XML 44 R21.htm IDEA: XBRL DOCUMENT
v3.22.4

Segment financial information | 12 Months Ended
--- | ---
Dec. 31, 2022
Segment Reporting [Abstract] |
Segment financial information |
Note 2 · Segment financial information
The electric utility and bank segments are strategic business units of the Company that offer different products and services and operate in different regulatory environments. The accounting policies of the segments are the same as those described for the Company in the summary of significant accounting policies, except as otherwise indicated and except that federal and state income taxes for each segment are calculated on a “stand-alone” basis. HEI evaluates segment performance based on net income. Each segment accounts for intersegment sales and transfers as if the sales and transfers were to third parties (i.e., at current market prices). Intersegment revenues consist primarily of Hamakua Energy electricity revenues, interest, rent and preferred stock dividends.
Electric utility
Hawaiian Electric and its wholly owned operating subsidiaries, Hawaii Electric Light and Maui Electric, are public electric utilities in the business of generating, purchasing, transmitting, distributing and selling electric energy on all major islands in Hawaii other than Kauai, and are regulated by the PUC. The utility subsidiaries are aggregated within the electric utility segment because they: (1) are involved in the business of supplying electric energy in the same geographical location (i.e., the State of Hawaii), (2) have similar production processes that comprise electric generation, (3) serve similar customers within their franchise territories (e.g., residential, commercial and industrial customers), (4) use similar electric grids to distribute the energy to their customers, (5) are regulated by the PUC and undergo similar rate-making processes, (6) have similar economic characteristics and (7) perform financial reporting oversight and management of the business at the consolidated level.
Bank
ASB is a federally chartered savings bank that provides a full range of banking services to individual and business customers through its branch system in Hawaii. ASB is subject to examination and comprehensive regulation by the Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC), and is subject to reserve requirements established by the Board of Governors of the Federal Reserve System.
Other
“Other” includes amounts for the holding companies (HEI and ASB Hawaii), Pacific Current and its subsidiaries, and other inactive subsidiaries not qualifying as reportable segments, and intercompany eliminations. Pacific Current. Pacific Current was formed in 2017 to focus on investing in non-regulated renewable energy and sustainable infrastructure in the State of Hawaii to help achieve the state’s sustainability goals. Significant investments of Pacific Current made through its subsidiaries, Hamakua Energy, Mauo, Kaʻieʻie Waho, and Mahipapa include: Hamakua power plant. In 2017, Hamakua Energy acquired Hamakua Energy Partners, L.P.’s 60-MW combined cycle power plant and other assets from affiliates of ArcLight Capital Partners, a private equity firm. The plant sells all the power it produces to Hawaii Electric Light under an existing power purchase agreement (PPA) that expires in 2030. Solar-plus-storage power purchase agreement. In 2018, Mauo executed definitive agreements to acquire a solar-plus-storage PPA for a multi-site, commercial-scale project that provides 8.1 MW of solar capacity and 42.6 megawatt-hours (MWh) of storage capacity on the islands of Maui and Oahu. The PPA has a 15-year term with a customer option to extend for an additional five years. 6-MW photovoltaic system. In September 2020, Kaʻieʻie Waho acquired a 6-MW photovoltaic system situated on 20 acres of land on the island of Kauai. Kauai Island Utility Cooperative purchases all of the power generated by the system under a PPA that expires in 2033. 7.5-MW renewable, firm dispatchable closed-loop biomass-to-energy facility. In July 2022, Mahipapa acquired a 7.5-MW renewable, firm dispatchable closed-loop biomass-to-energy facility on Kauai. Kauai Island Utility Cooperative purchases all of the power generated by the system under a PPA that expires in 2035. Segment financial information was as follows:
