Southwest Gas Corp. of Las Vegas said Wednesday its first quarter profit increased, even as revenue fell.
The company earned $68.5 million, or $1.48 per share, up from $64.6 million, or $1.42 per share, in the year-ago quarter. Operating revenue of $628 million was down from $669 million.
Operating margin — operating revenue less the cost of gas sold — increased $8 million in the first quarter of 2011 compared to the first quarter of 2010. Differences in heating demand, caused primarily by weather variations, provided $6 million of the operating margin increase, said the company that serves 1.8 million customers in Nevada, Arizona and California.
“Favorable weather played a role as did our focus on the core fundamentals of the business. We continue to strive to improve overall financial metrics along with the level and stability of our financial results. Our progress towards these goals was cited by Standard & Poor’s in April 2011 when they upgraded our credit ratings to BBB+ from BBB, a notable accomplishment,” CEO Jeff Shaw said in a statement.