XML 90 R27.htm IDEA: XBRL DOCUMENT

Reportable Segments

12 Months Ended

Dec. 31, 2019

Segment Reporting Information [Line Items]

Reportable segments consist of business units defined by the products and services they offer. CMS Energy and Consumers evaluate the performance of each segment based on its contribution to net income available to CMS Energy’s common stockholders.

Accounting policies for CMS Energy’s and Consumers’ segments are as described in Note 1, Significant Accounting Policies. The consolidated financial statements reflect the assets, liabilities, revenues, and expenses of the individual segments when appropriate. Accounts are allocated among the segments when common accounts are attributable to more than one segment. The allocations are based on certain measures of business activities, such as revenue, labor dollars, customers, other operating and maintenance expense, construction expense, leased property, taxes, or functional surveys. For example, customer receivables are allocated based on revenue, and pension provisions are allocated based on labor dollars.

Inter-segment sales and transfers are accounted for at current market prices and are eliminated in consolidated net income available to common stockholders by segment.

CMS Energy

The segments reported for CMS Energy are:


•	electric utility, consisting of regulated activities associated with the generation, purchase, transmission, distribution, and sale of electricity in Michigan


•	gas utility, consisting of regulated activities associated with the purchase, transmission, storage, distribution, and sale of natural gas in Michigan


•	enterprises, consisting of various subsidiaries engaging in domestic independent power production, including the development and operation of renewable generation, and the marketing of independent power production


•	EnerBank, a Utah state-chartered, FDIC-insured industrial bank providing unsecured consumer installment loans, largely for financing home improvements

CMS Energy presents corporate interest and other expenses and Consumers’ other consolidated entities within other reconciling items. In 2019, EnerBank’s assets exceeded ten percent of CMS Energy’s consolidated assets.

Consumers

The segments reported for Consumers are:


•	electric utility, consisting of regulated activities associated with the generation, purchase, transmission, distribution, and sale of electricity in Michigan


•	gas utility, consisting of regulated activities associated with the purchase, transmission, storage, distribution, and sale of natural gas in Michigan

Consumers’ other consolidated entities are presented within other reconciling items.

Presented in the following tables is financial information by segment:



In Millions
Years Ended December 31	2019			2018			2017
CMS Energy, including Consumers
Operating revenue
Electric utility		$	4,439		$	4,561		$	4,448
Gas utility		1,937			1,903			1,774
Enterprises		248			252			229
EnerBank		221			157			132
Total operating revenue – CMS Energy		$	6,845		$	6,873		$	6,583
Consumers
Operating revenue
Electric utility		$	4,439		$	4,561		$	4,448
Gas utility		1,937			1,903			1,774
Total operating revenue – Consumers		$	6,376		$	6,464		$	6,222
CMS Energy, including Consumers
Depreciation and amortization
Electric utility		$	713		$	682		$	654
Gas utility		261			239			218
Enterprises		14			8			6
EnerBank		3			4			3
Other reconciling items		1			—			—
Total depreciation and amortization – CMS Energy		$	992		$	933		$	881
Consumers
Depreciation and amortization
Electric utility		$	713		$	682		$	654
Gas utility		261			239			218
Other reconciling items		1			—			—
Total depreciation and amortization – Consumers		$	975		$	921		$	872
CMS Energy, including Consumers
Income from equity method investees¹
Enterprises		$	10		$	9		$	15
Total income from equity method investees – CMS Energy		$	10		$	9		$	15
CMS Energy, including Consumers
Interest charges
Electric utility		$	213		$	209		$	201
Gas utility		83			79			74
Enterprises		7			2			—
EnerBank		59			32			19
Other reconciling items		157			136			144
Total interest charges – CMS Energy		$	519		$	458		$	438



