Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For Quarterly Period Ended June 30, 2022 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For Transition Period From to Commission File Number 000-26591 RGC Resources, Inc. (Exact name of Registrant as Specified in its Charter) Virginia 54-1909697 (State or Other Juri ...

Financial Data and Key Metrics Changes - For Q2 2022, operating income was $7.4 million, a 4.8% increase from Q2 2021, reflecting an improvement of $344,000 [7] - The overall net loss for Q2 2022 was impacted by a $29.6 million noncash impairment related to the Mountain Valley pipeline investment [7] - For the 12 months ending March 31, 2022, operating income was $14.9 million, a 14% increase compared to the prior year [9] - Underlying net income for Q2 2022, after adjusting for impairment, was $5.1 million, a 6.5% increase from the prior year [10] - The 12-month underlying net income was $9.3 million, reflecting a decrease of $1.1 million from the previous year due to reduced equity earnings from the MVP [11] Business Line Data and Key Metrics Changes - Roanoke Gas, the core business, continues to serve 63,000 customers in the greater Roanoke Valley [4] - Capital expenditures for utility property in the first half of fiscal 2022 totaled $10.76 million, a 20% increase from the previous year [12] - Delivered volumes for Q2 2022 were 4.2 million dekatherms, a 5.6% increase from Q2 2021, driven by a 26% increase in industrial customer consumption [13] Market Data and Key Metrics Changes - Year-to-date volumes were 1% higher than the first six months of 2021, despite warmer weather [14] - The company noted that the increase in industrial customer deliveries offset the decline in residential customer deliveries due to weather [14] Company Strategy and Development Direction - The company expects capital spending to be approximately $24.5 million in the second half of fiscal 2022, with a slight shift from new business to maintenance spending [15][16] - The company continues to support the Mountain Valley pipeline project, emphasizing its importance for domestic supply constraints and the broader market [20] Management's Comments on Operating Environment and Future Outlook - Management expressed concern over elevated natural gas costs due to legal challenges facing the Mountain Valley pipeline, which they believe impacts both businesses and residential customers [18][19] - The company anticipates underlying earnings for fiscal 2022 to be in the range of $0.96 to $1.02 per share [21] - The company announced a $27 million common stock equity placement, which is expected to have an effect of approximately $0.10 per share for the full fiscal year [22] Other Important Information - The expected quarterly dividend remains unchanged, with an implied payout ratio in the 80% range, which management considers comfortable based on cash earnings [23] Q&A Session Summary - No questions were raised during the Q&A session, and the call concluded without further inquiries [25]

Part I [Item 1. Financial Statements](index=7&type=section&id=Item%201.%20Financial%20Statements) The company reported a significant net loss for the period, primarily due to a $39.8 million MVP impairment, affecting assets but boosting equity [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased to $288.4 million due to reduced affiliate investment, while stockholders' equity increased to $105.5 million from stock issuance Condensed Consolidated Balance Sheet Highlights (Unaudited) | Account | March 31, 2022 | September 30, 2021 | | :--- | :--- | :--- | | **Total Assets** | **$288,358,485** | **$310,109,193** | | Cash and cash equivalents | $9,431,990 | $1,518,317 | | Investment in unconsolidated affiliates | $27,321,251 | $64,867,319 | | **Total Liabilities** | **$182,895,756** | **$210,407,484** | | Long-term debt, net | $104,841,078 | $133,471,427 | | **Total Stockholders' Equity** | **$105,462,729** | **$99,701,709** | [Condensed Consolidated Statements of Income](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) The company shifted from net income to a $24.5 million net loss in Q2 2022, primarily due to a $39.8 million MVP impairment, despite increased operating revenues Income Statement Summary (Unaudited) | Metric | Three Months Ended Mar 31, 2022 | Three Months Ended Mar 31, 2021 | Six Months Ended Mar 31, 2022 | Six Months Ended Mar 31, 2021 | | :--- | :--- | :--- | :--- | :--- | | Total operating revenues | $29,529,683 | $28,253,662 | $52,792,763 | $47,770,679 | | Operating Income | $7,443,388 | $7,099,426 | $12,821,811 | $12,680,813 | | Impairment of unconsolidated affiliates | ($39,822,213) | $0 | ($39,822,213) | $0 | | **Net Income (Loss)** | **($24,494,429)** | **$4,767,478** | **($20,909,900)** | **$9,490,741** | | **Diluted EPS (Loss)** | **($2.89)** | **$0.58** | **($2.48)** | **$1.16** | [Condensed Consolidated Statements of Cash