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Questar Corp. Reports Operating Results (10-Q)

August 05, 2010 | About:
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Questar Corp. (STR) filed Quarterly Report for the period ended 2010-06-30.

Questar Corp. has a market cap of $2.92 billion; its shares were traded at around $16.69 with a P/E ratio of 7.1 and P/S ratio of 1. The dividend yield of Questar Corp. stocks is 3.1%. Questar Corp. had an annual average earning growth of 18.1% over the past 10 years. GuruFocus rated Questar Corp. the business predictability rank of 4.5-star.STR is in the portfolios of Pioneer Investments, Irving Kahn of Kahn Brothers & Company Inc., John Keeley of Keeley Fund Management, Bruce Kovner of Caxton Associates, Jim Simons of Renaissance Technologies LLC, Stanley Druckenmiller of Duquesne Capital Management, LLC, George Soros of Soros Fund Management LLC, Jeremy Grantham of GMO LLC, Chuck Royce of Royce& Associates.

Highlight of Business Operations: Wexpro reported income of $22.0 million in the second quarter of 2010 compared to $19.8 million in second quarter of 2009, an 11% increase. Wexpro earnings for the first half of 2010 were $43.2 million compared to $38.6 million in the first half of 2009. For the 12 months ended June 30, 2010, Wexpro earned $85.3 million compared to $77.5 million for the year-earlier period. Following is a summary of Wexpro financial and operating results:
Questar Pipeline reported second quarter 2010 income of $15.9 million compared with $15.0 million in 2009, a 6% increase. Income for the first half of 2010 was $33.1 million compared with $29.7 million for the first half of 2009. Questar Pipeline earned $61.6 million in the 12 months ended June 30, 2010, compared to $59.1 million in the 12 months ended June 30, 2009. Following is a summary of Questar Pipeline financial and operating results:
Operating and maintenance expenses increased by 7% in the second quarter of 2010, 2% in the first half of 2010 and 9% in the 12 months ended June 30, 2010 compared to corresponding 2009 periods. The increased costs are due primarily to higher maintenance costs. General and administrative expenses increased by 20% in the second quarter of 2010, 21% in the first half of 2010 and 15% in the 12 months ended June 30, 2010 compared to corresponding 2009 periods. These increases are due to higher compensation and employee benefit expenses driven by the Company's recent stock performance. Operating, maintenance, general and administrative expenses per dth transported increased to $0.10 in the first half of 2010 compared with $0.09 in the first half of 2009. Operating, maintenance, general and administrative expenses include processing and storage costs.
Questar Gas reported a seasonal loss of $2.2 million in the second quarter of 2010 compared to a loss of $2.0 million in the second quarter of 2009. Income was $30.9 million in the first half of 2010, up 4% from $29.8 million in the first half of 2009. Income was $42.7 million in the 12 months ended June 30, 2010 compared to $41.4 million in the year-earlier period. Questar Gas, because of the seasonal nature of its business, typically reports income in the first and fourth quarters of the year and losses in the second and third quarters of the year. Following is a summary of Questar Gas financial and operating results:
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