Evansville-based Vectren Corp. (NYSE: VVC) is reporting full-year net income of $211.6 million in 2016, up from $197.3 million the previous year. Chief Executive Officer Carl Chapman says the success of the company’s utility operation was due largely to gas infrastructure investment and cost control efforts.
Vectren is also reporting fourth quarter net income of $69.6 million, up from $65.2 million during the same period in 2015.
"Overall, the Infrastructure Services’ business had a very profitable year. But, as we discussed throughout 2016, the transmission operation has seen increased competition in its primary area of pipeline maintenance work," said Chapman. "Transmission results were favorably impacted in the fourth quarter by the revenue related to a number of projects, including a larger project where work commenced in September. We have started another large project in January that will help meet 2017 earnings targets as we anticipate a return to more maintenance work in 2018 and beyond."
Chapman says Vectren’s continued investment in its gas infrastructure and accelerated investment in its electric system, combined with the company’s strong non-utility portfolio, is expected to create more strong results for 2017.