Flows](index=12&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations increased to $13.0 million due to non-cash adjustments, while financing activities rose significantly from a $28.3 million stock issuance Cash Flow Summary (Six Months Ended March 31, Unaudited) | Cash Flow Activity | 2022 | 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $12,992,906 | $9,611,402 | | Net cash used in investing activities | ($14,278,880) | ($11,691,440) | | Net cash provided by financing activities | $9,199,647 | $2,515,521 | | **Net increase in cash** | **$7,913,673** | **$435,483** | [Notes to Condensed Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Key notes detail a $27 million equity offering, a $39.8 million MVP impairment, segment results, and compliance with debt covenants - In March 2022, the Company issued 1,350,000 shares of common stock, raising net proceeds of nearly **$27 million** to strengthen its balance sheet and fund infrastructure programs[25](index=25&type=chunk) - A pre-tax impairment loss of approximately **$39.8 million** was recognized in Q2 2022 on the company's investment in the Mountain Valley Pipeline (MVP) and Southgate projects due to unfavorable court rulings that increased uncertainty about the projects' completion[42](index=42&type=chunk)[44](index=44&type=chunk) Segment Income (Loss) Before Income Taxes (Three Months Ended March 31, 2022) | Segment | Income (Loss) Before Taxes | | :--- | :--- | | Gas Utility | $7,117,202 | | Investment in Affiliates | ($40,279,495) | | Parent and Other | $23,689 | | **Consolidated Total** | **($33,138,604)** | - The company was in compliance with **all debt covenants** as of March 31, 2022, including a key covenant that excludes the non-cash impairment on LLC investments from the interest coverage ratio calculation[61](index=61&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=37&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the $39.8 million MVP impairment, stable Gas Utility business, $27 million equity raise, and ongoing MVP project challenges [Results of Operations](index=41&type=section&id=Results%20of%20Operations) Net income fell to a loss due to the $39.8 million MVP impairment, while gross utility margin increased by 6% to $14.6 million, and O&M expenses rose Gross Utility Margin Comparison (Three Months Ended March 31) | Metric | 2022 | 2021 | Increase | Percentage | | :--- | :--- | :--- | :--- | :--- | | Gas Utility Revenues | $29,499,219 | $28,221,274 | $1,277,945 | 5% | | Cost of Gas - Utility | $14,923,575 | $14,447,057 | $476,518 | 3% | | **Gross Utility Margin** | **$14,575,644** | **$13,774,217** | **$801,427** | **6%** | - The increase in gross utility margin for Q2 2022 was driven by higher SAVE revenues (+$193k), WNA revenues (+$307k), and transportation volumes[115](index=115&type=chunk)[117](index=117&type=chunk) - Operations and maintenance expenses for Q2 2022 increased by **8%** (**$310,537**), primarily due to higher bad debt expense (+$194k), insurance premiums (+$43k), and professional services for the LLC impairment valuation (+$44k)[117](index=117&type=chunk) [Equity Investment in Mountain Valley Pipeline](index=48&type=section&id=Equity%20Investment%20in%20Mountain%20Valley%20Pipeline) The MVP project faced significant legal setbacks, leading to a $39.8 million impairment loss and a revised completion target of H2 2023 at $6.6 billion - The Fourth Circuit vacated and remanded key permits for the MVP project in January and February 2022, creating significant uncertainty[148](index=148&type=chunk) - As a result of legal setbacks, the company recorded a pre-tax impairment loss of approximately **$39.8 million** on its LLC investment in the second quarter of fiscal 2022[154](index=154&type=chunk) - The MVP operator is now targeting a full in-service date in the **second half of 2023** with a revised total project cost of approximately **$6.6 billion** (excluding AFUDC)[148](index=148&type=chunk) [Capital Resources and Liquidity](index=52&type=section&id=Capital%20Resources%20and%20Liquidity) The company's liquidity improved with a $27 million equity offering, increased operating cash flow, renewed credit lines, and a 46% equity to 54% debt capitalization ratio - A March 2022 equity offering of 1,350,000 common shares resulted in net proceeds of nearly **$27 million**, which was used to strengthen the balance sheet and reduce debt[170](index=170&type=chunk) - On March 31, 2022, Roanoke Gas entered into a new one-year unsecured line-of-credit agreement with borrowing limits ranging from **$21 million to $33 million**[168](index=168&type=chunk) - The company's long-term capitalization ratio stood at **46% equity** and **54% debt** as of March 31, 2022[173](index=173&type=chunk) Part II [Item 1A. Risk Factors](index=56&type=section&id=Item%201A.