KANSAS CITY, Mo.-
Aquila Inc. on Thursday swung to a fourth-quarter profit as an income tax benefit offset lower sales.
The company, which serves around 1 million electric and gas customers in five Midwestern states, reported earning $64.3 million, or 17 cents per share, during the October-December period. By comparison, the company lost $127.8 million, or 34 cents per share, during the same period a year ago.
The current quarter’s results included a $56.9 million income tax benefit related to the sale of its Minnesota gas utility and another tax benefit.
Total operating costs dropped to $90.9 million from $101.3 million.
Quarterly revenue declined 15 percent to $339 million from $397.7 million on lower natural gas prices and warmer winter weather.
Aquila saw a full-year 2006 profit of $23.9 million, or 6 cents per share, compared with a loss of $230 million, or 60 cents per share, in 2005.
Revenue for the year edged up 5 percent to $1.37 billion versus $1.31 billion in the prior year.
Aquila last month announced that it will sell its remaining assets to Great Plains Energy Inc. and Black Hills Corp. in separate transactions for more than $2.6 billion in cash and stock and the assumption of $1 billion in debt.
Richard Green, Aquila’s chief executive officer, said the company will release more details on the transactions, which have been criticized by several Aquila shareholders, on March 7.
Aquila shares, which have traded in a 52-week range of $3.63 to $4.86, gained 5 cents to close at $4.17 in trading Thursday on the New York Stock Exchange.
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