New York City utility owner Consolidated Edison Inc. saw first quarter earnings fall 6.9% after one of the warmest winters in the Northeast on record coupled with weak economic conditions. Net income was $166.6 million ($0.78 a share), compared with earnings of $179.1 million ( $0.84) for the first quarter of 2001. Analysts had expected quarterly earnings of 80 cents. Revenue also fell, dropping 27% to $2.1 billion from $2.89 billion for the same period a year ago.

The lower earnings were “partially offset by lower operating expenses,” said the company in a statement. Excluding the impact of the warmer weather and certain billing adjustments, electric load decreased 1%, firm gas was down 0.3% and steam energy was down 1.1% compared to the same period in 2001. Weather adjusted electric peak load for the first quarter of 2002 was slightly above the 2001 period.

“Con Edison’s earnings in the first three months represent a good start for the year, despite extremely mild winter weather and a relatively weak economic climate,” said CEO Eugene R. McGrath. “We are confident that the underlying strength of our regional economy will support a solid recovery beginning later this year, and that Con Edison’s financial strength and flexibility, and our management focus, will enable us to continue to achieve the good financial performance our shareholders count on.”

For the full year 2002, the company confirmed a previous earnings forecast in the range of $3.15 to $3.25 a share, which is in line with analysts’ consensus. The company also announced a quarterly dividend of 55.5 cents a share on its common stock payable June 15 to stockholders of record as of May 15.

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