward as a simpler, more focused company best positioned to serve our communities for the long term. This includes our sale of Pacific Current's solar and battery storage assets and the expected divestiture of our remaining stake in American Savings Bank over the next year," said Scott Seu, HEI president and CEO. "Last month, Governor Josh Green signed legislation passed by the Hawaii State Legislature directing the Public Utilities Commission to establish a liability cap for future wildfires, and authorizing securitization to finance $500 million in wildfire safety improvements, helping customer affordability. Legislation to reduce risk to independent power producers and support the utility's ability to procure reliable, affordable clean energy was also signed into law, along with legislation appropriating funds for the State of Hawaii's contribution to the settlement, ensuring the settlement is able to move forward." ___________________ Note: Throughout this release, per share values are calculated based on diluted shares. 1 Measures described as "Core" for the periods in this news release are non-GAAP measures which exclude Maui wildfire-related costs and expenses taken in connection with the strategic review of Pacific Current. See the "Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures" and the related GAAP reconciliation at the end of this release. HAWAIIAN ELECTRIC COMPANY (HAWAIIAN ELECTRIC) EARNINGS Hawaiian Electric's net income for the second quarter of 2025 was $39 million compared to a net loss of $1,229 million in the second quarter of 2024, with the increase primarily driven by the following pre-tax items: The $1,712 million loss recorded in the second quarter of 2024 due to the accrual of estimated wildfire liabilities related to tort-related legal claims and cross claims as of June 30, 2024; $7 million in higher revenues, primarily from the annual revenue adjustment mechanism, but also including $1 million of demand response revenues (offset by expenses included in O&M); and $4 million impact from better heat rate performance. These items were partially offset by the following: $11 million in higher O&M, driven by $7 million in higher wildfire mitigation program expenses, $4 million of higher legal and consulting costs (which were previously deferred), $2 million in higher property and general liability insurance costs and $1 million in higher demand response expenses (offset by demand response revenues). Higher O&M expenses were partially offset by the absence of costs related to the settlement of indemnification claims asserted by the state (recorded in 2024). Hawaiian Electric's Core net income for the second quarter of 2025 was $42 million compared to $44 million in the same quarter last year. Pre-tax wildfire-related expenses of $11 million were partially offset by $10 million of costs deferred pursuant to the Public Utilities Commission's decision allowing Hawaiian Electric to defer these costs. Utility Dividend Update The Hawaiian Electric Board of Directors declared a $10 million cash dividend payable to HEI for the second quarter of 2025. HOLDING AND OTHER COMPANIES The holding and other companies' net loss was $13 million in the second quarter of 2025 compared to $20 million in the second quarter of 2024. The lower net loss for the quarter was primarily due to lower wildfire expenses, partially offset by expenses taken in relation to the strategic review of Pacific Current. Excluding these expenses, Core net loss for the quarter was $7 million compared to $15 million in the second quarter of 2024. EARNINGS RELEASE, WEBCAST AND CONFERENCE CALL TO DISCUSS EARNINGS HEI will conduct a webcast and conference call to review its second quarter 2025 consolidated financial results today at 10:30 a.m. Hawaii time (4:30 p.m. Eastern). To listen to the conference call, dial 1-888-660-6377 (U.S.) or 1-929-203-0797 (international) and enter passcode 2393042. Parties may also access presentation materials (which include reconciliation of non-GAAP measures) and/or listen to the conference call by visiting the conference call link on HEI's website at under "Investor Relations," sub-heading "News and Events — Events and Presentations." A replay will be available online and via phone. The online replay will be available on HEI's website about two hours after the event. The audio replay will also be available about two hours after the event through August 14, 2025. To access the audio replay, dial 1-800-770-2030 (U.S.) or 1-647-362-9199 (international) and enter passcode 2393042. HEI and Hawaiian Electric Company, Inc. (Hawaiian Electric) intend to continue to use HEI's website, as a means of disclosing additional information; such disclosures will be included in the Investor Relations section of the website. Accordingly, investors should routinely monitor the Investor Relations section of HEI's website, in addition to following HEI's and Hawaiian Electric's press releases, HEI's and Hawaiian Electric's Securities and Exchange Commission (SEC) filings and HEI's public conference calls and webcasts. Investors may sign up to receive e-mail alerts via the "Investor Relations" section of the website. The information on HEI's website is not incorporated by reference into this document or into HEI's and Hawaiian Electric's SEC filings unless, and except to the extent, specifically incorporated by reference. Investors may also wish to refer to the Public Utilities Commission of the State of Hawaii (PUC) website at to review documents filed with, and issued by, the PUC. No information on the PUC website is incorporated by reference into this document or into HEI's and Hawaiian Electric's SEC filings. ABOUT HEI The HEI family of companies provides the energy services that empower much of the economic and community activity of Hawaii. HEI's electric utility, Hawaiian Electric, supplies power to approximately 95% of Hawaii's population and is undertaking an ambitious effort to decarbonize its operations and the broader state economy, and modernize and harden the grid to ensure resilience and public safety. For more information, visit NON-GAAP MEASURES Measures described as "Core" are non-GAAP measures which exclude Maui wildfire-related costs, and expenses taken in connection with HEI's ongoing review of strategic options for Pacific Current. See "Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures" and the related GAAP reconciliations at the end of this release. This release may contain "forward-looking statements," which include statements that are predictive in nature, depend upon or refer to future events or conditions, and usually include words such as "will," "expects," "anticipates," "intends," "plans," "believes," "predicts," "estimates" or similar expressions. In addition, any statements concerning future financial performance, ongoing business strategies or prospects or possible future actions are also forward-looking statements. Forward-looking statements are based on current expectations and projections about future events and are subject to risks, uncertainties and the accuracy of assumptions concerning HEI and its subsidiaries, the performance of the industries in which they do business and economic, political and market factors, among other things. These forward-looking statements are not guarantees of future performance. Forward-looking statements in this release should be read in conjunction with the "Cautionary Note Regarding Forward-Looking Statements" and "Risk Factors" discussions (which are incorporated by reference herein) set forth in HEI's Annual Report on Form 10-K for the year ended December 31, 2024 and HEI's other SEC periodic reports and filings that discuss important factors that could cause HEI's results to differ materially from those anticipated in such statements. These forward-looking statements speak only as of the date of the report, presentation or filing in which they are made. Except to the extent required by the federal securities laws, HEI, Hawaiian Electric, and their subsidiaries undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries CONSOLIDATED STATEMENTS OF INCOME DATA (Unaudited) Three months endedJune 30 Six months endedJune 30 (in thousands, except per share amounts) 2025 2024 2025 2024 Revenues Electric utility $ 742,482 $ 792,331 $ 1,480,848 $ 1,580,909 Other 3,910 3,086 9,614 6,522 Total revenues 746,392 795,417 1,490,462 1,587,431 Expenses Electric utility (includes $1,712 million of Wildfire tort-related claims in three and six months ended June 30, 2024) 677,938 2,436,771 1,340,367 3,161,994 Other 14,707 20,235 33,928 36,139 Total expenses 692,645 2,457,006 1,374,295 3,198,133 Operating income (loss) Electric utility 64,544 (1,644,440 ) 140,481 (1,581,085 ) Other (10,797 ) (17,149 ) (24,314 ) (29,617 ) Total operating income (loss) 53,747 (1,661,589 ) 116,167 (1,610,702 ) Retirement defined benefits credit—other than service costs 919 1,001 1,836 2,002 Interest expense, net (27,256 ) (32,400 ) (61,468 ) (63,991 ) Allowance for borrowed funds used during construction 1,462 1,344 2,879 2,730 Allowance for equity funds used during construction 3,702 3,336 7,287 6,976 Interest income 7,579 3,134 20,202 6,267 Loss on sale of a subsidiary and impairment loss on assets held for sale (178 ) — (13,389 ) — Income (loss) from continuing operations before income taxes 39,975 (1,685,174 ) 73,514 (1,656,718 ) Income tax expense (benefit) 13,417 (435,950 ) 19,812 (429,155 ) Income (loss) from continuing operations 26,558 (1,249,224 ) 53,702 (1,227,563 ) Preferred stock dividends of subsidiaries 473 473 946 946 Income (loss) from continuing operations for common stock 26,085 (1,249,697 ) 52,756 (1,228,509 ) Loss from discontinued operations — (45,787 ) — (24,853 ) Net income (loss) for common stock $ 26,085 $ (1,295,484 ) $ 52,756 $ (1,253,362 ) Continuing operations - Basic earnings (loss) per common share $ 0.15 $ (11.33 ) $ 0.31 $ (11.14 ) Discontinued operations - Basic loss per common share — (0.42 ) — (0.23 ) Basic earnings (loss) per common share $ 0.15 $ (11.74 ) $ 0.31 $ (11.37 ) Continuing operations - Diluted earnings (loss) per common share $ 0.15 $ (11.33 ) $ 0.31 $ (11.14 ) Discontinued operations - Diluted loss per common share — (0.42 ) — (0.23 ) Diluted earnings (loss) per common share $ 0.15 $ (11.74 ) $ 0.31 $ (11.37 ) Weighted-average number of common shares outstanding 172,496 110,303 172,487 110,260 Weighted-average shares assuming dilution 172,655 110,303 172,832 110,260 Income (loss) from continuing operations for common stock by segment Electric utility $ 39,150 $ (1,229,394 ) $ 86,966 $ (1,190,173 ) Other (13,065 ) (20,303 ) (34,210 ) (38,336 ) Income (loss) from continuing operations for common stock $ 26,085 $ (1,249,697 ) $ 52,756 $ (1,228,509 ) Comprehensive income (loss) attributable to HEI $ 25,779 $ (1,293,890 ) $ 51,990 $ (1,261,569 ) This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI filings with the SEC. Results of operations for interim periods are not necessarily indicative of results to be expected for future interim periods or the full year. Hawaiian Electric Company, Inc. (Hawaiian Electric) and Subsidiaries CONSOLIDATED STATEMENTS OF INCOME DATA (Unaudited) Three months endedJune 30 Six months endedJune 30 ($ in thousands, except per barrel amounts) 2025 2024 2025 2024 Revenues $ 742,482 $ 792,331 $ 1,480,848 $ 1,580,909 Expenses Fuel oil 210,587 258,652 449,308 542,948 Purchased power 174,963 181,328 321,680 341,145 Other operation and maintenance 158,217 147,561 301,325 291,451 Wildfire tort-related claims — 1,712,000 — 1,712,000 Depreciation 63,974 62,812 127,993 125,624 Taxes, other than income taxes 70,197 74,418 140,061 148,826 Total expenses 677,938 2,436,771 1,340,367 3,161,994 Operating income (loss) 64,544 (1,644,440 ) 140,481 (1,581,085 ) Allowance for equity funds used during construction 3,702 3,336 7,287 6,976 Retirement defined benefits credit—other than service costs 1,052 1,072 2,103 2,144 Interest expense and other charges, net (21,706 ) (21,417 ) (44,158 ) (41,402 ) Allowance for borrowed funds used during construction 1,462 1,344 2,879 2,730 Interest income 1,215 1,452 3,196 2,884 Income (loss) before income taxes 50,269 (1,658,653 ) 111,788 (1,607,753 ) Income tax expense (benefit) 10,620 (429,758 ) 23,824 (418,578 ) Net income (loss) 39,649 (1,228,895 ) 87,964 (1,189,175 ) Preferred stock dividends of subsidiaries 229 229 458 458 Net income (loss) attributable to Hawaiian Electric 39,420 (1,229,124 ) 87,506 (1,189,633 ) Preferred stock dividends of Hawaiian Electric 270 270 540 540 Net income (loss) for common stock $ 39,150 $ (1,229,394 ) $ 86,966 $ (1,190,173 ) Comprehensive income (loss) attributable to Hawaiian Electric $ 39,103 $ (1,229,440 ) $ 86,872 $ (1,190,268 ) OTHER ELECTRIC UTILITY INFORMATION Kilowatthour sales (millions) Hawaiian Electric 1,509 1,470 2,962 2,882 Hawaii Electric Light 257 254 512 508 Maui Electric 266 247 523 487 2,032 1,971 3,997 3,877 Average fuel oil cost per barrel $ 100.40 $ 120.12 $ 102.56 $ 121.01 Return on average common equity (%) (twelve months ended)1 3.7 NM 1 Simple average. NM Not meaningful. This information should be read in conjunction with the consolidated financial statements and the notes thereto in Hawaiian Electric filings with the SEC. Results of operations for interim periods are not necessarily indicative of results to be expected for future interim periods or the full year. Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures HEI management uses certain non-GAAP measures to evaluate the performance of HEI. Management believes these non-GAAP measures provide useful information and are a better indicator of the companies' core operating activities. Core earnings and other financial measures as presented here may not be comparable to similarly titled measures used by other companies. The accompanying tables provide a reconciliation of reported GAAP1 earnings to non-GAAP Core earnings. The reconciling adjustments from GAAP earnings to Core earnings are limited to the costs related to the Maui wildfires and costs related to HEI's ongoing review of strategic options for Pacific Current. Management does not consider these items to be representative of the company's fundamental core earnings. Reconciliation of GAAP1 to non-GAAP Measures Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries Unaudited Three months endedJune 30 Six months endedJune 30 (in thousands) 2025 20242 2025 20242 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 5,888 $ 24,181 $ 14,738 $ 39,125 Outside services expense 11 1,396 135 2,518 Wildfire tort-related claims — ... 1,712,000 — 1,712,000 Other expense 5,859 6,880 11,787 16,216 Interest expense 870 3,386 2,901 8,211 Pretax expenses 12,628 1,747,843 29,561 1,778,070 Insurance recoveries3 2,418 (18,875 ) (4,304 ) (31,452 ) Deferral of cost (9,889 ) (7,656 ) (15,572 ) (15,554 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment 5,157 1,721,312 9,685 1,731,064 Pretax loss on sale of a subsidiary — — 13,211 — Pretax asset impairment 178 — 178 — Income tax expense (benefit)4 3,936 (443,238 ) (632 ) (445,749 ) After-tax adjustments $ 9,271 $ 1,278,074 $ 22,442 $ 1,285,315 1 Accounting principles generally accepted in the United States of America. 2 Excludes Maui wildfire-related costs of discontinued operations. 3 Includes adjustments related to costs that are no longer probable of recovery under the insurance policies. For the three and six months ended June 30, 2025, adjustments amount to $6.6 million, of which, $4.0 million was deferred to a regulatory asset and is reported on line "Deferral of cost". 4 Current year composite statutory tax rate of 25.75% and includes expected investment tax recapture. Note: Other segment (Holding and Other Companies) wildfire-related expenses (legal, outside services and other) are included in "Expenses-Other" and interest expense is included in "Interest expense, net" on the HEI and subsidiaries' Consolidated Statements of Income Data. See Electric Utilities' and Holding and Other Companies' tables below for more detail. Reconciliation of GAAP to non-GAAP Measures (continued) Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries Unaudited Three months endedJune 30 Six months endedJune 30 (in thousands) 2025 20241 2025 20241 HEI Consolidated - Continuing Operations GAAP2 income (loss) - continuing operations (as reported) $ 26,085 $ (1,249,697 ) $ 52,756 $ (1,228,509 ) Excluding special items related to the Maui windstorm and wildfires (after tax)3: Legal expenses 4,372 17,955 10,943 29,051 Outside services expense 8 1,035 100 1,868 Wildfire tort-related claims — 1,271,160 — 1,271,160 Other expense 4,350 5,109 8,752 12,041 Interest expense 646 2,515 2,154 6,097 After tax expenses 9,376 1,297,774 21,949 1,320,217 Insurance recoveries4 1,795 (14,015 ) (3,196 ) (23,353 ) Deferral of cost (7,342 ) (5,685 ) (11,562 ) (11,549 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment (after tax) 3,829 1,278,074 7,191 1,285,315 Loss on sale of a subsidiary (after tax)3 — — 9,809 — Asset impairment (after tax)3 5,442 — 5,442 — Non-GAAP (Core) income - continuing operations $ 35,356 $ 28,377 $ 75,198 $ 56,806 GAAP Diluted earnings (loss) per share - continuing operations (as reported) $ 0.15 $ (11.33 ) $ 0.31 $ (11.14 ) Non-GAAP (Core) Diluted earnings per share - continuing operations $ 0.20 $ 0.26 $ 0.44 $ 0.52 1 Excludes Maui wildfire-related costs of discontinued operations. 2 Accounting principles generally accepted in the United States of America. 3 Current year composite statutory tax rate of 25.75% and includes expected investment tax recapture. 4 Includes adjustments related to costs that are no longer probable of recovery under the insurance policies Reconciliation of GAAP to non-GAAP Measures (continued) Hawaiian Electric Company, Inc. and Subsidiaries Unaudited Three months endedJune 30 Six months endedJune 30 (in thousands) 2025 2024 2025 2024 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 4,304 $ 17,613 $ 8,153 $ 28,348 Outside services expense — 997 — 1,781 Wildfire tort-related claims — 1,712,000 — 1,712,000 Other expense 5,792 5,741 11,487 14,882 Interest expense 660 2,524 2,412 6,431 Pretax expenses 10,756 1,738,875 22,052 1,763,442 Insurance recoveries1 3,620 (16,379 ) 556 (26,348 ) Deferral of cost (9,889 ) (7,656 ) (15,572 ) (15,554 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment 4,487 1,714,840 7,036 1,721,540 Income tax benefits2 (1,156 ) (441,572 ) (1,812 ) (443,297 ) After-tax adjustments $ 3,331 $ 1,273,268 $ 5,224 $ 1,278,243 Hawaiian Electric consolidated net income GAAP3 net income (loss) (as reported) $ 39,150 $ (1,229,394 ) $ 86,966 $ (1,190,173 ) Excluding special items related to the Maui windstorm and wildfires (after tax)2: Legal expenses 3,195 13,078 6,053 21,049 Outside services expense — 740 — 1,322 Wildfire tort-related claims — 1,271,160 — 1,271,160 Other expense 4,300 4,263 8,529 11,050 Interest expense 490 1,874 1,791 4,775 After tax expenses 7,985 1,291,115 16,373 1,309,356 Insurance recoveries (after tax)1 2,688 (12,162 ) 413 (19,564 ) Deferral of cost (after tax) (7,342 ) (5,685 ) (11,562 ) (11,549 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment (after tax) 3,331 1,273,268 5,224 1,278,243 Non-GAAP (Core) net income $ 42,481 $ 43,874 $ 92,190 $ 88,070 1 Pretax insurance recoveries includes adjustments related to costs that are no longer probable of recovery under the insurance policies. For the three and six months ended June 30, 2025, adjustments amount to $6.6 million, of which, $4.0 million was deferred to a regulatory asset and is reported on line "Deferral of cost". 