Segment Information

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Segment Information

Segment Information - MGE Energy and MGE.

MGE Energy operates in the following business segments: electric utility, gas utility, nonregulated energy, transmission investment, and all other. See MGE Energy's and MGE's 2015 Annual Report on Form 10-K for additional discussion of each of these segments.

The following tables show segment information for MGE Energy's operations for the indicated periods:

(In thousands)MGE Energy		Electric		Gas		Non- Regulated Energy		Transmission Investment		All Others		Consolidation/ Elimination Entries		Consolidated Total
Three Months Ended September 30, 2016
Operating revenues	$	118,933	$	17,570	$	214	$	-	$	-	$	-	$	136,717
Interdepartmental revenues		459		6,040		10,998		-		-		(17,497)		-
Total operating revenues		119,392		23,610		11,212		-		-		(17,497)		136,717
Depreciation and amortization		(7,332)		(2,047)		(1,833)		-		-		-		(11,212)
Other operating expenses		(77,010)		(19,292)		(33)		(13)		(127)		17,497		(78,978)
Operating income (loss)		35,050		2,271		9,346		(13)		(127)		-		46,527
Other income (deductions), net		178		13		-		2,023		(109)		-		2,105
Interest (expense) income, net		(2,855)		(818)		(1,436)		-		71		-		(5,038)
Income (loss) before taxes		32,373		1,466		7,910		2,010		(165)		-		43,594
Income tax (provision) benefit		(11,290)		(494)		(3,175)		(812)		57		-		(15,714)
Net income (loss)	$	21,083	$	972	$	4,735	$	1,198	$	(108)	$	-	$	27,880
Three Months Ended September 30, 2015
Operating revenues	$	121,453	$	17,431	$	1,911	$	-	$	-	$	-	$	140,795
Interdepartmental revenues		163		3,855		9,866		-		-		(13,884)		-
Total operating revenues		121,616		21,286		11,777		-		-		(13,884)		140,795
Depreciation and amortization		(7,584)		(1,714)		(1,872)		-		(12)		-		(11,182)
Other operating expenses		(80,202)		(16,906)		(36)		(15)		(161)		13,884		(83,436)
Operating income (loss)		33,830		2,666		9,869		(15)		(173)		-		46,177
Other income (deductions), net		141		(7)		-		2,397		33		-		2,564
Interest (expense) income, net		(2,798)		(804)		(1,491)		-		57		-		(5,036)
Income (loss) before taxes		31,173		1,855		8,378		2,382		(83)		-		43,705
Income tax (provision) benefit		(10,321)		(732)		(3,362)		(962)		26		-		(15,351)
Net income (loss)	$	20,852	$	1,123	$	5,016	$	1,420	$	(57)	$	-	$	28,354
Nine Months Ended September 30, 2016
Operating revenues	$	312,470	$	92,368	$	982	$	-	$	-	$	-	$	405,820
Interdepartmental revenues		1,482		17,278		32,894		-		-		(51,654)		-
Total operating revenues		313,952		109,646		33,876		-		-		(51,654)		405,820
Depreciation and amortization		(21,754)		(6,043)		(5,537)		-		(24)		-		(33,358)
Other operating expenses		(230,680)		(88,328)		(115)		(17)		(706)		51,654		(268,192)
Operating income (loss)		61,518		15,275		28,224		(17)		(730)		-		104,270
Other income (deductions), net		492		(13)		-		6,023		224		-		6,726
Interest (expense) income, net		(8,421)		(2,425)		(4,348)		-		199		-		(14,995)
Income (loss) before taxes		53,589		12,837		23,876		6,006		(307)		-		96,001
Income tax (provision) benefit		(17,984)		(5,048)		(9,583)		(2,418)		90		-		(34,943)
Net income (loss)	$	35,605	$	7,789	$	14,293	$	3,588	$	(217)	$	-	$	61,058
Nine Months Ended September 30, 2015
Operating revenues	$	319,174	$	108,028	$	5,853	$	-	$	-	$	-	$	433,055
Interdepartmental revenues		400		8,871		29,566		-		-		(38,837)		-
Total operating revenues		319,574		116,899		35,419		-		-		(38,837)		433,055
Depreciation and amortization		(22,372)		(5,018)		(5,601)		-		(35)		-		(33,026)
Other operating expenses		(239,963)		(96,063)		(122)		(15)		(626)		38,837		(297,952)
Operating income (loss)		57,239		15,818		29,696		(15)		(661)		-		102,077
Other income (deductions), net		247		(33)		-		6,568		333		-		7,115
Interest (expense) income, net		(8,385)		(2,398)		(4,516)		-		164		-		(15,135)
Income (loss) before taxes		49,101		13,387		25,180		6,553		(164)		-		94,057
Income tax (provision) benefit		(15,868)		(5,370)		(10,106)		(2,637)		35		-		(33,946)
Net income (loss)	$	33,233	$	8,017	$	15,074	$	3,916	$	(129)	$	-	$	60,111

