Westar Energy, Inc (WR) has reported 12.11 percent rise in profit for the quarter ended Sep. 30, 2016. The company has earned $154.72 million, or $1.08 a share in the quarter, compared with $138 million, or $0.97 a share for the same period last year. Revenue during the quarter grew 4.34 percent to $764.65 million from $732.83 million in the previous year period. Gross margin for the quarter expanded 228 basis points over the previous year period to 72.06 percent. Total expenses were 64.61 percent of quarterly revenues, down from 65.12 percent for the same period last year. This has led to an improvement of 51 basis points in operating margin to 35.39 percent.
Operating income for the quarter was $270.58 million, compared with $255.60 million in the previous year period.
For fiscal year 2016, the company expects diluted earnings per share to be in the range of $2.38 to $2.53.
Operating cash flow improves
Westar Energy, Inc has generated cash of $692.57 million from operating activities during the nine month period, up 18.42 percent or $107.71 million, when compared with the last year period. The company has spent $815.02 million cash to meet investing activities during the nine month period as against cash outgo of $435.97 million in the last year period.
Cash flow from financing activities was $123.15 million for the nine month period as against cash outgo of $149.62 million in the last year period.
Cash and cash equivalents stood at $3.94 million as on Sep. 30, 2016, up 2.82 percent or $0.11 million from $3.83 million on Sep. 30, 2015.
Working capital remains negative
Working capital of Westar Energy, Inc was negative $154.73 million on Sep. 30, 2016 compared with negative $121.01 million on Sep. 30, 2015. Current ratio was at 0.83 as on Sep. 30, 2016, down from 0.86 on Sep. 30, 2015.
Cash conversion cycle (CCC) has decreased to 9 days for the quarter from 75 days for the last year period. Days sales outstanding were almost stable at 35 days for the quarter, when compared with the last year period.
Days inventory outstanding has decreased to 62 days for the quarter compared with 115 days for the previous year period. At the same time, days payable outstanding went up to 89 days for the quarter from 75 for the same period last year.
Debt remains almost stable
Total debt of Westar Energy, Inc remained almost stable for the quarter at $3,696.12 million, when compared with the last year period. Total debt stood at $3,696.12 million as on Sep. 30, 2016. Interest coverage ratio improved to 6.62 for the quarter from 5.77 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