2 Current year composite statutory tax rate of 25.75%. 3 Accounting principles generally accepted in the United States of America. Note: Legal, outside services and other are included in "Other operation and maintenance" and interest expense is included in "Interest expense and other charges, net" on the Hawaiian Electric and subsidiaries' Consolidated Statements of Income Data. Reconciliation of GAAP to non-GAAP Measures (continued) Holding and Other Companies Unaudited Three months endedJune 30 Six months endedJune 30 (in thousands) 2025 2024 2025 2024 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 1,584 $ 6,568 $ 6,585 $ 10,777 Outside services expense 11 399 135 737 Other expense 67 1,139 300 1,334 Interest expense 210 862 489 1,780 Pretax expenses 1,872 8,968 7,509 14,628 Insurance recoveries (1,202 ) (2,496 ) (4,860 ) (5,104 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries 670 6,472 2,649 9,524 Pretax loss on sale of a subsidiary — — 13,211 — Pretax asset impairment 178 — 178 — Income tax expense (benefits)1 5,092 (1,666 ) 1,180 (2,452 ) After-tax adjustments $ 5,940 $ 4,806 $ 17,218 $ 7,072 Holding and Other Companies net loss GAAP2 net loss (as reported) $ (13,065 ) $ (20,303 ) $ (34,210 ) $ (38,336 ) Excluding special items related to the Maui windstorm and wildfires (after tax)1: Legal expenses 1,177 4,877 4,890 8,002 Outside services expense 8 295 100 546 Other expense 50 846 223 991 Interest expense 156 641 363 1,322 Maui windstorm and wildfires related expenses (after tax) 1,391 6,659 5,576 10,861 Insurance recoveries (after tax) (893 ) (1,853 ) (3,609 ) (3,789 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries (after tax) 498 4,806 1,967 7,072 Loss on sale of a subsidiary (after tax)1 — — 9,809 — Asset impairment (after tax)1 5,442 — 5,442 — Non-GAAP (Core) net loss $ (7,125 ) $ (15,497 ) $ (16,992 ) $ (31,264 ) 1 Current year composite statutory tax rate of 25.75%. 2 Accounting principles generally accepted in the United States of America. Note: Holding and Other Companies wildfire-related expenses (legal, outside services and other) are included in "Expenses-Other" and interest expense is included in "Interest expense, net" on the HEI and subsidiaries' Consolidated Statements of Income Data. View source version on Contacts Mateo GarciaDirector, Investor RelationsTelephone: (808) 543-7300E-mail: ir@ Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Business Wire
07-08-2025
- Business
- Business Wire
HEI Reports Second Quarter 2025 Results
HONOLULU--(BUSINESS WIRE)--Hawaiian Electric Industries, Inc. (NYSE - HE) (HEI) today reported net income for the second quarter of 2025 of $26 million, or $0.15 per share. Excluding Maui wildfire-related expenses and expenses taken in connection with the review of strategic options for Pacific Current, Core 1 income from continuing operations was $35 million, or $0.20 per share, compared to $28 million, or $0.26 per share in 2024. 'Our core operations performed as expected in the second quarter, with the utility progressing measures to protect our communities against the risks posed by extreme weather events. We've also continued to make the changes necessary to move forward as a simpler, more focused company best positioned to serve our communities for the long term. This includes our sale of Pacific Current's solar and battery storage assets and the expected divestiture of our remaining stake in American Savings Bank over the next year,' said Scott Seu, HEI president and CEO. 'Last month, Governor Josh Green signed legislation passed by the Hawaii State Legislature directing the Public Utilities Commission to establish a liability cap for future wildfires, and authorizing securitization to finance $500 million in wildfire safety improvements, helping customer affordability. Legislation to reduce risk to independent power producers and support the utility's ability to procure reliable, affordable clean energy was also signed into law, along with legislation appropriating funds for the State of Hawaii's contribution to the settlement, ensuring the settlement is able to move forward.' HAWAIIAN ELECTRIC COMPANY (HAWAIIAN ELECTRIC) EARNINGS Hawaiian Electric's net income for the second quarter of 2025 was $39 million compared to a net loss of $1,229 million in the second quarter of 2024, with the increase primarily driven by the following pre-tax items: The $1,712 million loss recorded in the second quarter of 2024 due to the accrual of estimated wildfire liabilities related to tort-related legal claims and cross claims as of June 30, 2024; $7 million in higher revenues, primarily from the annual revenue adjustment mechanism, but also including $1 million of demand response revenues (offset by expenses included in O&M); and $4 million impact from better heat rate performance. These items were partially offset by the following: $11 million in higher O&M, driven by $7 million in higher wildfire mitigation program expenses, $4 million of higher legal and consulting costs (which were previously deferred), $2 million in higher property and general liability insurance costs and $1 million in higher demand response expenses (offset by demand response revenues). Higher O&M expenses were partially offset by the absence of costs related to the settlement of indemnification claims asserted by the state (recorded in 2024). Hawaiian Electric's Core net income for the second quarter of 2025 was $42 million compared to $44 million in the same quarter last year. Pre-tax wildfire-related expenses of $11 million were partially offset by $10 million of costs deferred pursuant to the Public Utilities Commission's decision allowing Hawaiian Electric to defer these costs. Utility Dividend Update The Hawaiian Electric Board of Directors declared a $10 million cash dividend payable to HEI for the second quarter of 2025. HOLDING AND OTHER COMPANIES The holding and other companies' net loss was $13 million in the second quarter of 2025 compared to $20 million in the second quarter of 2024. The lower net loss for the quarter was primarily due to lower wildfire expenses, partially offset by expenses taken in relation to the strategic review of Pacific Current. Excluding these expenses, Core net loss for the quarter was $7 million compared to $15 million in the second quarter of 2024. HEI will conduct a webcast and conference call to review its second quarter 2025 consolidated financial results today at 10:30 a.m. Hawaii time (4:30 p.m. Eastern). To listen to the conference call, dial 1-888-660-6377 (U.S.) or 1-929-203-0797 (international) and enter passcode 2393042. Parties may also access presentation materials (which include reconciliation of non-GAAP measures) and/or listen to the conference call by visiting the conference call link on HEI's website at under 'Investor Relations,' sub-heading 'News and Events — Events and Presentations.' A replay will be available online and via phone. The online replay will be available on HEI's website about two hours after the event. The audio replay will also be available about two hours after the event through August 14, 2025. To access the audio replay, dial 1-800-770-2030 (U.S.) or 1-647-362-9199 (international) and enter passcode 2393042. HEI and Hawaiian Electric Company, Inc. (Hawaiian Electric) intend to continue to use HEI's website, as a means of disclosing additional information; such disclosures will be included in the Investor Relations section of the website. Accordingly, investors should routinely monitor the Investor Relations section of HEI's website, in addition to following HEI's and Hawaiian Electric's press releases, HEI's and Hawaiian Electric's Securities and Exchange Commission (SEC) filings and HEI's public conference calls and webcasts. Investors may sign up to receive e-mail alerts via the 'Investor Relations' section of the website. The information on HEI's website is not incorporated by reference into this document or into HEI's and Hawaiian Electric's SEC filings unless, and except to the extent, specifically incorporated by reference. Investors may also wish to refer to the Public Utilities Commission of the State of Hawaii (PUC) website at to review documents filed with, and issued by, the PUC. No information on the PUC website is incorporated by reference into this document or into HEI's and Hawaiian Electric's SEC filings. ABOUT HEI The HEI family of companies provides the energy services that empower much of the economic and community activity of Hawaii. HEI's electric utility, Hawaiian Electric, supplies power to approximately 95% of Hawaii's population and is undertaking an ambitious effort to decarbonize its operations and the broader state economy, and modernize and harden the grid to ensure resilience and public safety. For more information, visit NON-GAAP MEASURES Measures described as 'Core' are non-GAAP measures which exclude Maui wildfire-related costs, and expenses taken in connection