%20Risk%20Factors) Updated risk factors highlight increased uncertainty for the MVP investment due to adverse court rulings, potentially leading to further impairment and impacting financial position - The primary updated risk factor relates to the Investment in Mountain Valley Pipeline, LLC, following adverse rulings by the Fourth Circuit Court in early 2022[181](index=181&type=chunk) - The company warns that future circumstances, such as construction delays or further permit denials, could lead to additional and possibly **full impairment** of the remaining investment in the LLC[181](index=181&type=chunk) - Significant delays or failure to receive requisite approvals for the MVP could **materially impact** Resources' consolidated financial position, results of operations, and ability to pay shareholder dividends at the current level[182](index=182&type=chunk)[185](index=185&type=chunk) [Other Items](index=56&type=section&id=Other%20Items) No material legal proceedings, unregistered equity sales, senior security defaults, or mine safety disclosures were reported for the period - Item 1 – Legal Proceedings: No material proceedings[179](index=179&type=chunk) - Item 2 – Unregistered Sales of Equity Securities and Use of Proceeds: None[189](index=189&type=chunk) - Item 3 – Defaults Upon Senior Securities: None[190](index=190&type=chunk)

Financial Data and Key Metrics Changes - The first quarter operating income for Roanoke Gas showed a modest decline compared to the prior year's quarterly results, with gross margins increasing due to the SAVE rider and customer growth, offset by higher depreciation expense and receipt of CARES Act money in the previous year [5][6] - Consolidated earnings per share decreased to $1.08 compared to $1.38 for the prior 12 months, primarily due to a $4.6 million decline in equity and earnings from Midstream's investment in the Mountain Valley pipeline [7] Business Line Data and Key Metrics Changes - Residential volumes declined by 8% and commercial volumes declined by 5% due to significantly warmer weather in December 2021, which was 32% lower in heating degree days compared to normal [3][2] - Industrial volumes were down, primarily due to a large customer switching its primary fuel from natural gas to coal in 2020; excluding this customer, industrial volumes would have increased [3] Market Data and Key Metrics Changes - The capital spending during the first quarter of the current fiscal year is running slightly ahead of the previous year, with a focus on customer growth and system expansion, including investments in the Blue Ridge project [4][9] - The company expects to spend approximately $25 million in capital expenditures for the fiscal year, marking the largest capital spend in Roanoke Gas's 139-year history [9] Company Strategy and Development Direction - The company is focused on expanding its customer base and infrastructure, with ongoing projects such as the Blue Ridge pipeline and main extensions [11][12] - Management emphasized the importance of the Mountain Valley pipeline for future service and growth, citing the need for more natural gas infrastructure in the Eastern United States [16][17] Management's Comments on Operating Environment and Future Outlook - Management noted that despite the challenges posed by recent court decisions affecting the Mountain Valley pipeline, the long-term demand for natural gas remains strong and unchanged [17][18] - The company remains optimistic about customer growth and the economic development of the Roanoke region, which has seen significant growth over the past several years [14][16] Other Important Information - The company has started the renewal of the loan gate station, with completion expected by late summer [10] - Management indicated that the Mountain Valley pipeline project is still under review due to recent legal challenges, and further updates will be provided as more information becomes available [12][18] Q&A Session Summary Question: Guidance on volumes for the heating season - Management confirmed that December was significantly warmer than normal, impacting volumes, but January has been colder, leading to stronger delivered volumes [24][25] Question: Impact of recent court decisions on Mountain Valley pipeline - Management stated that the exact implications of the court decision are still being determined, particularly regarding work in the Jefferson National Forest [26][27] Question: Timeline for returning to the field for construction - Management indicated that construction would depend on weather conditions, with a reasonable expectation for work to resume in April if conditions improve [27]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For Quarterly Period Ended December 31, 2021 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For Transition Period From to Commission File Number 000-26591 RGC Resources, Inc. (Exact name of Registrant as Specified in its Charter) Virginia 54-1909697 (State or Other Jurisdiction of In ...