(in thousands) | Electric utility |  | Bank |  | Other |  | Total
2022 |  |  |  |  |  |  |
Revenues from external customers | $ | 3,408,583 |  |  | $ | 321,068 |  |  | $ | 12,334 |  |  | $ | 3,741,985 |
Intersegment revenues (eliminations) | 4 |  |  | — |  |  | (4) |  |  | — |
Revenues | 3,408,587 |  |  | 321,068 |  |  | 12,330 |  |  | 3,741,985 |
Depreciation and amortization | 260,744 |  |  | 24,436 |  |  | 9,661 |  |  | 294,841 |
Interest expense, net | 76,416 |  |  | 13,301 |  |  | 26,986 |  |  | 116,703 |
Income (loss) before income taxes | 240,600 |  |  | 102,241 |  |  | (38,646) |  |  | 304,195 |
Income taxes (benefit) | 49,676 |  |  | 22,252 |  |  | (10,761) |  |  | 61,167 |
Net income (loss) | 190,924 |  |  | 79,989 |  |  | (27,885) |  |  | 243,028 |
Preferred stock dividends of subsidiaries | 1,995 |  |  | — |  |  | (105) |  |  | 1,890 |
Net income (loss) for common stock | 188,929 |  |  | 79,989 |  |  | (27,780) |  |  | 241,138 |
Capital expenditures 1 | 329,457 |  |  | 4,704 |  |  | 9,876 |  |  | 344,037 |
Assets (at December 31, 2022) | 6,597,467 |  |  | 9,545,970 |  |  | 140,807 |  |  | 16,284,244 |
2021 |  |  |  |  |  |  |
Revenues from external customers | $ | 2,539,589 |  |  | $ | 306,398 |  |  | $ | 4,392 |  |  | $ | 2,850,379 |
Intersegment revenues (eliminations) | 47 |  |  | — |  |  | (47) |  |  | — |
Revenues | 2,539,636 |  |  | 306,398 |  |  | 4,345 |  |  | 2,850,379 |
Depreciation and amortization | 251,206 |  |  | 21,124 |  |  | 6,372 |  |  | 278,702 |
Interest expense, net | 72,447 |  |  | 5,040 |  |  | 21,916 |  |  | 99,403 |
Income (loss) before income taxes | 223,785 |  |  | 130,559 |  |  | (43,481) |  |  | 310,863 |
Income taxes (benefit) | 44,148 |  |  | 29,325 |  |  | (10,666) |  |  | 62,807 |
Net income (loss) | 179,637 |  |  | 101,234 |  |  | (32,815) |  |  | 248,056 |
Preferred stock dividends of subsidiaries | 1,995 |  |  | — |  |  | (105) |  |  | 1,890 |
Net income (loss) for common stock | 177,642 |  |  | 101,234 |  |  | (32,710) |  |  | 246,166 |
Capital expenditures 1 | 292,000 |  |  | 11,131 |  |  | 11,393 |  |  | 314,524 |
Assets (at December 31, 2021) | 6,491,625 |  |  | 9,181,603 |  |  | 149,409 |  |  | 15,822,637 |
2020 |  |  |  |  |  |  |
Revenues from external customers | $ | 2,265,281 |  |  | $ | 313,511 |  |  | $ | 983 |  |  | $ | 2,579,775 |
Intersegment revenues (eliminations) | 39 |  |  | — |  |  | (39) |  |  | — |
Revenues | 2,265,320 |  |  | 313,511 |  |  | 944 |  |  | 2,579,775 |
Depreciation and amortization | 256,479 |  |  | 29,349 |  |  | 4,950 |  |  | 290,778 |
Interest expense, net | 67,794 |  |  | 11,114 |  |  | 20,900 |  |  | 99,808 |
Income (loss) before income taxes | 211,753 |  |  | 69,271 |  |  | (40,400) |  |  | 240,624 |
Income taxes (benefit) | 40,418 |  |  | 11,688 |  |  | (11,196) |  |  | 40,910 |
Net income (loss) | 171,335 |  |  | 57,583 |  |  | (29,204) |  |  | 199,714 |
Preferred stock dividends of subsidiaries | 1,995 |  |  | — |  |  | (105) |  |  | 1,890 |
Net income (loss) for common stock | 169,340 |  |  | 57,583 |  |  | (29,099) |  |  | 197,824 |
Capital expenditures 1 | 350,864 |  |  | 12,203 |  |  | 20,828 |  |  | 383,895 |
Assets (at December 31, 2020) | 6,457,373 |  |  | 8,396,533 |  |  | 150,101 |  |  | 15,004,007 |
1 Contributions in aid of construction balances are included in capital expenditures. Intercompany electricity sales of the Utilities to ASB and “other” segments are not eliminated because those segments would need to purchase electricity from another source if it were not provided by the Utilities and the profit on such sales is nominal. Hamakua Energy’s sales to Hawaii Electric Light (a regulated affiliate) are eliminated in consolidation.

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration