UI Reports 31% Decrease in Distribution Net Income for 2023

UI’s unaudited distribution net income decreased 31 percent year-over-year in 2023

2023 net income does not include losses due to regulatory impacts of PURA’s August Decision in UI rate case, which would drop UI’s year-over-year distribution net income by 69 percent

ORANGE, Conn. — February 22, 2024 — Frank Reynolds, President and CEO of United Illuminating (UI), a subsidiary of Avangrid, Inc. (NYSE: AGR), today issued the following statement regarding the 2023 earnings results disclosed on Thursday, February 22, 2023:

“In order to serve our customers with best-in-class reliability now and into the future, provide a safe working environment for our front-line workers, and lay the groundwork for the clean energy transition across the state of Connecticut, it is imperative for UI to remain on strong financial footing. The 2023 earnings report released today indicate these essential objectives are imperiled, as UI’s distribution net income decreased -31 percent from 2022 to 2023. Had UI included the impacts of the regulatory impacts of PURA’s August Decision in its rate case, distribution net income would fall by -69 percent year-over-year.

As we have warned for months, Connecticut’s restrictive and punitive regulatory environment strains our ability to provide the top-tier electric service our customers are accustomed to. On behalf of our 500-person workforce and the more than 340,000 residences and businesses we serve, we will continue to advocate for a stable and predictable regulatory environment, which is essential to the advancement of our 125-year legacy of safe, reliable, and innovative electric service.” — Frank Reynolds, President & CEO of UI

Background

• The 2023 Distribution Net Income does not include the write-off of deferred assets that were approved by PURA’s Final Decision in the UI rate case (Docket No. 22-08-08).