Company profile

Employees
Incorporated in
Location
Fiscal year end
Industry (SEC)
Former names
Central Louisiana Electric Co Inc, Cleco Corp, Cleco Utility Group Inc
SEC CIK

Calendar

13 Aug 19
24 Aug 19
31 Dec 19

News

Company financial data Financial data

Quarter (USD) Dec 18 Sep 18 Jun 18 Mar 18
Revenue 296.77M 358.26M 299.26M 276.76M
Net income
Diluted EPS
Operating income 50M 86.11M 63.71M 44.73M
Net change in cash -75.38M 69.25M -60.2M 57.47M
Cash on hand 110.18M 185.56M 116.31M 176.51M

Financial data from Cleco Power earnings reports

Financial report summary

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Risks
  • The success of the Cleco Cajun Transaction depends, in part, on Cleco’s ability to manage the acquired business, realize anticipated benefits, and conduct an effective integration process.
  • Cleco Holdings is a holding company and its ability to meet its debt obligations is dependent on the cash generated by its subsidiaries.
  • Cleco operates in a highly regulated environment and adverse regulatory decisions or changes in applicable regulations could have a material adverse effect on the Registrants’ business or result in significant additional costs.
  • Cleco Power and Cleco Cajun’s financial performance could be exposed to fluctuations in commodity prices and other factors, which could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Transmission constraints could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • The LPSC conducts fuel audits that could result in Cleco Power making substantial refunds of previously recorded revenue.
  • The LPSC conducts audits of environmental costs that could result in Cleco Power making substantial refunds of previously recorded revenue.
  • FERC conducts audits that could result in Cleco Power making refunds of previously recorded revenue.
  • Cleco may not be adequately hedged against changes in commodity prices, which could have a material adverse effect on the results of operations, financial condition, and liquidity of the Registrants.
  • Cleco is exposed to the risk that counterparties may not meet their obligations, which could have a material adverse effect on the operating and financial performance of the Registrants.
  • The accounting for Cleco’s hedging activities may increase the volatility in the Registrants’ quarterly and annual financial results.
  • Adverse capital market performance could result in reductions in the fair value of benefit plan assets and increase the Registrants’ liabilities related to such plans. Sustained declines in the fair value of the plan’s assets or sustained increases in plan liabilities could result in significant increases in funding requirements, which could adversely affect the Registrants’ liquidity and results of operations.
  • Disruptions in the capital and credit markets may adversely affect the Registrants’ cost of capital and ability to meet liquidity needs or access capital to operate and grow the business.
  • Cleco Power’s future electricity sales and corresponding base revenue and cash flows and Cleco Cajun’s future wholesale revenue and cash flows could be adversely affected by adverse macroeconomic conditions.
  • Energy conservation, energy efficiency efforts, and other factors that reduce energy demand could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Cleco Power’s generation facilities are susceptible to unplanned outages, significant maintenance requirements, and interruption of fuel deliveries.
  • The construction of, and capital improvements to, power generation and transmission and distribution facilities involve substantial risks. Should construction or capital improvement efforts be significantly more expensive than planned, the financial condition, results of operations, or liquidity of Cleco Power could be materially affected.
  • Cleco Cajun’s generation facilities are susceptible to unplanned outages, significant maintenance requirements, interruption of fuel deliveries, and transmission constraints.
  • A downgrade in Cleco Holdings’ or Cleco Power’s credit ratings could result in an increase in their respective borrowing costs, a reduced pool of potential investors and funding sources, and a restriction on Cleco Power making distributions to Cleco Holdings.
  • MISO market operations could have a material adverse effect on the results of operations, generation revenues, energy supply costs, financial condition, or cash flows of the Registrants.
  • The operational and information technology systems on which Cleco relies to conduct its business and serve customers could fail to function properly due to technological problems, cyber attacks, physical attacks on Cleco’s assets, acts of terrorism, severe weather, solar events, electromagnetic events, natural disasters, the age and condition of information technology assets, human error, or other reasons that could disrupt Cleco’s operations and cause Cleco to incur unanticipated losses and expense.
  • Changes in taxation as well as the inherent difficulty in quantifying potential tax effects of business decisions could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Changes in taxation due to uncertain effects of the TCJA could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Cleco is subject to mandatory reliability and critical infrastructure protection standards. Fines and civil penalties are imposed on those who fail to comply with these standards.
  • Cleco’s costs of compliance with environmental laws and regulations are significant. The costs of compliance with new environmental laws and regulations, as well as the incurrence of incremental environmental liabilities, could be significant to the Registrants.
  • The LPSC and FERC regulate the retail rates and wholesale transmission tariffs, respectively, that Cleco Power can charge its customers.
  • Cleco Power’s retail electric rates and business practices are regulated by the LPSC and reviews may result in refunds to customers.
  • Cleco’s business practices are regulated by FERC, and the wholesale rates of both Cleco Power and Cleco Cajun are subject to FERC’s triennial market power analysis. Cleco Power and/or Cleco Cajun could lose the right to sell wholesale generation at market-based rates.
  • The operating results of Cleco Power are affected by weather conditions and may fluctuate on a seasonal basis.
  • The physical risks associated with climate changes could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Cleco is subject to litigation related to the 2016 Merger.
  • The outcome of legal proceedings cannot be predicted. An adverse finding could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Changes in environmental, fiscal, and tax policies could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Failure to attract and retain an appropriately qualified workforce could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants.
  • Changes in technology may have a material adverse effect on the value of Cleco Power and Cleco Cajun’s generating facilities.
  • Cleco’s insurance coverage may not be sufficient.
  • Cleco Power LLC’s unsecured and unsubordinated obligations, including, without limitation, its senior notes, will be effectively subordinated to any secured debt of Cleco Power LLC and structurally subordinated to debt and preferred equity of any of Cleco Power LLC’s subsidiaries.
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