with HEI's ongoing review of strategic options for Pacific Current. See 'Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures' and the related GAAP reconciliations at the end of this release. This release may contain 'forward-looking statements,' which include statements that are predictive in nature, depend upon or refer to future events or conditions, and usually include words such as 'will,' 'expects,' 'anticipates,' 'intends,' 'plans,' 'believes,' 'predicts,' 'estimates' or similar expressions. In addition, any statements concerning future financial performance, ongoing business strategies or prospects or possible future actions are also forward-looking statements. Forward-looking statements are based on current expectations and projections about future events and are subject to risks, uncertainties and the accuracy of assumptions concerning HEI and its subsidiaries, the performance of the industries in which they do business and economic, political and market factors, among other things. These forward-looking statements are not guarantees of future performance. Forward-looking statements in this release should be read in conjunction with the 'Cautionary Note Regarding Forward-Looking Statements' and 'Risk Factors' discussions (which are incorporated by reference herein) set forth in HEI's Annual Report on Form 10-K for the year ended December 31, 2024 and HEI's other SEC periodic reports and filings that discuss important factors that could cause HEI's results to differ materially from those anticipated in such statements. These forward-looking statements speak only as of the date of the report, presentation or filing in which they are made. Except to the extent required by the federal securities laws, HEI, Hawaiian Electric, and their subsidiaries undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Hawaiian Electric Company, Inc. (Hawaiian Electric) and Subsidiaries CONSOLIDATED STATEMENTS OF INCOME DATA (Unaudited) Three months ended June 30 Six months ended June 30 ($ in thousands, except per barrel amounts) 2025 2024 2025 2024 Revenues $ 742,482 $ 792,331 $ 1,480,848 $ 1,580,909 Expenses Fuel oil 210,587 258,652 449,308 542,948 Purchased power 174,963 181,328 321,680 341,145 Other operation and maintenance 158,217 147,561 301,325 291,451 Wildfire tort-related claims — 1,712,000 — 1,712,000 Depreciation 63,974 62,812 127,993 125,624 Taxes, other than income taxes 70,197 74,418 140,061 148,826 Total expenses 677,938 2,436,771 1,340,367 3,161,994 Operating income (loss) 64,544 (1,644,440 ) 140,481 (1,581,085 ) Allowance for equity funds used during construction 3,702 3,336 7,287 6,976 Retirement defined benefits credit—other than service costs 1,052 1,072 2,103 2,144 Interest expense and other charges, net (21,706 ) (21,417 ) (44,158 ) (41,402 ) Allowance for borrowed funds used during construction 1,462 1,344 2,879 2,730 Interest income 1,215 1,452 3,196 2,884 Income (loss) before income taxes 50,269 (1,658,653 ) 111,788 (1,607,753 ) Income tax expense (benefit) 10,620 (429,758 ) 23,824 (418,578 ) Net income (loss) 39,649 (1,228,895 ) 87,964 (1,189,175 ) Preferred stock dividends of subsidiaries 229 229 458 458 Net income (loss) attributable to Hawaiian Electric 39,420 (1,229,124 ) 87,506 (1,189,633 ) Preferred stock dividends of Hawaiian Electric 270 270 540 540 Net income (loss) for common stock $ 39,150 $ (1,229,394 ) $ 86,966 $ (1,190,173 ) Comprehensive income (loss) attributable to Hawaiian Electric $ 39,103 $ (1,229,440 ) $ 86,872 $ (1,190,268 ) OTHER ELECTRIC UTILITY INFORMATION Kilowatthour sales (millions) Hawaiian Electric 1,509 1,470 2,962 2,882 Hawaii Electric Light 257 254 512 508 Maui Electric 266 247 523 487 2,032 1,971 3,997 3,877 Average fuel oil cost per barrel $ 100.40 $ 120.12 $ 102.56 $ 121.01 Return on average common equity (%) (twelve months ended) 1 3.7 NM 1 Simple average. NM Not meaningful. This information should be read in conjunction with the consolidated financial statements and the notes thereto in Hawaiian Electric filings with the SEC. Results of operations for interim periods are not necessarily indicative of results to be expected for future interim periods or the full year. Expand Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures HEI management uses certain non-GAAP measures to evaluate the performance of HEI. Management believes these non-GAAP measures provide useful information and are a better indicator of the companies' core operating activities. Core earnings and other financial measures as presented here may not be comparable to similarly titled measures used by other companies. The accompanying tables provide a reconciliation of reported GAAP 1 earnings to non-GAAP Core earnings. The reconciling adjustments from GAAP earnings to Core earnings are limited to the costs related to the Maui wildfires and costs related to HEI's ongoing review of strategic options for Pacific Current. Management does not consider these items to be representative of the company's fundamental core earnings. Reconciliation of GAAP 1 to non-GAAP Measures Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries Unaudited Three months ended June 30 Six months ended June 30 (in thousands) 2025 2024 2 2025 2024 2 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 5,888 $ 24,181 $ 14,738 $ 39,125 Outside services expense 11 1,396 135 2,518 Wildfire tort-related claims — 1,712,000 — 1,712,000 Other expense 5,859 6,880 11,787 16,216 Interest expense 870 3,386 2,901 8,211 Pretax expenses 12,628 1,747,843 29,561 1,778,070 Insurance recoveries 3 2,418 (18,875 ) (4,304 ) (31,452 ) Deferral of cost (9,889 ) (7,656 ) (15,572 ) (15,554 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment 5,157 1,721,312 9,685 1,731,064 Pretax loss on sale of a subsidiary — — 13,211 — Pretax asset impairment 178 — 178 — Income tax expense (benefit) 4 3,936 (443,238 ) (632 ) (445,749 ) After-tax adjustments $ 9,271 $ 1,278,074 $ 22,442 $ 1,285,315 1 Accounting principles generally accepted in the United States of America. 2 Excludes Maui wildfire-related costs of discontinued operations. 3 Includes adjustments related to costs that are no longer probable of recovery under the insurance policies. For the three and six months ended June 30, 2025, adjustments amount to $6.6 million, of which, $4.0 million was deferred to a regulatory asset and is reported on line 'Deferral of cost'. 4 Current year composite statutory tax rate of 25.75% and includes expected investment tax recapture. Note: Other segment (Holding and Other Companies) wildfire-related expenses (legal, outside services and other) are included in 'Expenses-Other' and interest expense is included in 'Interest expense, net' on the HEI and subsidiaries' Consolidated Statements of Income Data. See Electric Utilities' and Holding and Other Companies' tables below for more detail. Expand Reconciliation of GAAP to non-GAAP Measures (continued) Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries Unaudited Three months ended June 30 Six months ended June 30 (in thousands) 2025 2024 1 2025 2024 1 HEI Consolidated - Continuing Operations GAAP 2 income (loss) - continuing operations (as reported) $ 26,085 $ (1,249,697 ) $ 52,756 $ (1,228,509 ) Excluding special items related to the Maui windstorm and wildfires (after tax) 3: Legal expenses 4,372 17,955 10,943 29,051 Outside services expense 8 1,035 100 1,868 Wildfire tort-related claims — 1,271,160 — 1,271,160 Other expense 4,350 5,109 8,752 12,041 Interest expense 646 2,515 2,154 6,097 After tax expenses 9,376 1,297,774 21,949 1,320,217 Insurance recoveries 4 1,795 (14,015 ) (3,196 ) (23,353 ) Deferral of cost (7,342 ) (5,685 ) (11,562 ) (11,549 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment (after tax) 3,829 1,278,074 7,191 1,285,315 Loss on sale of a subsidiary (after tax) 3 — — 9,809 — Asset impairment (after tax) 3 5,442 — 5,442 — Non-GAAP (Core) income - continuing operations $ 35,356 $ 28,377 $ 75,198 $ 56,806 GAAP Diluted earnings (loss) per share - continuing operations (as reported) $ 0.15 $ (11.33 ) $ 0.31 $ (11.14 ) Non-GAAP (Core) Diluted earnings per share - continuing operations $ 0.20 $ 0.26 $ 0.44 $ 0.52 1 Excludes Maui wildfire-related costs of discontinued operations. 2 Accounting principles generally accepted in the United States of America. 3 Current year composite statutory tax rate of 25.75% and includes expected investment tax recapture. 4 Includes adjustments related to costs that are no longer probable of recovery under the insurance policies Expand Reconciliation of GAAP to non-GAAP Measures (continued) Hawaiian Electric Company, Inc. and Subsidiaries Unaudited Three months ended June 30 Six months ended June 30 (in thousands) 2025 2024 2025 2024 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 4,304 $ 17,613 $ 8,153 $ 28,348 Outside services expense — 997 — 1,781 Wildfire tort-related claims — 1,712,000 — 1,712,000 Other expense 5,792 5,741 11,487 14,882 Interest expense 660 2,524 2,412 6,431 Pretax expenses 10,756 1,738,875 22,052 1,763,442 Insurance recoveries 1 3,620 (16,379 ) 556 (26,348 ) Deferral of cost (9,889 ) (7,656 ) (15,572 ) (15,554 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment 4,487 1,714,840 7,036 1,721,540 Income tax benefits 2 (1,156 ) (441,572 ) (1,812 ) (443,297 ) After-tax adjustments $ 3,331 $ 1,273,268 $ 5,224 $ 1,278,243 Hawaiian Electric consolidated net income GAAP 3 net income (loss) (as reported) $ 39,150 $ (1,229,394 ) $ 86,966 $ (1,190,173 ) Excluding special items related to the Maui windstorm and wildfires (after tax) 2: Legal expenses 3,195 13,078 6,053 21,049 Outside services expense — 740 — 1,322 Wildfire tort-related claims — 1,271,160 — 1,271,160 Other expense 4,300 4,263 8,529 11,050 Interest expense 490 1,874 1,791 4,775 After tax expenses 7,985 1,291,115 16,373 1,309,356 Insurance recoveries (after tax) 1 2,688 (12,162 ) 413 (19,564 ) Deferral of cost (after tax) (7,342 ) (5,685 ) (11,562 ) (11,549 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment (after tax) 3,331 1,273,268 5,224 1,278,243 Non-GAAP (Core) net income $ 42,481 $ 43,874 $ 92,190 $ 88,070 1 Pretax insurance recoveries includes adjustments related to costs that are no longer probable of recovery under the insurance policies. For the three and six months ended June 30, 2025, adjustments amount to $6.6 million, of which, $4.0 million was deferred to a regulatory asset and is reported on line 'Deferral of cost'. 