RGC Resources, Inc. (NASDAQ:RGCO) Q4 2021 Earnings Conference Call December 3, 2021 9:00 AM ET Company Participants Paul Nestor – President and CEO of RGC Resources Tommy Oliver – CFO David Garcia – Director of Finance Automated Voice – Unidentified Conference Call Participants Mike – Analyst Jack – Analyst Automated Voice You will now be placed into conference. Paul Nestor Good morning. I'm Paul Nestor, President and CEO of RGC Resources. Thank you for taking time on this Friday to join us for our Fourth Q ...

Part I [Business](index=11&type=section&id=Item%201.%20Business) RGC Resources, Inc. operates Roanoke Gas, a regulated natural gas utility, with revenue dominated by utility operations and a focus on residential customers - RGC Resources, Inc. is a holding company primarily operating Roanoke Gas, a regulated natural gas utility, and holds an investment in the Mountain Valley Pipeline (MVP)[21](index=21&type=chunk)[22](index=22&type=chunk)[23](index=23&type=chunk) Customer and Margin Mix (FY 2021) | Customer Category | % of Customers | % of Volume | % of Revenue | % of Margin | | :--- | :--- | :--- | :--- | :--- | | Residential | 91.3% | 37% | 58% | 63% | | Commercial | 8.6% | 31% | 34% | 25% | | Industrial | 0.1% | 32% | 7% | 11% | - The company's business is seasonal, with approximately **63% of natural gas deliveries** occurring between November and March[28](index=28&type=chunk) - Roanoke Gas relies on two main interstate pipelines and operates an LNG facility with **200,000 DTH of storage capacity** for peak demand[29](index=29&type=chunk)[30](index=30&type=chunk) - The company holds exclusive, long-term franchise agreements in its primary service areas, renewed until **December 31, 2035**[33](index=33&type=chunk) - As of September 30, 2021, the company had **99 full-time employees**, with **17% unionized** under an agreement expiring July 31, 2022[40](index=40&type=chunk) [Risk Factors](index=16&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant operational, regulatory, and financial risks, notably dependence on pipelines, cyber threats, and MVP investment delays - Operational risks include **100% reliance on two interstate pipelines** for gas transport, system failures, and cyber-attack vulnerability[46](index=46&type=chunk)[47](index=47&type=chunk)[49](index=49&type=chunk) - Regulatory risks include new environmental laws, increased pipeline safety requirements, and the need for timely rate relief from the Virginia SCC[60](index=60&type=chunk)[61](index=61&type=chunk)[62](index=62&type=chunk) - The Mountain Valley Pipeline (MVP) investment poses a major financial risk due to significant delays and cost overruns impacting financial position and dividend capacity[65](index=65&type=chunk)[66](index=66&type=chunk)[67](index=67&type=chunk) - The company faces financial risks from pandemics like COVID-19, potentially reducing demand, increasing bad debt, and straining liquidity[73](index=73&type=chunk)[74](index=74&type=chunk)[75](index=75&type=chunk) - Costs and funding obligations for defined benefit pension and retiree medical plans depend on market returns and actuarial assumptions, posing financial risk[79](index=79&type=chunk) [Unresolved Staff Comments](index=27&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the SEC - No unresolved staff comments[84](index=84&type=chunk) [Properties](index=27&type=section&id=Item%202.%20Properties) The company's properties include approximately **1,157 miles of pipelines** and an **LNG storage facility** with **200,000 DTH capacity** - The company's utility property includes approximately **1,157 miles of transmission and distribution pipeline**, representing **89% of total utility plant investment**[85](index=85&type=chunk) - The company owns an LNG storage facility with a capacity to store up to **200,000 DTH of natural gas**[86](index=86&type=chunk) [Legal Proceedings](index=27&type=section&id=Item%203.