DALLAS, Aug. 6, 2024 /PRNewswire/ -- Oncor Electric Delivery Company LLC ("Oncor") today reported three months ended June 30, 2024 net income of $251 million compared to three months ended June 30, 2023 net income of $200 million. The $51 million increase was driven by higher revenues primarily due to updated interim rates to reflect increases in invested capital, increases in transmission billing units, higher customer consumption primarily attributable to weather, the new base rates implemented in May 2023 and customer growth, partially offset by higher costs associated with increases in invested capital (primarily borrowing costs and depreciation) and higher operation and maintenance ("O&M") expense. "Over a 21-day period in the months of May and June, tornados touched down in the Temple/Killeen area, a storm with straight line winds measuring as high as 95 miles per hour passed through the DFW metroplex, and additional storms impacted our East Texas region. I want to thank the 12,000 Oncor employees, contractors and off-system personnel who worked around the clock, restoring service to our customers as soon as safely possible," Allen Nye, Oncor CEO said. "Oncor has also reached a settlement in principle with the parties to our system resiliency plan case. We hope to have the agreement documented and approved by the Public Utility Commission of Texas in the coming months. We believe the agreement will accomplish all of the benefits of our filed plan. We appreciate all of the parties' constructive engagement, especially the Public Utility Commission of Texas Staff." Oncor's reported net income of $476 million in the six months ended June 30, 2024 compared favorably to net income of $303 million in the six months ended June 30, 2023. The $173 million increase was driven by higher revenues primarily due to updated interim rates to reflect increases in invested capital, increases in transmission billing units, higher customer consumption primarily attributable to weather, the new base rates implemented in May 2023 and customer growth, and the write-off of rate base disallowances recorded in the first quarter of 2023, partially offset by higher costs associated with increases in invested capital (primarily borrowing costs and depreciation) and higher O&M expense. Financial and operational results are provided in Tables A, B, C, D and E below. Operational Highlights In the three months ended June 30, 2024, Oncor increased its premise count by 20,000. The continued growth across Oncor's transmission and distribution footprint resulted in the construction or upgrading of approximately 175 circuit miles of transmission lines and included 25 load-serving substation projects and 18 major switching station projects all being placed into service in the second quarter of 2024. Oncor received 98 new transmission point of interconnection ("POI") requests in the three months ended June 30, 2024, an approximate seven percent increase over the same period in 2023. The majority of those new requests are from large commercial and industrial ("LC&I") customers. At June 30, 2024, Oncor had a total of 814 active generation and LC&I transmission POI requests in queue as compared to 720 at June 30, 2023, representing a 13% increase. Generation customers represented 473 of those POI requests in queue of which 46% are solar, 43% are storage, 7% are wind, 3% are gas and 1% are other. LC&I requests come from customers across a diverse group of industries, including many with electricity loads that represent the potential for hundreds of megawatts of new electric load, such as artificial intelligence and data centers. Of the 341 active LC&I transmission POI requests in Oncor's queue at June 30, 2024, approximately 25% of those projects represent large load customers that in the aggregate represent over 40 gigawatts of potential load. Oncor is committed to enhancing the resiliency and reliability of its system. In May 2024, Oncor filed a system resiliency plan ("SRP") with the Public Utility Commission of Texas ("PUCT") for approval that, if fully implemented, Oncor believes will help mitigate the impact and duration of severe weather outages. Oncor's SRP (PUCT Docket No. 56545) requests approval of approximately $2.9 billion in capital investment and $520 million in O&M expenses over a three-year period to enhance the resiliency of its transmission and distribution system. These capital investments would be incremental to Oncor's previously announced $24.2 billion five-year capital plan for the 2024-2028 period. The SRP proposes various measures to address certain resiliency events, including extreme weather, which Oncor believes will provide a substantial reduction in outage minutes for customers, while also expanding and accelerating Oncor's efforts around wildfire risk mitigation, physical security threats, cybersecurity threats, vegetation management and the expanded deployment of smart grid technologies. These investments, if approved, are expected to enable Oncor's transmission and distribution system to better withstand and more quickly recover from the wide range of extreme weather conditions and other risks Oncor experiences across its diverse service area. On August 5, 2024, Oncor filed a letter in the SRP proceeding noting that the parties have reached a settlement in principle and that the parties are working to finalize a written settlement agreement by August 16, 2024 for PUCT review and approval. A final order on Oncor's SRP application is expected from the PUCT by the end of the year. In late June, Oncor published its fifth annual Corporate Sustainability Overview, highlighting its sustainable business practices, including its efforts to enhance the resiliency and reliability of its system. The Corporate Sustainability Overview is available on Oncor's website at oncor.com under the Investor Relations section. Liquidity As of August 5, 2024, Oncor's available liquidity, consisting of cash on hand and available borrowing capacity under its existing credit facilities, commercial paper program and accounts receivable facility ("AR Facility"), totaled $2.2 billion. Sempra Internet Broadcast Today Sempra (NYSE:SRE) (BMV:SRE) will broadcast a live discussion of its earnings results over the Internet today at 12 p.m. ET, which will include discussion of second quarter 2024 results and other information relating to Oncor. Oncor Chief Executive Allen Nye will participate in the broadcast. Access to the broadcast is available by logging onto the Investors section of Sempra's website, sempra.com/investors. Prior to the conference call, an accompanying slide presentation will be posted on sempra.com/investors. For those unable to participate in the live webcast, it will be available on replay a few hours after its conclusion at sempra.com/investors. Quarterly Report on Form 10-Q Oncor's Quarterly Report on Form 10-Q for the period ended June 30, 2024 will be filed with the U.S. Securities and Exchange Commission after Sempra's conference call and once filed, will be available on Oncor's website, oncor.com. Oncor Electric Delivery Company LLC Table A – Condensed Statements of Consolidated Income (Unaudited) Three and Six Months Ended June 30, 2024 and 2023 Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (U.S. dollars in millions) Operating revenues $ 1,492 $ 1,343 $ 2,950 $ 2,635 Operating expenses: Wholesale transmission service 351 322 702 643 Operation and maintenance 295 271 594 534 Depreciation and amortization 261 242 518 482 Provision in lieu of income taxes 53 41 100 68 Taxes other than amounts related to income taxes 136 141 280 286 Write-off of rate base disallowances - - - 55 Total operating expenses 1,096 1,017 2,194 2,068 Operating income 396 326 756 567 Other (income) and deductions – net (16) (5) (30) 2 Non-operating benefit in lieu of income taxes - (2) (1) (8) Interest expense and related charges 161 133 311 256 Write-off of non-operating rate base disallowances - - - 14 Net income $ 251 $ 200 $ 476 $ 303   Oncor Electric Delivery Company LLC Table B – Condensed Statements of Consolidated Cash Flows (Unaudited) Six Months Ended June 30, 2024 and 2023 Six Months Ended June 30, 2024 2023 (U.S. dollars in millions) Cash flows – operating activities: Net income $ 476 $ 303 Adjustments to reconcile net income to cash provided by operating activities: Depreciation and amortization, including regulatory amortization 602 536 Write-off of rate base disallowances - 69 Provision in lieu of deferred income taxes – net 57 23 Changes in operating assets and liabilities: Accounts receivable (202) (78) Inventories (28) (49) Accounts payable – trade 162 (6) Regulatory assets – deferred revenues (51) (120) Regulatory assets – self-insurance reserve (236) (166) Other assets and liabilities (142) 19 Cash provided by operating activities 638 531 Cash flows – financing activities: Issuances of senior secured notes 1,442 1,400