2 Current year composite statutory tax rate of 25.75%. 3 Accounting principles generally accepted in the United States of America. Note: Legal, outside services and other are included in 'Other operation and maintenance' and interest expense is included in 'Interest expense and other charges, net' on the Hawaiian Electric and subsidiaries' Consolidated Statements of Income Data. Expand Reconciliation of GAAP to non-GAAP Measures (continued) Holding and Other Companies Unaudited Three months ended June 30 Six months ended June 30 (in thousands) 2025 2024 2025 2024 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 1,584 $ 6,568 $ 6,585 $ 10,777 Outside services expense 11 399 135 737 Other expense 67 1,139 300 1,334 Interest expense 210 862 489 1,780 Pretax expenses 1,872 8,968 7,509 14,628 Insurance recoveries (1,202 ) (2,496 ) (4,860 ) (5,104 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries 670 6,472 2,649 9,524 Pretax loss on sale of a subsidiary — — 13,211 — Pretax asset impairment 178 — 178 — Income tax expense (benefits) 1 5,092 (1,666 ) 1,180 (2,452 ) After-tax adjustments $ 5,940 $ 4,806 $ 17,218 $ 7,072 Holding and Other Companies net loss GAAP 2 net loss (as reported) $ (13,065 ) $ (20,303 ) $ (34,210 ) $ (38,336 ) Excluding special items related to the Maui windstorm and wildfires (after tax) 1: Legal expenses 1,177 4,877 4,890 8,002 Outside services expense 8 295 100 546 Other expense 50 846 223 991 Interest expense 156 641 363 1,322 Maui windstorm and wildfires related expenses (after tax) 1,391 6,659 5,576 10,861 Insurance recoveries (after tax) (893 ) (1,853 ) (3,609 ) (3,789 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries (after tax) 498 4,806 1,967 7,072 Loss on sale of a subsidiary (after tax) 1 — — 9,809 — Asset impairment (after tax) 1 5,442 — 5,442 — Non-GAAP (Core) net loss $ (7,125 ) $ (15,497 ) $ (16,992 ) $ (31,264 ) 1 Current year composite statutory tax rate of 25.75%. 2 Accounting principles generally accepted in the United States of America. Note: Holding and Other Companies wildfire-related expenses (legal, outside services and other) are included in 'Expenses-Other' and interest expense is included in 'Interest expense, net' on the HEI and subsidiaries' Consolidated Statements of Income Data. Expand
Business Wire
04-08-2025
- Business
- Business Wire
HEI Subsidiary Sells Solar and Battery Storage Assets to Fortistar and Epic Star
HONOLULU--(BUSINESS WIRE)--Hawaiian Electric Industries, Inc. (HEI) (NYSE - HE), the parent company of Pacific Current, LLC (Pacific Current), today announced the closing of the sale of Pacific Current's solar and battery storage assets to Fortistar and Epic Star Energy (Epic Star). The transaction is not expected to be material to HEI's financial statements. The sale includes all of Pacific Current's operating solar and battery energy storage facilities on Kauai, Oahu and Maui. The transaction continues HEI's execution of its Pacific Current divestment and follows the March 2025 sale of the subsidiary's Hamakua Energy facility. The strategic review process for Pacific Current's remaining asset, a biomass plant on Kauai, is ongoing. 'This transaction is another milestone on our path to a streamlined HEI enterprise focused on our core utility business,' said HEI CEO Scott Seu. 'We believe Epic Star's expertise in renewable energy will make it a good partner for Hawaii as our state continues on its path to a more clean, reliable and resilient energy future.' The Epic Star leadership team's experience in renewable energy includes development of a solar plus battery storage facility currently under construction on Oahu, among the island's largest to date, as well as large solar PV and battery energy storage facilities in the continental U.S. Fortistar is a privately-owned investment firm that provides capital to build, grow and manage companies that address complex sustainability challenges. 'The acquisition of these important operating solar and battery storage projects further demonstrates our commitment to clean energy in Hawaii,' said Henry Yun, CEO of Epic Star. 'We are excited to be a part of the state's energy future and provide reliable, renewable power to our new customers on Kauai, Oahu and Maui.' About HEI The HEI family of companies provides the energy services that empower much of the economic and community activity of Hawaiʻi. HEI's electric utility, Hawaiian Electric, supplies power to approximately 95% of Hawaiʻi's population and is undertaking an ambitious effort to decarbonize its operations and the broader state economy, and modernize and harden the grid to ensure resilience and public safety. For more information, visit Forward-Looking Statements This release may contain 'forward-looking statements,' which include statements that are predictive in nature, depend upon or refer to future events or conditions, and usually include words such as 'will,' 'expects,' 'anticipates,' 'intends,' 'plans,' 'believes,' 'predicts,' 'estimates' or similar expressions. In addition, any statements concerning future financial performance, ongoing business strategies or prospects or possible future actions are also forward-looking statements. Forward-looking statements are based on current expectations and projections about future events and are subject to risks, uncertainties and the accuracy of assumptions concerning HEI and its subsidiaries, the performance of the industries in which they do business and economic, political and market factors, among other things. These forward-looking statements are not guarantees of future performance. Forward-looking statements in this release should be read in conjunction with the 'Cautionary Note Regarding Forward-Looking Statements' and 'Risk Factors' discussions (which are incorporated by reference herein) set forth in HEI's Annual Report on Form 10-K for the year ended December 31, 2024 and HEI's other SEC periodic reports and filings that discuss important factors that could cause HEI's results to differ materially from those anticipated in such statements. These forward-looking statements speak only as of the date of the report, presentation or filing in which they are made. Except to the extent required by the federal securities laws, HEI, Hawaiian Electric and their subsidiaries undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Yahoo
10-03-2025
- Business
- Yahoo
HEI Subsidiary Sells Hawaiʻi Island Power Plant to Experienced Plant Operator
HONOLULU, March 10, 2025--(BUSINESS WIRE)--Hawaiian Electric Industries, Inc. (HEI) (NYSE - HE), the parent company of Pacific Current, LLC (Pacific Current), today announced the closing of the sale of Pacific Current's 60-megawatt Hamakua Energy Plant on Hawaiʻi Island to a subsidiary of Harbert Management Corporation (Harbert). The transaction is not expected to be material to HEI's financial statements. Sale of the plant is a key step in HEI's previously announced review of strategic options for Pacific Current. The strategic review process for other Pacific Current assets is ongoing. Harbert is a longstanding owner and operator of power generating facilities, including in Hawaiʻi, where it has had an ownership stake in the 208-megawatt Kalaeloa Partners LP cogeneration plant on O'ahu since 1997. "We believe Harbert's depth of experience in owning and operating power plants and being a good partner with utilities, including in our state, will serve the Hamakua Energy Plant and Hawaiian Electric well in their missions to supply power for the people of Hawaiʻi Island and support the island's transition to an increasingly renewable energy future," said HEI CEO Scott Seu. "This sale is a further step toward simplifying HEI's strategy and regulatory position as we focus on our core utility business." "Harbert has enjoyed a long relationship with Hawaiian Electric and looks to build on that through this acquisition," said Claude Estes, Senior Managing Director and Head of Harbert Infrastructure. "We are excited to be a part of the state's energy future and to serve the residents of the Island of Hawaiʻi." About HEI The HEI family of companies provides the energy services that empower much of the economic and community activity of Hawaiʻi. HEI's electric utility, Hawaiian Electric, supplies power to approximately 95% of Hawaiʻi's population and is undertaking an ambitious effort to decarbonize its operations and the broader state economy, and modernize and harden the grid to ensure resilience and public safety. HEI also helps advance Hawaiʻi's sustainability goals through its non-regulated subsidiary, Pacific Current. For more information, visit