Hawaiian Electric Industries today reported a 1 percent increase in its third-quarter net income as a gain in its banking business helped offset lower earnings at its utility subsidiary.
HEI earned $48.2 million in the third quarter, up from $47.7 million in the same three-month period in 2012, the company reported. Despite the rise in net income HEI’s earnings per share slipped to 48 cents in the third quarter from 49 cents a year earlier due to an increase in shares issued through its dividend reinvestment program.
Hawaiian Electric Co.’s net income fell by $600,000 in the third quarter from the year-ago period largely because of a variety of expenses, including equipment to improve grid reliability and integrate more renewable energy. Those expenses were partially offset by higher net revenue from a rate increase and a favorable income tax adjustment, according to HEI.
HECO operates electric utilities on Oahu, Hawaii island, Maui, Lanai and Molokai.
HEI last week reported earnings for its American Savings Bank subsidiary. Strong loan growth helped boost American Savings’ earnings 7.5 percent to $15.3 million in the third quarter, primarily driven by increases in commercial lending, commercial real estate portfolios, home equity lines of credit and residential mortgages. Overall, loans rose 7.9 percent to $4.1 billion from $3.8 billion and are now up 9.3 percent since the start of the year.