EX-99.1 2 tm2114543d1_ex99-1.htm EXHIBIT 99.1

 

Exhibit 99.1

 

 

CMS Energy Announces First Quarter Earnings Results of $1.21 Per Share, Reaffirms 2021 Guidance

 

JACKSON, Mich., April 29, 2021 – CMS Energy announced today reported earnings per share of $1.21 for the first quarter of 2021, compared to $0.85 per share for the same quarter in 2020. The company’s adjusted earnings per share for the first quarter of 2021 were $1.21 per share, compared to $0.86 per share for the same quarter in 2020. The primary drivers of CMS Energy’s financial performance were customer investments and sustained cost performance from 2020.

 

“We will continue to invest in Michigan and in our communities while leading the clean energy transformation with support from our 5-year, $13.2 billion customer investment plan which focuses on building out renewable energy and enhancing the safety and reliability of our electric and gas systems as we move toward net zero carbon and methane emissions,” said Garrick Rochow, President and CEO of CMS Energy and Consumers Energy.

 

CMS Energy reaffirmed its guidance for 2021 adjusted earnings of $2.83 - $2.87* per share (*See below for important information about non-GAAP measures) reflecting continued strong growth of 6 to 8 percent, with a bias toward the midpoint.

 

CMS Energy (NYSE: CMS) is a Michigan-based energy provider featuring Consumers Energy as its primary business. It also owns and operates independent power generation businesses.

 

# # #

 

CMS Energy will hold a webcast to discuss its 2021 first quarter results and provide a business and financial outlook on April 29 at 9:30 a.m. (EDT). To participate in the webcast, go to CMS Energy’s homepage (cmsenergy.com) and select “Events and Presentations.”

 

 

 

 

Important information for investors about non-GAAP measures and other disclosures.

 

*This news release contains non-Generally Accepted Accounting Principles (non-GAAP) measures, such as adjusted earnings. All references to net income refer to net income available to common stockholders and references to earnings per share are on a diluted basis. Adjustments could include items such as discontinued operations, asset sales, impairments, restructuring costs, changes in accounting principles, changes in federal tax policy, regulatory items from prior years, unrealized gains or losses, recognized in net income, from mark-to-market adjustments related to CMS Enterprises’ interest expense, or other items. Management views adjusted earnings as a key measure of the company's present operating financial performance and uses adjusted earnings for external communications with analysts and investors. Internally, the company uses adjusted earnings to measure and assess performance. Because the company is not able to estimate the impact of specific line items, which have the potential to significantly impact, favorably or unfavorably, the company's reported earnings in future periods, the company is not providing reported earnings guidance nor is it providing a reconciliation for the comparable future period earnings. The company’s adjusted earnings should be considered supplemental information to assist in understanding our business results, rather than as a substitute for the reported earnings.

 

This news release contains "forward-looking statements." The forward-looking statements are subject to risks and uncertainties that could cause CMS Energy’s and Consumers Energy’s results to differ materially. All forward-looking statements should be considered in the context of the risk and other factors detailed from time to time in CMS Energy's and Consumers Energy's Securities and Exchange Commission filings.

 

Investors and others should note that CMS Energy routinely posts important information on its website and considers the Investor Relations section, www.cmsenergy.com/investor-relations, a channel of distribution.

 

For more information on CMS Energy, please visit our website at cmsenergy.com. To sign up for email alert notifications, please visit the Investor Relations section of our website.

 

Media Contacts: Katie Carey, 517/740-1739

 

Investment Analyst Contact: Travis Uphaus, 517/788-2590

 

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CMS ENERGY CORPORATION

Consolidated Statements of Income

(Unaudited)

 

 

  In Millions, Except Per Share Amounts
  Three Months Ended
  3/31/21  3/31/20
Operating revenue $2,083   $1,864 
          
Operating expenses  1,598    1,496 
          
Operating Income  485    368 
          
Other income  44    39 
          
Interest charges  136    137 
          
Income Before Income Taxes  393    270 
          
Income tax expense  51    27 
          
Net Income  342    243 
          
Loss attributable to noncontrolling interests  (7)   - 
          
Net Income Available to Common Stockholders $349   $243 
          
Basic Earnings Per Average Common Share $1.21   $0.86 
Diluted Earnings Per Average Common Share  1.21    0.85 

 

 

 

