Media requests: We invite members of the media to contact us with questions about our work. Contact our media line at 416-903-6845 or send us an email: media@torontohydro.com.
Newsroom
Stay informed on our latest news.
Toronto Hydro Corporation Releases its 2008 Audited Financial Statements and Related MD&A
------------------------------------------------------------------------- Year Ended December 31 in millions of dollars, audited ------------------------------------------------------------------------- 2008 2007 ---- ---- Net Income $169.0 $82.8 Net Income from Continuing Operations $46.3 $54.1 Net Revenues $498.2 $497.6 -------------------------------------------------------------------------TORONTO, March 11 /CNW/ - Toronto Hydro Corporation (the "Corporation") announced today that it has filed with Canadian security regulators its audited Consolidated Financial Statements and related MD&A for the year ended December 31, 2008. Copies may be obtained from the Corporation or accessed through www.sedar.com.- Net income was $169.0 million in 2008 compared with $82.8 million in 2007. The net income includes the recognition of a gain on the sale of the shares of Toronto Hydro Telecom Inc. of $118.7 million. - Net revenues were slightly higher at $498.2 million compared to $497.6 million in 2007."Our focus in 2008 continued to be on electricity distribution operations, which enabled us to complete construction programs and trades recruitment initiatives on schedule and on budget. Infrastructure renewal will remain a priority as we continue to execute our ten-year capital program that is now underway", said David O'Brien, President and Chief Executive Officer. Financial Highlights Net income was $169.0 million in 2008, compared to $82.8 million in 2007. The increase in net income was mainly due to discontinued operations in 2008 ($94.0 million) related to the sale of Telecom and a favourable variance in the provision for Payment in Lieu of Corporate Taxes ($32.1 million). Offsetting these favourable variances were higher operating expenses ($15.1 million), higher depreciation expense ($12.4 million), and higher impairment on investments held to maturity ($9.0 million).------------------------------------------------------------------------- Financial Highlights, Year ended December 31; in millions of dollars; audited ------------------------------------------------------------------------- Variance - Favourable/ 2008 2007 (Unfavourable) ------------------------------------------------------------------------- Net Income $169.0 $82.8 $86.2 ------------------------------------------------------------------------- Net Revenues 498.2 497.6 0.6 ------------------------------------------------------------------------- Operating Expenses 205.5 190.4 (15.1) ------------------------------------------------------------------------- Depreciation & Amortization 156.3 143.9 (12.4) ------------------------------------------------------------------------- Impairment of Investments Held to Maturity 22.0 13.0 (9.0) ------------------------------------------------------------------------- Income from Discontinued Operations 122.7 28.8 94.0 ------------------------------------------------------------------------- Provision for Payment in Lieu of Corporate Taxes 5.7 37.8 32.1 ------------------------------------------------------------------------- Net Interest Expense 62.4 60.0 (2.4) ------------------------------------------------------------------------- Corporate Developments - On July 31, 2008, the Corporation successfully closed the sale of shares held in Toronto Hydro Telecom Inc. to Cogeco Cable Inc. (TSX: CCA) for $200 million subject to post-closing adjustments. - On December 12, 2008, the Corporation filed a new shelf prospectus under its Medium Term Notes program which provides for the issuance of up to $1.0 billion of debentures during the 25-month period following the date of the prospectus. The Corporation will use net proceeds from the sale of debentures issued under the shelf prospectus for general corporate purposes which may include the repayment of existing indebtedness outstanding to the City. - On March 10, 2009, the Corporation declared dividends amounting to $6.2 million relating to the first quarter of 2009 ($6.0 million), payable to the City on March 31, 2009, and $0.2 million with respect to net income for the year ended December 31, 2008, payable to the City on March 20, 2009. About Toronto Hydro The Corporation is a holding company which through its wholly-owned subsidiaries: - Toronto Hydro-Electric System Limited ("LDC") - distributes electricity; and - Toronto Hydro Energy Services Inc. ("TH Energy") - provides street lighting and expressway lighting services, and energy efficiency products and services.The principal business of the Corporation is the distribution of electricity by LDC. LDC owns and operates an electricity distribution system that delivers electricity to approximately 684,000 customers located in the City of Toronto.