The following tables show segment information for MGE's operations for the indicated periods:

(In thousands)MGE		Electric		Gas		Non- Regulated Energy		Transmission Investment(b)		Consolidation/ Elimination Entries		Consolidated Total
Three Months Ended September 30, 2016
Operating revenues	$	118,938	$	17,576	$	214	$	-	$	-	$	136,728
Interdepartmental revenues		454		6,034		10,998		-		(17,486)		-
Total operating revenues		119,392		23,610		11,212		-		(17,486)		136,728
Depreciation and amortization		(7,332)		(2,047)		(1,833)		-		-		(11,212)
Other operating expenses(a)		(88,282)		(19,781)		(3,208)		4		17,486		(93,781)
Operating income(a)		23,778		1,782		6,171		4		-		31,735
Other income, net(a)		160		8		-		868		-		1,036
Interest expense, net		(2,855)		(818)		(1,436)		-		-		(5,109)
Net income		21,083		972		4,735		872		-		27,662
Less: Net income attributable to
noncontrolling interest, net of tax		-		-		-		-		(5,695)		(5,695)
Net income attributable to MGE	$	21,083	$	972	$	4,735	$	872	$	(5,695)	$	21,967
Three Months Ended September 30, 2015
Operating revenues	$	121,460	$	17,435	$	1,911	$	-	$	-	$	140,806
Interdepartmental revenues		156		3,851		9,866		-		(13,873)		-
Total operating revenues		121,616		21,286		11,777		-		(13,873)		140,806
Depreciation and amortization		(7,584)		(1,714)		(1,872)		-		-		(11,170)
Other operating expenses(a)		(90,511)		(17,635)		(3,398)		(15)		13,873		(97,686)
Operating income (loss)(a)		23,521		1,937		6,507		(15)		-		31,950
Other (deductions) income, net(a)		129		(10)		-		1,435		-		1,554
Interest expense, net		(2,798)		(804)		(1,491)		-		-		(5,093)
Net income		20,852		1,123		5,016		1,420		-		28,411
Less: Net income attributable to
noncontrolling interest, net of tax		-		-		-		-		(6,633)		(6,633)
Net income attributable to MGE	$	20,852	$	1,123	$	5,016	$	1,420	$	(6,633)	$	21,778
Nine Months Ended September 30, 2016
Operating revenues	$	312,488	$	92,390	$	982	$	-	$	-	$	405,860
Interdepartmental revenues		1,464		17,256		32,894		-		(51,614)		-
Total operating revenues		313,952		109,646		33,876		-		(51,614)		405,860
Depreciation and amortization		(21,754)		(6,043)		(5,537)		-		-		(33,334)
Other operating expenses(a)		(248,566)		(93,348)		(9,698)		-		51,614		(299,998)
Operating income(a)		43,632		10,255		18,641		-		-		72,528
Other income (deductions), net(a)		394		(41)		-		3,262		-		3,615
Interest expense, net		(8,421)		(2,425)		(4,348)		-		-		(15,194)
Net income		35,605		7,789		14,293		3,262		-		60,949
Less: Net income attributable to
noncontrolling interest, net of tax		-		-		-		-		(17,899)		(17,899)
Net income attributable to MGE	$	35,605	$	7,789	$	14,293	$	3,262	$	(17,899)	$	43,050
Nine Months Ended September 30, 2015
Operating revenues	$	319,191	$	108,039	$	5,853	$	-	$	-	$	433,083
Interdepartmental revenues		383		8,860		29,566		-		(38,809)		-
Total operating revenues		319,574		116,899		35,419		-		(38,809)		433,083
Depreciation and amortization		(22,372)		(5,018)		(5,601)		-		-		(32,991)
Other operating expenses(a)		(255,732)		(101,405)		(10,228)		(15)		38,809		(328,571)
Operating income (loss)(a)		41,470		10,476		19,590		(15)		-		71,521
Other income (deductions), net(a)		148		(61)		-		3,931		-		4,018
Interest expense, net		(8,385)		(2,398)		(4,516)		-		-		(15,299)
Net income		33,233		8,017		15,074		3,916		-		60,240
Less: Net income attributable to
noncontrolling interest, net of tax		-		-		-		-		(19,812)		(19,812)
Net income attributable to MGE	$	33,233	$	8,017	$	15,074	$	3,916	$	(19,812)	$	40,428
(a) Amounts are shown net of the related tax expense, consistent with the presentation on the MGE Consolidated Statement of Income.
(b) As of July 31, 2016, MGE no longer consolidates MGE Energy's proportionate share of equity earnings in MGE Transco. See Footnote 3 for further discussion.