Forward-Looking Statements This release may contain "forward-looking statements," which include statements that are predictive in nature, depend upon or refer to future events or conditions, and usually include words such as "will," "expects," "anticipates," "intends," "plans," "believes," "predicts," "estimates" or similar expressions. In addition, any statements concerning future financial performance, ongoing business strategies or prospects or possible future actions are also forward-looking statements. Forward-looking statements are based on current expectations and projections about future events and are subject to risks, uncertainties and the accuracy of assumptions concerning HEI and its subsidiaries, the performance of the industries in which they do business and economic, political and market factors, among other things. These forward-looking statements are not guarantees of future performance. Forward-looking statements in this release should be read in conjunction with the "Cautionary Note Regarding Forward-Looking Statements" and "Risk Factors" discussions (which are incorporated by reference herein) set forth in HEI's Annual Report on Form 10-K for the year ended December 31, 2024 and HEI's other SEC periodic reports and filings that discuss important factors that could cause HEI's results to differ materially from those anticipated in such statements. These forward-looking statements speak only as of the date of the report, presentation or filing in which they are made. Except to the extent required by the federal securities laws, HEI, Hawaiian Electric, ASB and their subsidiaries undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. View source version on Contacts Investor Contact Mateo GarciaDirector, Investor Relationsir@ (808) 543-7300 Media Contact Julie SmolinskiVP, Strategy & Corporate Sustainabilitymedia@ (808) 543-5874 Sign in to access your portfolio
Yahoo
21-02-2025
- Business
- Yahoo
HEI Reports Fourth Quarter and Full Year 2024 Results
Favorable Hawaii Supreme Court Decision Provides Clarity Needed to Help Finalize Maui Tort Litigation Settlement Strong Execution on Strategic Priorities in a Pivotal Year Definitive Settlement Agreements Reached in Maui Wildfire Tort Litigation Sale of 90.1% of American Savings Bank Simplified HEI's Strategy and Regulatory Position While Allowing Enhanced Focus on Utility Business; Proceeds Will Be Used to Reduce Debt Rapid Implementation of Utility Wildfire Mitigation Efforts: Grid Hardening and Redesign, Improved Situational Awareness and Operational Practices, and Enhanced Stakeholder Engagement Efforts Implemented to Reduce Risk Utility Achieved a 36% Renewable Portfolio Standard in 2024, Accelerating Progress Toward the 2030 Milestone of 40% Typical Residential Bill Decreased 7% in 2024; Utility Returned $18 Million in Bill Credits to Customers HONOLULU, February 21, 2025--(BUSINESS WIRE)--Hawaiian Electric Industries, Inc. (NYSE - HE) (HEI) today reported a net loss for the full year 2024 of $1,426 million, or $11.23 per share, compared to net income of $199 million, or $1.81 per share in 2023. Excluding the impacts of discontinued operations, Maui wildfire-related expenses and the Pacific Current asset impairment recorded in the third quarter, Core1 income from continuing operations was $124 million, or $0.98 per share, compared to $152 million, or $1.38 per share in 2023. The fourth quarter 2024 net loss was $68 million, or $0.40 per share, compared to net income of $49 million, or $0.44 per share, in the fourth quarter of 2023. Core income from continuing operations was $35 million for the fourth quarter of 2024 compared to $37 million in the fourth quarter of 2023. "The past year was pivotal in our company's history, and I am proud of the significant progress we've made to address the challenges before us and build a foundation for long-term success," said Scott Seu, HEI president and CEO. "Over the course of the year, we achieved numerous milestones in our efforts to regain HEI's financial strength and emerge a stronger, more resilient company best positioned to serve our communities for the long term. The settlement agreements signed in November, along with the favorable Hawaii Supreme Court decision issued earlier this month, allow us to move forward with a clearer line of sight toward resolution of the Maui wildfire tort litigation. The sale of over 90% of American Savings Bank in December simplifies our strategy and regulatory position while allowing us to reduce holding company debt and focus more on our core utility business. The utility continued to rapidly progress its wildfire mitigation efforts throughout the year, and operational changes, new technology and the Public Safety Power Shutoff program implemented in 2024 have led to substantial strides in reducing risk of ignition from utility equipment. We also saw significant progress on another key strategic initiative, with the utility reaching a 36% renewable portfolio standard in 2024. This puts us on track to meet the 40% by 2030 milestone significantly ahead of schedule. These collective actions position our company well as we continue our commitment to a stronger, more resilient and more financially healthy future." As previously disclosed, on February 10, 2025 the Hawaii Supreme Court issued a decision regarding the reserved questions posed to them by the Second Circuit Court. The Hawaii Supreme Court's decision clarifies that, once the settlement becomes final, insurers seeking to recover amounts paid to settling plaintiffs cannot separately sue defendants, including for amounts beyond the settlement agreed to by the plaintiffs and defendants. The Court's decision aligns with the Company's and plaintiffs' positions on key questions that arose from insurers' challenges to the settlement agreements reached in the Maui wildfire tort litigation. HAWAIIAN ELECTRIC COMPANY (HAWAIIAN ELECTRIC) EARNINGS2 Full Year Results: Hawaiian Electric's full-year net loss was $1,226 million, compared to net income of $194 million in 2023, with the decrease primarily driven by the following items: $1,875 million ($1,392 million after-tax) loss due to the accrual of estimated wildfire liabilities from tort-related legal claims and cross claims as of December 31, 2024 (net of insurance recoveries); $76 million ($56 million after taxes) in higher operations and maintenance (O&M) expenses, driven principally by the settlement of indemnification claims asserted by the state, higher wildfire mitigation program expenses and higher property and general liability insurance costs; and $7 million ($6 million after taxes) of higher depreciation expense. These items were partially offset by the following: $43 million ($29 million after taxes) higher revenues, including $25 million from the annual revenue adjustment mechanism, $7 million from the major project interim recovery mechanism, $6 million of demand response program revenues (offset by expenses included in O&M) and $5 million from performance incentive mechanisms; $4 million ($3 million after taxes) of lower interest expense; and $3 million ($2 million after taxes) from a gain on sale of property. Hawaiian Electric's Core net income for 2024 was $181 million. Pre-tax wildfire-related expenses of $2,019 million were partially offset by $86 million in insurance recoveries and $38 million of costs deferred pursuant to the Public Utilities Commission's decision allowing Hawaiian Electric to defer these costs. Fourth Quarter Results: Hawaiian Electric's net income for the fourth quarter of 2024 was $46 million, compared to $58 million in the fourth quarter of 2023, with the variance driven by the following items: $30 million ($25 million after taxes) of higher O&M, $13 million ($9 million after taxes) in higher revenues, $3 million ($2 million after taxes) from a gain on sale of property and a $3 million ($2 million after taxes) impact from better heat rate performance. Hawaiian Electric's Core net income was approximately $49 million for both the fourth quarters of 2024 and 2023. Utility Dividend Update The utility dividend to HEI continues to be suspended, as holding company cash needs are limited following HEI's recent equity issuance and the continued suspension of the dividend to HEI's common equity shareholders. DISCONTINUED OPERATIONS - AMERICAN SAVINGS BANK (ASB) As previously announced, on December 31, 2024 HEI, ASB and ASB Hawaii (ASB's parent holding company) closed on the sale of 90.1% of the common stock of ASB to various investors. Accordingly, the results of ASB are presented as discontinued operations in the consolidated financial statements. For the full year 2024, the loss from discontinued operations totaled $103 million, compared to net income of $53 million in 2023. Excluding wildfire expenses, the goodwill impairment recorded in the second quarter, and the net loss recorded in accordance with the December 2024 sale transaction, Core income for 2024 was $79 million. HOLDING AND OTHER COMPANIES The holding and other companies' net loss was $96 million in 2024 compared to $48 million in 2023. The higher net loss for the year was primarily due to the Pacific Current asset impairment recorded in the third quarter, higher wildfire-related expenses and higher expenses at Pacific Current. Core net loss for the year was $56 million compared to $43 million in 2023. The fourth quarter 2024 net loss was $17 million compared to $13 million in the fourth quarter of 2023. The higher net loss compared to the prior year quarter was