Dominion Operating Earnings Grow but Will Soon Shrink

Shares of Richmond, Va.-based Dominion Resources slipped 0.5% in Tuesday trading, following a Q2 2013 earnings report that showed the company earning operating profits of $0.62 per share, toward the low end of prior guidance of $0.60 to $0.70, and below analyst expectations of $0.65.

Under GAAP accounting standards, earnings amounted to $0.35 per share. Dominion clarified that net losses from discontinued operations at its Brayton Point and Kincaid power stations, plus an impairment charge for natural gas infrastructure assets and other one-time charges, accounted for the difference between GAAP earnings and operating earnings this quarter.

Dominion's operating earnings were up 5% from the same quarter of 2012.

Looking forward, Dominion guided investors to expect a small decline in operating earnings in Q3, predicting that operating earnings will range between $0.85 and $0.95 per share, down from $0.92 per share in Q3 2012. Full-year operating earnings guidance remains steady at between $3.20 and $3.50 per share.

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