In Millions
Years Ended December 31	2019				2018				2017
Consumers
Interest charges
Electric utility		$	213			$	209			$	201
Gas utility		83				79				74
Other reconciling items		1				1				1
Total interest charges – Consumers		$	297			$	289			$	276
CMS Energy, including Consumers
Income tax expense (benefit)
Electric utility		$	134			$	109			$	245
Gas utility		51				33				96
Enterprises		2				2				72
EnerBank		16				12				22
Other reconciling items		(56		)		(41		)		(11		)
Total income tax expense – CMS Energy		$	147			$	115			$	424
Consumers
Income tax expense (benefit)
Electric utility		$	134			$	109			$	245
Gas utility		51				33				96
Other reconciling items		—				—				(2		)
Total income tax expense – Consumers		$	185			$	142			$	339
CMS Energy, including Consumers
Net income (loss) available to common stockholders
Electric utility		$	509			$	535			$	455
Gas utility		233				169				173
Enterprises		33				34				(27		)
EnerBank		49				38				28
Other reconciling items		(144		)		(119		)		(169		)
Total net income available to common stockholders – CMS Energy		$	680			$	657			$	460
Consumers
Net income (loss) available to common stockholder
Electric utility		$	509			$	535			$	455
Gas utility		233				169				173
Other reconciling items		(1		)		(1		)		2
Total net income available to common stockholder – Consumers		$	741			$	703			$	630
CMS Energy, including Consumers
Plant, property, and equipment, gross
Electric utility^2,3		$	16,158			$	16,027			$	15,221
Gas utility²		8,785				7,919				7,080
Enterprises		405				412				167
EnerBank		22				25				21
Other reconciling items		20				17				17
Total plant, property, and equipment, gross – CMS Energy		$	25,390			$	24,400			$	22,506



In Millions
Years Ended December 31	2019			2018			2017
Consumers
Plant, property, and equipment, gross
Electric utility^2,3		$	16,158		$	16,027		$	15,221
Gas utility²		8,785			7,919			7,080
Other reconciling items		20			17			17
Total plant, property, and equipment, gross – Consumers		$	24,963		$	23,963		$	22,318
CMS Energy, including Consumers
Investments in equity method investees¹
Enterprises		$	71		$	69		$	64
Total investments in equity method investees – CMS Energy		$	71		$	69		$	64
CMS Energy, including Consumers
Total assets
Electric utility²		$	14,911		$	14,079		$	13,906
Gas utility²		8,659			7,806			7,139
Enterprises		527			540			342
EnerBank		2,692			2,006			1,453
Other reconciling items		48			98			210
Total assets – CMS Energy		$	26,837		$	24,529		$	23,050
Consumers
Total assets
Electric utility²		$	14,973		$	14,143		$	13,907
Gas utility²		8,706			7,853			7,139
Other reconciling items		20			29			53
Total assets – Consumers		$	23,699		$	22,025		$	21,099
CMS Energy, including Consumers
Capital expenditures⁴
Electric utility⁵		$	1,162		$	865		$	882
Gas utility⁵		971			958			800
Enterprises		5			246			33
EnerBank		8			10			6
Other reconciling items		1			2			1
Total capital expenditures – CMS Energy		$	2,147		$	2,081		$	1,722
Consumers
Capital expenditures⁴
Electric utility⁵		$	1,162		$	865		$	882
Gas utility⁵		971			958			800
Other reconciling items		1			2			1
Total capital expenditures – Consumers		$	2,134		$	1,825		$	1,683


¹	Consumers had no significant equity method investments.


²	Amounts include a portion of Consumers’ other common assets attributable to both the electric and gas utility businesses.


³	Costs related to coal-fueled electric generating units to be retired in 2023 were removed and recorded as a regulatory asset in June 2019. For additional details, see Note 3, Regulatory Matters.


⁴	Amounts include finance lease additions.

⁵

Amounts include a portion of Consumers’ capital expenditures for plant and equipment attributable to both the electric and gas utility businesses.

Consumers Energy Company