primarily due to lower Pacific Current net income. Core net loss for the fourth quarter of 2024 was $14 million compared to $12 million in the fourth quarter of 2023. EARNINGS RELEASE, WEBCAST AND CONFERENCE CALL TO DISCUSS EARNINGS HEI will conduct a webcast and conference call to review its fourth quarter and full year 2024 consolidated financial results today at 11:30 a.m. Hawaii time (4:30 p.m. Eastern). To listen to the conference call, dial 1-888-660-6377 (U.S.) or 1-929-203-0797 (international) and enter passcode 2393042. Parties may also access presentation materials (which include reconciliation of non-GAAP measures) and/or listen to the conference call by visiting the conference call link on HEI's website at under "Investor Relations," sub-heading "News and Events — Events and Presentations." A replay will be available online and via phone. The online replay will be available on HEI's website about two hours after the event. The audio replay will also be available about two hours after the event through March 7, 2025. To access the audio replay, dial 1-800-770-2030 (U.S.) or 1-647-362-9199 (international) and enter passcode 2393042. HEI and Hawaiian Electric Company, Inc. (Hawaiian Electric) intend to continue to use HEI's website, as a means of disclosing additional information; such disclosures will be included in the Investor Relations section of the website. Accordingly, investors should routinely monitor the Investor Relations section of HEI's website, in addition to following HEI's and Hawaiian Electric's press releases, HEI's and Hawaiian Electric's Securities and Exchange Commission (SEC) filings and HEI's public conference calls and webcasts. Investors may sign up to receive e-mail alerts via the "Investor Relations" section of the website. The information on HEI's website is not incorporated by reference into this document or into HEI's and Hawaiian Electric's SEC filings unless, and except to the extent, specifically incorporated by reference. Investors may also wish to refer to the Public Utilities Commission of the State of Hawaii (PUC) website at to review documents filed with, and issued by, the PUC. No information on the PUC website is incorporated by reference into this document or into HEI's and Hawaiian Electric's SEC filings. ABOUT HEI The HEI family of companies provides the energy services that empower much of the economic and community activity of Hawaii. HEI's electric utility, Hawaiian Electric, supplies power to approximately 95% of Hawaii's population and is undertaking an ambitious effort to decarbonize its operations and the broader state economy, and modernize and harden the grid to ensure resilience and public safety. HEI also helps advance Hawaii's sustainability goals through investments by its non-regulated subsidiary, Pacific Current. For more information, visit NON-GAAP MEASURES Measures described as "Core" are non-GAAP measures which exclude Maui wildfire-related costs, the asset impairment taken in connection with HEI's ongoing review of strategic options for Pacific Current and expenses recorded in connection with the review of strategic options for ASB. See "Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures" and the related GAAP reconciliations at the end of this release. This release may contain "forward-looking statements," which include statements that are predictive in nature, depend upon or refer to future events or conditions, and usually include words such as "will," "expects," "anticipates," "intends," "plans," "believes," "predicts," "estimates" or similar expressions. In addition, any statements concerning future financial performance, ongoing business strategies or prospects or possible future actions are also forward-looking statements. Forward-looking statements are based on current expectations and projections about future events and are subject to risks, uncertainties and the accuracy of assumptions concerning HEI and its subsidiaries, the performance of the industries in which they do business and economic, political and market factors, among other things. These forward-looking statements are not guarantees of future performance. Forward-looking statements in this release should be read in conjunction with the "Cautionary Note Regarding Forward-Looking Statements" and "Risk Factors" discussions (which are incorporated by reference herein) set forth in HEI's Annual Report on Form 10-K for the year ended December 31, 2023 and HEI's other SEC periodic reports and filings that discuss important factors that could cause HEI's results to differ materially from those anticipated in such statements. These forward-looking statements speak only as of the date of the report, presentation or filing in which they are made. Except to the extent required by the federal securities laws, HEI, Hawaiian Electric, and their subsidiaries undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Note: Throughout this release, per share values are calculated based on diluted shares. 1Measures described as "Core" for the periods in this news release are non-GAAP measures which exclude Maui wildfire-related costs, and expenses taken in connection with strategic reviews for Pacific Current and American Savings Bank. See the "Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures" and the related GAAP reconciliation at the end of this release. 2 Utility amounts indicated as after-tax in this earnings release are based upon adjusting items using a current year composite statutory tax rate of 25.75%. Hawaiian Electric Industries, Inc. (HEI) and SubsidiariesCONSOLIDATED STATEMENTS OF INCOME DATA(Unaudited) Three months endedDecember 31 Years ended December 31 (in thousands, except per share amounts) 2024 2023 2024 2023 Revenues Electric utility $ 796,174 $ 849,982 $ 3,206,700 $ 3,269,521 Other 3,006 3,442 13,150 17,982 Total revenues 799,180 853,424 3,219,850 3,287,503 Expenses Electric utility (includes nil and $1,875 million of provision, net, for Wildfire tort-related claims recorded in quarter and year ended December 31, 2024, respectively) 722,383 768,682 4,818,558 2,967,363 Other (includes $35 million of impairment recorded in third quarter of 2024) 23,135 10,411 108,052 45,148 Total expenses 745,518 779,093 4,926,610 3,012,511 Operating income (loss) Electric utility 73,791 81,300 (1,611,858 ) 302,158 Other (20,129 ) (6,969 ) (94,902 ) (27,166 ) Total operating income (loss) 53,662 74,331 (1,706,760 ) 274,992 Retirement defined benefits credit—other than service costs 903 1,017 3,754 4,014 Interest expense, net (31,131 ) (34,273 ) (127,207 ) (125,532 ) Allowance for borrowed funds used during construction 1,409 1,403 5,470 5,201 Allowance for equity funds used during construction 3,510 4,091 13,786 15,164 Interest income 9,433 9,105 19,362 9,105 Loss on equity-method investment — (644 ) — (644 ) Income (loss) from continuing operations before income taxes 37,786 55,030 (1,791,595 ) 182,300 Income tax expense (benefit) 8,147 8,999 (470,962 ) 34,534 Income (loss) from continuing operations 29,639 46,031 (1,320,633 ) 147,766 Preferred stock dividends of subsidiaries 473 473 1,890 1,890 Income (loss) from continuing operations for common stock 29,166 45,558 (1,322,523 ) 145,876 Income (loss) from discontinued operations (97,411 ) 3,231 (103,486 ) 53,362 Net income (loss) for common stock $ (68,245 ) $ 48,789 $ (1,426,009 ) $ 199,238 Continuing operations - Basic earnings (loss) per common share $ 0.17 $ 0.41 $ (10.42 ) $ 1.33 Discontinued operations - Basic earnings (loss) per common share (0.56 ) 0.03 (0.81 ) 0.49 Basic earnings (loss) per common share $ (0.40 ) $ 0.44 $ (11.23 ) $ 1.82 Continuing operations - Diluted earnings (loss) per common share $ 0.17 $ 0.41 $ (10.42 ) $ 1.33 Discontinued operations - Diluted earnings (loss) per common share (0.56 ) 0.03 (0.81 ) 0.48 Diluted earnings (loss) per common share $ (0.40 ) $ 0.44 $ (11.23 ) $ 1.81 Dividends declared per common share $ — $ — $ — $ 1.08 Weighted-average number of common shares outstanding 172,466 110,134 126,927 109,739 Weighted-average shares assuming dilution 172,466 110,301 126,927 110,038 Income (loss) from continuing operations for common stock by segment Electric utility $ 46,396 $ 58,183 $ (1,226,362 ) $ 193,952 Other (17,230 ) (12,625 ) (96,161 ) (48,076 ) Income (loss) from continuing operations for common stock $ 29,166 $ 45,558 $ (1,322,523 ) $ 145,876 Comprehensive income (loss) attributable to HEI $ (96,214 ) $ 117,463 $ (1,422,825 ) $ 245,916 Return on average common equity (%) (twelve months ended)1 NM 8.8 1 Simple Not meaningful. This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI filings with the SEC. Hawaiian Electric Company, Inc. (Hawaiian Electric) and SubsidiariesCONSOLIDATED STATEMENTS OF INCOME DATA(Unaudited) Three months endedDecember 31 Years ended December 31 ($ in thousands, except per barrel amounts) 2024 2023 2024 2023 Revenues $ 796,174 $ 849,982 $ 3,206,700 $ 3,269,521 Expenses Fuel oil 256,059 329,728 1,078,045 1,211,420 Purchased power 173,061 172,779 703,371 671,769 Other operation and maintenance 156,024 126,373 609,672 533,557 Wildfire tort-related claims, net — — 1,875,000 — Depreciation 62,706 60,924 251,142 243,705 Taxes, other than income taxes 74,533 78,878 301,328 306,912 Total expenses 722,383 768,682 4,818,558 2,967,363 Operating income (loss) 73,791 81,300 (1,611,858 ) 302,158 Allowance for equity funds used during construction 3,510 4,091 13,786 15,164 Retirement defined benefits credit—other than service costs 1,034 1,076 4,137 4,303 