%20Legal%20Proceedings) The company is not known to be a party to any pending legal proceedings - The Company is not known to be a party to any pending legal proceedings[88](index=88&type=chunk) [Mine Safety Disclosures](index=27&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[89](index=89&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=28&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on NASDAQ under RGCO, with **FY2021 dividends totaling $0.74 per share**, up from **$0.70** in FY2020 - The company's common stock is listed on the NASDAQ Global Market under the trading symbol **RGCO**[92](index=92&type=chunk) Quarterly Stock Price and Dividends | Year Ending Sep 30 | Quarter | High Price ($) | Low Price ($) | Dividends Declared ($) | | :--- | :--- | :--- | :--- | :--- | | **2021** | First | $27.40 | $22.82 | $0.185 | | | Second | $25.60 | $22.08 | $0.185 | | | Third | $25.60 | $21.32 | $0.185 | | | Fourth | $26.02 | $22.33 | $0.185 | | **2020** | First | $30.00 | $27.53 | $0.175 | | | Second | $31.98 | $24.55 | $0.175 | | | Third | $28.85 | $23.15 | $0.175 | | | Fourth | $24.86 | $22.58 | $0.175 | Equity Compensation Plan Information (as of Sep 30, 2021) | Plan Category | Securities to be issued upon exercise | Weighted-average exercise price ($) | Securities remaining available for future issuance | | :--- | :--- | :--- | :--- | | Approved by security holders | 45,250 | $19.34 | 457,079 | [Selected Financial Data](index=28&type=section&id=Item%206.%20Selected%20Financial%20Data) This item is not applicable as the company is a smaller reporting company - Not applicable[94](index=94&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance, noting increased revenues from higher gas prices but decreased net income due to lower MVP equity earnings and ongoing investment in infrastructure [Results of Operations (FY2021 vs. FY2020)](index=35&type=section&id=Results%20of%20Operations) FY2021 operating revenues increased **19% to $75.2 million**, but net income decreased to **$10.1 million** due to a **$3.1 million reduction** in MVP equity earnings Operating Revenues and Delivered Volumes | Year Ended September 30, | 2021 ($) | 2020 ($) | Change ($) | % Change | | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenues | $75,174,779 | $63,075,391 | $12,099,388 | 19% | | Total Delivered Volumes (DTH) | 9,909,529 | 10,357,174 | (447,645) | (4)% | Gross Utility Margin | Year Ended September 30, | 2021 ($) | 2020 ($) | Change ($) | % Change | | :--- | :--- | :--- | :--- | :--- | | Gas Utility Revenues | $75,045,103 | $62,408,925 | $12,636,178 | 20% | | Cost of Gas - Utility | $35,179,842 | $23,949,481 | $11,230,361 | 47% | | **Gross Utility Margin** | **$39,865,261** | **$38,459,444** | **$1,405,817** | **4%** | - Equity in earnings from the MVP decreased by **$3.1 million** in FY2021 due to temporary cessation of AFUDC activity[124](index=124&type=chunk) Net Income and Earnings Per Share | Metric | FY 2021 ($) | FY 2020 ($) | | :--- | :--- | :--- | | Net Income | $10,102,062 | $10,564,534 | | Basic & Diluted EPS | $1.22 | $1.30 | [Capital Resources and Liquidity](index=38&type=section&id=Capital%20Resources%20and%20Liquidity) Liquidity is managed through cash flow, debt, and equity, with FY2021 operating cash decreasing to **$11.6 million** and **$25.8 million** used in investing activities Summary of Cash Flows | Cash Flow Summary (Years Ended Sep 30) | 2021 ($) | 2020 ($) | | :--- | :--- | :--- | | Net cash provided by operating activities | $11,568,108 | $12,823,903 | | Net cash used in investing activities | ($25,849,237) | ($30,721,011) | | Net cash provided by financing activities | $15,508,380 | $16,556,826 | | Net increase (decrease) in cash | $1,227,251 | ($1,340,282) | - Capital expenditures for Roanoke Gas's utility plant were approximately **$20 million** in FY2021, primarily for pipe replacement and customer growth[139](index=139&type=chunk) - Midstream's cash investment in the MVP was **$6.0 million** in FY2021, with total expected funding increasing to between **$60 million and $62 million**[141](index=141&type=chunk) - The company issued **142,726 shares** through its At-the-Market (ATM) stock offering program during fiscal 2021[149](index=149&type=chunk) [Equity Investment in Mountain Valley