CenterPoint Energy, Inc. (NYSE:CNP) Q3 2019 Earnings Conference Call - Final Transcript
Nov 07, 2019 • 10:00 am ET
long-term or are we will be looking at a full divestiture at some point?
I think the best way to answer that is maybe a reiteration of what I had just mentioned to Ali. And that is, we see those businesses today as a source of cash for investment in our utility businesses. And as part of a regular course of management, we evaluate whether businesses are providing the maximum value to shareholders as they, as they possibly can. And we look at that on a regular basis as does our Board. So, we continue to think about our businesses in that context, with an eye towards value maximization.
And for Xia, i'm just wondering if you, it looks like you found about a $100 million worth of O&M reductions so far, and i'm wondering if, just generally speaking, ahead of the fourth quarter review, are you pleasantly surprised with what you're finding? Are you optimistic about the future? How is the review going so far?
It's going very well. The part of the $100 million is what we expected, which is the synergies that we set forth a target of $50 plus million this year. So, we are ahead of that, i think the team has done a really good job from day one, getting costs out and continue to focus on, basically turning every rock to see where we can, we can find additional synergies, so, the team has done a really good job this year improving processes and achieving synergies at the same time we reiterated our focus on overall O&M efficiency focus.
So, over the past several quarters we have seen the results from the continuing to focus on that. I think all businesses have made their commitment in looking at the overall spending plan and make sure we are basically doing everything we can to become more efficient. So, i'm very optimistic about, about the future about our continued focus on that aspect. At the same time, i think it would allow us to continue to focus on capital deployment and, and grow our Utility Infrastructure.
Thank you very much.
Our next question is from Shar Pourreza and Guggenheim.
Hi, good morning, it's actually Constantine here for Shar. I just wanted to congratulate you guys on a good quarter.
Thank you Constantine.
Couple of questions here. Understanding that it's an early outlook on the capital plan, but can you kind of give a little bit of color on any moving pieces that you've kind of seen that you can address at this time versus prior expectations. And how does that early outlook kind of correspond to keeping the utility growth in-tact. Or is there anything incremental?
Yeah, sure. As i shared, Just now, we expect about over a $100 million increase from, for 2019 compared to what we previously communicated with you for the year. And for the 2022-to-2004 period, we expect the overall aggregate amount to be similar to what we shared with you