Interest expense and other charges, net (20,457 ) (22,575 ) (82,082 ) (86,140 ) Allowance for borrowed funds used during construction 1,409 1,403 5,470 5,201 Interest income 2,078 6,454 6,633 6,454 Income (loss) before income taxes 61,365 71,749 (1,663,914 ) 247,140 Income tax expense (benefit) 14,470 13,067 (439,547 ) 51,193 Net income (loss) 46,895 58,682 (1,224,367 ) 195,947 Preferred stock dividends of subsidiaries 229 229 915 915 Net income (loss) attributable to Hawaiian Electric 46,666 58,453 (1,225,282 ) 195,032 Preferred stock dividends of Hawaiian Electric 270 270 1,080 1,080 Net income (loss) for common stock $ 46,396 $ 58,183 $ (1,226,362 ) $ 193,952 Comprehensive income (loss) attributable to Hawaiian Electric $ 46,426 $ 58,337 $ (1,226,425 ) $ 193,940 OTHER ELECTRIC UTILITY INFORMATION Kilowatthour sales (millions) Hawaiian Electric 1,608 1,604 6,134 6,138 Hawaii Electric Light 267 272 1,047 1,043 Maui Electric 276 264 1,038 1,046 2,151 2,140 8,219 8,227 Average fuel oil cost per barrel $ 104.38 $ 132.47 $ 115.00 $ 126.73 Return on average common equity (%) (twelve months ended)1 NM 8.2 1 Simple Not information should be read in conjunction with the consolidated financial statements and the notes thereto in Hawaiian Electric filings with the SEC. Explanation of HEI's Use of Certain Unaudited Non-GAAP Measures HEI management uses certain non-GAAP measures to evaluate the performance of HEI. Management believes these non-GAAP measures provide useful information and are a better indicator of the companies' core operating activities. Core earnings and other financial measures as presented here may not be comparable to similarly titled measures used by other companies. The accompanying tables provide a reconciliation of reported GAAP1 earnings to non-GAAP Core earnings. The reconciling adjustments from GAAP earnings to Core earnings are limited to the costs related to the Maui wildfires, costs related to the strategic review and majority sale of ASB, and the asset impairment taken in connection with HEI's ongoing review of strategic options for Pacific Current. Management does not consider these items to be representative of the company's fundamental core earnings. Reconciliation of GAAP to non-GAAP MeasuresHawaiian Electric Industries, Inc. (HEI) and SubsidiariesUnaudited Three months endedDecember 31 Years ended December 31 (in thousands) 2024 2023 2024 2023 Maui wildfire-related costs2 Pretax expenses: Legal expenses $ 13,449 $ 23,768 $ 69,779 $ 33,969 Outside services expenses 7,541 6,640 11,014 12,024 Wildfire tort-related claims — — 1,915,000 75,000 Other expenses 8,281 1,034 35,403 3,519 Interest expense 3,185 1,645 14,834 2,600 Pretax expenses 32,456 33,087 2,046,030 127,112 Insurance recoveries (11,089 ) (29,580 ) (94,699 ) (104,580 ) Deferral of cost (13,817 ) (14,692 ) (37,960 ) (14,692 ) Wildfire-related expenses, net of insurance recoveries and approved deferral treatment 7,550 (11,185 ) 1,913,371 7,840 Pretax asset impairment — — 35,216 — Income tax (benefits) expense3 (1,945 ) 2,880 (501,763 ) (2,019 ) After-tax adjustments $ 5,605 $ (8,305 ) $ 1,446,824 $ 5,821 1 Accounting principles generally accepted in the United States of America.2 Excludes Maui wildfire-related costs of our discontinued operations.3 Current year composite statutory tax rate of 25.75% is used for Utility and Other Other segment (Holding and Other Companies) wildfire-related expenses (legal, outside services and other) are included in "Expenses-Other" and interest expense is included in "Interest expense, net" on the HEI and subsidiaries' Consolidated Statements of Income Data. See Electric Utilities tables below for more detail. Reconciliation of GAAP to non-GAAP Measures (continued)Hawaiian Electric Industries, Inc. (HEI) and SubsidiariesUnaudited Three months endedDecember 31 Years ended December 31 (in thousands) 2024 2023 2024 2023 HEI Consolidated - Continuing Operations GAAP income (loss) - continuing operations (as reported) $ 29,166 $ 45,558 $ (1,322,523 ) $ 145,876 Excluding special items related to the Maui wildfire (after tax): Legal expenses 9,987 17,648 51,811 25,222 Outside services expenses 5,599 4,931 8,178 8,928 Wildfire tort-related claims — — 1,421,887 55,688 Other expenses 6,147 766 26,286 2,612 Interest expense 2,365 1,222 11,014 1,931 After tax expenses 24,098 24,567 1,519,176 94,381 Insurance recoveries (8,234 ) (21,963 ) (70,314 ) (77,651 ) Deferral of cost (10,259 ) (10,909 ) (28,185 ) (10,909 ) Maui wildfire-related expenses, net of insurance recoveries and approved deferral treatment (after tax) 5,605 (8,305 ) 1,420,677 5,821 Asset impairment (after tax) — — 26,147 — Non-GAAP (core) income - continuing operations $ 34,771 $ 37,253 $ 124,301 $ 151,697 GAAP Diluted earnings (loss) per share - continuing operations (as reported) $ 0.17 $ 0.41 $ (10.42 ) $ 1.33 Non-GAAP (Core) Diluted earnings per share - continuing operations $ 0.20 $ 0.34 $ 0.98 $ 1.38 Three months endedDecember 31 Years ended December 31 (in thousands) 2024 2023 2024 2023 HEI Consolidated - Discontinued Operations GAAP income (loss) - discontinued operations (as reported) $ (97,411 ) $ 3,231 $ (103,486 ) $ 53,362 Less: Net loss from the sale of ASB 115,803 — 115,803 — Excluding special items: Goodwill impairment — — 66,130 — Loss on sale of investment securities — 10,954 — 10,954 Wildfire expenses 59 1,987 963 8,251 Non-GAAP (Core) income - discontinued operations $ 18,451 $ 16,172 $ 79,410 $ 72,567 Reconciliation of GAAP to non-GAAP Measures (continued)Hawaiian Electric Company, Inc. and SubsidiariesUnaudited Three months endedDecember 31 Years ended December 31 (in thousands) 2024 2023 2024 2023 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 11,237 $ 18,486 $ 51,406 $ 24,737 Outside services expenses 6,080 5,826 8,500 10,532 Wildfire tort-related claims — — 1,915,000 75,000 Other expenses 7,614 834 32,753 3,316 Interest expenses 2,204 720 11,168 1,223 Pretax expenses 27,135 25,866 2,018,827 114,808 Insurance recoveries (9,808 ) (23,613 ) (85,781 ) (98,613 ) Deferral of cost (13,817 ) (14,692 ) (37,960 ) (14,692 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment 3,510 (12,439 ) 1,895,086 1,503 Income tax expense (benefits)1 (904 ) 3,203 (487,985 ) (387 ) After-tax adjustments $ 2,606 $ (9,236 ) $ 1,407,101 $ 1,116 Hawaiian Electric consolidated net income (loss) GAAP2 net income (loss) (as reported) $ 46,396 $ 58,183 $ (1,226,362 ) $ 193,952 Excluding special items related to the Maui windstorm and wildfires (after tax): Legal expenses 8,344 13,726 38,169 18,367 Outside services expenses 4,514 4,326 6,311 7,820 Wildfire tort-related claims — — 1,421,887 55,688 Other expenses 5,654 619 24,320 2,462 Interest expenses 1,636 534 8,292 908 Maui windstorm and wildfires related expenses (after tax) 20,148 19,205 1,498,979 85,245 Insurance recoveries (after tax) (7,283 ) (17,532 ) (63,693 ) (73,220 ) Deferral of cost (after tax) (10,259 ) (10,909 ) (28,185 ) (10,909 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries and approved deferral treatment (after tax) 2,606 (9,236 ) 1,407,101 1,116 Non-GAAP (Core) net income $ 49,002 $ 48,947 $ 180,739 $ 195,068 1 Current year composite statutory tax rate of 25.75% is used for Utility amounts.2 Accounting principles generally accepted in the United States of Legal, outside services and other are included in "Other operation and maintenance" and interest expense is included in "Interest expense and other charges, net" on the Hawaiian Electric and subsidiaries' Consolidated Statements of Income Data. Reconciliation of GAAP to non-GAAP Measures (continued)Holding and Other CompaniesUnaudited Three months endedDecember 31 Years ended December 31 (in thousands) 2024 2023 2024 2023 Maui windstorm and wildfires related costs Pretax expenses: Legal expenses $ 2,212 $ 5,282 $ 18,373 $ 9,232 Outside services expenses 1,461 814 2,514 1,492 Other expenses 667 200 2,650 203 Interest expenses 981 925 3,666 1,377 Pretax expenses 5,321 7,221 27,203 12,304 Insurance recoveries (1,281 ) (5,967 ) (8,918 ) (5,967 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries 4,040 1,254 18,285 6,337 Income tax benefits1 (1,041 ) (323 ) (4,709 ) (1,632 ) After-tax adjustments $ 2,999 $ 931 $ 13,576 $ 4,705 Holding and Other Companies net loss GAAP2 net loss (as reported) $ (17,230 ) $ (12,625 ) $ (96,161 ) $ (48,076 ) Excluding special items related to the Maui windstorm and wildfires (after tax): Legal expenses 1,643 3,922 13,642 6,855 Outside services expenses 1,085 605 1,867 1,108 Other expenses 493 147 1,966 150 Interest expenses 729 688 2,722 1,023 Maui windstorm and wildfires related expenses (after tax) 3,950 5,362 20,197 9,136 Insurance recoveries (after tax) (951 ) (4,431 ) (6,621 ) (4,431 ) Total Maui windstorm and wildfires related expenses, net of insurance recoveries (after tax) 2,999 931 13,576 4,705 Asset impairment (after tax) — — 26,147 — Non-GAAP (Core) net loss $ (14,231 ) $ (11,694 ) $ (56,438 ) $ (43,371 ) 1 Current year composite statutory tax rate of 25.75% is used for Holding and Other Companies' amounts.2 Accounting principles generally accepted in the United States of Holding and Other Companies wildfire-related expenses (legal, outside services and other) are included in "Expenses-Other" and interest expense is included in "Interest expense, net" on the HEI and subsidiaries' Consolidated Statements of Income Data. View source version on Contacts Mateo GarciaTelephone: (808) 543-7300Director, Investor RelationsE-mail: ir@ Sign in to access your portfolio