Pipeline](index=43&type=section&id=Equity%20Investment%20in%20Mountain%20Valley%20Pipeline) The MVP project faces ongoing legal and regulatory challenges, targeting a summer 2022 in-service date at a **$6.2 billion** cost, with AFUDC accrual temporarily suspended - The MVP project targets a full in-service date in **summer 2022** at an estimated total cost of approximately **$6.2 billion** (excluding AFUDC)[154](index=154&type=chunk) - The LLC temporarily suspended AFUDC accrual from **January 1, 2021, through March 31, 2021**, significantly reducing equity earnings from the MVP investment[156](index=156&type=chunk) - Management, with a third-party valuation, concluded the MVP investment was **not impaired** as of September 30, 2021[157](index=157&type=chunk) [Critical Accounting Policies and Estimates](index=49&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) Critical accounting policies involve significant estimates for regulatory accounting, revenue recognition, doubtful accounts, pension and postretirement benefits, and derivative instruments - Critical accounting policies include Regulatory Accounting (ASC 980), Revenue Recognition, Allowance for Doubtful Accounts, Pension and Postretirement Benefits, and Derivatives[169](index=169&type=chunk)[170](index=170&type=chunk)[172](index=172&type=chunk)[177](index=177&type=chunk)[179](index=179&type=chunk) Pension and Postretirement Plan Funded Status (as of Sep 30) | Plan | Funded Status 2021 ($) | Funded Status 2020 ($) | | :--- | :--- | :--- | | Pension | $1,259,639 (103% funded) | ($2,340,371) (94% funded) | | Postretirement | ($914,507) | ($3,809,156) | - The company shifted its pension plan asset allocation to **30% equity / 70% fixed income** and adopted a Liability Driven Investment (LDI) approach[183](index=183&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=57&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This item is not applicable as the company is a smaller reporting company - Not applicable[191](index=191&type=chunk) [Financial Statements and Supplementary Data](index=57&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements for FY2021 and FY2020, including the independent auditor's report and detailed notes Consolidated Balance Sheet Summary (as of Sep 30) | Metric | 2021 ($) | 2020 ($) | | :--- | :--- | :--- | | Total Assets | $310,109,193 | $281,679,507 | | Total Liabilities | $210,407,484 | $192,791,530 | | Total Stockholders' Equity | $99,701,709 | $88,887,977 | Consolidated Income Statement Summary (Years Ended Sep 30) | Metric | 2021 ($) | 2020 ($) | | :--- | :--- | :--- | | Total Operating Revenues | $75,174,779 | $63,075,391 | | Operating Income | $14,778,309 | $12,518,182 | | Net Income | $10,102,062 | $10,564,534 | | Diluted EPS | $1.22 | $1.30 | Consolidated Cash Flow Summary (Years Ended Sep 30) | Metric | 2021 ($) | 2020 ($) | | :--- | :--- | :--- | | Net Cash from Operations | $11,568,108 | $12,823,903 | | Net Cash from Investing | ($25,849,237) | ($30,721,011) | | Net Cash from Financing | $15,508,380 | $16,556,826 | - The independent auditor identified the valuation of the equity method investment in Mountain Valley Pipeline, LLC (MVP) as a Critical Audit Matter due to significant judgment required for fair value determination[199](index=199&type=chunk)[200](index=200&type=chunk)[201](index=201&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=116&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - No changes in or disagreements with accountants on accounting and financial disclosure[375](index=375&type=chunk) [Controls and Procedures](index=116&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that disclosure controls and internal control over financial reporting were effective as of September 30, 2021, with no material changes - Management concluded the Company's disclosure controls and procedures were **effective** as of September 30, 2021[377](index=377&type=chunk) - Management concluded the Company's internal control over financial reporting was **effective** as of September 30, 2021, based on the COSO 2013 framework[381](index=381&type=chunk) [Other Information](index=118&type=section&id=Item%209B.