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CMS ENERGY CORPORATION
Summarized Consolidated Balance Sheets
(Unaudited)

 

  In Millions
  As of
  3/31/21  12/31/20
Assets          
Current assets          
Cash and cash equivalents  $496   $168 
Restricted cash and cash equivalents   28    17 
Other current assets   1,989    2,219 
Total current assets   2,513    2,404 
Non-current assets          
Plant, property, and equipment   21,207    21,039 
Other non-current assets   6,003    6,223 
Total Assets  $29,723   $29,666 
           
Liabilities and Equity          
Current liabilities (1)  $1,379   $1,568 
Non-current liabilities (1)   6,924    6,825 
Capitalization          
Debt, finance leases, and other financing (excluding securitization debt) (2)          
Debt, finance leases, and other financing (excluding non-recourse and securitization debt)   12,080    12,083 
Non-recourse debt   2,813    2,888 
Total debt, finance leases, and other financing (excluding securitization debt)   14,893    14,971 
Noncontrolling interests   575    581 
Common stockholders' equity   5,727    5,496 
Total capitalization (excluding securitization debt)   21,195    21,048 
Securitization debt (2)   225    225 
Total Liabilities and Equity  $29,723   $29,666 

 

(1) Excludes debt, finance leases, and other financing.
   
(2) Includes current and non-current portions.

 

CMS ENERGY CORPORATION

Summarized Consolidated Statements of Cash Flows

(Unaudited)

 

  In Millions
  Three Months Ended
  3/31/21  3/31/20
Beginning of Period Cash and Cash Equivalents, Including Restricted Amounts  $185   $157 
           
Net cash provided by operating activities (3)   832    201 
Net cash used in investing activities   (283)   (559)
Cash flows from operating and investing activities   549    (358)
Net cash provided by (used in) financing activities   (210)   1,062 
           
Total Cash Flows  $339   $704 
           
End of Period Cash and Cash Equivalents, Including Restricted Amounts  $524   $861 

 

(3)Includes the impact of a $531 million pension contribution in 2020.

 

 

 

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CMS ENERGY CORPORATION
Reconciliation of GAAP Net Income to Non-GAAP Adjusted Net Income
(Unaudited)

 

  In Millions, Except Per Share Amounts
  Three Months Ended
  3/31/21  3/31/20
Net Income Available to Common Stockholders  $349   $243 
Reconciling items:          
Other exclusions from adjusted earnings**   (1)   3 
Tax impact   *     (*)
Tax reform   -    (9)
Voluntary separation program   -    11 
Tax impact   -    (3)
           
Adjusted net income – non-GAAP  $348   $245 
           
Average Common Shares Outstanding          
Basic   288.6    283.3 
Diluted   289.1    285.2 
           
Basic Earnings Per Average Common Share          
Reported net income per share  $1.21   $0.86 
Reconciling items:          
Other exclusions from adjusted earnings**   (*)   0.01 
Tax impact   *     (*)
Tax reform   -    (0.03)
Voluntary separation program   -    0.04 
Tax impact   -    (0.01)
           
Adjusted net income per share – non-GAAP  $1.21   $0.87 
           
Diluted Earnings Per Average Common Share          
Reported net income per share  $1.21   $0.85 
Reconciling items:          
Other exclusions from adjusted earnings**   (*)   0.01 
Tax impact   *     (*)
Tax reform   -    (0.03)
Voluntary separation program   -    0.04 
Tax impact   -    (0.01)
           
Adjusted net income per share – non-GAAP  $1.21   $0.86 

 

* Less than $0.5 million or $0.01 per share.
** Includes restructuring costs and unrealized gains or losses, recognized in net income, from mark-to-market adjustments related to CMS Enterprises' interest expense.
 

 

Management views adjusted (non-Generally Accepted Accounting Principles) earnings as a key measure of the Company's present operating financial performance and uses adjusted earnings for external communications with analysts and investors.  Internally, the Company uses adjusted earnings to measure and assess performance.  Adjustments could include items such as discontinued operations, asset sales, impairments, restructuring costs, changes in accounting principles, changes in federal tax policy, regulatory items from prior years, unrealized gains or losses, recognized in net income, from mark-to-market adjustments related to CMS Enterprises’ interest expense, or other items. The adjusted earnings should be considered supplemental information to assist in understanding our business results, rather than as a substitute for reported earnings.