Emera’s New Projects Fuel Growth, Cut Risk

Article Excerpt

EMERA INC. $20 (Toronto symbol EMA; Income Portfolio, Utilities sector; Shares outstanding: 111.2 million; Market cap: $2.2 billion; SI Rating: Average) operates over 40 power plants that supply electricity to roughly 460,000 customers in Nova Scotia. This operation accounts for 85% of its total revenue, and most of its income. To cut its reliance on Nova Scotia, Emera acquired Bangor Hydro in 2001. This subsidiary buys power from various producers and distributes it to over 110,000 customers in eastern Maine. Emera also invests in other energy projects. For example, it recently acquired 19% of the main electrical utility on the Caribbean island of St. Lucia. Emera already owns 12.9% of the Maritimes & Northeast Pipeline, which transports natural gas from the Sable Island reserves south of Nova Scotia to markets in Canada and the Northeastern U.S. Steady revenue & profit growth Emera’s revenues have fallen slowly, from $1.16 billion in 2002 to $1.12 billion in 2006. However, earnings grew from $0.84 a share (total…

You are trying to access subscriber-only content.

To read this article, you may subscribe or sign in.
If you are already a subscriber, log in here.

If you wish to become a subscriber, click here. Or you may enjoy access to all our publications when you become a Member of Pat McKeough's Inner Circle Pro.