%20Other%20Information) The company reports no other information for this item - No other information is reported for this item[383](index=383&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=119&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance is incorporated by reference from the 2022 Proxy Statement - Information for this item is incorporated by reference from the RGC Resources, Inc. Proxy Statement for the 2022 Annual Meeting of Shareholders[385](index=385&type=chunk)[386](index=386&type=chunk)[387](index=387&type=chunk) [Executive Compensation](index=119&type=section&id=Item%2011.%20Executive%20Compensation) Executive and director compensation information is incorporated by reference from the 2022 Proxy Statement - Information for this item is incorporated by reference from the Proxy Statement for the 2022 Annual Meeting of Shareholders[389](index=389&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=119&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Security ownership information for beneficial owners and management is incorporated by reference from the 2022 Proxy Statement - Security ownership information is incorporated by reference from the Proxy Statement for the 2022 Annual Meeting of Shareholders[391](index=391&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=119&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information on certain relationships, related transactions, and director independence is incorporated by reference from the 2022 Proxy Statement - Information for this item is incorporated by reference from the Proxy Statement for the 2022 Annual Meeting of Shareholders[392](index=392&type=chunk) [Principal Accounting Fees and Services](index=119&type=section&id=Item%2014.%20Principal%20Accounting%20Fees%20and%20Services) Principal accounting fees and services information is incorporated by reference from the 2022 Proxy Statement - Information for this item is incorporated by reference from the Proxy Statement for the 2022 Annual Meeting of Shareholders[393](index=393&type=chunk) Part IV [Exhibits and Financial Statement Schedules](index=121&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements, schedules, and exhibits filed with the Form 10-K, with financial statements under Item 8 - All financial statements of the registrant are filed as part of **Item 8** of the report[396](index=396&type=chunk) - Financial statement schedules are either inapplicable or the information is included within the consolidated financial statements and related notes[396](index=396&type=chunk) [Form 10-K Summary](index=134&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is not applicable - Not applicable[414](index=414&type=chunk)

RGC Resources, Inc. (NASDAQ:RGCO) Q3 2021 Earnings Conference Call August 9, 2021 9:00 AM ET Company Participants Paul Nester - President and Chief Executive Officer Tommy Oliver - Chief Financial Officer Conference Call Participants Paul Nester Good morning. I'm Paul Nester, President and CEO of RGC Resources, Incorporated. Thank you for joining us. We hope your Monday morning and you week is all to a good start. With me today are Tommy Oliver, our Chief Financial Officer; and David Garcia, our Director of ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For Quarterly Period Ended June 30, 2021 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For Transition Period From to Commission File Number 000-26591 RGC Resources, Inc. (Exact name of Registrant as Specified in its Charter) Virginia 54-1909697 (State or Other Jurisdiction of Incorp ...

RGC Resources, Inc. (NASDAQ:RGCO) Q2 2021 Earnings Conference Call May 13, 2021 11:00 AM ET Company Participants Paul Nester – President and Chief Executive Officer Tommy Oliver – Chief Financial Officer Conference Call Participants Paul Nester Good morning. I'm Paul Nester, President and CEO of RGC Resources, Inc. I hope it is beautiful and pleasant wherever you may be today as it is here in the Roanoke Valley. With me today are Tommy Oliver, our CFO; and David Garcia, our Director of Financial. Again welc ...