Texas-based retail energy provider Direct Energy, one of the largest competitive energy suppliers in the country, recently announced its operating profit for the first six months of 2012 came in at $263 million.
Although its revenue decreased from $5 billion in 2011 to $4.6 billion in 2012, it still saw major growth in its customer base, as more residents and businesses began to compare electricity providers and choose a supplier with better rates. The higher profits were driven mostly from entering new retail markets in Texas and the U.S. Northeast.
"Direct Energy delivered a solid first half, continuing to invest for growth across the business," said Chris Weston, President and CEO of Direct Energy. "Despite the challenges related to gas prices and mild weather during the first half of the year, the momentum gained from our recent acquisitions has provided further capacity for growth, operational improvements and cost efficiencies."
Texas has been a shining city on a hill when it comes to deregulated energy markets, as many other states have looked to the state's policies and watched to see how its laws would unfold. After 10 years, several reports indicate residents have benefited from competitive energy markets.